Prosperity Real Estate Investment Trust · HKEX:808
Prosperity Real Estate Investment Trust — H1 2025 Earnings Presentation
24 slides from Prosperity Real Estate Investment Trust's earnings presentation, August 2025
Slide 1: Interim Results
Interim Results For the half year ended 30 June 2025 August 2025
Slide 2: Disclaimer
Disclaimer This document was prepared by ESR Asset Management (Prosperity) Limited, in its capacity as the manager (“REIT Manager”) of Prosperity Real Estate Investment Trust (“Prosperity REIT”) solely for use at the presentation to analysts in relation to the announcement of the results of Prosperi
Slide 3: Table of Contents
Table of Contents Results Highlights Financial Review Operations Review Key Takeaways Appendix Prosperity REIT 2025 Interim Results Presentation 3
Slide 4: Results Highlights
Results Highlights The Metropolis Tower Prosperity REIT 2025 Interim Results Presentation 4
Slide 5: Financials
1. Financials Revenue Net Property Distributable Distribution Income Income Per Unit 4.3% 7.2% 6.2% 8.3% HK$215.0m HK$205.8m HK$164.9m HK$98.2m HK$0.0638 HK$92.1m HK$0.0585 HK$153.1m 1H24 1H25 1H24 1H25 1H24 1H25 1H24 1H25 Tenant Occupancy Cost-to- Average Retention Rate revenue Effective Rate (as a
Slide 6: Returns
2. Returns ● 100% payout ratio and almost 150%1 total return since listing. ● Resilient investment tool amid challenging market conditions. Attractive yield 2 8.5% 5.3% 3.4% 2.9% Prosperity REIT's HS Property Index HSI Dividend Yield HK 10-year Gov't Dividend Yield Dividend Yield Bond Yield Notes: 1
Slide 7: Financial Review
Financial Review Prosperity Millennia Plaza Prosperity REIT 2025 Interim Results Presentation 7
Slide 8: Income Statement
1. Income Statement 1H25 1H24 (HK$’000) (Unaudited) (Unaudited) Revenue 205,763 214,955 Revenue and NPI fell by 4.3% and Total property operating expenses (52,688) (50,052) 7.2% respectively mainly due to the pressure from the vacancy and rental Net property income 153,075 164,903 levels at Prosperi
Slide 9: Financial Position
2. Financial Position As at As at Change 30 Jun 2025 31 Dec 2024 (Unaudited) (Audited) All bank loan facilities are Total assets (HK$’m) 9,420.9 9,628.7 -2.2% unsecured with no investment properties pledged. Borrowings1 (HK$’m) 2,407.9 2,403.3 0.2% Interest Cost4 Other liabilities (HK$’m) 574.0 549.
Slide 10: Capital Management
3. Capital Management • Total debt facilities amount to HK$2,830M with an evenly spread maturity profile. • The refinancing of HK$1,200M debt facilities expiring in Nov 2025 is finalized. Interest margin for the refinanced facilities stay stable. • 100% of our loan facilities continues to be sustain
Slide 11: Portfolio Valuation
4. Portfolio Valuation Valuation by Property Type Industrial As at 30 Jun 2025 HK$354m 3.8% ● Balanced portfolio with Grade A office, Industrial/Office HK$1,939m commercial, industrial/office and industrial 20.7% buildings all in Hong Kong. ● Portfolio valuation at HK$9,353m, down 2.0% Grade A Offic
Slide 12: Operations Review
Operations Review 9 Chong Yip Street Prosperity REIT 2025 Interim Results Presentation 12
Slide 13: Property Income
1. Property Income Revenue Net Property Income (NPI) New Treasure Centre New Treasure Centre HK$9.1m HK$6.7m Prosperity Center Prosperity Center HK$19.3m HK$14.2m The Metropolis Tower 4.3% 4.4% HK$60.6m The Metropolis Tower 9.4% 9.3% HK$46.7m 29.5% Trendy Centre 30.5% Trendy Centre HK$24.0m HK$15.9m
Slide 14: Occupancy Rates
2. Occupancy Rates (As at 30 Jun 2025) The Metropolis Tower 99.3% Prosperity Millennia Plaza 85.3% 9 Chong Yip Street 98.6% Prosperity Place 94.9% Trendy Centre 92.9% Prosperity Center (portion) 96.7% New Treasure Centre (portion) 97.1% Portfolio 94.7% Prosperity REIT 2025 Interim Results Presentati
Slide 15: New Letting
3. New Letting • Enhanced landlord provisions have increased new letting activity. • In-house expansion contributed to 25% of total new letting GRA in 1H25, resulting in cost saving in agency fee. • IT / Technology and retail services trades accounted for 42% of new letting GRA in 1H25 which indicat
Slide 16: Prosperity Place
4. Prosperity Place • Retail service trade share of Prosperity Place GRI1 grew over 2-fold from 21% in Dec 2013 to 72% in Jun 2025, driven by the strong cluster of retail tenants and huge customer traffic from the working and residential population in the district. • The growing demand of retail spa
Slide 17: ESG Achievements
ESG Achievements Green Building Certificates Green Recognitions ✓ BEAM Plus (Comprehensive), ✓ GHG reduction targets approved by SBTi Platinum - 2030 targets (vs. 2021 base) - Prosperity Place • Scope 2 - ↓ 42% - The Metropolis Tower • Scope 3 - ↓ 25% - Long term 2050 targets in line with net-zero ✓
Slide 18: Key Takeaways
Key Takeaways Prosperity Place Prosperity REIT 2025 Interim Results Presentation 18
Slide 19: Key Takeaways
Key Takeaways 1. Distribution per unit (DPU) decreased by 8.3% Y-o-Y, but increased by 4.5% H-o-H ● Annualized distribution yield of 8.5%1. ● Maintained 100% payout ratio since listing. 2. Revenue and NPI decreased by 4.3% and 7.2% Y-o-Y respectively ● Mainly due to the pressure from the vacancy and
Slide 20: Appendix
Appendix Prosperity REIT 2025 Interim Results Presentation 20
Slide 21: Key Milestones since IPO
Key Milestones since IPO Disposed of Harbourfront Acquired 9 Chong Yip Unit buyback to First Green and Landmark Property for Street for approx. HK$1 return capital to Transition Loan in Listed on Hong Kong Stock approx. HK$0.88 billion, billion, expanding our unitholders and Hong Kong real Exchange
Slide 22: Portfolio Map
Portfolio Map The Metropolis Trendy Centre (TC) Tower (MT) 1 5 Total Gross Rentable Area: 1.28m sq. ft. GRA: 271,418 sq. ft. GRA: 173,764 sq. ft. Prosperity Millennia Prosperity Center Plaza (PMP) 2 Property (PC) 6 GRA: 217,955 sq. ft. GRA: 149,253 sq. ft. CBD2 9 Chong Yip Street New Treasure Centre
Slide 23: Key Facts
Key Facts Key Facts as at 30 Jun 2025 IPO Date 16 Dec 2005 Unitholder Structure IPO Price HK$2.16 REIT Free 8.5% CKAH Manager & Float Directors Indicative Yield (annualized based on 1H25 DPU of HK$0.0585 and closing unit price of HK$1.38 as at 30 Jun 2025) 75.9% 17.6% 6.5% Number of Issued Units 1,5
Slide 24: Contacts
Contacts ESR Asset Management (Prosperity) Limited (as manager of Prosperity REIT) Ms. Mavis Wong Chief Executive Officer Mavis.Wong@esr.com Mr. Vicho Chung Manager, Investments & Investor Relations Vicho.Chung@esr.com Mr. Kenny Kwong Assistant Manager, Investor Relations & Research Kenny.Kwong@esr.
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