APAC Realty, which runs the property agency ERA, has reported a 6% y-o-y growth in revenue to $172.8 million for 1HFY20, as it generates higher fees from helping developers launch new projects.
However, thanks to lower financing and marketing costs, the company was able to report a 52% y-o-y surge in earnings to $7.76 million.
The company plans to pay an interim dividend of 0.75 cents per share – same as this time last year.
Even with the tough economic environment, the company was able to secure marketing agent mandates for 42 new resident projects totalling some 14,900 units. These projects are scheduled for launch between now till June next year.
The company believes that the negative impact of the Covid-19 outbreak on the Singapore property market will be relatively short-lived.
“Interest from local and foreign buyers will eventually return as evident in the initial demand from the market following end of the Circuit Breaker Period,” the company said, adding that Singapore is one of the top three prime real estate cities in the world, drawing especially buyers from China and Indonesia.
“However, the pace of this recovery is subject to the world overcoming Covid-19 and the health of major economies,” the company said.
APAC Realty shares closed Aug 13 at 38 cents, up 4.11%.