Melaka-based property developer, Teladan Group Berhad (Teladan) has recorded a lower net profit of RM23.9 million as compared to RM35.4 million previously for the nine months financial results for the period ended 30 September 2023 (9MFY23), down by around 32%.
“The decline was mainly due to reduced contributions from the completed projects and higher administrative expenses for employee benefits,” the group said today (Nov 20).
In its its third quarter (3QFY23) and 9MFY23 results announcement, the group also said the group has recorded a revenue of RM202.8 million in 9MFY23 as compared to RM210.4 million in the corresponding period last year (9MFY22).
“This was primarily due to lower contributions from the completed projects of Bali Residences, Taman Desa Bertam Phase 2 and Phase 3A.
“Nonetheless, the decline was offset by higher contributions from ongoing projects, such as Taman Desa Bertam Phase 3B and 4A, Taman Bertam Heights Phase 1B, as well as Taman Impiana Kesang Phase 1A.
As for the 3QFY23 results, Teladan reported a revenue of RM68.6 million, down from RM75.9 million in the same quarter last year (3QFY22).
“Similarly, net profit in 3QFY23 decreased to RM7.6 million from RM11.7 million in the previous period, primarily due to reduced project contributions and higher administrative expenses,” it said.
Its managing director Richard Teo Lay Ban said amidst the challenges posed by the subdued economic landscape, the group remains committed to building quality, sustainable homes that cater to the evolving needs of our homeowners.
“During the quarter, Teladan launched a new property, namely Taman Impiana Kesang Phase 1B with a gross development value (GDV) if RM24.8 million.
“Besides that, our ongoing projects also garnered strong market interest, reflected in the robust take-up rate for Taman Bertam Heights Phase 1B and these efforts contributed to our group’s encouraging property sales totalling RM187.9 million in 9MFY23,” he said.
“As we move forward, we remain prudent in launching developments tailored to meet market needs. Despite some uncertainties in the broader economic landscape, the recent unveiling of the Budget 2024 further bolstered our confidence in the property sector,” Teo added.
As at 30 September 2023, Teladan, formerly known as Teladan Setia Group Berhad, holds one of the largest undeveloped land banks in Melaka at approximately 979.4 acres.
As for the dividend payout, the group declared an interim dividend of 0.5 sen per share for the financial year ending 31 December 2023 (FY23), payable on 18 December 2023 to reward its shareholders.
