Sino Land profit rises 14% as property losses narrow, but core earnings fall

Developer adds to land bank despite pressure on mall rents, as e-commerce and outbound travel reshape Hong Kong’s retail market

Sino Land’s annual profit rose 14 per cent as losses on its investment properties narrowed, although a decline in underlying earnings pointed to continued pressure on its core business.

Net profit attributable to shareholders rose to HK$4.59 billion (US$585 million) in the year ended June 30, from HK$4.02 billion a year earlier, the Hong Kong developer said on Tuesday. Losses from the revaluation of investment properties narrowed to HK$192 million from HK$1.08 billion.

Strip out those valuation changes, however, and the picture was less upbeat. Underlying profit fell 6.4 per cent to HK$4.79 billion.

The divergence was also evident in Sino’s investment property portfolio. Occupancy edged up to 90 per cent from 89.6 per cent a year earlier, while attributable gross rental revenue fell 1.5 per cent to HK$3.43 billion.

“While Hong Kong’s overall retail sales have shown steady signs of recovery since May 2025, the growth in e-commerce continued to outpace that of traditional retail channels,” Sino said.

“Coupled with the persistently high level of outbound travel by local residents during extended holidays, the recovery has yet to translate meaningfully into rental income growth across the Group’s major shopping malls.”