
City Developments' profit inched up 1.3% to $564.58m in 2019
Growth was driven by the unwinding of its second profit participation securities.
City Developments (CDL) saw its profits inch up by 1.3% to $564.58m in 2019, from $557.33m in the previous year. Full-year revenues, meanwhile, fell by $18.8% to $3.43b, from $4.22b in 2018.
In Q4, the company’s profits jumped 12.5% to $87.66m, compared to $77.95m in the same quarter in 2018. Revenues similarly saw a jump by 20.1% in Q4 YoY to $946.9m, from $788.31.
The company’s profit after tax and non-controlling interests (PATMI) rose 1.3% in 2019 to $564.6m, from $557.3m in 2018. For Q4, PATMI increased 12.5% to $87.7m, compared to $77.9m in the same quarter in 2018.
The growth in PATMI was driven by the successful unwinding of CDL’s second Profit Participation Securities (PPS 2) structure with the divestment of Manulife Centre and 7 & 9 Tampines Grande.
The revenues’ expansion, on the other hand was attributed to the profit recognition for the property development segment. Main contributions came from The Tapestry, Whistler Grand and Amber Park, and the fully-sold units in 32 Hans Road in the United Kingdom.
The inclusion of W Singapore - Sentosa Cove into the company’s hotel portfolio in Q2 2019 drove the revenue growth for the hotel operations segment. Furthermore, the acquisition of UK’s Aldgate House and 125 Old Broad Street (OBS) in late 2018 boosted the investment properties segment for Q4 2019 revenue.