Chow Tai Fook Foundations (00659) Announces Annual Results Profit attributable to shareholders increased 11% year over year to HK$2,392.6 billion Final dividend of HK$0.33 per share

According to the Zhitong Finance App, Chow Tai Fook (00659) announced annual results for the year ended June 30, 2026, with revenue of HK$27.09.7 billion, up 11.59%; profit attributable to shareholders of HK$2,392.6 billion, up 11% year on year; basic profit per share of HK$0.53. It is proposed to pay a final ordinary dividend of HK$0.33 per share.

The announcement said that in a challenging business environment, the Group's diversified business portfolio showed resilience, driving overall operating profit to increase steadily by 3% year-on-year to HK$4,590.6 billion. The financial services sector achieved strong profit growth and became the Group's largest contributor to operating profit for the first time.

In the 2026 fiscal year, the Group's profit structure continued to evolve. Driven by steady growth in the insurance business, the financial services sector has for the first time become the Group's largest contributor to operating profit. However, due to the impact of deferred tax provisions, and although market conditions have shown signs of stabilizing, the overall business environment is still full of challenges, and the logistics sector's share of operating profit contributions has decreased, partially offsetting this increase. The Group's profits maintain geographical diversification, covering two core regions: Hong Kong contributed 63% of operating profit attributable to FY2026 (FY2025:58%), while Mainland China contributed 33% of attributable operating profit (FY2025:40%). Profit before adjusted tax, interest, depreciation and amortization increased by 1% year-on-year to HK$7.394.5 billion, while basic earnings per share rose to HK$0.53, an increase of 8% year-on-year.

The Group continued to advance the strategy of optimizing its business portfolio in the 2026 fiscal year, reinvesting capital from mature traditional infrastructure assets into businesses with better long-term growth prospects, higher scalability and greater recurring revenue potential. To implement this strategy, the Group expanded its logistics platform through the acquisition of four logistics properties located in the Greater Bay Area and Yangtze River Delta, and further deepened its layout in the major economic regions of mainland China.

In September 2026, the Group completed the acquisition of another logistics property located in Jiaxing City, Zhejiang Province, to establish a larger asset group in the Yangtze River Delta, and further enhance operational efficiency, business portfolio synergy and tenant service capabilities. As part of a strategy to establish a scalable business with attractive recurring revenue characteristics, up to the date of this announcement, the Group has also entered into an agreement to acquire 70% interest in an AI data center project in Hebei Province and 40% interest in an AI data center project in Malaysia, thereby expanding its layout in the field of AI-related infrastructure. The above investment strengthens the Group's development in logistics and digital infrastructure, enabling the Group to seize the opportunities brought by the growing demand for high-standard warehouses and artificial intelligence-related infrastructure.