PropNex reports lower FY2024 earnings but expects significant pick-up for 1HFY2025
The private resale market, meanwhile, is set to continue to be active, with transaction quantities expected to range in between 14,000 and 15,000 units.
HDB resale, the other vital market, will likely see price growth of 5% to 7%, with quantities reaching 29,000 to 30,000 units.
The business describes that the monetary effects of these sales will just be reserved three to 4 months later on, suggesting a considerable pick-up when it reports its current 1HFY2025 numbers.
In spite of the lower earnings for the year, PropNex has actually observed a pick up in events in the final quarter of 2024, led by a surge in new private home units that it helped to sell.
“We prepare for a favorable need for designers’ sales in 2025, featuring an engaging line-up of tasks. Additionally, a positive financial outlook and lower home loan prices might better bolster market confidence, developing opportunities for both property buyers and investors,” he adds.
Still, to note its 25th anniversary, PropNex plans to pay a special dividend of 2.5 cents per share, on top of a final dividend of 3 cents. This will bring its total dividend payment for FY2024 to a record of 7.75 cents, representing a payout ratio of 140.1% and a turnout of 8.2%.
Ismail observes that newly-launched ventures including The Orie, Bagnall Haus, Parktown Residence and ELTA have actually produced strong market attraction.
“In view of this, and assumptions of a good real estate market expectation in 2025, the group is positive of a solid performance in FY2025, preventing unexpected events,” mentions PropNex.
“Less five-year minimum occupation duration flats going into the marketplace, coupled with sustained demand from immediate homebuyers, not successful Build-To-Order applicants, and budget-conscious family members, will certainly continue to sustain this section,” says PropNex.
Singapore’s biggest real estate company PropNex has actually disclosed earnings of $21.9 million for its 2HFY2024 ended Dec 31, 2024, lower 14.9% y-o-y. This takes its full-year revenues to $40.9 million, 14.4% lower compared to the preceding FY2023.
Revenue dipped 6.6% in FY2024 over FY2023, due to the “fairly subdued property market”.
This is underpinned by a determined 13,000 new unit launches (including ECs)– almost double the supply recorded in 2024.
“Demand will be fuelled by the persistent rate gap between new and non-landed resale properties, a choice for larger, move-in-ready homes and the effect of fewer new supply finishes,” claims PropNex.
