Sunway Holdings Berhad’s net profit hit RM162.6 mil for the year ended 31 December 2010, the highest annual profit since the listing of the Group. The previous high was achieved more than a decade ago in 1999 when the Group recorded RM158 million net profit.
The net profit reported for the year ended December 2010 was 1.5 times higher than the net profit recorded in the previous 18 months ended December 2009, with a 1.4 times increase in basic earnings per share to 28.14 cents for the current year ended December 2010, compared to 20.50 cents in the previous 18 months ended December 2009.
The construction division maintained its stance as the key contributing segment of the current year’s earnings with stronger margins recorded by its overseas operations, followed by the property development and trading and manufacturing divisions.
“During the year, the Group successfully secured new construction orders of approximately RM900 million. Further, the Group expects an increase in construction activities with the pick-up in private development activities as well as from the recent announcement of the Budget 2011 and the Economic Transformation Programme,” said Mr Yau Kok Seng, Managing Director.
The Group expects its construction division to chalk up handsome profits on the back of its healthy construction outstanding order book which currently stands at RM2.4 bil.
Yau continued, “The Group’s property unbilled sales stands at about RM470 million from existing property development projects in Malaysia, Singapore and China. Coupled with up-coming launches and the continued addition of new land banks, the property development division is expected to contribute significantly to the Group’s earnings.”
Meanwhile, its REIT has also exceeded profit forecast and recorded double digit quarter on quarter growth. Sunway Real Estate Investment Trust (Sunway REIT) will be paying 1.75 sen per unit to all unitholders for the period from 1 October 2010 to 31 December 2010, which is 15.9% more than what they received in the previous quarter. The distribution per unit for this quarter also exceeded the forecast provided in the prospectus of Sunway REIT dated 15 June 2010 by 2.9%. Total income for distribution for the said period amounts to RM46.9 million from realised net profit of RM44.7 million or 105% payout ratio.
On another note, Sunway City Berhad (SunCity) continues to stay true to its role as an environmentally conscious developer with its latest ISO 14001:2004 Environmental Management System certification for Development of Residential, Commercial and Industrial Properties.
The certification was issued by SIRIM QAS International Sdn Bhd, with a UKAS (United Kingdom Accrediation Services) logo appended to it. SIRIM QAS International Sdn Bhd is registered with IQ NET (The International Certification Network) and this will further enhance recognition and acceptance of their certification around the world.
In Penang, customers of Sunway City (Penang) Sdn Bhd (Sunway Penang), a wholly-owned subsidiary of Sunway City Berhad (SunCity), had a blast during a photo contest which was organized in conjunction with Sunway Merica’s show house opening in Sungai Ara, Penang. Themed “Oldies are Goodies” photo contest, it attracted photos that allowed participants to relive their wonderful memories of yesteryears in Penang.
Sunway Merica is a development that allows families to enjoy the comforts of a contemporary lifestyle while retaining the charm of old Penang. It is currently under construction and is a freehold landed development comprising 86 units of 3-storey terrace houses ideally nestled away from the hustle and bustle of Penang citylife.
