BIL posts lower nine-month profit

BIL International Ltd today reported a 12 per cent fall in nine-month profit as the fallout from last year's London bombings continued to weigh on its main investment, the Thistle Hotel group.

Singapore-based BIL, formerly New Zealand corporate raider Sir Ron Brierley's Brierley Investments Ltd, posted a net after-tax profit of US$39.5 million ($63.25 million) for the nine months to March 31, compared with US$44.7m in the same period a year earlier.

BIL said the July 2005 bombings on the London underground had a negative effect on occupancy and average room rates for Thistle's largely London-based hotels.

The result was also weighed down by higher lease rental costs due to sale and leaseback transactions completed in April 2005 .

For the third quarter, BIL posted a net after-tax profit of US$8.8m, compared with US$12.1m in the same quarter a year earlier.

Shares in BIL, which is controlled by the Hong Kong listed Guoco Group but has a secondary listing in New Zealand, last traded down a cent at $1.47.

- NZPA