OUE’s revenue of $100.2 million in Q2 2014 marks a 10.6 percent decline, compared to Q2 2013.
This was attributed to Singapore’s lacklustre residential property market, and the lack of contribution from its hotels in China which were divested in September 2013.
However, there were positive contributions from the U.S. Bank Tower in Los Angeles and Lippo Plaza in Shanghai, which were acquired in June 2013 and January 2014 respectively.
Revenue from its property investment division increased to $37.3 million, due to the inclusion of revenue from the U.S. Bank Tower and Lippo Plaza.
The group also generated revenue of $10.9 million from the sale of units in its residential development, Twin Peaks, in Q2 2014.
On the whole, the group’s earnings before interest and tax decreased 15.8 percent quarter-on-quarter to $32.8 million.
At post-tax level, the OUE’s net attributable profit was $4.4 million in Q2 2014. The decrease was mainly because of lower contribution from Mandarin Gallery and Mandarin Orchard Singapore held via the Group’s equity interest in OUE Hospitality Trust, offset partially by lower finance expenses.
OUE’s Executive Chairman Stephen Riady said, "Moving ahead, we continue to seek opportunity and transform potential.”
Muneerah Bee, Senior Journalist at PropertyGuru, wrote this story. To contact her about this or other stories email muneerah@propertyguru.com.sg
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