Higher profit from property development and property investment, as well as higher dividend income received and recognition of higher fair value gains on investment properties, gave a fillip to results for UOL in its second quarter.
Net profit rose 21 per cent to $132.7 million from the previous year. For the three months ended June 30, revenue surged 59 per cent to $635.4 million from the preceding year.
The increase in revenue was due mainly to an additional $295.5 million from the consolidation of the UIC group and the associated and joint venture companies of UOL group and UIC group from September last year, it said.
"Excluding the effects of this consolidation, revenue from property development was lower by $69 million, or 31 per cent, with lower progressive recognition of revenue from Principal Garden as the project approaches completion in end-2018; absence of contribution from Riverbank@Fernvale, which was fully sold in August 2017, offset in part by revenue from Amber 45, which was launched in May 2018," said UOL in a statement.
"Revenue from hotel operations remained flat as the loss of revenue from the closure of Pan Pacific Orchard for redevelopment was largely replaced by new revenue from Pan Pacific Melbourne, which was acquired in end-July 2017.
"Revenue from property investments was lower by 4 per cent, or $2 million, mainly due to lower revenue from OneKM mall."
Meanwhile, the increase in dividend income was mainly from United Overseas Bank (UOB), which declared higher dividend and a special dividend in the current quarter totalling 65 cents a share, up from 35 cents in the same period last year
AT A GLANCE
REVENUE: $635.4 million (+59%)
NET PROFIT: $132.7 million (+21%)
UOL has a small 2.4 per cent stake in UOB.
Earnings per share came in at 13.59 cents, a reversal from a loss of 0.03 cent in the previous year.
Net asset value per share edged up to $11.34 as of June 30, compared with $11.23 as of Dec 31.
UOL shares yesterday ended four cents, or 0.6 per cent, lower at $7. The results were announced after market close.