PHB NET PROFIT SURGES OVER THREEFOLD TO RM117.2 MLN IN FY2024

KUALA LUMPUR, March 20 (Bernama) -- Pelaburan Hartanah Bhd’s (PHB) net profit for the financial year ended Dec 31, 2024 (FY2024) more than tripled to RM117.2 million from RM31.7 million in the previous year. 

In a statement today, PHB said the growth marks its strongest performance to date, underscoring the success of its strategic initiatives implemented in FY2024, positioning the group for sustained long-term growth.

“The robust financial performance was driven by record-high revenue of RM464.4 million, a 17 per cent increase from RM396.0 million in FY2023, supported by higher rental income, improved occupancy rates, and contributions from newly completed key assets.

“Net property income rose 25 per cent to RM275.2 million, reflecting effective asset management and disciplined cost control across PHB’s portfolio,” according to the statement. 

The property investment company said its revenue growth was underpinned by a stronger retail market, increased property-related income, and the completion of two key developments. 

“Mayang Mall in Kuala Terengganu and the Maersk LF Logistics Warehouse in Shah Alam both contributed to increased rental income, with Mayang Mall achieving more than 80 per cent occupancy rate as of Dec 31, 2024,” it said.

PHB stated that borrowing costs declined by 13 per cent to RM38.4 million, following the group’s RM1.5 billion sukuk issuance in September 2024.

“Strong market demand, reflected in a 2.2 times oversubscription, lowered PHB’s financing costs, with estimated savings of RM14 million, which will be fully realised in FY2025,” it added. 

According to PHB, the restructuring of its key subsidiaries, including PHB Facility Management Bhd and PHB Asset Management Bhd, is projected to deliver annual cost savings of RM4.5 million upon full implementation in FY2025.

PHB group managing director and chief executive officer Mohamad Damshal Awang Damit said, looking ahead, the company’s three-year business plan would focus on long-term portfolio growth while remaining agile in a dynamic market.

“PHB remains committed to a prudent and risk-aware investment strategy, ensuring sustainable growth while safeguarding asset value.

“We are expanding into high-growth sectors such as healthcare, industrial, and education while strengthening our presence in new markets, including the East Coast, Sabah, and Sarawak, while actively participating in new developments, particularly in Malay Reserve Land,” he added. 

With rising demand for environmental, social, and governance-certified office spaces, PHB is deepening its sustainability commitment -- six buildings are now certified green under the green building index or leadership in energy and environmental design, with a target to achieve 50 per cent portfolio-wide green certification by 2030. 

-- BERNAMA