Southeast Asia’s largest property developer, CapitaLand, has recorded a net profit of S$80.2 million in the third quarter, down 83 percent from S$460.1 million a year ago.
CapitaLand said the decline in Q3 income was mainly attributed to lower contributions from Australia and China, as well as to a change in an accounting rule that restated last year’s company revenue.
Meanwhile, revenue for the quarter also slipped 58 percent to S$608.6 million, from S$1.45 billion over the same period last year.
In terms of nine-month results, the company posted a net profit of S$580.7 million, from S$751.1 million a year ago, while revenue for the period stood at S$1.96 billion.
“Last year’s figures were due to strong revenue from the group’s development projects. The restated year-to-date September 2010 revenue included significant contributions from The Seafront on Meyer and Latitude,” it said.
Liew Mun Leong, CEO of CapitaLand, said that as the company moves towards the next phase of growth, “our strategic focus is still on our core markets. To date, we have committed S$7 billion of new investments to broaden and deepen our businesses in these core markets, especially in Singapore and China.”
In Singapore, the company has invested in residential projects at Bishan and Marine Parade Road. Meanwhile, Liew said that a condominium at Bedok Central will be launched this year.
The company has also sold more than 1,100 units of The Interlace, d’Leedon and Urban Resort condominiums, while office towers at Market Street and Jurong Gateway will be completed in 2014.
Looking forward, Liew said the company will “continue to adopt a prudent investment approach. With our strong balance sheet and financial flexibility, it is likely the uncertainty and cooling measures will provide opportunities for us to explore and secure investment opportunities, especially in Singapore and China.”
To contact the journalist, you may send your message to editor@propertyguru.com.sg