Wing Tai’s net profit plummets by 90% to $3.1m

On back of its anemic Singapore and Malaysia performance.

The property firm didn’t have the one-off boost it enjoyed during the last comparable period, as it saw its net profit plunge by 90%.

According to a report by Maybank Kim Eng, sales recognition for Wing Tai was broadly in line, and sales for the period include recognition for the Tembusu & Le Nouvel Ardmore in Singapore, The Lakeview in China and Jesselton Hills in Malaysia.

Meanwhile, Wing Tai is also burdened by slow home sales in Singapore, with high-end projects Le Nouvel Ardmore and Nouvel 18 remain substantially unsold and are weighed down by the soft prevailing sentiments for the luxury market.

Maybank Kim Eng added that while performance for Wing Tai had been soft in its Singapore and Malaysia performance, the firm is expected to benefit from policy relaxation in the country.

“Sales for The Crest, its mid-range project, were also slow with only 10 units sold over the quarter. Despite the soft showing, we see the challenging market conditions largely priced-in and expect a bottom for Singapore's residential market in the year ahead,” Maybank Kim Eng said.