Yanlord H2 profit shrinks 3% to 2.1b yuan

YANLORD Land Group's net profit edged down 3 per cent to 2.1 billion yuan (S$431.8 million) in the half-year ended December 2020, from 2.2 billion yuan in the corresponding period of the previous year.

Lower other operating income and other gains, share of loss of joint ventures and a decrease in fair value gain on investment properties dragged down a 35 per cent rise in revenue during the same period.

Revenue was 14.8 billion yuan, up from 11 billion yuan in H2 2019. The Chinese property developer attributed the rise to an increase in gross floor area (GFA) delivered to customers and higher average selling prices (ASPs) per square metre in H2 2020 compared to H2 2019.

Earnings per share was 108.67 fen compared to 111.94 fen a year ago.

For the full year, net profit fell 23 per cent to 2.6 billion yuan from 3.4 billion yuan. The company said this was a net effect of the absence of a gain on a bargain purchase in the previous year, loss on remeasurement of retained interests in associates and joint ventures, and lower fair value gains on investment properties.

Revenue rose 28 per cent to 23.9 billion yuan from 18.7 billion yuan on higher GFA delivered to customers, but the increase was partially offset by a decrease in ASP.

Earnings per share for the full year was 134.19 fen, down from 173.46 fen in FY2019.

The board of directors recommended a final cash dividend of 34.19 fen, slightly lower than the 34.21 fen paid out in FY2019.

Yanlord shares closed unchanged at S$1.15 on Friday.