SINGAPORE (Feb 9): Imperium Crown, the property investment and property development group, recorded a loss of $14.8 million in 1H18 compared to earnings of $0.65 million in 1H17.

Revenue dropped 66.8% to $0.83 million from $2.49 million last year, due to lower revenue contribution following the divestment of four of the group’s properties in Japan.

Property operating expenses was 0.7% higher at $0.93 million compared to $0.92 million a year ago, 8due to higher commission expenses incurred in connection with the divestment of the four Japanese properties.

Hence, the group recorded a net property loss of $102,000, compared to a gain of $1.57 million last year.

Other income significantly increased to $797,000 from $11,000 last year.

This was mainly due to the settlement agreement entered into with the former directors of the group in respect of the irregularities pertaining to the previous declaration and payment of interim dividends of $458,000; and the settlement agreement entered into with Bay Cheow Guan David in respect of the group’s previous payment of certain director’s emoluments to Bay of $185,000.

However, other operating expenses increased by 1307% to $12.3 million compared to $0.87 million a year ago.

This was mainly due to the loss on divestment of the four Japanese properties; the payment of $1.13 million as commission to the introducer further to the placement exercise approved by the shareholders of the group at an extraordinary general meeting on June 31 2017; and the payment of consultancy fees, legal and professional fees.

Looking forward, the group will continue its strategic reallocation of capital to new projects.

The group envisage challenges in its push towards a different market, but remains driven towards improving the efficiencies of its portfolio assets and enhancing the value and growth over the longer term.

Shares in Imperium Crown closed at 6.4 cents on Friday.