I-Bhd 4Q net profit jumps 225%, pays 6 sen dividend

by **Cals** Fri 28 Feb 2014, 14:28

Business & Markets 2014

Written by Jonathan Gan of theedgemalaysia.com

Friday, 28 February 2014 13:37

KUALA LUMPUR (Feb 28): Property developer I-Bhd reported a 225% jump in fourth quarter net profit from a year earlier on the back of higher revenue. Investment properties' fair value gain had also supported profit growth.

In a statement to the exchange today, I-Bhd said net profit rose to RM29.6 million from RM9.1 million. Revenue climbed to RM55.7 million from RM30.7 million.

I-Bhds's income statement shows that the firm registered a fair value gain of RM13 million from its investment properties.

Full-year net profit rose to RM44 million from RM16.8 million a year earlier. Revenue was higher at RM152.1 million versus RM66.7 million.

In a separate statement, I-Bhd deputy chairman Datuk Eu Hong Chew
said the revenue increase was mainly due to higher sales from on-going projects in the group’s property development division as well as growth in the leisure division.

The company proposed a final single-tier dividend of six sen a share for shareholders’ approval at the company's annual general meeting.

Chew also highlighted the change in the group’s business. The property development segment has emerged as the group’s biggest revenue contributor, accounting for 62.4% of the total revenue.

“The growth of the property development segment is the result of various projects in i-City coming on stream.

“In 2012, we launched about RM300 million gross development value (GDV) (worth) of projects while in 2013, the launched GDV was in excess of RM1 billion.”

In 2014, Eu said I-Bhd planned to launch projects worth RM775 million in i-City. Another RM820 million portion is expected to come from its Grand i-residence project.

Grand i-residence is located close to the Kuala Lumpur City Centre.