S P Setia’s 1Q net profit surges to RM77.33mil

KUALA LUMPUR: SP Setia Bhd achieved a total of RM1.42bil in sales in the first quarter ended March 31, 2024, on track to meeting its sales target of RM4.4bil in 2024.

In a statement, the property developer said the sales contributions were mainly from the southern and central regions in Malaysia.

SP Setia registered a net profit of RM77.33mil in 1QFY24 as compared to RM55.45mil in the same quarter in 2023, representing an earnings per share of 0.56 sen against 0.36 sen.

Revenue during the quarter under review was RM1.48bil, up from RM967.67mil.

SP Setia president and CEO Datuk Choong Kai Wai said the group experienced growth across its domestic and international markets despite the challenging global business environment.

“Our first-quarter results is a testament to the robustness of our business model and the success of our strategic market expansions. We’ve seen growth across the board, and while we’re looking ahead with positivity, we’re conscious of the need to maintain a steady hand on the tiller,” he said.

According to Choong, the group’s property development segment achieved pre-tax profit of RM180.8mil in 1QFY24, a 38.6% increase from the previous corresponding quarter.

This was driven by higher gross profit as the group benefited from higher contribution from its Eco Xuan development project in Vietnam, supported by landbank management and higher contribution from domestic property development.

Choong said the group’s investment properties and hotels also contributed higher profit during the quarter, compared to the loss-making performance in the previous year.

He noted also that project completions, especially within Australia, have been particularly successful due to the group’s diversified approach.

In 1QFY24, the group launched new projects with a combined gross development value of RM146.2mil.