Ho Bee Land Last:2.09

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Why Ho Bee UP and UP.

Ho Bee Land

Between Sept 7 and 12, CEO and executive director Nicholas Chua acquired 120,000 shares at an average price of S$1.840 per share. With a consideration of S$220,810 this took his direct interest in the pioneer developer from 0.46 per cent to 0.48 per cent.

For its H1FY23 (ended Jun 30), Ho Bee Land recorded a 19 per cent increase in profit from operations, before fair value changes, of S$159.9 million. Despite the strong operating performance, the group recognised a net loss after tax of S$155.7 million for H1FY23, compared to a net profit after tax of S$149.9 million in H1FY22.

This was primarily due to the unrealised fair value loss of S$208.3 million for the London portfolio and the higher interest costs of S$76.3 million in H1FY23 compared to S$33.2 million in H1FY22. Notwithstanding this, the group generated a net positive operating cash flow of S$77.4 million during the period.

Chua noted that the occupancy rate of Ho Bee Land&rsquo s commercial portfolio is above 95 per cent with its Sentosa Cove projects generating S$285 million in sales in the H1FY23.

He added that the group is on track to complete Elementum, its biomedical development at one-north, in Q4FY23, with the building approximately 90 per cent pre-committed and expected to contribute to the group&rsquo s revenue in FY24.

Headquartered in Singapore, Ho Bee Land has property investments and developments in Singapore, Australia, China, the United Kingdom, and Germany.

Chua was appointed CEO and executive director in January 2022. He joined the group in 2002 and held several senior management positions prior to his current appointment.

Over the past 20 years, he has been instrumental in leading the growth of the group&rsquo s development footprint in Australia and China, as well as the investment portfolio in Europe and the UK. As CEO, he is responsible for the development and implementation of the group&rsquo s overall strategies and policies, as well as the management of its development and investment portfolios.

Well well well Ho Bee thought it knew about the property market in London.

How much has The Scalpel gone down in valuation? A whopping 300-350 million !!!!

With the deterioriting commercial property sector in London, invesrors should expect more write down!

Joelton ( Date: 11-Aug-2023 11:06) Posted:

Ho Bee Land posts H1 loss due to hit from London portfolio

REAL estate group Ho Bee Land : H13 -0.5% posted a net loss of S$155.7 million for the six months ended Jun 30, 2023, from a net profit of S$149.9 million over the same period a year earlier.

Revenue fell 12.8 per cent to S$155.5 million over the same period, from S$178.3 million the year before. Loss per share for the period came in at S$0.2345, from earnings per share of S$0.2257 a year earlier.

In a bourse filing on Thursday (Aug 10), Ho Bee Land said this was mostly due to the unrealised fair-value loss of S$208.3 million it recorded for the group&rsquo s London portfolio, as well as higher interest costs.

It noted that the capitalisation rates used for valuation calculations of the London properties had risen to between 4.7 per cent and 8.5 per cent as at Jun 30, from rates of between 4.2 per cent and 7.7 per cent which were adopted as at Dec 31, 2022.

Interest costs also rose to S$76.3 million in the first half of this year, from S$33.2 million over the same period a year ago.

Still, the group noted that it generated net positive operating cash flow of S$77.4 million for the half-year period.

Ho Bee Land chief executive Nicholas Chua said he expects market conditions to remain challenging as rising interest rates and declines in portfolio valuations impact the company negatively.

Nevertheless, he said the group&rsquo s diversified investment and development portfolio should help it counter these headwinds.

For instance, Chua said the group is on track to complete its biomedical development, Elementum, at one-north, in the last quarter of this year. It is about 90 per cent pre-committed and is expected to contribute to the group&rsquo s revenue in FY24.