Malton’s FY15 results should surpass FY14

PETALING JAYA: Malton Bhd expects its performance for the financial year ending June 30, 2015 (FY15) to surpass FY14's, driven by RM1.2 billion worth of new projects in the financial year as well as its existing projects.
Its director of corporate finance Ng Chee Kiet said the group recorded a net profit of RM35 million in FY13 and about RM52 million in FY14.
"We should target to improve from there. With the new launches, we should be able to do so (surpass FY14's results). The outlook for this financial year is positive," he told reporters after the group's AGM here yesterday.
Malton's RM1.2 billion of projects to be launched includes phases in Bukit Jalil City, Nova Pantai and Ukay Spring, which are all in the Klang Valley.
It plans to launch the second phase of Bukit Jalil City (505 units of serviced apartments) by Q115 with a gross development value (GDV) of RM600 million. Nova Pantai's 400 units are slated to be launched in Q215 with a GDV of RM400 million while Ukay Spring's first phase of semi-detached linked house is to be launched by Q215 with a GDV of RM180 million.It also has an unbilled sales of over RM400 million.
Ng said the group is not urgently looking for land bank at the moment as it has a sufficient 600 acre-landbank in Bukit Jalil City, Batu Kawan (Penang) as well as Pengerang (Johor) to keep it busy for the next decade.
"We're quite comfortable now, not actively adding land bank, as Bukit Jalil City will keep us busy for the next five years. We've also acquired 300 acres of land in Batu Kawan three years ago and will take 10 years to develop. We're still planning our land bank," said Ng.
"In the next one year, we will focus on the Klang Valley. We see that the demand is still strong, from the recent launch of the first phase of Bukit Jalil City and Seri Kembangan project (SK One residence)."
He said 60% of the group's business is in the property development and property trading division and the remaining 40% is in the construction and project management division.
In the construction segment, about 60% are external projects and 40% internal projects and Ng said this would probably switch by the next two years. Its external construction orderbook stood at RM300 million and internal RM200 million.
"Construction is to support our in-house projects. Going forward two to three years on, when Bukit Jalil City is in full steam, we'll be busy handling the in-house projects and will not be tendering for (external) projects.
"We're conscious that we should keep our resources for internal, as new launches are coming on next year. Construction is more to support our own business," explained Ng.