KUALA LUMPUR: Malaysian Resources Corporation Bhd (MRCB) recorded a pre-tax profit of RM67.3 million and net profit of RM54.2 million in the first half of 2024 (1H24).
This represented improvements of 88 per cent and 178 per cent respectively over the same period in 2023, driven by the engineering, construction and environment division.
Despite a 32 per cent decrease in revenue to RM642.6 million, the engineering, construction and environment division recorded a 146 per cent increase in operating profit to RM105.8 million.
The bulk of the division's revenue was contributed by the LRT3 project and the RM380 million Muara Sungai Pahang Phase 3 flood mitigation project.
MRCB said as of June 30, 2024, the LRT3 project achieved physical construction progress of 96 per cent and financial progress of 93 per cent.
Besides transportation infrastructure projects, the group is also targeting climate change adaptation and transition projects, like flood mitigation, renewable and clean energy infrastructure, and water projects, and presently has a RM34 billion construction tender book.
Future growth drivers will include the redevelopments of Stadium Shah Alam and Kuala Lumpur Sentral Station, the construction of five additional stations, and other related infrastructure works for the LRT3 project, all of which are currently undergoing negotiations with the relevant clients.
The property development and investment division recorded a 54 per cent decrease in revenue to RM169.4 million and an operating loss of RM14.5 million in 1H24 compared to the corresponding period in 2023.
This was due to completion of two major property development projects in the first half of 2023 and new projects still in the early phases of development.
The division's main revenue contributors in 1H24 were the sales of completed unsold units in its Sentral Suites, VIVO 9 Seputeh, TRIA 9 Seputeh and its development project, Alstonia.
The division sold RM497.4 million worth of properties in 1H24, an increase of 96.7 per cent on the corresponding period in 2023.
The group's VISTA residential development in Gold Coast, Australia recorded strong sales, with 50 per cent of all available units sold as of June 30 2024.
Building on this momentum and its diversification strategy, MRCB has acquired a second site in Gold Coast, located three kilometres from Surfers Paradise in Southport with unobstructed views of Broadwater, which will be developed into a resort style apartment complex to capitalise on its prime location.
The division has a further RM1.9 billion of property launches in Malaysia and New Zealand earmarked for 2024.