Yoma Strategic Q3 profit tumbles 98.7% on currency losses, lower fair value gain

SINGAPORE - Myanmar-focused group Yoma Strategic said profit fell 98.7 per cent S$300,000 for the third quarter ended Dec 31, 2016, compared to S$25.2 million a year ago.

It blamed currency translation losses and a lower fair value gain recognised in the quarter.

Revenue for the quarter grew 16.6 per cent to S$27.7 million, from S$23.8 million last year. Revenue from the non-real estate businesses swelled 22.4 per cent to S$16.9 million, while that from real estate rose by 8.7 per cent to S$10.9 million.

Earnings per share for the quarter fell to 0.02 Singapore cent from 1.45 cents a year ago.

No dividend was recommended for the quarter.

Said Mr Serge Pun, Yoma Strategic's executive chairman: "We remain confident about the recovery and long-term prospects of the Yangon real estate market given the country's fundamentals, pace of economic growth and the government's efforts to upgrade infrastructure and foster a pro-business environment.

"We are also pleased to see that our non-real estate businesses are also making very good progress and will continue to explore other opportunities in the consumer related businesses, particularly in relation to the delivery of food and beverage products to grow this platform."

Mr Pun said that Yoma is planing to begin construction of its Landmark Development project in downtown Yangon that will include luxury residences, office towers and retail space.

The company added that its KFC business is on track towards its target of opening 12 stores by March 2017. It is also planning to expand its KFC footprint outside of Yangon in the coming months and intends to build up to an additional 10 stores by March 2018.