CapitaLand, South-east Asia's biggest developer, said that third-quarter profit rose 85 per cent as it sold more homes and booked gains from divestment of assets in China.
Net profit climbed to S$148.5 million in the three months ended Sept 30, from S$80.2 million a year earlier, it said in a statement to the Singapore stock exchange yesterday. That is lower than the S$191- million mean estimate of three analysts compiled by Bloomberg. Sales climbed 13 per cent to S$686.9 million, the Singapore-based developer said.
Sales revenue from Singapore development projects rose 7 per cent to S$220.1 million, mainly from The Interlace and Urban Resort Condominium, the company said. Revenue from China accounted for US$67.9 million (S$83 million), a 67 per cent increase over the previous year, it said.
The developer posted portfolio gains of US$79.8 million from the divestments of its serviced residences Ascott Guangzhou and Ascott Raffles Place, to Ascott Residence Trust, and the sale of its entire 20.75 per cent stake in United Malayan Land.
"Although global economic conditions have been volatile and uncertain, we continue to explore and seize opportunities," Mr Liew Mun Leong, president and chief executive of the group, said in the statement.
"Having invested substantially over the past few years, we expect these investments to bear fruit in the coming years."
Earlier this month, CapitaLand named Mr Lim Ming Yan as the new president and CEO of the group, after Mr Liew said he will retire next year from the company he helped create almost 12 years ago.
Under Mr Liew, CapitaLand expanded beyond the limited Singapore market with a population of 5.3 million. China accounted for 41 per cent of the company's S$33.4 billion of assets as of June 30, exceeding Singapore's 31 per cent, according to data from the company. Australia contributed 16 per cent.
CapitaLand's Singapore home sales climbed to 329 units valued at S$633 million in the nine months to Sept 30, it said. Residential sales in China gained 67 per cent to about 2,000 units in the ninemonth period.