Resumen
This paper uses a case study approach to analyze how three corporations; namely, Hutchison Whampoa Limited (HWL), Hutchison Telecommunication International Limited (HTIL), and Hutchison Telecommunication Hong Kong Holdings, managed earnings through consolidation. The author finds that HWL, by listing, reducing, and increasing its shareholding in HTIL, improved its levels of profitability during the study period of 20042010. Furthermore, HTIL spun off its Hong Kong and Macau businesses to improve its profitability directly and that of HWL indirectly. Finally, HWL privatized HTIL in 2010. The author demonstrates that although HTIL was listed on the Hong Kong Stock Exchange, HTIL and HWL improved their share performances by managing earnings through consolidation techniques.