UOL's net profit grew 14% to $478.82m in FY2019
Full-year profit growth was attributed to a higher attributable fair value.
UOL Group Limited (UOL)’s net profit posted a 14% increase to $478.82m in FY2019, from $418.30m in FY2018, according to its financial statement. Full-year revenues fell by 5% to $2.28b, from $2.40b in FY2018.
The profit expansion was mainly due to higher attributable fair value and other gains of $165.1m compared to other gains of $85.3m in FY2018.
Full-year revenues fell no thanks to lower progressive recognition of revenue from development projects, including Principal Garden, The Clement Canopy and Botanique at Bartley which obtained temporary occupation permit (TOP) in H2 2018, and H1 2019.
The decrease was partially offset by higher progressive recognition of revenue from the company’s ongoing projects, such as Amber45, The Tre Ver, and Avenue South Residence, as well as higher sales recognition from Park Eleven, Shanghai.
Meanwhile, revenue for the hotel operations segment recorded a 4% decline for the year at $653.7m. The lower revenues were due to lower contributions from PARKROYAL collection Marina Bay, and the closure of Pan Pacific Orchard for redevelopment. The company’s divestment of its Pan Pacific Suzhou asset, as well as enhancement works for its PARKROYAL asset also slumped revenues for the year.
Revenue from management services and technologies, on the other hand were 25% higher for the year at $175.6m. Higher sales from United Industrial Corporation’s (UIC) information technology and related services drove the growth.
Dividend income for the segment also rose 15% mainly from the group's investments in United Overseas Bank Limited and Haw Par Corporation Limited.
Earnings per share for FY2019 recorded at 56.8 cents, up 14% from FY2018’s 49.7 cents.