0820 GMT - City Developments is poised for a stronger 2H, Vijay Natarajan, vice president of equity research at RHB Singapore, says in a note. The real-estate company's residential project launches in Singapore have witnessed a healthy take-up, with a total sales value of S$1.2 billion in 1H, compared with S$1.1 billion a year earlier, he says. "As the earnings from residential development projects are progressively recognized upon construction completion, we expect a strong [2H] earnings recognition from some of these unbilled sales," he adds. The hospitality segment, which accounts for around 30% of its portfolio, is also poised for a continued recovery, he says. The company is set to gain from larger-than-expected interest-rate cuts, thanks to its relatively high gearing and low debt hedge position among developers, he says. (amanda.lee@wsj.com)
(END) Dow Jones Newswires
October 15, 2024 04:20 ET (08:20 GMT)
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