SINGAPORE : Property developer CapitaLand on Friday said its first quarter profit had jumped nearly five times, thanks to strong performances from its various business units.
Net profit for the three months to March rose to S$608 million, compared with S$130 million in the year-ago period.
This came despite revenue falling about 3 percent to S$637 million.
The solid results were boosted by the sale of Temasek Tower and the strong property market in Singapore.
Together with contributions from China and Australia, residential earnings before interest and tax in the first quarter rose to S$121 million, up more than 80 percent on-year.
Commercial EBIT rose to S$561 million, thanks to increased rental income from Singapore commercial properties, higher property management fee, and a fair value gain of S$473 million from the sale of Temasek Tower.
Retail EBIT grew on improved rentals while its serviced residences division also did well.
CapitaLand chairman Richard Hu said the group continued to benefit from the strong growth trends in Asia.
Singapore, in particular, has experienced exceptional growth in the residential, office, retail and serviced residences sectors - all of which benefited CapitaLand's units.
Dr Hu said the Group's growth prospects would be underpinned by its expansion in China, India and other growth markets, including Vietnam, while continuing to secure opportunities in the Singapore real estate market.
Liew Mun Leong, President and CEO of CapitaLand Group, said: "The upswing in the Asian real estate market, the on-going urbanisation of the Asian economies and the institutionalisation of Asian real estate are all positive growth drivers for the entire Group. The Singapore property market continues to present exceptional demand driven growth for all our business units.
"We also continue to grow overseas. We are now expanding our multi-sector presence to oil-rich countries, as exemplified by the announcement of our memorandum of understanding with Eurasia Logistics, a logistics property developer in Russia.
"The Group has also raised its target for assets under management to S$18 billion, covering China, Japan, Malaysia and oil-rich countries like Bahrain, where the Group recently launched the first equity Sukuk fund, which is also its second Shariah-compliant product.
"We are confident that we will continue to deliver on our strategy to the benefit of our shareholders.
Net profit for the three months to March rose to S$608 million, compared with S$130 million in the year-ago period.
This came despite revenue falling about 3 percent to S$637 million.
The solid results were boosted by the sale of Temasek Tower and the strong property market in Singapore.
Together with contributions from China and Australia, residential earnings before interest and tax in the first quarter rose to S$121 million, up more than 80 percent on-year.
Commercial EBIT rose to S$561 million, thanks to increased rental income from Singapore commercial properties, higher property management fee, and a fair value gain of S$473 million from the sale of Temasek Tower.
Retail EBIT grew on improved rentals while its serviced residences division also did well.
CapitaLand chairman Richard Hu said the group continued to benefit from the strong growth trends in Asia.
Singapore, in particular, has experienced exceptional growth in the residential, office, retail and serviced residences sectors - all of which benefited CapitaLand's units.
Dr Hu said the Group's growth prospects would be underpinned by its expansion in China, India and other growth markets, including Vietnam, while continuing to secure opportunities in the Singapore real estate market.
Liew Mun Leong, President and CEO of CapitaLand Group, said: "The upswing in the Asian real estate market, the on-going urbanisation of the Asian economies and the institutionalisation of Asian real estate are all positive growth drivers for the entire Group. The Singapore property market continues to present exceptional demand driven growth for all our business units.
"We also continue to grow overseas. We are now expanding our multi-sector presence to oil-rich countries, as exemplified by the announcement of our memorandum of understanding with Eurasia Logistics, a logistics property developer in Russia.
"The Group has also raised its target for assets under management to S$18 billion, covering China, Japan, Malaysia and oil-rich countries like Bahrain, where the Group recently launched the first equity Sukuk fund, which is also its second Shariah-compliant product.
"We are confident that we will continue to deliver on our strategy to the benefit of our shareholders.
No comments:
Post a Comment