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Investor FAQs and Presentation
Home > Investor Relations > Sino Land Company Limited > Investor FAQs and Presentation
1. What are your principal business activities?

Our principal business activities comprise:

  • Development of properties for sale;
  • Property rentals;
  • Hotel operations; and
  • Property services, including estate management, cleaning, car park management and security.
2. How did your property sales perform for the year ended 30th June, 2019 ("Financial Year")?
Total revenue from property sales for Financial Year, including property sales of associates and joint ventures recognised by the Group, was HK$2,986.5 million (2017/2018: HK$8,890.5 million). Total revenue from property sales comprises mainly the sales of residential units in Commune Modern in Fanling (98% sold), The Spectra in Yuen Long (99% sold), Marinella (99% sold) and Providence Bay in Pak Shek Kok (99% sold) as well as the sales of carparking spaces in Mayfair By The Sea I and II, The Coronation, The Mediterranean and The Spectra.
 
In respect of the sales of the commercial project at 38 Wai Yip Street in Kowloon East (49% sold), the Group obtained the Certificate of Compliance for the project on 27th June, 2019. In accordance with the Group’s change in accounting policy on revenue recognition from property sales, earnings derived from this project will be recognised in the next financial year.
3. How have been the sales of your major residential projects?

In addition to the sales of residential projects mentioned above, the Group launched three projects, namely Grand Central in Kwun Tong, Mayfair By The Sea 8 in Pak Shek Kok and Madison Park in Cheung Sha Wan for sale during the Financial Year and to date, attributable property sales revenue from these projects amounted to approximately HK$22.4 billion. Details of these projects are summarised below:

Location

Group's
Interest

Usage

Attributable
floor area

(square feet)

Percentage of
units sold (approx.)
as of 29 Aug. 2019

Grand Central
33 Hip Wo Street,
Kwun Tong (South),
Kowloon,
Hong Kong

90%*

Residential

1,346,383

82%

Mayfair By The Sea 8
1 Fo Yin Road,
Pak Shek Kok (East),
New Territories,
Hong Kong

100%

Residential

412,530

76%

Madison Park,
1 Kowloon Road,
Cheung Sha Wan,
Hong Kong

100%*

Residential 

52,571

70%

     

 


1,811,484

 
         
*Joint venture with the Urban Renewal Authority of Hong Kong



4. Which new projects in Hong Kong would be available for launch to the market in second half of 2019?

New projects for potential launches in second half of 2019 are summarised below:

Location
 
Group's Interest
 
     Usage
 

Attributable
floor area

(square feet)

 
24A Kadoorie Avenue
Ho Man Tin,
Kowloon,
Hong Kong
 
100%**   Residential 309,707  
STTL 611
Ma On Shan,
New Territories,
Hong Kong
 
100%   Residential 119,351  
Lot No. 1181 in
Demarcation District No. 215
Sai Kung,
New Territories,
Hong Kong
 
100%   Residential 51,592  
       

 


480,650

 
           
**Joint venture with CLP Holdings Limited

5. How did your property rental business perform for the Financial Year?

Our gross attributable rental income increased 3.8% for the Financial Year to HK$4,239.9 million (2017/2018: HK$4,082.5 million) and net rental income increased 3.1% to HK$3,685.2 million (2017/2018: HK$3,572.0 million).

6. What is the Group's land banking replenishment plan?

The Group will maintain a policy of selectively and continuously replenishing its land bank, which will enable it to strengthen earnings and shareholders' value.
 
Since July 2018, the Group has obtained the right to develop a residential project at LOHAS Park in Tseung Kwan O from the MTR Corporation Limited (“MTRCL”) and acquired 30% equity interest in a commercial project in Qianhai, Shenzhen and a development site in Cheung Sha in Lantau Island. Total attributable floor area is approximately 0.65 million square feet. Details of the projects are as follows:


Location

Group's
Interest

Usage

Attributable
floor area

(square feet)

 
Site C2 of The Remaining Portion
of Tseung Kwan O Town Lot No. 70
LOHAS Park Package Eleven
Property Development,
Tseung Kwan O,
New Territories,
Hong Kong
 
Joint Venture*** Residential 382,587  
Lot No. T102-0261
Land Parcel 03, Unit 7,
Qianwan Area,
Qianhai, Shenzhen-Hong Kong
Modern Service Industry
Cooperation Zone,
Shenzhen,
PRC
 
30% Commercial 258,336  

Lot No. 765 in
Demarcation District No. 332
South Lantau Road,
Cheung Sha,
Lantau Island,
New Territiories
Hong Kong

100%

Residential
 

11,582

 
     

 


652,505

 
         
***Joint venture with MTRCL        
7. What is your development pipeline in Mainland China?
As at 30th June, 2019, the Group has approximately 4.3 million square feet currently under development. These projects included 100% interest in Dynasty Park in Zhangzhou, 50% interest in a serviced apartment project in Qianhai and 20% interest in The Palazzo in Chengdu.

Subsequent to the Financial Year, the Group acquired 30% equity interest in a new commercial development site located in Qianwan Area in Qianhai in July 2019. Including this site, total attributable floor area for the projects under development would be approximately 4.5 million square feet.
8. What hotels do you have?

Our hotels comprise The Fullerton Hotel Singapore, The Fullerton Bay Hotel Singapore, The Olympian Hong Kong in West Kowloon, 50% interest in The Westin Sydney and 30% interest in Conrad Hong Kong.

9. What is your gearing and financial position?

As at 30th June, 2019, the Group had cash and bank deposits of HK$39,073.9 million. After netting off total borrowings of HK$5,026.7 million, the Group had net cash of HK$34,047.2 million as at 30th June, 2019. Cash and undrawn committed credit facilities (including attributable share of associates and joint ventures) as at 30th June, 2019 were approximately HK$44,284.1 million enabling the Group to acquire land with good development value. With a good financial position and sustainable business strategy, the Group is well placed to respond to the changing economic environment and upcoming challenges.

10. With your low gearing and strong financial position, how do you intend to use your cash?

We target to deploy our cash for the following purposes:

  • To replenish our land bank in both Hong Kong and China with a focused and selective approach for projects that have good development value;
  • To pay a stable dividend to our shareholders; and
  • To buy back shares of Sino Land

  Investor Presentation