To Our Shareholders,

In 2020, the COVID-19 pandemic decelerated global economic growth and ruptured the consensus on globalisation. It was a year infested with fear and anxiety, a year imbued with resilience and bravery as well. We remain convinced of resolving difficulties with action, dissolving division with communication and reconciliation, and dispelling disappointment with hope.

2020 also stood as a significant year to us, as we embraced the golden jubilee for the founding of the New World Group. Subsequent to our establishment in 1970, we acquired the Holt’s Wharf on the waterfront of Tsim Sha Tsui and started to build the New World Centre. In 1972, we entered the capital market with our listing on the Hong Kong Stock Exchange. Afterwards, the Group established three subsidiaries, namely New World China, New World Department Store and NWS Holdings in 1992, 1993 and 2002, respectively. Their inception enriched the composition of the New World Group. In 2008, we created the K11 brand, with the world’s first K11 Art Mall unveiled in Hong Kong a year later. Since 2015, we have been restructuring our property business in Mainland China. We managed to privatise New World China and devised a visionary development strategy: to focus on the Guangdong-Hong Kong- Macao Greater Bay Area and position ourselves across the Greater China. Victoria Dockside, our redevelopment project of the New World Centre in Tsim Sha Tsui, Hong Kong, fully commenced operation as a new global landmark in 2019. In early 2021, New World China moved its operation headquarter to Guangzhou, which would prop up the Group’s development strategy in the Guangdong-Hong Kong-Macao Greater Bay Area.

Over 5 decades, we have established ourselves with one milestone after another, one record after another. Our growth is propelled by the dual-core engines of property development and property investment, as we optimise our business portfolio through non-core asset disposals, empower our products with technology and sustainability, and keep ramping up our New World Ecosystem.

In the meantime, we never forget to give back to the society by creating shared value. We planned to offer 3 million sq ft of agricultural land to NGOs and/or the Hong Kong Government in stages, and have built innovative social housing for grassroots families in Hong Kong. By establishing production lines of Made-in-Hong Kong face masks, we donated over 17 million masks to Hong Kong, China, Mainland China as well as other countries and regions.

Nevertheless, we are well aware that “everything ends into the past”.

Guan Zhong, a prominent reformer in the Spring and Autumn Period, puts it that “do not reminisce about the past and indulge in the present, but keep abreast of the times and the prevailing trends”. 50 years of development has transformed us from a property developer to a conglomerate.

2021 represents the first year of the Nation’s “14th Five-Year Plan” and also a crucial start for the New World Group stepping into the next decade. A few years ago, we have set out the “New World Sustainability Vision 2030”, under which the elements of “Green”, “Wellness”, “Smart” and “Caring” are blended into our business planning and customer experience. Meanwhile, we work to offer high-quality, practical and time-tested products, services and cultural contents with a view to creating more value for our stakeholders.

Dr. Cheng Kar-Shun, Henry
Hong Kong, China, 26 February 2021