Asia Food's profit down

Asia Food's profit down

SINGAPORE (Dow Jones): Asia Food & Properties Ltd. Friday said net profit fell 61 percent to S$38.3 million in the first half, despite a 52 percent rise in revenue to S$699 million.

The company didn't explain why net profit fell.

Better business at its agribusiness divisions in Indonesia and China contributed to the higher revenue.

However, the contribution of the property division fell to S$80.1 million from S$110.4 million due to reduced rentals, the company said.

The Indonesian agribusiness unit contributed S$479.4 million in revenue, up sharply from S$266.3 million in the first half of 1998.

The contribution of the Chinese agribusiness unit also jumped substantially to S$64.2 million from S$1.6 million.

The company expects the economic and political recovery in Indonesia to help both its property and agribusiness units. Also, lower interest rates in that country should add to the bottomline, it said.