SINGAPORE (Nov 8): Ho Bee Land reported 3Q18 earnings of $67.8 million, a 25% increase over the same period last year.
In 3Q18, the group enjoyed its first full quarter rental contribution from Ropemaker Place in London which was acquired on June 15. Consequently, rental income increased 28% year-on-year.
Another major contributor to the increase in net profit was the group’s share of profit in its residential development projects in Shanghai and Zhuhai, which rose 54% to $44.2 million in 3Q18.
As a result of the improved financial performance of the group, earnings per share for 3Q18 grew to 10.18 cents as compared to 8.17 cents in 3Q17.
Total shareholders’ fund as at Sept 30 was $3.2 billion, representing a net asset value of $4.85 per share.
Net gearing was 0.74 times as at Sept 30.
Chua Thian Poh, chairman and CEO of the group, says, “The cooling measures in Singapore and China have dampened demand for residential properties. In the UK, there is heightened uncertainty surrounding Brexit. We remain confident in the long-term prospects of the London office property market. Overall, with our portfolio of investment properties and strong recurring income, we are able to cushion any adverse financial impact arising from these headwinds. We are well positioned to grow the group’s business in a sustainable manner.”
Shares in Ho Bee closed at $2.50 on Thursday.
