To Our Shareholders,

2022 was an extraordinary year. In such a turbulent time when the recurring pandemic and volatile geopolitical conditions interwove with complex and ever-changing economic development, New World embraced the challenges and strived ahead. By adhering to the strategy of “Pursuing the Path of High-Quality Development with Steady and Sustainable Growth”, it made significant progress while ensuring stability, leading the Group to brave the waves and sail to high-quality development.

As the report of the 20th National Congress of the Communist Party of China (“CPC”) stated, “to build a modern socialist country in all respects, we must, first and foremost, pursue high-quality development”. In response to this, New World has been insisting on developing exquisite and high quality projects and building urban landmarks in key cities in the Greater Bay Area and major areas in the Yangtze River Delta, so as to play a part in accomplishing high quality economic and urban development in the PRC.

In Hong Kong, we have been, as always, actively worked on farmland conversions. The development of Northern Metropolis and the SKYCITY complex “11 SKIES” were on track, which will create new tourist attractions for the city in the near future. In Mainland China, as our urban renewal business has entered into the harvest stage, we continued to bring “the soul of the city” to life through city-industry integration. “K11 ECOAST”, the first K11 flagship project in the Mainland, is expected to complete by 2024, which will become a new cultural and retail landmark on the waterfront of the Greater Bay Area, upgrading the cultural and retail enjoyment in the area.

As mentioned in “Tao Te Ching” by Laozi, “Mountain is towering as it never resists every speck of dust; ocean is vast as it never turns away every drop of water”; success is built upon growth bit-by-bit. Backed by New World’s business acumen gained from achievements over the past half-century, we managed to achieve remarkable results even when the industry is facing challenges.

While focusing on business development, New World created shared value for the need of society, achieving business success while furthering social progress. We are the third property developer in Asia to receive approval from Science Based Targets initiative of its near-term 1.5°C aligned science-based targets. With a vision to mitigate Hong Kong’s housing problems through innovative solutions, we have been liaising closely with NGOs and government authorities to build better communities for Hong Kong’s next generation.

The pandemic, which has lasted for three years, is finally coming to an end. The reopening of border is huge excitement to us and we look forward to seeing more mainland travellers and talents visiting Hong Kong, which will reinvigorate Hong Kong’s economic growth. Leveraging on years of operation in the Greater Bay Area, the Group will continue to contribute its successful experience and resources in such diversified industries as finance, education, healthcare and technology to the Mainland, actively utilise our industrial advantages to accelerate and enhance the interaction among economic and business activities in the region, and promote industrial integration, resource sharing and opportunity creation in the Greater Bay Area, thereby providing stronger support to the inclusion and high-quality development in the Greater Bay Area. 2023 is the year to embark on the entire plan set at the 20th National Congress of CPC. New World will keep abreast of the national development strategy, uphold the strategy of “Pursuing the Path of High-Quality Development with Steady and Sustainable Growth”, forge ahead and create value for shareholders and society.

Dr. Cheng Kar-Shun, Henry
Hong Kong, China, 23 February 2023