Wang On Group Limited Overview
Wang On Group is a Hong Kong family-controlled holding company that sits atop a three-tier pyramid of listed subsidiaries spanning residential property development and asset management (Wang On Properties), Traditional Chinese Medicine and Western over-the-counter pharmaceuticals (Wai Yuen Tong, Madame Pearl's, Pearl's) and a nationwide chain of agricultural produce wholesale markets in Mainland China (China Agri-Products Exchange). At the parent level it directly operates Hong Kong fresh (wet) markets under the "Allmart" and "Day Day Fresh" brands, a butchery chain and a small money-lending book. The group's tagline — connecting people with their daily needs — captures a portfolio oriented around housing, food and health. Financially, the group has posted three consecutive years of large attributable losses (FY2024–FY2026, cumulatively c.HK$2.48 billion) driven by the Hong Kong residential down-cycle, write-downs and joint-venture losses, and trades at roughly 0.1x book value, making it a deep-value, high-leverage, governance-sensitive small cap.
What the company does — the company's own description
In its FY2025 results announcement, the company defines five reportable operating segments: (a) property development — development and trading of properties; (b) property investment — investment in industrial, commercial and residential premises for rental or sale; (c) fresh markets — management and sub-licensing of fresh markets and the butchery business, including management of agricultural produce exchange markets in Mainland China; (d) pharmaceutical — production and sale of pharmaceutical and health food products and TCM services; and (e) treasury management — provision of finance, investment in debt and other securities, and managing assets on behalf of the group's capital partners via investment vehicles. The Annual Report 2026 brands the group under the theme of connecting customers with their daily needs.
Independent characterisation
Economically, Wang On is a listed holding company with three listed operating subsidiaries plus a directly-owned fresh-market business. Value creation and destruction is dominated by (i) the Hong Kong residential development cycle, transmitted through Wang On Properties (WOP) and its private-equity joint ventures, and (ii) the steady cash-generating but structurally pressured food-retail infrastructure businesses (Hong Kong wet markets; PRC wholesale markets under CAP). The pharmaceutical arm (WYT) is the group's strongest consumer franchise (brand valuation HK$2.05 billion at 31 March 2025 per a third-party valuer cited in AR2026) but has seen revenue drift lower since FY2024.
Revenue model mix (FY2025, the latest year with a full revenue-by-type note)
| Revenue type (HKD Mn) | FY2024 | FY2025 |
|---|---|---|
| Sale of properties | 432.9 | 1,352.5 |
| Sale of goods (pharma, pork, retail) | 872.0 | 822.4 |
| Pharmaceutical management & promotion services | 12.5 | 14.4 |
| TCM services | 14.8 | 12.4 |
| Commission income from agri produce exchange markets | 83.7 | 80.0 |
| Agri produce exchange market ancillary services | 87.1 | 88.7 |
| Asset management fees | 36.2 | 25.0 |
| Interest income from treasury operation | 55.4 | 15.0 |
| Sub-licensing fee income (HK fresh markets) | 197.3 | 143.8 |
| Gross rental income from investment property operating leases | 184.8 | 185.3 |
| Dividend income | 7.1 | 0.7 |
| Total revenue | 1,983.2 | 2,740.2 |
Source: FY2025 Final Results Announcement, note 4. Characterisation: roughly half product/transactional (property sales and goods), roughly one-sixth recurring rental/licensing, the balance services, commissions, fees and interest. There is no subscription or licensing (IP) revenue in the conventional sense.
Value-chain position, customers and end-markets
Property: WOP acts as developer and, increasingly since 2019, as asset manager/co-investor alongside global private-equity partners (KKR, Angelo Gordon/"AG", Chevalier), earning asset-management, acquisition, development, leasing and promote fees. Customers are Hong Kong end-user homebuyers (local families, incoming talent, young professionals), tenants and students.
Fresh markets: The group leases wet-market premises (often from the Hong Kong Housing Authority and private landlords) and sub-licenses stalls to small traders — a property-intermediary model.
Agricultural produce exchanges (CAP): Landlord/operator of wholesale market infrastructure, earning commissions, ancillary service fees and rents from traders, plus occasional property sales of market units.
Pharmaceutical (WYT): Vertically integrated manufacturer, brand owner and retailer (~90 stores in HK, Macau and Mainland), with wholesale/distribution to chain pharmacies and cross-border e-commerce.
Treasury: Secured/unsecured money lending to HK individuals and private companies, plus a securities/fund portfolio.
Strategy
Stated strategic themes (AR2026 Chairman's Statement, paraphrased)
-
WOP: focus on well-located, transit-linked quality residential projects for end users; deepen the "living sector" (student housing, rental assets, co-living/serviced apartments); prudent financial discipline; convert selected completed units to rental assets; ESG and innovation.
-
Deleveraging via completions: CONNEXT (OP June 2026), PORTO (OP expected in FY2027) and distributions from completed APG projects (101 KINGS ROAD, PHOENEXT, Coasto) expected to substantially improve WOP's gearing over the short-to-medium term.
-
Fresh markets: stabilise portfolio via landlord partnerships, improve shopping experience and seek new growth avenues amid online/delivery competition and northbound spending.
-
WYT: "using medical services to drive herbal medicine sales"; franchise-led retail expansion; GBA market entry for 26 eligible oral PCMs; online-offline marketing; AI-enabled "Smart TCM"; prepare for China's 15th Five-Year Plan period.
-
CAP: asset-light expansion with partners, cold chain/cold storage build-out in existing cities, GBA and provincial capitals, data-economy platforms, bulk trade, and exploration of blockchain/virtual-asset integration.
Initiative register (last 24 months)
| Initiative | Date | Detail |
|---|---|---|
| AG student-housing framework | Jun 2025 | Total commitments US$100M (AG) and US$18M (WOP) |
| Sunny House Mong Kok | Jul 2025 | 15% JV; 216 beds; opening August 2026 |
| Ting Yip Street student housing | FY2026 | Pre-leased to Hang Seng University of Hong Kong |
| Sze Shan Street JV with Chevalier | Jul 2024 | 50:50; ~309,500 sq ft GFA; completion 2029 |
| CAP HK$1B MTN programme | Aug 2024 | HK$211.5M outstanding at AR2026 date |
| Smart TCM device rollout | FY2026 | Six core stores; wider rollout planned |
| GBA simplified approval pipeline | 2025–2026 | 26 WYT products eligible; Hou Tsao Powder approved late 2025 |
| Madame Pearl's Mainland distribution | FY2025–FY2026 | Outlets expanded from 10,000+ to 30,000+ |
| Sale-and-leasebacks at CAP | Jan, May, Aug 2025 | Luoyang RMB51.0M, Puyang RMB20.4M, equipment RMB20.0M |
| Asset-light disposals at WYT | 2024–2026 | Shui Wo Street shop HK$33.0M; Yen Chow Street shop HK$19.5M; Shenzhen Guanzun RMB99.8M |
| Key-man insurance (WOP) | Nov 2025 | Single premium ~US$4.85M with Manulife |
| Sustainability-linked loans (WOP) | Prior year | ESG Committee formed; SLL facilities secured |
Medium-term financial targets
No quantitative revenue, margin, gearing or dividend targets have been published. Qualitative guidance: cautiously optimistic on HK property for FY2026/27; "substantial improvement" in WOP gearing expected over the short-to-medium term.
Products & Services
Property development (WOP) — project register (as at AR2026 date, June 2026)
| Project | GFA (sq ft) | Usage | Status / completion | Unsold saleable area (sq ft) | % sold |
|---|---|---|---|---|---|
| Pokfulam Project (JV, WOP asset manager) | 28,500 | Residential | Completed | 13,200 | 58 |
| Ap Lei Chau Project I (JV) | 74,200 | Resi & commercial | 2,027 | 63,700 | 0 |
| Ap Lei Chau Project II (JV) | 38,600 | Resi & commercial | Completed | 2,100 | 93 |
| Ap Lei Chau Project III | 68,200 | Resi & commercial | 2,027 | 38,900 | 32 |
| Wong Tai Sin Project I (JV) | 81,200 | Resi & commercial | Completed | 7,700 | 89 |
| Wong Tai Sin Project II (JV) | 93,700 | Resi & commercial | Completed | 49,100 | 41 |
| Ngau Tau Kok Project (JV) | 46,300 | Resi & commercial | 2,027 | 38,100 | 0 |
| Fortress Hill Project (JV) | 130,000 | Resi & commercial | Completed | 17,200 | 85 |
| Quarry Bay Project | 40,100 | Resi & commercial | Completed | 2,700 | 91 |
| Sze Shan Street Project, Yau Tong (50% JV with Chevalier) | 309,500 | Resi & commercial | 2,029 | 273,400 | 0 |
| Total | 910,300 | — | — | 506,100 | — |
Named marketed developments referenced in AR2026: 101 KINGS ROAD (near MTR, healthy sell-through), CONNEXT (OP obtained June 2026), PORTO (OP expected within FY2027), PHOENEXT, Coasto (all retail units leased in FY2026), projects at Ming Fung Street and Wai Fung Street (sold out), King's Road and Finnie Street (delivered Q1 2026), new launches at Fei Fung Street (March 2026) and Ping Lan Street (May 2026). Pricing model: open-market primary sales; WOP adopts flexible pricing and sales incentives. No new land acquired in FY2026.
Property investment, asset management, student housing (WOP)
Investment portfolio: one wholly-owned commercial property plus five projects with global PE funds including KKR and AG, stakes 15%–50%; occupancy above 96% (excluding Sunny House Mong Kok) — AR2026.
The Parkside: (mall, 50% JV, self-managed) and Lake Silver (commercial) — 93%–100% average occupancy; refinanced in FY2026.
Jumbo Court: WOP is asset manager.
Sunny House: (19 Luk Hop Street, former Pentahotel Kowloon): 720 rooms / 1,424 beds near Diamond Hill MTR; fully leased for its second academic year from Q3 2025 with overall rent about 11% higher than year one; WOP stake 15% after selling 20% to AG funds in August 2025.
Sunny House Mong Kok: (60 Portland Street, former Hotel Ease Mong Kok): 15% WOP JV with AG; 216 beds; renovation completion 2H 2026; operations expected from August 2026.
Ting Yip Street student accommodation: under development, pre-leased to The Hang Seng University of Hong Kong.
Asset management fees: asset management, acquisition, development and leasing fees plus promote fees above target IRRs (HK$25.0M in FY2025 vs HK$36.2M in FY2024).
Property management: started 2017; 10 projects managed at AR2026 date (two added: The Parkside and Finnie Street); fee priced as a proportion of building annual expenses.
Fresh markets & butchery (WOG direct)
"Allmart" (萬有): and "Day Day Fresh" (日日 • 食良) wet markets in Hong Kong: ~290 stalls, >122,000 sq ft GFA at 31 March 2026 (down from ~320 stalls / >120,000 sq ft at 31 March 2025). Model: lease premises, refurbish, sub-license stalls; e-payment adoption.
Butchery: 11 butchery stalls in operation at 31 March 2026; revenue ~HK$60.5M in FY2026.
Agricultural produce exchange markets (CAP)
-
10 agricultural produce exchange markets and 13 fresh markets across six PRC provinces (Guangdong, Guangxi, Henan, Hubei, Jiangsu, Liaoning) — AR2026. Flagship: Hubei Wuhan Baishazhou Agricultural and By-Product Exchange Market; other named sites include Luoyang and Puyang (Henan) market projects (subject to sale-and-leaseback), Yulin (Guangxi; Phase I disposed July 2025), Shenzhen wet markets (JV acquired Feb 2025; 11 owned properties ~15,463 sqm, 5 leased ~9,139 sqm).
-
Revenue model: trading commissions, ancillary services, rentals, occasional unit sales. Initiatives: self-developed ERP platform, market digitalisation, cold-chain/cold storage build-out, asset-light partnerships, bulk trade, and research into blockchain/virtual asset applications.
Pharmaceutical & health products (WYT)
| Line | Named products / brands | Notes (source AR2026 unless stated) |
|---|---|---|
| Proprietary Chinese medicines (flagships) | Angong Niuhuang Wan (安宮牛黃丸); Young Yum Pill (養陰丸); Hou Tsao Powder (猴棗除痰散) | Young Yum Pill recognised as Lingnan TCM Cultural Heritage of Guangdong; Hou Tsao Powder described as top seller for 13 consecutive years and first HK oral PCM approved in Mainland under GBA simplified route (late 2025) |
| Premium tourist "must-buy" items | Tibetan Wild Cordyceps (珍品冬蟲夏草); Ganoderma Lucidum Spore Oil (靈芝孢子油) | Targeted at Mainland visitors |
| New health supplements FY2026 | Ultimate Bone & Joint Revive (塑骨強關素, co-developed with PolyU); Wall-Broken Ganoderma Lucidum Spores; Sweet Dream Essence (安睡寧); Liver Guardian (護肝康) | Launched 2025/26 |
| New products 2024 (FY2025 results) | Premium Ganoderma Eight Plus (百草靈芝皇); Body Dampness Relief (祛濕清); Ultimate Brightening (雪肌丸); established Wild Cordyceps Plus, Nano Bone Enhancer | — |
| Five TCM product lines | Proprietary Chinese medicines, healthcare products, medicated food, herbal decoction pieces, lifestyle products | New SKUs added to all five in FY2026 |
| Western OTC | Madame Pearl's Cough Syrup | No.1 selling cough syrup in HK for 16 consecutive years; Mainland distribution expanded to 30,000+ outlets (from 10,000+ a year earlier) |
| Personal care | Pearl's mosquito repellents | Displayed in ~100 community dispensaries; seasonal Pokémon collaboration; Mannings and Watsons promotions |
| TCM services | ~90 TCM practitioners in HK; "Smart TCM" constitution profiling device in six core stores | Generates nine-constitution reports with seasonal advice |
| Retail network | ~90 stores across Mainland, HK and Macau; new stores at Paradise Mall (HK) and Hotel Central (Macau) in FY2026 | Mainland stores rationalised; franchise expansion planned |
| E-commerce | Douyin, Xiaohongshu, Tmall, JD.com direct stores | Cross-border live-streaming |
Brand valuation (Wai Yuen Tong, Madame Pearl's, Pearl's): HK$2.05 billion at 31 March 2025 (third-party valuer, cited in AR2026). Kantar Brand Health Tracking: WYT captures 13.6% of consumer demand in HK TCM category. Pricing models: retail list pricing; not disclosed in detail.
Treasury management
Money lending: 6 active loans (2 corporate, 4 individual), gross balance ~HK$75.8M at 31 March 2026 (FY2025: 16 loans, HK$116.0M; FY2024: 37 loans, HK$237.1M); weighted average rates 12.6% secured / 13.8% unsecured; LTV on secured loans 49.9%; top-five borrowers 99.3% of book; tenors 6–113 months.
Securities portfolio: FVOCI HK$52.2M and FVPL HK$244.8M at 31 March 2026 (total HK$296.9M; investment cost HK$540.0M).
Financial Narrative
Income statement: notes and sources
Sources: FY2023 results (FY2022–FY2023 revenue, GP, profit for year, DPS); Positive Profit Alert 9 Jun 2023 (FY2022 attributable loss); FY2025 results (FY2024–FY2025 P&L lines); AR2026 (FY2026). Operating income and EBITDA are not reported by the company; EBITDA cannot be reliably reconstructed from the sources reviewed (FY2025 depreciation of owned assets HK$53.6M and right-of-use assets HK$78.7M are disclosed).
Margins and growth (%)
Revenue CAGR FY2022–FY2026: approx. 9.1% (analyst calculation), but the path is highly non-linear, reflecting lumpy project completions. Operating and EBITDA margins: not publicly disclosed.
Commentary. The P&L is governed by the timing of WOP completions: FY2023 revenue nearly doubled on deliveries, collapsed 45% in FY2024 as no major project completed, then recovered in FY2025–FY2026. The critical inflection is margin compression: gross margin fell from 41.5% in FY2024 to 22.6% in FY2026, as units sold in the 2023–2025 trough were recognised at prices below or near cost (AR2026 states the property development segment loss arose because average selling prices of delivered units fell below cost of sales). Capitalised interest also flowed through cost of sales. FY2026 losses narrowed by 12.8% thanks to lower write-downs (HK$101.4M vs HK$229.3M), lower impairments on financial assets (HK$37.0M vs HK$112.1M), lower selling commissions and lower HIBOR, partly offset by a HK$206.7M loss on the partial disposal of the Sunny House JV interest.
Balance sheet
Sources: AR2026 financial highlights and MD&A; FY2025 results balance sheet. FY2026 NCI is derived (total equity less attributable equity). FY2026 short/long split derived from the AR2026 debt maturity table. Goodwill and intangibles: not separately disclosed in the sources reviewed (WYT brands are carried at historical cost, not at the HK$2.05B valuation).
Commentary. The balance sheet has shrunk by ~32% in two years (total assets HK$17.6B to HK$12.0B) as inventory was liquidated, write-downs taken and assets sold. Deleveraging is genuine — gross debt down HK$2.0B since FY2024 and net debt down HK$1.9B — but equity attrition has kept net gearing stuck around 58%. The FY2025 refinancing at WOP transformed maturity risk: current borrowings fell from HK$4.15B to HK$1.32B. FY2026 shows current maturities rising again to ~HK$1.78B (bank loans due within one year HK$1,663.3M), placing renewed emphasis on FY2027 cash generation from CONNEXT, PORTO and APG JV distributions.
Cash flow
Known data points: no dividends paid FY2024–FY2026; no share buybacks (FY2025 results confirm none apart from cancellation of treasury shares received via WYT distribution); WOP's FY2024 net cash used in operating activities was HK$724.1M (WOP FY2024 results). Interest capitalised was HK$92.1M in FY2025 (HK$147.3M FY2024), meaning total interest cost (HK$446.7M FY2025) materially exceeds expensed finance costs.
Ratios
ROIC, net debt/EBITDA, interest coverage and cash conversion cycle cannot be computed without EBITDA/EBIT and working-capital days — not publicly disclosed; with segment results negative in aggregate, interest coverage is negative (not meaningful) for FY2024–FY2025.
Unlock Company Financials
Unlock this company profile to view its financial data.
View Subscription PlansFinancial Detail
Group Entities
| Entity | Listing | WOG interest | Role |
|---|---|---|---|
Wang On Group Ltd | HKEX 1222 | Parent | Holding; HK fresh markets, butchery, money lending, treasury |
Wang On Properties Ltd (WOP) | HKEX 1243 | ~75% | HK residential/commercial development, asset & property management, student housing |
Wai Yuen Tong Medicine Holdings Ltd (WYT) | HKEX 897 | ~72.71% (Jul 2026); 72.02% (31 Mar 2025) | TCM & Western OTC pharma, health food, retail, TCM clinics |
China Agri-Products Exchange Ltd (CAP) | HKEX 149 | ~57.09% | PRC agricultural produce wholesale markets, fresh markets, PRC property sales |
Segment Revenue
| Segment | FY2024 | FY2025 | FY2026 |
|---|---|---|---|
Property development | 432.9 | 1,352.5 | 1,365.9 |
Property investment | 7.9 | 5.9 | 11.8 |
Fresh markets & agri produce exchange | 667.1 | 599.6 | 528.8 |
Pharmaceutical | 777.2 | 741.4 | 678.0 |
Treasury management | 98.1 | 40.7 | 46.6 |
Total | 1,983.2 | 2,740.2 | 2,631.1 |
Segment Revenue — Property development
| Segment | FY2024 | FY2025 | FY2026 |
|---|---|---|---|
Property development | -802.2 | -822.4 | -499.1 |
Property investment | 233.0 | 72.3 | — |
Fresh markets & agri produce exchange | 176.9 | 202.3 | 239.1 |
Pharmaceutical | 52.4 | -34.8 | — |
Treasury management | -73.8 | -174.7 | — |
Total segment result | -413.8 | -757.4 | — |
Segment Margins & Growth (%)
| Metric | FY2024 | FY2025 | FY2026 |
|---|---|---|---|
Property development % of revenue | 21.8 | 49.4 | 51.9 |
Fresh markets % of revenue | 33.6 | 21.9 | 20.1 |
Pharmaceutical % of revenue | 39.2 | 27.1 | 25.8 |
Treasury % of revenue | 4.9 | 1.5 | 1.8 |
Property development revenue YoY % | — | 212.4 | 1.0 |
Fresh markets revenue YoY % | — | -10.1 | -11.8 |
Pharmaceutical revenue YoY % | — | -4.6 | -8.6 |
Fresh markets segment margin % | 26.5 | 33.7 | 45.2 |
Segment Revenue by Sub-segment
| Sub-segment | FY2024 | FY2025 | FY2026 |
|---|---|---|---|
Property dev — Hong Kong (WOP) | 258.6 | 1,228.0 | 1,358.7 |
Property dev — PRC (CAP) | 174.3 | 124.5 | 7.2 |
CAP agri produce exchange markets (PRC) | — | 378.7 | 370.2 |
HK fresh markets (sub-licensing) | 197.3 | 143.8 | 98.1 |
HK butchery & other retail | — | 77.1 | 60.5 |
Money lending revenue | 28.6 | 14.4 | 9.3 |
Margin Analysis (%) and Per-Share Data
| Metric | FY2022 | FY2023 | FY2024 | FY2025 | FY2026 |
|---|---|---|---|---|---|
Revenue | 1,856.0 | 3,603.5 | 1,983.2 | 2,740.2 | 2,631.1 |
Gross profit | 805.7 | 1,059.6 | 823.6 | 808.8 | 595.9 |
Selling & distribution expenses | — | — | 365.6 | 560.8 | 473.4 |
Administrative expenses | — | — | 491.6 | 463.3 | 422.4 |
Finance costs (expensed) | — | — | 364.4 | 354.6 | 330.1 |
Write-down of PUD and properties held for sale (net) | — | 30.2 | 695.3 | 229.3 | 101.4 |
Share of JV & associate results | — | — | 271.0 | -287.7 | -216.7 |
Pre-tax profit/(loss) | — | — | -878.2 | -1,192.7 | — |
Profit/(loss) for the year (incl. NCI) | -252.8 | 98.8 | -916.5 | -1,190.1 | — |
Profit/(loss) attributable to owners | -305.2 | 12.8 | -753.8 | -922.4 | -804.4 |
Basic EPS (HK cents) | — | — | -5.52 | -6.51 | -5.68 |
Dividend per share (HK cents) | 0 | 0.04 | 0 | 0 | 0 |
Margin Analysis (%)
| Metric | FY2022 | FY2023 | FY2024 | FY2025 | FY2026 |
|---|---|---|---|---|---|
Gross margin | 43.4 | 29.4 | 41.5 | 29.5 | 22.6 |
Attributable net margin | -16.4 | 0.4 | -38.0 | -33.7 | -30.6 |
Revenue growth YoY | — | 94.1 | -45.0 | 38.2 | -4.0 |
Margin Analysis (%) and Per-Share Data — Total assets
| Metric | FY2022 | FY2023 | FY2024 | FY2025 | FY2026 |
|---|---|---|---|---|---|
Total assets | — | — | 17,582.6 | 13,729.0 | 12,003.0 |
Cash & bank balances (total, incl. restricted/pledged) | — | 1,616.3 | 1,242.9 | 738.0 | 1,140.0 |
Total borrowings (bank, other, unsecured notes) | — | — | 6,346.9 | 4,716.3 | 4,362.6 |
Borrowings due within one year | — | — | 4,153.8 | 1,324.7 | 1,784.2 |
Borrowings due after one year | — | — | 2,193.1 | 3,391.6 | 2,578.4 |
Net debt | — | — | 5,104.0 | 3,978.3 | 3,222.6 |
Total equity (incl. NCI) | — | — | 8,119.0 | 6,780.3 | 5,584.6 |
Equity attributable to owners | 5,991.8 | 5,916.3 | 5,266.3 | 4,332.5 | 3,617.7 |
Non-controlling interests | — | — | 2,852.7 | 2,447.8 | 1,966.9 |
Investment properties (group) | — | — | 3,485.3 | 3,023.8 | — |
Interests in joint ventures | — | — | 3,952.4 | 3,790.3 | — |
Properties under development + held for sale | — | — | 5,210.7 | 3,932.2 | — |
Net current assets (working capital) | — | — | 2,528.9 | 3,014.7 | — |
Net gearing (net debt / total equity, %) | 55.9 | 49.4 | 62.9 | 58.7 | 57.7 |
NAV per share (HKD) | — | — | 0.53 | 0.48 | 0.39 |
Financial Analysis
| Bucket | FY2024 | FY2025 | FY2026 |
|---|---|---|---|
Bank loans — within 1 year | 3,992.0 | 1,082.7 | 1,663.3 |
Bank loans — year 2 | 252.4 | 1,234.8 | 944.0 |
Bank loans — years 3 to 5 | 1,427.2 | 1,750.7 | 694.9 |
Bank loans — beyond 5 years | 56.7 | 65.9 | 73.4 |
Other loans — within 1 year | 161.8 | 229.0 | 95.7 |
Other loans — year 2 | 456.8 | 276.3 | 745.7 |
Other loans — years 3 to 5 | 0 | 16.2 | 13.5 |
Unsecured notes (CAP MTN) | 0 | 60.7 | 132.1 |
Total | 6,346.9 | 4,716.3 | 4,362.6 |
Fixed-rate debt | 762.1 | 1,783.3 | 1,623.3 |
Floating-rate debt | 5,584.8 | 2,933.0 | 2,739.3 |
Margin Analysis (%) and Financial Ratios (x)
| Ratio | FY2022 | FY2023 | FY2024 | FY2025 | FY2026 |
|---|---|---|---|---|---|
ROE on avg attributable equity (%) | -5.1 | 0.2 | -13.5 | -19.2 | -20.2 |
ROA, attributable loss on avg total assets (%) | — | — | -4.3 | -5.9 | -6.3 |
Gross debt / total equity (%) | — | — | 78.2 | 69.6 | 78.1 |
Current ratio (x) | — | — | 1.42 | 2.21 | — |
Asset turnover (x) | — | — | 0.11 | 0.18 | 0.20 |
Effective cost of debt, total interest / avg debt (%) | — | — | — | 8.1 | — |
Geography-mapped revenue (HKD Mn)
| Geography-mapped revenue (HKD Mn) | FY2024 | FY2025 | FY2026 |
|---|---|---|---|
Hong Kong property sales (WOP) | 258.6 | 1,228.0 | 1,358.7 |
PRC property sales (CAP) | 174.3 | 124.5 | 7.2 |
PRC agri produce exchange markets (CAP) | — | 378.7 | 370.2 |
Hong Kong fresh markets sub-licensing | 197.3 | 143.8 | 98.1 |
Hong Kong butchery & retail | — | 77.1 | 60.5 |
Pharmaceutical (HK, Macau, Mainland, overseas — split not disclosed) | 777.2 | 741.4 | 678.0 |
Valuation Snapshot
| Metric | Value | Source / date |
|---|---|---|
Share price | HK$0.024 | StockAnalysis, 27 Jul 2026 |
52-week range | HK$0.019 – HK$0.032 | StockAnalysis, Jul 2026 |
Market cap | ~HK$340M | StockAnalysis, Jul 2026 |
Shares outstanding | ~14.17B | — |
P/E | n/m (loss-making) | — |
P/B (on FY2026 attributable equity HK$3,617.7M) | ~0.09x | analyst calc |
EV (market cap + net debt HK$3,222.6M + NCI HK$1,966.9M) | ~HK$5.53B | analyst calc, book NCI |
EV / Sales (FY2026) | ~2.1x | analyst calc |
EV / EBITDA | n/m (EBITDA not disclosed) | — |
Beta | 0.65 | StockAnalysis |
Analyst coverage | None (0 analysts) | Simply Wall St / StockAnalysis |
Market cap history (HKD Mn) | Jul 2025 | Aug 2025 |
Market capitalisation | 261.4 | 286.3 |
Per-Share Data
| Item | FY2022 | FY2023 | FY2024 | FY2025 | FY2026 |
|---|---|---|---|---|---|
DPS (HK cents) | 0 | 0.04 | 0 | 0 | 0 |
Analyst Conclusions
Management guidance (qualitative)
WOP is cautiously optimistic on HK property for FY2026/27, expecting CONNEXT and PORTO completions plus APG JV distributions to strengthen cash flow and substantially reduce gearing; WYT targets GBA-driven Mainland growth and franchise expansion; CAP pursues asset-light expansion and cold-chain; fresh markets face continuing challenges. No quantitative guidance; no sell-side consensus exists.
Bull case
-
Cyclical earnings recovery: WOP contracted sales of ~HK$1.89B in 1H FY2027 (+16% YoY) at firmer prices imply margin normalisation and fewer write-downs as the FY2025-era low-margin inventory clears.
-
Sum-of-the-parts discount: WOG's ~HK$340M market cap is a fraction of its share of WYT brand value alone (~72% × HK$2.05B ≈ HK$1.5B) and of attributable book equity HK$3.6B.
-
Deleveraging trajectory: gross debt fell HK$2.0B in two years; lower HIBOR, completions and asset-light disposals (e.g., RMB99.8M Shenzhen factory) can drive net gearing materially below 50%.
Bear case
-
Equity erosion persists: three years of losses have destroyed ~HK$2.4B of attributable equity; another year of JV write-downs or commercial value declines would continue the slide.
-
Structural decline in the "steady" businesses: HK wet-market revenue fell ~50% from FY2024 to FY2026; WYT revenue down two years running; CAP PRC property income gone.
-
Pyramid and governance discount is sticky: controlling family, combined chair/MD, no dividends, zero analyst coverage and repeated related-party/major transactions limit re-rating catalysts for minorities.
Catalysts and monitorables (next 12 months)
-
Interim results for six months to 30 Sep 2026 (late November 2026): watch gross margin, write-downs, share of JV results.
-
PORTO occupation permit and handovers; CONNEXT revenue recognition.
-
APG JV cash distributions to WOP.
-
Refinancing of HK$1.66B bank loans due within one year.
-
Completion of Guanzun Shenzhen sale (shareholder approvals at WOG and WYT).
-
Sunny House Mong Kok opening and occupancy; Ting Yip Street progress; further AG framework deployments.
-
Additional GBA approvals for WYT PCMs.
-
HK wet-market stall count and tenancy renewals.
-
Any dividend resumption or shareholder-structure simplification.
Analyst verdict
Wang On Group is best understood not as an operating company but as a leveraged, family-controlled holding vehicle whose value is trapped inside three listed subsidiaries. The investment case therefore hinges on two questions: will the Hong Kong residential cycle stop eroding book value, and will any of that value ever reach minority shareholders?
On the first question the evidence is turning modestly positive. Attributable losses narrowed 12.8% in FY2026; write-downs, credit impairments, selling commissions and finance costs all declined; liquidity improved by more than 50%; and Wang On Properties' contracted sales are running about 16% ahead of last year at firmer pricing. The CONNEXT and PORTO completions and APG joint-venture distributions provide identifiable cash inflows over FY2027. If the market holds, FY2027 could plausibly show a sharply reduced loss, with the low-margin inventory sold during 2023–2025 largely flushed through.
On the second question the record is weak. The parent has paid no dividend since a token HK0.04 cent in FY2023, governance remains concentrated in the founding family with the chair also acting as managing director, there is no sell-side coverage, and the steady-state businesses — wet markets and WYT retail — are contracting rather than compounding. Equity attributable to owners has fallen 40% since FY2022, and the shares trade at roughly one-tenth of book.
Our assessment is that the stock offers optionality on a Hong Kong property recovery and on WYT's GBA expansion, but at present it is a "value with conditions" situation rather than a compelling buy. A rating upgrade would require evidence of (i) a return to positive gross-margin recognition at WOP, (ii) net gearing sustainably below 50%, and (iii) a credible capital-return or simplification step. Until then, the group should be treated as a speculative, illiquid deep-value position, sized accordingly and monitored closely through the November 2026 interim results.
Unlock Company Financials
Unlock this company profile to view its financial data.
View Subscription PlansExecutive Leadership
Board of Directors
| Name | Role | Notes |
|---|---|---|
Mr. Tang Ching Ho, GBS, JP | Chairman & Managing Director; Executive Director; chairs Executive, Nomination and Investment Committees | Co-founder (1987); chairman since 1993; born 1962; also chairman of WYT and executive chairman of CAP; community roles include Federation of HK Guangdong Community Organisations and Federation of HK Shenzhen Associations |
Ms. Yau Yuk Yin | Deputy Chairman; Executive Director | Co-founder; born 1962; historically responsible for HR and administration |
Ms. Stephanie | Executive Director; member of Executive and Investment Committees; authorised representative | Born 1987 (Yahoo Finance) |
Mr. Wong Chun, Justein, BBS, MBE, JP | Independent Non-executive Director; Remuneration Committee chair | — |
Mr. Siu Kam Chau | INED; Audit Committee chair | Joined the board September 2004 (AR2005) — tenure ~22 years |
Mr. Chan Yung, SBS, JP | INED | — |
Executive Leadership Team
| Name | Title | Year born |
|---|---|---|
Mr. Cheung Lap Kei | Group Chief Financial Officer; Company Secretary (AR2026) | 1972 |
Mr. Chan Kai Wing | Chief Technology Officer | 1965 |
Mr. Chiu Ming Ho | CEO, Financial Services | 1975 |
Competitive Landscape
Competitors by Segment
| Segment | Named competitors | Positioning of Wang On |
|---|---|---|
HK residential development (small/mid cap) | Sun Hung Kai Properties (16), Henderson Land (12), Sino Land (83), New World Development (17), K. Wah International (173), Chinachem (private), CSI Properties (497), Emperor International (163), Lai Sun Development (488), Far East Consortium (35), Chevalier International (25, also partner) | Niche urban-redevelopment developer with compact units; dependent on PE JV capital; scale an order of magnitude below majors |
HK student/living sector | Weave Living, Gaw Capital, Hmlet-type operators, university halls | Early mover with Sunny House brand and AG backing |
HK fresh markets | Link REIT (823) markets portfolio, Hong Kong Housing Authority directly managed markets, FEHD public markets, supermarkets (Wellcome, PARKnSHOP), online grocers (HKTVmall) | One of the largest private wet-market sub-licensors; shrinking stall count |
TCM & health products | Eu Yan Sang (private), Beijing Tong Ren Tang Chinese Medicine (3613), Hin Sang Group (6893), Po Sum On, Lee Kum Kee Health/Infinitus (private), Pien Tze Huang | Century-old brand, 13.6% HK TCM demand share (Kantar), strong cough syrup franchise |
Western OTC cough/cold (HK) | Bayer, Reckitt, Haleon, Nin Jiom (Pei Pa Koa) | Madame Pearl's #1 in HK for 16 consecutive years |
PRC agri wholesale markets | Shenzhen Agricultural Power Group (000061.SZ), China Dili Group (1387), Beijing Xinfadi (private), local SOE markets | Regional network of 10 markets; asset-light pivot |
Peer Comparison FY2025
| Company | Revenue | Growth | Gross margin | R&D intensity |
|---|---|---|---|---|
Wang On Group (FY2026) | HK$2,631.1M | -4.0% | 22.6% | <0.1% (FY2025) |
