Thinner property development earnings weigh on CDL's Q4 results

Thinner profits from property development weighed down earnings at property giant City Developments (CDL) on Thursday.

CDL's net profit for the fourth quarter sank 11.4 per cent to $221 million from the preceding year.

This was on the back of a 12.6 per cent drop in revenue to $774.4 million for the three months to Dec 31 from the year before.

Lower profit contribution from property development was partly due to the completion of Hundred Trees and Tree House last year, CDL said in a statement.

It was also "unable to recognise profits for some of its launched private residential projects as construction of these projects have yet to commence or reach recognition stage".

For the full year, net profit inched up 0.7 per cent to $683 million and revenue slipped 5.7 per cent to $3.2 billion.

Earnings per share fell 11.6 per cent to 23.6 cents for the quarter from the year before. Net asset value was $8.63 as at Dec 31 last year, up from $8.03 as at Dec 31, 2012.

CDL proposed an ordinary dividend of eight cents.

Register here to get free digital access to The Straits Times until Aug 9, 2015.
Comments