Hysan posts 7.4% profit rise in H1 as Causeway Bay revamp enters final phase
SCMP · 1 SOURCESabout 2 hours ago2 MIN
Summary
Hysan Development, the dominant commercial landlord in Causeway Bay, reported a 7.4 per cent rise in underlying profit to HK$1.11 billion for the first half of 2026, driven by realised gains from the sale of residential units at its Bamboo Grove complex in Mid-Levels . Revenue remained essentially flat at HK$1.73 billion, down a marginal 0.1 per cent from the prior-year period, according to the company's filing with the Hong Kong Stock Exchange .
Key Points
- Underlying profit reached HK$1.11 billion (US$140.19 million) for the six months ending June 30, 2026, a 7.4 per cent increase year on year
- Revenue was essentially unchanged at HK$1.73 billion, declining only 0.1 per cent year on year
- Retail revenue climbed 1.4 per cent while office revenue grew 0.5 per cent; residential sales fell 15.3 per cent due to fewer available units after two blocks at Bamboo Grove were disposed
- The board declared a first interim dividend of 27 Hong Kong cents per share, unchanged from the previous year
- Net gearing ratio improved to 30.9 per cent from 32.4 per cent at the end of 2025
- Hysan has realised HK$4.5 billion, representing 56 per cent of its five-year HK$8 billion capital recycling programme, primarily through phased disposals at Bamboo Grove
Why It Matters
Hysan is entering a critical phase of its long-term urban renewal strategy, with the 1.1 million-square-foot Lee Garden Eight joint venture with Chinachem Group on track for completion in Q3 2026 alongside a new elevated walkway . Chairwoman Irene Lee Yun-lien described the group's multi-year rejuvenation of the Lee Gardens precinct as entering a "large-scale harvest phase", with renovated and expanded flagship stores from luxury brands validating the community business model approach .
Hysan is entering a critical phase of its long-term urban renewal strategy, with the 1.1 million-square-foot Lee Garden Eight joint venture with Chinachem Group on track for completion in Q3 2026 alongside a new elevated walkway . Chairwoman Irene Lee Yun-lien described the group's multi-year rejuvenation of the Lee Gardens precinct as entering a "large-scale harvest phase", with renovated and expanded flagship stores from luxury brands validating the community business model approach .