This was led by an 8.2% decline in revenue from its property developments business to $141.8 million, and a 13.8% drop in its construction business to $60.7 million.
The decrease was partially mitigated by a 5.0% increase in revenue from its hospitality business to $7.1 million, and a 13.0% increase in revenue from its property investments & others segment to $2.9 million.
Cost of sales fell at a slower pace than the decrease in revenue, slipping 2.6% to $176.5 million in 2Q17.
As a result, gross profit in 2Q was 32.0% lower at $36.1 million, compared to $53.1 million a year ago.
Marketing and distribution expenses increased eight-fold to $9.4 million, from $1.2 million a year ago.
This was mainly due to sales commission incurred for Grandeur Park Residences, which was launched in March 2017, as well as marketing expenses incurred for the newly opened Grand Park Kodhipparu island resort in Maldives.
As at end June, cash and cash equivalents stood at $597.9 million.
Looking ahead, the group says it has tendered successfully for a land parcel at Woodleigh Lane in Singapore, which will add some 800 residential units to its inventory available for sales in the second half of 2018.
It adds that it has won a tender in May 2017 for the building works at Bidadari for a contract sum of $110.8 million, which lifts the group’s construction order book to $538.4 million at end June.
Shares of Chip Eng Seng closed 1 cent higher at 74 cents on Friday.
