The group with its businesses ranging from property, hospitality, to wellness group, has announced the results for its first quarter ended 31 March 2022 (1Q2022) with total revenue of RM9.2 million compared to RM7.7 million for the previous year’s corresponding quarter ended 31 March 2021. While, profit before tax was RM3.55 million for the current quarter compared to a RM5.2 million loss before tax in the previous year’s corresponding quarter.
“As we begin launching our RM300 million property program to monetize our Realisable Net Asset Value, we remain committed to adopting technology to transform our business model, including executing the partnership with JD.com and the development of Mines Smart City,” Managing Director of CHHB, Datuk Jared Lim commented.
“The Healthcare division recorded revenues of RM5.8 million as compared to RM5.1 million in the same quarter for 2021. The Covid-19 RT VCR testing and vaccine service contributed to the revenue increase. The gross profit increased by 8% from RM3.7 million in FYE 2021 to RM4.0 million in FYE 2022.”
“The Resorts and Hospitality division recorded revenues of RM1.1 million in the current quarter compared to RM0.9 million for the first quarter of 2021. There was mainly due to contribution from Palace Vacation Club timeshare membership. Our plans to relaunch Mines Beach Resort in 3Q2022 will further increase the hospitality revenue for FY2022.”
Segment profit was recorded at RM6.0 million for the first quarter of 2022 as compared to a segment loss of RM1.2 million for the same quarter of 2021. The increase in the segment profit resulted from the waiver of debts amounting to RM7.2 million from the Golden Horse Palace Berhad under the scheme of arrangement in the current quarter of 2022. The Palace of the Golden Horses hotel has been temporarily closed since June 2020 to restructure its overall operations.
The Exhibition and Convention division contributed RM0.8 million of revenue in the current quarter as compared to RM0.3 million in the first quarter of 2021. The revenue contribution generated from the increased event function was recorded at RM0.6 million.
While, the Property Division recorded revenues of RM1.6 million in the current quarter compared to RM1.4 million for the first quarter of 2022 contributed by sales of the Belezza Phase 3 project, double storey development located in Jitra, Kedah.
Segment profit was recorded at RM0.6 million for the first quarter of 2022 as compared to a segment loss of RM1.5 million for the same quarter of 2021. This was mainly due to the reversal of provisioned operating costs.
Digital Landlord
“As all of our divisions begin their turnaround, we remain focused on our Digital transformation initiatives. The M Smart City App will be launched in Q3 2022 whereby Mines Wellness City will be the first township in Malaysia to use the smart city app with cryptocurrency enablement. This will integrate the Mines community and allow integrated digital services, cutting-edge community engagement, and smart city management all on one smart city app,” Datuk Jared explained.
“In April 2022, we announced our collaboration with JD.com, a clear signal to the market that CHHB is intent on transforming its business model into the digital age. This partnership will launch Malaysia’s first Omnichannel model involving MIECC as the flagship retail store for curated JD.com merchandise spanning over 150,000 sf, which will lead customers to the online platform, the localized version of JD.com.”
