The company said on Friday, Aug 27 that its profit before taxation stood at RM139.8 million, up 7% compared with RM131.1 million recorded a year earlier.
The Group that the increase in revenue was mainly contributed by better rentals from its office buildings particularly the Dayabumi building (rental revisions) and its retail mall (higher rental).
Revenue from hotel operations also improved. Besides the higher revenue, the improved profit before taxation was also achieved through lower operating costs and finance cost borne during the period.
Revenue for the quarter improved marginally by RM1.4 million over the preceding quarter of RM225.6 million whereas profit before was lower by RM2.1 million from RM141.9 million in the preceding quarter.
The lower profit before tax was mainly due to the lower share of profits of the associate in this quarter as the preceding quarter included a fair value adjustment of RM6.1 million.
The Group said the majority of its earnings are underpinned by long term office tenancies and a sustainable retail sector.
“Barring any unforeseen circumstances, the Directors are of the opinion that the Group’s performance for the year will be satisfactory. However, it should be noted that the hotel sector will continue to underperform but the impact is not expected to be material to the overall Group’s earnings,” it said.
TOP PICKS BY EDGEPROP
Factory for Sale Bandar Baru Sungai Buloh
Sungai Buloh, Selangor
2 Storey Bungalow @ Amandarii Anjung Residensi
(CMCO Offer) 5R6B Villa Style Super Link, Puchong
NEW 1 Sty SEMI D Seksyen U14 Booking RM500 Only
Shah Alam, Selangor
Merbau Jaya, Rumah Berkembar Setingkat
Kuala Ketil, Kedah
[RENTAL GET RM 3000 READY TENANT 2020 NEW PROJECT]
Ambang Botanic 2 and half Storey Link house
Bandar Botanic/Bandar Bukit Tinggi, Selangor
0 Booking , 30K Cash Back , Freehold Condo
Nilai, Negeri Sembilan