SINGAPORE (May 9): Bonvests, the hotel operator and property developer, saw 1Q18 earnings jump 51.2% to $9.5 million from $6.3 million a year ago mainly due to higher contributions from the hotel division.
Revenue rose 6% to $58.9 million mainly due to higher sales from the hotel division. Revenue for the property rental division came in 2.7% lower at $6.028 million while revenue for the hotel division came in 9.7% higher at $35.1 million.
In its outlook, Bonvests says its property rental division is expected to remain stable as the rental market in Singapore will remain stable with steady occupancy rate.
Meanwhile, the market conditions in the countries in which the hotel division operates are expected to remain challenging amid geo-political developments in many places around the world.
The group's hotel in Bintan started operations on Feb 8. Its second hotel in Maldives is scheduled for operational completion in 3Q18 while the hotel in Douz, Tunisia is scheduled for operational completion in 2Q19.
Shares in Bonvests closed 4 cents higher at $1.31 on Wednesday.
