EcoWorld posts record sales in financial year 2021

EcoWorld Malaysia president and CEO Datuk Chang Khim Wah said it had been a “remarkable year” for the group.

PETALING JAYA: Eco World Development Group Bhd (EcoWorld Malaysia) recorded sales of RM3.52bil in the financial year ended Oct 31, 2021 (FY21), 53% higher than in the previous year and 23% higher than the RM2.88bil target it set for the year.

In a filing with Bursa Malaysia yesterday, the property developer said it had posted a revenue of RM2.04bil and a gross profit of RM423.3mil in FY21, which were RM46.1mil and RM91.8mil higher than in FY20, respectively.

Its net profit for FY21 jumped 14.1% to RM182.74mil from RM160.15mil a year ago, driven by its Malaysian operations.

The group said its share of profits from Malaysian joint ventures amounting to RM117.7mil was 16.7% higher than the previous year, bolstered by strong sales and good progress on site notwithstanding several periods of restrictions imposed by the government during the financial year due to the Covid-19 pandemic.

Eco World building

Meanwhile, its share of profits from EcoWorld International stood at RM27.3mil, which was 49.5% lower than FY20 due to impairment losses and write-offs in the fourth quarter.

“Excluding the impact of the impairment of inventories last year and the impairment of the investment in EcoWorld International this year, the profit before tax from the Malaysian operations this year was still 28% higher than in 2020,” EcoWorld Malaysia said.

The developer declared a second interim dividend of two sen per share on the back of its improved balance sheet and cash position.

“Along with the first interim dividend of two sen per share already paid in July 2021, the total dividend for FY21 is four sen per share, which is double the amount declared for FY20,” EcoWorld Malaysia said.

EcoWorld Malaysia president and CEO Datuk Chang Khim Wah said it had been a “remarkable year” for the group.

“Amidst the ongoing Covid-19 pandemic, we managed to sell 4,984 properties with a total sales value of RM3.5bil which is near the historic high of RM3.7bil achieved in FY17,” he said, adding, “We have had a good start with RM376mil sales achieved in November 2021, the first month of FY22.”

EcoWorld Malaysia has set a sales target of RM3.5bil for FY22.