Li Ka-shing’s CK Hutchison, CK Asset first-half profits hit as coronavirus pandemic weighs on businesses

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CK Hutchison’s first-half profit declined 29 per cent as retail business hit by declining foot traffic, store closures

CK Asset’s underlying profit fell 35.5 per cent from a year earlier because of lower property sales and pub closures in the UK

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Potential buyers gathered at the sales office for CK Asset Holdings’ Sea To Sky development in July. Photo: Nora Tam

Chad BrayandPearl Liu

Published: 6:30pm, 6 Aug 2020Updated: 10:27pm, 6 Aug 2020

CK Hutchison Holdings and CK Asset Holdings, the listed flagships of tycoon Li Ka-shing, reported sharp declines in their first-half results on Thursday as slower demand due to the coronavirus pandemic weighed heavily on the companies’ energy, ports, retail and property operations.

CK Hutchison, the conglomerate with businesses spanning from container ports, retailers to telecommunications and power plants, said net profit fell 29 per cent to HK$13 billion (US$1.7 billion) for the first six months of 2020.

“The world has experienced many unexpected shocks in first half of 2020,” said Victor Li Tzar-kuoi, CK Hutchison’s chairman and the eldest son of Li Ka-shing, in a stock exchange filing. “However, recent developments in June and July suggest some signs of moderate stabilisation with various markets in Europe and in the mainland gradually relaxing the restrictive measures. Should these trends continue, the second half could provide a more constructive operating environment.”

The elder Li, Hong Kong’s richest man, continues to serve as senior adviser to CK Hutchison and CK Asset since stepping down as chairman in May 2018.

Victor Li Tzar-kuoi, the chairman of CK Hutchison Holdings and CK Asset Holdings, said the companies suffered sharp declines in first-half profit as the coronavirus pandemic weighed on their operations. Photo: Handout

Husky Energy, the listed Canadian energy company, fell to a loss in the first half as crude oil prices crashed and demand for gas and oil declined against the backdrop of the pandemic.

Li Ka-shing’s CK Hutchison, CK Asset first-half profits hit as coronavirus pandemic weighs on businesses

CK Hutchison’s first-half profit declined 29 per cent as retail business hit by declining foot traffic, store closures CK Asset’s underlying profit fell 35.5 per cent from a year earlier because of lower property sales and pub closures in the UK

CK Hutchison’s first-half profit declined 29 per cent as retail business hit by declining foot traffic, store closures

CK Asset’s underlying profit fell 35.5 per cent from a year earlier because of lower property sales and pub closures in the UK