KUALA LUMPUR (Nov 21): LBS Bina Group Bhd has recorded a 13.8% growth in net profit for the third quarter ended Sept 30, 2023 (3QFY2023), underpinned by better site construction activities, as well as cost savings upon delivery of vacant possession for two completed projects.
Net profit rose to RM40.21 million or 2.11 sen per share, from RM35.35 million or 1.78 sen per share in 3QFY2022, the group’s stock exchange filing on Tuesday showed.
This is despite revenue declining 11% to RM471.49 million from RM529.89 million previously, while finance costs rose 22% to RM17.75 million from RM14.6 million over the same period.
For the cumulative nine-month period, the builder-cum-property developer recorded a net profit of RM103.72 million or 5.73 sen per share, a 3.1% growth from RM100.64 million or 5.48 sen per share in the previous corresponding period. Nine-month revenue dropped 8.6% to RM1.23 billion from RM1.35 billion.
“Despite the prospects of property’s sector remaining challenging, the group has secured RM1.58 billion in new property sales as of Nov 20, 2023, with bookings in the pipeline, amounting to RM234 million that are poised for conversion,” said LBS Bina.
As at end-October, LBS Bina said its land bank stood at 2,791 acres, with unbilled sales of RM2.2 billion that provide earnings visibility over the next two-to-three years and set to boost its cash position, which stood at RM341.2 million as at 3QFY2023.
LBS Bina executive chairman Tan Sri Lim Hock San expressed optimism in the group’s outlook as its net profit margin increased to 9.5% in 3QFY2023, compared with 7.4% a year ago.
“As we enter the final quarter of 2023, we are determined to maintain our momentum. With RM1.7 billion launches so far, we are experiencing robust take-up rates of more than 80% across our ongoing projects, indicating the public’s acceptance of our developments,” he said in a statement.
LBS Bina’s shares closed unchanged at 55 sen on Tuesday, giving the group a market capitalisation of RM863.08 million. The counter gained 38% year-to-date.
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Source: EdgeProp.my
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