UOL (U14) H1 2025 earnings summary

Executive summary

• Revenue rose 22% to $1,549.3 million; operating PATMI increased 45% to $206.6 million and reported PATMI rose 58% to $205.5 million.

• Results benefited from stronger property development and investment profits, lower finance expenses and gains on the PARKROYAL Yangon disposal; net gearing was 0.25x at 30 June 2025.

Financial highlights

• Gross profit rose 16% to $606.6 million, while gross margin eased to 39% from 41% as property development made up a larger share of revenue.

• Profit from operations was $319.2 million, up 30%; reported profit before tax increased 36% to $322.7 million.

• EPS increased to 24.33 cents from 15.43 cents; fair value losses on investment properties were $9.9 million, versus $8.0 million in 1H2024.

• Operating cash flow was $355.9 million versus $51.0 million in 1H2024; cash and cash equivalents were $1.186 billion at period-end.

• Finance expenses fell 12% to $90.7 million; marketing expenses rose 29% to $72.6 million on higher residential and hospitality selling and distribution costs.

Outlook and guidance

• Skye at Holland is targeted for preview in September 2025; the first phase of Jinmao Pu Yuan in Shanghai is targeted for 3Q2025.

• Singapore private residential demand is expected to remain resilient; office and retail markets are expected to remain stable, supported by limited CBD supply and flight-to-quality demand.

• Hospitality faces a challenging outlook, though MICE events may support corporate and leisure demand in 2H25; hotel openings across Asia are planned through 2027.

• Clifford Centre redevelopment is expected to complete in 2028; West Mall’s reopened Bukit Batok Public Library is scheduled for 1H2026.