OUE reports full year net profit of $1.1 billion on divestment gains

View of the Overseas Union Enterprise (OUE) Bayfront, an 18-storey office building in Collyer Quay. -- ST PHOTO: YEN MENG JIIN 
View of the Overseas Union Enterprise (OUE) Bayfront, an 18-storey office building in Collyer Quay. -- ST PHOTO: YEN MENG JIIN 

SINGAPORE - Mainboard-listed integrated property developer OUE achieved a net profit of $1.1 billion for the year, reversing a net loss of $36.6 million in the previous financial year.

It said that the net profit came from unlocking the values of Mandarin Orchard Singapore and Mandarin Gallery, which were sold to OUE Hospitality Trust and the fair value gains on OUE Bayfront, Lippo Plaza and US Bank Tower.

Revenue from business and operations fell 4.6 per cent to $416.4 million, owing to the lack of revenue from the China hotels, which were sold in September 2013.

Its net finance expense fell 30.9 per cent to $64 million owing to higher interest income, lower borrowings and the absence of exchange losses.

OUE's earnings per share for the year was $1.20, up from loss per share of 4 cents previously, while net asset value was $4.32 as at Dec 31 last year, compared with $3.18 a year ago.

OUE shares closed up 2 cents at $2.22 on Friday.