Apac Realty posts 70% fall in H1 net profit to S$5 million

REAL estate service provider Apac Realty saw net profit tumble 70 per cent in its half year ended June 2023 to S$5 million, down from S$16.7 million in H1 2022.

The property group, which operates under the ERA brand, posted revenue of S$259.6 million, down 24.2 per cent from the S$342.6 million in the year-ago period.

By segment, revenue from resale and rental properties decreased 8.2 per cent to S$182.7 million in H1 2023, from S$199 million a year earlier. Revenue from new home sales also declined 47.4 per cent to S$73.3 million, from S$139.3 million in the year-ago period.

“The Singapore property market continues to deal with the consequences of the April 2023 cooling measures and the high interest rate environment,” said Marcus Chu, chief executive officer of Apac Realty, adding that this had led to a fall in property transactions thereafter.

The group’s earnings per share also fell 70 per cent to 1.41 Singapore cents, down from 4.7 cents a year ago.

The board has declared an interim dividend of 1.1 cents per share, to be paid out on Sep 8 after books closure on Aug 31.

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Shares of Apac Realty closed 2.5 per cent or S$0.015 lower at S$0.585 on Monday, before the results were released.