http://www.straitstimes.com/premium/...fit-6-20130219

Home sales lift Hiap Hoe's Q4 net profit by 6%

Published on Feb 19, 2013

By Esther Teo Property Correspondent


HIGHER revenue from home sales helped property and construction firm Hiap Hoe lift fourth-quarter net profit by 6 per cent.

Earnings were $13.8 million for the three months to Dec 31 but turnover plunged 36 per cent to $24.4 million compared to the same period last year due to an adjustment in construction revenue for certain joint-venture projects.

Net profit for the full-year surged 22 per cent to $57.9 million while revenue gained 7 per cent to $145.7 million.

This was partly due to revenue recognition from residential development projects such as Skyline 360° and Waterscape at Cavenagh.

The firm said in a statement yesterday that it will "adopt a prudent approach towards its property sales, joint-venture initiatives as well as land acquisition programmes", in the light of the new cooling measures unveiled last month.

Hiap Hoe also gave an update on the status of its residential and hotel developments.

The Beverly in Toh Tuck Road is 91 per cent sold, Skyline 360° at St Thomas Walk is 64 per cent sold while Waterscape has found buyers for 75 per cent of its units.

Its Days Hotel development in Zhongshan Park opened on Dec 31 while Ramada Singapore, which is also in the same development, is expected to be completed in the second quarter of this year.

The hotel should open in the first half of this year, along with the office building and mall that are in the same complex.

Quarterly earnings per share stood at 2.93 cents, compared with 2.76 cents a year earlier.

Net asset value per share came in at 64.94 cents, up from 53.39 cents for the same period last year.

A final dividend of half a cent per ordinary share was declared. It is expected to be paid on May 23.

Hiap Hoe shares closed unchanged at 72.5 cents yesterday.

[email protected]