Retail and property firm Metro said on Thursday (26 May) that its fourth quarter net profit fell 85% as falling sales and currency volatility weighed., sending its shares down.
The net profit for the quarter was S$1.1mn, down 84.9% from S$7.6mn during the same period a year ago.
Metro Holdings shares dropped to $1.055, down 3.2% on the day, from its previous close of $1.090 as at 9:30 AM in Singapore.
The release from Metro showed that its revenue fell 21.9% to S$32.6mn in Q4, compared with S$41.7mn a year ago. Other income, including interest income, was down 71.9% to S$2.7mn, mainly due to currency fluctuations.
The full-year net profit fell 20.4% to S$113.3mn from previous year's S$142.4mn.
Metro said its retail sales was hit by a softer market and the closure of outlets in Sengkang and City Square. A makeover going on since May last year has affected sales at its Centrepoint outlet.
The company said the outlook for retail remains challenging, especially with the competitiveness of the industry, discounted trading environment and high operating costs in Singapore.
"We have 'right-sized' our retail stores in Singapore. We continue to focus on providing shoppers with a refreshed experience through a wide and good variety of quality merchandise and by offering innovative and new marketing platforms," Metro chairman Lt Gen (Rtd) Winston Choo said.
The company declared a final dividend of S$0.02 and a special dividend of S$0.05 per share.