Bukit Sembawang sticks to high dividend even as earnings stay weak

REAL estate firm Bukit Sembawang has proposed to stick with its high dividend payout even as its earnings remained soft.

Net profit for its fourth quarter came in a marginal 0.1 per cent higher at S$6.90 million from the previous year, said Bukit Sembawang on Thursday.

This was on the back of a 81.8 per cent plunge in revenue for the three months ended March 31 year-on-year.

Bukit Sembawang said profit margins for projects recognised in Q4 FY2016 - Luxus Hills Phase 7 and Skyline Residences, based on the percentage of completion method - were higher compared with margins booked in Q4 FY2015 from Luxus Hills Phase 6 and Skyline Residences.

For the full year, net profit slid 0.8 per cent to S$91.98 million and revenue fell 26.3 per cent to S$282.0 million from the previous year.

Earnings per share for Q4 were 2.67 Singapore cents, up from 2.66 Singapore cents in the year-ago period. For the 12 months ended March 31, earnings per share were 35.53 Singapore cents, down from 35.82 Singapore cents the previous year.

Out of this, the group proposed a final dividend of S$0.04 plus a special dividend of S$0.29 per share for the full year. This was unchanged from the previous FY.

Net asset value per share was S$4.98 as at March 31 this year, up slightly from S$4.96 as at March 31 last year.

Bukit Sembawang shares rose a cent to S$4.41 on Thursday before its results were released.