Top and bottom in line. Roxy’s top line grew 78.1% YoY from S$19.6m in 3Q07 to S$34.9m in 3Q08. As expected, this is mainly due to progressive recognition of 5 of its development projects namely The Montage, St Patrick’s Loft, Axis@Siglap, The Marque@Irrawaddy and The Medley. Total revenue from Property Development rose 133% to S$22.1m while that of Hotel Ownership and Property Investment increased by about 27% YoY to S$12.9m.

Management outlook

1. Expect property buyers to be generally cautious in view of current market
sentiments;
2. Expect the 6 launched projects together with current 5 ongoing projects
to contribute significantly to Roxy’s revenue and profits from 4Q08 to FY10;
3. Target to launch another 2 more projects located along Bhamo Road and
off Balestier Road by 2Q09;
4. Expect the outlook for hotel sector to remain challenging in the months
ahead;
5. Remain cautiously optimistic on profit outlook for remainder of FY08.

Target Price S$0.29