OUE’s revenue for 1HFY2021 halved to $152 million from the same period last year, from all-across weakness in its hotels and real estate businesses.
However, it is able to report earnings of $30.1 million, versus a loss of $207.2 million.
This time last year, the company recognized a fair value loss from the sale of its office property in Los Angeles, the US Bank Tower. While carried on its books at US$650 million, the property was sold for just US$430 million last year.
OUE plans to resume paying an interim dividend of one cent per share, after not doing so for 1HFY2020.
The company in the midst of renovating and rebranding its key hotel asset Mandarin Orchard to Hilton Singapore Orchard.
With expected completion early next year, OUE believes Hilton Singapore Orchard will be ready to tap on the growth of Singapore’s hospitality scene as recovery begins and travel resumes.
As at June 30, the company’s net asset value was $4.29, up slightly from $4.24 as at Dec 30 2020.
OUE shares closed Aug 3 at $1.30, up 2.36% for the day and 9.24% year to date.
