Mainboard-listed Amara Holdings Limited has posted revenue of S$29.1 million for the first half of the year, with the group’s hotel investment and management segment generating higher revenue.
The group saw a 55 percent decrease in revenue in the first half of 2010, to S$29.1 million from S$64.6 million in H1 2009. This is primarily due to the lack of property launches during the period, which resulted in lower revenue from its property investment and development segment.
The decrease in revenue led to a 58 percent decline in net profit to S$4.0 million in the first half of the year. Profit before tax also declined 44 percent, to S$5.1 million in H1 this year from S$9.0 million over the same period last year.
The group’s finance costs declined 33 percent to S$1.3 million in H1 2010, driven by lower borrowings and lower interest rates, while the cost of properties sold and consumables used also decreased 93 percent to S$2.6 million in H1 this year, from S$36.0 million over the same period last year.
Amara saw a 14 percent increase in other expenses, from S$8.0 million in H1 2009 to S$9.1 million in H1 this year, attributed to the increased levels of activities in the group’s hotel investment and management segment.
In a press release, Mr. Albert Teo, chief executive of Amara, said, “The local tourism numbers for June this year surpassed expectations at 950,000 visitors. In line with the positive outlook of the local tourism sector, we are optimistic of the performance of our Hotel Investment and Management segment. Recently, we announced plans to develop a new 272-room hotel in Bangkok, Thailand, scheduled for opening in 2012. This marks the Group’s maiden entry into Thailand and we take a long term view for this vibrant market.”