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LCD Global swings back to profitability in 18-month period to Dec 31
LCD Global Investments Ltd swung back into the black for the 18 months ended Dec 31, 2015 to S$4.65 million from a net loss of S$7.72 million in the year-ago period, as it registered higher "other operating income" and lower "other operating expenses".
Revenue dipped one per cent to S$81.19 million, mainly dragged by the decline in revenue of the family entertainment business. But other operating income more than doubled to S$2.37 million from S$1.01 million; other operating expenses shrank by half to S$9.6 million from S$19.15 million in the same period in 2014 - the latter was due to write-off of certain capitalised costs in the fiscal period of 2014 arising from a change in redevelopment plans of the InterContinental Phuket Rawai Beach Resort project in Phuket.
The group declared a final dividend of one cent per ordinary share for the financial period, compared to nil a year ago.
LCD Global owns resorts and hotels and serviced residences as well as an amusement centre chain and a deemed 44 per cent interest in property consultancy Knight Frank Singapore.
Giving an update on its joint venture in an integrated development in Xuzhou, LCD Global said the JV company has secured permit to hand over Phase Two of the Gulou Square, comprising 408 residential units, on Dec 9, 2015.
"To date, we have sold a total of 733 units or 61 per cent of the total 1,206 units residential apartments. The group will continue to focus on the sale of the remaining 473 residential units and review the overall market positioning, strategy and construction of the mixed-use commercial segment of the Gulou Square project," it said.
LCD Global also noted that its hospitality assets are expected to contribute positively to the group after the last refurbishment work done at Crowne Plaza Kensington in 2015.
Amid tepid economic growth and tourism sector in Thailand, the group is adopting a prudent approach with its redevelopment plans for the Rawai site. "In Singapore, the property market continues to be soft due to the property cooling measures and weak economic conditions in Singapore and Asia. The business of Knight Frank Singapore is expected to remain slow but stable," it added.