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The following is issued on behalf of the Hong Kong Monetary Authority:
The Hong Kong Mortgage Corporation Limited (HKMC) today (October 29) announced the highlights of its unaudited financial results for the first six months of 2015 (1H 2015).
2015 Half-Year Financial Results Highlights
* Unaudited consolidated profit after tax was HK$338 million (1H 2014: HK$374 million)
* Annualised return on shareholders' equity was 7.6% (1H 2014: 8.3%)
* Cost-to-income ratio was 25.4% (1H 2014: 22.9%)
* Capital adequacy ratio was 22.6% as at June 30, 2015 (December 31, 2014: 23.5%)
2015 Half-Year Business Performance Highlights
Asset Purchase
* Purchased HK$71 million loan assets (1H 2014: HK$74 million)
* Outstanding principal balance of the loan portfolio was HK$12.5 billion as at June 30, 2015 (December 31, 2014: HK$15.6 billion)
Debt Issuance
* Issued HK$12.1 billion corporate debts (Note) (1H 2014: HK$8.5 billion), being one of the most active issuers in Hong Kong
* Outstanding balance of debt securities was HK$36.2 billion as at June 30, 2015 (December 31, 2014: HK$33.3 billion)
* Credit ratings of AAA from Standard & Poor's and Aa1 from Moody's, same as the ratings of the HKSAR Government
Mortgage Insurance Programme (MIP)
* New mortgage loans drawn down under the MIP amounted to HK$8.2 billion (1H 2014: HK$6.2 billion)
* 85% of the MIP loans drawn down (in terms of the loan amount) were secured on properties in the secondary market, demonstrating the importance of the MIP to homebuyers in the secondary market
SME Financing Guarantee Scheme (SFGS)
* Approved more than 580 applications for the 80% guarantee products under the Special Concessionary Measures with a total loan amount of approximately HK$2.0 billion
Reverse Mortgage Programme
* Approved 147 applications, with an average property value of about HK$5.3 million and average monthly payout of HK$15,200
Microfinance Scheme
* Approved 11 applications with a total loan amount of HK$2.13 million
Further details of the HKMC's consolidated financial results and financial review for 1H 2015 are set out at Annex.
Note: For debts with tenor of one year or above.
Ends/Thursday, October 29, 2015
Issued at HKT 17:00
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