The board declares a special interim ordinary dividend of S$0.02 per share for the financial year
CITY Developments Ltd’s (CDL) net profit for the first half-year ended Jun 30, 2024, rose 32 per cent on the year to S$87.8 million from S$66.5 million. This comes even as the company’s revenue fell 42.2 per cent to S$1.6 billion from S$2.7 billion.
The property developer said on Wednesday (Aug 14) H1 FY2024 revenue was lower because the corresponding year-ago period included a S$1 billion contribution from Piermont Grand which was recognised in its entirety when the executive condominium project obtained its temporary occupation permit in January 2023.
Meanwhile, the increase in net profit was boosted by divestment gains as part of the company’s capital recycling efforts.
Earnings per share for the half-year period was S$0.092, an increase from S$0.066 in H1 FY2023.
The board has declared a special interim ordinary dividend of S$0.02 per share for the full financial year. It will be paid on Sep 3, after the record date on Aug 21.
CDL group chief executive officer Sherman Kwek said: “The real estate sector faced considerable headwinds from macroeconomic conditions and higher financing costs, impacting the group’s financial performance.”
The potential for interest rate cuts by the US Federal Reserve, however, could strengthen the group’s capital position, he added.
Shares of CDL closed 0.4 per cent or S$0.02 higher at S$5.22 on Tuesday.
