The data certainly looks grim for SPH share price. 1HFY2019 results revealed that despite aggressive efforts to revive its fortune, SPH revenue and net profits continued to free fell like no tomorrow. This is indeed puzzling because the dismal financial performance came on the back of various recent acquisitions aimed at stimulating growth.
Figtree Grove (85% stake) Shopping Centre in Australia was acquired in December 2018 for A$175million. Then M1 was delisted following the successful acquisition of all the remaining shares from the open market through SPH joint venture with Keppel, Konnectivity. UK Student accommodation portfolio added 380 beds with 2 new acquisitions for $369million. Yet despite all these moves, revenue continued to slide, rupturing the form of SPH share price in the process.
It is certainly mind-blowing to note that total revenue for 1HFY2019 decreased 5.2% while net profit collapsed 32% to