PETALING JAYA: Sunway Bhd
expects the outlook for the property market in Malaysia and Singapore remain positive.
In a filing with Bursa Malaysia, the company said the emergence of Johor as a prominent hub for industrial and data centre investments underscored its growing importance to Malaysia’s economic position in the region.
“The Johor-Singapore Special Economic Zone creates new opportunities for Malaysia to attract more investments, reinforcing Johor’s role as a strategic gateway to South-East Asia.”
For the first quarter ended March 31, 2025 (1Q25), Sunway’s net profit rose to RM190.55mil from RM172.23mil in the previous corresponding quarter, while revenue in 1Q25 grew to RM2.37bil from RM1.42bil a year earlier.
Sunway said its revenue was higher in the current quarter mainly due to higher contributions from all business segments, except for the property development segment.
“As a result, pre-tax profit in the current quarter was also higher, despite lower profit contributions from property development, healthcare and others segments.”
Sunway said its property development segment reported revenue of RM263.3mil and pre-tax profit of RM33.4mil for the current quarter, compared to revenue of RM287.7mil and pre-tax profit of RM38.8mil in the corresponding quarter of the previous financial year, representing a decrease in revenue of 8.5% and pre-tax profit of 14%.
“The lower financial performance in the current quarter was attributed to lower progress billings from local and overseas development projects.
“It should be noted that in compliance with MFRS 15, the development profits from one of the group’s ongoing Singapore property development projects will only be recognised upon completion and handover of the project.”
As a result, Sunway said the accumulated progressive profits of this project at the end of the current quarter of RM12.2mil was not recognised.
Meanwhile, the group’s construction segment reported revenue of RM1.24bil and pre-tax profit of RM114.5mil for the current quarter, compared to revenue of RM372.5mil and pre-tax profit of RM42.4mil in the corresponding quarter of the previous financial year, representing a notable increase in revenue of 232.4% and pre-tax profit tax of 170.4%.
“The higher revenue and pre-tax profit in the current quarter were mainly due to contributions from the accelerated progress of data centre projects,” it said.
As for the group’s healthcare segment, it reported a share of net profit of RM31.8mil in the current quarter compared to RM36.8mil in the corresponding quarter of the previous financial year, representing a decrease of 13.6%.
“The decline was mainly due to a share of RM11.7mil in combined start-up operational losses from the newly opened Sunway Medical Centre (SMC) Damansara and pre-commencement costs from SMC Ipoh, which commenced operations in April 2025.
“Excluding these costs, the healthcare segment delivered improved performance driven by stronger operational results from SMC Sunway City, SMC Velocity, and SMC Penang.”
Sunway said this growth was attributed to higher number of patients and additional licensed beds within the healthcare group compared to the corresponding quarter of the previous financial year.
