KUALA LUMPUR: Johor Corporation (JCorp) says its gross profit grew nine per cent to RM2.4 billion for the fiscal year 2023 (FY23), with revenue rising eight per cent to RM6.2 billion.
JCorp, in a statement today, said its net assets had exceeded RM10.8 billion for the year.
Its wellness and healthcare segment posted a 17 per cent revenue jump to RM3.4 billion and a record net profit of RM270 million.
This was a testament to KPJ Healthcare's initiatives to continuously upgrade and improve its services, JCorp said.
The group's rreal estate and infrastructure division achieved commendable results, driven by strategic land sales and robust demand for our premium developments.
"We are capitalising on the growing data centre and renewable energy sectors in Johor, actively pursuing opportunities across the value chain through our subsidiary, JLand Group," it added.
JCorp said its food and restaurant segment faced significant headwinds in the last three months of FY23, with revenue declining due to the escalating conflict in Gaza.
This erased the gains made earlier in the year, resulting in an overall one per cent growth in revenue for a total of RM4.9 billion.
"The conflict severely impacted consumer sentiment and spending, particularly in our key markets, leading to a decline in net profit for the segment.
"It is important to note that this decline is attributable to external market factors beyond our control and does not reflect the underlying strength of our business or the effectiveness of our ongoing transformation initiatives," it said.
JCorp runs more than 850 KFC across Malaysia, Singapore, Brunei and Cambodia and over 500 Pizza Hut restaurants in Malaysia and Singapore through QSR Brands.
Earlier this year it was reported that KFC temporarily closed over 100 outlets amid the consumer boycott.
On its agribusiness segment, JCorp said the segment achieved RM1.3 billion in revenue for FY23.
While this represents a 27 per cent decrease compared to the previous year, the group said the decline was largely driven by external factors affecting the palm oil industry as a whole.
This included a downturn in crude palm oil (CPO) and palm kernel (PK) sales volume, coupled with reduced average selling prices (ASPs) and inclement weather.
JCorp president and chief executive Datuk Syed Mohamed Syed Ibrahim said the strategic plan implemented in 2020 remains a work in progress, and the group is on track with its growth plan to realise targeted outcomes.
"We are exploring new verticals, while optimising returns from current investments and executing several strategic initiatives to future-proof the organisation in generating sustainable income, with an emphasis on innovation and leveraging digital technologies," he added.
On its outlook, Syed Mohamed highlighted JCorp's commitment to Johor's continued growth and development.
"With major infrastructure projects like the Rapid Transit System linking Johor Bahru to Singapore and the establishment of the Johor-Singapore Special Economic Zone, the region is poised for significant economic expansion."
"JCorp is well-positioned to play a key role in this growth, leveraging its diverse portfolio and industry expertise to contribute to the state's economic advancement," he added.