China Asia Valley Group Limited reported unaudited consolidated results for the six months ended 30 June 2026.
Revenue and Earnings • Revenue rose 7.87 % year-on-year to HK$78.47 million, driven chiefly by the property-investment segment. • Profit for the period increased 48.52 % to HK$3.30 million. • Basic and diluted earnings per share doubled to HK0.06 cent (H1 2025: HK0.03 cent).
Segment Performance • Property investment remained the core contributor, generating HK$62.51 million, up 6.53 %. • Property management and related services delivered HK$10.27 million, a 14.04 % rise on higher managed floor area in Shenzhen. • Construction services revenue climbed 38.13 % to HK$2.45 million following progressive project completion. • Horticultural services and plant sales edged down 1.01 % to HK$3.24 million.
Cost Structure and Margins • Staff costs declined 8.00 % to HK$12.00 million due to a leaner workforce for sub-leased assets. • Depreciation and amortisation grew 11.93 % to HK$45.55 million, reflecting higher depreciation of right-of-use assets at Silicon Valley Industrial Park. • Finance costs dropped 11.19 % to HK$11.85 million as average borrowings fell. • A HK$3.83 million fair-value gain on investment properties (H1 2025: HK$0.50 million) supported bottom-line growth.
Balance-sheet Highlights (30 June 2026) • Net assets expanded to HK$551.98 million (31 Dec 2025: HK$502.20 million). • Cash and cash equivalents stood at HK$36.40 million; pledged deposits totalled HK$12.17 million. • Bank borrowings decreased to HK$112.00 million, secured against Hong Kong investment properties valued at HK$374.83 million. • Net current liabilities narrowed to HK$116.25 million, and the gearing ratio (total debt / total equity) improved to 74 % from 97 % at year-end 2025.
Capital and Investment Activity On 27 January 2026, a subsidiary subscribed HK$86.27 million (RMB77.65 million) for a 66 % stake in Guangdong You Wei Industrial Co., Ltd., positioning the Group as a developer and long-term asset holder of two research-and-development buildings under construction.
Outlook and Dividend The Board is focused on leveraging new property-development capabilities and enhancing recurring rental income. No interim dividend was declared for the period.
Compliance and Governance The company confirmed compliance with the Hong Kong Listing Rules, the Model Code for Securities Transactions, and substantially all provisions of the Corporate Governance Code, noting the combined roles of Chairman and CEO as the only deviation (Code Provision C.2.1).
Audit Review The Audit Committee has reviewed the interim results and confirmed that they comply with applicable accounting standards and disclosure requirements.