Keppel Corp’s net income slipped 21% in Q3 as property revenues plummet

Property sales slowed in both Singapore and China.

Keppel Corp’s Q3 net income was dragged by its extremely weak property segment. The group’s adjusted net income for the third quarter stood at $320m, representing a 21% year-on-year decline.

According to Barclays, Keppel’s results were adversely impacted by a 59% year-on-year decline in revenue from its property segment.

The weak revenues were caused by a sales slowdown in both Singapore and China, though the segment’s per-tax profit was partially offset by divestment gains from the disposals of Equity Plaza and Prudential Tower. 

However, its offshore and marine segment continued its remarkable performance. Offshore and marine revenue rose to 43% year-on-year in Q3.

The company secured S$471m of new orders in 3Q14, bringing the total orders won in YTD to S$3.2b.