Financials

Full Year Results Financial Statement And Related Announcement

Financials Archive

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Unaudited Condensed Interim Financial Information For the Second Half and Financial Year Ended 31 December 2024

STATEMENTS OF FINANCIAL POSITION
For the financial year ended 31 December

	The Group
	31 Dec 24	31 Dec 23 (Restated)*	1 Jan 23 (Restated)*
	S$'000	S$'000	S$'000
ASSETS
Current assets
Cash and bank balances	19,559	22,658	47,023
Financial assets at fair value through profit or loss	6,493	5,294	3,834
Financial assets at fair value through other comprehensive income	5,166	5,239	6,190
Trade receivables	2,308	2,444	1,826
Other receivables, deposits and prepaid expenses	1,920	1,940	1,758
Inventories	885	974	716
Income tax recoverable	69	53	83
Total current assets	36,400	38,602	61,430
Non-current assets
Subsidiaries	-	-	-
Financial assets at fair value through other comprehensive income	19,424	18,804	18,581
Other assets	916	900	127
Property, plant and equipment	711,161	672,412	644,157
Investment properties	130,424	133,362	136,210
Total non-current assets	861,925	825,478	799,075
Total assets	898,325	864,080	860,505
LIABILITIES AND EQUITY
Current liabilities
Bank loans	5,234	8,759	21,375
Trade payables	5,018	4,310	4,074
Other payables	5,319	6,033	4,723
Income tax payable	2,189	2,563	1,195
Total current liabilities	17,760	21,665	31,367
Non-current liabilities
Other payables	37	36	35
Retirement benefit obligations	398	259	359
Long-term bank loans	157,461	149,971	152,930
Deferred tax liabilities	12,213	10,657	10,362
Total non-current liabilities	170,109	160,923	163,686
Capital and reserves
Share capital	190,836	190,836	190,836
Asset revaluation reserve	414,415	395,489	372,300
Employee benefit reserve	57	66	15
Fair value reserve	18,120	16,995	16,217
Foreign currency translation reserve	(19,152)	(24,146)	(14,115)
Retained earnings	106,180	102,252	100,199
Total equity	710,456	681,492	665,452
Total liabilities and equity	898,325	864,080	860,505

* Certain comparative figures have been restated. Please refer to Note 23 (pages 24 to 26) for further details.

CONSOLIDATED STATEMENT OF PROFIT OR LOSS
For the second half and financial year ended 31 December

n.m.: not meaningful

* Certain comparative figures have been restated. Please refer to Note 23 (pages 24 to 26) for further details.

CONSOLIDATED STATEMENT OF OTHER COMPREHENSIVE INCOME
For the second half and financial year ended 31 December

n.m.: not meaningful

* Certain comparative figures have been restated. Please refer to Note 23 (pages 24 to 26) for further details.

Review Of Group Performance

Consolidated Statement of Profit or Loss

REVENUE

Revenue comprises the following:

	The Group
	Full Year Ended 31 December
	2024	2023	+ / (-)
	S$'000	S$'000	%
Hotel operations:
Room revenue	47,448	40,858	16.1
Food and beverage revenue	7,789	5,998	29.9
Spa revenue	444	542	(18.1)
Car park revenue	418	328	27.4
Rental income	2,732	2,523	8.3
Others	384	760	(49.5)
Properties investments:
Rental income	6,921	6,713	3.1
Financial investment:
Interest income from investments	140	74	89.2
Dividend income from:
Quoted equity investments	359	366	(1.9)
Unquoted equity investments	118	178	(33.7)
Total	66,753	58,340	14.4

Room revenue

Group room revenue increased by 16.1% for FY 2024 compared to FY 2023 was mainly due to improved room occupancy and and upward adjustment of room rates in some of the Group's hotel. Additionally, the opening of Hotel Royal Signature in Kuala Lumpur also contributed to the growth.

Food and beverage revenue

The increase in food and beverage revenue by 29.9% for FY 2024 compared to FY 2023 was mainly due to higher breakfast sales driven by increased occupancy rates.

Rental income from within premises

The increase in rental income from within premises by 8.3% for FY 2024 compared to FY 2023 was mainly due to higher rental income resulting from improved occupancy rates.

Rental income from investment properties

Rental income from investment properties increased by 3.1 % for FY 2024 compared to FY 2023, mainly due to higher contributions from investment properties in the New Zealand and Malaysia subsidiaries.

Cost of sales

The increase in cost of sales by 9.7% for FY 2024 compared to FY 2023 was mainly due to higher operation costs in the Group's hotels.

Other income

The decrease in other income by 34.3% for FY 2024 compared to FY 2023 was mainly due to lower impairment loss reversal of PPE in Thailand and Malaysia properties, lower fair value gain on financial assets at fair value through profit or loss and lower interest income from bank deposits.

Distribution and marketing expense

The increase in distribution costs by 0.8% for FY 2024 compared to FY 2023 was mainly due to higher sales and marketing expenses incurred through travel agents and online reservation portals in the Group's hotels.

Administrative expenses

The increase in administrative expenses by 21.1% for FY 2024 compared to FY 2023 was mainly due to higher overhead expenses, including utilities and payroll costs, in the Group's hotels.

Finance costs

The decrease in finance costs by 9.8% for FY 2024 compared to FY 2023 was mainly due to reduction in interest rates.

Income tax expense

The 5.1% increase in income tax expense for FY 2024 compared to FY 2023 was primarily due to higher taxable income in some of the Group's hotels.

Net profit (loss) of segment performance
for full year ended 31 December

	Net (loss) profit
	2024	2023 (Restated)	+ / (-)
	S$'000	S$'000	%
Hotel operation	14,379	14,511	(0.9)
Property investments	2,305	1,134	>100
Financial Investments	714	746	(4.3)
Segments total	17,398	16,391	6.1
Finance cost	(7,538)	(8,356)	(9.8)
Profit before income tax	9,860	8,035	22.7
Income tax expense	(3,174)	(3,021)	5.1
Profit after income tax	6,686	5,014	33.3

The performance for the hotel operations segment declined by $$0.132 million (FY 2024's S$14.379 million as compared to $$14.511 million in FY 2023. This decrease was mainly attributed to higher overhead expenses incurred by the Group's hotels, ongoing renovations at Burasari Resort in Phuket, and the commencement of operations at Hotel Royal Signature in Kuala Lumpur, which is still in its ramp-up phase and incurring initial operational costs.

The net profit for the property investment segment rose from $1.134 million in FY 2023 to $$3.185 million in FY 2024. This growth was driven by improved performances from the Group's investment properties and a fair value gain recorded in FY 2024, compared to a fair value loss in FY 2023.

The net profit for the financial investment segment decreased by $0.032 million, reaching S$0.714 million in FY 2024. This decline was primarily due to a lower fair value gain on financial assets.

Consolidated Statement of Financial Position

Total assets (Group) as at 31 December 2024 increased by $34.245 million from $864.080 million to $898.325 million.

The increase was mainly due to:

• Property, plant and equipment rose by $38.749 million, primarily due to an increase in valuation of the Group's freehold land by $18.926 million, renovation and upgrading costs of S$13.666 million and a foreign exchange gain from translation of property, plant and equipment in Malaysian Ringgit and Thai Baht to Singapore Dollars.

Total liabilities (Group) as at 31 December 2024 increased by $5.281 million from $182.588 million to $187.869 million.

The increase was mainly due to:

• Increase in bank loans of $3.965 million was a result of the drawdown of bank borrowings during the financial year.

Consolidated Statement of Cash Flows

Net cash from operating activities was derived from the operating activities of the hotel, investment properties and fund management.

Net cash used in investing activities was primarily due to renovation works for Hotel Royal Signature.

Net cash from financing activities was mainly due to dividend payments, partly offset by the net drawdown of bank borrowings.

Outlook

The Group reported a revenue of $66.8 million for FY2024, reflecting a 14.4% growth compared to the same period last year. This growth was mainly driven by heightened travel demand, increased disposable incomes, and a robust resurgence in both business and leisure travel.

The Tourism Agencies in Singapore, Malaysia and Thailand have all projected continued growth in room demand in their respective countries as the travel industry progresses. This positive momentum suggests further opportunities for the hospitality industry.

However, several challenges could impact the Group's performance in 2025. Geopolitical and trade tensions, global inflation, and currency fluctuations may influence travel costs and consumer spending. In particular, fluctuations in exchange rates of the Malaysian ringgit, Thai baht and New Zealand dollar against Singapore dollar will affect the Group's financial results. Additionally, rising operational expenses, including higher labour and energy costs, could put pressure on profit margins.

Balancing these opportunities and challenges will be crucial for the Group to sustain profitability and growth.