CKS H1 2026 Net Profit Jumps 37.6% on Higher Passenger Traffic and Associate Gains

Bulletin Express
Aug 27

Chu Kong Shipping Enterprises (Group) Company Limited (CKS) reported a 37.6% year-on-year rise in profit attributable to shareholders to HK$36.68 million for the six months ended 30 June 2026. Total profit advanced 21.9% to HK$39.67 million, despite a 2.2% decline in consolidated revenue to HK$1.30 billion. Basic earnings per share increased to 3.27 HK cents from 2.38 HK cents.

Gross profit narrowed 39.1% to HK$50.62 million as cost of services remained largely flat, but other income grew 30.7% to HK$135.53 million. Contributions from joint ventures and associates improved to HK$26.20 million (H1 2025: HK$13.57 million), offsetting a HK$9.36 million net loss recorded under “other gains/losses,” which included a HK$5 million impairment on an associate.

Segment overview • Cargo Transportation: Revenue fell to HK$668.56 million, yet pre-tax profit rose 42.2% to HK$6.81 million on tighter cost control. Volume declined 11.8% to 529,000 TEUs. • Cargo Handling & Storage: Revenue was HK$196.30 million and pre-tax profit surged 49.4% to HK$23.59 million. Container throughput held at 540,000 TEUs; bulk handling climbed 2.5% to 4.46 million tons. • Passenger Transportation: Revenue slipped 0.3% to HK$184.63 million while pre-tax profit rose 15.3% to HK$11.38 million. Passenger agency volume grew 16.2% to 932,000 trips; local ferry patronage was broadly flat at 5.74 million. • Fuel Supply: Revenue increased 38.3% to HK$230.84 million; pre-tax profit reached HK$3.09 million. Diesel sales dropped 7.1% to 39,000 tons, but lubricant sales and external customer expansion mitigated the decline. • Corporate & Others: Revenue was HK$17.23 million; pre-tax profit fell to HK$1.28 million after a HK$5 million associate impairment.

Cash flow and balance sheet Cash and cash equivalents stood at HK$967.27 million, representing 15.4% of total assets. The current ratio improved to 1.6x (FY-end 2025: 1.3x) and net current assets rose to HK$648.31 million. Total borrowings increased to HK$754.60 million, pushing the gearing ratio to 17.3% from 14.8%. Capital commitments contracted to HK$72.43 million from HK$297.88 million.

Dividend The board declared an interim dividend of HK 1 cent per share, unchanged from last year, payable on or around 23 October 2026 to shareholders on record as of 25 September 2026.

Operational highlights • Logistics: A new Hong Kong–Singapore block-space air-freight service and customised Tuen Mun warehouse projects supported growth. • Ports & Terminals: Longtouzhai and Sanbu New Port commenced operations, broadening the inland terminal network. • Passenger Services: Sun Ferry secured a five-year licence renewal and expanded IP-themed sightseeing offerings; Oriental Pearl’s Victoria Harbour cruise passengers surged 56.3%. • “Belt and Road”: Southeast Asian logistics volumes grew sharply, led by 38.6% growth in Singapore and 86.2% in Malaysia.

Outlook Management will focus on “deepening presence in Hong Kong and Macao, expanding overseas, and enhancing quality and efficiency,” with priority on air-freight, e-commerce and industrial logistics, tailored port strategies, IP-driven passenger products, and Southeast Asian expansion.

No material acquisitions, disposals, contingent liabilities or share buy-backs were recorded during the period. The interim results were reviewed by the audit committee and the external auditor.

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