Thursday 28 Mar 2024
By
main news image

KUALA LUMPUR (Aug 26): Damansara Realty Bhd, controlled by Johor-based Seaview Holdings Sdn Bhd with a 51% stake, said its group chief executive officer Mohd Fazlin Shah Mohd Salleh has resigned after just one year "to pursue his other personal interest".

Mohd Fazlin Shah, 47, assumed his current post on Aug 21, 2015. He holds the principal responsibilities of reporting, clarifying, communicating and recommending key strategic and operational matters and proposals to the board for approval, as well as implementation of policies and strategies.

In a separate filing with Bursa Malaysia today, Damansara Realty said its net loss widened to RM6.02 million or 1.94 sen loss per share in the second quarter ended June 30, 2016 (2QFY16) from RM4.39 million or 1.42 sen loss per share a year ago, mainly due to deferred and delayed sales of properties amid current property market climate and rigid financing support by financial institutions in general.

Revenue slipped to RM44.6 million in 2QFY16 from RM44.92 million in 2QFY15.

The weaker second-quarter results pulled Damansara Realty down to post a net loss of RM9.87 million in the cumulative six months (1HFY16) compared with a net profit of RM180,000 in 1HFY15, as revenue fell 15% to RM87.93 million from RM103.58 million a year ago.

Going forward, Damansara Realty said it will maintain its focus on its sales to institutional buyers and strategic partners.

"Our persistent promotions and targeted buyers are progressing positively with genuine potential buyers showing interest and significant numbers of bookings were received in the third quarter of 2015. We strongly believed that institutional investors (property) will respond positively in the second half of 2016 in a buyers market," it said.

"We anticipate that sales of completed properties will be realised in 3Q16 and 4Q16, especially for our properties in Aliff Square, Johor Bahru, and Damansara Hills 1 in Kuantan, Pahang," it added.

Damansara Realty said this new focus, coupled with focused strategic planning which will set out significant number of new projects with greater scale and value in its current land banks in Johor Bahru and Kuantan, will set the pace for the group, ensuring its future growth and sustainability.

"Our property services segment had completed almost 50% of its turnaround exercise to weed out loss-making and unacceptable low margin contracts that pulls down profits and earnings. We are zooming into a few potentials especially in facilities management contracts in the near future," it said.

Damansara Realty shares closed 0.5 sen or 0.71% higher at 70.5 sen today, bringing a market capitalisation of RM216.56 million.

 

      Print
      Text Size
      Share