SINGAPORE (Apr 26): Property group GuocoLand saw its earnings increase 7% to $31.5 million for the 3Q ended March, from $29.6 million a year ago.

Net profit actually fell 21% to $23.5 million during the quarter, but earnings increased after accounting for non-controlling interests’ share of the results.

3Q18 revenue fell 15% to $230.6 million, from $271.1 million a year ago, as a result of lower revenue recognised for the group’s residential projects in the current quarter.

Other income fell 61% to $6.4 million in 3Q18, from $16.3 million a year ago.

This was mainly due to movements in foreign exchange and fair value changes on foreign exchange hedges, such as the Chinese renminbi and US dollar.

Finance costs rose 35% to $29.3 million, from $21.7 million a year ago, due to higher borrowings and lower capitalisation of finance costs in the current quarter.

Share of profit of associates and joint ventures surged close to six-fold to $12.0 million, from $2.1 million a year ago.

This was mainly due to contribution from Changfeng Residence, a joint venture residential project in Shanghai which has been substantially sold and completed.

As at end March, cash and cash equivalents stood at $977.4 million.

GuocoLand says the sale of its residential projects in Singapore have progressed well amid an increase in private home prices.

At the same time, new home prices have also increased in Shanghai and Chongqing.

Meanwhile, In Malaysia, the market is expected to remain challenging.

Shares of GuocoLand closed 2 cents lower at $2.12 on Thursday.