Annual Report 2023

ANNUAL REPORT 2023 9 up asset resources, and effectively utilized the accessible mechanism to improve investment returns. In terms of operation management, the Group focused on the primary task of “high-quality development” and the business goal of “maintaining growth”, promoted the operation plan and control, and accelerated the construction of an operation management and control system of “empowerment- professionalism-value”. Meanwhile, the Group adhered to the concept of “all costs are controllable”, advocated a cost management culture of “big picture thinking” and “small details make a difference”, formulated a quality and efficiency improvement action plan, advanced cost optimization from multiple dimensions, and effectively enhanced profitability. With regard to marketing and commerce, the Group attached importance to promoting synergy, optimizing products as well as business practices. The innovation and upgrading of the digital service platform was completed. In terms of environmental, social and governance (ESG) construction, we actively pushed forward the concept of sustainable development, set and defined goals from top to bottom, clarified the short, medium, and long-term improvement strategies and directions, and formed a specific action guide for the implementation subject. In 2023, MSCI, an international authoritative ESG index institution, upgraded the Group’s rating to “BB”, which represents a two-notch upgrade. The Company was honored with the “Best Listed Company for ESG Practice” in the 13th Hong Kong International Finance Forum and the Hong Kong ESG List Annual Assessment Ceremony in 2023 and the “Industry Champions of the Year” in the 2023 Asia Corporate Excellence & Sustainability Awards. OPERATING RESULTS In 2023, the Group’s revenue reached HK$11,482 million, representing a decrease of 8.5% year-on-year, which was mainly due to the disposal of Ningbo Daxie China Merchants International Terminals Co., Ltd. in August 2023. Profit attributable to equity holders of the Company amounted to HK$6,233 million, representing a decrease of 19.9% year- on-year. Of this amount, recurrent profit Note 1 was HK$6,159 million, representing a decrease of 24.2% year-on-year. DIVIDENDS The Board of the Company has resolved to propose at the forthcoming Annual General Meeting the payment of a final dividend of 48 HK cents per ordinary share. Together with the interim dividend of 22 HK cents per share, the total dividend for the year amounted to 70 HK cents per ordinary share, representing a full-year payout ratio of 46.9%. Subject to the approval by shareholders at the forthcoming Annual General Meeting, the final dividend for ordinary shares will be payable on or around 5 July 2024 to shareholders whose names appear on the register of members of the Company on 7 June 2024. FUTURE PROSPECTS Looking forward to 2024, the progress of global economic recovery is still slow and imbalance. Major international events, such as the Russia-Ukraine conflict, the Palestinian- Israeli conflict and the Red Sea crisis will still continue. As the global divergence continues to expand, the growth of developed economies will slow down significantly. The growth rate of emerging markets and developing economies is expected to be relatively moderate, while the growth rate of global economy and trade will be at a historically low level. In the meantime, the elections of major countries have brought more uncertainties to the world, and the global political and economic situation has become more and more complicated. In 2024, China will adhere to the general principle of seeking progress while maintaining stability, consolidate and enhance the positive trend of economic recovery, and continue to promote the effective improvement of quality and reasonable growth of quantity of the economy. It is expected that with the gradual implementation of various economic stabilization policies and the continuous release of the effect of various trade agreements, the flow of cross-national trade elements will be further improved, the momentum of commodity import and export will be enhanced, and new growth opportunities will be provided for the port industry. In addition, the coordinated transformation and development of digital and green ports will also inject new development momentum into the port industry. Note 1 Profit attributable to equity holders of the Company net of non-recurrent losses/gains after tax. Non-recurrent losses/gains include: for 2023, net change in fair value of financial assets at fair value through profit or loss, net change in fair value of investment properties and gain on disposal of a subsidiary; while for 2022, net change in fair value of financial assets at fair value through profit or loss, net change in fair value of investment properties and net loss on deemed disposal of partial interest in an associate.