HOTEL Grand Central : H18 0% announced a net profit of S$1.4 million for the second half ended Dec 31, 2023, reversing a net loss of S$4.6 million in the corresponding period a year ago.

This translated into an earnings per share of S$0.0019, up from the loss of S$0.0062 in H2 2022, said the group in a bourse filing on Thursday (Feb 29).

For the financial year, net profit stood at S$11.9 million, more than 14 times the net profit of S$0.8 million recorded in FY2022.

The increase in net profit was attributed to stable profits from hotel operation, coupled with a lower foreign exchange loss of S$1.3 million compared with a loss of S$7.1 million in FY 2022, as well as higher interest income from fixed deposits during the year due to higher interest rates.

The increase in profit came despite a 5.3 per cent decrease in H2 2023 revenue to S$76.2 million, from S$80.5 million in the corresponding period last year.

The group noted that “hotels in Singapore, Australia, New Zealand and Malaysia recorded higher revenue during the year, due to an improvement in the hotels’ room occupancies and room rates”.

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However, this was offset by the weak economic conditions in China, which resulted in lower sales as travelling was affected, it added.

The board of directors has recommended a first and final dividend of S$0.02 per share, subject to shareholders’ approval, the same as the dividend declared for the corresponding period a year earlier.

The date payable, as well as the books closure date, will be announced in due course.

Shares of Hotel Grand Central closed on Thursday at S$0.795, down S$0.035 or 4.2 per cent, before the announcement.