Ong Beng Seng’s HPL to report net loss for FY2025 as finance costs remain high

[SINGAPORE] Hotel Properties Ltd (HPL), owned by real estate magnate Ong Beng Seng, is expected to post a net loss for the financial year ended Dec 31, 2025.

Despite higher revenue, finance costs remained elevated, largely due to increased borrowing and the delayed impact of interest rates easing, the group said in a bourse filing on Friday (Feb 13).

It also incurred mark-to-market fair value losses on its long-term investments, which further weighed on its overall financial performance, it added.

HPL is expected to release its FY2025 results by Feb 27.

For its first half ended Jun 30, the group recorded a net profit of S$11.4 million, reversing from a loss of S$4.9 million in the year-ago period. Earnings per share stood at S$0.0134, compared with a loss per share of S$0.0162 previously.

Revenue for H1 was up 9 per cent at S$378.4 million, from S$347.3 million the year before. The increase was due mainly to the opening of Four Seasons Hotel Osaka in August 2024.

In the half year, the group recorded a mark-to-market fair value loss on long-term investments of S$9.3 million, compared with a gain of S$5.5 million in the previous corresponding period.

Finance costs rose slightly to S$51 million from S$50.2 million due to higher borrowings.

HPL said then that global economic conditions remained clouded due to geopolitical trade tensions and ongoing conflicts.

“This may dampen consumer sentiment and confidence, resulting in more cautious spending,” it added. “While central banks continue to adjust interest rates based on a range of economic indicators, the prevailing trajectory remains downward.”

Shares of HPL ended Friday 1.4 per cent or S$0.07 lower at S$4.88, before the news.