UOL's Q2 net profit sinks 28% to $152.5m, dragged by lower fair value gains

Gains on investment properties crashed 56%.

Depressed fair value gains on investment properties dragged UOL’s net profit by 28% to $152.5m in the second quarter.

Although revenue from local projects boosted earnings, fair value gains on investment properties crashed by 56% on back of the lacklustre property market.

UOL’s revenue rose 60% to $342.2m in Q2 due mainly to progressive recognition of revenue from the sales of its development projects

The group’s expenses also jumped 17% to $66.3m, on back of higher marketing and distribution expenses due to the sales launch of Botanique at Bartley in April 2015, the ongoing sales of Seventy Saint Patrick’s, as well as expenses for OneKM and Pan Pacific Tianjin, which both opened in the fourth quarter.