Glomac's 4Q profit up 20%, poised for further growth

KUALA LUMPUR: Glomac Bhd's net profit rose 20% to RM15.05 million or 5.08 sen per share as the property developer raked in a higher revenue and registered lower operating expenses.

Its revenue climbed 53% to RM157.7 million from RM103.37 million previously.

Glomac group executive chairman Tan Sri F D Mansor said in a statement on Thursday the developer was poised for further growth, taking into account its unbilled real estate sales of about RM550 million as at April 30 this year.

"This serves to affirm the group's earnings visibility over the next two financial years. Glomac's longer-term growth prospects remain robust."

In a statement to Bursa Malaysia, Glomac said net profit for the quarter came to RM15.05 million or 5.08 sen a share versus RM12.56 million or 4.26 sen a share previously. Revenue climbed 53% to RM157.75 million from RM103.37 million previously.

Cumulative full year (FY11) net profit leapt 54% to RM63.01 million from RM40.85 million, while revenue was up 90% to RM601.5 million from RM316.76 million.

The improvement in the company's financials was attributable to ongoing sales from projects such as the Glomac Tower, Glomac Damansara, Glomac Cyberjaya, Bandar Saujana Utama and Bandar Baru Bangi, the developer said.

Glomac's property sales in FY11 were at RM418 million, a 22% drop compared with RM508 million a year earlier, according to its updates to the exchange.

"Barring any unforeseen circumstances, the directors are of the opinion that based on the ongoing development projects and the level of work targeted to be completed, the goup's performance for the financial year ending April 30, 2012 is expected to improve further," Glomac said.