Wing Tai Q3 profit jumps nearly five-fold to $54m

Published May 11, 2007

Wing Tai Q3 profit jumps nearly five-fold to $54m

By ARTHUR SIM


BOOSTED by a significant increase in development property sales, Wing Tai Holdings yesterday reported a near five-fold jump in net profit for its third quarter ended March 31, 2007.

Net earnings for the three months hit $54.1 million, up from $11.1 million in the previous corresponding period. Q3 earnings per share surged to 7.53 cents from 1.54.

The Q3 results brought nine-month net earnings to $138.6 million, up 163 per cent from $52.7 million. Third-quarter revenue more than doubled from $140.8 million to $295 million.

And for the nine months, revenue totalled $732.6 million, up 64 per cent from $448 million.

Wing Tai said that much of increase in revenue was from the significant increase in sales in the development property divisions.

It said revenue on development properties for the current period came mainly from units sold in Draycott Eight, The Light @ Cairnhill, Kovan Melody and Amaryllis Ville.

Besides a surge in operating profit, the group also saw a jump in contributions from its associated and joint-venture companies.

Wing Tai remained bullish about the property market, saying it will 'continue to position itself favourable to ride the upswing in the Singapore property market'.

In April, it launched Casa Merah condominium near Tanah Merah MRT Station at a net average price of $588 per square foot, after a 12 per cent discount. It said that the joint venture development with NTUC Choice Homes is now more than 95 per cent sold.

Wing Tai is also looking to launch several other new developments this year. These include The Riverine By The Park in Kallang, Helios Residences in Cairnhill, the former Belle Vue site on Oxley Road, the former Newton Meadows in Newton and Floridian in Bukit Timah.

Wing Tai shares ended six cents up yesterday at $3.46.