UOL Group recorded reduced net profit by 27% to $287 million for the financial year ended 31 December 2016. This is in comparison to $391 million that was recorded in the previous financial year. The reduction was attributed investment properties valuation losses.
However, revenue increased by 13% to $1.44 billion with the top generator of revenue being the property development segment.
The group said in a statement that in Singapore, it sold 484 residential units in the financial year even without launching any new projects.
(Artist impression of Principal Garden)
In projecting the future, the group expects new homes demand to remain unresponsive in this financial year since the property cooling measures are still there.
“Nonetheless, we believe that demand for developments that have good product attributes and location is still there as shown by the strong interest that The Clement Canopy received,” said UOL Deputy Group CEO Liam Wee Sin.
Liam added that as the entire group’s projects are having strong take-up, they are intending to replenish the landbank in prime locations.
Of late, the group has acquired 2 residential sites. One is a freehold site locate at 45 Amber Road while the other one is a large en bloc site formerly Raintree Gardens located at Potong Pasir Avenue 1.
UOL is a public listed company in Singapore. Other than residential developments, the group’s business is also in hotels and serviced suites, shopping malls and office towers.
Some of its residential properties in Singapore include Thomson Three, Seventy Saint Patrick’s, Katong Regency and Meadows @ Pierce. Under commercial properties, office towers include Novena Square, United Square and Faber House. Retail malls are One KM, United square, The Plaza and Velocity @ Novena Square as well as The Esplanade Mall in China.
Other than Singapore, UOL Group has developed properties in China and Malaysia.