UOL’s 2Q net profit soars % to $147.8m

UOL Group today announced a net attributable profit of $147.8 million for the second quarter ended 30 June 2010, compared to a loss of $20.1 million in 2Q09. The net attributable profit excluding fair value and other gains increased by 36% to $122.1 million as compared to 2Q09.

For the first six months in 2010, its net attributable profit excluding fair value and other gains rose 43% to $205.7 million against $144 million in the corresponding period last year.

The improved results in 2Q10 came on the back of a 50% rise in gross revenue to $320.4 million, reflecting strong performances from its three core businesses — property development, property investments and hotel operations.

The biggest contributor, property development, was boosted by the progressive recognition of revenues from the successful sales of Duchess Residences, Meadows@Peirce, Double Bay Residences and Waterbank at Dakota.

Property investments also held up, riding on the rebound in demand while profit from hotel operations rose significantly.

During the quarter, UOL’s investment properties were valued by professional valuers and a fair value gain of $24.8 million was recognised, compared to a loss of $77 million in 2Q09.

With the inclusion of fair value gains on the investment properties, the group recorded a pre-tax profit of $185.8 million for 2Q10 against a pre-tax loss of $2.9 million for the corresponding quarter in 2009.

For the six months ended 30 June (1H10), gross revenue increased 39% to $569.7 million from $410.4 million in 1H09 while pre-tax profit before fair value and other gains/losses jumped 81% to $269.7 million from $148.7 million in 1H09.

Since January 2010, UOL says the group has sold 970 units of its residential projects, recording total sales value of about $1.3 billion. It has launched two new residential projects namely Waterbank at Dakota, which has sold 615 out of the total 616 units and Terrene at Bukit Timah, a 172-unit condominium, which is 98% sold.

Source : The Edge – 6 Aug 2010

Join The Discussion

Compare listings