strippokersites| LHN(01730.HK): Revenue in the first half of 2024 increased by 27.2% to Singapore dollars, and total profit decreased by 27.6%

Newsletter summary

LHN (01730.HK) semi-annual revenue increased by 27.2% to S $54.5 million, while net profit decreased by 27.6% to S $13.3 million. Despite the influx of new units and fierce competition in the market, its space-optimized business performance is resilient, the occupancy rate of cohabitation assets remains above 90%, and rental demand may increase as a result of higher interest rates and property cooling measures, the company is expected to benefit.

Text of news flash

[LHN Group's earnings in the first half of 2024 increased by 27.2% year on year to S $54.5 million] on May 13, 2024, LHN Group (01730.HK) announced that it ended March 31, 2024.StrippokersitesThe six-month interim results. During this period, the group's earnings increased from about S $42.8 million in the same period last year to about S $54.5 million, an increase of about 27.2%. This growth is mainly due to the strong performance of the space optimization business and the facility management business.

Despite significant revenue growth, the total profit of the LHN Group in the first half of 2024 decreased by about S $5 million, or 27.6%, from the same period last year to about S $13.3 million. Basic earnings per share were 3.17 Singapore cents, slightly lower than 4.43 Singapore cents in the same period of the previous fiscal year.

In 2024, Singapore's residential rental market faces new challenges. Economic growth is solid, housing supply is increasing, and market activity is expected to slow. Despite the influx of more than 28 percent of the Singapore market in the past two yearsStrippokersitesWith more than 2000 new residential units, competition has intensified and rental prices have stabilized, but LHN Group's space optimization business has still shown strong resilience. The occupancy rate of cohabitation assets remains above 90%, indicating the competitiveness of the group in the face of market adversity.

LHN Group's success is due to its strategic positioning of properties and its focus on the high-demand market. The Group's properties are located in the city centre and provide flexible and sustainable housing options that can maintain high occupancy rates and attract tenants even in a weak overall market. In addition, while higher interest rates and cooling measures in the real estate market may dampen property purchases, these factors may stimulate rental demand, creating more business opportunities for the LHN Group.