Emerging Towns & Cities Singapore (ETC) is advising shareholders that it is expecting to report a loss for its 1HFY2021 ended June.
The loss is mainly attributable to the company's ongoing process of finalising the valuations on the group’s investment properties as at end-June. Based on indicative values, the company expects to recognise fair value losses on the group’s investment properties at the Golden City project, which are non-cash in nature; write-down of the group’s development properties at the Golden City project in 1HFY2021, which are non-cash in nature; and lower revenue recognised for the sales of Golden City property units in 1HFY2021.
This profit guidance is based on a preliminary review of the unaudited financial results of the group
for 1HFY2021. The group is still in the process of finalising the financial results for 1HFY2021 and
further details of its financial performance for 1HFY2021 will be disclosed when it announces its 1HFY2021 financial results on or about September 16, 2021.
To recap, the group recorded a loss of $2.6 million in its FY2020 ended December, compared to earnings of $6.7 million in FY2019. This was as revenue dropped 32.8% y-o-y to $27.8 million, mainly due to fewer Golden City property units recognised as revenue in FY2020 -- 50 units were recognised as revenue in FY2020 as compared to 107 units in FY2019.
Shares in ETC closed at 3.4 cents.
Photo: Emerging Towns & Cities
