Asia300

New World Development Co. Ltd.

Hong Kong

  • 1m
  • 3m
  • 6m
  • 1y
  • 2y
  • 5y
Nov 23, 2017
Prev close: 11.4
Nov 23, 2017
Market cap:
Market cap(USD):
112,136.76M
14,360.23M
Shares: 9,836.55M

Currency in HKD

Company profile

Market(Ticker): HKG(17)
Sector:
Industry:
Finance
Real Estate Development
Full time employees: 44,000

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 2017

  • Local currency
  • US Dollar
Revenue 58,863.5M
Gross profit 20,450.3M
Operating income 9,406.3M
Income before tax 15,230.3M
Net income 7,675.7M
EBITDA 13,446.4M
Diluted EPS 0.8
Dividends per share 0.46
Total assets 437,056.3M
Total liabilities 225,563.6M
Total equity 186,091.2M
Operating cash flow 3,335.6M

Currency in HKD

Revenue 7,580.12M
Gross profit 2,633.48M
Operating income 1,211.29M
Income before tax 1,961.27M
Net income 988.43M
EBITDA 1,731.55M
Diluted EPS 0.10
Dividends per share 0.05
Total assets 55,986.56M
Total liabilities 28,894.51M
Total equity 23,838.13M
Operating cash flow 429.54M

Currency in USD

Valuation measures

Jun 2017

PER 12.38
ROA 1.85%
ROE 4.19%
Operating margin 15.97%
Profit margin 13.03%

Key executive

  • Chairman & Managing Director: Kar Shun Cheng
  • Executive Vice Chairman & General Manager: Chi-Kong Cheng
  • Executive Director, Head-Finance & Accounts: Tak-Cheong Au
  • Senior Director-Sales & Marketing: Woon Melvin Yeo
  • Secretary, Legal & Company Secretarial Department: Man-Hoi Wong

Share holders

  • Cheng Yu Tung Family Ltd.(44.1%)
  • The Vanguard Group, Inc.(1.6%)
  • BlackRock Fund Advisors(1.1%)
  • Norges Bank Investment Management(0.9%)
  • State Street Global Advisors Asia Ltd.(0.6%)
  • Dimensional Fund Advisors LP(0.5%)
  • BlackRock Advisors (UK) Ltd.(0.5%)
  • JPMorgan Whitefriars (UK)(0.5%)
  • APG Asset Management NV(0.5%)
  • Thornburg Investment Management, Inc.(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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