Hong Kong MTR Corp’s profit rises 45% to HK$6 billion as ridership recovers strongly

CEO Jacob Kam says rail operator needs to proceed cautiously with the global economy volatile

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The rail giant has reported a robust recovery in ridership Photo: Jelly Tse

Published: 5:26pm, 15 Aug 2024Updated: 9:47pm, 15 Aug 2024

Hong Kong’s MTR Corporation has posted a 44.7 per cent rise in net profit to HK$6.04 billion (US$769.2 million) for the first half of 2024, with the rail giant enjoying a robust recovery in ridership for domestic and cross-boundary services, including a strong performance from the high-speed rail.

Profits, which rose from HK$4.17 billion a year ago, were also helped by property development gains. Property profits increased by 137.7 per cent to HK$1.74 billion, mainly derived from projects the Southland and La Marina in the Southside development and Villa Garda in Lohas Park.

CEO Jacob Kam Chak-pui said on Thursday that despite the rising profits, the rail operator needed to practise prudent financial management amid a volatile global economy.

“The operating environment we find ourselves in is a challenging one. While our recurrent business revenue is recovering, our operations in and outside Hong Kong still face uncertainties in terms of macroeconomics, geopolitical risks and consumption trends,” he said.

“Still, we need to proceed cautiously in these transitional times, particularly when the global economy remains volatile due to geopolitical pressures and high interest rates.”

CEO Jacob Kam says the operating environment is challenging. Photo: Edmond So

The company’s overall revenue over the first half rose 6.2 per cent year on year to HK$29.3 billion.