Managemen t D i s cu s s i on and Ana l y s i s
New World Development Company Limited
36
In FY2016, NWD recorded consolidated revenue of HK$59,570.0 million, while profit attributable to shareholders of the
Company amounted to HK$8,666.3 million, up 7.8% and down 54.7% respectively year-on-year. The decrease in profit
attributable to shareholders of the Company was mainly due to 1) one time gain on the disposal of 50% interest of three HK
hotels recorded in FY2015; 2) RMB depreciation led to the net exchange loss recorded in FY2016. The Group’s underlying
profit amounted to HK$9,662.2 million, up 42.7% year-on-year.
Total segment results (including share of results of joint ventures and associated companies but excluding changes in fair
value in investment properties) amounted to HK$13,997.5 million, down 3.8%.
For the year ended 30 June 2016, the Group’s EBITDA amounted to HK$9,857.1 million, of which HK$5,055.0 million
(representing 51.3%) was attributable to operations in Hong Kong and HK$4,802.1 million (representing 48.7%) was
attributable to operations in Mainland China and other regions (note 6 on page 141).
Revenue — analysed by business segment
FY2016
FY2015
Year-on-year
HK$m
HK$m
change
Property development
28,527.9
25,681.9
11.1%
Property investment
2,492.3
2,401.5
3.8%
Service
19,903.5
15,844.0
25.6%
Infrastructure
2,444.0
2,470.7
(1.1%)
Hotel operations
1,762.3
4,060.8
(56.6%)
Department stores
3,550.2
3,913.0
(9.3%)
Others
889.8
873.1
1.9%
Total
59,570.0
55,245.0
7.8%
The growth in the Group’s revenue for FY2016 reflected primarily the increase in revenue contributions from the property
development segment and the service segment, which were up 11.1% and 25.6%, respectively.
The property development segment reported a solid 11.1% growth in revenue. Major contributors included “THE PAVILIA
HILL”, North Point and “Double Cove Starview Prime” and “Double Cove Grandview”, Ma On Shan in Hong Kong, as well as
“Shenzhen New World Yi Shan Garden”, “Shenzhen New World Signature Hill”, “Guangzhou Covent Garden”, “Guangzhou
Park Paradise” and “Shenyang New World Garden” in Mainland China.
Revenue from the service segment also increased substantially by 25.6%, driven mainly by surging business volume for the
construction operations.
The property investment segment also reported stable growth in revenue, which was up by 3.8%. Nevertheless, in the hotel
operations segment, three hotels in Hong Kong (namely, Grand Hyatt Hong Kong, Renaissance Harbour View Hotel and Hyatt
Regency Hong Kong, Tsim Sha Tsui) were no longer accounted for as subsidiaries of the Group following the disposal of 50%
interests in each of the said hotels to Abu Dhabi Investment Authority. Henceforth, the revenue of these three hotels is
excluded. If include revenue of these hotels, the revenue of hotel operations should be HK$3,890.3 million. A decrease of
4.2% year-on-year was mainly due to the disposal of the hotel management business during the year.
