SINGAPORE (Feb 27): Jardine Cycle & Carriage reported FY16 earnings of US$702 million ($971 million) on gains from sale of a property and investment property valuations.
This was 2% higher compared to its FY15 earnings of $691 million, which included a net non-trading gain of US$59 million.
Revenue for the year remained relatively unchanged at US$15.8 billion.
Underlying profit attributable to shareholders grew 7% to US$679 million, underpinned by Astra’s contribution to the Group’s underlying profit of US$500 million was up 6%.
The group’s direct motor interests also contributed US$167 million to the group’s underlying profit, up 18% and its other interests contributed US$33 million, 11% higher than in FY15.
Jardine C&C says it remains positive for 2017, as it believes Astra will benefit from improving economic conditions in Indonesia and higher coal prices, while the group’s direct motor interests and other interests are expected to perform satisfactorily.
This was however partially offset by a loss arising from a significant increase in loan-loss provisions by 44% held Permata Bank.
Underlying earnings per share rose 3% to US$1.72, registering lower increase due to the effect of the group’s rights issue in 2015.
“Despite facing challenging economic conditions, the group achieved a good result in 2016 thanks to the commitment and hard work of its 240,000 employees across the region. On behalf of the board, I would like to thank them for their contributions,” says JC&C chairman Ben Keswick.
The board is recommending a final one-tier tax-exempt dividend of 56 US cents, up from 51 US cents in FY15, which together with the interim dividend will produce a total dividend of 74 US cents per share, up from 69 US cents per share in FY15.
Shares of Jardine C&C closed 41 cents lower at $40.21.
