KUALA LUMPUR (May 23): Tropicana Corp Bhd’s net profit surged 71.49% to RM46.4 million in the first quarter ended March 31, 2018, from RM27.06 million a year earlier, on cost savings and advanced progress of projects.
Earnings per share grew to 3.17 sen from 1.89 sen a year ago, the group said in a filing with Bursa Malaysia.
Quarterly revenue went up 21.22% to RM453 million from RM373.68 million on higher progress billings from advanced stages of construction work for many of the group’s ongoing projects.
Tropicana paid a first interim dividend of 1.6 sen per share on Feb 22.
The group said the overall short-term prospects for the industry are expected to remain challenging.
It believes there will still be demand for properties in prime locations with attractive pricing, and will continue to focus on being market-driven and unlock the value of its landbank at strategic locations across the Klang Valley, and the northern and southern regions of Peninsular Malaysia.
As such, it plans to introduce new phases across its signature developments — Tropicana Heights, Tropicana Aman, Tropicana Metropark and Tropicana Danga Cove, expected to continue contributing positively to its earnings.
Tropicana is also confident of registering a steady recurring income stream from its property investment portfolio.
This article first appeared in The Edge Financial Daily, on May 23, 2018.