Frasers Centrepoint's full-year profit down 24.3% to $766.1m

Lower contributions from development projects under TOP are to blame.

Frasers Centrepoint Limited (FCL) reflected a 24.3% decline in net profits for the full year ending in September, bringing down core earnings to $766.1m from $1.02b last year.

According to the group, the decreases were caused mainly by lower contributions from the Singapore and Australia strategic business units.

"In Singapore, the decreases were primarily due to absence of profits from development projects that had achieved Temporary Occupation Permit in prior years," the group noted.

These losses were then partly moderated by the recognition of profits at North Park Residences and the completed Twin Fountains Executive Condominium in the city-state.

For FCL CEO Panote Sirivadhanabhakdi, the group's performance is still commendable given the market challenges.

"Recognising the inherent volatility in the development business, FCL has been on a journey to grow recurring income for some years now. Together, contributions from the Group's portfolio of commercial and industrial investment properties, as well as its rapidly growing hospitality business, provide a strong income base for FCL," he said.

Looking forward, the group is looking to selectively tender for sites in Singapore to replenish its landbank.

"As FCL grows its business and asset portfolio in a prudent manner across geographies and property segments, the Group will emphasise on recurring income as well as overseas earnings contribution," the group said.