HONG KONG (Reuters) -Shares of CK Hutchison fell on Friday after the telecoms-to-retail conglomerate reported weak earnings and dividends and said its operating environment would be volatile.
Underlying profit for the group, which is having to contend with displeasure from Beijing over the sale of its ports business, slid 11% of HK$20.8 billion ($2.7 billion) last year, slightly short of expectations.
Its final dividend was cut to HK$1.514 per share from HK$1.775 for 2023.
Shares in the company lost 1.9% in early Hong Kong trade.
The company has agreed to sell its ports business to a BlackRock-led consortium, including assets near the strategically important Panama Canal. The deal is expected to garner the firm more than $19 billion in cash but has been criticised by Beijing.
CK Hutchison made no mention of the ports deal in its earnings statement, although it said “geopolitical and trade tensions have … risen significantly.”
“The operating environment for the Group’s businesses is expected to be both volatile and unpredictable,” it said in the statement.
It added that it will constrain capital spending and new investment and focus on stringent cash flow management.
(Reporting by Clare Jim and Donny Kwok; Editing by Edwina Gibbs)
