KUALA LUMPUR (May 27): SHL Consolidated Bhd saw its net profit surge 208% on-year in the fourth quarter ended March 31, 2015 (4QFY15) to RM44.26 million from RM14.35 million, on growth in its property development segment.

Revenue for the quarter was up 61% to RM60.98 million from RM37.77 million in 4QFY14, its filing to Bursa malaysia showed.

The group also declared a second interim dividend of 10 sen for FY15, payable on June 30, bringing its total dividend for FY15 to 17 sen compared to 14 sen in FY14.

“The increase of the group’s profit is mainly due to the introduction of new phases of a newly launched housing project development in Goodview Heights, Bandar Sungai Long South, Selangor, and revaluation gain of investment properties,” it said.

The group also added that its investment and services segment saw an increase of fair value on the revaluation of investment properties in 1QFY15.

The improved quarterly results pulled its cumulative 12 months (FY15) net profit up 87% to RM104.57 million from RM55.82 million in FY14, while revenue rose 12.37% to RM230.3 million from RM204.93 million.

“The increase of the group’s profit [for the year] is mainly due to profit generated from the newly launched housing project development in Goodview Heights, Bandar Sungai Long South, and Rawang Corporate Industrial Park, Sungai Choh, both situated in Selangor and decrease in distribution cost and administration expenses and revaluation gain of investment properties.”

SHL (fundamental: 1.95; valuation: 2) said that it is cautiously optimistic that its performance will be satisfactory in FY16.

SHL closed 0.29% or one sen higher at RM3.40, for a market capitalisation of RM823.22 million.

(Note: The Edge Research's fundamental score reflects a company’s profitability and balance sheet strength, calculated based on historical numbers. The valuation score determines if a stock is attractively valued or not, also based on historical numbers. A score of 3 suggests strong fundamentals and attractive valuations.)