IOI Properties Q3 net profit jumps two-fold

Source: The Star

PETALING JAYA: IOI Properties Group Bhd’s net profit for its third quarter ended March 31,2021, rose two-fold to RM178.75mil from RM82.36mil in the previous corresponding period, driven by better performance of the company’s property development segment.

Revenue in the third quarter increased to RM578.95mil from RM401.43mil a year earlier, it said in a filing with Bursa Malaysia yesterday.

IOI Properties said its property development segment recorded revenue and operating profit of RM485.2mil and RM182.3mil respectively during the quarter under review.

“The recorded result is higher than the preceding year’s corresponding quarter by RM201.1mil or 71% and RM96.7mil or 113% respectively.

“Better financial performance in the current quarter is mainly attributable to higher sales contribution from both Malaysia and China, as well as advanced progress work from on-going residential development in China.”

For the nine months period ended March 31,2021, IOI Properties’ net profit grew to RM541.84mil from RM460.63mil in the previous corresponding period, while revenue grew to RM1.83bil from RM1.51bil a year earlier.

Commenting on its prospects, IOI Properties noted that dynamic sales and marketing campaigns for its property development segment received favourable response and contributed strongly during the third quarter of its current financial year, adding that profits will be registered in the coming quarters.

“The group will continue with its aggressive campaign and leverage on the Home Ownership Campaign under the National Economy Recovery Plan to drive sales of our mid-priced range of products, in tandem with market demands as these products remain well sought-after in our existing townships.

“In mainland China, the residential developments in IOI Palm City, Xiamen will continue to contribute to the group’s financial performance in the coming quarters. Meanwhile, IOI Palm City Mall, Xiamen has secured a high level of occupancy and the mall business is expected to commence by the third quarter of 2021.”

In Singapore, IOI Properties said the pace of construction progress of Central Boulevard Towers had picked up speed.