corporate

Matrix Concepts records net profit of RM60.7mil in Q1, pays 2.5 sen dividend

KUALA LUMPUR: Property developer Matrix Concepts Holdings Bhd registered a lower net profit of RM60.7 million in the first quarter ended June 30, 2024 (Q125) from RM64.6 million a year ago. 

Quarterly revenue fell 15.6 per cent to RM279.7 million from RM331.4 million previously, mainly due to the timing of new property launches at its flagship Sendayan Developments, which will be recognised in the coming quarters. 

Earnings per share came in lower at 4.85 sen compared to 5.16 sen in Q124.

Meanwhile, the group's new property sales increased 5.2 per cent to RM321.3 million, driven by a healthy demand across all the group's developments, namely Sedayan Developments at Seremban, Levia Residences at Kuala Lumpur, and Bandar Seri Impian at Kluang.

Driven by the strong first-quarter sales performance, the group is targeting to secure RM1.3 billion of new property sales for the financial year ending March 31, 2025 (FY25).

This will be supported by a robust pipeline of projects exceeding RM1.6 billion in value, strategically located across key regions including Negeri Sembilan, Klang Valley, and Johor.

Furthermore, the group's unbilled sales surged by 23.5 per cent to RM1.59 billion as of June 30, 2024, from RM1.28 billion as of March 31, 2024, providing visibility for future earnings recognition over the next 15 to 18 months. 

Matrix Concepts has declared a first interim dividend of 2.5 sen per share for FY25, with the dividend ex-date on Sept 26, 2024, and the payment date on Oct 10, 2024. 

The dividend payout amounts to RM31.3 million, or 50.9 per cent of 1Q25 profit after tax.

Commenting on the financial performance, chairman Datuk Mohamad Haslah Mohamad Amin said Matrix Concepts is strategically positioned to capitalise on the robust demand for our properties in Sendayan Developments. 

He noted that the strong lineup of property launches this year will drive the group towards achieving its sales targets and sustaining a solid earnings trajectory.

"Moreover, our recent land development agreement with NS Corporation for 1,000 acres of prime land in the Malaysian Vision Valley 2.0 development corridor, complementing the 559.26-hectare land acquisition secured last year, marks a significant milestone in our growth journey.

"These strategic initiatives, with an estimated combined gross development value of RM12 billion, provide us with a substantial platform for long-term expansion, ensuring our ability to deliver sustainable growth well into the next decade," he said in a statement. 

Additionally, Mohamad Haslah said the group's consistent track record of exceeding RM1 billion in annual new property sales over the past four years underscores the strength of our business model and the effectiveness of its long-term development strategy. 

He added that the sustained performance, complemented with its cost efficiency and the growing contribution from its expanded business segments, has enabled the group to deliver strong earnings and consistently reward its shareholders with meaningful dividends.

"Building on this success, we remain committed to actively pursuing landbanking opportunities to further expand our presence in Klang Valley and Johor, while also exploring promising international ventures in Australia and Indonesia. 

"We are confident that these strategic initiatives will support our continued growth," he said.

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