Equine profit beats forecast


  • Business
  • Friday, 21 May 2004

BY ANGIE NG

EQUINE Capital Bhd (ECB) has achieved net profit of RM9.3mil in the financial year (FY) ended March 31, 24% higher than the forecast profit of RM7.5mil. 

In announcing the group's unaudited results, the first since its listing on Bursa Malaysia last October, ECB reported pre-tax profit of RM14.2mil on the back of RM86.4mil revenue. Basic and diluted earnings per share stood at 11.2 sen and 7.3 sen respectively. 

According to ECB executive chairman Datuk Patrick Lim, property development is the largest contributor to group earnings, apart from its property investment and investment holding activities through Pharmaniaga Logistics Sdn Bhd.  

Ongoing projects at Taman Equine and Pusat Bandar Putra Permai in Seri Kembangan including The Rise semi-detached terraced houses, The Eminence 2½-storey terraced houses and Equine Square phase two shop offices launched during the year contributed positively to earnings.  

The group's earnings prospects continued to be promising, with locked in sales of RM291.9mil as at April 30, which translated into a take-up rate of 84% of the total gross development value (GDV) of RM347.2mil.  

Lim said the sizeable unbilled sales of RM160.4mil as at April would underpin the group's performance in the medium term.  

In the pipeline are several exciting new launches scheduled for FY2005 targeting both the residential and commercial segments in rapidly developing Seri Kembangan.  

The expected GDV from these new projects at RM100mil would further enhance the group's performance going forward.  

Besides the good earnings performance, the ECB group remains financially strong and prudent.  

To enhance the long-term value to its shareholders, the group had on March 11 completed the early redemption of redeemable convertible secured loan stocks A (RCSLS A) and RCSLS B. 

Lim said the redemption exercise had removed the dilutive impact on shareholders in the event of conversion of the said instruments and would ensure that existing shareholders enjoyed the full benefit of the group's future growth.  

“We are committed to maximising shareholder value and achieving an optimal capital structure for ECB,” he said. 

 EQUINE : [News]   [Stock Watch]

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