Swire Pacific 2020 Key Business Highlights - Transcript

2020 Key Business Highlights

• Extremely challenging business environment as a resut of COVID-19
• Cathay Pacific was particularly hard hit
• Underlying (loss) / profit
  • 2020: HK$(3,969) million
  • 2019: HK$17,797 million
• Recurring underlying (loss) / profit
  • 2020: HK$(609) million
  • 2019: HK$7,221 million

 

Response to challenges at Cathay Pacific

• HK$39 billion recapitalisation completed in August 2020
• Swire Pacific contributed HK$5.3 billion to the rights issue
• HK$6.74 billion convertible bonds announced in January 2021
• Corporate restructuring announced in October 2020
• To create a more focused, efficient and competitive business

 

Investment Focus on Greater China

• Upcoming new projects
• Two Taikoo Place, Hong Kong
• Taikoo Li Qiantan, Shanghai
• Taikoo Li Sanlitun West, Beijing
• Phase Two extension of INDIGO, Beijing
• HAECO Xiamen’s relocation at new airport

 

Continued capital recycling

• Disposal of Two and Three Brickell City Centre, Miami
• Disposal of Cityplaza One
• Listing of Cadeler

 

Balance sheet strength

• Gearing ratio
  • 12.2%
  • Lowest since 2006
• Liquidity headroom
  • HK$62 billion
• Credit rating
  • S&P: A
  • Moody’s: A3
  • Fitch: A-
• Dividend per ‘A’ share
  • HK$1.70
  • 5-year average payout 59%

 

Business resilience despite COVID-19

Swire Properties

• Hong Kong office
  • Positive rental reversions
  • Firm occupancy, particularly at Taikoo Place
• Chinese mainland retail
  • Higher retail sales

Swire Coca-Cola

• Recurring profit
  • HK$2,076 million
  • +31%
• Strong business performance in the Chinese mainland and the USA
• Recurring profit (Chinese mainland)
  • HK$1,041 million
  • +22%
• Recurring profit (the USA)
  • HK$797 million
  • +45%

 

New Investments in Healthcare

• Associate investment in
  Columbia China Healthcare
• Associate investment in
  a hospital being developed in Shenzhen

 

Community engagement

• Swire Trust launched
  
  to support pandemic relief community projects
• Continuous support for the Hong Kong Philharmonic Orchestra

 

Sustainable development

• Revised sustainability strategy
  • SwireTHRIVE 2.0
• First sustainability-linked loan
  • HK$2 billion five-year revolving credit facility
• Listed on:
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