The MTR Corporation on Thursday said annual net profit fell more than 20 percent to HK$7.8 billion in 2023, dragged down by a fall in the value of its property investments.

However, total revenue for the year rose 19.2 percent to almost HK$57 billion.

According to a statement from the corporation, profits from its investment in property development nosedived 80.1 percent to about HK$2 billion.

Profits from its recurrent businesses, however, jumped to nearly HK$4.3 billion, compared with the HK$160 million seen in 2022.

The group attributed the surge to a recovery in domestic patronage following the resumption of cross-border rail services, as well as related duty-free businesses.

“Recovery was especially strong in high-speed rail,” the group said, adding that more than 20 million high-speed rail trips were made in 2023, which marked a record high.

The group proposed a final dividend of HK$0.89 per share, bringing the total full-year dividend in 2023 to HK$1.31 per share, the same as that of 2022.

“Moving forward, we intend to capitalise on the momentum gained in 2023 to help propel MTR and Hong Kong towards a new era of growth,” said the group’s chief executive Jacob Kam.

“In the short term, we expect to continue dealing with a volatile global economic environment fraught with issues such as geopolitical dynamics, inflationary pressures and high interest rates,” he said.

“To counter these challenges, we will keep practising prudent cost management while seeking out smart technologies and innovations that can help make our railway operations and maintenance even more efficient.”

Kam said the group is “closely monitoring market conditions” and “reviewing tendering of property development projects” following the scrapping of property market cooling measures by the government.

The corporation said it expects to re-tender its Tung Chung East Station Package 1 in the coming year, while pushing forward 14 residential real estate development projects.

Earlier on Thursday, the government announced that it had reappointed Dr Rex Auyeung as chairman of the MTR Corporation for another 1.5 years from July 1.

Auyeung has been in the role since July 2019.