Sell-off os associate lifts YGM Trading
THE sale of an associate company of YGM Trading group of companies has boosted its attributable profit by 74.2 per cent for the year to March 31.
The company reported a jump in attributable profit to $161.7 million, compared with $92.8 million for the previous year.
It took $51.7 million in profit from the disposal of Yangtzekiang Garment Manufacturing Co.
Earnings per share on a fully diluted basis increased from 63 cents to $1.05 and directors declared a final dividend of 29 cents per share.
Turnover was $1.8 billion, up from $1.2 billion the previous year despite a gloomy retail outlook.
YGM Trading chairman SK Chan said new shopping centres had increased competition and cut profitability.
He said further profit growth was expected for the apparel group, especially in Taiwan.
An exceptional item lifted Yangtzekiang Garment Manufacturing Co's attributable profit to $18.7 million for the year, up from $11.1 million for the previous year. This was due to profit on sale of its interests in YGM Trading.
Its turnover dipped 17.1 per cent to $652 million during the year.
Yangtzekiang Garment Manufacturing and YGM Trading announced in February last year they were to relinquish share cross-holdings in a $209 million deal.