KUALA LUMPUR: Paramount Corporation Berhad will distribute an interim dividend of 3.0 sen per share, matching the amount given in 2023, after a strong rebound in the second quarter of 2024 (Q2 2024), during which it achieved record sales of RM537 million, the highest ever in a single quarter.
The dividend will be payable on September 26 to shareholders recorded as of September 11.
The property development company posted improved performance in Q2 compared to Q1, driven by launches valued at RM1.6 billion in the Klang Valley and robust sales.
The increased launches and sales helped offset the weaker performance of the previous quarter, which had fewer products on the market and slower project progress.
In Q2 2024, Paramount recorded a net profit of RM24.2 million (Q2 2023: RM24.1 million) with group revenue of RM232.9 million (Q2 2023: RM241.6 million).
The property segment contributed RM220.7 million in revenue (Q2 2023: RM232.3 million), with top contributors being Sejati Lakeside 2 in Selangor, Paramount Palmera in Penang, and Berkeley Uptown in Selangor.
The lower contribution was partly due to the completion of three projects accounted for in Q2 2023, though this was offset by the strong response to The Ashwood, launched in May 2024.
Despite the slight dip in revenue, the company's pre-tax profit remained stable at RM41 million, on par with Q2 2023, largely due to cost savings from the finalisation of certain project expenses.
"We are confident that our RM1.7 billion worth of launches as of June 30, 2024, will drive strong sales and positively impact the company's financial performance," said chief executive officer Jeffrey Chew.
He highlighted that the value of the company's property launches in the first half of 2024 more than doubled the full-year 2023 total of RM886 million.
Chew also noted that the six-month sales of RM638 million have already surpassed those of the first half of 2023.
He expressed confidence that the sales momentum will continue for The Ashwood, which accounted for over 60 per cent of sales, as well as for other projects.
As of June 30, 2024, Paramount's unbilled sales stood at RM1.4 billion, with 416.9 acres of undeveloped land.
Looking ahead to the second half of 2024, the company plans to launch four projects (including new phases of existing projects) with a projected gross development value (GDV) of RM700 million.