Wee Hur reports near doubling of earnings in Q1

SINGAPORE - Construction group Wee Hur Holdings has registered a 91 per cent jump in first quarter net profit to $13.6 million.

Revenue for the three months to March 31 was up 51 per cent at $117.3 million, mainly due to higher contributions from residential development project.

Gross profit soared to $31.3 million from $15.8 million for the corresponding period last year, mainly due to higher contribution of gross profit margin in property development business.

Other losses increased by $1.8 million, mainly due to foreign exchange adjustment unrealised losses arising from inter-companies loans for the acquisition of land in Australia.

Earnings per share firmed to 1.48 cents from 0.78 cent previously while net asset value per share inched up to 35 cents compared to 34 cents as at Dec 31.

Looking ahead, Wee Hur noted that the property market in Singapore remains challenging.

It said its on-going residential development project, Parc Centros, is not affected by the weak property market sentiments as it is already fully sold.

However, the group has just commenced the development on the industrial land at Woodlands Avenue 12 and is targeting to launch in the first half of 2015.

It will consider the prevailing market conditions in planning its marketing and pricing strategies.

As at March 31, Wee Hur's construction order book stood at an estimated $302.5 million, which will provide the group with a continuous flow of activity through 2017.