UEM’s Q3 earnings more than doubled to RM86m

PETALING JAYA: UEM Sunrise Bhd’s net profit more than doubled to RM86.6 million for the third quarter ended Sept 30, 2017 against RM36.33 million in the same quarter a year ago, underpinned by strong construction progress from its international and local projects, inventory monetisation initiatives and a gain from the disposal of its land in Richmond, Canada.

Its revenue also rose 69.9% from RM421.25 million to RM715.77 million.

The property developer told Bursa Malaysia that it is on track to meet its sales target of RM1.2 billion for the current financial year in view of commendable bookings received.

To date, it has launched projects with a total gross development value of about RM1.9 billion, exceeding its target for 2017 of RM1.7 billion.

UEM Sunrise’s unrecognised revenue as at Sept 30 stood at RM2.9 billion.

Commenting on Bank Negara’s remarks on imbalances in the property market, the group said it has and will continue to address those challenges by reviewing and consolidating its products in response to the shift in the market.

“In addition, we will continue with our asset monetisation strategy through the divestment of our noncore assets to provide us the additional capital resources to secure strategic land banks in the central region.”

UEM Sunrise’s nine-month net profit jumped 158% from RM94.01 million to RM242.43 million. Revenue came in at RM2.16 billion, 77.1% higher than the RM1.22 billion it made a year ago.

Its shares gained 1 sen or 0.96% to close at RM1.06 yesterday on some 996,300 shares done.