Oxley profits down 48% to $43.6m in Q4

Profits from joint ventures dropped by $32.8m.

Oxley Holdings Limited (Oxley) reported a profit decline of 48% YoY to $43.6m in the final quarter of its fiscal year.

According to its financial statement, profit before tax (PBT) fell 49% to $57.3m no thanks to profits from equity-accounted joint ventures and associates declining by $32.8m.

There was also a non-recurring gain of $25.2m which arose from the purchase price allocation adjustment.

The revenue of $224.33 million for 4Q2017 was mainly due to recognition of revenue using the completion of construction method upon the handover of certain plots in The Royal Wharf Phase 1A. Revenue was also recognised using the percentage of completion method on sold units in 2 mixed-residential projects in Singapore namely, Floraville/Floraview/Floravista and The Rise @ Oxley-Residences due to progress made in the construction of these developments. The revenue also included rental income from investment properties.

Oxley's other income rose by $1.1m due to proceeds from its claim on a performance bond of $1.1m.

Other gains dropped by $39.5m from a decrease in fair value gain on investment property of $60.2m. This was partially offset by a foreign exchange gain of $18m and rise in fair value gain of $4.3m on financial instruments in a marked-to-market position.

Marketing and distribution expenses slipped by $1m from lower advertisement and showflat expenses.

Administrative expenses increased by $5m mainly due to an increase in executive directors' remuneration of $3.95m, increase in salaries of $1.6m, increase in utilities of $0.5m, and increase in property tax of $0.5m.