CK Hutchison Holdings on Thursday reported an over 30-fold increase in its profit for the first half of the year, driven by substantial gains from its recent asset disposals as well as strong performances in its ports and retail businesses.

The Hong Kong conglomerate said that profit attributable to shareholders between January and June was HK$26.8 billion, compared to the HK$852 million a year ago.

Excluding the gains from the one-off items and disposals of UK telecoms assets, underlying profits rose by seven percent year on year to HK$12.6 billion during the six-month period.

Revenues, meanwhile, came in at HK$255.4 billion, up six percent year on year from the HK$240.7 billion seen a year ago.

Speaking in a statement, the group's chairman, Victor Li, noted that the gains came amid an "exceptionally turbulent and uncertain" global environment, where the geopolitical tension led by the US-Iran war disrupted shipping in the Strait of Hormuz and caused volatilities in commodity prices.

Looking ahead, he expects the operation environment in the second half of the year to remain challenging, adding that the group would adopt a cautious approach during the period.

"With demand in certain segments expected to soften, the group’s core businesses will keep a heightened focus on cost and cash flow management in order to respond nimbly to conditions in their markets as they develop," he said.

"The group will also maintain its disciplined capital allocation to support its strong financial and liquidity profile," he added.

The group declared an interim dividend of HK$0.7455 per share, up from the HK$0.7100 per share seen last year.

The company said its liquidity and financial profile was significantly strengthened through the disposals of UK Rails and UK Power Network in the first half of the year.

The group's ports division, meanwhile, reported a four percent rise in sales to HK$24.52 billion, as well as an eight percent rise in storage income largely contributed by Oman and Pakistan.

The group's retail business saw revenue climb nine percent to HK$107.7 billion, lifted by robust performances across most health and beauty segments, as well as the "strong recovery" in its Hong Kong retail operations.

Separately, profit at CK Asset Holdings, the group's other flagship firm that focuses on residential and commercial property, recorded a 37.8 percent annual increase in net profit during the period, reaching HK$8.68 billion.

Underlying profit at the company climbed by about five percent to HK$6.64 billion.

The commercial and residential developer declared an interim dividend of HK$0.41 per share.


Edited by Aaron Tam