The property market in China and Hong Kong in 2019 will continue to be affected by the Sino-US trade war, causing China’s economy to slow down and property transaction volume shrinking, especially in the second half of the year.
Centaline Group made a property transaction volume of approximately HKD 108.1 billion, buyers mainly from Mainland China; while the Group’s commission income recorded for HKD 17.46 billion, 8% decrease year-on-year, but recorded an increase of HKD 735 million after-tax, 47% increase year-on-year. In 2019, Centaline Group’s transaction turnover amount exceeded HKD 10.66 billion, profit of HKD 235 million and the total number of transactions in Asia Pacific and Mainland China reached up to 449,296.
Businesses in Hong Kong were badly affected by both the Hong Kong social movement as well as the Sino-US trade war in the second half of the year, transaction volume in the property market also decreased significantly. The Group recorded for more than HKD 4.97 billion in commission income in 2019, with a decrease of 8% from 2018. Among these, the residential sector exceeded HKD 3.85 billion, while industrial and commercial sector recorded a commission income of HKD 533 million, a significant decrease of 35% compared to 2018. Centaline Group’s profit after tax was HKD 388 million in 2019, a decrease of 38%.