Metro Holdings’ H1 FY25 profit down 59.6% YoY amidst China property slump

It reported fair value losses net of tax of $11.1m from its China investments.

Metro Holdings reported a 59.6% year-on-year decline in net profit to $3.31b in H1 FY2025, impacted by the property market downturn in China.

The company’s recent financial report revealed fair value losses net of tax of $11.1m from its China investments held in associates and joint ventures.

Additionally, the company recorded an $8.3m higher share of loss from its associate, Top Spring International Holdings Limited, driven by impairment on trading properties, fair value losses on investment properties, and higher operating costs.

China’s prolonged property market downturn also impacted the company’s property division, which recorded revenue of $3.4m, down from $4.6m a year ago.

Lower sales of property rights in residential developments in Bekasi and Bintaro, Jakarta, which fell to S$0.9m  from $1.8m in the previous year, also fueled the decline.

Beyond the property segment, the company’s retail division also reported a lower profit of $2.6m due to narrower gross margins and rising costs.