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MCL Land Interim Results

31 Jul 2008 10:20

RNS Number : 3021A
Hongkong Land Hldgs Ld
31 July 2008
Β 

ο»Ώ

To: Business Editor

31st July 2008

For immediate release

MCL LandΒ Limited

First Half 2008Β Financial Statements and Dividend Announcement

The following announcement was issued today by the Company'sΒ 77%-owned subsidiary, MCL Land Limited.

For further information, please contact:

Hongkong Land Limited

Y K Pang

(852) 2842 8428

G M Brown

(852) 2842 8138

(852) 9612 3496

GolinHarrisΒ 

Sue So

(852) 2501 7984

31stΒ July 2008

MCL LAND LIMITED

FIRST HALF 2008 FINANCIAL STATEMENTS AND DIVIDEND ANNOUNCEMENT

Highlights

Profit recognised on completion of The Grange in the first quarter

Acquisitions of sites atΒ NimΒ ParkΒ and Yishun Avenue 1 completed in the first half, and Casa Nassau in July 2008

"The current uncertain economic conditions have led to a slowdown in the residential property market inΒ Singapore.Β Β Medium to longer-term prospects however, remain positive. The completions of Mera Springs and The Esta inΒ Β SingaporeΒ in the second half of the year should benefitΒ MCLΒ Land's overall performance in 2008."

Y K Pang, Chairman

31stΒ July 2008

Group Results

Β 

Β 

Β 

Β 

Six months ended 30thΒ June

Β 

Β 

Β 

Β 

2008

2007

Change

2008

Change

Β 

Β 

Β 

Β 

US$m

US$m

%

S$m

%

Revenue

0.7

133.9

- 99

1.0

- 100

Profit before tax

8.2

2.9

180

11.3

151

Underlying profit attributable to shareholders *

8.2

2.4

242

11.3

205

Profit attributable to shareholders

8.2

3.2

157

11.3

131

Β 

Β 

Β 

Β 

USΒ’

USΒ’

Β 

SΒ’

Β 

Underlying earnings per shareΒ 

2.22

0.65

242

3.04

207

Earnings per shareΒ 

Β 

Β 

2.22

0.86

158

3.04

130

Β 

At 30.6.2008

At 31.12.2007

Change

At 30.6.2008

Change

Β 

US$m

US$m

%

S$m

%

Shareholders' funds

536.0

524.2

2

730.1

-4

Β 

US$

US$

S$

Β 

Net asset value per share

Β 

1.45

1.42

2

1.97

-4

The exchange rate of US$1=S$1.36 (31.12.2007: US$1=S$1.44) was used for translating assets and liabilities at the balance sheet date and average monthly transaction rates of US$1=S$1.38 (2007: US$1=S$1.53) was used for translating the results for the financial period.

The financial results for the six months ended 30thΒ June 2008 and 30thΒ June 2007 have been prepared based on the International Financial Reporting Standards ("IFRS"). These financial results have not been audited or reviewed by the Auditors.

* The basis for calculating underlying profit and earnings is set out in Note 4 of this report.

CHAIRMAN'S STATEMENT

Overview

Inflationary pressures and difficulties in the international finance sector are affecting sentiment in the residential property market inΒ Singapore. Sales activity has fallen as property launches are deferred and buyers remain cautious. Some 1,525 new residential units were sold in the second quarter of 2008, double the number sold in the first quarter, but the total of 2,287 units sold in the first half of 2008 is well down from the 9,912 units sold in the same period last year. Prices of residential properties rose marginally by 0.2% in the second quarter, bringing to 3.9% the growth for the first six months of 2008 compared with an increase of 13.5% in the first half of 2007.

Group Performance

The Group recorded revenue of US$0.7 million in the first half of 2008, being primarily rental income from investment properties. This compares with revenue of US$133.9 million for the same period in 2007 mainly in relation to the completion of The Metz. The Group's underlying profit for first half of 2008 was US$8.2 million, which is mainly attributable to the completion in March of The Grange, the Group's joint venture project in Singapore, a write-back of provision of US$2.7 million and the sales of the remaining twelve shops at the Kuala Lumpur Suburban Centre ("KLSC"), the Group's joint venture project in Malaysia. The underlying profit for the first half of 2007 was US$2.4 million, which included a gain of US$3.7 million arising from the completion of KLSC and the write-back of provision of US$0.8 million.

The Group's profit attributable to shareholders for the first half of 2008 was also US$8.2 million, compared with US$3.2 million in the first half of 2007, which included a US$0.8 million fair value gain of an investment property.

Shareholders' funds were US$536 million at the end of June 2008, 2% higher than the US$524 million at 31stΒ December 2007 following the payment of a one-tier first and final dividend. The Group's net debt at 30thΒ June was US$343 million, having increased from US$244 million at the prior year end after the payment of US$154.7 million for the purchase of Yishun Avenue 1 partially offset by the receipt of progress billings of US$52.8 million from development projects. Net gearing was 64% at 30thΒ June 2008, compared with 47% atΒ the end of 2007.

Dividend

The Board is not recommending the payment of an interim dividend for the first half of 2008 (2007: nil).

PropertiesΒ 

Construction work on the Group's development projects is progressing well. The Grange obtained its Temporary Occupation Permit in March 2008. Mera Springs and The Esta are expected to complete in the third and fourth quarters of 2008 respectively.

No new development projects were launched inΒ SingaporeΒ during the period under review. All projects previously launched are fully pre-sold, with the exception of two units at Hillcrest Villa.

The Group's joint ventures inΒ MalaysiaΒ made good progress in the sales of their developments. The 300 shop units at Kuala Lumpur Suburban Centre are now fully sold. The launch of the 391-unit condominium development, Riana Green Phase 1, received a good response with over 74% of the units sold. Progress continued with the sales at the joint ventureΒ development in Seremban with 116 of the 270 terrace houses, bungalows, bungalow lotsΒ and shop officesΒ sold by the end of June 2008.

Construction of Wangsa Walk, a retail mall development by the Group's joint venture company, MSL, is progressing well. The development has an estimated net lettable area of 275,000 sq. ft and will be held for investment by the joint venture upon its completion in the first half of 2009.Β 

Acquisitions

The Group's acquisitions of Nim Park at Nim Road for US$54.8 million and the 99-year leasehold land parcel in Yishun Avenue 1 for US$154.7 million completed in January and June 2008 respectively. The Group's purchase of Casa Nassau atΒ Upper East Coast RoadΒ for US$29.7Β million was approved by the Strata Titles Board in April 2008 and completed in July 2008.

Prospects

The current uncertain economic conditions have led to a slowdown in the residential property market inΒ Singapore. Medium to longer-term prospects however, remain positive. The completions of Mera Springs and The Esta inΒ SingaporeΒ in the second half of the year should benefitΒ MCLΒ Land's overall performance in 2008.Β 

Y K Pang

Chairman

31stΒ July 2008

Statement pursuant to Rule 705(4) of the Listing Manual

The directors confirm that, to the best of their knowledge, nothing has come to the attention of the BoardΒ 

of Directors which may render the accompanying unaudited financial results for the six months ended 30thΒ 

June 2008 to be false or misleading in any material respect.

On behalf of the Directors

Y K Pang

Chairman

Hassan Abas

Director

31stΒ July 2008

MCL Land Limited

Consolidated Profit and Loss Account

Three months ended

Six months ended

30.6.2008Β 

30.6.2007Β 

Change

30.6.2008Β 

30.6.2007Β 

Change

Note

Β US$'000Β 

Β US$'000Β 

%

Β US$'000Β 

Β US$'000Β 

%

Revenue

353Β 

133,471Β 

Β Β 

-100

718Β 

133,864Β 

- 99

Cost of sales

-Β 

(133,068)

Β Β 

-100

-Β 

(133,068)

- 100Β 

Β 

Β 

Β 

Β 

Gross profitΒ 

353Β 

403Β 

Β 

-12

718Β 

796Β 

- 10Β 

Other operating income

3,108Β 

515Β 

n/m

3,618Β 

2,820Β 

28

Property related expenses

13Β 

(205)

n/m

(164)

(437)

- 62Β 

Administrative expenses

(1,116)

Β (987)

13

(1,631)

(1,407)

16

Marketing expenses

(365)

(445)

Β 

-18

(365)

(1,457)

- 75

Share of joint ventures' results

1,131Β 

2,987Β 

-62

6,072Β 

2,632Β 

131

Β 

Β 

Β 

Β 

Profit before tax

2

3,124Β 

2,268Β 

38

8,248Β 

2,947Β 

180

Tax

3

60Β 

(65)

n/m

(50)

242Β 

n/m

Β 

Β 

Β 

Β 

Profit after tax attributable to shareholders

3,184Β 

2,203Β 

45

8,198Β 

3,189Β 

157

Β 

Β 

Β 

USΒ’

USΒ’

Β 

Β 

%

Β 

Β USΒ’Β 

Β 

USΒ’

Β 

%Β 

Β 

Earnings per share ("EPS")

- basic and diluted*

4

0.86Β 

0.60Β 

43

2.22

0.86

158

Β 

Β 

Β 

Β 

Β 

Β 

Β 

Β 

Β 

Β 

Β 

Β 

Β 

Β 

Β 

n/m = not meaningful

*

Diluted EPS is the same as basic EPS, as there were no outstanding share options.

Β Β 

MCL Land Limited

Consolidated Balance Sheet

Β AtΒ 

AtΒ 

Β 30.6.2008Β 

31.12.2007Β 

Note

Β US$'000Β 

US$'000Β 

Non-current assetsΒ 1

Plant and equipmentΒ 

294Β 

354Β 

Investment properties

18,067Β 

17,675Β 

Investments in joint ventures

38,742Β 

30,743Β 

Deferred tax assets

406Β 

319Β 

57,509Β 

49,091Β 

Current assetsΒ 2

Development properties for sale

1,092,484Β 

761,363Β 

Amounts owing by joint ventures

67,391Β 

100,763Β 

Debtors and prepayments

32,595Β 

169,953Β 

Bank balances

65,118Β 

78,419Β 

1,257,588Β 

1,110,498Β 

Β 

Β 

Total assets

1,315,097Β 

1,159,589Β 

Non-current liabilitiesΒ 3

Borrowings

5

364,559Β 

227,863Β 

Deferred tax liabilities

794Β 

958Β 

Retention money payableΒ 

8,835Β 

6,337Β 

374,188Β 

235,158Β 

Current liabilities

Borrowings

5

44,053Β 

94,760Β 

Amounts owing to joint ventures

485Β 

139Β 

Creditors

350,979Β 

290,385Β 

Current tax liabilities

9,362Β 

14,974Β 

404,879Β 

400,258Β 

Β 

Total liabilities

779,067Β 

635,416Β 

Net assets

536,030Β 

524,173Β 

Equity:

Share capital and reserves

Share capital

276,657Β 

276,657Β 

Translation reserve

135,978Β 

105,228Β 

Retained earnings

123,395Β 

142,288Β 

Shareholders' funds

536,030Β 

524,173Β 

Net asset value per share

Β US$1.45Β 

Β US$1.42Β 

Explanatory notes on material variances:

1

The increase in non-current assets at 30.6.2008 as compared to 31.12.2007 is mainly due to the strengthening of S$ against US$ and profit contribution from the Group's joint ventures.

2

The increase in current assets is mainly due to the new acquisitions of land atΒ Yishun AvenueΒ 1 andΒ NimΒ Park, partially offset by repayment of advances from the Group's joint venturesΒ and progress billings collected from the completed project, The Calrose.

3

The higher non-current liabilities at 30.6.2008 as compared to 31.12.2007 arose mainly from long-term loans drawn down during the period to finance the land purchases.

MCL Land Limited

Consolidated Statement of Changes in Equity for the three months ended 30 June

Β 

Β Attributable to shareholdersΒ 

Β ShareΒ 

Β TranslationΒ 

Β RetainedΒ 

Β TotalΒ 

Β capitalΒ 

Β reserveΒ 

Β earningsΒ 

Β equityΒ 

Β US$'000Β 

Β US$'000Β 

Β US$'000Β 

Β US$'000Β 

2008

Balance at 1 April

276,657Β 

129,364Β 

147,302Β 

553,323Β 

Β 

Β 

Β 

Β 

Net gain recognised directly in equity - translation difference

-Β 

6,614Β 

-Β 

6,614Β 

Β 

Β 

Profit for the financial period

-Β 

-Β 

Β 3,184Β 

3,184Β 

Β 

Β 

Β 

Β 

Total recognised gain for the financial period

-Β 

6,614Β 

3,184Β 

9,798Β 

Dividend

-Β 

-Β 

(27,091)

(27,091)

Balance at 30 June

276,657Β 

135,978Β 

123,395Β 

536,030Β 

Β 

Β 

Β 

Β 

2007

Balance at 1 April

276,657Β 

Β 83,094Β 

96,140Β 

455,891Β 

Β 

Β 

Β 

Net loss recognised directly in equity - translation difference

-Β 

Β (4,128)

-Β 

Β (4,128)

Β 

Β 

Profit for the financial period

-Β 

-Β 

2,203Β 

Β 2,203Β 

Β 

Β 

Β 

Β 

Total recognised gain/(loss) for the financial period

-Β 

(4,128)

2,203Β 

(1,925)

Dividend

-Β 

-Β 

(14,757)

Β (14,757)

Balance at 30 June

276,657Β 

78,966Β 

83,586Β 

Β 439,209Β 

MCL Land Limited

Consolidated Statement of Changes in Equity for the six months ended 30 June

Β 

Β 

Β Attributable to shareholdersΒ 

Β ShareΒ 

Β TranslationΒ 

Β RetainedΒ 

Β TotalΒ 

Β capitalΒ 

Β reserveΒ 

Β earningsΒ 

Β equityΒ 

Β US$'000Β 

Β US$'000Β 

Β US$'000Β 

US$'000Β 

2008

Balance at 1 January

276,657Β 

105,228Β 

142,288Β 

524,173Β 

Β 

Β 

Β 

Β 

Net gain recognised directly in equity - translation difference

-Β 

30,750Β 

-Β 

30,750Β 

Β 

Β 

Profit for the financial period

-Β 

-Β 

8,198Β 

Β 8,198Β 

Β 

Β 

Β 

Β 

Total recognised gain for the financial period

-Β 

30,750Β 

8,198Β 

38,948Β 

Dividend

-Β 

-Β 

(27,091)

(27,091)

Balance at 30 June

276,657Β 

135,978Β 

123,395Β 

536,030Β 

Β 

Β 

Β 

Β 

2007

Balance at 1 January

276,657Β 

77,370Β 

95,154Β 

449,181Β 

Net gain recognised directly in equity - translation difference

-Β 

1,596Β 

-Β 

1,596Β 

Β 

Β 

Profit for the financial period

-Β 

-Β 

3,189Β 

3,189Β 

Β 

Β 

Β 

Β 

Total recognised gain for the financial period

-Β 

1,596Β 

3,189Β 

4,785Β 

Dividend

-Β 

-Β 

(14,757)

(14,757)

Balance at 30 June

276,657Β 

78,966Β 

83,586Β 

439,209Β 

MCL Land Limited

Company Balance Sheet

Β AtΒ 

AtΒ 

Β 30.6.2008Β 

31.12.2007Β 

Β US$'000Β 

US$'000Β 

Non-current assets

Plant and equipment

254Β 

304Β 

Interests in subsidiaries

110,598Β 

103,650Β 

Investments in joint ventures

29,343Β 

27,684Β 

140,195Β 

131,638Β 

Current assets

Amounts owing by subsidiaries

496,734Β 

460,975Β 

Amounts owing by joint ventures

67,391Β 

99,558Β 

Debtors and prepayments

206Β 

201Β 

Bank balances

2,580Β 

3,029Β 

566,911Β 

563,763Β 

Total assets

707,106Β 

695,401Β 

Non-current liability

Borrowings

47,724Β 

45,025Β 

Current liabilities

Borrowings

44,054Β 

94,760Β 

Amounts owing to subsidiaries

150,485Β 

93,128Β 

Amounts owing to joint ventures

484Β 

139Β 

Creditors

3,994Β 

5,101Β 

Current tax liabilities

2,413Β 

2,276Β 

201,430Β 

195,404Β 

Total liabilities

249,154Β 

240,429Β 

Β 

Β 

Net assets

457,952Β 

454,972Β 

Equity:

Share capital and reserves

Share capital

276,657Β 

276,657Β 

Translation reserve

120,545Β 

93,361Β 

Retained earnings

60,750Β 

84,954Β 

Shareholders' funds

457,952Β 

454,972Β 

Net asset value per share

US$1.24Β 

Β US$1.23Β 

MCL Land Limited

Company Statement of Changes in Equity for the three months ended 30 June

Β 

Β 

Β ShareΒ 

TranslationΒ 

Β RetainedΒ 

Β TotalΒ 

Β capitalΒ 

Β reserveΒ 

Β earningsΒ 

Β equityΒ 

US$'000Β 

Β US$'000Β 

Β US$'000Β 

Β US$'000Β 

2008

Balance at 1 April

276,657Β 

114,402Β 

84,610Β 

475,669Β 

Β 

Β 

Β 

Β 

Net gain recognised directly in equity - translation difference

-Β 

6,143Β 

-Β 

6,143Β 

Β 

Β 

Profit for the financial period

-Β 

-Β 

3,231Β 

3,231Β 

Β 

Β 

Β 

Β 

Total recognised gain for the financial period

-Β 

6,143Β 

3,231Β 

9,374Β 

Dividend

-Β 

-Β 

(27,091)

(27,091)

Balance at 30 June

276,657Β 

120,545Β 

60,750Β 

457,952Β 

Β 

Β 

Β 

Β 

2007

Balance at 1 April

276,657Β 

72,233Β 

85,687Β 

434,577Β 

Net loss recognised directly in equity - translation difference

-Β 

(4,218)

-Β 

(4,218)

Β 

Β 

Loss for the financial period

-Β 

-Β 

(1,195)

Β (1,195)

Β 

Β 

Β 

Β 

Total recognised loss for the financial period

-Β 

Β (4,218)

(1,195)

(5,413)

Dividend

-Β 

-Β 

(14,757)

(14,757)

Balance at 30 June

276,657Β 

68,015Β 

69,735Β 

414,407Β 

MCL Land Limited

Company Statement of Changes in Equity for the six months ended 30 June

Β 

Β 

Β ShareΒ 

Β TranslationΒ 

Β RetainedΒ 

Β TotalΒ 

Β capitalΒ 

Β reserveΒ 

Β earningsΒ 

Β equityΒ 

US$'000Β 

Β US$'000Β 

Β US$'000Β 

Β US$'000Β 

2008

Balance at 1 January

276,657Β 

93,361Β 

84,954Β 

454,972Β 

Β 

Β 

Β 

Β 

Net gain recognised directly in equity - translation difference

-Β 

27,184Β 

-Β 

27,184Β 

Β 

Β 

Profit for the financial period

-Β 

-Β 

2,887Β 

2,887Β 

Β 

Β 

Β 

Β 

Total recognised gain for the financial period

-Β 

27,184Β 

2,887Β 

30,071Β 

Dividend

-Β 

-Β 

(27,091)

(27,091)

Balance at 30 June

276,657Β 

120,545Β 

60,750Β 

457,952Β 

Β 

Β 

Β 

Β 

2007

Balance at 1 January

276,657Β 

67,077Β 

84,744Β 

428,478Β 

Net gain recognised directly in equity - translation difference

-Β 

938Β 

-Β 

938Β 

Β 

Β 

Loss for the financial period

-Β 

-Β 

(252)

(252)

Β 

Β 

Β 

Β 

Total recognised gain/(loss) for the financial period

-Β 

938Β 

(252)

686Β 

Dividend

-Β 

-Β 

(14,757)

(14,757)

Balance at 30 June

276,657Β 

68,015Β 

69,735Β 

414,407Β 

MCL Land Limited

Consolidated Statement of Cash Flows

Three months ended

Six months ended

Β 30.6.2008Β 

30.6.2007Β 

30.6.2008

30.6.2007

Β US$'000Β 

US$'000Β 

US$'000Β 

US$'000Β 

Profit before tax

3,124Β 

2,268Β 

8,248Β 

2,947Β 

Non-cash items

Β 

Interest income

(387)

Β 

(386)

(810)

(748)

Share of joint ventures' results

(1,131)

Β 

(2,987)

(6,072)

(2,632)

Depreciation

43Β 

Β 

78Β 

86Β 

155Β 

Fair value gain for an investment property

-Β 

Β 

-Β 

Β -Β 

(1,100)

Unrealised translation (gain)/ loss

(10)

Β 

1Β 

(9)

2Β 

Profit on disposal of plant and equipmentΒ 

-Β 

Β 

-Β 

-Β 

(2)

(1,485)

(3,294)

(6,805)

(4,325)

Operating profit/(loss) before working capital changes

1,639Β 

(1,026)

1,443Β 

(1,378)

Changes in working capital

Β 

Development properties for sale

(191,864)

Β 

96,201Β 

(277,828)

39,667Β 

Amounts owing by joint ventures

39,364Β 

Β 

(109)

39,696Β 

(223)

Debtors and prepayments

30,253Β 

Β 

(25,349)

144,213Β 

(36,501)

Creditors

26,732Β 

Β 

8,077Β 

44,880Β 

66,265Β 

Β (95,515)

78,820Β 

(49,039)

69,208Β 

Cash flows generated from/(used in) operations

(93,876)

77,794Β 

(47,596)

67,830Β 

Β 

Interest paid

(2,327)

Β 

(2,798)

(4,433)

(6,533)

Interest received

374Β 

Β 

685Β 

846Β 

954Β 

Income tax paid

(6,759)

Β 

(1,243)

Β (6,799)

(2,000)

(8,712)

(3,356)

(10,386)

(7,579)

Net cash flows generated from/(used in) operating activitiesΒ 4

(102,588)

74,438Β 

(57,982)

60,251Β 

Cash flows from investing activities

Β 

Β 

Purchase of plant and equipment

Β -Β 

Β 

Β (3)

Β (10)

(27)

Net proceeds from sale of plant and equipment

Β -Β 

Β 

-Β 

-Β 

2Β 

Net cash flows used in investing activitiesΒ 

Β -Β 

Β (3)

Β (10)

Β (25)

Cash flows from financing activities

Β 

Β 

Drawdown of loans

148,605Β 

Β 

22,040Β 

206,868Β 

55,165Β 

Repayment of loans

(46,136)

Β 

(43,579)

(140,479)

(55,766)

Dividend paid

(27,091)

(14,757)

(27,091)

(14,757)

Net cash flows provided by/(used in) financing activitiesΒ 5

75,378Β 

(36,296)

39,298Β 

(15,358)

Β 

Β 

Net change in cash and cash equivalents

(27,210)

38,139Β 

(18,694)

44,868Β 

Cash and cash equivalents at the beginning of the financial period

91,280Β 

56,105Β 

78,419Β 

48,801Β 

Effect of exchange rate changes

1,048Β 

Β (655)

5,393Β 

(80)

Cash and cash equivalents at the end of the financial period

65,118Β 

93,589Β 

65,118Β 

Β 93,589Β 

Explanatory notes on material variances:

4

The net cash used in operating activities for the six months ended 30 June 2008 relates mainly to the new acquisitions of land at Yishun Avenue 1 and Nim Park, partially offset by progress billing collected and repayment of advances from joint ventures.

5

The net cash flows provided by financing activities for the six months ended 30 June 2008 relates to the higher long-term loans drawn down to finance the land purchase, partially offset by dividend paid on 27 May 2008.

MCL Land LimitedΒ 

NotesΒ 

1

Accounting policies and basis of preparation

TheΒ financial statements contained in this announcement are consistent with those set out in the 2007 audited accounts which have been prepared in conformity with International Financial Reporting Standards ("IFRS"), including International Accounting Standards ("IAS") and interpretations adopted by the International Accounting Standards Board.

There have been no changes to the accounting policies set out in the 2007 audited accounts except for the adoption of the following interpretations which are relevant to its operations:

IFRIC 11

Group Treasury Share Transactions

IFRIC 14

The Limit on a Defined Benefit Asset, Minimum Funding RequirementsΒ and their Interaction

The adoption of the above interpretations did not have a material impact on the results of the Group.

2

Profit

Group

Three months ended

Six months ended

Β 30.6.2008Β 

30.6.2007Β 

Change

30.6.2008

30.6.2007

Change

Β US$'000Β 

Β US$'000Β 

%

Β US$'000Β 

Β US$'000Β 

%

Profit before tax is determined after including:

Fair value gain for an investment property

-Β 

-Β 

Β -Β 

-Β 

1,100Β 

- 100

Net exchange gain/(loss)

(2)

2Β 

n/m

12Β 

3Β 

300

Rental income

353Β 

382Β 

- 8

718Β 

753Β 

- 5

Interest income

387Β 

386Β 

Β -Β 

810Β 

748Β 

8

Depreciation on plant and equipment

(43)

(78)

- 45

(86)

(155)

- 45

Profit on disposal of plant and equipment

-Β 

-Β 

Β -Β 

-Β 

2Β 

- 100

n/m = not meaningful

3

Tax

The provision for income tax is based on the statutory tax rates prevailing in the respective countries in which Group companies operate after taking into account expenses which are not tax deductible, income not subject to tax and Group tax relief.Β 

4

Earnings per share *

Group

Three months ended

Six months ended

Β 30.6.2008Β 

Β 30.6.2007Β 

30.6.2008

30.6.2007

Basic earnings per share*

Profit attributable to shareholders (US$'000)

3,184Β 

2,203Β 

8,198Β 

3,189Β 

Weighted average number of ordinary shares in issue ('000)

369,986Β 

369,986Β 

369,986Β 

369,986Β 

Basic earnings per share (USΒ’)

0.86Β 

0.60Β 

2.22Β 

0.86Β 

Underlying earnings per share

Underlying profit attributable to shareholders (US$'000)

3,184Β 

2,203Β 

8,198Β 

2,397Β 

Basic underlying earnings per share (USΒ’)

0.86Β 

0.60Β 

2.22Β 

0.65Β 

A reconciliation of the underlying profit and profit attributable to shareholders is as follows:

Group

Three months ended

Six months ended

Β 30.6.2008Β 

Β 30.6.2007Β 

30.6.2008

30.6.2007

Β US$'000Β 

Β US$'000Β 

Β US$'000Β 

Β US$'000Β 

Profit attributable to shareholders

3,184Β 

2,203Β 

8,198Β 

3,189Β 

Fair value gain of an investment property (net of tax)

Β -Β 

-Β 

-Β 

Β (792)

Underlying profit attributable to shareholders

3,184Β 

2,203Β 

8,198Β 

2,397Β 

* Diluted EPS is the same as basic EPS, as there were no outstanding share options.

5

Group borrowings

Group

Β AtΒ 

Β AtΒ 

Β 30.6.2008Β 

Β 31.12.2007Β 

Β US$'000Β 

Β US$'000Β 

Borrowings due within one year

Β - unsecuredΒ 

44,053Β 

94,760Β 

Borrowings due after one year

Β - unsecuredΒ 

47,724Β 

45,025Β 

Β - securedΒ 

316,835Β 

182,838Β 

364,559Β 

227,863Β 

408,612Β 

322,623Β 

Certain subsidiaries of the Company have mortgaged their development properties as security for bank loans. The net book value of properties mortgaged as at 30 June 2008 was US$543.9 million (31 December 2007: US$325.8 million).

6

Interested person transactions

Aggregate value of all interested person transactions (excluding transactions less than S$100,000 and transactions conducted under the shareholders' mandate pursuant to Rule 920)

Aggregate value of interested person transactions conducted under shareholders' mandate pursuant to Rule 920 (excluding transactions less than S$100,000)

Name of interested person

US$'000

US$'000

Three months ended 30 June 2008

Hongkong Land Limited

Β - Management consultancy fee

20

-

Six months ended 30 June 2008

Hongkong Land Limited

Β - Management consultancy fee

51

-

Β 

Β 

Β 

Β 

7

Issue of shares

There have been no changes in the issued share capital of the Company since 31 December 2007.

There are no outstanding convertibles issued or treasury shares held by the Company as at 30 June 2008.

The total number of issued share capital (excluding treasury shares) as at 30 June 2008 and 31 December 2007 was 369,985,977.Β 

8

Others

The results do not include any pre-acquisition profits and have not been affected by any item, transaction orΒ 

event of a material and unusual nature. No significant transaction or event has occurred between 30 June 2008 and the date of this report.

- end -

For further information, please contact:

MCL Land Limited

Steve Chu

Full text of the Financial Statements and Dividend Announcement for the six months ended 30 June 2008Β 

can be accessed through the internet at www.mclland.com.sg.

This information is provided by RNS
The company news service from the London Stock Exchange
Β 
END
Β 
Β 
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