Low Keng Huat Q1 net profit slides 91% with no sales project launched

CONSTRUCTION engineering company Low Keng Huat on Friday posted a net profit of S$450,000 for the first quarter ended Apr 30, down 91 per cent from S$5.17 million a year ago on the back of lower profit from the development segment as there was no project launched for sale in Q1.

Revenue fell 88 per cent to S$8.88 million due to absence of sales from Kismis as the project was fully sold as at June 2018 and there was no sales launched in Q1 FY2020.

Earnings per share stood at 0.06 Singapore cent for the quarter compared to 0.70 Singapore cent previously.

No dividend was declared for the quarter.

In its outlook, the group said that the cooling measures continue to dampen buying sentiment in the residential property market. It added that it will continue to be selective in land bidding and investment projects and strive to maintain rental rates for renewals.