ST : Roxy-Pacific posts $27.9m full-year profit

Feb 19, 2010

Roxy-Pacific posts $27.9m full-year profit

By Lee Yen Nee

LOCAL speciality property and hospitality group Roxy-Pacific Holdings more than doubled its fourth-quarter net profit to $5.9 million amid a resurgent property sector.

Revenue in the three months ended Dec 31 surged 47 per cent to $44.1 million as the group's property development and property investment businesses did very well.

Full-year net profit rose by 13 per cent to $27.9 million from a year earlier on a 26 per cent revenue jump to $163.5 million.

Revenue in the group's property development segment shot up 87 per cent in the fourth quarter, driven largely by the progressive recognition of revenue from more development projects such as The Marque@Irrawaddy and The Azzuro.

The property investment segment surged 114 per cent, mainly owing to the increased rental yield from shop units at Roxy Square and recognition of rental from Kovan Centre.

Its executive chairman and chief executive Teo Hong Lim said: 'We have started to replenish our land bank through the acquisition of six plots of land for residential development.

'With strong pre-sale revenue of $280.8 million to be progressively recognised from the 2010 financial year to the 2011 financial year, a strong cash position of $108.3 million and a healthy balance sheet, we are well-positioned to seize opportunities as the economy recovers.'

The group said the property market is expected to stay healthy, bolstered by the completion of the two integrated resorts and a recovering economy that is expected to grow by 3 per cent to 5 per cent this year.

Roxy-Pacific's earnings per share were 0.93 cent in the fourth quarter, up from 0.45 cent a year earlier.

Net asset value per share was 20.96 cents as of Dec 31 last year, up from 17.32 cents a year earlier.

The company has proposed a final dividend of one cent per share.