UEM Sunrise’s 2Q net profit more than doubles to RM46.85m

PETALING JAYA (Aug 19): UEM Sunrise Bhd’s net profit attributable to shareholders more than doubled to RM46.85 million for the second quarter ended June 30, 2026 (2QFY2026), from RM22.41 million a year earlier, as revenue increased on higher property development contributions.

In a Bursa Malaysia announcement on Wednesday (Aug 19), the property developer said revenue rose 37% to RM605.71 million from RM442.42 million in the corresponding quarter last year. Property development activities accounted for 64% of group revenue.

UEM Sunrise attributed the improvement mainly to higher revenue from ongoing and completed projects in the Central Region, including The MINH at Mont’Kiara, The Connaught One in Cheras and Residensi ZIG at Kiara Bay, alongside contributions from Aspira Hills, Aspira LakeHomes and DiReka Square in the Southern Region.

The quarter also benefited from the divestment of a non-strategic land parcel in Iskandar Puteri, Johor, it said.

Operating profit grew 32% year-on-year to RM77.9 million, while profit before tax rose 121% to RM85.67 million from RM38.73 million. UEM Sunrise also recorded stronger contributions from its joint ventures, mainly driven by improved earnings from joint venture developments.

For the first half ended June 30 (1HFY2026), net profit attributable to shareholders rose 47% to RM63.05 million from RM42.90 million, while revenue increased 11% to RM953.42 million from RM860.05 million.

The first-half revenue increase was supported by progress billings and revenue recognition from ongoing developments, together with contributions from completed projects in the Central and Southern regions. Gross profit margin remained stable at 26%, supported by improved property development margins and land sales, alongside steady property investment contributions.

Sales achieved in 1HFY2026 more than doubled to RM1.47 billion from RM649.3 million a year earlier, driven mainly by the group’s built-to-rent development in Collingwood, Australia, as well as projects in the Southern and Central regions.

DiReka Square and Aspira Hills were key sales contributors in the Southern Region, while The MINH and The Connaught One were the main contributors in the Central Region.

As at June 30, UEM Sunrise had RM2.9 billion in unbilled sales, which the group expects to recognise progressively over the next 48 months.

UEM Sunrise maintained its FY2026 sales target of RM1.3 billion and gross development value launch target of RM2.2 billion, with planned launches focused on attainable and upgrader products across the Central and Southern regions.

The group said it had exceeded its full-year sales target by 13% as at June 30 following the signing of a capital partnership with Kio Investment Management for the Collingwood built-to-rent development.

No interim dividend was declared for the period.

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