Friday 29 Mar 2024
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KUALA LUMPUR (May 16): Lower sales dragged Tropicana Corp Bhd’s revenue for its first quarter ended March 31, 2019 (1QFY19) down by 53.7% to RM209.77 million, from RM453 million a year ago.

Despite this sharp fall in revenue, net profit for 1QFY19 slipped just 0.73% to RM46.06 million, versus RM46.4 million recorded in the previous year’s corresponding quarter.

“The completion of two development phases at Tropicana Aman in 2018 resulted in higher profit recognition in the said quarter,” the property developer said in a statement today.

This decrease in revenue is mainly due to lower sales in the group’s 2018 financial year which had a carry-through effect on the results for the current year, it added.

As at March 31, 2019, Tropicana had total unbilled sales of RM736.9 million and an existing landbank of 1,071 acres, with a total potential gross development value (GDV) of RM48.6 billion.

“Despite the challenging outlook of the property industry due to global and regional economic headwinds, the group believes that there will still be demand for properties in prime locations with attractive pricing.

“The group will continue to be market-driven and unlock value from its existing landbank, located at strategic locations across the Klang Valley, Genting and Southern regions,” it said.

Moving forward, Tropicana said its future projects have a GDV of approximately RM3 billion within its existing and new signature townships.

Shares of Tropicana declined 1 sen or 1.16% to 86 sen today, leaving the group with a RM1.26 billion market capitalisation.

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