Glomac new sales momentum expected to pick up


TA Research said new sales momentum is expected to pick up.

PETALING JAYA: Glomac Bhd’s earnings performance is set to improve over the next three quarters following the timing-related drag in the first quarter of its financial year 2026 (1Q26).

New sales momentum is expected to pick up, supported by financial year 2026 (FY26) launches worth RM324mil and RM154mil of projects rolled out in 4Q25, said TA Research.

Unbilled sales eased slightly to RM566mil from RM575mil in the previous quarter, providing earnings visibility for the next 12 months to 18 months, it added.

The group is also exploring land-banking opportunities in high-demand areas such as the Klang Valley and Johor, focusing on township and quick turnaround high-rise projects.

With a solid balance sheet, it is financially well-positioned to pursue these opportunities, said the research house.

Glomac’s balance sheet showed a net cash position of RM8mil as of end-July 2025. TA Research is retaining its earnings forecasts on the company.

It maintained its “buy” call on Glomac with an unchanged target price of 40 sen a share, based on 2026 price to book multiple of 0.25 times. Excluding the RM0.3mil fair value gain on investment properties, Glomac posted a core net loss of RM1.7mil in 1Q26.

The results came in below expectations, largely due to slower-than-expected progress billings, said TA Research.

Glomac went into a core net loss in 1Q26, compared with a core net profit of RM7.3mil in 1Q25 and RM2.4mil in the preceding 4Q25, primarily due to lower construction activities as the ongoing phases are still in the early stage of recognition.

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