AP Land posts net loss of RM1.78m for 3Q

KUALA LUMPUR: Asia Pacific Land Bhd (AP Land) has posted a net loss of RM1.78 million for its third quarter (3Q) ended Sept 30, 2010 from a net profit of RM2.23 million a year ago, despite higher revenue.

In a filing to Bursa Malaysia, the group had registered a 31.5% growth in revenue to RM35.03 million from RM26.64 million, due to the sale of their MyHabitat Serviced Residences Tower 2, but net losses resulted from an accrual of additional costs for the project.

Nonetheless, the group expects its sales to grow on the back of higher interest in the local property sector with the improving economy and right positioning of its range of products.

It also expected sales of its residential and commercial units at Bandar Tasik Puteri to increase after it has constructed an interchange that will connect the development to the KLKS Expressway.

Meanwhile, its "Shiki Niseko" project in Japan is set to take off next year and is expected to positively contribute to its earnings in the next financial year.

The first phase of its project in Changsu, China, was completed in October, but suffered from slow sales, due to slower economic growth in China as well as the government's cooling measures, it said.

The group said it has taken alternative measures to rent out completed and unsold shops to increase its revenue and activities in the development.

"Planting work at our oil palm plantation in East Kalimantan is progressing well. The Group expect to plant up to 5,000 ha of the plantation land with seedlings by end of year 2010. Todate, approximately 4,701 ha of land has been planted. The first batch of trees will bear fruits by year 2012 onwards," it said.