SC Global Posts 67% Rise In FY07 Profit To $28.3m

Source : The Business Times, February 28, 2008

SC GLOBAL has reported a profit after tax and minority interests of $28.3 million for FY2007 - an increase of 67 per cent from 2006.

In a statement yesterday, it attributed its performance to sales of residential units at The Ladyhill, The Lincoln Modern, The Boulevard Residences and The Tomlinson.

Higher contribution from its Australian associate AV Jennings and a write-back of provision for diminution in value of development property also contributed.

SC Global has proposed a final dividend of two cents a share, after a special interim dividend of 3.5 cents a share paid during the year.

FY2007 turnover fell 32 per cent to $129.2 million, from $190.8 million in FY2006.

In particular, sales in the second half of 2007 fell 61 per cent to $41.2 million.

SC Global said this was mainly due to the timing of revenue recognition. It added that it also had a low number of completed units for sale.

It said its first development project in China made its maiden contribution to the group's revenue.

While gross profit fell 16 per cent to $45.2 million for the year, gross margin was higher at 35 per cent compared to 28 per cent the previous year, as higher prices were achieved.

SC Global said the launch of its new residential project at Martin Road can be expected in Q2/Q3 this year.

In China it is also expected to launch the next phase of units at Kairong International Gardens in Q2/Q3 this year.

It added that it has secured a land bank of more than 1.1 million sq ft in Orchard Road and on Sentosa.