City Developments Limited (CDL) posted FY 2018 revenue increase of 10.3% to a record S$4.2 billion for the first time in history, and net profit increased 6.7% to S$557.3 million, compared to FY 2017.

Property development continued to be the lead contributor making up 71% of FY 2018 pre-tax profits. Its strong performance was underpinned by several local and overseas projects. Projects that contributed to both revenue and profit in FY 2018 include Gramercy Park, New Futura, The Brownstone EC, The Criterion EC, Coco Palms, and The Tapestry in Singapore; Park Court Aoyama The Tower in Tokyo, Japan; and Hongqiao Royal Lake in Shanghai, China and Phase 2 of Hong Leong City Center in Suzhou, China.

Earnings before interest, tax, depreciation and amortisation (EBITDA) increased 12.4% to S$1.2 billion for FY 2018, bolstered by the strong recognition of profits from the property development segment.

Looking ahead, the Group is preparing to launch five projects in 2019 – Boulevard 88 (154 units); Amber Park (592 units); Haus on Handy (188 units); the EC project in Sumang Walk (820 units), and JV project in Sengkang Central (680 units).

As at 31 December 2018, the Group’s balance sheet continued to remain robust with cash reserves of S$2.5 billion. Net gearing ratio, excluding any revaluation surpluses from investment properties, was 31% after full settlement of its land tenders and acquisitions in Q4 2018.

For more details, click here to read CDL’s FY 2018 financial statement.

Millennium & Copthorne Hotels plc

Millennium & Copthorne Hotels plc (M&C) posted fourth-quarter net loss of £5 million (S$8.7 million), compared to a net profit of £32 million the year before. This was on the back of net revaluation and impairment losses. Losses per share were 1.7 pence, down from earnings per share of 9.8 pence the year before.

M&C saw revenue rise to £267 million, up from £260 million the year before, with contributions from its hotel business, posting a 3.9% rise to £240 million from £231 million the year before. This was offset by lower contributions from its property and Reit businesses, which garnered revenues of £10 million and £17 million respectively, compared with £11 million and £18 million respectively, the year before.

For the full year, net profit decreased £43 million from £124 million the year before.

The M&C board is recommending a final ordinary dividend of 2.15 pence per share, down from 4.42 pence per share the year before. Together with the interim ordinary dividend of 2.08 pence per share, which remains unchanged from the year before, the total ordinary dividend for the year is 4.23 pence per share. Shareholders are expected to be paid on May 17.

For more details, click here to read M&C’s FY 2018 financial statement. 

CDL Hospitality Trusts

CDL Hospitality Trusts (CDLHT) recorded Net Profit Income (NPI) of S$38.4 million for 4Q 2018, a decrease of 5.4% as compared to 4Q 2017. There was higher NPI contribution from the Singapore, Germany and Japan properties due to better performance; and the newly acquired Hotel Cerretani Florence, MGallery by Sofitel (or Hotel Cerretani Florence) provided incremental inorganic contribution. The growth in NPI was also partially offset by lower contribution from UK and a weaker New Zealand Dollar (NZD).

Overall, CDLHT recorded total distribution to stapled security holders of S$33.4 million and distribution per stapled security (DPS) of 2.77 cents for 4Q 2018.

For FY 2018, NPI decreased 3.8% to S$146.1 million, mainly due to the absence of contribution from the two divested Brisbane hotels (Mercure Brisbane and Ibis Brisbane) and the closure of Dhevanafushi Maldives Luxury Resort for major renovations and rebranding.

The New Zealand Hotel also recorded lower contribution, which was further affected by a weaker NZD. The decline in NPI was largely mitigated by inorganic contribution from acquisitions made in Europe in 2017 (The Lowry Hotel and Pullman Hotel Munich), as well as higher contribution from the Singapore and Japan properties and Hilton Cambridge City Centre due to better performance.

Total distribution to stapled security holders increased 1.1% year-on-year to S$111.6 million and DPS grew 0.4% to 9.26 cents for FY 2018.

For more details, click here for CDLHT’s FY 2018 financial statement.

Hong Leong Finance

Hong Leong Finance (HLF) posted a net profit of S$118.3 million for the full year ended Dec 31, up 38.1% from S$85.7 million a year ago, on the back of higher net interest income.

Earnings per share rose to 26.56 Singapore cents, from 19.27 Singapore cents previously.

HLF’s net interest income grew 20.9% to S$212.1 million for the full-year period, versus S$175.4 million in the preceding year. This was driven by an uplift of net interest margin by 21 basis points, on the back of a rise in average loan yield with higher loan growth outpacing a rise in average funding costs as compared to last year, HLF said.

Net recoveries of doubtful debts amounted to S$2.2 million, against additional net loss allowance of S$3.8 million in 2017.

In addition, loans and advances increased 4.1% to S$10.3 billion. Deposits and balances of customers also rose 6.4% to S$11.34 billion.

For more details, click here for HLF’s FY 2018 financial statement.

First Sponsor

First Sponsor Group posted Q4 net profit rose 36.5% to S$58.2 million from S$42.7 million a year ago.

For the full year to Dec 31, 2018, the company posted S$113 million in earnings, up 28% from S$88 million the year before.

Revenue for Q4 fell 26.8% to S$132 million from S$180 million the year before. This was due mainly to a decline in revenue from sale of properties and property financing of S$44.3 million and S$10.5 million respectively. The decrease was partially offset by the increase in hotel operations of S$5.8 million.

Earnings per share (EPS) for the fourth quarter rose 32.7% to 8.73 Singapore cents from 6.58 cents the year before. Meanwhile on a full year basis, EPS was at 16.72 cents, up 22.9% from 13.61 cents the year before.

For more details, click here for First Sponsor’s FY 2018 financial statement.