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Ho Bee Land's Q2 net profit drops 54%

However, the property group's turnover rose to S$26.8 million from S$6.1 million in the same quarter last year.

SINGAPORE: Property group Ho Bee Land on Monday (Aug 11) reported a 54 per cent decline in second-quarter net profit to S$12.2 million from a year ago.

However, group turnover for the three months rose to S$26.8 million from S$6.1 million in the same quarter last year. The company attributed the boost to higher revenue from its investment properties.

Rental income from the company's industrial and commercial properties rose to S$25.7 million from S$2.8 million in the same period. Ho Bee said this was contributed by the rentals of office buildings, The Metropolis in Singapore, and Rose Court and 1 St Martin's Le Grand in London.

For the six months ended 30 June 2014, the mainboard-listed firm's net profit fell 79 per cent to S$16.3 million from the previous year.

Ho Bee's chairman and CEO Chua Thian Poh said the real estate environment in Singapore continues to be challenging, especially in the residential sector. However, he added that the company is "beginning to see the fruition of the strategic decision to increase the portfolio of investment properties".