[SINGAPORE] Real estate agency PropNex reported a record net profit of S$42.3 million for its first half-year ended Jun 30, more than double from the year-ago period.
The 122.4 per cent rise from S$19 million in the first half of 2024 comes as its revenue jumped 73.3 per cent to S$598.9 million from S$345.6 million in the previous corresponding period, based on the company’s financial results released on Tuesday (Aug 12).
PropNex said the stellar performance was driven by a 7 per cent increase in sales and leasing transactions.
The number of new units sold in Singapore in the first half more than doubled to 4,587 units from 1,889 units previously. Resale private homes transacted rose 11.1 per cent to 7,212 units. However, resale HDB flats clocked in 5 per cent lower at 13,692 units, down from 14,420.
Earnings per share stood at S$0.0571, up from S$0.0257 previously.
The company declared an interim dividend of S$0.05 per share, the highest in its history. Interim dividend for the previous comparative period was S$0.0225 per share. The latest payout ratio is 87.6 per cent of net attributable profit with a 4.6 per cent dividend yield based on the counter’s share price as at June 30, 2025, PropNex said.
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Optimistic outlook
PropNex said it remains “optimistic” about private home sales as there is a gradual recovery in market sentiment. This follows the uncertainty in the market after US President Donald Trump announced his so-called “Liberation Day” tariffs in April.
“While downside risks persist, the sensitive pricing of homes, moderation in mortgage rates, potential wealth effect from the stock market rebound, and the still tight labour market may boost private housing demand,” said PropNex in a statement.
The property group added that improved participation from developers in recent government land sales tenders also reflected their continued confidence in the market.
The group forecast a 3 to 4 per cent rise in private home prices in 2025 on the back of “resilient” demand, healthy household balance sheets, easing interest rates, and “attractive” new launches.
For the full year, it expects Singapore developer sales of 8,000 to 9,000 units, excluding executive condominiums, while private resale volume is expected to come in at 14,000 to 15,000 units.
PropNex said that resale volume for HDB flats is forecast at 27,000 to 28,000 flats, with 4 to 5 per cent gains in the second half of the year due to the stricter loan-to-value limit of 75 per cent for HDB loans, affordability concerns and price resistance from buyers, and new supply from build-to-order and sale of balance flats.
“Buoyed by a record first half and a large, highly driven salesforce, we maintain our optimism about delivering a strong performance for the full year of 2025, barring unforeseen events,” said PropNex CEO Kelvin Fong. “Our playbook continues to focus on investments in technology and training initiatives to boost productivity and support long-term growth.”
Shares of PropNex closed Tuesday 1.9 per cent or S$0.03 higher at S$1.64.
