Analogue FY2024 Revenue Rose to HK$6,450 Million, Adjusted Profit Attributable to Owners of the Company Increased to HK$206 Million

Analogue Holdings Limited (Analogue or the Company, together with its subsidiaries, the Group) (stock code: 1977), a leading provider of electrical and mechanical (“E&M”) engineering solutions, and information and communications technology services for smart cities, today announced its annual results for the year ended 31 December 2024 (the Year or FY2024).

Financial Highlights

– Contracts-in-hand remained at a high level of HK$11,052.7 million
– Revenue rose to HK$6,450.1 million, up 5.2% year-on-year
– Adjusted profit attributable to owners of the company recorded HK$206.0 million 1 with a growth of 10.2% 2 year-on-year, excluding a one-off expense and provision
– Total dividend for the year amounted to HK4.38 cents per share

Chairman Dr Mak Kin Wah said, “Capturing opportunities from shifting market priorities towards intelligent and digital solutions, data centres, environmental engineering and climate solutions, hospitals, infrastructure, and housing, we maintained a high level of contracts-in-hand across the Group’s diverse scope of business, providing a strong underlying foundation for the business over the next two years and beyond; this was notwithstanding the challenges around the world and in Hong Kong during the year.

ATAL Tower, our new headquarters, is a significant investment that demonstrates our confidence in the future and our commitment to Hong Kong. We will continue to leverage our expertise and strong financial position to take up additional opportunities in the Hong Kong market, and explore further business development in overseas markets. Our investment in research and development, and innovation will enhance our core strengths and competitiveness. We will tirelessly live up to our motto of ‘We Commit. We Perform. We Deliver.’, ultimately driving our sustainable growth, optimising value for shareholders and other stakeholders, and contributing to the wider community.”

Business Review: Building Services

– This segment is the largest revenue contributor, with revenue up 5.3% to HK$3,933 million.
– The recurring maintenance revenue increased by 40.2% to HK$422 million.
– Leadership in the innovative construction technology of Multi-trade Integrated Mechanical, Electrical and Plumbing (“MiMEP”) received a major boost during the year, not only with the award of significant contract for a Grade A office building in Causeway Bay with the highest level of MiMEP application at 85% for a commercial building, but also with the development of our own systematic MiMEP methodologies and solutions.
– The “MiMEP Design and Manufacturing Centre” and “MiMEP High Productivity Research Centre” in Zhuhai, as well as other MiMEP manufacturing facilities in Hong Kong, were established to integrate our capabilities in the Greater Bay Area with cutting-edge technology from Hong Kong.

Environmental Engineering

– The order intake significantly increased by 107.4% to HK$1,514 million, with contracts won for environmental infrastructure needed to enhance climate resilience, environmental protection, sustainability of water supply and waste treatment, and support for public housing and utilities.
– The segment actively extended its expert services around the world, including Teresa in the Philippines, Dubai and other parts of the world.

Information, Communications and Building Technologies (“ICBT”)

– The order intake increased 22.5% to HK$757 million, with contracts-in-hand up 13.8% to HK$959 million.
– The segment actively collaborated with leading manufacturers worldwide and in Mainland China to expand its technology reach and deliver cutting-edge solutions in diverse sectors.

Lifts and Escalators

– There was a significant growth in order intake and revenue, up 48.5% to HK$548 million and up 39.9% to HK$529 million respectively.
– The two recently acquired lift companies in the United Kingdom (“UK”) contributed to revenue growth and made progress in the UK business.
– The associate in the United States turned from a loss to a profit in FY2024 and made progress in expanding its business into additional cities in the South.

For further details of the 2024 Annual Results, please refer to the announcement filed with The Stock Exchange of Hong Kong Limited.

Remark:

1. Profit attributable to the owners of the Company was HK$135.3 million, including a one-off expense of approximately HK$23.1 million before tax for relocation to the new consolidated headquarters to realise enhanced efficiency and synergy across business units, and a provision for expected credit loss of HK$88.0 million before tax to reflect risks with the recoverability of certain receivables and contract assets held by the Group in relation to certain construction companies.

2. When compared with the adjusted profit attributable to owners of the company of HK$186.9 million in FY2023, which excludes a one-off dilution gain before tax upon completion of a private placement by an associate in Mainland China, a gain on disposal of interest before tax in an associate, and a provision before tax in respect of certain contracts in the healthcare sector.

About Analogue Holdings Limited

Established in 1977, Analogue Holdings Limited is a leading provider of electrical and mechanical (“E&M”) engineering solutions and information and communications technology (“ICT”) services for smart cities, with headquarters in Hong Kong and operations in Macau, Mainland China, the United States and the United Kingdom. Serving a wide spectrum of customers from public and private sectors, the Group provides multi-disciplinary and comprehensive E&M engineering and technology services in four major segments, including Building Services, Environmental Engineering, Information, Communications and Building Technologies (“ICBT”) and Lifts & Escalators.

The Group also manufactures and sells Anlev lifts and escalators internationally and has entered into an alliance with Transel Elevator & Electric Inc. (“TEI”), one of the largest independent lifts and escalators companies in New York, the United States. The Group’s associate partner, Nanjing Canatal Data-Centre Environmental Tech Co., Ltd (603912.SS), specialises in manufacturing of precision air conditioners.