SINGAPORE (Feb 26): Sing Holdings reported a 87.4% fall in FY17 earnings to $3.31 million from $26.3 million in FY16.

Revenue dropped 85.2% to $41.2 million compared to $279.5 million a year ago.

FY17 revenue comprised recognition of sales proceeds from completed properties and properties under development, as well as rental income from lease of an investment property, Travelodge Docklands.

Revenue from properties under development was recognised progressively based on construction progress.

Similarly, cost of sales decreased by 89.1% y-o-y to $25.0 million, bringing gross profit for FY17 to $16.3 million, 67.3% lower than $49.8 million in the previous year.

Other income was 53.6% higher at $4.05 million compared to $2.63 million last year.

Administrative expenses decreased by 28.6% to $3.06 million from $4.28 million a year ago, due to lower performance bonus incurred.

Other operating expenses more than quadrupled to $7.05 million from $1.58 million in the previous year, due mainly to loss on disposal of a subsidiary and net loss on fair value adjustment of an investment property.

Finance costs increased significantly to $2.60 million compared to $0.17 million a year ago, as a result of bank interest incurred for the acquisition of Travelodge Docklands.

The group declared a final cash dividend of 1.0 cents per share.

The group has been participating in Government land tenders and en bloc sales to replenish its land bank but was unsuccessful.

Looking forward, it will continue to monitor the market closely so as to identify new property development and investment opportunities.

This story, written by Samantha Chiew for The Edge Singapore, first appeared on Feb 27.