PETALING JAYA: Property developer Matrix Concepts Holdings Bhd recorded a net profit increase of 2% to RM31.7mil for the first quarter (Q1) ended June 30, 2021 from RM31.1mil a year ago on the back of revenue growth of 0.9% to RM163.4mil.
The resilient performance was attributed to robust demand for the group’s affordably priced landed properties, as well as a 15.6% reduction in sales and marketing expenses as a result of cost-effective marketing programmes in adapting to Covid-19 lockdown restrictions.
During the quarter, the group secured new property sales of RM300.9mil, building on the resilient performance in the previous year as well as continued demand for its offerings, particularly at its flagship Sendayan Developments.
It said it was on track to meet its sales target of RM1.2bil for financial year 2022 (FY22).
“Despite recent challenges due to the movement control order, we managed to hit our new sales targets for Q1. This is testament to the right strategies that we have put in place, as well as adaptability to the ever-changing market conditions,” said Matrix Concepts chairman Datuk Mohamad Haslah Mohamad Amin in a statement.
For Q1, revenue contribution from residential properties increased by 4.8% to RM146.3mil while commercial properties improved to RM6.2mil, an increase of 117.3%.
Meanwhile, contribution from investment properties was 16.6% higher at RM7.9mil. This mitigated the 75.5% lower revenue contribution of RM3.2mil from industrial properties.
Matrix Concepts’ unbilled sales rose to RM1.04bil as at June 30 compared to RM1.02bil as at FY21 ended March 31, providing earnings visibility over 12 to 15 months.
Encouraged by the healthy demand of its properties, the group intends to launch RM1.6bil worth of properties for FY22, up from RM1bil in FY21.
Given its earnings clarity and healthy financial position, Haslah said the company was able to continue rewarding shareholders with sustainable returns even amidst the weaker market sentiment. It has declared a first interim single-tier dividend of two sen per share, amounting to a payout of RM16.7mil or 54.7% of the Q1 net profit.