CDL's Q4 net profit falls 23% against 'very strong' 2016

Singapore

CITY Developments (CDL) on Wednesday posted a 23 per cent fall in net profit to S$186.7 million for its fourth quarter, but the property developer put it down to an exceptionally strong 2016 that proved hard to beat on a year-on-year comparison.

In FY16, the group's performance was boosted by a sizeable contribution from Hong Leong City Center (HLCC) in Suzhou, higher profit margin projects such as Coco Palms and D'Nest (which were built on cheaper legacy land bank) and Lush Acres executive condominium, as well as the divestment of its stake in City e-Solutions in Hong Kong, sale of Exchange Tower in Bangkok, and recapitalisation of a Profit Participation Securities (PPS) platform that holds the Nouvel 18 condominium.