SINGAPORE - Roxy-Pacific Holdings said its third quarter net profit fell 39 per cent to $8.1 million.
This was despite revenue rising 4 per cent to $90.9 million for the three months to Sept 30, mainly from an increase in revenue from the property development business.
Revenue from this business segment, which made up 83 per cent of group, increased 5 per cent to $76.2 million, largely attributable to higher revenue recognition from Trilive, LIV on Sophia and LIV on Wilkie projects, but partially offset by lower revenue recognition from Jade Residences and Whitehaven developments.
Revenue from the hotel ownership segment, which contributed 13 per cent to turnover, fell by 2 per cent to $11.5 million. Grand Mercure Roxy Hotel maintained an average occupancy rate of 91.8 per cent, down from 94.8 per cent in the same period last year.
Average room rate was also lower, at $155.30 compared to $168.80 previously.
As a result, revenue per available room eased to $142.60 from $160.
Earnings per share eased to 0.68 cent from 1.11 cents previously while net asset value per share rose to 40.15 cents compared to 38.34 cents as at Dec 31.
The Group launched the Straits Mansions freehold residential project in Singapore and eight-storey development, The Hensley in Sydney, Australia.
Both projects have received warm reception, selling over 80 per cent of its units shortly after the sales launch in July and June, respectively.
Straits Mansions is expected to start contributing positively to the group's performance in the second quarter of next year while The Hensley is expected to contribute positively upon completion in 2018.