KUALA LUMPUR: YNH Property Bhd
has received an unmodified audit opinion for the financial year ended June 30, 2026 (FY26), following qualified opinions in the preceding three reporting periods.
The property developer said its external auditor, Morison LC PLT, issued the unmodified opinion following efforts to resolve historical financial reporting issues and strengthen corporate governance.
YNH also reduced its total borrowings by 23.3%, or RM124.3mil, to RM409.8mil as at June 30, 2026, from RM534.1mil a year earlier.
Over the past two financial years, the group's borrowings have fallen by RM425.5mil from RM835.4mil as at June 30, 2024.
Its gearing ratio improved to 0.44 times from 0.52 times a year earlier, while finance costs declined 22.4% to RM37.6mil from RM48.4mil. Administrative expenses also fell 26.9% to RM56.06mil.
YNH said the reduction in borrowings was mainly driven by asset monetisation, including the RM138mil disposal of AEON Seri Manjung shopping mall to Sunway Real Estate Investment Trust, completed in July 2025.
Group managing director Allan Yu Kai Leun said the unmodified audit opinion marked an important milestone in resolving legacy issues and strengthening investment governance.
"Over the past two years, we have cut our borrowings by about half and our finance costs by a third.
"Our priorities now are to complete our proposed land disposals, further reduce debt and channel our resources into delivering our developments and long-term value for our shareholders," he said.
YNH said it had introduced stricter investment governance procedures following a special independent review completed in April 2025.
The group's board approved a new investment governance framework in March 2026, covering investment evaluations, related-party transactions, approval limits and payment procedures.
Looking ahead, YNH has proposed land disposals totalling RM625mil, comprising a RM455mil commercial land sale to Chin Hin Property (JSI) Sdn Bhd and a RM170mil land disposal to Sunway Living Space Sdn Bhd.
Both transactions remain subject to shareholders' approval and other conditions.
The group said it remained focused on completing its Solasta Dutamas development in Kuala Lumpur and progressing its township projects in Seri Manjung, Perak.
Separately, YNH said its wholly-owned subsidiary, YNH Construction Sdn Bhd, had reached an amicable settlement with the Inland Revenue Board, which confirmed that its winding-up petition against the subsidiary would be withdrawn.
