Yr End Results 31-8-95 - Final - Singapore Press Holdings

10. A commentary at the date of announcement of the significant trends and
competitive conditions of the industry in which the group operates and any
known factors or events that may affect the group in the next reporting period
and the next 12 months
10.1 The macroeconomic outlook for Singapore is expected to remain positive with
external demand providing bulk of the impetus. However, domestic demand growth,
which has more direct impact on the Group’s print advertisement revenue, may be
more measured. Against this backdrop, the Group’s print advertisement revenue is
expected to remain stable in the near term. Despite a declining trend in global
newspaper circulation sales, the Group continues to sustain its level of circulation
sales.
10.2 Newsprint prices are expected to rise at a moderating pace due to continued
imbalances in demand and supply. The Group has and will continue to put in place
cost saving measures to manage a sustained level of margin for its core newspaper
business.
10.3 The Paragon is likely to continue returning healthy rental yields amidst the positive
sentiments in the property market. Riding on the wave of sustained recovery in the
high-end property market, the Group recently announced its plan to develop an
exclusive freehold condominium along Thomson Road, which is expected to be
launched in 2007.
10.4 Excluding non-recurring gains, the Group’s investment income is expected to vary
with the performance of the local and global financial markets.
10.5 Overall, the Directors expect the recurring earnings for the current financial year to
be satisfactory.
11. Dividends
18