UBS: The management of K11 proves cautious about the outlook for retail rents. Neutral rating.

According to the Wisdom Finance APP, Credit Suisse released a research report stating that Wharf Real Estate Investment Company (01997.HK) achieved performance in line with expectations in the first half of this year, with a basic profit of HK $3.1 billion, which was 4% lower than the bank's expectations. The interim dividend per share increased by 3% to HK $0.66 compared to the same period last year, meeting expectations. However, the management continues to hold a cautious attitude towards retail rents and predicts that retail rental returns may turn negative. It is expected that rental adjustments at Harbour City will see a slight decline in the low single digits, compared to a positive adjustment in the first half of this year. Credit Suisse maintains a "neutral" rating on Wharf Real Estate Investment Company with a target price of HK $20.