Fragrance's earnings plunge 89% for FY2016

LOWER property development revenue, plus an absence of substantial fair value gain on investment properties, weighed down results for Fragrance Group for its full financial year.

Net profit plummeted 89 per cent to S$7.5 million from the previous year, the group said in a Singapore Exchange filing on Wednesday evening.

For the 12 months ended Dec 31, revenue plunged 58.4 per cent to S$118.7 million from the year-ago period. The decline in revenue was due mainly to having fewer ongoing development projects compared to FY2015.

Earnings per share sank to 0.11 Singapore cent from 1.02 Singapore cents in the year-ago period.

The group said that its revenue stream and profitability may fluctuate significantly in FY2017, as it recognises balance revenue progressively from the City Gate project, and works with marketing agents to increase the occupancy rate of its investment properties.