KLCCP Stapled Group’s 1Q net profit rises to RM161.44mil

KUALA LUMPUR: KLCCP Stapled Group’s net profit increased to RM161.44 million in the first quarter ended March 31, 2022 (Q1 FY2022) from RM146.13 million in the same period last year.

The group, which comprises both KLCC Property Holdings Bhd and KLCC Real Estate Investment Trust (KLCC REIT), saw its revenue surging to RM321.71 million from RM282.37 million, reflecting a strong rebound in business activities.

KLCCP Stapled Group declared a dividend of 8.0 sen per stapled security for the period under review.

In a statement to Bursa Malaysia today, the group said with the relaxation in COVID-19 containment measures, all business segments recorded year-on-year (y-o-y) improvement, particularly the retail and hotel segments.

"The retail segment’s pre-tax profit rose 36 per cent to RM79.6 million on the back of a 23 per cent increase in revenue, primarily contributed by higher rent revenues, advertising income, and percentage rents in fashion as well as food and beverage segments,” it said.

The statement also said that tenant sales for the quarter under review almost hit the pre-pandemic level, at 94 per cent, with footfall gaining steady momentum.

KLCCP Stapled Group said the office segment also continued to provide stable income to the group, recording revenue of RM145.3 million backed by the long-term leases and triple net lease agreements.

"The office segment remains the largest contributor to the group’s overall income at 45 per cent,” it said.

The group said the management services segment, comprising the facilities management and the car parking management services, saw a 17 per cent revenue increase to RM63.8 million in Q1 FY2022, while pre-tax profit under the segment grew 7.2 per cent to RM16.9 million.

It added that the car parking management had also secured an additional 1,760 car parking bays in Putrajaya precinct locations, which contributed to the earnings of the group.

Moving forward, the group remains positive that the transition to the endemic phase and the re-opening of international borders will put the group in a better position for a rebound to accelerate recovery.

Chief executive officer Md Shah Mahmood said the group would remain focused on its recovery efforts.

"We are all set to leverage on the full resumption of economic activities to spur growth to achieve our pre-pandemic performance,” he said. - Bernama