HKMC's financial results highlights for first half of 2016
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The Hong Kong Mortgage Corporation Limited (HKMC) today (September 19) announced the highlights of its unaudited financial results for the first six months of 2016 (1H 2016) as follows:
2016 Half-Year Financial Results Highlights
- Unaudited consolidated profit after tax was HK$296 million (1H 2015: HK$338 million)
- Annualised return on shareholders’ equity was 6.6% (1H 2015: 7.6%)
- Cost-to-income ratio was 29.3% (1H 2015: 25.4%)
- Capital adequacy ratio was 20.2% as at June 30, 2016 (December 31, 2015: 21.9%)
2016 Half-Year Business Performance Highlights
Asset Purchase
- Purchased HK$19 million loan assets (1H 2015: HK$71 million)
- Outstanding principal balance of the loan portfolio was HK$10.5 billion as at June 30, 2016 (December 31, 2015: HK$11.5 billion)
Debt Issuance
- Issued in total HK$15.4 billion corporate debts* (1H 2015: HK$12.1 billion), being a major and active corporate debt issuer in Hong Kong
- Outstanding balance of debt securities was HK$40 billion as at June 30, 2016 (December 31, 2015: HK$33.5 billion)
- Credit ratings of AAA from Standard & Poor’s and Aa1 from Moody’s, same as those of the HKSAR Government
Mortgage Insurance Programme (MIP)
- New mortgage loans drawn down amounted to HK$7.8 billion (1H 2015: HK$8.2 billion)
- 78% of loans drawn down (in terms of 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
- Approved 346 applications under the Special Concessionary Measures (i.e. the 80% guarantee product) with a total loan amount of approximately HK$1.2 billion (91% of the benefitted borrowers since launch of the 80% guarantee product were small enterprises with less than 50 employees)
Reverse Mortgage Programme
- Approved 168 applications, with an average property value of HK$6 million and average monthly payout of HK$17,600
Microfinance Scheme
- Approved seven applications with a total loan amount of HK$1.69 million
Premium Loan Insurance Scheme
- Approved five applications, with an average property value of HK$4.1 million and average lump-sum payout of HK$0.53 million
Further details of the HKMC’s unaudited consolidated financial results and financial review for 1H 2016 are set out at Annex.
* Debts with tenor of one year or above.
Ends/Monday, September 19, 2016
Issued at HKT 17:00
Issued at HKT 17:00
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