Hong Leong Asia
Hong Leong Asia, the trade and industrial arm of Hong Leong Group, warned yesterday that it expects to report a loss for the financial year ended Dec 31. The company had reported a loss of $16.7 million for the third quarter ended Sept 30 last year.
The expected full-year deficit is due mainly to the continuing losses incurred by its consumer products unit.
Revenue for the year at this unit has declined 14.7 per cent, owing to the weaker home appliance market in China, the general slowdown in the mainland's economy and over-capacity in the industry leading to competitors slashing prices to gain market share, said Hong Leong Asia in a Singapore Exchange filing yesterday.
The board advised shareholders and investors to exercise caution when dealing in the company's shares.
Soo Kee Group
Jeweller Soo Kee Group plans to invest up to $800,000 for a 70 per cent stake in a bullion business. Soo Kee has signed a memorandum of understanding with Dai Keng Trading to set up a joint venture called DK Bullion to distribute precious metals in Singapore, Malaysia and Indonesia.
"We see the bullion business as a strategic fit to Soo Kee Group's overall strategy in business expansion and introduction of new product lines," said executive director and chief executive Daniel Lim. "We will be able to offer an alternative investment platform for our customers as investment-grade precious metal can be traded in Singapore without the 7 per cent goods and service tax."
Developer Sing Holdings staged a significant turnaround in the fourth quarter thanks to recognition of sales proceeds from two development projects.
Net profit for the three months to Dec 31 was $16.3 million compared with a net loss of $281,000 a year earlier, while revenue was $196 million, up 1,940 per cent from $9.6 million.
Earnings per share was 4.06 cents compared with a loss of 0.07 cent per share previously.
Net asset value per share as of Dec 31 was 58.74 cents, up from the 54.75 cents as at Dec 31, 2014. The board has proposed a final dividend of one cent, as well as a special dividend of 0.25 cent.