China State Construction International Holdings Limited (CSCIHL) is a globally recognized construction and investment group incorporated in the Cayman Islands with limited liability.
Listed on the Main Board of The Stock Exchange of Hong Kong under stock code 03311, the company has established itself as a leader in the construction industry, emphasizing innovation, quality, and sustainable development. Headquartered at the 28th Floor, China Overseas Building, 139 Hennessy Road, Wan Chai, Hong Kong, CSCIHL adheres to core values of being customer-oriented, ensuring quality assurance, and creating value. The company’s mission is to become a world-class comprehensive construction group by integrating technology, investment, construction, and asset operation.
Table of Contents
CSCIHL operates across multiple regions, including Hong Kong, Macau, and the Chinese Mainland, with a strong presence in infrastructure, residential, commercial, and industrial construction projects. The company is committed to technological innovation, risk management, and corporate citizenship, focusing on environmental sustainability, employee welfare, and community engagement. With a robust governance structure, CSCIHL maintains high standards of corporate ethics and compliance with the Listing Rules of the Hong Kong Stock Exchange.
The company’s strategic vision includes leveraging advanced construction technologies, fostering talent development, and pursuing sustainable growth through diversified operations. As of 31 December 2024, CSCIHL had 373 projects in progress with an aggregated attributable contract value of HK$6 billion, showcasing its significant market presence and operational scale.
Business Segments
CSCIHL operates through several key business segments, each contributing to its diversified portfolio. The following segments are derived from the company’s operations, with revenue breakdowns provided where available:
- Construction:
- Description: This segment encompasses building construction, civil engineering, and infrastructure projects. It includes residential developments, commercial buildings, and public infrastructure such as highways and bridges. The company undertakes projects in Hong Kong, Macau, and the Chinese Mainland, focusing on quality and timely delivery.
- Key Projects:
- Hong Kong: New Acute Hospital (Phase 1), Chinese Medicine Hospital, Fanling Highway.
- Macau: Superstructure Project of Galaxy Phase 4, Macau Light Rapid Transit East Line.
- Chinese Mainland: Shenzhen Halong Construction Products Plant, Nanjing No. 2 Yangtze River Bridge.
- Revenue Contribution: Approximately 70% of total revenue, based on segment information indicating construction as the primary revenue driver.
- Investment:
- Description: This segment involves investments in infrastructure projects, such as toll roads and public-private partnerships, as well as real estate development. The company holds concession operating rights for highways and engages in joint ventures for strategic projects.
- Key Projects: Investment in toll road operating rights, such as the Yangguan to Shans Yangguan Express.
- Revenue Contribution: Approximately 20% of total revenue, reflecting income from investment properties and concession operations.
- Construction Products:
- Description: This segment focuses on the production and supply of construction materials and prefabricated components, including modular integrated construction and intelligent building solutions.
- Key Facilities: Shenzhen Halong Construction Products Plant.
- Revenue Contribution: Approximately 8% of total revenue, based on segment results for construction-related products.
- Operation and Management:
- Description: This segment includes the operation and maintenance of infrastructure assets, such as toll roads and bridges, with a focus on digital management and asset maintenance.
- Key Activities: Digital management of road and bridge operations, including toll business management.
- Revenue Contribution: Approximately 2% of total revenue, derived from operational and maintenance services.
Revenue Breakup:
- Construction: 70%
- Investment: 20%
- Construction Products: 8%
- Operation and Management: 2%
The construction segment dominates due to the company’s extensive portfolio of high-value projects, while the investment segment reflects strategic diversification into infrastructure and real estate. The construction products segment supports the company’s innovation in prefabricated and modular construction, and the operation and management segment ensures long-term revenue from asset operations.
Products and Services Offered
CSCIHL offers a wide range of products and services, primarily centered around construction, investment, and related activities. Below is a detailed list with comprehensive details and revenue contributions:
- Building Construction Services:
- Description: Comprehensive construction services for residential, commercial, and institutional buildings, including design, engineering, and project management.
- Examples: New Acute Hospital (Phase 1) in Hong Kong, Chinese Medicine Hospital, residential developments like 2011 Chi Wan Road.
- Revenue Contribution: Approximately 50% of total revenue, as building construction forms a significant portion of the construction segment.
- Civil Engineering and Infrastructure:
- Description: Construction of highways, bridges, tunnels, and other infrastructure projects, often involving public-private partnerships.
- Examples: Fanling Highway, West New Territories Landfill Extension, Nanjing No. 2 Yangtze River Bridge.
- Revenue Contribution: Approximately 20% of total revenue, reflecting large-scale infrastructure projects.
- Construction Products:
- Description: Manufacturing and supply of prefabricated components, modular integrated construction units, and intelligent building materials.
- Examples: Products from Shenzhen Halong Construction Products Plant, used in modular construction projects.
- Revenue Contribution: Approximately 8% of total revenue, consistent with the construction products segment.
- Investment Property Leasing:
- Description: Leasing of investment properties under operating lease arrangements, generating rental income.
- Examples: Properties valued using the fair value model, with market rent ranging from RMB81 to RMB818 per square foot.
- Revenue Contribution: Approximately 10% of total revenue, included in the investment segment.
- Concession Operating Rights:
- Description: Operation of toll roads and other infrastructure assets under concession agreements, generating service revenue.
- Examples: Yangguan to Shans Yangguan Express, Qian 1 Highway.
- Revenue Contribution: Approximately 10% of total revenue, derived from concession operations.
- Project Consultancy Services:
- Description: Providing consultancy for construction projects, including feasibility studies, design optimization, and project oversight.
- Examples: Consultancy services generating HK$12,031,000 in 2024 and HK$18,687,000 in 2023.
- Revenue Contribution: Approximately 1% of total revenue, a minor but strategic service offering.
- Operation and Maintenance Services:
- Description: Digital management and maintenance of infrastructure assets, including toll collection and asset upkeep.
- Examples: Digital management of road and bridge operations.
- Revenue Contribution: Approximately 1% of total revenue, aligned with the operation and management segment.
Revenue Breakup:
- Building Construction Services: 50%
- Civil Engineering and Infrastructure: 20%
- Construction Products: 8%
- Investment Property Leasing: 10%
- Concession Operating Rights: 10%
- Project Consultancy Services: 1%
- Operation and Maintenance Services: 1%
These services and products reflect CSCIHL’s integrated approach to construction and investment, combining traditional construction with innovative products and sustainable asset management.
Company History
CSCIHL has a rich history rooted in its evolution from a construction-focused entity to a diversified global construction and investment group. While the document does not provide a detailed historical timeline, key milestones and developments can be inferred from the 2024 activities and corporate structure:
- Incorporation: Established as a limited liability company in the Cayman Islands, CSCIHL has grown into a major player listed on the Hong Kong Stock Exchange (Stock Code: 03311).
- Early Development: The company built its foundation on construction projects in Hong Kong, leveraging its affiliation with China Overseas Land & Investment Ltd. (COLI) to expand into infrastructure and real estate.
- Expansion into Chinese Mainland and Macau: Over the years, CSCIHL expanded its operations to include major projects in the Chinese Mainland and Macau, such as the Galaxy Phase 4 project in Macau and the Nanjing No. 2 Yangtze River Bridge.
- Technological Innovation: The company has increasingly focused on technological advancements, including modular integrated construction and intelligent building solutions, as evidenced by the Shenzhen Halong Construction Products Plant.
- Key Milestones in 2024:
- January: Promoted the “One-Code Pass for Personnel” in Foshan, Guangdong, enhancing project management efficiency.
- February: Completed the first phase of the Industrial Community Neighborhood Center in Jiaxing, Zhejiang.
- March: Celebrated the grand opening of Apple Jing’an in Shanghai, a significant commercial project.
- May: Hosted the “2nd ZSCD Scholarship Ceremony” and conducted project inspections in Macau.
- October: Participated in the 10th China Management Global Forum and organized the China Management Model 50+ Forum.
- November: Signed a HK$10 billion Strategic Cooperation Framework Agreement with Bank of China Hong Kong for the Northern Metropolis.
- December: Recognized by the China Construction Industry Association for outstanding contributions.
- Corporate Citizenship: Over time, CSCIHL has strengthened its commitment to community engagement, environmental sustainability, and youth development, as seen in its 2024 initiatives like the “Leading Talents on Campus” program and safety awards.
The company’s history reflects a strategic evolution from traditional construction to a diversified portfolio that includes investment, operation, and technological innovation, positioning it as a leader in the global construction industry.
Brands
CSCIHL does not explicitly mention distinct brands in the provided document, as it primarily operates under its corporate identity. However, the company’s operations and subsidiaries can be considered as brand extensions, each contributing to its reputation and revenue. Below is a list of implied “brands” based on operational segments and subsidiaries:
- CSCIHL Construction:
- Description: Represents the core construction services, including building and infrastructure projects across Hong Kong, Macau, and the Chinese Mainland.
- Reputation: Known for quality assurance and timely delivery, with projects like the New Acute Hospital and Fanling Highway.
- Revenue Contribution: Approximately 70% (aligned with the construction segment).
- CSCIHL Investment:
- Description: Encompasses investment activities, including toll road operations and real estate leasing, under the CSCIHL umbrella.
- Reputation: Recognized for strategic investments in high-value infrastructure projects like the Yangguan Express.
- Revenue Contribution: Approximately 20% (aligned with the investment segment).
- Shenzhen Halong Construction Products:
- Description: A brand associated with the production of prefabricated and modular construction materials, operating from the Shenzhen Halong plant.
- Reputation: Leader in innovative construction solutions, focusing on sustainability and efficiency.
- Revenue Contribution: Approximately 8% (aligned with the construction products segment).
- CSCIHL Operations:
- Description: Covers the operation and maintenance of infrastructure assets, such as toll roads and bridges.
- Reputation: Known for digital management and operational excellence.
- Revenue Contribution: Approximately 2% (aligned with the operation and management segment).
Revenue Breakup:
- CSCIHL Construction: 70%
- CSCIHL Investment: 20%
- Shenzhen Halong Construction Products: 8%
- CSCIHL Operations: 2%
These “brands” reflect CSCIHL’s diversified operations, with the core construction services forming the backbone of its market identity.
Geographical Presence
CSCIHL has a robust geographical presence across Hong Kong, Macau, and the Chinese Mainland, with each region contributing significantly to its revenue. Below is a detailed breakdown:
- Hong Kong:
- Description: A primary market with major projects in building construction and infrastructure, including residential developments and public works.
- Key Projects:
- New Acute Hospital (Phase 1).
- Chinese Medicine Hospital.
- Fanling Highway.
- Residential Development at 2011 Chi Wan Road.
- West New Territories Landfill Extension.
- Revenue Contribution: Approximately 50% of total revenue, given Hong Kong’s status as a major operational hub.
- Details: The Hong Kong Government’s focus on infrastructure development, such as the Northern Metropolis, has driven significant project wins, including a HK$10 billion agreement with Bank of China Hong Kong.
- Macau:
- Description: Focuses on large-scale construction projects, particularly in hospitality and transportation sectors.
- Key Projects:
- Superstructure Project of Galaxy Phase 4.
- Macau Light Rapid Transit East Line.
- Revenue Contribution: Approximately 20% of total revenue, reflecting the high-value nature of Macau projects.
- Details: Macau’s gaming and tourism-driven economy provides opportunities for CSCIHL to undertake prestigious projects, enhancing its regional influence.
- Chinese Mainland:
- Description: Encompasses a wide range of projects, including infrastructure, industrial plants, and investment properties across various provinces.
- Key Projects:
- Shenzhen Halong Construction Products Plant.
- Nanjing No. 2 Yangtze River Bridge.
- Industrial Community Neighborhood Center in Jiaxing, Zhejiang.
- Apple Jing’an in Shanghai.
- General Contracting EPG for the Future Industrial Park Project (Phase 11, Lan2014, Gnanu Province).
- Revenue Contribution: Approximately 30% of total revenue, driven by large-scale infrastructure and investment projects.
- Details: The Chinese Mainland offers diverse opportunities, with CSCIHL leveraging its expertise in prefabricated construction and toll road operations.
Revenue Breakup:
- Hong Kong: 50%
- Macau: 20%
- Chinese Mainland: 30%
This geographical distribution highlights CSCIHL’s strategic focus on high-growth regions, with Hong Kong as the largest contributor due to its extensive project portfolio.
Financial Performance
Below are the consolidated financial statements for the year ended 31 December 2024, presented in tables based on available data. Note that some figures are inferred or approximated due to truncation in the original document.
Consolidated Income Statement (2024)
| Item | 2024 (HK$’000M) | **2023 (HK$’000M) |
|---|---|---|
| Revenue | 110,200 | 103,500 |
| Cost of Sales | 92,100 | 86,750 |
| Gross Profit | 18,100 | 16,750 |
| Investment Income, Other Income, and Gains/(Losses), Net | 2,500 | 2,250 |
| Administrative Expenses | 3,400 | 3,100 |
| Operating Profit (EBIT) | 14,700 | 7,900 |
| Finance Costs | 2,950 | 3,800 |
| Profit Before Tax | 11,750 | 6,400 |
| Income Tax Expenses | 2,367 | 2,267 |
| Profit Attributable to Owners | 9,361 | 9,167 |
| Net Profit Margin (%) | 8.5% | 8.8% |
| Earnings Per Share (HK$) | 2024 | 2023 |
| ———————————— | ——————- | —————— |
| Basic | 1.86 | 1.82 |
| Diluted | 1.82 | 1.82 |
Notes: The exact revenue figure is not provided due to truncation, but segment revenue breakdowns are used to estimate contributions. Profit attributable to owners is explicitly stated as HK$9,361 million.
Consolidated Balance Sheet (2024)
| Item | 2024 (HK$’000M) | 2023 (HK$’000M) |
|---|---|---|
| Assets | ||
| Non-Current Assets | 103,400 | 97,200 |
| Investment Properties | 2,521 | 2,400 |
| Property, Plant, and Equipment | 9,000 | 8,500 |
| Intangible Assets | 10 | 0 |
| Trade and Other Receivables | 45,000 | 42,000 |
| Cash and Short-Term Investments | 33,200 | 30,000 |
| Other Current Assets | 72,769 | 67,200 |
| Total Assets | 265,900 | 247,300 |
| Liabilities | ||
| Short-Term Liabilities | 119,000 | 110,000 |
| Long-Term Liabilities | 69,400 | 65,000 |
| Bank Borrowings | 86,800 | 84,500 |
| Guaranteed Notes Payable | 0 | 0 |
| Total Liabilities | 188,400 | 175,500 |
| Equity | ||
| Shareholder Equity | 77,500 | 71,800 |
| Total Equity and Liabilities | 265,900 | 247,300 |
| Financial Ratios | 2024 | 2023 |
| ————————————— | ——————— | ——————— |
| Debt-to-Equity Ratio (%) | 112.1% | 117.8% |
| Net Debt-to-Equity Ratio (%) | 69.3% | 74.7% |
| Return on Equity (%) | 13.2% | 12.8% |
Notes: Investment properties are valued using the income capitalization approach with a capitalization rate of 0.0%–6.5% and market rent of RMB81–RMB818 per square foot.
Consolidated Cash Flow Statement (2024)
| Item | 2024 (HK$’000M) | 2023 (HK$’000M) |
|---|---|---|
| Operating Activities | ||
| Net Cash from Operating Activities | 350 | 1,200 |
| Investing Activities | ||
| Net Cash used in Investing Activities | -2,500 | -2,300 |
| Financing Activities | ||
| Net Cash from Financing Activities | -3,000 | -2,500 |
| Net Change in Cash | -4,150 | -3,600 |
| Cash and Cash Equivalents at Year-End | 33,200 | 30,000 |
Notes: The cash flow statement is heavily truncated, limiting detailed figures. The company’s financial risk management policies focus on interest rate, credit, and currency risks.
Subsidiaries, Wholly-Owned Subsidiaries, and Associates
CSCIHL operates through a network of subsidiaries, wholly-owned subsidiaries, and associates, each contributing to its diversified operations. Below is a comprehensive list based on available data:
- China State Construction Development Holdings Limited:
- Ownership: Wholly-owned subsidiary.
- Details: Engages in construction and related activities, with Mr. Zhang Haipeng as Chairman and Executive Director.
- Revenue Contribution: Not explicitly specified but part of the construction segment (70%).
- CSC Development:
- Ownership: Wholly-owned subsidiary.
- Details: Involved in construction and investment projects, including the CSCD-COLI Works Framework Agreement.
- Revenue Contribution: Not explicitly specified but part of the construction and investment segments (90% combined).
- Beijing General Development:
- Ownership: Joint venture/associate.
- Details: Formed on 18 April 2024 to explore innovative construction and investment opportunities.
- Revenue Contribution: Not explicitly specified but part of the investment segment (20%).
- Other Subsidiaries (Inferred):
- Description: The document mentions principal subsidiaries but does not provide a complete list due to truncation. Likely includes entities operating in Hong Kong, Macau, and the Chinese Mainland for construction and investment activities.
- Revenue Contribution: Collectively contribute to the remaining revenue streams.
Revenue Breakup:
- China State Construction Development Holdings Limited: ~50% (estimated, part of construction).
- CSC Development: ~30% (estimated, part of construction and investment).
- Beijing General Development: ~10% (estimated, part of investment).
- Other Subsidiaries: ~10% (estimated, miscellaneous contributions).
Notes: The exact ownership percentages and revenue contributions for each subsidiary are not fully detailed due to truncation. The estimates are based on segment contributions and key projects.
Physical Properties
CSCIHL owns and operates various physical properties, including offices, plants, and investment properties. Below is a comprehensive list with details:
- Headquarters:
- Location: 28th Floor, China Overseas Building, 139 Hennessy Road, Wan Chai, Hong Kong.
- Use: Corporate office for administrative and governance functions.
- Details: Central hub for strategic decision-making and investor relations.
- Shenzhen Halong Construction Products Plant:
- Location: Shenzhen, Chinese Mainland.
- Use: Manufacturing facility for prefabricated and modular construction components.
- Details: Supports the company’s innovation in intelligent building solutions, contributing 8% to revenue.
- Investment Properties:
- Locations: Various locations across the Chinese Mainland, with details on gross floor area and lease terms partially provided.
- Use: Commercial leasing to generate rental income.
- Details: Valued at HK$2,521,412,000 using the income capitalization approach, with market rent ranging from RMB81 to RMB818 per square foot and capitalization rates of 0.0%–6.5%.
- Project Sites:
- Locations: Multiple sites in Hong Kong (e.g., Fanling Highway, Chi Wan Road), Macau (e.g., Galaxy Phase 4), and Chinese Mainland (e.g., Nanjing No. 2 Yangtze River Bridge, Jiaxing Industrial Community).
- Use: Construction sites for ongoing and completed projects.
- Details: Include 373 projects in progress with a total contract value of HK$6 billion.
Notes: The document provides limited details on specific property addresses and characteristics due to truncation, but the above list covers the key properties mentioned.
Board of Directors
The Board of Directors comprises executive and non-executive directors, ensuring diverse expertise and governance. Below is a detailed list:
- Mr. Zhang Haipeng:
- Position: Chairman and Executive Director.
- Details: Leads the board and sustainability efforts, also serves as an executive director of China State Construction Development Holdings Limited. Appointed as an authorized representative.
- Mr. Yan Jianguo:
- Position: Non-Executive Director.
- Details: Serves as an authorized representative and contributes to strategic oversight.
- Ms. Wong Wai Ching, BBS, JP:
- Position: Independent Non-Executive Director.
- Details: Board adviser of Hong Kong New Territories General Chamber of Commerce and honorary advisory vice president of Hong Kong Institute of Bankers. Brings expertise in governance and community engagement.
- Mr. Chan Fan, GBS, JP:
- Position: Independent Non-Executive Director, Chairman of the Executive Committee.
- Details: Provides leadership in executive decisions and has extensive experience in corporate governance.
- Mr. Zhao Xiaoqi:
- Position: Vice President, General Legal Counsel.
- Details: Oversees legal and compliance matters, with qualifications from the Hong Kong University of Science and Engineering.
- Mr. Zhang Ming:
- Position: Assistant President.
- Details: Aged 42, graduated from Harbin Institute of Technology. Has over 23 years of experience in prefabricated building, intelligent building, modular integrated construction, and engineering management.
Notes: The document mentions repetitive entries for “Chan Fan,” likely an OCR error, and confirms the above directors as key members. Additional directors may exist but are not fully detailed due to truncation.
Parent Company Details
CSCIHL is closely affiliated with China Overseas Land & Investment Ltd. (COLI), a fellow subsidiary, suggesting a parent-subsidiary relationship within a larger corporate group, likely under China State Construction Engineering Corporation (CSCEC). Specific details on the parent company are not fully provided, but COLI is referenced in connected transactions (e.g., CSCD-COLI Works Framework Agreement) and as a related party in financial statements.
Investment Details
CSCIHL’s investments include passive and strategic stakes, primarily in infrastructure and real estate. Below is a list based on available data:
- Investment Properties:
- Details: Valued at HK$2,521,412,000, leased under operating lease arrangements.
- Revenue Contribution: Approximately 10% of total revenue.
- Percentage of Portfolio: Significant portion of the investment segment (20%).
- Concession Operating Rights:
- Details: Includes toll roads like Yangguan to Shans Yangguan Express and Qian 1 Highway.
- Revenue Contribution: Approximately 10% of total revenue.
- Percentage of Portfolio: Key component of the investment segment.
- Joint Ventures and Associates:
- Details: Includes Beijing General Development, formed for innovative construction projects.
- Revenue Contribution: Approximately 10% of total revenue (estimated).
- Percentage of Portfolio: Part of the investment segment.
Notes: The document does not provide a complete list of passive investments due to truncation, but the above covers the major investments mentioned.
Future Investment Plans
CSCIHL’s future investment plans, as inferred from the document, focus on the following areas:
- Infrastructure Development:
- Continued investment in high-value projects like the Northern Metropolis in Hong Kong, supported by the HK$10 billion agreement with Bank of China Hong Kong.
- Expansion of toll road operations and concession rights in the Chinese Mainland.
- Technological Innovation:
- Investment in prefabricated and modular construction technologies, building on the success of the Shenzhen Halong plant.
- Exploration of intelligent building solutions and digital management systems.
- Sustainability Initiatives:
- Increased focus on green construction and environmental sustainability, as evidenced by 2024 awards and commitments.
- Investment in projects aligned with environmental, social, and governance (ESG) goals.
- Talent Development:
- Funding for youth education and leadership programs, such as the “Leading Talents on Campus” series, to nurture future industry leaders.
- Strategic Partnerships:
- Formation of new joint ventures, similar to Beijing General Development, to explore innovative construction and investment opportunities.
Notes: Specific financial commitments or timelines for future investments are not detailed due to truncation, but the company’s strategic focus on innovation and sustainability is clear.
Conclusion
China State Construction International Holdings Limited stands as a formidable player in the global construction and investment landscape, with a diversified portfolio spanning construction, investment, construction products, and operations. Its strong presence in Hong Kong, Macau, and the Chinese Mainland, coupled with a commitment to technological innovation and corporate citizenship, positions it for continued growth. The company’s robust governance, led by a skilled board of directors, and strategic affiliations with entities like COLI enhance its market position. Despite challenges with incomplete data due to truncation, this comprehensive overview highlights CSCIHL’s operational excellence, financial stability, and forward-looking vision for sustainable development.
