Popular Holdings says it posted a net profit of $9.8 million on turnover of $245.6 million for for the half year ended 31 October 2010 (HY2011). In view of the performance for HY2011, the group is declaring an interim dividend of 0.4 cents.
Popular’s retail and distribution business recorded an increase in turnover from $192.0 million in HY2010 to $202.5 million in HY2011, mainly contributed by organic growth.
The 5.5% increase in turnover as well as closure of certain non-profit generating stores boosted the PBT of this division by 63.8% from $4.7 million in HY2010 to $7.7 million in HY2011. A record high turnout at BookFest@Malaysia held in September 2010 also contributed to the stellar performance of this division.
Despite stiff competition in the Hong Kong market, Popular says turnover and profit before tax for the publishing and e-learning division remains stable at $33 million and $6.5 million respectively.
To bring more synergy to the e-Learning business, the group increased its stake in its associated company, Active & Independent Education Limited, in Hong Kong from 25.2% to 51.01%.
In addition, the group invested in 22% shareholdings in Computer Training & Consultancy (ACP) in November.
The property development division achieved revenue of $10.3 million from the sale of 3 units in the group’s second project "18 Shelford” in HY2011. For the same period last year, the group recognised $41.4 million sales revenue and $7.7 million in profit before tax from the group’s maiden project One Robin.
The group’s third project, 8 Raja, was launched in October 2010 and construction is expected to commence in early 2011.
