Guocoland's Q2 earnings up three-fold to $32.4m

Higher sales from its premium residential property boosted the earnings.

Guocoland’s earnings rose three-fold in Q2, from $10.9m in the previous quarter to $32.4m, announced the company in its bourse filing. The jump in earnings was mainly attributed to the company’s revenue and gross profit, which had doubled to $299.6m, and $89.7m respectively, due to higher progressive recognition of sales from its prime residential asset, Martin Modern.

Share of profit of associates and joint ventures decreased from $8m in Q1 to Q2’s $1m due to lower share of profit from the Shanghai joint venture. The plunge is also accounted for by share of losses from the company’s joint venture in Singapore, incurring costs for a development project, which was launched on 11 January 2020.

Meanwhile, H1 revenue and gross profit of the company ending 31 December 2019, has increased by more than 80% to $572.1m and $178.6m, respectively compared to the same period in 2018. The jump remains accounted to the higher progressive recognition of sales brought by the Martin Modern asset. Consequently, profit attributable to equity holders of the Company doubled to $74.5m for H2, compared to the same period in 2018.