Singapore Press Holdings (SPH) says it posted a net profit of $144.7 million in the first quarter ended Nov 30, 2009, almost double that of the same period of the previous financial year.

Group operating revenue at $354 million was $13.7 million or 4.0% above that of the corresponding period of the previous financial year.

Operating revenue of the Newspaper and Magazine segment at $243.2 million was $6.2 million or 2.5% lower than the corresponding period of the previous financial year but has shown improvements in recent months.

Print advertisement revenue at $182.4 million was $5.8 million or 3.1% lower mainly as a result of lower classifieds advertisements. Group circulation revenue decreased marginally by $0.6 million or 1.1% in line with lower circulation copies sold.

SPH says the group’s Property segment continued to turn in a robust performance on the back of higher revenue from Sky@eleven (+$19.4 million or 38.2%).

Operating revenue from the group’s other businesses rose by $1.5 million, contributed mainly by the Group’s new businesses.

Total operating expenses decreased by 8.2% to $197.6 million. Newsprint costs were lower by $13.6 million or 38.1% while staff costs fell $1.7 million or 2.2% due to the wage cuts implemented by the Group in April 2009 and Jobs Credit grant.

Total headcount as at November 2009 remained flat at 3,945. Other operating expenses decreased by $6.8 million or 13.4% as a result of lower factory and other overheads. These were partly offset by the increase in property development costs of $5.5 million or 38.0% recognised for Sky@eleven, in line with the higher percentage-of-completion of construction.

The group recorded a net investment income of $10.2 million. In the previous year, an investment loss of $33.7 million was recognised at the onset of the global financial crisis.

After accounting for taxation, net profit of $144.7 million for the group was 98.2% higher than that of the same period of the previous financial year.

On the outlook for FY2010, CEO Alan Chan says: “The Singapore economy is expected to grow at a modest pace in 2010. Our advertisement revenue has improved in recent months and is expected to move in tandem with the economy. With business conditions improving, we had announced a partial restoration of the pay cuts implemented in early 2009. We will continue to monitor our cost levels closely while at the same time devote resources and explore opportunities to grow beyond print and Singapore. The Directors are pleased with the Group’s results for the first quarter and, barring unforeseen circumstances, expect overall performance for FY2010 to be satisfactory.”