Gallant Venture reverses H2 loss, but remains in the red for FY2022
Renald Yeo
MAINBOARD-LISTED Gallant Venture posted on Friday (Feb 24) a net profit of S$4 million for the six months ended Dec 31, 2022, reversing a S$30.3 million net loss in the year-ago period.
This was mainly due to a share of profit from its associate companies of S$12 million in the second half (H2), compared with a S$9.1 million loss in H2 FY2021.
Earnings per share stood at 0.074 Singapore cent in the period, reversing a loss per share of 0.556 Singapore cent previously.
Revenue for the six months ended Dec 31, 2022 rose 26 per cent to S$91.1 million, up from S$72.5 million in the corresponding half of 2021.
This was mainly due to more revenue from industrial rental and related income from higher occupancy, Gallant Venture said, coupled with improvements in its resort segment from relaxed travel restrictions into Bintan in the second half.
Gallant Venture is a developer, master planner and manager for industrial parks and resorts in Batam and Bintan.
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No dividend was declared, in line with previous years, as the company is committing its cash resources to further develop its industrial parks businesses, Gallant Venture said.
As at Dec 31, 2022, the company’s current liabilities exceeded its current assets by S$526.9 million, up from S$499.7 million as at Dec 31, 2021, due to its loans from, and amounts owing to its subsidiaries.
Excluding the loans and amounts owing to its subsidiaries, its net current liabilities was S$21.3 million as at Dec 31 last year, Gallant Venture said.
For the full year ended Dec 31, 2022, Gallant Venture narrowed its net loss to S$12.8 million from S$55.6 million previously, while revenue gained 15 per cent to S$166.8 million.
“For our industrial parks, the demand for our industrial spaces remains high and we expect this segment to continue to outperform with sustained growth in industrial lettable spaces and rental yield,” said Gallant Venture.
“The group is optimistic that the further easing of outbound travel from China and pent-up demand for leisure travel will fuel travel recovery for (the) Bintan resort and put it back onto the tourist map.”
Shares of Gallant Venture closed unchanged at S$0.13 on Friday, prior to the earnings announcement.
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