IOI Properties posts strong growth in nine-month FY26 revenue, profit
PETALING JAYA: IOI Properties Group Bhd (IOIPG) registered a 41% increase in revenue to RM3.06 billion for the first nine months of the financial year ending June 30 2026 (9M FY26), compared to RM2.17 billion in 9M FY25.
The strong growth was driven by robust performance across all three core business segments, with the property development, property investment and hospitality and leisure segments registering commendable growth of 28%, 41% and 83% respectively.
Profit before tax (PBT) in 9M FY26 increased more than fourfold to RM1.95 billion, compared to RM430.9 million in 9M FY25. The strong performance was primarily attributed to a fair value gain on investment properties and remeasurement gain on South Beach, Singapore, amounting to RM567.1 million and RM502.8 million, respectively.
Excluding these exceptional items, the group’s underlying PBT rose by 88% to RM878.6 million, underpinned by stronger contributions across all segments.
“Our financial year 2026 nine months’ results are testaments of our strategies to balance revenue portfolio, capitalising on industrial demand and rolling out market-driven products while improving productivity and efficiency across all three business segments, despite the challenging global economic environment and the ongoing geopolitical tensions.
Looking ahead, the group’s property investment segment is poised to continue its upward trajectory, supported by the improving physical occupancy levels at IOI Central Boulevard Towers and South Beach Tower.
In tandem, the group’s recurring income portfolio has expanded significantly and is approaching the scale of its property development segment upon the inclusion of Asia Square Tower 2, thereby strengthening earnings stability and enhancing resilience amid market uncertainties.
Complementing the growing property investment segment, the group’s diversified product offerings across three countries, the positive outlook of the hospitality & leisure segment, and the favourable interest rate, are anticipated to provide a strong foundation for sustained earnings for the fourth quarter of the financial year, ” said IOIPG CEO Datuk Lee Yeow Seng.
In 9M FY26, the property development segment achieved sales of RM2.71 billion. Local projects contributed RM2.48 billion, accounting for 92% of total sales, while projects in China contributed RM148.6 million, or 5%, and Singapore accounted for the remaining RM82.3 million, or 3%.
In Malaysia, sales were primarily driven by the Klang Valley region at RM1.8 billion and this was led by industrial land sales in IOI Industrial Park Banting and Jalan Ampang, alongside the steady contributions from the group’s well-established townships of 16 Sierra in Puchong South and Bandar Puteri Puchong. Meanwhile, the Johor region registered RM675.3 million in sales, mainly driven by industrial land sales in IOI Industrial Park Iskandar Malaysia, while the townships of Bandar Putra Kulai and Taman Kempas Utama continued to outperform.
Consequently, unbilled sales rose by RM1.25 billion during the period, bringing them to a new high of RM2.1 billion, ensuring strong earnings visibility in the near to medium term.