LHN (41O) H2 2024 earnings summary

Executive summary

• FY2024 revenue rose 29.2% YoY to S$121.0m; profit attributable to shareholders increased 23.8% to S$47.3m.

• Singapore co-living led growth; Facilities Management and Energy revenue also increased.

Financial highlights

• Gross profit rose 20.0% to S$62.2m; gross margin declined to 51.4% from 55.4%.

• Profit attributable to shareholders from continuing operations was S$47.3m, versus S$18.5m; total attributable profit was S$47.3m, up 23.8% from S$38.2m.

• Profit before tax from continuing and discontinued operations increased 16.1% to S$51.4m.

• FY2024 total DPS was 3.0 Singapore cents, including proposed final and special dividends of 1.0 cent each, subject to shareholder approval.

Outlook and guidance

• Targeting at least 800 new co-living rooms annually through master leases or selective acquisitions; exploring capital recycling and an asset-light AUM model.

• FY2025 launches at 48 and 50 Arab Street, GSM Building and 260 Upper Bukit Timah Road are expected to add over 250 keys.

• Pipeline includes 416 estimated keys across four projects, with expected operating dates from 2QFY2025 to 1QFY2027.

• Portfolio totalled 2,895 keys at 30 Sep 2024; 416 were under renovation, most expected to be ready by FY2025.

• Facilities Management plans technology investment and external contract growth; Energy expects further solar and EV charging projects.