Operating profit in the hotel investments segment decreased $1.0 million to $0.34 million while operating profit in the property sales segment decreased $1.5 million to $1.5 million.
Revenue shrank 20% on the year to $55.4 million for 3Q19, from $69.7 million in 3Q18 amid lower revenue recognition from the property sales segment due to timing difference.
However, the sales achieved for Cassia Phuket, Laguna Park townhomes and villas and Banyan Tree 3 Beds Pool Villas are expected to be recognised in 4Q19 when construction is completed, the company said.
The drop in revenue for the quarter was also due to lower contribution from the hotel investments segment, as a result of non-consolidation of revenue from Banyan Tree Seychelles after its sale in 2018.
As at Sept 30, the group’s cash and cash equivalents was $102.9 million.
No dividend was declared for the quarter, similar to the same quarter a year ago.
In a separate filing, Banyan Tree also announced that CFO Kuan Chiet has stepped down from his position to return to the group's largest operation situated in Phuket, Thailand.
Kuan, who has been with the group since 1992 in various roles, will head a new property leasing unit as part of the company's business growth.
See had concurrently held the position of CFO before Kuan assumed the role last November. Upon Kuan's cessation, See will continue to oversee Banyan Tree's human resource, risk management, legal and internal audit functions.
As at 4.35pm, shares in Banyan Tree were down 0.5 cent at 42 cents.
