CHGP 1QFY26 revenue rises 15.6% to RM241.7m, driven by strong execution and cash generation

PETALING JAYA (May 22): Chin Hin Group Property Bhd (CHGP) reported a stronger set of results for the first quarter ended March 31, 2026 (1QFY26), underpinned by steady construction progress, disciplined execution and robust operating cash flow generation.

The group recorded revenue of RM241.7 million, up 15.6% year-on-year from RM209.0 million in the corresponding quarter last year. Net profit attributable to owners (Patami) rose to RM14.1 million, compared with RM11.7 million previously, mainly due to lower non-controlling interests, while profit before tax (PBT) remained broadly stable.

PBT stood at RM23.9 million, compared with RM24.5 million a year earlier. The slight decline was mainly due to one-off professional fees related to recent corporate and financing exercises. Excluding these non-recurring items, underlying operational performance remained steady.

Property development remains core earnings driver

The property development segment continued to anchor group performance, contributing 96.4% of total revenue. Segment revenue increased 24.5% to RM233.1 million, underpinned by sustained construction progress and steady billings across key projects.

Growth was led by Quaver Residence, which is approaching completion, alongside ongoing contributions from Ayanna Residences, Residensi Andalan, and Solarvest Tower.

CHGP generated net operating cash flow of RM91.1 million, driven by improved receivables collection and progress billings. Cash and bank balances strengthened to RM89.7 million.

Total liabilities declined to RM865.6 million, from RM966.6 million at end-2025, reflecting ongoing improvement in the balance sheet position and disciplined working capital management.

Its group chief executive officer Chang Tze Yoong said the performance reflected consistent execution across projects and continued focus on cash flow conversion.

"The group's performance this quarter reflects disciplined execution across our projects. We remain focused on converting our RM2.2 billion unbilled sales into earnings and cash flow," he said.

He added that the group generated RM91.1 million in operating cash flow during the quarter, supported by prudent working capital management.

"As we progress through FY2026, our priorities remain centred on timely project delivery, cash flow discipline and maintaining product relevance. We will also continue to leverage closer collaboration within the Chin Hin ecosystem to enhance execution efficiency, optimise cost structures and strengthen customer confidence," he said.

Reflecting its strong cash position, the board declared an interim dividend of 1.0 sen per share, with entitlement date on July 1, 2026, and payment scheduled for July 15, 2026.

Landbank and capital commitment

CHGP continues to strengthen its landbank in strategic growth corridors, with RM261.0 million in approved and committed capital expenditure.

This includes:

(a) RM91.0 million Seri Kembangan land acquisition, which became unconditional in April
(b) Ongoing acquisitions in Segambut and Kota Damansara

Commercial vehicles segment remains subdued

The commercial vehicles and bodyworks segment recorded revenue of RM8.5 million and a loss before tax of RM1.17 million, amid softer market conditions.

Following the mutual termination of its proposed disposal in January, the group continues to manage the segment prudently while evaluating strategic options.

Supported by a healthy unbilled sales position, improving balance sheet and integration within the broader Chin Hin Group ecosystem, the group said it remains positioned to sustain operational resilience while pursuing selective growth opportunities across its core markets.

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