Latest news with #RM1.5bil
The Star
6 days ago
- Business
- The Star
Batang Saribas bridge to be declared opened July 19
KUCHING: The RM375.5mil Batang Saribas 1 bridge will be officially declared open by Sarawak Premier Tan Sri Abang Johari Openg on July 19. Deputy Premier Datuk Amar Douglas Uggah said the 1.55km span brought an end to the people's 60-year wait for a bridge across the Batang Saribas. The newly completed bridge was opened for public use on May 25. It is the fifth to be completed out of 16 bridges being constructed along the Sarawak Coastal Road. Uggah said Abang Johari was scheduled to officiate the bridge's opening in Pusa, a small coastal town in central Sarawak. He said the Premier would also launch the Betong Division Development Agency (BDDA) at the same time. "We feel that it is most appropriate for him to launch both the bridge and BDDA. "The people of Betong wish to thank the Premier for the bridge and for allocating a budget of RM1.5bil to BDDA," he said after chairing a meeting on preparations for the opening ceremony in Betong on Monday (June 16). Uggah said BDDA was set up in 2022 as one of nine regional development agencies in Sarawak. "BDDA is a game changer on the path towards fulfilling the people's expectations for more development and a better life," he said, adding that the organisers were targeting a crowd of 5,000 for the launch events. Also present at the meeting were Betong and Batang Lupar MPs Datuk Dr Richard Rapu and Mohamad Shafizan Kepli, Krian and Kalaka assemblymen Friday Belik and Mohamad Duri and Betong Resident Richard Michael Abunawas.
The Star
05-06-2025
- Business
- The Star
Paramount still keen on foreign markets
Paramount Corp Bhd group chief executive officer Jeffrey Chew. SHAH ALAM: Property developer Paramount Corp Bhd remains committed to overseas property investment amid market uncertainty and Eco World International Bhd 's (EWI) plans to re-enter the Malaysian property scene. In May 2024, Paramount became a major shareholder of EWI after acquiring a 21.54% stake in the international property developer for a cash consideration of RM170.61mil. Loss-making EWI focuses on international property development, mainly in Britain and Australia, but had recently announced plans to venture into the local market. Group chief executive officer Jeffrey Chew said EWI's decision to tap into the local market does not divert Paramount's objective of diversifying its earnings base and expanding property development activity overseas. 'I think our objective has always been to keep some assets outside of Malaysia. The fact that EWI has actually decided to launch in Malaysia does not mean that they are going to get rid of all the overseas projects. 'In a way, it still does meet our objective and original intonation of having assets outside of Malaysia,' he told the media during a briefing after Paramount's 55th AGM, yesterday. Chew noted that if EWI were to launch projects locally, revenue recognition would likely be faster compared to markets such as Britain or Australia. He said Paramount sees long-term value in maintaining its investment in EWI, maintaining a positive outlook over the next few years. On Paramount's broader overseas investment strategy, Chew said that the group tries to 'not put all its eggs in one basket' and continues to explore new opportunities. He acknowledged that earlier projects, including a venture in Bangkok, had underperformed due to post-pandemic market conditions. As a result, Paramount is now focusing on lower-risk, structured international investments that offer fixed returns and defined exit mechanisms. To date, Paramount has invested in six international property projects across Australia, Britain and the United States. In line with its updated investment approach, the group also revised its international profit contribution target to 20%, down from the earlier goal of 30%. He said the company was also working to improve internal performance metrics. 'We've grown our return on equity (ROE) from just over 2% a few years ago to 7.2% today, one of the highest in the domestic property sector. Our aim is to reach double-digit ROE in the next few years by improving operational efficiency, shortening development cycles and managing land acquisition more strategically,' he added. Looking ahead, Paramount remains confident in its ability to achieve its sales target of RM1.5bil, supported by the robust demand in the property market, specifically for residential property. Paramount posted a net profit of RM14.43mil or a basic earnings per share of 2.32 sen for the first quarter of this year (1Q25). This was higher from the RM7.71mil or 1.24 sen in the same quarter of the preceding year. Revenue also increased from RM172.61mil to RM217.84mil.
The Star
03-06-2025
- Business
- The Star
OCK targets bigger FY26 earnings from contracts
Phillip Capital Research said FY25 has been a challenging year due to sluggish order book replenishment. PETALING JAYA: OCK Group Bhd 's earnings in financial year 2026 (FY26) could surpass that of FY25 as it bids for more contracts to replenish its order book in the near-to-medium term. Phillip Capital Research said FY25 has been a challenging year due to sluggish order book replenishment following the completion of major projects such as Malaysia's first 5G network and Jendela Phase 1. OCK's RM250mil order book is led by telecommunication network services (62%), mechanical and electrical (30%), with RM1.5bil in activice bids. It said U Mobile Sdn Bhd intends to co-share about 160 existing towers with OCK, which is expected to enhance infrastructure efficiency and support the expansion of network capacity. The 5G infrastructure collaboration covers the deployment of towers, in-building coverage and related services with potential contract value exceeding RM500mil.
The Star
03-06-2025
- Business
- The Star
E&O's earnings outlook brightens on RM2bil project pipeline
PETALING JAYA: Eastern & Oriental Bhd (E&O) has about RM2bil worth of projects slated for rollout over the next 12 months which is expected to generate about RM850mil sales in its financial year 2026 (FY26), analysts say. RHB Research has raised its FY26 and FY27 earnings outlook for the company by 8% and 7%, respectively. E&O's unbilled sales rose to RM1.5bil from RM1.46bil in the third quarter of FY25 (3Q25). The research house maintained its 'buy' call on the stock but lowered its target price to RM1.17 from RM1.38 per share, citing persistent market volatility arising from regulatory changes that are expected to affect global trade and sentiment. The new target price is now based on a 50% discount to the property developer's revalued net asset value, compared with 40% previously. Upcoming property launches include its Senna and Fera homes in Penang with gross development value of RM306mil in July or August, maiden shop offices and three-storey terrace homes in Elmina development in Selangor, as well as a new block of mid-range waterfront service apartments on Andaman Island, Penang. E&O's results for its fourth quarter of financial year ended March 31 once again beat the research house's expectations. Earnings continued to be underpinned by ongoing projects and were boosted by the disposal of Esca House in London. Revenue remained stable on a quarter-on-quarter basis, supported by billings from ongoing projects such as The Meg, Arica, and Senna and Fera landed homes at Andaman Island, as well as the RM75mil sale of Esca House. However, headline pre-tax profit for FY25 was skewed by an unrealised foreign-exchange loss of RM29mil. Excluding this, FY25 core earnings would have been RM210mil versus RM100mil in gearing rose to 0.62 times from 0.59 times in the previous quarter. No final dividend was declared, with the FY25 dividend per share amounting to only one sen.
The Star
29-05-2025
- Business
- The Star
IJM Corp upbeat about construction activity
IJM Corp group chief executive officer and managing director Datuk Lee Chun Fai. PETALING JAYA: IJM Corp Bhd is confident of delivering satisfactory operational performance for the financial year ending March 31, 2026 (FY26). In a statement, group chief executive officer and managing director Datuk Lee Chun Fai said the group's RM7.6bil outstanding order book would be complemented by a further RM3.5bil from its 50% acquisition of JRL Group post the financial year-end, strengthening its construction capabilities and expanding our presence in the United Kingdom. 'Looking ahead, IJM Corp is well-positioned to benefit from national growth priorities such as infrastructure investment, the development of special economic zones in Johor and the rising demand for digital infrastructure.' For the fourth quarter ended March 31, 2025 (4Q25), IJM Corp's net profit dipped to RM128.95mil from RM305.52mil in the previous corresponding period, while revenue rose to RM1.79bil from RM1.76bil a year earlier. For FY25, IJM Corp's net profit dropped to RM403.38mil from RM600.28mil in the previous corresponding period, while revenue grew to RM6.25bil from RM5.92bil previously. IJM Corp said the construction division remained the key revenue contributor, supported by a high level of construction activity, while the industry division continued to benefit from a strong order book and the ongoing rollout of data centres and infrastructure projects. The group's improving outlook is further supported by resilient property sales in FY25, sustained unbilled sales, and steadfast efforts to grow its business, backed by strategic locations of its developments and the strength of its established brand. The property division recorded RM1.5bil in sales for FY25, supported by unbilled sales of RM1.5bil. According to Lee, the group is also positioning its overseas property portfolio as a key engine for growth. 'The redevelopment of 25 Finsbury Circus presents a rare opportunity to transform a historic landmark into a modern, high-performance workspace. 'The building is undergoing a sustainability-led refurbishment that will increase its total footprint by 26%. 'Securing a 20-year lease with an international law firm enhances our recurring income profile and affirms the long-term potential of our UK property strategy,' Lee said. Additionally, IJM Corp said that Kuantan Port recorded lower cargo throughput in FY25, achieving 24.3 million tonnes. 'However, the long-term growth prospects for the port remain strong, underpinned by new foreign direct investments at the Malaysia-China Kuantan Industrial Park (MCKIP). 'The government's continued infrastructure investment in the region, particularly via the East Coast Rail Link, reinforces Kuantan Port's role as a strategic logistics and trade hub for the East Coast,' he said. As the port operator and infrastructure enabler, IJM Corp said it is well-positioned to benefit from the growing industrial activity and cargo throughput driven by MCKIP. Commenting on the group's FY25 performance, Lee said: 'Despite external headwinds, our results underscore the group's operational resilience and progress on key strategic fronts.' 'We remain focused on execution, strengthening fundamentals, and driving long-term growth across all business divisions,' he added.
