Pacific Century Premium Developments, the property arm of tycoon Richard Li's PCCW, said 2005 profit jumped 70 percent, and it expects overseas projects to begin generating revenue in a few years as it reduces reliance on Cyberport development.

The PCDP said net profit was HK$597 million, up 69.6 percent over the restated HK$352 million in 2004. Turnover fell 12.1 percent to HK$5.13 billion due mainly to new according rules that disallow booking sales of uncompleted flats, and reduced rental income after PCCW Tower was sold.

"The [profit] increase was partly attributable to the increase of interest income generated from the proceeds received from the sale of the PCCW Tower in February 2005," the company said.

PCPD's chairman Li said the developer's China projects will become its revenue sources, including the planned residential redevelopment of the Hujialou telephone exchange in Beijing's Chaoyang district.

The site, with a gross floor area of one million square feet, belongs to China Netcom Group, which took at 20 percent stake in PCCW in January last year.

PCPD Last month took part in its first land auction in the mainland, snapping up a residential site in Chaoyang with total GFA of 498,000 square feet for 50 million yuan (HK493.42 million).

In Hong Kong, Li said its Bel-Air luxury development at Cyberport still has 800 units under construction and revenue from these when completed and sold to buyers will be booked in 2008 and 2009.

The company will redevelop a number of PCCW-owned telephone exchange buildings, of which the Wo Fung Street site in Sheung Fan is the first due for completion in 2008 with pre-sales starting next year.

PCPD sold more than 210 Bel-Air units in 2005, generating proceeds of HK$3.55 billion. Up to the end of 2005, more than 1,980 units have been sold since sales started in 2003.

The company proposed a final dividend of 5.5 HK cents a share, taking the total dividend to 7 HK cents, unchanged from 2004. Its shares closed 0.96 percent down Wednesday at HK$2.575.

(danny.chung@singtaonewscorp.com kc.wong@singtaonewscorp.com)

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