SINGAPORE (July 26): First Sponsor Group posted a 8.8% rise in 2Q17 earnings to $9.4 million which is also its 11th straight q-o-q growth since IPO in July 2014.
Revenue for the quarter rose 27.7% to $53.9 million. The increase was due mainly to revenue from sale of properties which rose $9.9 million to $46.6 million and revenue from hotel operations which rose $2.5 million to $3.4 million respectively. This was partially offset by a $0.7 million decrease in revenue in rental income from investment properties to $3.0 million.
Gross profit margin for the group also increased to 43.2% from 33.3%.
The board has also approved an interim tax-exempt (one-tier) cash dividend of 1 cent per share, which is the same as the 2016 interim dividend, payable on Sept 20.
Meanwhile, First Sponsor says the sales performance at the Millennium Waterfront project has been positive with more than 99% of the aggregate 7,302 residential units in the project sold, despite the continued government property cooling measures.
In the Netherlands, the group says it is in an advanced stage of discussion with an investor for the sale of a residential apartment block envisaged to be built next to the Dreeftoren office on a forward funding basis. The project is subject to the application for re-zoning and building permit with the Amsterdam Southeast municipal.
Shares in First Sponsor closed at $1.36 on Tuesday.
