Second Chance Properties has reported net profit of $4.35 million for 1HFY2024 ended Feb 29, 52.77% lower compared to its net profit of $9.21 million for the previous corresponding period.
In 1HFY2023, the company made a gain of $4.33 million from the disposal of seven investment properties.
Earnings per share for the period came to 0.47 cents, down from 0.99 cents the year prior.
Revenue also fell 10.4% y-o-y to $13.3 million in 1HFY2024. However, adjusted ebitda increased by $1.23 million to $5.27 million in 1HFY2024 from $4.04 million in 1HFY2023 this time last year.
The net cash flow from operating activities was $1.43 million in 1HFY2024.
Cash and cash equivalents as at Feb 29 stood at $0.45 million.
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No dividend has been declared for the period, unchanged from the previous half-year announcement. The company’s management will instead declare a dividend at the end of the financial year with the full year results announcement.
Second Chance is an investment holding company which operates in the retail of gold, jewellery and ready-made garments in Singapore and Malaysia.
The company says its remaining First Lady apparel store in Kuala Lumpur continues to face headwinds amid heightened competition.
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Meanwhile, the gold business will generally depend on the state of the market for the commodity. Second Chance notes the next 12 months will be challenging as macroeconomic conditions remain uncertain.
It notes that a total of $18.3 million from the company's investment portfolio has been divested in the first half of FY2024, with ongoing orderly share disposals as the company complies with SGX listing rule 1020 and downsizes its investment portfolio.
In line with the company’s current strategy, it will continue to look for opportunities to dispose of its remaining investment properties.
Shares in Second Chance closed unchanged at 23 cents on March 27.
