HPL Earnings Jump To $15.2m

Source : The Business Times, November 15, 2007

NET profit for Hotel Properties Ltd (HPL) jumped to $15.2 million for the third quarter ended September, from $10.8 million for the corresponding period last year.

Q3 revenues increased 45 per cent from $76.3 million to $110.4 million.

'The increase was mainly attributable to the group's hotels and resorts in Maldives, Bali and Singapore,' said HPL.

'The group's two Four Seasons Resort in Maldives commenced business in the last quarter of 2006 and the hotels and resorts in Bali and Singapore experienced strong growth in both occupancy and room rates.'

HPL incurred higher borrowings and finance costs during Q3 because of various acquisitions by way of investments in associates and a joint-venture company. These include its participation in en bloc purchases of Gillman Heights and Farrer Court sites in Singapore.

It also bought a 20 per cent stake in a residential project in Hong Kong and a 50 per cent interest in a company in Thailand to develop a luxury hotel in Phuket.

HPL expects to do well for the rest of the year as the demand for hotel accommodation is likely to stay strong.