City Developments (CDL) says it posted a 17.6% y-o-y rise in net profit to $164.6 million ($17.9 million) for the second quarter ending June 30 (2QFY2010). Revenue rose 19.6% y-o-y to $941.7 million. For the half year ending June 30 (1HFY2010), net profit was up 36.2% y-o-y to $304 million while revenue was up 20.0% to $1.7 billion.

Residential
City Developments says the group’s residential property development segment remained the main contributor to profit, accounting for more than 50% of the group’s profit before tax for both Q2 and 1H 2010.

Following the sell-out of its two latest project launches, the joint-venture 429-unit Tree House and 157-unit 368 Thomson, and continuing demand, the group has planned two more new launches in the coming months: NV Residences at Pasir Ris with 642 units and the redevelopment of Copthorne Orchid Hotel at Dunearn Road with 150 units (54% owned by the group).

Commercial
The rental properties segment continued to be second largest contributor to profit for 1H 2010 due to the gains recognised on disposal of North Bridge Commercial Complex and The Office Chamber in Q1 and Q2 2010 respectively.

Leasing momentum in the office sector remained strong in 1H 2010 and the group’s office portfolio continued to perform well with an occupancy rate of 93.0% for 1H 2010, as compared to the national average of 87.7%.

Hotels
With the recovery of the hospitality market, particularly in Asia, coupled with effective cost management, the group’s hotel operations became the second in line in terms of profit contribution for Q2 2010.

The group’s hotel subsidiary, Millennium & Copthorne Hotels plc (M&C) registered a strong improvement in revenue and profit, with a net profit after tax and minority interests of £25.0 million ($53.4 million) in Q2 2010, an increase of 56.3% year-on-year, and £37.2 million in 1H 2010. The strong recovery in profits is a reflection of continuing and effective cost management discipline amidst better trading conditions.

Overall, demand has been strong in most of M&C’s markets. For M&C’s operations in July, global RevPAR increased by 14.3%.