SPH profit up 11.6% to $84.1m

Singapore Press Holdings sure is happy with its rental income which rose 21.6% to $48 million.

For the second quarter ended 29 February 2012, SPH said its recurring earnings of $90.1 million surpassed the performance of the corresponding quarter last year by $11.2 million or 14.2%.

Net profit attributable to shareholders of $84.1 million was $8.7 million or 11.6% higher compared to 2Q FY11.

SPH reported:

Operating revenue for the Newspaper and Magazine segment saw relatively flat growth of $0.3 million (0.1%) to $234.5 million compared to 2Q FY11. Print advertisement revenue increased by $1.3 million (0.8%) to $177.6 million. Circulation revenue dipped $0.5 million (1.1%) to $49.7 million.

Rental income for the Group grew by $8.5 million (21.6%) to $48.0 million. Clementi Mall recorded rental income of $9.2 million, $7.8 million higher compared to 2Q FY11 during which the mall was not fully operational. Revenue from Paragon increased by $0.7 million (1.7%) on the back of higher rental rates.

Operating revenue from the Group’s other businesses increased by $1.8 million (12.9%) to $15.9 million attributed mainly to the internet business.

Newsprint costs increased by $0.9 million (3.5%) driven by higher newsprint prices but cushioned by a favourable exchange rate. Staff costs decreased by $0.3 million (0.3%) due to lower variable bonus provision partially offset by salary increments.

Other operating expenses rose by $3.4 million (6.3%) due to costs arising from newspaper subscription drives and Clementi Mall operations.