ECO WORLD SECURES RM955m SALES IN 4 MONTHS
SEMENYIH: Eco World Development Group Bhd has secured RM955 million i n sales in the first four months of the current year ending October 2017.
“This is 57 per cent higher than the RM 6 0 7. 8 mi l l i o n posted in the previous year,” said president and chief executive officer Datuk Chang Kim Wah.
About RM797 million of the sales were from projects in the Klang Valley, while the remaining RM158 million were contributions from Johor and Penang, he said after a shareholders’ meeting, here, yesterday.
Also present were Eco World executive director Liew Tian Xiong and chief financial officer Datuk Heah Kok Boon.
Eco World’s firstquarter (Q1) profits ended January this year j ump e d more than fivefold to RM116.16 million, from RM20.67 million, due to gain on dilution of its equity interest in Paragon Pinnacle.
This was on the back of its Q1 revenue rising 28 per cent to RM592.71 million, from RM463.51 million previously, said the company in a filing to the local stock exchange
Chang said the Q1 profit was boosted by RM94.8 million gain from the application of FRS 10 — Consolidated Financial Statements to recognise the impact of a change in the group’s interest in Paragon Pinnacle from a fullyowned subsidiary to a 60 per cent joint venture.
He also said the result was supported by strong follow-through contributions from the Eco Grandeur, Eco Ardence and Bukit Bintang City Centre (BBCC) launches.
BBCC also recorded good sales with increasing interest from young urbanites and overseas purchasers.
“Over the next few quarters, we expect interest and sales momentum in the three projects to pick up further,” said Chang.
Earlier, Eco World shareholders approved resolutions on the reappointment of board of directors and provision of financial as- sistance within the company.
On March 9 this year, Eco World International Bhd (EWI) issued its prospectus in conjunction with its proposed initial public offering (IPO) is expected to take place next month.
Chang said the Employees Provident Fund’s entry as a 40 per cent shareholder to jointly develop another four projects and the completion of Eco World’s 25 per cent private placement would strengthen the group’s balance sheet and better manage its gearing level.
“We are on track to achieve our local sales target of RM4 billion sales. Once we complete our subscription for the 27 per cent stake in EWI, we will be entitled to recognise a proportionate share of EWI’s sales for the current year ending October this year,” he added. Ooi Tee Ching