SINGAPORE (May 8): Perennial Real Estate Holdings saw its earnings plunge 86.7% to $5.1 million for the 1Q ended March, from $38.7 million a year ago.

This was mainly due to the absence of a one-off gain last year from the divestment of a 20.2% equity stake in TripleOne Somerset.

1Q18 revenue fell 26.1% to $14.9 million, from $20.2 million a year ago.

This was mainly attributable to the absence of revenue from TripleOne Somerset.

The earnings decline was partially mitigated by a surge in share of results of associates and joint ventures, which rose to $22.8 million in 1Q18, from $0.7 million a year ago.

This was mainly contributed by Yanlord Perennial Investment (Singapore), which recognised a gain between the acquisition price and the fair value of its additional 19.9% stake in WBL Corporation; Perennial Chinatown Point, which recorded higher contribution due to Perennial’s increased stake of 5.49%; and Shenyang Summit Real Estate Development Co., which saw a one-off adjustment from a lease restructuring.

As at end March, cash and cash equivalents stood at $108.9 million.

Looking ahead, the group says it continues its strategy of strata sales and asset enhancement on AXA Tower and TripleOne Somerset, and also actively seeking for opportunities to grow the Singapore portfolio through acquisitions or participation in land tenders.

In China, Perennial says its focus is on the impending opening of Perennial International Health and Medical Hub in June.

Shares of Perennial closed 1 cent higher at 86.5 cents on Tuesday.