IOI Properties posts RM1.63b profit as earnings surge nearly seven-fold
IOI Properties Group Bhd (IOIPG) delivered a sharp earnings uplift for the nine months ended March 31, 2026 (9M26), with net profit surging nearly seven-fold to RM1.63 billion from RM240.08 million a year earlier.
Revenue rose 41% to RM3.06 billion, compared with RM2.17 billion in 9M FY2025, underpinned by stronger contributions across all three core segments, namely property development, property investment and hospitality & leisure.
Pre-tax profit jumped more than four times to RM1.95 billion from RM430.9 million previously, largely driven by fair value gains on investment properties of RM567.1 million and a RM502.8 million remeasurement gain from South Beach.
Excluding these non-recurring items, IOIPG said underlying profit before tax rose 88% to RM878.6 million, reflecting stronger operational performance across its business segments.
Its Group CEO Datuk Lee Yeow Seng said the results reflect IOIPG’s strategy of balancing its revenue portfolio while capitalising on industrial demand and improving operational efficiency across its businesses.
He said the property investment segment is expected to continue strengthening, supported by improving occupancy at IOI Central Boulevard Towers and South Beach Tower, as well as the expansion of its recurring income base with the inclusion of Asia Square Tower 2.
“This growing recurring income portfolio is approaching the scale of our property development segment, which will further enhance earnings stability and resilience,” he said.
For the nine-month period, property development sales reached RM2.71 billion, with Malaysia contributing RM2.48 billion or 92% of total sales, followed by China and Singapore.
In Malaysia, Klang Valley remained the key growth driver, led by industrial land sales in IOI Industrial Park Banting and Jalan Ampang, alongside steady demand from established townships including 16 Sierra and Bandar Puteri Puchong.
Johor also delivered strong performance, supported by industrial land sales in IOI Industrial Park Iskandar Malaysia and continued demand from Bandar Putra Kulai and Taman Kempas Utama.
Unbilled sales rose RM1.25 billion to a record RM2.10 billion, providing strong earnings visibility for the group.
Lee said momentum remained robust, citing the full take-up of The Cube Plus commercial development in Bandar Puteri Puchong during its March 2026 launch, with a gross development value of RM738.3 million.
The property investment segment was supported by stronger occupancy across key Malaysian and Singapore assets, while hospitality operations also improved on higher regional tourism activity.
IOIPG said its diversified portfolio across three countries, combined with improving tourism trends and stable interest rate expectations, provides a strong foundation for sustained earnings into FY26.