The construction, civil engineering, and property development group has announced its second quarter (Q2FY2022) and six-months financial results for the period ended 30 June 2022 (6MFY2022).
In Q2 FY2022, the Group’s revenue rose by 12.4% to RM198.69 million from RM176.73 million recorded in the previous year’s corresponding period (Q2 FY2021). In terms of revenue breakdown by division, the construction division was the major contributor at 84%, followed by property development at 13% and hotel operations represented the remaining 3%.
During the quarter, a net profit of RM3.32 million was posted, which included unrealised foreign exchange loss of RM1.76 million. On an adjusted basis, core net profit stood at RM5.08 million, which is marginally higher as compared to RM4.87 million in the previous year.
For the cumulative 6M FY2022 period, the Group registered a revenue and core net profit of RM375.11 million and RM6.76 million respectively.
“The roll-out of the MRT Circle Line (“MRT 3”) is expected to be the next impetus for the Malaysian construction industry. Based on TRC’s extensive track record in mega railway infrastructure projects such as MRT and LRT, we are optimistic in our capability to secure a portion of MRT3’s projects, which would further enhance our Group’s earnings going forward,” Tan Sri Dato’ Sri Sufri bin Hj Mohd Zin, Group Managing Director of TRC said.
Its unbilled orderbook of RM800 million as well as property sales of RM180 million will keep the group busy until 2024.
In the property development division, the on-going development of 500 apartment units for the Perumahan Penjawat Awam 1 Malaysia (PPAM) in Precinct 18, Putrajaya is scheduled to be completed in March 2023.
At Ara Sentral, Phase 1 (GDV: RM304 million) which comprise of residential serviced apartments launched in 2020 has achieved a positive take-up rate of above 90%. With the units to be handed over to buyers either in the last quarter of 2022 or first quarter of 2023, plans are underway to launch Phase 2 likely in 2023 depending on property market condition.
This development is believed to be well-received due to its strategic location of being within the Ara Damansara LRT station. The entire Ara Sentral spans across 15.2 acres and has an estimated GDV of above RM1.0 billion.
The group’s hotel operations in Melbourne, Australia have improved on the back of reopened international borders and benefited from tourism industry turnaround there. Hotel occupancy rate has recovered to above 50% currently and demand is expected to remain robust in tandem with recovery of economic activities.
