I am pleased to report that our adjusted revenue for the year ended 31 March 2026 exceeded HK$10.0 billion for the third consecutive year. This was despite a highly complex macro environment marked by persistent geopolitical tensions, evolving international trade dynamics, and elevated borrowing costs.
We remain focused on our four core business segments: property development, hotel operations and management, car park facilities operations and management, gaming and entertainment. Deleveraging has been a top priority, delivering significant progress in lowering our gearing and strengthening our balance sheet. Our diversified portfolio, supported by a strategic geographic spread, continues to underpin the Group’s resilience and long-term growth trajectory.
Our property development business is guided by disciplined global capital allocation and has delivered strong progress across key markets.
In the Chinese Mainland, we are seeing signs of recovery, particularly in major cities. In Hong Kong, following a three-year consolidation period, the market is showing renewed robostness.
In Hong Kong, residential sales have improved, and we are targeting the launch of two new projects over the next two to three years. We have particular confidence in the Northern Metropolis, where we hold more than 1,000 units in pipeline. In Shanghai, our 1,666 long-leased residential units are performing well, generating strong leasing activity that strengthens recurring income and supports our phase 2 expansion which will add 2,240 long-leased residential units at attractive yields.In Australia, robust sales and marketing execution, supported by brand strength and regional leadership, has positioned us increasingly as a market leader and leaves us continuously optimistic in long-term prospects in Australia.
In the UK, our Manchester team has delivered outstanding sales and execution results. Despite some near-term market and construction headwinds in London, our confidence in the UK’s long-term prospects remains intact and prompts us to pursue further opportunities within the country.
The Group maintains a robust landbank valued at approximately HK$60 billion, providing mid-term visibility and secured receivables, while our participation in urban regeneration and integrated development partnerships continues to enhance long-term value.
Our hospitality and operational segments remain cornerstones of our recurring income businesses. During the financial year, we expanded our hospitality footprint with two new hotels in London and one hostel in Shanghai, while divesting several non-core hotel properties, generating favourable returns to accelerate capital recycling and reduce debt levels. Going forward, we will pursue growth through an asset-light model across our operating platforms by bringing in equity partners and providing advisory and management services, while selectively retaining ownership where it enhances capital appreciation. With a pipeline of upcoming hotel openings on the horizon, these segments will continue to complement our property development business and strengthen our recurring income base.
At the core of our corporate agenda this year was an unwavering commitment to deleveraging. Through disciplined capital allocation and targeted divestments, over the past three years, our adjusted net gearing ratio has declined from 73.8% to 65.4%. In the last financial year, our accelerated asset monetisation strategy generated approximately HK$2.5 billion from the sale of non-core assets and businesses, unlocking liquidity and accelerating capital recycling. As at 31 March 2026, total bank loans, notes, and bonds were HK$23.5 billion, a decrease of 7.5% compared to the position at 31 March 2025. This proactive approach has mitigated our exposure to elevated interest rates, reduced finance costs, and materially strengthened our capital structure. With the Chinese Mainland and Hong Kong property markets showing evidence of recovery, we believe asset valuations have largely bottomed, further reinforcing the underlying resilience of our development portfolio.
Looking ahead, the Group maintains a disciplined and pragmatic outlook. The financial adjustments and targeted debt reductions executed during the financial year have fortified our balance sheet and produced a leaner, more resilient corporate structure. As we transition into the next phase of our business cycle, our operational focus will remain on capital discipline, cost management, and unlocking the intrinsic value of our diversified global portfolio.
On behalf of the Board, I extend my sincere appreciation to our shareholders, banking partners, clients, and investors for their continued support during this transitional period. I also thank our global workforce, whose dedication and execution capabilities remain fundamental to our resilience. Together, we will continue to navigate the current cycle with clarity and purpose, delivering sustainable long-term value for all stakeholders.
