IJM’s 1Q net profit climbs 10%, lifted by construction, industry divisions

• Its construction division saw revenue and pre-tax profit jump 79.2% and 46.3% year-on-year respectively, supported by higher work activities in line with a stronger order book, as well as a larger share of profit from joint ventures.

KUALA LUMPUR (Aug 27): IJM Corp Bhd (KL:IJM) posted a 10.04% increase in its first-quarter net profit, underpinned by stronger contributions from its construction and industry divisions.

The diversified group recorded a net profit of RM95.6 million for the three months ended June 30, 2025 (1QFY2026), compared with RM86.88 million in the same period last year. Revenue rose 23.43% to RM1.73 billion from RM1.4 billion, a bourse filing showed.

No dividend was declared for the quarter.

Its construction division saw revenue and pre-tax profit jump 79.2% and 46.3% year-on-year respectively, supported by higher work activities in line with a stronger order book, as well as a larger share of profit from joint ventures.

The industry division also delivered stronger results, with revenue up 16.1% and pre-tax profit 23.6% higher than a year ago, thanks to increased deliveries of piles, quarry products and ready-mixed concrete.

By contrast, the property, toll and port divisions recorded weaker earnings during 1QFY2026.

Looking ahead, IJM said its construction division will continue to focus on the timely execution and completion of its RM12.9 billion order book in hand comprising the newly secured large scale data centre in Johor and the New Pantai Expressway extension (NPE 2).

Its property division is expected to maintain a satisfactory performance this year on the back of unbilled sales of about RM1.67 billion.

The industry division is set to sustain its strong performance seen over the past three financial years, supported by its order book and potential new orders from the ongoing roll-out of data centres and large-scale infrastructure projects.

“The toll division is expected to maintain its performance as its matured highways continue to provide the group with a strong recurrent revenue and cash flow stream while the newer highways are undergoing the gestation period before achieving maturity.

“The recently secured NPE 2 will provide long-term earnings visibility for the division,” said IJM.

Meanwhile, the port business anticipates a cautious outlook in light of ongoing global trade tensions and market uncertainties.

Shares of IJM closed up four sen or 1.36% at RM2.98 on Wednesday, giving the group a market capitalisation of RM10.87 billion.

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