KUALA LUMPUR (June 15): Glomac Bhd is planning RM1.22 billion worth of new landed and high-rise residential projects for the financial year ending April 30, 2017 (FY17).

In a statement, it said RM450 million new sales was recorded in FY16 against a backdrop of softer market conditions and the decision to hold back launches in the year.

It has an unbilled sales of RM652 million as at end-April 2016, which is expected to improve, boosted by robust launches in FY17, including capitalising on the demand for landed residential units in its township developments.

Glomac is looking at launching new phases of mostly terrace houses throughout Klang Valley and Johor, as well as upscale products such as semi-detached units in Saujana KLIA, and Bandar Saujana Utama with a gross development value (GDV) of RM1.2 billion.

Glomac’s net profit fell 26% to RM21.9 million or 3.04 sen per share in its fourth quarter ended April 30, 2016 (4Q16), from RM29.6 million or 4.11 sen per share a year ago.

This is mainly due to provisions made for foreseeable loss, and liquidated ascertained damages (LAD) totaling RM31.7 million in the current quarter, it said in filing with Bursa Malaysia today.

Revenue came in 1.32% higher at RM171.7 million in 4QFY16, compared qith RM169.4 million last year, mainly contributed by projects in Saujana KLIA (Sepang), Reflection Residences (Mutiara Damansara), Puchong Lakeside Residences and Glomac Centro in Bandar Utama.

The board has proposed a single-tier final dividend of two sen per ordinary share in respect of financial year ended April 30, 2016 (FY16).

For FY16, Glomac posted a 7.8% lower net profit at RM80.2 million or 11.17 sen per share, as opposed to RM87 million or 12.01 sen per share in FY15.

“Decrease in year-to-date profit attributable to owners also resulted from lower fair value recognition for investment properties of RM10 million, compared to RM30.2 million in previous year,” it said.

Revenue for FY16 grew 26.5% to RM599 million, from RM473.2 million last year, Glomac said.

Moving ahead, the group said FY17 has started on a positive note,= with the proposed disposal of the land of RM145.6 million, which is expected to be completed soon.

Its directors are of the opinion that the environment going forward, will continue to be challenging; nevertheless prospects remain favourable, underpinned by a strong financial position and a robust pipeline of development projects.

“Glomac’s development portfolio has a potential GDV of RM7 billion, dominated substantially by landed residential and township development projects. Glomac is confident to deliver sustainable growth, underscored by its solid development platform that is focused on the affordable landed residential segment,” it said.

Glomac closed half sen or 0.66% lower at 75.5 sen today, for a market capitalisation of RM550 million.