Artist’s impression of the City Gate project in Singapore.
Aspial Corporation’s revenue for the first three quarters of 2018 more than doubled to $771.68 million compared to $354.93 million in the same period a year ago, revealed an SGX filing on Wednesday (7 Nov).
The robust growth was driven by its property business, where revenue nearly quadrupled from $136.7 million a year ago to $525.8 million in the first nine months of 2018. This is primarily due to the progress recognition of sales from its City Gate project in Singapore, along with the settlement and handover of completed homes at its AVANT and Australia 108 projects in Melbourne.
“We are pleased that Group profit has improved significantly with the progressive completion and settlement for our two skyscraper projects in Melbourne – AVANT and Australia 108. Looking ahead, we also expect to continue to book revenue and profits as higher levels of Australia 108 are progressively completed and settlement made,” said Aspial’s CEO Koh Wee Seng.
Consequently, the firm’s profit after tax surged to $41.08 million in the first nine months of 2018 versus $2.88 million previously.
For Q3 2018 alone, Aspial’s revenue jumped to $346.99 million versus the $109.4 million recorded during the same period last year, while profit after tax soared to $24.03 million from $1.28 million previously.
For the last quarter of the year, the company expects to see better cash flow, with up to $228 million of proceeds anticipated from the settlement and handover of remaining units at AVANT and Australia 108.
Another factor is that its City Gate project expects to receive its temporary occupation permit by end-2018.
The project is being undertaken by Aspial’s subsidiary World Class Land, while AVANT and Australia 108 are being developed by World Class Global.
Romesh Navaratnarajah, Senior Editor at PropertyGuru, edited this story. To contact him about this or other stories, email firstname.lastname@example.org