Shangri-La Asia Ltd reported net profit attributable to shareholders of US$112.3 million for the year ended Dec 31, down 30.4 per cent year-on-year after a sharp fall in non-operating gains offset improvements in core operations.
Earnings per share declined to 3.16 US cents from 4.54 US cents. The board maintained the full-year dividend at HK15 cents per share, comprising an interim payout of HK5 cents already paid in Oct 2025 and a proposed final dividend of HK10 cents payable on 15 Jun 2026.
Group revenue edged 2.2 per cent higher to US$2.23 billion, supported by gains in the hotel and property-development segments. Effective share EBITDA – which includes the group’s proportionate interest in subsidiaries and associates – rose 2.4 per cent to US$778.2 million.
Hotel Properties delivered revenue of US$1.97 billion, up 1.5 per cent, and generated after-tax profit of US$90.2 million, a 28.9 per cent increase. Investment Properties contributed US$196.9 million of after-tax earnings on revenue of US$139.5 million, while Hotel Management and Related Services earned US$26.2 million. Profit from Property Development for Sale and other businesses jumped to US$15.1 million from US$0.4 million a year earlier, reflecting unit sales in Sri Lanka and mainland China.
Lower non-operating items weighed on the bottom line. Net fair-value gains on investment properties dropped to US$17.9 million from US$74.9 million, and the group booked a US$30.4 million impairment on a UK hotel.
During the year Shangri-La opened The Silk Lakehouse, Shangri-La Hangzhou – the first property under its new ultra-luxury “Shangri-La Signatures” brand – and launched a dual-brand project at Shanghai Hongqiao Airport. It also signed new management contracts, including a dual-brand development in Wuxi and a resort in Bodrum, furthering an asset-light expansion strategy.
On financing, the group raised RMB 2.8 billion through three onshore panda-bond issues and refinanced SGD 615 million of notes at record-low offshore coupons, lifting the proportion of RMB debt to 68 per cent of total borrowings and reducing average interest cost to 4.0 per cent. Gearing improved to 77.2 per cent from 81.3 per cent.
Chairman and group chief executive officer Kuok Hui Kwong said the company’s 2026 performance to date has been encouraging, noting resilient intra-Asia travel demand and disciplined cost control. She added that the group will keep diversifying its funding sources, pursue asset-light management contracts and focus on premium, experience-led offerings to capture medium-term growth in Asian tourism, while monitoring geopolitical risks in the Middle East where current exposure is limited.