Asia300

New World Development Co. Ltd.

Hong Kong

  • 1m
  • 3m
  • 6m
  • 1y
  • 2y
  • 5y
Apr 21, 2017
Prev close: 9.64
Apr 21, 2017
Market cap:
Market cap(USD):
93,395.3M
12,010.7M
Shares: 9,688.31M

Currency in HKD

Company profile

Market(Ticker): HKG(17)
Sector:
Industry:
Finance
Real Estate Development
Full time employees: 45,000

Business summary

New World Development Co. Ltd. operates as an holding company, which engages in the property development and investment businesses. It operates through the following business segments: Property Development, Property Investment, Service and Infrastructure, Hotel Operations, Department Stores and Others. The Property Development segment focuses on the residential usage of company properties in China and Hong Kong. The Property Investment segment handles lands and buildings that are for lease or rent. The Service segment comprises of facilities management, contracting and transport, and strategic investments. The Infrastructure segment includes development of roads and ports, and energy, water and logistics projects. The Hotel Operations segment manages major hotel projects in Hong Kong, namely, Grand Hyatt Hong Kong, Hyatt Regency Hong Kong, Tsim Sha Tsui, Hyatt Regency Hong Kong, Sha Tin and Renaissance Harbour View Hotel. The Department Store segment operates department store retail chain in China. The Others segment includes media and technology businesses. The company was founded on May 29, 1970 and is headquartered in Hong Kong.

Company background

New World Development is a Hong Kong conglomerate mainly focused on property development, hotels, department stores, infrastructure and services. The company operates businesses in more than 50 cities in Asia with a total asset value of 300 billion Hong Kong dollars ($39.4 billion).

It owns three listed companies -- New World China Land, NWS Holdings and New World Department Store China. The company is expanding its businesses in mainland China, investing $16 billion in more than 20 provinces across the country.

New World Development plans to improve the efficiency of the group's hotel operations. In 2015, it sold interests in three upscale hotels to a joint venture with Abu Dhabi Investment Authority for HK$18.5 billion. The hotels are Grand Hyatt Hong Kong, Renaissance Harbour View, and Hyatt Regency TST.

Hong Kong billionaire Henry Cheng Kar-shun became chairman of New World Development in 2012. His family holds a 42% stake in the company as the largest shareholder. He also leads Chow Tai Fook Jewellery Group, Hong Kong's largest jewelry retailer.

In the news

Financial highlights

Jun 2016

  • Local currency
  • US Dollar
Revenue 61,892.5M
Gross profit 20,844.9M
Operating income 9,488.2M
Income before tax 16,046.6M
Net income 8,666.3M
EBITDA --
Diluted EPS 0.95
Dividends per share 0.44
Total assets 392,108.6M
Total liabilities 191,213.3M
Total equity 179,573.4M
Operating cash flow 3,086.6M

Currency in HKD

Revenue 7,976.39M
Gross profit 2,686.38M
Operating income 1,222.79M
Income before tax 2,068.00M
Net income 1,116.86M
EBITDA --
Diluted EPS 0.12
Dividends per share 0.05
Total assets 50,542.81M
Total liabilities 24,647.40M
Total equity 23,147.01M
Operating cash flow 397.78M

Currency in USD

Valuation measures

Jun 2016

PER 8.26
ROA 2.19%
ROE 4.83%
Operating margin 15.33%
Profit margin 14.00%

Key executive

  • Chairman & Managing Director: Kar Shun Cheng
  • Executive Vice Chairman & Joint General Manager: Chi Kong Cheng
  • Joint General Manager & Executive Director: Guan Zhan Chen
  • Executive Director, Head-Finance & Accounts: Tak Cheong Au
  • Senior Director-Sales & Marketing: Melvin Yeo Woon

Share holders

  • Cheng Yu Tung Family Ltd.(44.2%)
  • The Vanguard Group, Inc.(1.3%)
  • BlackRock Fund Advisors(0.9%)
  • Norges Bank Investment Management(0.9%)
  • Hang Seng Investment Management Ltd.(0.6%)
  • Dimensional Fund Advisors LP(0.6%)
  • State Street Global Advisors Asia Ltd.(0.6%)
  • JPMorgan Whitefriars (UK)(0.5%)
  • DOO WAI HOI(0.4%)
  • APG Asset Management NV(0.4%)

Address

  • Website: http://www.nwd.com.hk
  • Address: 30/F, New World Tower, 18 Queen's Road Central, Hong Kong, Hong Kong
  • Phone: +852.2523.1056

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