SINGAPORE - GuocoLeisure posted near flat first quarter earnings.

Its net profit rose by 0.6 per cent to US$16.6 million (S$20.8 million) for the three months to Sept 30.

Revenue, however, tumbled by 6.3 per cent US$101 million, due mainly to lower revenue generated from both gaming and property development segments.

The volatility in the gaming sector will continue to affect overall revenue performance.

Hotel revenue remained stable as compared to previous corresponding quarter.

Income from the Bass Strait oil and gas royalty in Australia increased by 12.1 per cent principally due to higher royalties received as a result of higher average crude oil and gas prices in the current quarter as compared to the same period a year ago.

The decrease in gain on disposal of investments was mainly due to sale of a casino licence by Clermont Leisure UK in the previous corresponding quarter.

Earnings per share were flat at 1.3 US cents while net asset value per share dipped by 90.5 US cents compared to 93.3 US cents as at June 30.

Looking ahead, GuocoLeisure said the refurbishment programme for its hotels remained in progress and is expected to continue over the next 12 months.

The impact of rooms not available for sale due to the refurbishment will continue to be felt over this period.

The London hotel market is expected to continue to grow over the next year albeit at a slower pace, with most, if not all, of the growth likely coming through rising average daily rate as occupancy levels have peaked across the city.

The soft launch of group's first hotel under its new "Amba" brand will take place in the final quarter of 2014.

The group is on track to complete the refurbishment and expects to open the first hotel under its new "every" brand in the first quarter of 2015.