KUALA LUMPUR (Nov 28): Property developer Glomac Bhd’s shares fell 2.46% early today after it reported a 92.3% decline in second-quarter net profit, no thanks to the recognition of a one-off government grant received totalling RM26.3 million in the previous year.

At 9.05am, Glomac fell 1.5 sen to 59.5 sen with 278,000 shares done.

The group’s after-tax profit for the three months ended Oct 31, 2017 was down to RM1.41 million versus RM18.25 million a year ago. Quarterly revenue, however, climbed 30.9% to RM109.93 million from RM83.99 million, thanks to projects such as Lakeside Residences in Puchong, Saujana KLIA in Dengkil and Saujana Perdana in Sungai Buloh.

The weak quarterly performance was a drag to Glomac’s net profit for the cumulative six months, which plunged 96.6% to RM3.51 million from RM103.79 million a year earlier, while revenue fell 38.2% to RM207.42 million from RM335.41 million.

Glomac said it expects its earnings performance in FY18 to remain modest, reflecting lower property sales brought on by a more measured pace in past launches.

Glomac said it has a potential gross development value of over RM8 billion to further tap into demand in this mass market segment. — theedgemarkets.com

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