I-bhd posts 3Q net profit of Rm5.03mil

KUALA LUMPUR: I-bhd recorded a net profit of Rm5.03mil for the third quarter (3Q) ended Sept 30, 2019, which was 11.3% lower over the previous corresponding quarter on the back of lower revenue contribution from property development

In a statement, the group said revenue dropped 30.36% year-onyear (y-o-y) in 3Q to Rm42.25mil owing to lower unbilled sales in property development as well as the soft property market.

According to the property developer, it remains focused on enhancing and extracting the value of i-city in preparation for new project launches within the development.

The group is also focused on the ongoing development of its investment properties and leisure assets namely, the Double Tree by Hilton hotel, the associated convention centre and the Gbi-rated corporate office tower.

The developments are expected to contribute a strong recurring income stream in the near future, it said.

“We have been careful amid these difficult operating conditions in not extending the group beyond its means.

“That said, i-city’s location in the heart of Selangor’s Golden Triangle continues to offer immense longer term value, and which will underpin growth over the next decade and with almost 70% of our gross floor area (GFA) still untapped,” I-bhd executive chairman Tan Sri Lim Kim Hong said in a statement.

The group said the completion of the rights issue of redeemable cumulative convertible preference shares (RCCPS) and the extension of its redeemable convertible unsecured loan stocks put the group in a strong financial position to take advantage of any upturn in the property market.

The RCCPS have been oversubscribed by 23.6 times and are expected to be listed and quoted on the Main Market of Bursa Malaysia on Dec 3.