KUALA LUMPUR, Feb 24 — UEM Sunrise Bhd’s net profit for the financial year ended Dec 31, 2019 (FY19) declined to RM223.80 million from RM279.99 million in FY18.
Revenue, however, rose to RM2.90 billion from RM2.04 billion previously, attributed to the divestment of St Kilda Road site and higher settlement of Aurora Melbourne Central, it said in a filing with Bursa Malaysia today.
“Net profit is lower due to higher gross margins recognised for the land disposals in FY18, higher effective tax rate, lower contribution from associates and joint-ventures, as well as further impairment of investment in a joint- venture company, Malaysian Bio-XCell Sdn Bhd,” it said.
On prospects, UEM Sunrise said it is targeting to launch properties with a total gross development value of RM2 billion focusing on mid-market landed properties, mainly Aspira themed products and a new mid-market landed development, Senadi Hills, both in the Southern region, in addition to new phases at Serene Heights Bangi in the Central region.
The company said it is also targeting RM2 billion sales this year including the sale of Southern Industrial Logistics Cluster’s (SILC) developed industrial plots in Iskandar Puteri, Johor.
As of end-2019, the company’s unbilled sales stood at RM1.8 billion.
Nevertheless, it said the company is taking cognisance of the soft property market in the year ahead and would exercise prudence in facing the challenging environment. — Bernama
