City Developments' net profit up 2% to $798.6m in 2011

The group sold a total of 1,818 residential units valued at a whopping $1.76 billion last year.

According to a financial statement, the group’s profit before tax amounted to $1.1 billion, an increase of 6.5% from last year.

Basic earnings per share stands at 86.4 cents (Restated FY 2010: 84.8 cents).

The Group’s balance sheets continue to be healthy with net gearing ratio at 21% (2010: 29%).

Interest cover remains relatively constant at 21.8 times (Restated FY 2010: 21.3 times).

As a result of the solid performance achieved for 2011, the Board recommends the payment of a special final dividend of 5.0 cents per share in addition to the ordinary dividend of 8.0 cents per share. Together with the special interim dividends of 5.0 cents per share paid in September 2011, the total dividends paid for 2011 amounts to18.0 cents per share (2010: 18.0 cents per share).

Residential
For the year under review, the Group, along with joint venture associates, sold a total of 1,818 units valued at $1.755 billion.

In 2011, the Group successfully launched five residential projects: H2O Residences, Hedges Park, Buckley Classique, Blossom Residences and The Palette, all of which were very well-received.

No profit was booked for The Glyndebourne, H2O Residences, Buckley Classique, Blossom Residences and Hedges Park, even though these developments have been substantially sold as the construction of these projects are still in early stages.

Commercial
The Group’s office portfolio continues to enjoy healthy occupancy of 93.5% as compared to the national average of 88.7%, with high yields, given its relatively low book cost.

Millennium & Copthorne Hotels plc (M&C), the Group’s hotel subsidiary, achieved record revenue and profit in 2011 due to a strong hotel operating performance and asset management activities.

M&C’s net profit after tax and non-controlling interests increased 67.3% to £160.9 million (2010: £96.2 million).