SINGAPORE - Property group GuocoLand has posted a full year net profit of $304.2 million, up from $40.5 million last year.
Revenue rose by 85 per cent to $1.25 billion for the 12 months to June 30 while gross profit was 117 per cent higher, mainly due to higher revenue and profit recognised for the group's Singapore residential projects and Seasons Park in Tianjin.
GuocoLand sold a good number Goodwood Residence units during the fourth quarter.
Other income increased by $156 million, mainly due to a gain from sale of the group's interest in subsidiaries and fair value gain from investment properties.
Administrative expenses increased by 28 per cent, mainly due to higher staff cost and sales and marketing expenses.
Tax expense rose by 40 per cent because of higher operating profit and gain from sale of subsidiaries.
Earnings per share jumped to 26.53 cents from 3.57 cents previously while net asset value per share increased by 16 cents to $2.36.
An unchanged final dividend of five cents a share was recommended.
On its prospects, GuocoLand noted that the Singapore Government had recently announced that it was premature to relax the property market cooling measures.
In China, prices and transaction volume in the residential market in large cities are declining.
Inventory of unsold homes in large cities has been rising.
However, rising urbanisation and growth in urban income will continue to be supportive of the residential property market in China.
Although the group is operating in a challenging environment in Singapore and China, it will continue to focus on sales of its residential units, said GuocoLand.