SPH Q3 earnings climb 9.6%

Higher contributions from its property arm lifted third-quarter earnings for media group Singapore Press Holdings (SPH).

Net profit for the three months ended May 31 climbed 9.6 per cent from the previous year to S$98.2 million, SPH said in a Singapore Exchange filing on Thursday.

This worked out to earnings per share of 6 Singapore cents for the quarter, which trumped the consensus forecast of 5.4 Singapore cents according to Bloomberg data.

The improved Q3 earnings came despite a marginal 0.9 per cent dip in operating revenue to S$306.8 million year-on-year, with the decline in the media business offset by a strong showing from property.

Revenue from the group's property division shot up 16.5 per cent from the previous year to S$59.4 million, due to contributions from The Seletar Mall in Fernvale and higher rental income from Paragon and The Clementi Mall.

"Whilst the group has achieved improved performance for the quarter, the road ahead remains challenging given the muted economic outlook, a sluggish advertising market and a media industry confronted with structural challenges," said Chief Executive Officer Alan Chan in a statement.

"Amidst the difficult operating environment, the group will continue to focus on sustaining and strengthening our media business. In addition, we will evaluate and pursue new opportunities for growth."

Net asset value per share stood at S$2.21 as at May 31, lower compared with S$2.28 as at Aug 31 last year.

SPH shares decreased S$0.02 to finish at S$4.05 on Thursday before the results were released.