KUALA LUMPUR: Glomac Bhd will more than double its property sales launch to about RM810 million in the year ending April 30 2018 from RM290 million previously.
Group managing director and CEO Datuk Seri FD Iskandar said this is expected to help Glomac record another positive performance.
FD Iskandar said the company is optimistic of the prospects due to the aggressive plans for new property launches. Last year, it launched RM290 million of projects.
“For the past years, Glomac had been quiet in terms of new launches. We only launched about RM600 million worth of projects over the span of two years.
“With the nation’s economy improving and our planned launches of RM810 million this year, and also barring unforeseen global circumstances, we hope it will reflect in another strong growth this year and next year,” he told reporters after Glomac’s annual general meeting here today.
He said the launches include the Lakeside Residences, Saujana KLIA, Saujana Perdana, Saujana Utama 5, Saujana Rawang and Saujana Jaya in Kulai Johor.
The components of the projects include affordable homes and shops, shop offices, semi Ds, services apartments, and terrace houses.
The new launches will start from the second quarter of the current financial year.
Glomac’s profit full-year grew 37 per cent to RM110.44 million from RM80.93 million a year ago, despite a six per cent dip in revenue to RM581.79 million from RM616.6 million previously.
Its balance sheet also improved, with total cash and cash equivalent rising to RM307.5 million from RM263.8 million a year ago. This brought Glomac’s net gearing ratio down to a comfortable 0.2 times as at April.
Its unbilled sales amounted to RM573 million to date.
On landbank expansion, FD Iskandar said the company is always on the lookout for the prospects, and now are looking very seriously to acquire a couple of pieces to add on to its RM9 billion gross development value worth of landbank.
“We are always on the lookout and are looking into couple of pieces now very seriously.
“What has happened in the last two to three years is that land prices have been going up. But for the last six months or so, land prices are have stabilised.
“And definitely, as a property developer, we always on the lookout for suitable landbank. In general, we are looking at anywhere that Glomac can make profit for the shareholders,” he added.
Meanwhile, Glomac’s net profit dropped 97.5 per cent in the first quarter ended July 31, 2017 to RM2.1 million from RM85.54 million recorded a year ago.
In a filing to Bursa Malaysia, the company said the decrease was mainly due to a one-off profit recognised for the disposal of land in the previous year.
Its revenue in the same quarter dropped 61.2 per cent to RM97.49 million from RM251.42 million.