EcoFirst logs higher 2Q revenue but net loss widens as finance costs jump

• The group’s revenue rose 38% to RM5.07 million from RM3.67 million, mainly due to higher rental income from its investment property division and the sales of inventories.

KUALA LUMPUR (Jan 30): EcoFirst Consolidated Bhd’s net loss widened to RM4.1 million in the second quarter ended Nov 30, 2022 (2QFY2023) from RM1.89 million in the same quarter last year, despite stronger revenue, due to higher finance costs after the end of the moratorium period.

The property developer has been loss-making since 1QFY2022.

The group’s revenue rose 38% to RM5.07 million from RM3.67 million, mainly due to higher rental income from its investment property division and the sales of inventories, its Bursa Malaysia filing on Friday (Jan 27) showed. Finance costs, meanwhile, more than doubled to RM3.85 million from RM1.38 million.

For the first half of FY2023, EcoFirst’s net loss grew to RM8.48 million from RM3.99 million in the first half of FY2022, despite revenue climbing 45.46% to RM9.3 million from RM6.39 million. Finance costs jumped to RM7.66 million from RM2.27 million.

On prospects, the property developer is targeting to launch its Sungai Besi project within FY2023 with an estimated gross development value of approximately RM1 billion.

“The group is optimistic about the prospects of the new property development launch given its strategic location, attractive pricing, with good products and features. With our strategic initiatives to roll out our new property launch, EcoFirst is confident that the group will return to profitability in the near term,” EcoFirst added.