KUALA LUMPUR (Sept 26): Berjaya Land Bhd (BLand) posted its fourth straight quarter of profit in the first financial quarter ended July 31, 2017 (1QFY18), with a net profit of RM11.53 million compared with a net loss of RM27.24 million a year ago.
It recorded earnings per share of 0.23 sen in 1QFY18 compared with a loss per share of 0.55 sen in 1QFY17.
Quarterly revenue also rose 3.2% to RM1.6 billion from RM1.55 billion in 1QFY17.
In a filing with Bursa Malaysia yesterday, BLand attributed the improved earnings to higher profit contribution from Sports Toto Malaysia Sdn Bhd due to lower prize payout, higher profit from both the property and hotels and resorts businesses arising from higher revenue, and lower finance costs.
"In addition, the group has equity accounted for share of profit from associated companies, primarily contributed from Berjaya Kyoto Development (S) Pte Ltd, which recognised sales of several units of Four Seasons Residences," said BLand.
Going forward, BLand warned that its operating performance will continue to remain challenging in the remaining quarters of the financial year ending April 30, 2018 (FY18).
It expects the number forecast operation (NFO) business to be challenging for the remaining quarters of FY18 in view of the intense competition from illegal gaming activities coupled with rising costs and weak consumer sentiments.
"Notwithstanding these challenges, the directors are confident that the group will continue to maintain its market share in the NFO business for the remaining quarters of FY18.
"The performance of the hotels and resorts business is expected to remain satisfactory, while the property market outlook is expected to remain lukewarm," it added.
BLand shares closed up 0.5 sen or 1.27% at 40 sen yesterday, with 337,500 shares done, bringing a market capitalisation of RM2 billion. — theedgemarkets.com