Key Highlights

• Expected Profit: Allied Group Limited anticipates a consolidated profit attributable to owners of between HK\$2.0 billion and HK\$2.3 billion for the year ended 31st December 2025, marking a substantial turnaround from the HK\$0.8 billion consolidated loss recorded in 2024.
• Subsidiary Contributions: The positive performance is largely driven by improved results from its subsidiaries, Sun Hung Kai & Co. Limited (SHK) and Tian An China Investments Company Limited (TACI).
• Associate Impact: The Company’s listed associate, APAC Resources Limited, is expected to contribute an attributable profit for 2025, reversing its loss in 2024.

Detailed Financial Overview

Allied Group Limited has released a positive profit alert, indicating a remarkable recovery in its financial performance for 2025. Based on management’s preliminary review of unaudited consolidated accounts, the Group expects to report a profit attributable to owners in the range of HK\$2.0 billion to HK\$2.3 billion, compared to a loss of HK\$0.8 billion in the previous year.

This turnaround is attributed to several factors:

1. Improved Performance at Sun Hung Kai & Co. Limited (SHK):
   • SHK’s net investment income from its investment management business saw a significant increase.
   • However, this was partly offset by a decrease in profit from SHK’s credit business, indicating some segment challenges despite overall gains.
2. Strong Results from Tian An China Investments Company Limited (TACI):
   • TACI’s profits were boosted by the handover of units in Phase 2C of One Tian An Place, a key residential project in Shanghai, China, to customers in early 2025.
   • This project handover is a one-off event that significantly contributed to the Group’s earnings for the year.
3. Positive Contribution from APAC Resources Limited:
   • Unlike the previous year, APAC Resources Limited, the Group’s listed associate, is expected to deliver an attributable profit instead of a loss.

Potential Impact on Shareholders and Share Price

The announcement is price sensitive and could significantly affect the share value of Allied Group Limited. The expected swing from a substantial loss in 2024 to a robust profit in 2025 highlights:

• Management’s ability to navigate challenging conditions and deliver improved results.
• Strong operational execution in investment management and real estate development.
• Enhanced profitability from associates, reflecting strategic investments.

Investors should note that these figures are based on unaudited management accounts and may be subject to adjustments. The final audited results will be published in accordance with Hong Kong Stock Exchange Listing Rules.

Shareholders and potential investors are advised to exercise caution when dealing in Allied Group Limited shares, as the final annual results may differ from current estimates.

Board Composition

The Board is composed of a mix of executive, non-executive, and independent non-executive directors, with Arthur George Dew serving as Chairman and Lee Seng Hui as Chief Executive. This diversified leadership supports robust governance and strategic oversight.

Conclusion

Allied Group Limited’s positive profit alert for 2025 represents a major financial turnaround, driven by improved subsidiary performance, successful project handover in China, and better results from strategic associates. The news is highly relevant to investors and has the potential to move the share price significantly.

Disclaimer

The information provided herein is based on preliminary, unaudited management accounts and may be subject to revision. Investors are urged to exercise caution and consult official, audited financial statements before making investment decisions. This article is for informational purposes only and does not constitute investment advice.

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