Noel Gifts International reported earnings of $13.3 million for the FY2024 ended June 30, 59.3 times higher than the earnings of $225,000 in the FY2023.
The surge was attributed to the disposal of its units at 50 Playfair Road. The disposal was completed on April 2, resulting in profit from discontinued operation, net of tax, of $14.2 million in the current financial year, up from $307,000 in the year before. The group netted proceeds of $30.8 million from the sale of the units and a gain on disposal of $16.1 million was recognised for the FY2024.
Revenue for the full year fell by 7.4% y-o-y to $16.7 million while gross profit fell by 4.1% y-o-y to $8.2 million. The group’s gross profit margin (GPM), however, improved to 49.2% from 47.5% last year.
In its financial results statement on Aug 28, Noel Gifts says the operating environment for its gifts business remains “challenging” on the back of declining demand and increasing costs. As such, the group is looking at and implementing various strategies to address these challenges.
In addition, it intends to explore opportunities within the property sector and other sectors to generate income streams.
A first and final dividend of 2.6 cents, as well as a special dividend of 9.4 cents per share was declared for the period. In comparison, the group declared a special dividend of 0.6 cents per share last year.
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Shares in Noel Gifts closed 0.5 cents lower or 1.43% down at 34.5 cents on Aug 28.
