Wharf Real Estate Investment Full Year 2023 Earnings: EPS Misses Expectations

Simply Wall St

April 11, 2024

Wharf Real Estate Investment (HKG:1997) Full Year 2023 Results

Key Financial Results

Revenue: HK$13.3b (up 6.8% from FY 2022).
Net income: HK$4.77b (up from HK$8.86b loss in FY 2022).
Profit margin: 36% (up from net loss in FY 2022).
EPS: HK$1.57 (up from HK$2.92 loss in FY 2022).

revenue-and-expenses-breakdown — SEHK:1997 Revenue and Expenses Breakdown April 11th 2024

All figures shown in the chart above are for the trailing 12 month (TTM) period

Wharf Real Estate Investment EPS Misses Expectations

Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 19%.

The primary driver behind last 12 months revenue was the Investment Property segment contributing a total revenue of HK$10.9b (82% of total revenue). The most substantial expense, totaling HK$5.23b were related to Non-Operating costs. This indicates that a significant portion of the company's costs is related to non-core activities. Explore how 1997's revenue and expenses shape its earnings.

Looking ahead, revenue is forecast to grow 3.1% p.a. on average during the next 3 years, compared to a 5.4% growth forecast for the Real Estate industry in Hong Kong.

Performance of the Hong Kong Real Estate industry.

The company's shares are down 2.4% from a week ago.

Risk Analysis

Be aware that Wharf Real Estate Investment is showing 2 warning signs in our investment analysis that you should know about...

Valuation is complex, but we're here to simplify it.

Discover if Wharf Real Estate Investment might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.