The net profit of CapitaLand increased by 28.1% from $247.5m to $317 m in Q3 2017 in comparison to a similar period last year.
CapitaLand attributed the increased profits to fair value gains from Citadines Biyun in China and Golden Shoe Car Park that is the serviced residential part of Funan mixed development. The rise was also due to portfolio gains from China’s CapitaMall Anzhen, Singapore’s Wilkie Edge and 60% share in CapitaLand Vietnam Commercial Fund.
However, there was a drop in the operating profit by 18.8% to $204.5m from the previous $251.8. This was due to the divestment of particular commercial assets in Singapore and the lower of residential projects in China.
There was an increase in Group revenue by 9.7% to $1.507 billion. This was attributed to higher contribution from the development projects in Singapore, increased rental revenue from shopping malls and newly opened serviced residences and from the revenue consolidation from RCS Trust, CapitaLand Mall Trust, and CapitaLand Retail China Trust.
“Our results were boosted by reconstitution of our active portfolio and our AUM that stood at $85 billion as at the end of third quarter in 2017,” said Lim Ming Yan, president and group CEO CapitaLand.
Lim revealed that the $1.28 billion profit of CapitaLand for the 3 quarters had already exceeded the 2016 full-year profit by 8%.
CapitaLand noted that sales of residential properties in Singapore continued to be stable. The developer sold 108 units in quarter 3 bringing the total units sold for the nine months to 293 carrying a sales value of $1.15 billion.