30th September 2026 – (Hong Kong) New World Development Company Limited has reported a sharply wider full-year loss, with attributable losses swelling to about HK$28.15 billion after non-cash impairment charges and provisions tied to its airport commercial project 11 SKIES outweighed firmer core operating profit.
For the year ended 30th June 2026, the developer booked a loss attributable to shareholders of HK$28.149 billion, or HK$7.72 a share, compared with HK$16.302 billion, or HK$6.82 a share, a year earlier. No final dividend will be paid. Wire figures rounded the bottom line to a loss of HK$28.148 billion against HK$16.301 billion previously, underscoring how the red ink has deepened even as management stresses recurring operations.
Revenue for the period fell 27.78 per cent to HK$19.992 billion from HK$27.680 billion, reflecting weaker construction income and fewer property deliveries on the mainland, only partly offset by higher Hong Kong completions. Core operating profit nevertheless rose 28 per cent to HK$7.702 billion, a split that highlights how one-off accounting hits, rather than day-to-day trading alone, drove the headline loss wider.
The company said the period’s loss stemmed mainly from non-cash impairment losses and provisions linked to 11 SKIES, the large retail, dining and entertainment complex at Hong Kong International Airport’s SKYCITY that sits within the group’s K11 commercial franchise. Stripping out those non-cash impairments, provisions and other losses, it reported recurring operating net profit of HK$2.228 billion — described as the first turnaround into the black on that measure for several financial years. The project has been under renegotiation with the Airport Authority Hong Kong over possible changes to contractual arrangements, and the fresh impairments underline how heavy the balance-sheet cost of the airport scheme has become while talks and repositioning continue.
Liquidity remains a central theme. Available funds totalled about HK$33 billion, including roughly HK$17 billion in cash and bank balances and about HK$16 billion of undrawn bank facilities. Total debt stood near HK$143.3 billion, down about HK$2.7 billion over the financial year, while net debt rose about HK$6.2 billion to roughly HK$126.3 billion. Total finance costs fell 15 per cent year on year to HK$6.3 billion.
On the sales pipeline, about HK$20.914 billion of attributable contracted sales income from Hong Kong properties remained unrecognised at end-June and is earmarked for booking across the 2027 and 2028 financial years, with Deep Water Pavilia, The Pavilia Farm III and other major local projects among those expected to contribute. The group held about 2.5 million square feet of attributable gross floor area for development in its Hong Kong land bank.
Looking ahead, New World said it would keep focusing on property development and investment, citing improving capital-market activity, government steps to bolster Hong Kong as an asset- and wealth-management hub, and expected support for long-term housing demand. Strengthening cash flow and cutting overall debt remain priorities through its “seven measures” programme: faster sales, asset disposals, unlocking farmland value, lifting rental returns and recurring income, tighter capital and operating spending, suspending dividends and deferring perpetual-securities distributions, and prudent financial management — a programme that sits alongside the 11 SKIES impairment that pushed the full-year loss so much higher.
