Tradewinds reverses losses, posts 2Q profit of RM69.6m

Tradewinds reverses losses, posts 2Q profit of RM69.6m
Business & Markets 2013
Written by Shalini Kumar of theedgemalaysia.com
Thursday, 29 August 2013 19:19

KUALA LUMPUR (Aug 29): Tradewinds Corp Bhd posted a net profit of RM69.6 million for the second quarter ended June 30, reversing its RM214.2 million losses at the same time last year.

Revenue was RM346.2 million, from RM125.6 million previously.

In a filing with Bursa Malaysia today, the group said the significant increase in earnings came from a RM56.3 million gain on sale of land, the writing off of hotel property, investment property, impairment losses on plant and equipment and the recognition of provision for closure expenses in respect to the development of Tradewinds Centre.

"The increase in revenue was mainly due to sales of land amounted to RM220.3 million and higher revenue generated from manufacturing & trading and financial services divisions," said the group in its filing.

For the six months ended June 30, Tradewinds Corp posted a net profit of RM75.4 million, on the back of RM474.6 million in revenue.

Looking ahead, the group said the investment PROPERTIES []' operating performance would be lower as the group embarks on the re-development of Menara Tun Razak and the development of Tradewinds Centre.

"The re-development of Menara Tun Razak and the CONSTRUCTION [] and completion of Tradewinds Centre will have a positive impact in the longer term to the group," it said.

"Given the above and the sales of land in Nusajaya, Johor, the directors expect the group financial performance for the financial year 2013 will be satisfactory," it added.