SUTL posts 2% rise in Q4 profit as firm cuts costs

SINGAPORE - SUTL Enterprise, the owner of the ONE°15 luxury yachting brand, on Tuesday announced a 2 per cent rise in fourth-quarter net profit to S$2 million, on the back of lower expenses.

Earnings per share for the quarter came in at 2.26 Singapore cents, compared to 2.28 Singapore cents in the year-ago period.

A final cash dividend of two Singapore cents per share has been recommended for the year ended Dec 31. This is unchanged from the preceding year, and subject to shareholders approval at an upcoming annual general meeting to be convened, SUTL said.

Revenue for the quarter dipped 6 per cent to S$7.6 million from S$8.1 million last year.

While full-year revenue fell 3 per cent to S$27.3 million, this was more than offset by a 4 per cent drop in total expenses, led by lower promotional expenses, utilities and property tax.

There was also a 20 per cent reduction in income tax expense in FY17, mainly due to tax incentives enjoyed by a subsidiary, SUTL said.

For the full year, net profit rose 8 per cent to S$4.14 million.

Going forward, the group expects market conditions in the integrated marina development industry to remain "fairly stable", and will continue to seek global opportunities.

SUTL currently has operations in Suzhou, New York and Singapore, with plans for marina projects in Johor, Malaysia underway.

Most recently on Feb 22, the company announced that its subsidiary had entered into a conditional agreement to acquire a majority stake in a Thai company that will be involved in developing and operating a yacht club in Phuket.

Shares in SUTL Enterprise last traded at S$0.795 apiece on Tuesday, unchanged from the previous day's close.