PETALING JAYA: Paramount Corp Bhd
’s sales performance is expected to strengthen heading into the second half of the year (2H26) on the back of planned launches with an estimated gross development value of RM1.6bil and RM1.3bil of completed available-for-sales developments, says TA Research.
The group saw its 1H26 net profit rise 20% year-on-year to RM43.4mil, which fell within the research house’s estimates but below consensus’ expectations at 54% of its full-year forecast and 43% of consensus’.
Revenue, however, declined 4% in 1H26 to RM429.2mil.
The stronger bottom line was largely underpinned by improved property earnings, maiden associate contribution from Envictus, and narrower losses from the investment and other segments.
Property sales for the second quarter ended June 30, 2026 (2Q26) was notably boosted by the sale of industrial land in Bandar Lunas, Kedah, worth RM79mil, representing about 30% of 2Q26, TA Research highlighted.
The research house said it sees sales momentum improving in 2H26, supported by its slate of planned launches, including two sizeable residential developments targeted to launch in 4Q26.
However, it noted that the Co-labs Coworking segment could continue to see near-term losses as new spaces ramp up, although the expanded footprint of 232,000 sq ft across 11 locations should strengthen the recurring income base over time.
TA Research maintained a “buy” call on Paramount with an unchanged target price of RM1.25 per share.
Meanwhile, Apex Research viewed the group’s results as in line with its expectations, as earnings are weighted toward 2H26 due to concentrated launch activities.
“We remain conservative on Paramount’s outlook, supported by its robust pipeline of upcoming launches, ongoing construction progress and healthy sales visibility.”
