Sime Darby Property proposes 3 sen dividend for fourth quarter

PETALING JAYA: Sime Darby Property Bhd’s net profit plunged 85.8% to RM46.57 million for the fourth quarter ended June 30, 2018 compared with the RM327.66 million made in the same quarter a year ago, due to lower property sales.

Its revenue fell 45.8% to RM617.37 million from RM1.14 billion.

The group has proposed an interim dividend of 3 sen per share for the quarter under review.

For the financial period ending Dec 31, 2018, Sime Darby Property aims to launch a total of 1,500 units with a combined gross sales value of RM1.1 billion, concentrated heavily on properties within the RM400,000 to RM850,000 price range.

It targets sales and unbilled sales of RM1 billion and RM2.2 billion, respectively.

Notwithstanding the uncertainty over government policies to curb oversupply in the housing segment while spurring growth for affordable housing and the effect of the reintroduction of the sales and service tax, Sime Darby Property said, the group will continue to focus on the development of landed properties within the affordable range in its key townships in the City of Elmina, Bandar Bukit Raja and Serenia City and the integrated development at Ara Damansara and Subang Jaya City Centre.

“The group has also initiated cost efficiencies during the last financial year, through strategic partnerships/ sourcing to drive development profitability and cost efficiencies as part of the transformation journey post the listing of the company in November 2017,” it said in a stock exchange filing.

Sime Darby Property’s full-year net profit, however, increased 2.6% to RM640.01 million from RM624.03 million, while revenue dropped 9.9% to RM2.35 billion from RM2.61 billion.

On Bursa Malaysia yesterday, Sime Darby Property was unchanged at RM1.23 on 2.51 million shares traded.