PETALING JAYA: Mah Sing Group Bhd’s net profit fell 22.1% to RM50.02 million in the third quarter ended Sept 30, 2019 against RM64.23 million reported in the same quarter of the previous year, attributed to lower revenue.
Revenue for the period stood at RM415.47 million, a 17.6% decrease from RM504.26 million registered previously.
For the nine-month period, Mah Sing reported a net profit of RM155.35 million, a 24.4% drop from RM205.57 million in the same period a year ago, while revenue contracted 19.7% to RM1.35 billion from RM1.68 billion.
During the period, it achieved RM1.136 billion in sales against its RM1.5 billion sales target for 2019.
According to the group’s Bursa filing, its property development business saw operating profit in the nine-month period fall to RM189.3 million from RM244.8 million.
Meanwhile, operating profit for the plastics segment declined to RM13.5 million from RM15.6 million due to the inclusion of certain gains which arose from the sales of mould in the corresponding period last year.
Mah Sing said that it is positive that its property projects will continue to gain traction from buyers, as it offers the right products in strategic locations and at the right price points, in line with market demand.
“In line with our growth strategy, we are constantly on the lookout for more prime land at strategic locations with attractive pricing points as it resonates with our aim to expand in areas with large population growths,” said its founder and group managing director Tan Sri Leong Hoy Kum in a press release.
As at Sept 30, the group has remaining landbank of 2,064 acres, with gross development value and unbilled sales of about RM25.5 billion, providing steady earnings visibility for the next eight to nine years.
