SINGAPORE (Nov 3): Property group UIC reported a 49% rise in 3Q earnings to $95.5 million from $64 million a year ago on higher revenue.
Revenue rose 55% to $405.5 million from $262 million mainly due to higher sales recognition from trading properties.
Revenue recognised from the sales of trading properties recorded at $277.8 million, which was 102% higher, primarily due to higher sales in Alex Residences and Pollen & Bleu.
Revenue from property investments decrease by 2% to $68.8 million while revenue from IT and hotel operations increased by 19% and 2% respectively.
Share of joint ventures' results increased by $10.7 million to $6.7 million mainly due to new contribution from The Clement Canopy residential project launched for sale in February 2017 and from the UK Holborn property which was acquired in November 2016.
In its outlook, UIC says with improving business sentiments and steady take-up of new office space, rental rates are expected to rise.
Outlook of rental for retail premises remains challenging amid increasing trends towards online transactions and other environmental changes.
The residential market is expected to continue to improve given the better demand seen in recent months. The numerous successful conclusions of en-bloc sales reflect the optimistic sentiments amongst developers and the continued rising trend in land prices.
In view of new hotel room supply, hotel occupancy and room rates will continue to stay under pressure.
Shares in UIC closed at $3.35 on Friday.
