SINGAPORE (Feb 14): Stamford Land, the property developer and independent owner-operator of luxury hotels, has declared earnings of $11.4 million for the third quarter ended Dec 31, up 2.6% from $11.1 million in 3Q16 on higher revenue.
Revenue grew 5.4% to $55.4 million from $52.5 million a year ago, driven largely by revenue contributions from its hotel owning and management, which grew 3.6% to $50.2 million from $48.4 million in the previous year due mainly to a stronger AUD which increased by 4.1% over the quarter.
The property investment segment also registered a 44.8% growth in revenue contributions from $3 million in 3Q16 to $4.4 million in the current quarter, attributable to higher rent set for FY17.
However, these were partially offset by a decline in revenue from property development, which registered a sale of one apartment as compared to five apartments sold in FY16 in the year to date, resulting in a decline in net profit for the segment.
Stamford Land’s trading segment, too, reported a 22.8% decline in revenue to $0.5 million due to what the group describes as a “challenging business environment” in both its travel agency and interior decoration businesses.
In a Tuesday filing to the SGX, Stamford Land says it expects its hotel and property investment segments to remain stable, while contributions from the property development segment are expected to be substantial.
Barring any unforeseen circumstances, the group expects to remain profitable for FY17.
Shares of Stamford Land closed 1.9% lower at 52 cents on Tuesday.
