Swire Pacific Posted First-Half Loss Due to Covid-19 Impact

By P.R. Venkat

Swire Pacific Ltd. posted a loss in the first half of the year, as the Covid-19 pandemic weighed on its airline and offshore businesses.

Net loss for the period was 7.74 billion Hong Kong dollars (US$998.5 million), while revenue fell 9% from a year earlier to HK$39.06 billion.

In the first half of 2019, Swire reported net profit of HK$7.94 billion.

Swire said it is reducing its dividend payout to remain in cash position.

"A number of our businesses continue to be adversely affected by Covid-19. The effect on Cathay Pacific is particularly severe. But our property and beverages businesses in the Chinese mainland are recovering well," Chairman Merlin Swire said.

Swire, which owns a 45% stake in Cathay Pacific, also has business interests spanning sectors from property to trading and offshore.

Write to P.R. Venkat at [e-mail]