mm2 Asia posts Q3 net profit of S$6.4m, up 52.9% from a year ago

ENTERTAINMENT company mm2 Asia posted a net profit of S$6.4 million for the third quarter ended Dec 31, up 52.9 per cent from S$4.2 million a year ago.

Revenue jumped to S$52.4 million, from S$18 million previously, attributable to its recent acquisitions of business assets from Lotus Fivestar Cinema and a subsidiary corporation, Cathay Cineplexes.

Earnings per share stood at 0.55 Singapore cent, up from 0.40 cent previously.

No dividend was declared for the third quarter.

In its outlook, mm2 Asia said that the group's core business in Singapore and Malaysia shows stable growth, and growth opportunities abound in Hong Kong, Taiwan, China, as well as the US. The group said that it expects productions in these markets to continue to form a bigger part of its revenue in FY2019.

Melvin Ang, executive chairman of mm2 Asia, said: "In the last quarter of FY2018, we will look forward to more strategic opportunities in Singapore, Malaysia and North Asia. In addition, we are also preparing Vividthree Productions for its new growth trajectories, and for its proposed spin-off and listing in the third quarter of FY2019."

In a separate filing to the Singapore Exchange, mm2 Asia announced that its wholly-owned subsidiary MM Connect has issued S$47.9 million worth of unsecured subordinated convertible notes and bonds, as part of the group's financing plan for the planned expansion of its cinema operations.