Metro second-half profit drops 68.4% to $5.4 million
Sign up now: Get ST's newsletters delivered to your inbox
Net profit for H2 stood at $5.4 million, compared with $17 million posted the same period a year ago.
PHOTO: METRO HOLDINGS LIMITED
Helene Tian
Follow topic:
SINGAPORE (THE BUSINESS TIMES) - Retail and property firm Metro Holdings on Friday (May 27) posted a 68.4 per cent fall in net profit for the second half-year ended March 31, dragged by lower revenue, impairment losses and a lower share of profit from joint ventures.
Net profit for the second half-year stood at $5.4 million, compared with $17 million posted for the same period a year ago.
Revenue declined marginally by 1.5 per cent to $59.7 million, from $60.6 million in the second half of financial year 2021, as higher sales in the retail division partially offset declines in revenue from the property division.
The group's bottom line for the second half-year was further weighed down by an impairment loss of $36.3 million. It accounts for amounts due from associates on co-investments with BentallGreenOak that were mainly attributed by the group to ongoing China property sector headwinds.
Over the half-year period, Metro also saw a 27.3 per cent decline in the share of profit from joint ventures to $23.3 million compared with $32.1 million, as a result of lower contributions from The Crest condominium as well as rental rebates and waivers granted to tenants during China's recent Covid-19 lockdowns.
Metro's latest set of half-year results translates to earnings per share (EPS) of 0.6 cent, down from an EPS of 2 cents for the second half of financial year 2021.
The board has proposed a final dividend of two cents per ordinary share and a special dividend of one cent per ordinary share, amounting to three cents in total.
The latest set of results brings Metro's net profit for financial year 2022 to $23.7 million, representing a 35.5 per cent decline from its financial year 2021 profit of $36.8 million as a result of the impairment loss recorded in the second half-year.
Revenue for financial year 2022 grew 3.3 per cent year on year to $100.5 million from $97.3 million due to higher contributions from the retail division.
As at 9.26am on Friday, Metro was trading up 1.5 cents or 2 per cent to 75.5 cents, after the release of the group's financial results.
