Hong Kong-based conglomerate Jardine Matheson Holdings J36 (JMH) has reported underlying net profit of US$550 million ($736 million) for 1HFY2024, down 33% y-o-y.
This significant drop principally reflected a weaker contribution from Hongkong Land, mainly due to non-recurring impairments taken against certain development projects on Mainland China.
JMH’s underlying profit before the impairments at Hongkong Land was down 14% y-o-y. This reflected headwinds from lower commodity prices at Astra and lower new car margins on the Chinese mainland; as well as marginally lower underlying profits in most other businesses amid challenging conditions, partially offset by significantly improved performance at DFI Retail.
Underlying earnings per share decreased by 33% y-o-y to US$1.91.
Revenue was down 5% to US$17.28 billion, compared to US$18.2 billion in the same period last year.
JMH has announced an interim dividend of 60 US cents per share, unchanged from the prior year.
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In its outlook, executive chairman Ben Keswick says the company continues to expect its full-year results to be “modestly below” those of 2023.
“The group has a strong balance sheet and under leadership strengthened by new CEOs in four of its portfolio companies, will focus on delivering sustainable long-term value and growth from its growing markets in Asia,” he adds.
Shares in JMH closed 1 cent lower on Aug 1 at US$35.19.
