KUALA LUMPUR, March 20 (Bernama) -- Eco World Development Group Bhd has recorded a net profit of RM80.34 million in the first quarter (1Q) ended Jan 31, 2025, from RM69.63 million in the same period last year.
Revenue for the quarter under review was slightly higher by 0.3 per cent to RM539.63 million from RM537.79 million previously, said the real estate developer in a Bursa Malaysia filing today.
The increased revenue resulted from higher contributions from active phases and new phases, which outweighed the lower contributions from phases nearing completion.
“The main projects which contributed to revenue and gross profit in 1Q 2025 were Eco Botanic, Eco Botanic 2, Eco Spring, Eco Tropics, Eco Business Park I and Eco Business Park III in Iskandar Malaysia, and Eco Majestic, Eco Forest and Eco Sanctuary in the Klang Valley,” said Eco World.
The group also declared a first interim dividend in respect of the financial year ending Oct 31, 2025, of one sen per share, and shall be payable on April 22, 2025.
Meanwhile, the group and Eco World International Bhd ceased to be a joint venture and became an associate with effect from May 10, 2024, following the conclusion of the shareholders’ agreement entered into between GuocoLand Ltd, amongst others, and Eco World.
Collectively, the joint ventures recorded a total revenue of RM399.3 million in 1Q 2025, of which the group’s effective share, based on its equity stakes in the respective joint ventures, amounted to RM145.7 million.
“The group’s share of results of its joint ventures came mainly from Eco Grandeur, Eco Business Park V, Eco Ardence, Bukit Bintang City Centre and Eco Horizon.
“Total contributions in 1Q 2025 were approximately the same amount in 1Q 2024,” it said.
In a separate statement, Eco World Malaysia president and chief executive officer Datuk Chang Khim Wah said the group received a substantial boost with the signing of an agreement with Pearl Computing to build and lease the shell and core of data centres and associated structures on a 37.41-hectare land in Eco Business Park V.
“This will provide the group with substantial fixed rental revenue to anchor its recurring income aspirations,” he said.
Chang added that over the next three to five years, Eco Word intends to continue building up this portfolio of assets.
Approximately 20-30 per cent of future earnings will eventually be from recurring income sources, thus providing enhanced earnings stability and cashflow certainty going forward, he said.
-- BERNAMA
