New apartment sales boost Overseas Realty September performance
New apartment sales at the Phase three and four of Havelock City project has boosted the revenue and profits at Overseas Realty (Ceylon) PLC for the quarter ended September 30, 2018, as the construction of the two towers under Phase three are nearing completion by mid next year.
Overseas Realty (Ceylon) PLC, a luxury office, commercial and residential property developer reported revenues of Rs.1.69 billion for the three months under review, up 55.5 percent year-on-year (YOY).
The apartment sales have brought in revenues of Rs.1.03 billion, almost twice of what the company earned during the same period last year (Rs.504.7 million).
“Havelock City Phase three comprising two towers, Stratford and Melford with 304 luxury apartments is currently under construction with 70 percent completed and is expected to be completed by July 2019. Over 60 percent of Phase three apartments have been pre-sold as at September 2018,” the company said in a statement.
“The final Phase of Havelock City Residential Phase four with two new luxury apartment towers was recently launched to the market and 16 percent of its units have been pre-sold as at September. Phase four is currently under construction and is expected to be completed by mid- 2020,” the statement added.
The company also receives a rental income from its World Trade Centre towers which are on lease for office space. Such income for the three months to September was Rs.567.4 million, little changed from Rs.520.5 million a year ago.
“The company is in the process of refurbishing and upgrading its common facilities with the intention of providing a better service to the tenants and visitors of the building,” the statement added.
For the July-september quarter the company reported earnings of 90 cents a share or Rs.1.12 billion compared to 69 cents or Rs.843.18 million in the same period, last year.
Meanwhile, for the nine months ended September, 2018, the company earned Rs.2.58 a share or Rs.3.21 billion up from Rs.2.00 a share or Rs.2.46 billion in the same period, last year.
The revenue for the nine months was Rs.4.27 billion with Rs.2.3 billion coming from apartment sales.
The company earned another Rs.267.3 million from property services for the nine months, up 27 percent from a year ago.
The total revenue for the period rose 88 percent YOY to Rs.4.26 billion.
As at September 30, 2018, Singapore based Shing Kwan Investment Company Limited held 38.43 percent stake in the company.
Meanwhile Jiangsu Tao Shing Pee Education Foundation, an entity established by Overseas Realty Chairman S.P Tao held another 24.09 percent stake being the second largest shareholder.