Amcorp's 2Q net profit soars on progressive delivery of London Burlington Gate sold units

KUALA LUMPUR (Nov 16): Amcorp Properties Bhd saw net profit grow nearly 15 times to RM26.11 million in its second quarter ended Sept 30, 2017 (2QFY18) from RM1.83 million last year mainly from its share of joint ventures results.

"This was higher than 2QFY17's profit before tax of RM10.7 million due to profit recognition from the progressive delivery of sold units of the Burlington Gate project in London," Amcorp said in a filing with Bursa Malaysia yesterday.

Earnings per share stood at 4.4 sen in the quarter compared to 0.31 sen a year ago.

However, quarterly revenue fell 40.1% year-on-year to RM31.73 million from RM52.97 million because of a sale of a piece of land in Pajam, Negeri Sembilan, in 2QFY17, and also lower sales achieved for Malaysia property projects.

For the cumulative six months (6MFY18), net profit surged 335.32% to RM27.44 million or 4.62 sen per share from RM6.3 million or 1.07 sen per share last year, while revenue dipped 27.54% to RM70.14 million in 6MFY18 from RM96.8 million.

Moving forward, the board expects its two joint ventures projects in London, completing in the financial year ending March 31, 2018 (FY18), to contribute positively to its earnings.

"Barring unforeseen circumstances, the board expects the group to record a higher profit for FY18 compared to FY17," it said.

Yesterday, Amcorp shares closed down half sen or 0.64% at 78 sen for a market capitalisation of RM462.7 million. — theedgemarkets.com

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