Credit Suisse: SINO LAND (00083) mid-term profit and dividend in line with expectations, expecting neutral stock price reaction, with a target price of 14.3 Hong Kong dollars.

UBS released a research report stating that as of the end of December last year, SINO LAND (00083) core profit for the first half of fiscal year 2026 decreased by 1% to HK$2.2 billion, maintaining a mid-term dividend of HK$0.15 per share, with a payout ratio of 62%, in line with the bank's expectations. The bank expects the stock price to react neutrally to performance, giving a target price of HK$14.3 and a "buy" rating. The group's net cash level increased from HK$49.5 billion in June 2025 to HK$51.4 billion. However, due to the impact of declining interest rates, net interest income fell by 14% year on year to HK$983 million. Management maintains a cautiously optimistic attitude towards the recovery of the real estate market, with capital allocation priorities continuing to focus on replenishing land reserves and exploring new investment opportunities (such as student dormitories). At the same time, the group stated that they are considering share buybacks and options for dividends in shares, but do not have a specific timetable yet.