Sunsuria 3Q net profit more than doubles to RM19m, aided by KLCG gains

PETALING JAYA (Aug 26): Sunsuria Bhd’s profit attributable to owners more than doubled to RM19.02 million for the third quarter ended June 30, 2026 (3QFY2026), from RM9.22 million a year earlier, aided by RM6.92 million in gains recognised after KL City Gateway Sdn Bhd (KLCG) became a subsidiary.

Basic earnings per share rose to 2.12 sen from 1.03 sen, according to the property developer’s unaudited quarterly report filed with Bursa Malaysia on Wednesday (Aug 26).

Quarterly revenue edged down 0.6% to RM176.97 million from RM178.01 million, while profit before tax (PBT) rose 6.5% to RM28.62 million from RM26.87 million.

Sunsuria said that excluding the KLCG-related gains, quarterly PBT would have been lower, owing to reduced contributions from property development following the completion of several projects. The group also cited higher operating and marketing expenses for Sunsuria Forum Mall and higher finance costs.

For the nine-month period, Sunsuria recognised RM6.92 million in gains after KLCG became a subsidiary, comprising a RM3.50 million gain on remeasurement of its previously held interest in KLCG and a RM3.42 million gain on bargain purchase, according to the interim financial statements.

Property completions weigh on revenue

The group attributed the marginal decline in revenue mainly to lower contributions from its property development division following the completion of Bangsar Hill Park Verdura, Sunsuria Forum Corporate Suites and Sunsuria City Seni Residences in the previous financial year, as well as Bangsar Hill Park Tower A in the current financial year.

This was partly offset by higher contributions from ongoing developments including Bangsar Hill Park Talisa, Sunsuria Kejora Business Park — Semi-D Industrial (Phase 1) and Sunsuria City The Chapter as sales and construction progressed.

Sunsuria also cited higher student enrolment at Concord College International School and contributions from its property investment division following the opening of Sunsuria Forum Mall in December 2025.

Quarter on quarter, revenue rose 46.7% from RM120.61 million in 2QFY2026, while PBT more than doubled from RM14.04 million.

Sunsuria attributed the improvement to higher contributions from ongoing development projects and the KLCG-related gains, partly offset by higher operating and marketing expenses incurred ahead of upcoming project launches.

Nine-month earnings broadly flat

For the first nine months of FY2026, profit attributable to owners was broadly unchanged at RM26.39 million, compared with RM26.18 million a year earlier.

Revenue fell 10.1% to RM415.62 million from RM462.32 million, while PBT declined 22% to RM50.12 million from RM64.22 million.

The comparative figures have been restated following Sunsuria’s adoption of the fair-value model for investment properties.

No dividend was paid during the financial period under review.

KLCG adds to development pipeline

Sunsuria completed the acquisition of an additional 41% stake in KLCG for RM21.46 million on April 10, raising its interest to 61% and making KLCG a subsidiary.

KLCG is undertaking a 9.66-acre integrated transit-oriented development in Kuala Lumpur, which Sunsuria estimates will have a first-phase gross development value (GDV) of about RM2.75 billion.

Sunsuria also said it is preparing to launch the first phase of RIA Sunsuria, its maiden development in Kwasa Damansara. The group estimates that the freehold residential project will have a GDV of RM630 million and comprise 494 condominium units and 26 three-storey terraced homes.

The group said it remains mindful of external pressures and rising costs, and will continue to focus on strengthening its development pipeline and growing its businesses.

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