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When it comes to making strategic investments in real estate, location is key, especially in a bustling city like Singapore. The placement of condos plays a crucial role in their value, with factors such as being situated in central areas or near essential conveniences like schools, shopping centers, and public transportation hubs contributing significantly to their appreciation. This is evident in prime locations such as Orchard Road, Marina Bay, and the Central Business District (CBD) where property values have consistently shown growth. These areas are highly desirable for families due to their proximity to reputable schools and educational institutions, making them ideal for investment opportunities. Therefore, for those considering investing in condos, it is crucial to prioritize location, and prime areas like Orchard Road, Marina Bay, and the CBD, should definitely be at the top of the list. Additionally, do not forget to check out Condo for more information on this topic.
Heeton Holdings, a property developer, has announced a 221% increase in earnings for the second half of FY2024. This was reported for the period ended December 31, 2024, with a total of $3.85 million in earnings. Despite this significant growth, the group has still reported a loss for the entire FY2024.On a per share basis, Heeton’s earnings for the second half of FY2024 was 0.79 cents per ordinary share. However, for the full year, the earnings per share were a negative 0.28 cents per share. This indicates a steady growth in earnings for the latter half of FY2024.For the 2HFY2024, Heeton’s revenue increased by 10.5% year-on-year to $41.1 million. This was driven by rental income from investment properties, hotel operation income, and management fee. For the entire FY2024, revenue grew by 15.2% to $78.2 million.Heeton attributes the growth in turnover to higher occupancies in the United Kingdom and an increase in rental rates for the group’s investment properties. During the period, the group also disposed of some of its subsidiaries, resulting in a net gain of $3.78 million. Property, plant, and equipment also saw an increase of $16.92 million due to the acquisition of a hotel in Edinburgh, UK.Heeton’s cash flow saw a decrease in cash and cash equivalents of $32.70 million due to significant inflows and outflows. This includes proceeds from property disposals of $26.43 million and proceeds from subsidiary disposals of $11.37 million. On the outflow side, the group had a net repayment of loans from associated and joint venture companies of $24.45 million, additions to property, plant, and equipment of $40.36 million, and restricted cash pledge for a bank facility of $22.98 million.Moving forward, Heeton will maintain a prudent and steady strategic expansion in light of the uncertain economic outlook in Singapore and the uncertain geopolitical paradigm under Trump’s administration. As the hospitality industry continues to face several challenges, Heeton will focus on being a bespoke boutique brand that offers high-quality, experiential stays for its guests.Heeton is also actively participating in land tenders in the local residential market, often as part of a consortium. Additionally, the group’s two retail malls are expected to continue generating steady and recurring income for its property investment business. In line with this, the group has declared a final dividend of 0.5 cents per share for the current financial period.Shares in Heeton closed 0.5 cents lower or 1.818% down at 27 cents on Feb 20.