Soilbuild's revenue down 52% in Q3

Integrated property developer Soilbuild Group has reported that its revenue in the third quarter declined 52 percent to S$45.9 million from S$95.0 million a year ago, on the back of a 27 percent decline in Q3 gross profit to S$23.4 million against the S$31.9 million achieved a year ago.

This was mainly attributed to a lower turnover from projects like The Centrio, Heritage 9, Leonie Parc View, Montebleu and Tuas Lot, which were completed between September 2009 and June 2010.

However, the group’s net profit in the third quarter rose 92 percent to S$33.4 million from S$17.4 million achieved a year ago.

For the nine months ended 30 September 2010, the group reported a 35 percent rise in net profit to S$77.3 million from S$57.1 million a year ago, but revenue fell 41 percent to S$152.0 million, and gross profit stood at S$71.1 million from S$85.5 million in 2009.

Lower revenue and gross profit in the nine months were mainly attributed to the absence of revenue contributions from the fully sold Espa, The Centrio, as well as the Montebleu project, which received its Temporary Occupation Permit (TOP) in June 2010.

Looking ahead, the group expects to see steady interest and take up for its business space properties held for lease. Its flagship business space development, Solaris at one-north received its TOP in October 2010, while leasing for the Goodvine and West Park Biz Central projects at Tanjong Kling is expected to commence in the fourth quarter.