Singapore Metro profit dives
Singapore’s Metro Holdings has reported an 82.7 per cent fall in its net profit to S$7.6 million in the fourth quarter.
Full year earnings, however, rose 33.7 per cent to $142.9 million on revenue up 4.78 per cent to $145.8 million.
The property development group said revenues in the last quarter rose 19.2 per cent due to higher turnover in its retail operations following the opening of its new store at Metro Centrepoint in the third quarter.
The company blamed the quarterly earnings decline on higher operational costs and overheads in the retail division, largely from the new store. The company also booked a writedown in the value of plant and equipment at Metro Centrepoint.
Metro operates a chain of department stores and specialty stores in Singapore and Indonesia.
In Singapore, it has four department stores, nine Monsoon Accessorize and one M2 specialty stores. Metro Paragon, its flagship store located on Orchard Rd is positioned at the high end of the market, while Metro Woodlands and Metro Sengkang in the suburbs and Metro City Square on the city fringe are positioned as ‘family-friendly stores’.