Hong Kong – SFK Construction Holdings Limited (SFK) reported 2025 revenue of HK$4.63 billion, edging up 0.39% year on year, while net profit attributable to shareholders contracted 42.40% to HK$15.99 million. Basic earnings per share dropped to 4.00 cents from 6.90 cents.
Gross profit was broadly unchanged at HK$101.92 million, holding the gross margin at 2.20%. Administrative expenses fell 5.48% to HK$65.78 million, but higher finance costs of HK$18.99 million (+13.54%) eroded operating gains, reflecting a larger average loan balance and elevated interest rates.
Segment performance showed revenue from general building works declining 6.00% to HK$3.42 billion, representing 73.83% of group turnover, while civil engineering revenue jumped 32.63% to HK$995.20 million, lifting its contribution to 21.51%. Other services generated HK$215.97 million, or 4.67% of total revenue.
Order-book momentum remained solid: SFK secured 16 new contracts during 2025 with an aggregate original contract value of HK$7.18 billion, and held 37 projects on hand worth HK$25.60 billion at year-end, of which HK$15.90 billion was outstanding.
The balance sheet showed cash and cash equivalents of HK$202.35 million and bank loans of HK$470.00 million, raising the gearing ratio to 126.72% (2024: 80.83%). Net current assets stood at HK$327.56 million, and undrawn banking facilities totalled approximately HK$580 million.
The Board recommended a final dividend of 2.0 HK cents per share, halving the prior-year payout and following the absence of an interim dividend (2024 interim: 3.0 cents). Subject to shareholder approval at the 15 May 2026 AGM, the dividend will be payable on or about 12 June 2026 to shareholders on record as of 28 May 2026.
SFK also proposed amendments to its bye-laws to facilitate electronic and hybrid shareholder meetings, subject to a special resolution at the forthcoming AGM.
Management cited continued public-sector infrastructure and housing demand as supportive factors for the 2026 outlook, while reaffirming a conservative treasury stance amid higher borrowing costs.