Heeton Q1 profit more than doubles to S$6.4m

HEETON Holdings posted a net profit of S$6.4 million for the first quarter, more than double the S$2.8 million that it posted in the corresponding period a year ago, the property developer said on Thursday evening.

This was mostly down to a 44.7 per cent increase in its share of profits from associated companies and joint venture companies to S$3.5 million, and a 40.9 per cent fall in the cost of properties sold to S$4.9 million.

On a per-share basis, Heeton recorded profit of 2.07 Singapore cents for the three months ended March 31, up from 0.87 Singapore cent the previous year.

For the three months ended March 31, revenue tumbled 23.9 per cent to S$11.8 million from the year-ago period.

In its filing with the Singapore Exchange, Heeton said that the decrease in revenue was due a fall in sales revenue of S$4.43 million from residential project, Onze@Tanjong Pagar and a decrease in rental revenue of S$0.28 million mainly due to the disposal of The Woodgrove in February 2018.

The company also attributed the decrease in its topline to a S$1 million increase in hotel operation income, mainly from due to operating costs of a new hotel, Luma Concept Hotel Hammersmith London.

Net asset value per share edged up to 130.04 Singapore cents as at March 31, from 127.47 Singapore cents three months ago.

Heeton shares ended S$0.005 or 0.9 per cent lower at S$0.565 on Thursday before the announcement.