Roxy-Pacific sits pretty with higher profits and backlog of progress billings to come

Property developer and hotelier Roxy-Pacific Holdings has posted a 97 per cent jump in third quarter net profit to $16.2 million.

This was on the back of a 76 per cent rise in revenue to $76.7 million for the three months ended Sept 30.

This was the result of a 114 per cent increase in revenue from the property development division, partly offset by a 7 per ecnt decrease in revenue from each of the hotel ownership segment and property investment segment.

Revenue from the property development segment, which made up 84 per cent of group turnover, jumped 114 per cent to $64.1 million.

This is largely due to higher revenue recognition from Spottiswoode 18, Jupiter 18 and Space@Kovan in the current quarter, as well as the absence of revenue recognition from Treescape and The MKZ in the prior-year quarter.

The group's share of profits of associates increased from $700,000 to $2.7 million, mainly due to the profits recognition from joint-venture projects: Natura@Hillview, Eon Shenton, Haig 162 and Nottinghill Suites during the quarter, compared to the profits recognition from only Haig 162 in the same period last year.

The temporary occupation permits for Haig 162 was obtained in June 2013.

Earnings per share climbed to 1.35 cents from 0.69 cent previously while net asset value per share rose to 23.86 cents compared to 21.25 cents as at Dec 31.

As at Oct 29, the group has a balance amount of attributable progress billings of about $1.1 billion, the profits of which will be recognised from the fourth quarter through to 2017.