YNH Property sees profits decline for FY2009

KUALA LUMPUR: Property developer, YNH Property Bhd said full financial year profits declined to RM53.04 million from RM80.90 million in the previous financial year ending Dec 31, 2008 on the back of decreased revenue to RM269.63 million from RM348.67 million in the previous year. Annual earnings per share also dropped to 13.93 sen from 21.52 sen.

In a statement to Bursa Malaysia on Feb 23, the company said the reduction in profits was due to the decreased demand for high-end properties which affected the company as it did not launch as many properties in the period under review.

Its fourth quarter profits after tax also dropped to RM9.03 million from RM11.18 million on the back of increased sales to RM47.82 million from RM34.33 million in the same quarter of the previous financial year. Fourth quarter earnings per share dropped to 2.29 sen from 3.06 sen. Fourth quarter earnings was mainly derived from the sales of its developments at Lot 163 Suites (KL), Ceriaan Kiara (Mont’Kiara, KL), Lot 633 (KL), Taman Manjung Baru (Seri Manjung), Taman Singa Baru, Taman Pegawai, Taman Emas and sales of completed inventories and development land, YNH said.

The company also added in the statement that economic prospects globally are still weak but it is “cautiously optimistic” of its prospects for the coming financial year. This is because the company is continuing projects such as Ceriaan Kiara (Mont’Kiara KL), Taman Singa Baru and Taman Manjung Baru and Manjung Point Seksyen II to continue to contribute to the Group’s income.