Thursday, November 13, 2008

Banyan Tree Sinks Into The Red For Q3

Source : The Business Times, November 13, 2008

BANYAN Tree Holdings reported a net loss of $4.88 million for the third quarter ended 30 September 2008, and a flat revenue of $82.75 million as business was hit by the political turmoil in Thailand.

In comparison, the company earned a net profit of $49.1 million in 3Q07, bolstered largely by a one-off exceptional gain of $44.5 million then.

For the nine months ended 30 Sep, net profit plummeted 78 per cent to $13.98 million while revenue grew 19 per cent to $321.72 million.

'We are approaching the outlook of the group more cautiously given the increased deterioration of the global financial situation and a period of great uncertainties,' warned the group, adding that the political turmoil in Thailand, if protracted, could have significant impact. 'We expect fourth quarter results to be lower than last year.'

However, the group expects Banyan Tree to remain profitable for FY2008.

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