SINGAPORE - Developer and hotelier UOL Group's third-quarter net profit climbed 10 per cent to $102.6 million, boosted mainly by higher profits from its associated and joint venture companies.
Revenue rose 66 per cent to $433.5 million for the three months ended Sept 30, following the completion of The Esplanade in Tianjin, China, as well as higher contributions from Parkroyal on Beach Road, Parkroyal on Pickering and Pan Pacific Serviced Suites Beach Road.
The group's associated companies contributed $30.7 million to its overall profit - 29 per cent up from the same period last year.
This was mainly due to United Industrial Corporation (UIC), which registered higher gains from Pan Pacific Singapore, and the Archipelago and Thomson Three projects, as well as an increased 99.5 per cent interest in its subsidiary Singapore Land Limited (SingLand).
UIC had made an unconditional voluntary cash offer to acquire all the shares it does not already own in SingLand earlier in February.
The share of profit that came from joint venture companies jumped 88 per cent to $9.1 million, largely from the Archipelago and Thomson Three projects.
Group expenses for the quarter, however, edged up 2 per cent to $53.6 million, due in part to higher marketing and distribution expenses. This comprises higher showflat costs for its recent project launches, such as Seventy Saint Patrick's in Marine Parade.
Group chief executive Gwee Lian Kheng said: "With the tepid global economic outlook and subdued residential market in Singapore, we will continue to be selective in residential land acquisitions and focus more effort on commercial and hospitality properties with recurring income.
"Our maiden investment in London will act as a springboard for us to expand our hotel management business in Europe."
Earnings per share for the quarter came in at 13.23 cents, up from the 12.14 cents in the same period last year, while net asset value per share climbed to $9.29 as at Sept 30, an increase over the $8.77 as at Dec 31.