EcoWorld’s Q1 net profit rises over threefold to RM30.32 mln

KUALA LUMPUR: Eco World Development Group Bhd's (EcoWorld) net profit surged to RM30.32 million for the first quarter ended Jan 31, 2019 (Q1 FY19), from RM9.77 million in the same period last year following a turnaround in the performance of its joint ventures.

The group's share of results from its Malaysian and international joint ventures swung to a profit of RM24.02 million against a loss of RM3.0 million a year earlier, it said in a filing with Bursa Malaysia yesterday.

EcoWorld's revenue, however, eased to RM491.23 million versus RM519.21 million previously.

The property developer said the developments in Klang Valley, Iskandar Malaysia and Penang were the main projects which contributed to the group's revenue and gross profit during the quarter.

On its 27 per cent-owned international joint venture, EcoWorld International Bhd (EWI), the group said it continued to be profitable in the quarter under review following the start of the delivery of completed units at London City Island and Embassy Gardens in the fourth quarter of the 2018 financial year (FY18).

"This enabled the group to record RM6.1 million as its share of EWI's profit in Q1 FY19, as compared to a share of loss of RM2.7 million in Q1 FY18," it added.

Meanwhile, in a separate statement, the group said it had set a combined sales target of RM12 billion for EcoWorld and EWI, with the two companies aiming to hit RM6 billion sales each for the financial year ending Oct 31, 2019 (FY19) and FY20.