KUALA LUMPUR: Berjaya Land Bhd's net profit rose surged sixfold to RM29.33 million in the third quarter ended March 31, 2024 (Q3FY24) versus RM4.05 million a year ago supported by income from hotels and resorts business segment.
Its revenue was up 0.85 per cent year-on-year (YoY) to RM1.95 billion compared to RM1.94 billion in the same period last year.
This came through due to higher overall average room rate and higher overall occupancy rate during the current quarter under review with the rise in tourist arrivals, boosted by visa exemption for certain countries.
H.R. Owen Plc reported a higher after sales revenue due to favourable foreign exchange effect, when converted into ringgit.
"In addition, a stronger profit margin was also reported from new car sales as well as profit improvement from full resumption of its after sales operations.
"Higher revenue reported by STM Lottery Sdn Bhd also contributed to the higher group revenue," said the company in a statement.
The gain on deemed disposal of partial equity interest in an associated company amounted to RM42.50 million and the resultant gain on re-measurement of retained equity interest in a former associated company amounted to RM56.89 million in this current quarter.
For the nine months ended Mar 31, 2024, the company however posted a net loss of RM10.29 million compared to a net profit of RM96.89 million in the corresponding period the previous year.
This was due to the lower profit contribution from the property development and investment business segment despite recording higher revenue.
In the previous year corresponding period, this business segment reported better profit contribution arising from the sale of several parcels of vacant land/
The decline was also due to the higher operating expenses incurred by the company in line with the increase in the volume of business activities and also due to the inflationary pressure.
Group revenue rose to RM5.65 billion in the period versus RM5.34 billion the previous year.
Berjaya Land said it will monitor the prevailing global and local political development in the countries where it has business operations.
"The performance of the domestic business segments of the group is expected to improve on the back of strong consumer spending and improvement in tourism activities.
"Taking into account of the aforesaid and barring any unforeseen circumstances, the directors are cautiously optimistic that the performance of the business operations of the group for the remaining quarter of the financial year ending June 30, 2024 to be satisfactory," it added.