The net profit of Yeo Hiap Seng (YHS) fell 68.5 per cent to $15.5 million in the first quarter compared to the same three-month period last year.

Revenue slid by 38 per cent to $135.6 million in the same period, it said in an announcement.

The declines in sales and profit were largely caused by the property division, with the reduced number of units for its developmental properties available for sale in the current financial period.

However, revenue from the food and beverage division improved its performance by 7.5 per cent to $110.6 million for the financial period ended March 31.

YHS expects margins from its food and beverage division to be squeezed in the next 12 months due to competitive selling prices.

The management will look into improving the operating efficiency and production processes to enhance the profitability of the F&B arm of the business.

Earnings per share fell to 2.7 cents from 8.61 cents previously.

Net asset value per share grew slightly to 124.72 cents from 118.94 cents as of Dec 31 last year.

YHS shares closed three cents higher at $2.61. The results were announced after the market closed.