New World earnings slide as sales dry up
Updated at 5.29pm: A lack of completed residential projects cut New World Development's underlying profit 36 per cent for the six months to December.
The developer's property sales dropped 83 per cent year on year to HK$693 million for its financial first-half. The sales drop pushed New World Development's underlying profit down to HK$755.5 million from HK$1.18 billion in the second half of 2005.
The developer said turnover fell 19 per cent to HK$10.72 billion in the six months to December, while net profit dropped 35 per cent to HK$1.36 billion.
New World did not launch any new residential project during the period under review but sold remaining units from four residential projects in Hong Kong.
Deep Water Grove at Lau Fau Shan, its new residential project, was launched in January this year. The developer plans to launch six more residential projects this year, including the Hanoi Road redevelopment project in Tsim Shai Tsui.
New World Development declared an interim dividend of 15 HK cents per share, up 15 per cent from a year earlier.
