Jardine firms report robust annual earnings

SINGAPORE — Hong Kong-based Jardine Matheson group, which includes Singapore-listed Hongkong Land, Dairy Farm International and Mandarin Oriental International, yesterday reported robust annual results for the year ended Dec 31 amid what it called “mixed markets”.

Underlying net profit at Hongkong Land, one of the Special Administrative Region’s largest property companies, was up 11 per cent at US$777 million (S$968 million).

Including the net gains of US$662 million resulting from higher valuations of investment property assets, profit was down 73 per cent to US$1.44 billion because of the high base in the previous year that included US$4.6 billion in revaluation gains.

“While office leasing demand remains subdued, the group’s Hong Kong portfolio will continue to benefit this year from limited new supply as well as strong demand for luxury retail space ... Three residential projects are due for completion in Singapore, including the Marina Bay Suites development,” said Hongkong Land Chairman Simon Keswick, who also holds the same position in Dairy Farm and Mandarin Oriental.

At Dairy Farm — which runs trading and retail operations in Asia, including Cold Storage and Shop N Save supermarkets, Giant hypermarkets and 7-Eleven convenience stores in Singapore — adjusted underlying net profit rose 13 per cent to US$506 million. Sales rose by 10 per cent to US$11.5 billion.

The group’s hotel arm, Mandarin Oriental, reported a 20-per-cent jump in underlying profit to US$70.8 million on a 7-per-cent rise in revenue to US$1.28 billion.