Straco Corporation has reported revenue of $8.1 million for the 1QFY2021 ended March, a 137.6% surge from revenue of $3.4 million in its business update.
The higher revenue growth was due to positive growth in revenue for all its attractions as there were no temporary closures and suspension of rides compared to the same period in the year before.
SEE:Straco Corp posts 0.4% lower 4Q earnings of $6 mil; announces special & final dividend
A small operating profit of $0.02 million was registered for the quarter, along with an exchange gain of $0.49 million due to a stronger RMB against the SGD.
The group says its business continues to be affected by the impact of Covid-19, especially in Singapore, where travel restrictions had affected international tourist arrivals, which the Singapore Flyer heavily relies on for revenue.
The group’s operations in China, on the other hand, showed y-o-y improvement due to domestic tourism.
“Nonetheless, unlike 1QFY2020 where the group’s operations faced varying periods of closure due to the Covid-19 pandemic, no disruptions were experienced, albeit operating at reduced capacity this year,” says the group in a statement.
On this, the group says its operating profits generated by the group’s China operations offset the losses incurred by the Singapore Flyer.
Net cash generated from operating activities for 1QFY2021 was
The group say 117% higher overall visitation to its attractions this quarter, which still stood 70% lower than the pre-Covid-19 period in 1QFY2019.
As a result, the group saw losses of $0.39 million for 1QFY2021, significantly lower than the losses of $3.38 million in 1QFY2020.
Shares in Straco closed flat at 55 cents on May 14.
