SINGAPORE (Aug 27): Property group Wing Tai holdings reported FY19 earnings of $46.8 million, down 79% from $225.2 million recorded at the end of FY18.

Group revenue for the year fell 10% to $322.6 million from $360.4 million the preceding year, due primarily to lower contributions from development properties. FY19 revenue was bolstered by the additional units sold in Le Nouvel Ardmore in Singapore and the increase in property sales in Malaysia.

In line with the above, gross profit for the year fell 20% to $147.8 million from $183.7 million the previous year.  

Share of profits from associated and joint venture companies came in at $52.5 million, down 75% from $208.5 million a year ago as the share of profits in FY18 included one-off gains on disposal of Winner Godown Building, an industrial building and W Square, a Grade A office building located in Hong Kong.

The group’s operating profit fell 65% to $24.6 million, from $70.0 million a year ago, due largely to lower contributions from development properties.

As at end June, cash and cash equivalents stood at $217.3 million, while earnings per share on a fully diluted basis fell to 5.19 cents from 28.18 cents the previous year.

In its outlook statement, the group highlighted how it was awarded the tender for a 99-year leasehold land parcel at Middle Road, which it plans to develop as a residential development in April, and had acquired the Red Planet Hotel in Asakusa, Tokyo in June.

The group also says it will continue to look for investment opportunities in Singapore and overseas market.

Shares in Wing Tai closed at $2.07 on Tuesday, prior to the announcement of results.