KLCCP Stapled Group's 1Q profit rises 7%, declares 9.2 sen dividend

• The group, comprising KLCC Property Holdings Bhd and the KLCC Real Estate Investment Trust (REIT), declared a higher interim dividend of 9.2 sen per stapled security, compared with nine sen a year earlier.

KUALA LUMPUR (May 23): KLCCP Stapled Group (KL:KLCC) saw its net profit rise 7.2% in the first quarter from a year earlier, reflecting gains from the acquisition of the remaining 40% stake in Suria KLCC Sdn Bhd.

Its net profit for the three months ended March 31, 2025 (1QFY2025) was RM201.48 million versus RM188.03 million previously, the Petroliam Nasional Bhd (PETRONAS)-owned group said in an exchange filing.

Earnings per share increased to 11.16 sen from 10.42 sen a year ago.

The group, comprising KLCC Property Holdings Bhd and the KLCC Real Estate Investment Trust (REIT), declared a higher interim dividend of 9.2 sen per stapled security, compared with nine sen a year earlier.

KLCC Property Holdings Bhd had in early 2024 bought the remaining 40% equity interest in Suria KLCC, which owns and manages the Suria KLCC mall, for RM1.95 billion.

KLCCP's quarterly revenue slipped 0.5% to RM406.92 million, compared with RM408.90 million in 1QFY2024, mainly due to lower contribution from the hotel segment, as the Mandarin Oriental Kuala Lumpur hotel faced disruptions from ballroom upgrading works and scheduled maintenance during the low travel season.

Revenue for the retail segment, led by Suria KLCC and the retail podium of Menara 3 Petronas, increased to RM143.2 million from RM140.5 million in 1QFY2024, while profit before tax grew 5.3% to RM114.7 million on higher base rents for tenancy renewal and improved occupancy for the retail podium of Menara 3 Petronas.

On a quarter-on-quarter basis, KLCCP’s net profit declined 53.2% from RM430.91 million a year earlier, mainly due to a fair value gain on investment properties totalling RM234.73 million recorded in 4QFY2024, coupled with the seasonal weakness in the hotel segment and lower contributions from the management services segment.

"Despite the group's softer performance in the first quarter, we remain positive in delivering solid performance underpinned by the resilient foundation of our business segments,” said KLCCP chief executive officer Datuk Mohd Salem Kailany.

The group said it remains cautiously optimistic in delivering a positive performance for FY2025.

Shares of KLCCP closed unchanged at RM8.70 on Friday, giving the group a market capitalisation of RM15.71 billion.

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