Bolton to launch projects with RM3bil gross development value

by **hlk** Wed 21 Sep 2011, 22:01

SHAH ALAM: Market-listed property developer, Bolton Bhd, will be launching projects with a gross development value (GDV) of RM3 billion over the next 12 months.

Executive Director Chan Wing Kwong said for the current financial year ending March 31, 2012, the group has three projects to be launched with a total GDV of RM1 billion.

"We have also received preliminary approval for our proposed revision to the development plan of the 1.74 hectare Jalan Mayang land in the KLCC area, which we plan to launch next year," he told reporters after the group Annual General Meeting here, today.

He said the project will be a mixed commercial development with an estimated GDV of RM1.8 billion. Chan said the group is still considering more land acquisitions while looking for potential joint venture development opportunities.

"We have to continue to push the envelope in terms of creativity and innovation with regard to product range, marketing strategy, business development and customer service," he added.

For the financial year ended March 31, 2010, the group posted a lower pre-tax profit of RM20.3 million as compared to RM50.7 million previously, while revenue was down to RM243.8 million from RM257.5 million.

The decline in pre-tax profit was due to one-off charges, namely, the mark-to-market losses on quoted securities of RM6.5 million and higher marketing expenses of RM17.6 million incurred due to the record sales performance achieved during the year.

Bolton's Executive Chairman Datuk Azman Yahya considers the lower earnings to be an anomaly, as when the group begins to deliver on its projects, it will be reaping the benefit of higher profits.

"Our comprehensive income for the year was RM31.8 million. Of equal importance is that we amassed RM64 million cash from our operation, which put us in a firm position to sustain our growth plan," he said.

The group recorded RM586 million in sales, the highest in its 47-year history, representing a 125 per cent increase over the RM260 million achieved in the last financial year, with unbilled sales of RM484.6 million as at March 31, 2011. - BERNAMA