BY CHERYL POO
KUALA LUMPUR: LBS Bina Group Bhd aims to achieve RM1.2bil sales for the financial year ending Dec 31, 2016 after meeting its target for last year.
“We are confident of achieving it through planned launches worth RM2.5bil in gross development value (GDV) over the year. This includes new and ongoing projects,” group managing director Tan Sri Lim Hock San told reporters at a briefing. “Overall, we still have GDV worth RM25.5bil to be launched.”
The property company’s unbilled sales stood at RM993mil as at Dec 31, 2015.
Lim said LBS Bina managed to meet its sales target of RM1bil for 2015 after registering total sales of RM1.03bil, a 60% improvement from the previous year’s RM644mil.
This year, it planned to launch 15 projects, which include five remaining blocks of Bandar Saujana Putra (BSP) 21, BSP Village shop offices, Skyvilla and Nautilus 2 in D’Island Residence, Puchong.
There is also the Telok Gong Industrial Park in Klang with a total GDV of RM304.7mil, 1,360-unit residential apartment tower Perumahan Penjawat Awam 1 Malaysia with a GDV of RM348mil and another two-tower condominium with a GDV of RM888mil – both projects will be undertaken in Bukit Jalil.
“Our strategy is to appeal to the different market segments to meet their needs for landed, commercial, high-rise, industrial as well as affordable housing,” Lim said, adding that bank borrowings supported the group’s projects.
“Our outlook for 2016 is good. Although the ringgit’s weakening has caused concern, people don’t realise that some counters have profited from this as export companies make foreign exchange gains,” he said, adding that the weakened ringgit would invite more tourist spending, which would benefit the economy.
Meanwhile, LBS Bina is awaiting approval from the China government as well as in further discussions with its foreign counterparts for some business initiatives in Zhuhai.
“We are still waiting for 14 projects to come in. It is still to early now but once we hear from the Chinese government within these six months, we will be able to plan our marketing,” Lim said.
For the third quarter ended Sept 30, 2015, LBS Bina posted a net profit of RM19.7mil, 26.3% higher than RM15.6mil achieved last year. Revenue came in at RM136.6mil, dipping 8% from RM148.5mil previously.
The group attributed the revenue and pre-tax profit to projects at BSP, D’Island Residence, Cameron Golden Hills, Bandar Putera Indah, Sinaran Mahkota and Midhills.
“The decrease in revenue and pre-tax profit for the current quarter and period to date were mainly due to completion of certain projects and initial low recognition of billings from new project launches,” it said.
Lim said the company would keep to its word on dividend payouts of 6 sen per share for the financial years 2016 and 2017.
The counter remained unchanged at RM1.38 yesterday with 623,500 shares changing hands.
