SUTL Enterprise, the developer and operator of marinas, reported earnings of $2.6 million for the 1HFY2021 ended June, an increase of 84% from the previous year.
This translates to earnings per share (EPS) of 3 cents, compared to 1.62 cents the previous year.
The board of directors has declared a special dividend of 10 cents per share.
The higher earnings follow higher revenue for the period, which grew 20% y-o-y to $16.1 million on the back of the recovery from the Covid-19 pandemic which had impacted operations.
See also: SUTL posts 17% drop in 4Q earnings to $3.64 mil on higher expenses, lower fees
According to SUTL, the topline improvement in the first half of the financial was driven mainly by a 38% y-o-y increase in revenue from its Sales of Goods and Services segment to $10.3 million as the Group’s restaurant, chartering, room and marina operations all recorded higher income following resumption of lifestyle activities albeit in accordance with Covid-19 restrictions.
The group’s Membership Related Fees and Management Fees segment also registered an 18% y-o-y uptick in revenue to $5.4 million because of a higher number of membership transfers and also due to the absence of F&B credits given to members as rebates for membership subscriptions in the 1H2020.
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As at 30 June, SUTL Enterprise had cash and cash equivalents of $48.6 million.
“Being in the lifestyle and hospitality business, we continue to be affected by restrictions brought on by the ongoing Covid-19 situation, which have prevented us from resuming full operations. However, we are optimistic that the vaccination programme being carried out locally will soon gain traction so that Singaporeans can once again enjoy their leisure activities. To drive revenue locally, we roll out regular marketing and promotional activities particularly for F&B and ONE°15 merchandise as well as stay-cations and sea-cations on bought yacht charters,” says Arthur Tay, enterprise executive director and CEO of SUTL.
“Regionally, many countries are still grappling with high numbers of Covid-19 cases and as such, we expect delays in the construction of some third-party marinas under our management as well as the development and membership sales of our jointly-owned ONE°15 Marina Puteri Harbour Malaysia. We will monitor the situation in each market closely and act quickly to respond to changes,” he adds.
Ast at 10.45am, shares in SUTL are trading up 9 cents or 18.2% higher at 58.5 cents.
