Wharf REIC surges 14% in Hong Kong after interim dividend hike

Wharf Real Estate Investment Company (1997.HK) surged more than 13% in Hong Kong trading to HK$29.94. The stock briefly fell more than 3% during the session before recovering to post strong gains. The company reported interim underlying net profit rose 6% year-over-year to HK$3.311 billion, and declared an interim dividend of HK$0.94 per share, up more than 42% from a year earlier, lifting the payout ratio to 90% from 65%.

Separately, the company sold Singapore's Wheelock Place for SGD 1.11 billion, expecting a pre-tax gain of roughly HK$1.007 billion. The sale reduced its net gearing ratio to a historic low of 15.9%.