Frasers Property’s earnings rose to $145.6 million in the first quarter compared to $82.7 million over the same period a year ago, translating into a 76% increase.
Panote Sirivadhanabhakdi, the Group CEO, accredited the rise in earnings to the impressive sales and payments of group’s residential properties in China and Australia along with expanded hub of recurring income assets after its purchase of six United Kingdom-based business parks a year ago. Moreover, another boost came from initial earnings from its Singapore-based fully occupied Fraser Tower office property as well as Northpoint City Mall’s south wing.
Fraser Property reported $1.08 billion in revenue after a 44.7% rise and $354.4 million in PBIT after a 50.7% increase compared to last year. Singapore residential developments recorded weaker PBIT and revenue. The drop was primarily because of declining progressive proceeds appreciation from North Park Residences for the duration under evaluation.
Focusing on the future, Frasers Property Singapore announced its plans of launching Rivière, a property with 455 units of private residences and bordering the Singapore River, in mid-2019. The property will consist of Fraser Residence Promenade that features 80 serviced apartments and a conserved warehouse.
In Australia, the first quarter of 2019 saw 300 residential units launched for sale, with an extra 2,000 likely to be released in the course of the year. Frasers Property Australia (FPA) completed and launched 580 units in 1Q19 and expects to complete and launch another 17,209 over the remaining part of the year.
FPA has also heavily invested in the retail as well as commercial and industrial sector, with 14 facilities currently being developed. Five of those facilities with a cumulative development value of about $436 million will be launched for sale while the remaining nine with an average investment value of approximately $254 million will remain on its balance sheet. In the hospitality development arena, Frasers Hospitality launched two properties – Thailand-based Modena by Fraser Buriram and Malasia-based Fraser Place Puteri Habour. Other launches during the quarter include Fraser Residence Promenade Singapore, Vietnam’s Modena by Fraser Hanoi, and China’s Modena by Fraser Chengdu.