Eco World posts 47.6% higher net profit

PETALING JAYA: Eco World Development Group Bhd registered a net profit growth of 47.6% to RM38.5mil for the third quarter ended July 31, boosted by its home ownership campaign #OnlyEcoWorld launched in June as well as its EcoWorld Help2Own (EW-H2O) financing package.

This was on the back of a revenue of RM490mil.

As at Aug 31, total sales achieved had reached RM2bil, more than double the total sales of RM923mil recorded in the first six months of the financial year.

EcoWorld president and CEO Datuk Chang Khim Wah said the intense social media and digital marketing drive over the last three months has been very successful in reaching out to its target customers.

“As a result, we have been able to double up our sales across all three regions where our 18 ongoing projects are located.

“This proves that buying interest, whether in the Klang Valley, Iskandar Malaysia or Penang, remains strong – the challenge is in coming up with the right products and development concepts that meet the lifestyle needs and aspirations of today’s discerning homebuyers.

“Over the next two months, we will be working hard to convert the many leads generated from both our on-line and off-line campaigns to lock in sales at all our projects with the aim of achieving our financial year 2018 (FY18) Malaysian sales target of RM3.5bil by Oct 31,” he said.

On the financial front, revenues from sales of EcoWorld brand properties in Malaysia also grew strongly. The company said a cumulative nine-month revenue of RM1.55bil was recorded by the group’s subsidiaries and RM705.4mil by its Malaysian joint-ventures (JVs) of which the group’s effective share, based on its equity stakes in the respective JVs, amounted to RM374.8mil.

This contributed to the steady growth in EcoWorld Malaysia’s core earnings.

Core earnings before interest and tax expanded 10.9% to RM71.8mil in the third quarter under review compared with the RM64.7mil achieved in the same quarter last year.