Grand Ming Group Holdings Limited Archives

Grand Ming Group Announces Interim Results for the Six Months Ended 30 September 2024

Highlights

– Revenue amounted to HK$683.7million, an increase of 257% from the last corresponding period.
– Net profit for the period was HK$52.6 million, representing a decrease of 52.7%.
– The Board resolved not to declare any interim dividend for FH 2024/25.
– Develop the two new data centres iTech Tower 3.1 and 3.2 in Fanling in good shape.
– Continue to sell the remaining units of The Grand Marine and Cristallo.

Grand Ming Group Holdings Limited (the Company and together with its subsidiaries, the Group, stock code: 1271.HK) today announces its interim results for the six months ended 30 September 2024 (FH 2024/25).

The Group’s consolidated revenue increased by 257% from HK$191.7 million for the six months ended 30 September 2023 (“FH 2023/24”) to HK$683.7 million for FH 2024/25. The Group recorded a net profit of HK$52.6 million for FH 2023/24, representing a decrease by 52.7% when compared to that of HK$111.1 million for FH 2023/24. Basic earnings per share was 3.7 HK cents (FH2022/23: 7.8 HK cents). The Group’s underlying profit for FH 2024/25, excluding the effect of the change in fair value of investment properties, amounted to HK$27.0 million, representing an increase of 19.8 times as compared to an underlying profit of HK$1.3 million for FH 2023/24. Increase in revenue and underlying profits were mainly attributable to increase in units of “The Grand Marine” and “The Grands” completed and handed over to buyers during the period under review.

With challenging market landscape and adhering to prudent financial management, the Board resolves not to declare any interim dividend for FH 2024/25.

The Group has demonstrated a high level of expertise in initiating and executing property development projects. At present, the Group’s completed property projects for sale include “The Grand Marine” at Tsing Yi, “The Grands” at To Kwa Wan, and “Cristallo” at Kowloon Tong.

The residential development project “The Grand Marine” is located at No. 18 Sai Shan Road, Tsing Yi, the New Territories. It offers 776 units with a total gross floor area of approximately 400,000 square feet. Market response was overwhelming with all typical units being sold and only a few special units remained available for sale. During the period under review, around 4% (in terms of units) of the total units were handed over to buyers with related revenue recognised in FH 2024/25.

The residential-cum-commercial development project “The Grands”, located at No. 45 Pau Chung Street, To Kwa Wan, Kowloon in close proximity to MTR To Kwa Wan station, provides 76 residential units with commercial shops on the ground and first floor covering a total gross floor area of approximately 31,000 square feet. This project was also well received and all residential units had been sold. During the period under review, around 18% (in terms of units) of the residential units were handed over to buyers with related revenue recognised in FH 2024/25.

The luxury residential project at No. 279 Prince’s Road West, Kowloon, namely “Cristallo”, was well received in the market. Cumulatively 15 out of the total 18 units had been sold. In November 2024, one apartment was sold and completion of the sales is scheduled to take place in November 2025.

The Group continued to execute its two property development projects located at No.1 Luen Fat Street, Fanling, and No. 66 Fort Street and No. 57 Kin Wah Street, North Point respectively.

The site situated at No.1 Luen Fat Street, Fanling, the New Territories, is developing into a 17-storey residential-cum-commercial tower plus two-level underground car park with a total gross floor area of approximately 36,000 square feet. Superstructure works has been progressing well and the development is scheduled to be completed in or around mid-2025. In September 2024, the Group accepted the offer from the Lands Department in respect of the land premium for the proposed in-situ land exchange. A deposit of the same was subsequently paid in October 2024.

The project in North Point comprises two sites at No. 66 Fort Street and No. 57 Kin Wah Street, North Point, Hong Kong, with a total gross floor area of approximately 30,000 square feet. The site at No. 57 Kin Wah Street will be developed into a 27-storey residential tower, while the site at No. 66 Fort Street will be developed into a single-storey commercial shop. Foundation works is in progress and the project is expected to be completed in or around the second half of 2027.

The balanced portfolio development initiative also includes geographical footprint expansion. The Group’s development project in Mainland China is located in the Guangxi-ASEAN Economic and Technological Development Zone, Wuming District, Nanning City, Guangxi Province, with a gross floor area of approximately 1,435,000 square feet. It will develop into a luxury residential project with a leisure and healthy lifestyle theme, comprising high-rise apartments and villas, complemented by facilities including commercial and a wellness centre. It will target at the elderly, retirees and their families. Superstructure works of the high-rise apartments and basement construction works for the remaining part of the site are now underway. The development is expected to be completed in or around the second half of 2026.

The data centre leasing business sustain a steady development. The Group currently owns two data centres, iTech Tower 1 and iTech Tower 2. Revenue from its leasing business increased by 4.3% year on year to HK$139.0 million. This was mainly due to increasing power consumption by customers.

Construction works of the two new data centres in Fanling, the New Territories, namely iTech Tower 3.1 and iTech Tower 3.2, are progressing well. For iTech Tower 3.1, installation of the electrical and mechanical equipment and internal fitting out works are now underway. This data centre is scheduled for phased delivery starting mid-2025. For iTech Tower 3.2, foundation works had completed and superstructure works has commenced. This development is scheduled to be completed in or around 2026.

Mr. Chan Hung Ming, Chairman and Executive Director of Grand Ming Group Holdings concluded, “Our successful business evolution and transformation into a property development company gives us the confidence to address macro trends and market dynamics in a challenging economic environment. Our balanced operating and property portfolio, demand-driven development pipeline, committed management and continuous evolutionary mindset position us well to weather the current volatility while staying the course to drive future growth and value creation.”

“The economic landscape remains challenging and highly volatile. The geopolitical tension, Sino-US relations and trends of interest rates pose considerable uncertainty in the economy outlook. Despite of these uncertainties, we remain steadfast in our strategy and cautiously optimistic of the medium and long term prospects of the Hong Kong and Mainland property market. We will focus on the completion and delivery of our development projects. Furthermore, we will closely monitor the market changes and continue to market the remaining units of ‘The Grand Marine’ and ‘Cristallo’. We also relentlessly focus in managing our financial resources and position, including cash flow generation from our business operations and the gearing level, as well as explore refinancing opportunities that will enhance the Group’s financial position to pursue a long-term sustainable growth and development. Meanwhile, we have initiated the preparatory works for the pre-sale of Fanling Luen Fat Street residential project, which is scheduled to take place in the second half of 2025.”

“We are on the right track to seize the opportunities of the era for the emergence and widespread use of AI which gives rise to an increasing demand for data centre with hyperscale facilities. iTech Tower 3.1 and 3.2 have been designed to cater for AI workloads and cloud computing. We are working diligently with the customer to ensure delivery of the data centre of iTech Tower 3.1 meets their requirement. Besides, discussion with potential customer for leasing iTech Tower 3.2 has commenced. At the same time, we maintain our commitment of delivering reliable services and support to our customers of iTech Tower 1 and 2, and maintaining and upgrading the mechanical and electrical provisions in these two data centres so as to keep abreast of the technological trends and changes.”

About Grand Ming Group Holdings Limited (Stock code: 1271.HK)
The Group is principally engaged in the business of property development and property leasing, as well as building construction. As a local wholesale co-location provider of high-tier data centres, the Group is one of the dedicated service providers in Hong Kong which owns and uses the entire building for leasing to customers for data centre use. Its clientele includes multinational data centre operator, telecommunications company and financial institutions. The Group owns two high-tier data centre buildings, namely iTech Tower 1 and iTech Tower 2. It also acquired two pieces of land in Fanling, the New Territories for developing into two high-tier data centres which have been named as iTech Tower 3.1 and 3.2. Furthermore, the Group’s property development projects for sale include “The Grand Marine” at No.18 Sai Shan Road, Tsing Yi, “The Grands” at No. 45 Pau Chung Street, To Kwa Wan and “Cristallo” at No. 279 Prince’s Edward Road West. Besides, property development in progress includes a site located at No.1 Luen Fat Street, Fanling and a site located at No. 66 Fort Street and No. 57 Kin Wah Street, North Point. In Mainland China the Group owns a piece of land at Guangxi-ASEAN Economic and Technological Development Zone, Wuming District, Nanning City, Guangxi Province for development into a luxury residential project under the theme of leisure and healthy lifestyle.

Media Contacts:
Angel Yeung | Jovian Communications Ltd |Email: news@joviancomm.com

Grand Ming Group Holdings Limited Announces Annual Results for the Year Ended 31 March 2024

Revenue Declined by 89.4% to HK$532.7 Million
Net Profit for the Year Decreased by 76.6% to HK$298.5 Million

Highlights
– Revenue amounted to HK$532.7 million, a decrease of 89.4% from the previous financial year.
– Net profit for the year was HK$298.5 million, representing a decrease of 76.6%.
– Strive to develop the two new data centres in Fanling.
– Continue to sell the remaining units of The Grand Marine and Cristallo.

Grand Ming Group Holdings Limited (the Company and together with its subsidiaries, the Group, HKG: 1271) today announces its annual results for the year ended 31 March 2024 (FY 2023/24).

In FY 2023/24, consolidated revenue amounted to HK$532.7 million (FY 2023/24: HK$5,004.6 million), representing a decline of 89.4% as compared to FY 2023/24. The consolidated gross profit also decreased 91.5% to HK$168.6 million (FY 2023/24: HK$1,987.8 million). These are primarily due to a substantial decrease in the number of properties sold from property development projects during the year under review. Net profit for FY 2023/24 decreased by 76.6% to HK$298.5 million (FY 2023/24: HK$1,275.5 million). Excluding the change in fair value of investment properties, the Group recorded an underlying loss of HK$85.7 million in FY 2023/24, as compared to an underlying profit of HK$1,299.3 million in FY 2023/24.

A final dividend for the year ended 31 March 2023 of 5.0 HK cents per share and a special dividend of 15.0 HK cents per share were paid to the shareholders of the Company on 18 September 2023. An interim dividend for the six months ended 30 September 2023 of 4.0 HK cents per share was paid to Shareholders on 20 December 2023. With challenging market landscape, the Board does not recommend payment of a final dividend for the year ended 31 March 2024.

The Group has demonstrated a high level of expertise in initiating and executing property development projects. At present, the Group’s property development projects for sale include “The Grand Marine” at No.18 Sai Shan Road, Tsing Yi, and “Cristallo” at No. 279 Prince’s Edward Road West.

The residential-cum-commercial development project “The Grands”, located at No. 45 Pau Chung Street, To Kwa Wan, Kowloon, provides 76 residential units with commercial shops on the ground and first floor covering a total gross floor area of approximately 31,000 square feet. This project was also well received and all residential units had been sold. Around 31% of the units were handed over to the buyers during FY 2023/24.

The Group continued to execute its two property development projects includes a site located at No.1 Luen Fat Street, Fanling and No. 66 Fort Street and No. 57 Kin Wah Street, North Point respectively.

The site situated at No.1 Luen Fat Street, Fanling, the New Territories, is developing into a 17-storey residential-cum-commercial tower with a total gross floor area of approximately 36,000 square feet. The Group had agreed to the provisional basic terms of the proposed in-situ land exchange and is currently negotiating the land premium with the Hong Kong Government. Meanwhile superstructure works is underway and the development is scheduled to be completed in or around mid-2025.

The project in North Point comprises two sites at No. 66 Fort Street and No. 57 Kin Wah Street, North Point, Hong Kong, with a total gross floor area of approximately 30,000 square feet. The site at No. 57 Kin Wah Street will be developed into a 27-storey residential tower, while the site at No. 66 Fort Street will be developed into a single-storey commercial shop. Foundation works are underway and the project is expected to be completed in or around the second half of 2027.

The balanced portfolio development initiative also includes geographical footprint expansion. The Group’s development project in Mainland China is located in the Guangxi-ASEAN Economic and Technological Development Zone, Wuming District, Nanning City, Guangxi Province, with a gross floor area of approximately 1,435,000 square feet. It will be a luxury residential project with a leisure and healthy lifestyle theme, comprising high-rise apartments and villas, complemented by facilities including commercial and a wellness centre. It will target at the elderly, retirees and their families. Superstructure works for the high-rise apartments and basement works for the remaining part of the site are now underway. The development is expected to be completed in or around the second half of 2026.

The Group currently owns two data centres, iTech Tower 1 and iTech Tower 2. Revenue from its leasing business increased by 14.4% year on year to HK$268.8 million. This was mainly due to an overall increase in the amount of space occupied and increased power consumption by customers.

The projects at No. 3 On Kui Street and No. 8 On Chuen Street in Fanling, New Territories are now known as “iTech Tower 3.1” and “iTech Tower 3.2” respectively, with an aggregate gross floor area of approximately 186,000 square feet. The land swap for both sites has been completed and the land premium has been fully settled.

The infrastructure and power supply of both iTech Tower 3.1 and 3.2 are designed to accommodate cloud computing and AI workloads. The superstructure of iTech Tower 3.1 has been completed and the installation of electrical and mechanical equipment and internal fit-out is now underway. During the year, this data centre was committed to a single customer under a long-term contract and is scheduled for phased delivery from mid-2025. Foundation work for iTech Tower 3.2 is well underway and the development is expected to be completed in or around 2026.

“We continue to operate in a challenging environment in the reporting year. The uncertain economic outlook and persistently high interest rates have slowed the recovery of the local economy and property market. On 28 February 2024, the Hong Kong government announced the cancellation of all demand-side management measures for residential property, the suspension of the mortgage stress test and the relaxation of the mortgage loan-to-value ratio. All these measures improved market sentiment and led to an increase in the volume of residential property transactions. Seizing this opportunity, we successfully sold all the units of ‘The Grands’ and most of the remaining units of ‘The Grand Marine’. The proceeds from the property sales were used to replenish the Group’s working capital and to repay existing bank loans. We will continue to sell the remaining units of ‘The Grand Marine’ and ‘Cristallo’. Development of iTech Tower 3.1 and 3.2 is on schedule. We are committed to meeting our customers’ stringent requirements and delivering iTech Tower 3.1 on time. Meanwhile, we are working to secure customers for iTech Tower 3.2. We continue to improve and upgrade the existing facilities at iTech Tower 1 and 2 to provide reliable services and meet customer needs. As construction labour and material costs remain high, our construction team will focus on internal construction projects for our data centre leasing and property development segment.”

About Grand Ming Group Holdings Limited (HKG: 1271)
The Group is principally engaged in the business of property development and property leasing, as well as building construction. As a local wholesale co-location provider of high-tier data centres, the Group is one of the dedicated service providers in Hong Kong which owns and uses the entire building for leasing to customers for data centre use. Its clientele includes multinational data centre operator, telecommunications company and financial institutions. The Group owns two high-tier data centre buildings, namely iTech Tower 1 and iTech Tower 2. It also acquired two pieces of land in Fanling, the New Territories for developing into two high-tier data centres which have been named as iTech Tower 3.1 and 3.2. Furthermore, the Group’s property development projects for sale include “The Grand Marine” at No.18 Sai Shan Road, Tsing Yi, “The Grands” at No. 45 Pau Chung Street, To Kwa Wan and “Cristallo” at No. 279 Prince’s Edward Road West. Besides, property development in progress includes a site located at No.1 Luen Fat Street, Fanling and a site located at No. 66 Fort Street and No. 57 Kin Wah Street, North Point. In Mainland China the Group owns a piece of land at Guangxi-ASEAN Economic and Technological Development Zone, Wuming District, Nanning City, Guangxi Province for development into a luxury residential project under the theme of leisure and healthy lifestyle.

Media Contacts:
Angel Yeung | Jovian Communications Ltd | Email: news@joviancomm.com

Grand Ming Group Holdings Limited Announces Annual Results for the Year Ended 31 March 2023, Reporting a Record-High Revenue and Net Profit

Revenue Increased by 5.1 Times to HK$5,004.6 Million
Net Profit for the Year up 71.7 Times HK$1,275.5 Million
Proposed Final Dividend of 5.0 HK Cents per share
Proposed Special Dividend of 15.0 HK Cents per share in Celebration of the Group’s 10th Anniversary of Listing

Grand Ming Group Holdings Limited (the Company and together with its subsidiaries, the Group, HKG: 1271) today announces its annual results for the year ended 31 March 2023 (FY 2022/23).

Highlights
— Revenue amounted to HK$5.0046 billion, an increase of 5.1 times from the previous financial year.
— Net profit for the year was HK$1.2755 billion, representing an increase of 71.7 times.
— Proposed payment of final dividend of 5.0 HK cents per share and special dividend of 15.0 HK cents per share.
— Stay positive toward lucrative business of owning and operating data centres via upgrading and expanding portfolio of developing two new centres in near future.
— Seize opportunity to increase land reserve for property development in Hong Kong.
— Execute the plan for property development in Nanning, Guangxi Province, China targeting for luxurious senior residential market.

In FY 2022/23, the Group’s consolidated revenue amounted to $5,004.6 million (FY 2021/22: $817.9 million), representing an increase of 5.1 times as compared to FY 2021/22. The consolidated gross profit also increased 31.2 times to $1,987.8 million (FY 2021/22: $61.7 million). These are primarily attributable to recognition of revenue and profits from The Grand Marine upon completion of its sales and handover of the residential units to the customers during the year under review. Net profit for FY 2022/23 grew by 71.7 times to $1,275.5 million (FY 2021/22: $17.5 million). Earnings per share was 89.85 HK cents (FY 2021/22: 1.24 HK cents). Excluding the change in fair value of investment properties, the Group recorded an underlying profit of HK$1,299.3 million in FY 2022/23, as compared to an underlying loss of $75.2 million in FY 2021/22. Underlying earnings per share was 91.53 HK cents (FY 2021/22: underlying loss per share of 5.30 HK cents).

The Group believes a long-term high dividend policy is the best reward for our loyal shareholders. With the solid performance, the Board now recommends to pay a final dividend for FY 2022/23 of 5.0 HK cents per share. To celebrate the Group’s 10th anniversary of listing on the Hong Kong Stock Exchange and express the gratitude to the Company’s shareholders for their continued support, the Board also recommends a special dividend of 15.0 HK cents per share. Together with the interim dividend of 6.0 HK cents per share and special interim dividend of 20.0 cents per share already paid, the total dividends for FY 2022/23 amounted to 46 HK cents per share.

The Group have demonstrated a proficiency in property development project initiation and execution through the successful launch of its first signature property project “Cristallo” which is a luxury residential project sitting at No. 279 Prince’s Road West, Kowloon. As at 31 March 2023, 15 units out of the total 18 units had been sold.

The residential development “The Grand Marine” is located at No. 18 Sai Shan Road, Tsing Yi, the New Territories. It offers 776 units with a saleable area of approximately 345,000 square feet. Pre-sales commenced since November 2019 and were well received by the market with over 92% of the units being sold as of 31 March 2023. Handover of the pre-sold units to buyers commenced in April 2022 following the issuance of the certificate of compliance in March 2022. Sales revenue of HK$4.85 billion was recognised in FY 2022/23.

The Group’s another project “The Grands” is located at No. 41, 43 and 45 Pau Chung Street in To Kwa Wan, Kowloon in close proximity to MTR To Kwa Wan station with a gross floor area of approximately 31,000 square feet. It is being developed into a 22-storey residential-cum-commercial tower with 76 residential units and a resident clubhouse over two levels of shops. Interior fitting-out works of the residential units are substantially completed. Preparation works for the pre-sale of the project are also commenced.

The Group is also developing a site, situated at No.1 Luen Fat Street, Fanling, the New Territories, into a residential-cum-commercial complex with a total gross floor area of approximately 36,000 square feet. The foundation works is underway and the development is scheduled to be completed in mid-2025.

In February 2023, the Group acquired two properties at No.66 Fort Street and No.57 Kin Wah Street, North Point, which cover a site area of approximately 3,240 square feet with a developable gross floor area of approximately 30,000 square feet. Currently, No.57 Kin Wah Street is a vacant land, while No.66 Fort Street has a 5-storey building, which is scheduled to be demolished in the third quarter of 2023. The site is planned to be redeveloped into a residential-cum-commercial project.

The balanced portfolio development initiative also includes geographical footprint expansion. The Group has started to development a site locating at Guangxi-ASEAN Economic and Technological Development Zone, Wuming District, Nanning City, Guangxi Province with a site area of approximately 574,000 square feet. It is planned to be developed into a luxury residential project under the theme of leisure and healthy lifestyle, comprising high-rise apartment units, villas, retail shops and a wellness centre. Target customers will be the elderly and retirees and their families. The estimated gross floor area of the proposed development is approximately 1,100,000 square feet. The Group is in the process of obtaining all necessary document approvals from the relevant government authorities and plans to start construction works later this year.

The data centres operation is a major initiative of balanced development. The Group currently owns two data centres, namely iTech Tower 1 and iTech Tower 2. Revenue from its leasing business maintained a favourable growth, and recorded an increase of 20.5% year-on-year to HK$235.0 million. This was mainly driven by increasing utilisation of data centre spaces by the existing and new customers and increasing rental-related income due to uprise of electricity tariff.

The development of the two new high-tier data centres in the pipleline located in Fanling are well underway. Upon completion of these two new data centres, the Group will increase its portfolio gross floor area by 186,000 square feet.

Mr. Chan Hung Ming, Chairman and Executive Director of Grand Ming Group Holdings concluded, “The year 2023 remains a challenging year for businesses. In tandem with the gradual recovery of the economy at this post-pandemic period, coupled with potential final push of interest rate hike ahead, we consider a cautious vision on our outlook this year is a key for navigating any tough environment. The Group has stayed steadfast to drive the corporate priorities of creating a balanced portfolio for its business structure and segments as well as to broaden the recurring income stream to drive resilience in all-weather economic landscape. Leverage on the strength of our people and leadership bench, we achieve remarkable results in FY 2022/23 with a record-high revenue and net profit, attributed from the completion of sales of The Grand Marine. We will continue the sale of the remaining units of The Grand Marine and Cristallo. We also plan to launch the pre-sales of The Grands in the second half of 2023. The development of the two new high-tier data centres in Fanling are progressing on schedule, and are targeted to be delivered in mid-2025 and mid-2026 to meet strong market demand. Meanwhile, we continue to commit to improving and upgrading the infrastructure of the existing data centres with a view to providing reliable services to our existing customers. With proven track record and a resilient financial position, we continue to identify for suitable development projects on a prudent manner so as to create long-term sustainable value and impactful outcomes for our stakeholder.”

About Grand Ming Group Holdings Limited (Stock code: 1271.HK)
The Group is principally engaged in the business of property development and property leasing, as well as building construction. As a local wholesale co-location provider of high-tier data centres, the Group is one of the dedicated service providers in Hong Kong which owns and uses the entire building for leasing to customers for data centre use. Its clientele includes multinational data centre operator, telecommunications company and financial institutions. The Group operates two high-tier data centre buildings, namely iTech Tower 1 and iTech Tower 2. It also acquired two pieces of land in Fanling, the New Territories for developing into two high-tier data centres. Furthermore, the Group has completed sale of its luxury residential project, Cristallo. At present, the respective property development projects sale and ready to pre-sale in the pipeline include “The Grand Marine” at No.18 Sai Shan Road, Tsing Yi and “The Grands”, which is located at No. 41, 43 and 45 Pau Chung Street, To Kwa Wan. Besides, property development in progress includes a site located at No.1 Luen Fat Street, Fanling and a site located at No.66 Fort Street and No.57 Kin Wah Street, North Point. In Mainland China the Group owns a piece of land at Guangxi-ASEAN Economic and Technological Development Zone, Wuming District, Nanning City, Guangxi Province for development into a luxury residential project comprising high-rise apartments, villas, retail shops and wellness centre with an estimated gross floor area of approximately 1,100,000 square feet.

Media Contacts:
Angel Yeung
Jovian Communications Ltd
Email: news@joviancomm.com

Grand Ming Group Holdings Limited Announces Interim Results for the Six Months Ended 30 September 2022

Profit for the Period Significantly up 19.4 times Reaching HK$1.41 Billion
Declared an Interim Dividend of 6.0 HK Cents per Share

Grand Ming Group Holdings Limited (the Company and together with its subsidiaries, the Group, HKG: 1271) today announces its interim results for the six months ended 30 September 2022 (FH 2022/23).

Highlights

Revenue amounted to HK$4.92 billion, an increase of 7.4 times from the last corresponding period.
Profit for the period was HK$1.41 billion, representing a year-on-year increase of 19.4 times.
Declared payment of an interim dividend of 6.0 HK cents per share.
Stay positive toward lucrative business of owning and operating data centres via expanding portfolio of developing two new centres in near future.
Seize opportunity to increase land reserve for property development in Hong Kong.
Continue to execute the plan for property development in Nanning, Guangxi Province, China.

The Group’s consolidated revenue increased by 7.4 times from HK$586.1 million for the six months ended 30 September 2021 (“FH 2021/22”) to HK$4,920.1 million for FH 2022/23. The Group recorded a net profit for FH 2022/23 was HK$1,410.2 million, representing an increase of 19.4 times when compared to that of HK$69.2 million for FH 2021/22. Earnings per share was 99.3 HK cents (2021: 4.9 HK cents). The Group’s underlying profit for FH 2022/23, excluding the change in fair value of investment properties, amounted to HK$1,414.3 million, representing an increase of 47.4 times as compared to an underlying profit of HK$29.2 million for FH 2021/22. Underlying earnings per share was 99.6 HK cents (2021: 2.1 HK cents).

The significant increase in the Group’s consolidated revenue and net profit in FH 2022/23 was primarily attributable to the handover of the pre-sold units of the residential project namely The Grand Marine to buyers during FH 2022/23.

The Board declares to pay an interim dividend of 6.0 HK cents (2021: 4.0 HK cents) per share, payable on 15 December 2022 to shareholders whose names appear on the Company’s register of members on 2 December 2022.

The Group’s first residential property development project “The Grand Marine” at Tsing Yi, the New Territories consisted of two residential towers with 776 residential units, together with car parks and clubhouse facilities. It provides a saleable area of approximately 345,000 square feet. The property’s pre-sale which began in November 2019 received applauding sentiment and over 92% of the residential units had been pre-sold. The certificate of compliance for The Grand Marine was obtained in March 2022. Handover of the pre-sold units to buyers subsequently commenced in April 2022, with revenue of HK$4.77 billion recognised during FH 2022/23.

The data centre leasing business was in good shape maintaining a healthy growth. Revenue derived from this segment increased by 23.9% to HK$113.9 million in FH 2022/23, primarily driven by the increased utilisation of data centre spaces by existing and new customers. The Group on the other hand executes the plan to expand the data centre network by developing the two greenfield sites at No.3 On Kiu Street and No.8 On Chuen Street in Fanling, the New Territories into two new high-tier data centres with an estimated gross floor area of approximately 185,000 square feet in aggregate. The development is targeted to be delivered in mid-2025 and mid-2026 respectively.

In FH 2022/23, revenue derived from the construction business decreased by 90.2% to HK$29.7 million, which recorded a significant drop due to substantial decrease in revenue recognized during the period under review from the completed construction project at Kai Tak.

The Group’s another development project in its heatmap, located at No. 41, 43 and 45 Pau Chung Street in To Kwa Wan, Kowloon is now named “The Grands”. The site is being redeveloped into a 25-storey residential tower with 76 units and clubhouse facilities over two levels of shops covering a total gross floor area of approximately 31,000 square feet. The topping-out of the superstructure works had been completed and the interior fitting-out works are currently in progress. Preparation works for the pre-sale are also commenced. The project is scheduled to be completed in the first half of 2023.

For the site at No.1 Luen Fat Street, Fanling, the New Territories, the Group plans to develop into a residential-cum-retail complex with a total gross floor area of approximately 36,000 square feet. The land exchange application to convert the use of land is under processing. Foundation works has started, and the development is scheduled to be completed in mid-2025. Upon completion of the redevelopment of the site, the completed properties will be sold to generate revenue for the Group.

The Group’s luxury residential project, CRISTALLO, at No. 279 Prince Edward Road West, Kowloon was well sold. As of September 2022, 15 units out of the total 18 units had been sold.

The Group expands into Mainland China via acquiring its first land parcel through government public auction which is located at Guangxi-ASEAN Economic and Technological Development Zone, Wuming District, Nanning City, Guangxi Province with a site area of approximately 574,000 square feet in July 2021. It is planned to develop the land into a luxury residential project under the theme of leisure and healthy lifestyle, comprising high-rise apartment units, villas, retail shops and a wellness centre. Target customers will be the elderly and retirees and their families. The estimated gross floor area of the proposed development is approximately 1,100,000 square feet. Site investigation had substantially been completed. Application for building plan approval is under preparation.

Mr. Chan Hung Ming, Chairman and Executive Director of Grand Ming Group Holdings concluded, “I am pleased to share that we have made a strong growth and achieved a record-high revenue and net profit from our right strategy of making the Group to be a property developer, despite the challenging global environment with persistent pandemic impact, interest rate hike and high inflation. Demand for our both development property and data centre portfolio remain resilient, and our brand is well oriented to capture growth opportunities. In the midst of uncertain economic outlook, we remain cautiously optimistic on the short term and confident on the long-term prospects of the local residential property market. We will keep on identifying and securing opportunities to increase land bank on the backdrop of our sound financial position. We also commit to providing comprehensive and reliable services to our data centre customers. Apart from upgrading the existing iTech Tower 1 & 2, the two new data centres in Fanling are designed and to be equipped to accommodate customers with high power requirement. Our new strategic direction of developing property in Mainland China will continue to leverage our distinctive operating capabilities and seasoned experience to seize the attractive growth opportunities.”

About Grand Ming Group Holdings Limited (HKG: 1271)
The Group is principally engaged in the business of building construction, property leasing and property development. As a local wholesale co-location provider of high-tier data centres, the Group is one of the dedicated service providers in Hong Kong which owns and uses the entire building for leasing to customers for data centre use. Its clientele includes multinational data centre operator, telecommunications company and financial institutions. The Group operates two high-tier data centre buildings, namely iTech Tower 1 and iTech Tower 2. It also acquired two pieces of land in Fanling, the New Territories for developing into two high-tier data centres. Furthermore, the Group launches a residential development project namely “The Grand Marine” at No.18 Sai Shan Road, Tsing Yi, as well as a luxury residential project, Cristallo, at No.279 Prince Edward Road West, Kowloon. A new residential-cum-retail development project namely “The Grands”, which is located at No. 41, 43 and 45 Pau Chung Street, To Kwa Wan, Kowloon with a total gross floor area of approximately 31,000 square feet, is well underway and scheduled to be completed in mid-2023. Besides, a site located at No.1 Luen Fat Street, Fanling, New Territories, is planned to develop into a residential-cum-commercial project with total gross floor area of approximately 36,000 square feet and target completion at mid-2025. In Mainland China the Group owns a piece of land at Guangxi-ASEAN Economic and Technological Development Zone, Wuming District, Nanning City, Guangxi Province for development into a luxury residential project comprising high-rise apartments, villas, retail shops and wellness centre with an estimated gross floor area of approximately 1,100,000 square feet.

Media Contacts:
Angel Yeung
Jovian Communications Ltd
Email: news@joviancomm.com

Grand Ming Group Holdings Limited Announces Annual Results for the Year Ended 31 March 2022

Revenue Decreased by 45% to HK$818 Million
Net profit for the Year Amounted to HK$17.5 Million
Proposed Final Dividend of 4.0 HK Cents per share

Grand Ming Group Holdings Limited (the Company and together with its subsidiaries, the Group, HKG: 1271)) today announces its annual results for the year ended 31 March 2022 (FY 2021/22).

Highlights

Revenue amounted to HK$817.9 million, a decrease of 45.2% from the previous financial year.
Net profit for the year was HK$17.5 million, representing a decrease of 88.2%.
Proposed payment of final dividend of 4.0 HK cents per share.
Stay positive toward lucrative business of owning and operating data centres via expanding portfolio of developing two new centres in near future.
Seize opportunity to increase land reserve for property development in Hong Kong.
Execute the plan for property development in Nanning, Guangxi Province, China targeting for luxurious senior residential market.

The Group’s consolidated revenue decreased approximately 45.2% from approximately HK$1,492.4 million for the year ended 31 March 2021 (“FY 2020/21”) to approximately HK$817.9 million for FY 2021/22. The decrease was primarily caused by lower revenue recognised from the building construction project at Kai Tak which was at the completion stage during FY 2021/22.

The Group’s net profit for FY 2021/22 amounted to approximately HK$17.5 million, representing a decrease of 88.2% when compared to that of approximately HK$149 million for FY 2020/21. Earnings per share was 1.2 HK cents (2021: 10.5 HK cents). The deterioration in results for FY 2021/22 was attributed by (i) reduction of revenue and profit recognised from the Kai Tak construction project which was at the completion stage; (ii) lower profit attained from the sales of typical units of Cristallo project; and (iii) loss incurred in certain variation orders of a completed construction project. Disregarding the changes in fair value of investment properties, the Group recorded an underlying loss of approximately HK$75.2 million (FY 2020/21: underlying profit of HK$148 million).

The Group believes a long-term high dividend policy is the best reward for our loyal shareholders. The Board now recommends to pay a final dividend for FY 2021/22 of 4.0 HK cents per share. Together with the interim dividend of 4.0 HK cents per share and special interim dividend of 20.0 HK cents per share already paid, the total dividends for FY 2021/22 amounted to 28.0 HK cents per share.

During FY 2021/22, revenue derived from the construction business decreased by approximately 65.1%, from approximately HK$1,133.7 million for FY 2020/21 to approximately HK$395.5 million for FY 2021/22. The decrease was primarily attributed to lower revenue recognised from the Kai Tak construction project which was at the completion stage during FY 2021/22.

The data centre leasing business recorded healthy growth in the year under review, representing a testament to the resiliency of the portfolio and right strategy over the years. Revenue derived from its two high-tier data centre buildings, namely iTech Tower 1 and iTech Tower 2 increased approximately 18.4%, from approximately HK$164.7 million for FY 2020/21 to approximately HK$195.0 million for FY 2021/22, primarily driven by increased utilisation of data centre spaces in iTech Tower 2 by committed customers.

The Group looks ahead from a position of strength to a focus on growth, and continues to execute the strategy of creating a stable and growing cash flow stream, the Group further diversifies its footprint for high-tier data centres. The two greenfield sites at No.3 On Kui Street and No.8 On Chuen Street in Fanling, the New Territories will be developed into two new high-tier data centres for leasing purposes, with an estimated gross floor area of approximately 185,000 square feet in aggregate. Currently the application for change of land use change of both sites by way of land exchange are in progress. The development at No.3 On Kui Street and No.8 On Chuen Street is scheduled for completion in mid-2025 and mid-2026 respectively.

The Group’s luxury residential project, CRISTALLO, at No. 279 Prince Edward Road West, Kowloon was well sold. During the year sales of 6 residential units were completed, and revenue of approximately HK$221.7 million was recognized accordingly.

“The Grand Marine” in Tsing Yi had achieved an encouraging sales performance, with over 92% of the units sold cumulatively. The certificate of compliance of the development was granted in March 2022. Accordingly, handover of the sold units to the buyers commenced from mid-April 2022, with HK$4.75 billion revenue recognised in the first half of our financial year 2022/23.

For the property development in Mainland China, the Group acquired its first land parcel in July 2021 through government public auction. The land parcel is located at Guangxi-ASEAN Economic and Technological Development Zone, Wuming District, Nanning City, Guangxi Province. The site has an area of approximately 574,000 square feet, and is planned to be developed into a luxury residential project under the theme of leisure and healthy lifestyle targeting customers at the elderly and retirees and their families. The preliminary design comprises high-rise apartment units, villas, retail shops and a wellness centre. The estimated gross floor area of the proposed development is approximately 1,100,000 square feet. Site clearance works had been completed. Planning and design works are in progress.

Mr. Chan Hung Ming, Chairman and Executive Director of Grand Ming Group Holdings concluded, “The achievement of our first property development project of the Grand Marine confirms our successful transition to a property developer which emboldens us to deliver satisfactory results in the coming year. We will continue to launch the sales for the remaining units of the Grand Marine and Cristallo so as to contribute further cash inflows to the Group.”

“Looking forward, year 2022 remains a year full of challenges conditioned by heightened uncertainty, including potential resurgence of another wave of covid-19 infections, local interest rate hike triggered by the U.S. Federal Reserve’s move to hike rates and the global geopolitical tensions. On the other side, resilient demand from the local end-users, limited land supply and low mortgage rate environment continued to support the local residential mass market. We maintain a cautiously optimistic view on the residential property market. Facing with these challenges and uncertainties, we would continue to adopt our prudent approach in managing the Group’s businesses and strategies, and searching meticulously for suitable new property development projects both in Hong Kong and Nanning City of Mainland China to build the long-term development roadmap of the Group. The acceleration of digital transformation in business operations and communication among individuals during the pandemic had led to a surge in demand of high-tier data centres and therefore we are committed to developing our two new data centres in Fanling and looking for new pipelines for growth.”

About Grand Ming Group Holdings Limited (Stock code: 1271.HK)
The Group is principally engaged in the business of building construction, property leasing and property development. As a local wholesale co-location provider of high-tier data centres, the Group is one of the dedicated service providers in Hong Kong which owns and uses the entire building for leasing to customers for data centre use. Its clientele includes multinational data centre operator, telecommunications company and financial institutions. The Group operates two high-tier data centre buildings, namely iTech Tower 1 and iTech Tower 2. It also acquired two pieces of land in Fanling, the New Territories for developing into two high-tier data centres. Furthermore, the Group launches a residential development project namely “The Grand Marine” at Sai Shan Road, Tsing Yi, as well as a luxury residential project, Cristallo, at Prince Edward Road West, Kowloon. The Group owns a piece of land at No.1 Luen Fat Street, Fanling, New Territories and a site at No. 41, 43, 45 Pau Chung Street, To Kwa Wan, Kowloon, for developing each into a residential-cum-retail complex with an aggregate gross floor area of approximately 67,000 square feet. In Mainland China the Group owns a piece of land at Guangxi-ASEAN Economic and Technological Development Zone, Wuming District, Nanning City, Guangxi Province with a site area of approximately 574,000 square metres and the estimated gross floor area of the proposed residential development is approximately 1,100,000 square feet.

Media Contacts:
Angel Yeung
Jovian Communications Ltd
Email: news@joviancomm.com

Grand Ming Group Holdings Limited Announces Interim Results for the Six Months Ended 30 September 2021

Profit for the Period amounted to HK$69.2 Million
Declared an Interim Dividend of 4.0 HK Cents per Share

Highlights:

Profit for the Period amounted to HK$69.2 Million
Declared an Interim Dividend of 4.0 HK Cents per Share
Revenue amounted to HK$586.1 million, a decrease of 25.4% from the last corresponding period.
Net profit was HK$69.2 million, representing a decrease of 1.4%.
Underlying profit, excluding changes in fair value of investment properties, decreased 65.0% to HK$29.2 million
Declared payment of an interim dividend of 4.0 HK cents per share.
Scale up investments in upgrading the infrastructure and facilities of its existing data centres and look forward to expand the build-to-lease high tier data centre network.
Seize opportunity to increase land reserve for property development in Hong Kong.
Execute the plan for property development in Nanning, Guangxi Province, China and eye to explore opportunities to step into the Greater Bay Area, both target for luxurious senior residential market.

The Group’s consolidated revenue decreased 25.4% from HK$786.1 million for the six months ended 30 September 2020 (“FH 2020/21”) to HK$586.1 million for FH 2021/22. Decrease in revenue was attributed to lower revenue being recognised from the construction project in Kai Tak which was at the completion stage during the period under review.

The Group’s net profit for FH 2021/22 was approximately HK$69.2 million, representing a decrease of approximately 1.4% when compared to that of approximately HK$70.2 million for FH 2020/21. Earnings per share was 4.9 HK cents (2020: 4.9 HK cents). The Group’s underlying profit for FH 2021/22, excluding the change in fair value of investment properties, amounted to approximately HK$29.2 million, representing a decrease of approximately 65.0% as compared to an underlying profit of approximately HK$83.4 million for FH 2020/21. Underlying earnings per share was 2.1 HK cents (2020: 5.9 HK cents). The decrease in net profit was mainly due to the combined effect of: (i) lower revenue and profit recognised from construction project in Kai Tak which was at the completion stage during FH 2021/22; (ii) lower margin attained from the sales of 5 typical units of Cristallo during FH 2021/22 as compared to sales of 1 duplex and 1 typical unit during FH 2020/21; and (iii) fair value gain from the revaluation of the Group’s investment properties.

The Board declares to pay an interim dividend of 4.0 HK cents (2020: 4.0 HK cents) per share, payable on 16 December 2021 to shareholders whose names appear on the Company’s register of members on 3 December 2021.

During FH 2021/22, revenue derived from the construction business decreased by approximately 43.4% or HK$233.7 million, from approximately HK$538.0 million for FH 2020/21 to approximately HK$304.3 million for FH 2021/22. The decrease was primarily because lower revenue was recorded from the construction project at Kai Tak that was at the completion stage during the period under review.

The data centre leasing business achieved a healthy growth. Revenue derived from this segment increased by approximately 17.6% or HK$13.8 million, from approximately HK$78.1 million for FH 2020/21 to approximately HK$91.9 million for FH 2021/22, primarily driven by the increased utilisation of data centre spaces in iTech Tower 2 (one of the Group’s current data centre in Kwai Chung). The Group on the other hand execute the plan to expand its data centre network by acquiring two land parcels at No.3 On Kiu Street and No.8 On Chuen Street in Fanling, the New Territories respectively in September 2020. These two lands are planned to develop into two new high-tier data centres which are targeted to deliver in mid-2025 and mid-2026. Application for change of land use of the two lands are now in progress.

The Group’s first property development project “The Grand Marine” at Tsing Yi, the New Territories is being developed into two residential towers with clubhouse and car park facilities. It provides a saleable area of approximately 345,000 square feet for 776 residential units. The property’s pre-sale which began in November 2019 received applauding sentiment and over 92% of the residential units had been pre-sold contributing total contracted sales of approximately HK$4.8 billion. Interior fitting-out works are in progress and the project is expected to be completed by the end of 2021.

The Group’s luxury residential project, CRISTALLO, at No. 279 Prince Edward Road West, Kowloon was well sold. Sales and delivery of five apartments had been completed, and revenue of approximately HK$188.9 million was recognized accordingly.

The Group continues to grow the property development business by actively replenishing its land banks. In January 2021, the Group acquired a land parcel at No.1 Luen Fat Street, Fanling, the New Territories and intends to develop into a residential-cum-retail complex with a total gross floor area of approximately 36,000 square feet. The Group has submitted development plan for approval and thereafter will proceed with the change of land use and land premiums application. In early October 2021 the Group acquired a site located at No. 41, 43 and 45 Pau Chung Street in To Kwa Wan, Kowloon and will redevelop it into a residential-cum-commercial project which comprises a residential tower with retail shops at the lower level covering a total gross floor area of approximately 31,000 square feet. The general building plan for this project had been approved. Its foundation works had already been completed, and the superstructure works is expected to commence in the first quarter of 2022.

The Group rolls out the expansion into Mainland China as planned. In July 2021, it acquired its first land parcel through government public auction which is located at Guangxi-ASEAN Economic and Technological Development Zone, Wuming District, Nanning City, Guangxi Province with a site area of approximately 53,334 square metres. The Group plans to develop the land into a composite of residential and commercial complex coupled with luxury residence comprising villa and low-rise apartment for the elderly and retired and their families under the theme of leisure and healthy lifestyle. The land site had been handed over to the Group and site clearance works are now underway. Planning and design works are also in progress.

Mr. Chan Hung Ming, Chairman and Executive Director of Grand Ming Group Holdings concluded, “Turning to the long-term, we believe sustainable growth of the Group lies in parallel development of our property development and data centre build-to-lease businesses. The residential property market in Hong Kong remained resilient even in midst of the severe pandemic period which boosts our confidence to actively accumulate our land bank for future development. The surging demand for high-tier data centres prevails as remote work and learning mode shifts to a long-term trend. We will stay focused for refining our data centre portfolio so as to provide up-to-date superior infrastructure and facilities for our customers, while looking for suitable sites to expand our data centre network. On the other hand, because of the boom of ageing population, we see huge potential in the senior housing market in Mainland China especially for affluent senior population. We finally make our first move into the Mainland China via the acquisition of the land parcel in Wuming, Nanning City, PRC and we will keep on exploring potential property development projects, in particular senior residence projects, in Nanning and cities in the Greater Bay Area.”

About Grand Ming Group Holdings Limited (Stock code: 1271.HK)

The Group is principally engaged in the business of building construction, property leasing and property development. As a local wholesale co-location provider of high-tier data centres, the Group is one of the dedicated service providers in Hong Kong which owns and uses the entire building for leasing to customers for data centre use. Its clientele includes multinational data centre operator, telecommunications company and financial institutions. The Group owns and operates two high-tier data centre buildings, namely iTech Tower 1 and iTech Tower 2. It also acquired two pieces of land in Fanling, the New Territories for developing into two high-tier data centres. Furthermore, the Group launches a residential development project namely “The Grand Marine” at Sai Shan Road, Tsing Yi, as well as a luxury residential project, Cristallo, at Prince Edward Road West, Kowloon. The Group also owns a piece of land at No.1 Luen Fat Street, Fanling, New Territories with total gross floor area of approximately 36,000 square feet for developing a residential-cum-retail complex, as well as a site at No. 41, 43 and 45 Pau Chung Street, To Kwa Wan, Kowloon for redeveloping into a residential-cum-commercial project with a total gross floor area of approximately 31,000 square feet. In Mainland China the Group owns a piece of land at Guangxi-ASEAN Economic and Technological Development Zone, Wuming District, Nanning City, Guangxi Province with a site area of approximately 53,334 square metres. Please visit www.grandming.com.hk/eng/intro.php.

Media Contacts:
Angel Yeung
Jovian Communications Ltd
Email: news@joviancomm.com

Grand Ming Group Holdings Limited Announces Annual Results for the Year Ended 31 March 2021

– Revenue Increased by 65.3%, Profit for the Year Increased by 340.6%
– Proposed Final Dividend of 4.0 HK Cents per Share

Grand Ming Group Holdings Limited (Company, together with its subsidiaries, collectively referred to as the Group; 1271.HK) announces its annual results for the year ended 31 March 2021 (FY 2020/21).

Highlights:
– Revenue amounted to HK$1,492.4 million, an increase of 65.3% from the previous financial year.
– Net profit was HK$149.0 million, representing an increase of 340.6%.
– Underlying profit, excluding the changes in fair value of investment properties, increased by 234.2% to HK$147.6 million.
– Proposed payment of final dividend of 4.0 HK cents per share.
– Stay positive toward lucrative business of owning and operating data centres via expanding portfolio of developing two new centres in near future.
– Seize opportunity to increase land reserve for property development in Hong Kong and cautiously explore property and property-related development opportunities in Nanning, Guangxi Province, China.

The Group’s consolidated revenue increased approximately 65.3% from approximately HK$902.6 million for FY 2019/20 to approximately HK$1,492.4 million for FY 2020/21. The increase was primarily driven by revenue recognised from the building construction project at Kai Tak which was in full swing operation during the FY 2020/21.

The Group’s underlying profit for FY 2021/21, excluding the changes in fair value of investment properties, amounted to approximately HK$147.6 million, representing an increase of approximately 234.2% as compared to an underlying profit of approximately HK$44.2 million for FY 2019/20. Underlying earnings per share were 10.4 HK cents (2020: 3.1 HK cents). The increase in profit mainly benefited from (i) an increase in revenue recognised from the construction segment; and (ii) sales of car parking spaces and one duplex residential unit on the top floor in the Cristallo project. Net profit for FY 2020/21 was approximately HK$149.0 million, representing an increase of approximately 340.6% when compared to that of approximately HK$33.8 million for FY 2019/20. Basic earnings per share were 10.5 HK cents (2020: 2.4 HK cents).

The Group believes a long-term high dividend policy is the best reward for our loyal shareholders. The Board now recommends paying a final dividend for FY 2020/21 of 4.0 HK cents per share. Together with the interim dividend of 4.0 HK cents per share, the total dividends for FY 2020/21 amounted to 8.0 HK cents per share, representing a payout ratio of approximately 77% (based on the total dividends and the Group’s profit for the year excluding the change in fair value of investment properties).

During FY 2020/21, revenue derived from the construction business increased by approximately 128% or approximately HK$636.6 million, from approximately HK$497.1 million for FY 2019/20 to approximately HK$1,133.7 million for FY 2020/21. The significant increase was primarily attributed to the construction project at Kai Tak, Kowloon which the construction works commenced in May 2019 and worked in full swing during FY 2020/21.

The data centre leasing business is resilient. The utilisation rate for the Group’s two high-tier data centre buildings, namely iTech Tower 1 and iTech Tower 2 remains high, driven by our expertise in data centre management providing uninterrupted customer services amidst the COVID-19 pandemic. Revenue derived from this segment increased approximately 17.8% or HK$24.9 million, from approximately HK$139.8 million for FY 2019/20 to approximately HK$164.7 million for FY 2020/21, primarily driven by increased utilisation of iTech Tower 2 by committed customers.

In order to create a stable and growing cash flow stream, the Group is inclined to further diversify our footprint for high-tier data centres. In September 2020, the Group acquired two parcels of land in Fanling, New Territories for the purposes of developing into two new high-tier data centres. Application for the land-use change of these two parcels of land by way of land exchange is now underway.

The Group’s first residential property development project namely “The Grand Marine” at Tsing Yi, New Territories is being developed into two residential towers with clubhouse and car park facilities. It provides a saleable area of approximately 345,000 square feet for 776 residential units. Superstructure work had completed, followed by the facade and interior fitting-out works are now underway. The project is expected to be completed by the end of 2021. This project received tremendous responses in the market since its pre-sale launched in November 2019. Approximately 89% of the residential units were sold cumulatively with presale proceeds of approximately HK$4.5 billion being recorded.

The Group’s luxury residential project, CRISTALLO, at No. 279 Prince Edward Road West, Kowloon was well sold. Sales and delivery of two apartments and six car parking spaces had been completed during the year, and revenue of approximately HK$194.0 million was recognized accordingly. Furthermore, six provisional sales and purchase agreements for six apartments totalling approximately HK$240 million had recorded. Sales and delivery of two apartments therein had been completed in May 2021 and completion of the remaining four apartments are scheduled to take place during the period from June 2021 to June 2022.

In order to increase its land bank, the Group completed the acquisition of land located at No.1 Luen Fat Street, Fanling, New Territories with a site area of approximately 6,800 square feet in January 2021. The Group plans to develop it into a residential-cum-retail property with a gross floor area of approximately 37,700 square feet and a land exchange application to convert the use of land is now under processing.

Mr. Chan Hung Ming, Chairman and Executive Director of Grand Ming Group Holdings concluded, “Year 2020 is a COVID-19 pandemic year casting challenge and impact to economies and businesses. With the imposition of effective measures against the pandemic including the COVID-19 vaccination programme, the pandemic situation is stabilized and a strong bounce in the residential property market in the first and second quarter of 2021 is recorded. We endeavored to sell the remaining units for properties ‘Cristallo’ and ‘Grand Marine’ in the spring boom, with ‘Grand Marine’ scheduled to be completed in the fourth quarter of 2021. We are inclined to be more active recyclers of capital over the next few years with eyes on maintaining an optimal capital structure. On the one hand, we actively accumulate our land reserve in Hong Kong for the development and operation of high-tier data centres which are believed a continuous surging growth especially the work-from-home model prevails even post-pandemic period; as well as the development of residential property. Therefore, we add three parcels of land in Fanling, New Territories during the year to build up our land bank and development pipeline. On the other hand, we are evaluating the return and risk parameters for various property development and property-related projects in Nanning, Guangxi Province, China. We will also continue to monitor the pandemic situation while refining our long-term property development strategies.”

About Grand Ming Group Holdings Limited (1271.HK)
The Group is principally engaged in the business of building construction, property leasing and property development. As a local wholesale co-location provider of high-tier data centres, the Group is one of the dedicated service providers in Hong Kong which owns and uses the entire building for leasing to customers for data centre use. Its clientele includes multinational data centre operator, telecommunications company and financial institutions. The Group operates two high-tier data centre buildings, namely iTech Tower 1 and iTech Tower 2. It also acquired two pieces of land in Fanling, New Territories for developing into two high-tier data centres. Furthermore, the Group launches a residential development project namely “The Grand Marine” at Sai Shan Road, Tsing Yi, as well as a luxury residential project, Cristallo, at Prince Edward Road West, Kowloon. The Group also owns a piece of land at No.1 Luen Fat Street, Fanling, New Territories with a site area of approximately 6,800 square feet for developing into a residential-cum-retail property. With more than 20 years of experience in the construction industry, the Group also provides building construction services as a main contractor, and is involved in residential property development projects with prominent local developers, as well as offering alteration, renovation and fitting-out services for existing buildings in Hong Kong. https://www.grandming.com.hk/eng/intro.php

Media Contacts:
Angel Yeung
Jovian Communications Ltd
Email: news@joviancomm.com

Grand Ming Group Holdings Limited Announces Interim Results for the Period Ended 30 September 2019

Grand Ming Group Holdings Limited (the “Company” and together with its subsidiaries, the “Group”, stock code: 1271.HK) today announces its first half year results for the period ended 30 September 2019 (“FH 2019/20”).

Highlights
– Recorded revenue of HK$367 million, an increase of 35.1%.
– Attained net profit for the period of HK$44 million, representing a decrease of 14.3%.
– Declared an interim dividend of 4.0 HK cents per share.
– Stays optimistic to search for opportunities to expand the land bank for the property development business.

The consolidated revenue of the Group increased 35.1% from HK$272.0 million for the period ended 30 September 2018 (“FH 2018/19”) to HK$367.5 million for the FH 2019/20, which was primarily driven by revenue recognition of the sales of three units of Cristallo during the period under review. Yet the consolidated gross profit decreased by 11% from last year to approximately HK$100.7 million (FH 2018/19: HK$113.1 million), which was mainly attributable to recognition of additional work done in a construction project in last period, but no such additional works was recorded during the current period.

The Group’s net profit for FH 2019/20 was HK$44.0 million, representing a decrease of 14.3% compared to that of HK$51.3 million for FH 2018/19. Basic earnings per share were 6.2 HK cents (2018: 7.2 HK cents). Meanwhile the underlying profit for FH 2019/20, excluding the increase in fair value of investment properties of HK$18.2 million, amounted to HK$25.8 million, representing a 50.8% decrease from HK$52.4 million in FH 2018/19. Underlying earnings per share was 3.6 HK cents (2018: 7.4 HK cents).

The Board proposed to declare interim dividend of 4.0 HK cents (2018: 4.0 HK cents) per share, payable on 16 December 2019 to shareholders whose names appear on the Company’s register of members on 4 December 2019.

For the construction business segment, its revenue increased by 10% or HK$14.9 million, from HK$149.5 million for FH 2018/19 to HK$164.4 million for FH 2019/20. The increase was mainly due to the recognition of revenue from a new construction project at Kai Tak of which the work commenced in May 2019.

Revenue derived from the leasing of data centres (iTech Tower 1 and iTech Tower 2) decreased by 3.7% or HK$2.8 million, from HK$74.7 million for FH 2018/19 to HK$71.9 million for FH 2019/20, primarily due to a decrease of rental related income being recorded as a result of lower electricity consumption by the tenant of iTech Tower 1 during the period under review.

For the property development business, the Group’s first property development project, situated at 18 Sai Shan Road, Tsing Yi, New Territories with a gross floor area of approximately 400,000 square feet, is now named “The Grand Marine”. The site formation and foundation works are now progressing, and the whole project is expected to be completed in late 2021. The Group launched the presale of “The Grand Marine” in November 2019 and it has received overwhelming response from buyers, with 75% of the residential units being presold and cumulative presale proceeds of approximately HK$3.6 billion being recorded.

“Cristallo”, the Group’s another property development project located at Prince Edward Road West, Kowloon, was well received by the market since its launch for sales in 2018. During the period under review, sales and delivery of 3 apartments had been completed and revenue of HK$131.1 million was recognised during the period. Furthermore, the Group had entered into 9 provisional sales and purchase agreements in respect of sales of 9 apartments with aggregate contract sum of approximately HK$517.5 million, of which sales and delivery of 1 apartment had been completed in October 2019. Completions of the remaining 8 apartments are scheduled to take place from August 2020 to October 2021.

Mr. Chan Hung Ming, Chairman and Executive Director of Grand Ming Group Holdings concluded, “Looking forward, the Group remains positive towards the residential property development market in Hong Kong on the backdrop of solid demand from local buyers and continuous low interest rate. Therefore we will continue to identify suitable opportunity to expand the land bank including public tender of government land and acquisition of properties with fully consolidated ownership for redevelopment to grow the property development business. We are also actively searching for suitable land parcels or industrial buildings (for conversion or redevelopment) in the territory and elsewhere outside Hong Kong for developing our third high-tier data centre. For the construction business, we remain extremely prudent in bidding new construction projects due to the challenges from shrinking tender contract sum and profit margin persist.”

About Grand Ming Group Holdings Limited (Stock code: 1271.HK)
The Group is principally engaged in the business of building construction, property leasing and property development. As a local wholesale co-location provider of two high-tier data centres, the Group is one of the dedicated service provider in Hong Kong which owns and uses the entire building for leasing to customers for data centre use. Its clients include multinational data centre operator, telecommunications company and financial institutions. With more than 20 years of experience in the construction industry, the Group also provides building construction services as a main contractor, and is involved in residential property development projects with prominent local developers, as well as offering alteration, renovation and fitting-out services for existing buildings in Hong Kong. Furthermore, the Group is developing a residential project in Sai Shan Road, Tsing Yi named as “The Grand Marine”, as well as selling a luxurious low density residential project in Prince Edward Road West, Kowloon being named as “Cristallo”.

Media Contacts:
Angel Yeung
Jovian Communications Ltd
Tel: +852 2581 0168
Email: news@joviancomm.com