SINGAPORE (Oct 17): Keppel Telecommunications & Transportation (Keppel T&T) announced earnings fell 81.7% to $12.8 million in 3Q17 from $69.9 million in 3Q16.
This was largely due to the absence of gain from a divestment made in 3Q16 and contributions from subsidiaries disposed.
During 3Q16, one-off gains amounting to $55.8 million were recognised on the disposal of 50% interest in Keppel DC REIT Management and adjustment for sale proceeds of data centres disposed, partly offset by impairment loss on fixed assets.
Excluding the one-off gains in 3Q16, net profit attributable to shareholders for 3Q17 would have decreased by 27% instead.
Revenue for the 3Q17 ended September declined 3.3% to $45.0 million from $46.5 million due mainly to weaker warehousing revenue in Logistics Division and absence of revenue due to disposal of 90% and 50% interest in subsidiaries, Keppel DC Singapore 3 and Keppel DC REIT Management in January and July respectively.
As at Sept 30, cash and cash equivalents stood at $138.2 million.
On the outlook, the group says it will continue to seek opportunities and make strategic investments in accretive assets and explore opportunities to unlock value and recycle capital.
No dividends were declared for this quarter.
Shares in Keppel T&T closed 2 cent lower at $1.48 on Tuesday.
