Wheelock's Q2 net profit down 55.7%

Wheelock Properties (Singapore) has announced that its net profit declined 55.7 percent year-on-year to S$37 million in the second quarter, on the back of a 61.8 percent drop in revenue to S$67.6 million.

Meanwhile, its net profit for the first half of the year also fell 33.3 percent to S$89.4 million, while its revenue dipped 40 percent to S$170.4 million.

The company said the decline in revenue for both periods was mainly due to the lower recognition from its Scotts Square project, as well as the completion of Orchard View and Ardmore II.

In contrast, both profit and revenue from investments increased in Q2 and H1, due to higher dividend income from SC Global Development and Hotel Properties.

The company said that the higher profit margin for Scotts Square reflected a 66 percent gross profit margin for H1 and Q2 2011, compared with a respective 58 percent and 57 percent for the corresponding periods last year.

In Singapore, the company has started developing a showflat for the Ardmore Three project, which is expected to be ready by the fourth quarter this year. However, it is still reviewing the launch date for the luxury freehold development, which comprises a 36-storey tower offering 84 three-bedroom units. It is expected to be completed in 2014.

In addition, Orchard View at Angullia Park received its Temporary Occupation Permit in May 2010. As of 30 June 2011, 12 units have been snapped up at an average price of S$3,232 psf.

Scotts Square, which is expected to be completed in Q3 2011, has had 246 units (73 percent) sold at an average selling price of S$3,999 psf. The freehold development comprises a total of 338 apartments.

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