OUE profits soared to $255.22m in FY2019
Its profits were boosted by contributions by Gemdale Properties and Investment.
OUE's net attributable profit skyrocketed to $252.22m in FY2019, compared to $10.02m in FY2018, the group announced. Revenue surged 44.8% YoY to $930.84m over the same period.
The growth in profit was mainly attributed to an 81% rise in earnings before interest and tax (EBIT) to $330.3m driven by higher contribution from equity-accounted investees, as well as a one-off non-cash gain arising from the merger of two of its trusts. This was however offset by higher finance expenses on higher borrowings of the group.
The share of results of equity-accounted investees soared by $130.4m to $170.7m, mainly due to the inclusion of contribution from Gemdale Properties and Investment starting 31 May 2019, but offset by the absence of contribution from OUE H-Trust.
The revenue from its development properties division surged $283.7m to $349.6m, due to higher revenue from selling OUE Twin Peaks units under the deferred payment schemes, as well as revenue from selling the property development at 26A Nassim Road.
Revenue from the investment properties division also grew by $11.1m to $287.6m, mainly from the inclusion of revenue from Mandarin Gallery after the merger. Contributions from the hospitality division climbed by $4.6m to $241.2m, attributed to higher room occupancy at Crowne Plaza Changi Airport.
Revenue from the healthcare division, which pertains to contribution from OUE Lippo Healthcare Limited and Bowsprit, inched up 0.4% to $31m.