MTR Corporation (00066) announced its performance for the year 2024, with a net profit attributable to shareholders of 15.772 billion Hong Kong dollars, representing a year-on-year growth of 102.6%.

MTR Corporation (00066) announced its performance for the year 2024, with total revenue of HK$60.011 billion, a year-on-year increase of 5.3%; recurring business profit of HK$7.21 billion, a year-on-year increase of 68.4%; net profit attributable to company shareholders of HK$15.772 billion, a year-on-year increase of 102.6%; earnings per share of HK$2.54, and a proposed final dividend of HK$0.89 per share. According to the announcement, the revenue growth was mainly driven by (i) the continued recovery of passenger volumes, especially in transit services, airport express, and high-speed rail (Hong Kong section), which led to an increase in train service revenue in Hong Kong; (ii) contributions from two new shopping malls "V City" and "THE SOUTHSIDE" opened in the second half of 2023; and (iii) a recovery in rental income from commercial activities at Hong Kong stations. These positive factors were partially offset by reduced income from the termination of the Stockholm commuter rail franchise in March 2024 and decreased project income from operations in Melbourne. Profit increase was mainly attributed to the recovery of passenger volumes, resulting in improved train service operations in Hong Kong, as well as the absence of special provisions for losses related to the Swedish operations in 2024. In 2023, the Group recognized a total of HK$1.022 billion in special provisions for the early termination of the Stockholm commuter rail and Mlartg regional transport franchises on March 2nd and June 16th. The "Rail plus Property" operating model has provided a solid financial foundation for MTR in designing, constructing, operating, and maintaining a high-quality railway network for many years, allowing the company to simultaneously contribute to community building in Hong Kong. Under this model, the company develops residential and commercial properties near or adjacent to railway lines and uses most of the generated income for asset enhancement, renewal, and future network expansion. The increase in property development profits in 2024 reflects profits from existing and new property projects. The company also continues to generate satisfactory recurring income from passenger services, station commercial activities, and investment properties, although passenger volumes and rental income are still slightly lower than pre-COVID-19 levels. With this promising performance, the company will be able to provide funds for future railway projects as well as maintain and enhance the existing network. However, in order to build Hong Kong's future, the company must plan cautiously to achieve its growth targets while maintaining the necessary financial strength and a healthy balance sheet.