CapitaLand warns of headwinds as Q2 profit falls
CAPITALAND, South-east Asia's biggest developer, said prices and sales of Singapore residential properties are expected to moderate because of government measures aimed at curbing speculation.
The developer sold 139 residential units in the three months that ended on June 30, 31 per cent fewer than in the same period last year, it said in a statement yesterday.
Second-quarter profit fell 0.7 per cent on lower portfolio gains, it said. Profit at the Singapore-based company declined to $383.1 million for the quarter, from $385.9 million a year earlier.
Earnings in the same quarter last year included divestment gains of $81.8 million, primarily from the sale of two shopping malls, CapitaLand said. Sales rose 37 per cent to $1.18 billion.
Singapore home prices climbed to a record in the second quarter as gains in suburban housing values accelerated, leading to new government measures on property loans at the end of last month.