SINGAPORE (Aug 11): Bukit Sembawang Estates reported 1Q18 earnings dropped 78.3% to $5.96 million from $27.5 million a year ago.
For the three months ended June, group revenue fell 64.7% to $15.8 million from $44.9 million a year ago, mainly due to lower sales and lower profit recognition on development projects. Cost of sales also decreased 65.6% to $6.8 million. Correspondingly, gross profit decreased by 64.0% to $9 million.
In 1Q18, profits were recognised for Skyline Residences and Watercove. For 1Q17, profits were recognised for Luxus Hills Phase 6 and 7 and Skyline Residences.
Finance income ended at $1.1 million, a decrease of 22.7% as compared to $1.4 million in 1Q17. This was due to lower interest income earned from fixed deposits placed with banks.
With the property cooling measures introduced by the government still in effect, the group expects that the private residential property market will continue to be affected and this may dampen its sales performance in the current year.
Shares in Bukit Sembawang closed 10 cents lower at $6.45 on Friday.
