Langham Hospitality Investments reports H1 2025 profit decline, no interim distribution

Langham Hospitality Investments reported a distributable income of HK$28.0 million for the first half of 2025, a 17.6% decrease from HK$34.0 million in the same period last year. Consequently, no interim distribution per share stapled unit was declared. Total revenue of the hotel portfolio declined by 4.6% to HK$737.5 million, while the aggregate gross operating profit before the global marketing fee fell by 6.7% to HK$217.0 million.

The company's net loss attributable to holders of share stapled units was HK$142.2 million, a stark contrast to the HK$43.0 million profit in H1 2024. This was primarily due to fair value losses on investment properties of HK$143.3 million and derivative financial instruments of HK$27.3 million. Despite these losses, finance costs decreased by 15.4% to HK$137.7 million.

The gross value of the hotel portfolio slightly decreased to HK$15,764 million as of June 30, 2025, from HK$15,895 million at December 31, 2024. The gearing ratio increased marginally to 38.5% from 38.2%. The average room rate remained stable at HK$1,561, but occupancy declined to 88.4%.