REALISATION of a temporary occupation permit (TOP) for a property development project has pushed developer OKH Global into the black in the third quarter.
The firm ringed in a net profit of S$2.97 million for the three months to March 31, 2016, reversing a S$1.63 million net loss from the same period last year.
Group revenue ballooned more than 13-fold to S$82.4 million, up from S$6.08 million in the previous corresponding period.
The "vast difference in the reported revenue" for the current quarter is on the back of a commercial property, Loyang Enterprise, achieving its TOP in January this year, the Mainboard-listed firm said on Friday in a Singapore Exchange filing.
This was despite revenue from construction services plummeting to S$9,000, down from S$4 million in the same quarter last year, due to the "completion of a majority of third-party construction contracts in the previous quarters".
Revenue from property investment rose 25.2 per cent to S$2.61 million, up from S$2.08 million previously, on the back of rental income from the group's investment property, The Herencia.
For the nine-month period, the group's revenue shrank to S$88.3 million, down from S$249.1 million in the same period last year.
The disparity is due to lower earnings from construction services and property development, OKH said.
The firm's shares closed 0.4 Singapore cent lower at Singapore 9.1 cents on Friday.