SINGAPORE (Aug 5): Jardine Matheson, the Hongkong-based diversified business group focused principally on Asia, reported 1H17 earnings ended June of US$2.1 billion ($2.9 billion) compared with US$984 million in 1H16.
The group’s underlying profit for the first six months of 2017 rose 20% to US$765 million, and underlying earnings per share were up 20% at US$2.04.
Shares in Jardine Matheson closed 20 cents higher at US$64 on Friday.
The group has declared an interim dividend of 40 US cents per share.
Half year evenue of the group was 8% higher at US$19.4 billion, while revenue, including 100% of associates and joint ventures, was up 10% at US$38.1 billion.
Jardine Matheson says Hongkong Land’s commercial interests performed well and it recorded a higher level of sale completions in its development properties.
See: Hongkong Land 1H earnings more than double to US$3.1 bil
Astra benefited from better results from across its businesses, while Permata Bank returned to profit.
Jardine Pacific saw improvements in most of its operations, and Jardine Motors continued to trade well in mainland China.
See: Jardine C&C reports 22% higher half-year earnings of US$399 mil
JLT’s earnings increased despite a challenging trading environment. Dairy Farm’s trading was mixed, although it did achieve higher profit contributions from certain businesses.
See: Dairy Farm posts 7% increase in 1H earnings to US$213 mil
Mandarin Oriental’s results were impacted primarily by its London hotel renovation, while the contributions from Jardine Cycle & Carriage’s non-Astra interests were lower.
See: Mandarin Oriental 1H17 earnings fall 34% to US$15 mil due to London property renovation works
Non-trading items in the first half represented a gain of US$1.3 billion, primarily US$195 million in respect of profits on property disposals and US$1.1 billion from revaluations of investment properties, compared with a non-trading gain of US$348 million in the first half of 2016.
“Following a first half with good trading performances across the Group, the level of profit growth in the second half is likely to be tempered due to fewer residential completions expected in Hongkong Land and price competition in a number of the group’s automotive markets,” says chairman Sir Henry Keswick.
Shares in Jardine Matheson closed 20 cents higher at US$64 on Friday.
