Lai Sun Development Company Limited (“Lai Sun Development”, together with its subsidiaries, the “Group”) has reported its final results for the financial year ended 31 July 2025. The Group maintains interests in eSun Holdings Limited (“eSun Group”) and Lai Fung Holdings Limited (“Lai Fung Group”), among other businesses. Key points are as follows:

The Group recorded a net loss attributable to owners of the Company of HK$2,874.3 million, narrowing from the HK$3,674.7 million loss posted last financial year. The smaller loss reflected reduced impairment charges on certain assets, lower depreciation expenses due to previous impairments, lower fair value losses on investment properties, and reduced finance costs. However, lower contributions from property sales and film/TV operations, coupled with increased joint venture losses, partially offset these gains.

Rental income from the Group’s directly held properties reached HK$1,201.2 million, a 5.0% decline year-on-year. High occupancy levels were maintained in key locations in Hong Kong and Mainland China, although market conditions remained challenging. The Group’s hotel segment achieved turnover of HK$1,243.8 million, reflecting growth primarily attributable to Caravelle Hotel in Ho Chi Minh City.

Property sales amounted to HK$885.0 million, mainly driven by residential sales in Hong Kong (including The Parkland project in Yuen Long and Bal Residence in Kwun Tong) and to a lesser extent from Lai Fung Group’s sales. The Group also reaffirmed plans to dispose of assets worth HK$8,000 million, including HK$2,000 million at Lai Fung Group, over the next two years to further strengthen liquidity.

Finance costs declined by 17.0% to HK$1,124.9 million, aided by lower borrowing rates, reduced average borrowing balances, and refinancing at lower interest rates. Excluding eSun Group and Lai Fung Group, the Group’s total capital resources were HK$3,213.9 million against HK$6,117.5 million of short-term bank borrowings, of which HK$3,060.0 million has already been refinanced under a new syndicated loan.

Looking ahead, the Group highlighted ongoing negotiations with potential buyers for certain assets, the continued management of non-property segments to contain costs, and proactive refinancing strategies to secure stability. No final dividend was declared for the year, and total borrowings stood at HK$25,377.8 million as of 31 July 2025.