Wing Tai's FY18 earnings surge 11-fold to $218.8 mil on higher property-related gains

Wing Tai's FY18 earnings surge 11-fold to $218.8 mil on higher property-related gains

By: 
Michelle Zhu
28/08/18, 11:19 pm

SINGAPORE (Aug 28): Wing Tai Holdings announced earnings of $218.8 million for FY18, up nearly 11-fold from its full year earnings of $20.1 million a year ago, due to higher revenue as well as increased share of profits of associated and joint venture (JV) companies.

For the 4Q ended June, the group announced earnings of $129.8 million compared to $9.5 million a year ago.

Revenue for the full year grew 42% to $373.2 million due to higher contributions from development properties, driven mainly by the sale of additional units sold in Le Nouvel Ardmore in Singapore along with contributions from BM Mahkota in Penang, which obtained its Temporary Occupation Permit (TOP) in the financial year under review.

To date, revenue for the units sold in BM Mahkota has been fully recognised.

Share of profits of associated and JV companies grew to $211.6 million from $73.4 million in FY17, mainly attributable to the group’s share of gains recognised by Wing Tai Properties in Hong Kong from the disposal of Winner Godown Building and W Square.

Further, contributions were recognised from the sale of residential units in Malaren Gardens in Shanghai, China.

As at end-June, the group’s net asset value (NAV) per share was $4.31 compared to $4.07 in the same period a year ago.

A first and final dividend of 3 cents per share, as well as a special dividend of 5 cents per share, have been declared.

Going forward, Wing Tai expects Singapore’s latest round of property cooling measures to result in a subdued private residential property market. The group says it will continue to look for investment opportunities in Singapore and overseas markets.

Shares in Wing Tai closed 2 cents lower at $2 on Tuesday.

Right timing: STI stays intact, but Hong Fok is at extreme overbought high

SINGAPORE (Mar 23): Although quarterly momentum appears ambivalent as it is consolidating beneath its own moving average, prices are intact. They have established support at the confluence of the 50- and 200-day moving averages which are moving into an increasingly positive stance at 3,217 and 3,186 respectively. The index may well be able to regain its 50-day moving average as short term stochastics is turning up from the bottom of its range. Since medium term indicators are neutral and drifting sideways, short term indicators could keep the STI afloat. However the range is likely to be ....
Read More >>

EY Singapore launches 18th edition of Entrepreneur Of The Year awards

SINGAPORE (Mar 22): The search has started for the 18th EY Entrepreneur Of The Year, as part of the bid to promote entrepreneurship and shape a new role model for the business community. Ernst & Young LLP, organiser of the annual awards, observes that entrepreneurs in Singapore, and the world, have built some of the world’s most enduring companies. The businesses they build don’t just create employment and contribute to the GDP. “Their creativity, tenacity and courage serve as an inspiration for many. In many ways, the way they overcome the odds, the power of their influence, a....
Read More >>

Challenger Tech's 2.94% shareholder says offer price too low, calls for higher dividend payouts

SINGAPORE (Mar 22): Pangolin Investment Management, which holds a 2.94% stake in Challenger Technologies through its Pangolin Asia Fund, is calling on other shareholders to reject Digileap Capital’s delisting offer at the company’s upcoming EGM.   Pangolin says the offer price of 56 cents per share, which translates to a price-to-earnings ratio of 9.9 times, is too low and thus unfair to minority shareholders. In a letter sent to The Edge Singapore on Friday, Pangolin explains its reasons for strongly advising other Challenger shareholders to reject the offer, which it deems “....
Read More >>