Gain in investment income returns G K Goh to the black in Q2

Stockbroker GK Goh Holdings has returned to the black, thanks to a big improvement in its investment income.

It posted a second quarter net profit of $5.6 million, reversing from a loss of $2 million in the same period last year.

Investment income amounted to $4.9 million during the quarter, against a loss of $1.6 million.

Commission and broking revenue rose by 32 per cent to $5.6 million.

This boosted total revenue up by 285 per cent to $10.6 million for the three months to June 30.

Net asset value per share grew to 116.77 cents, from 114.83 cents as at Dec 31.

Earnings per share amounted to 1.78 cents against a loss of 0.64 cent previously.

GK Goh said equity markets were extremely volatile in the second quarter, largely on macroeconomic concerns which sparked large liquidity withdrawals from emerging markets.

Most Asian markets ended the quarter down with the exception of Japan.

GK Goh's investments in Japan helped to cushion declines elsewhere. It added that it was fortunate in having reduced equity its holdings in April and May.