Hatten Land swings back into the black in Q2

CATALIST-LISTED developer Hatten Land on Tuesday posted a net profit of RM285,000 (S$95,498) for its second quarter ended Dec 31, reversing from a net loss of RM8.3 million in the year-ago period. 

This translated to earnings per share of 0.02 sen for the quarter, versus a loss per share of 0.6 sen last year. 

Revenue came in at RM52.2 million for Q2, down 6.5 per cent from RM55.9 million a year ago.

The drop in revenue was mainly due to lower sales from its Unicity project in Malaysia's Seremban area. This was partially offset by higher revenue recognised from its Harbour City projects - which incorporate a mall, a theme park and three hotels in Melaka - as well as sales from the Hatten City Phase 1 project. 

Meanwhile, cost of sales fell 29.8 per cent to RM34.2 million thanks to lower discount and promotion rebates to purchaser and lower sales commission as compared to the year-ago period. 

No dividend was declared for Q2 because Hatten Land wishes to conserve its cash for the purpose of the group's development and operations.

For the half-year ended Dec 31, net profit stood at RM2.8 million, versus a net loss of RM7.9 million a year ago. Earnings per share came in at 0.21 sen, compared to a loss per share of 0.57 sen previously.

Shares in Hatten Land last traded at 8.3 Singapore cents on Feb 6, down 0.2 cent or 2.4 per cent.