GuocoLand's net profit nosedives 95% to $23.9m in Q1

No thanks to low contributions from Shanghai Guoson Centre office block.

Property developer GuocoLand Ltd. may have felt the overall slowdown in the property market as it reported a whopping 95% decline in earnings for 1Q17.

For its first quarter ending in September 30, its earnings were down to $23.9m from $516.5m a year ago.

Its revenue dropped by 54% to $202.8m, deflating from $439.8m in revenues recorded during the same period last year.

"The lower revenue was mainly due to the absence of contribution from the sale of an office block in Shanghai Guoson Centre in the previous corresponding quarter," the group said.

More so, its other income in the past quarter decreased 98% to $12.4 million. This was one the back off a one-time gain from the disposal of its subsidiaries relating to the Dongzhimen project in the quarter

Looking forward, the group said it will focus on monetising its current projects, given the weak property market outlook.

"While the Group continues to focus on sales and leasing of its current projects, the Group is also strategically exploring investment opportunities available in both existing and new markets," the group said.