Glomac 3Q net profit up 33%

KUALA LUMPUR (Mar 23): Glomac Bhd's net profit for 3QFY12 ended Jan 31 rose 32.5% year-on-year (y-o-y) to RM21.9 million from RM16.5 million, despite the top line declining 17.7% to RM145.3 million over the same period.

The decline was due to the completion of three projects — Glomac Tower, Sri Bangi and Glomac Galleria — but ongoing projects continue to enjoy good take-up rates, the company said in a statement on Thursday.

"The group's profit before tax increased by 25% compared with the previous quarter, mainly contributed by Glomac Tower, Glomac Cyberjaya and Bandar Saujana Utama," said Glomac in the notes accompanying its accounts.

On a cumulative basis, Glomac's net profit for the nine months of FY12 came in higher at RM63.5 million compared with RM47.96 million reported in the previous year's corresponding period. Revenue was lower y-o-y at RM407.95 million compared with the RM443.7 million posted for 9MFY11.

According to group executive chairman Tan Sri F D Mansor, "We have chalked up property sales of RM343 million in this nine-month period, and we are well on track to achieve our sales target of RM500 million for the financial year.

"Glomac Cyberjaya 2, shop offices with a total gross development value (GDV) of RM130 million, was launched last November, while the initial response to our shop offices and serviced apartments at Glomac Centro has been overwhelming, even before our official launch later this month."

The company will soon launch its 39-storey, RM270 million Reflection Residences, a freehold serviced apartment project in Mutiara Damansara. The company recently announced the acquisition of two parcels of leasehold land of 81ha  for RM44 million, adjacent to Bandar Saujana Utama. "This new land raises the company's total estimated GDV of current and future projects to RM6 billion," said Mansor.  

Glomac proposed an interim dividend of 2.75 sen less 25% tax for the current financial year. Glomac rose 0.6% to close at 87 sen on Thursday.