KUALA LUMPUR, March 25 — Eco World International Bhd’s (EWI) net profit surged to RM56.03 million for the first quarter ended January 31, 2021, from RM5.19 million a year earlier as the group began to recognise profit from its project in Melbourne, Australia.

Revenue also soared to RM303.28 million from RM51,000 previously.

In a filing with Bursa Malaysia today, EWI said the higher net profit was mainly due to the start of revenue and profit recognition of the Yarra One residential project in Melbourne following the progressive handover of units sold to customers and higher share of results in joint ventures.

Construction progress of Yarra One was severely affected by two rounds of strict lockdown imposed on the city of Melbourne in the financial year ended October 31, 2020.

EWI said also contributing to the net profit was impairment of goodwill in relation to the investment in a United Kingdom (UK) joint venture and West Village project in Sydney, Australia, totalling RM9.31 million in the quarter under review.

"The higher revenue arose from West Village and Yarra One following progressive handover of units sold to customers and fees for marketing services rendered by a subsidiary to the company’s joint venture in respect of property sales of its projects in UK,” it added.

Meanwhile, in a separate filing today, sister company Eco World Development Group Bhd announced its net profit rose to RM62.43 million for Q1 ended January 31, 2021, from RM36.51 million a year earlier.

Revenue, however, slipped to RM507.35 million from RM537.95 million in the corresponding quarter of last year. — Bernama