Wing Tai Holdings has reported earnings of $140.2 million for the FY2022 ended June, 222% higher than earnings of $43.6 million in the FY2021.
This was boosted by the group’s 2HFY2022 earnings of $86.4 million, which reversed from its $13.2 million loss in the 2HFY2021.
During the period, Wing Tai’s earnings were boosted by its higher share of profits of associate and joint venture (JV) companies.
For the FY2022, the group’s share of profits of associate and joint venture (JV) companies increased by 209% y-o-y to $112.2 million, which was primarily due to the higher contributions from Wing Tai Properties Limited in Hong Kong as well as Uniqlo in Singapore and Malaysia.
During the 2HFY2022, the group’s share of profits of associate and JV companies stood at $90.7 million, from its share of loss of $2.2 million in the same period the year before.
For the FY2022, earnings per share stood at 16.62 cents on a fully diluted basis.
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Revenue for the FY2022 increased by 12% y-o-y to $514.6 million mainly due to the higher contributions from the group’s development properties, especially from the progressive sales recognised from The M at Middle Road and the additional units sold in Le Nouvel Ardmore in Singapore.
Cost of sales increased by 26% y-o-y to $350.0 million.
Gross profit fell by 10% y-o-y to $164.6 million.
Other gains fell by 7% y-o-y to $11.0 million.
Operating profit fell by 11% y-o-y to $62.3 million.
For the FY2022, the group has declared a first and final cash dividend of 3 cents as well as a special dividend of 3 cents. This is one cent higher from FY2021’s dividend, which included a first and final dividend of 3 cents and a special dividend of 2 cents.
The date payable will be announced at a later date.
As at June 30, cash and cash equivalents stood at $513.8 million.
Looking ahead, the group says it expects the property cooling measures from December 2021, the rising interest rate environment, higher inflation as well as the geopolitical tensions to affect buying sentiment for private properties in Singapore.
Shares in Wing Tai closed flat at $1.61 on Aug 25.
