SINGAPORE (Jan 14): SLB Development has reported a net loss of $0.27 million for the 2Q19 ended November, compared to earnings of $8.9 million a year ago.
This extends SLB’s net loss for 1H19 to $3.1 million, down from earnings of $12.6 million in the corresponding period a year ago.
The property developer, which was spun off from construction company Lian Beng, saw its revenue plunge 82.3% to $6.5 million in 2Q19, down from $37.1 million a year ago.
The decline was mainly due to lower revenue contribution from its industrial property development project T-Space @ Tampines during the quarter as the project was substantially completed in June last year.
Other operating income fell 97.6% to $0.2 million in 2Q19, from $7.1 million a year ago.
This was mainly due to an absence of fair value gain on investment property of $7.0 million in 2Q18, which was recognised from Mactaggart Foodlink upon reclassification from investment property to development property in 2Q2018.
As at end Nov, cash and cash equivalents stood at $48.4 million.
Looking ahead, the group says it expects the residential property market to remain challenging with the various property cooling measures implemented.
It adds that it will continue to monitor the property market closely and take appropriate action when necessary.
Shares in SLB closed 0.2 cent lower, or down 1.2%, at 16.5 cents on Monday.
