Saturday, August 1, 2015

Top Global books 2Q losses of $9.4 mil

Top Global made a 2Q lossed of $9.39 million, compared to earnings of $1.45 million one year ago.

The loss was due to currency translation differences from the consolidation of Suryamas Dutamakmur, an Indonesian golf course and resort developer, as well as fair value losses for its financial assets on sale.

Revenue for the quarter rose nearly eight times to $46.2 million due to sales from its Braddell and Bartley Road projects, namely The Maisons and The Quinn, as well as contributions from Suryamas.

Excluding currency and fair value losses, Top Global would have posted earnings of $2.2 million in 2Q, a 51% increase from a year ago.

The property market in Singapore will remain challenging amid the property cooling measures, says Top Global in its outlook.

In Indonesia, the proposed tax laws on luxury properties, along with the weakening Rupiah, may pose concerns too.

But Top Global expects rule changes that allow foreigners to own luxury properties to offset some of the challenges.

It has also recently ventured into light industrial development of warehousing in Banten to diversify its revenue streams.

The stock closed at 0.4 cents after a flat day of trading.

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