Company Briefs : PropNex


Home-grown real estate agency PropNex reported a near 58 per cent year-on-year drop in fourth-quarter net profit to $1.83 million as sales were hurt by the cooling measures implemented in July last year.

Revenue was around 16 per cent lower at $83 million as revenue recognition for the number of units transacted in the third quarter - which slumped on the back of the cooling measures - took place in the fourth quarter.

Earnings per share for the quarter under review worked out to 0.49 cent per share, down from 1.41 cents a year ago.

For its full year, net profit was up 19.3 per cent to $19.41 million in line with the higher top line. Revenue for FY2018 jumped 30 per cent to $431.54 million, led by higher commission income from agency services and project marketing services.

As at Sunday, PropNex's sales force had grown to 7,513, up from 6,684 as at Jan 1 last year.

The agency has declared a final dividend of 1.5 cents per share and a special dividend of two cents per share, subject to approval at an upcoming annual general meeting.

Ho Bee Land

A $20.3 million provision for a potential tax liability caused Ho Bee Land's fourth-quarter net profit to fall 20.5 per cent to $81.4 million.

The authorities raised an additional tax assessment last year on the group's gain on sale of Hotel Windsor in 2013, though Ho Bee said that it has objected to the assessment based on professional advice.

For the three months ended Dec 31, revenue jumped 22.8 per cent to $147.9 million from the previous year.

This resulted from higher rental revenue from Ropemaker Place, which was acquired on June 15 last year, as well as a net fair value gain of $93 million on its investment properties in the United Kingdom and Singapore - 19.2 per cent higher than in the same quarter a year ago.

For the quarter, earnings per share was at 12.24 cents, down from 15.39 cents in the year-ago period.

For the year, net profit rose 8.3 per cent to $270 million, and earnings per share rose to 40.58 cents, up from 37.44 cents.

Ho Bee is recommending a dividend of 10 cents per ordinary share, comprising a first and final dividend of eight cents per share and a special dividend of two cents per share. This is the same as last year.

Its shares closed unchanged at $2.51 yesterday.

A version of this article appeared in the print edition of The Straits Times on February 26, 2019, with the headline 'Company Briefs'. Print Edition | Subscribe