Sunrise 1Q pre-tax profit up by 4%

KUALA LUMPUR: Sunrise Bhd posted a pre-tax profit of RM52.2 million for its first quarter (1Q) ended Sept 30, 2010, up 4% from RM50.2 million posted a year ago.

Its revenue declined 10% to RM171.3 million from RM190.3 million a year ago.

The increase in pre-tax profit was due to lower operating cost, while the lower revenue was attributed to the completion of Mont'Kiara Meridin, 10 Mont’Kiara and most of Solaris Dutamas in the previous corresponding period, said the company on Wednesday, Nov 3.

Phase 1 of Quintet in Richmond, Canada was launched in September to overwhelming response. With a gross development value (GDV) of CAD125 million (RM382 million), Phase 1 of the mix-used development comprises 276 units of apartments and 16 units of townhouses.

The company has unrecognised revenue of RM863.8 million as at Sept 30, with another RM351 million sales recorded in Oct, mainly from the fully sold Phase 1 of Quintet.

These substantial lock-in sales will sustain the company’s earnings until 2013, it said.

Sunrise rewarded shareholders with an interim dividend of 26.67 sen a share, less 25% taxation amounting to net dividend of about RM99.09 million or 20 sen per share.

It said the dividend was for the financial year ending June 30, 2011 and payable on Dec 16 to shareholders whose names appear in the Record of Depositors on Nov 22.

In the pipeline are several residential and commercial projects with the immediate one being Menara Solaris in Kuala Lumpur.

Publika, the retail gallery at Solaris Dutamas is expected to open mid-2011 offering 320,000 sq ft of net lettable space with 4,000 car park bays.

Meanwhile, the construction of 11 Mont’Kiara and 28 Mont’Kiara are on schedule, and are expected to be completed in 2011 and 2013 respectively.

Sunrise is also venturing into hospitality, which it sees as a new business that will add to its brand value.

Its primary objective is in the operation of serviced apartments. This new venture also aims to assist existing home owners in generating yield and occupancy for their properties through medium to long term leasing, it said.