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Hong Kong's piped-gas utility, also a major city-gas distributor and property investor across mainland China.
Hong Kong's piped-gas utility, also a major city-gas distributor and property investor across mainland China.
In Hong Kong it earns a return the government permits under a long-running agreement that links profit to the assets invested, rather than to gas volumes; on the mainland it earns from gas sales and connection fees charged to new households, through many city-gas joint ventures. Henderson Land, the Lee Shau Kee family's property group, is the largest shareholder.
In one line: A HK gas utility (Towngas) with a property investment arm.
Moat: wide (regulatory licence, installed base, distribution). Exclusive piping network franchise in Hong Kong plus long-term mainland gas concessions.
Headquarters: Hong Kong · Founded: 1862 · Employees: 2,146
Size HK & China Gas (0003.HK) is a Hong Kong Utilities company (Gas Distributors) with a market value of $17.6B, the 102nd largest of 891 Hong Kong companies the cockpit tracks. Shares closed at HK$7.39 on 6 Nov 2026.
Performance Over six months the shares gained 3.1%, against -2.1% for the median peer and -13.4% for the Hong Kong market (cap-weighted) — 8th highest of 21 in its peer set.
Growth Revenue grew 1.5% over the last twelve months (peer median +4.3%); the operating margin is 14.2% (peer median 23.9%).
Valuation It trades at 21.6× forward earnings against a peer median of 14.9× (3rd most expensive of 21).
Price implies For today's price to make sense, revenue must grow about 9% a year for seven years (Req g). Recent delivered growth is +6%, so the hurdle is +3 pp: the price needs faster growth than the company has been delivering — of companies that just grew 25–50% a year, 93.8% slowed down over the next four years.
Capital Return on invested capital runs 0.9 points below its cost of capital (5.8% WACC).
Next results Next results expected around 24 Mar 2027 (exchange calendar; dates can move).
| TTM | FY2025 | FY2024 | FY2023 | FY2022 | |
|---|---|---|---|---|---|
| Revenue | HK$56.3B | HK$54.3B | HK$55.5B | HK$57.0B | HK$61.0B |
| Revenue growth | — | -2% | -3% | -7% | — |
| Gross profit | HK$12.5B | HK$13.0B | HK$15.5B | HK$14.6B | HK$14.4B |
| EBITDA | HK$11.9B | HK$11.9B | HK$11.7B | HK$11.6B | HK$12.1B |
| Net income | HK$6.36B | HK$5.69B | HK$5.71B | HK$6.07B | HK$5.25B |
| Free cash flow | HK$6.06B | HK$5.35B | HK$2.74B | HK$2.62B | HK$1.41B |
| Capital expenditure | HK$4.57B | HK$5.13B | HK$6.46B | HK$8.43B | HK$8.33B |
| Total debt | n/a | HK$60.7B | HK$58.5B | HK$58.8B | HK$66.1B |
The default views of Competitor Analysis ▸ Charts, drawn from the same data. Open them in the cockpit to change the axes, pin companies and read every value.
| Company | Market cap | 6M return | Revenue growth | Op. margin | Forward P/E | Req g |
|---|---|---|---|---|---|---|
| HK & China Gas 0003.HK | $17.6B | +3% | +2% | 14% | 21.6× | 8.7% |
| KunLun Energy 0135.HK | $8.35B | +1% | +6% | 5% | 9.5× | -13.0% |
| Enn Energy 2688.HK | $7.02B | -17% | +6% | 7% | 7.6× | -3.4% |
| China Resources Gas 1193.HK | $4.77B | -13% | +1% | 6% | 10.7× | 1.8% |
| China Gas 0384.HK | $3.52B | -31% | -7% | 8% | 9.9× | 3.8% |
Peer set: Industry: the same industry and sector in any market, nearest in size. This is the same default set the interactive Competitor Analysis opens with.
| Measure | 0003.HK | Peer median | Rank in peer set |
|---|---|---|---|
| 1-month return | +5.0% | +3.9% | 10th highest of 21 |
| 6-month return | +3.1% | -2.1% | 8th highest of 21 |
| Distance from 52-week high | -2.6% | -10.5% | 2nd highest of 21 |
| Revenue growth (TTM) | +1.5% | +4.3% | 9th lowest of 21 |
| Operating margin | 14.2% | 23.9% | 7th lowest of 20 |
| Forward P/E | 21.6× | 14.9× | 3rd most expensive of 21 |
| Growth the price implies (Req g, 7 yrs) | 8.7% | 0.3% | 4th most demanding of 13 |
| Growth delivered (Del g) | +5.8% | +8.3% | 5th lowest of 13 |
| Hurdle (Req g minus delivered) | +2.9 pp | -10.3 pp | 4th most demanding of 13 |
| ROIC minus cost of capital | -0.9 pp | +0.0 pp | 9th lowest of 20 |
| EV / EBITDA | 17.2× | 11.9× | most expensive of 18 |
| Net debt / EBITDA | 4.5× | 5.1× | 9th least indebted of 18 |
| Company | Market | Market cap | 6M return | Revenue growth | Op. margin | Forward P/E | Req g | Delivered g |
|---|---|---|---|---|---|---|---|---|
| HK & China Gas 0003.HK | Hong Kong | $17.6B | +3% | +2% | 14% | 21.6× | 8.7% | +5.8% |
| NiSource NI | United States | $21.2B | -6% | +10% | 27% | 20.3× | n/a | n/a |
| Osaka Gas 9532.T | Japan | $13.3B | -2% | +1% | 7% | 14.6× | 4.0% | +8.3% |
| Snam SRG.MI | Italy | $23.3B | -2% | +9% | 46% | 14.5× | 9.3% | +6.9% |
| Tokyo Gas 9531.T | Japan | $13.1B | -7% | +4% | 7% | 16.3× | -1.8% | +9.9% |
| AltaGas ALA.TO | Canada | $11.8B | +4% | +18% | 9% | 22.5× | n/a | n/a |
| Cheniere Energy Partners, L.P CQP | United States | $27.8B | -8% | +13% | 33% | 12.0× | -13.4% | +12.7% |
| Atmos Energy ATO | United States | $29.3B | -4% | +6% | 37% | 19.3× | n/a | n/a |
| Italgas IG.MI | Italy | $10.4B | -12% | +9% | 49% | 12.3× | 2.4% | +11.3% |
| APA APA.AX | Australia | $10.4B | +7% | -6% | 38% | 49.3× | 12.5% | +3.1% |
| Canadian Utilities CU.TO | Canada | $10.1B | +9% | +1% | 16% | 18.9× | 20.1% | +2.7% |
| ENN Natural Gas 600803.SS | China | $9.83B | +5% | -1% | n/a | 11.8× | -6.1% | +8.4% |
| Naturgy Energy NTGY.MC | Spain | $31.8B | +8% | +5% | 18% | 13.1× | -7.4% | +4.9% |
| Centrica CNA.L | United Kingdom | $9.23B | -25% | 0% | 23% | 13.1× | n/a | n/a |
| KunLun Energy 0135.HK | Hong Kong | $8.35B | +1% | +6% | 5% | 9.5× | -13.0% | +11.4% |
| DCC Energy DCC.L | United Kingdom | $7.41B | +13% | -14% | 3% | 12.7× | 7.1% | +2.9% |
| Enn Energy 2688.HK | Hong Kong | $7.02B | -17% | +6% | 7% | 7.6× | -3.4% | +8.6% |
| Southwest Gas SWX | United States | $6.62B | +2% | -57% | 29% | 18.9× | n/a | n/a |
| Black Hills BKH | United States | $6.47B | +13% | +3% | 24% | 18.2× | n/a | n/a |
| Sempra SRE | United States | $51.1B | -14% | +1% | 25% | 15.2× | n/a | n/a |
| New Jersey Resources NJR | United States | $5.51B | -2% | +7% | 24% | 16.6× | n/a | n/a |