By TMR / Pic By MUHD AMIN NAHARUL
GAMUDA Bhd posted a net profit of RM184.9 million for the fourth quarter ended July 31, 2019 (4Q19), compared to a net loss of RM103.6 million in the same quarter a year ago.
Revenues for the quarter also increased to RM1.49 billion from RM1.2 billion in the same quarter of 2018.
The company in a financial note to announce its results, said Gamuda Land Sdn Bhd posted its second-highest annual property sales of RM3.1 billion in the financial year 2019 (FY19), lower than the record high sales of RM3.6 billion achieved last year due to a challenging Malaysian property market.
“Nevertheless, overseas property sales underpinned by the two projects in Vietnam remained strong. Overseas sales contributed two-thirds of overall property sales,” the company stated.
Profit for the year ending 4Q19 rose to RM706.1 million from RM530.1 million recorded in the preceding financial year.
Gamuda Group posted a lower net profit of RM706 million as compared to last year’s core net profit (excluding last year’s one-off losses arising from the disposal of Syarikat Pengeluar Air Sungai Selangor Sdn Bhd (Splash) and a one-off discount on Gamuda Water Sdn Bhd’s trade receivables) of RM835 million due to the sale of Splash and Mass Rapid Transit Line 2 (MRT2)’s contract value reduction, said the company.
“Gamuda Land sold RM1.1 billion worth of properties in the 4QFY19. The two projects in Vietnam, Celadon City in Ho Chi Minh City and Gamuda City in Hanoi, continued to deliver steady results and remained the biggest contributor of overseas sales,” it said.
Gamuda posted a lower net profit of RM185 million in 4QFY19 compared to a core net profit of RM201 million if excluding last year’s one-off losses arising from the disposal of Splash and a one-off discount on Gamuda Water trade receivables for the same quarter last year due to the sale of Splash and MRT2’s contract value reduction.
It said overseas projects continued to perform well with sales contributing two-thirds of group property sales; bolstering property earnings.
The group stopped recognising its share of Splash profits at the end of last year.
Gamuda anticipates next year’s performance to be driven by overseas property sales especially Vietnam and the progress of MRT2 that continues to pick up pace.