KUALA LUMPUR (Jan 5): LBS Bina Group Bhd has set a sales target of RM1.2 billion for its financial year ending Dec 31, 2016, which it expects will be driven by planned launches worth RM2.5 billion in gross development value (GDV) for the year and its unbilled sales of RM993 million as at Dec 31, 2015.

At a press briefing today, LBS Bina managing director Tan Sri Lim Hock San announced that the company managed to meet its RM1 billion sales target for 2015, when it registered total sales of RM1.029 billion, a 60% improvement from its RM644 million sales in the previous year.

"Last year, we set a target of RM1 billion for 2015. Other companies have downsized their sales target, but we have managed to achieve RM1.029 billion; 85% of the sales were contributed by our projects in the Klang Valley, and the balance 15% by Johor and Penang," Lim said.

For 2016, the company will be launching 15 projects with a total GDV of RM2.5 billion; these are spread out over the Klang Valley, Pahang and Batu Pahat, Johor.

Some of the notable launches for 2016 include the remaining five blocks of Bandar Sauajana Putra (BSP) 21 and its BSP Village shop offices in the same township, and Skyvilla and Nautilus 2 in D'Island Residence, Puchong. These launches have a combined GDV of approximately RM1.5 billion.

The company will also be launching Desiran Bayu (RM330 million GDV) in Puchong, Telok Gong Industrial Park (RM304.7 million GDV) in Klang, Taman Perindustrian Shah Alam Awana @ U10 (RM243.6 million GDV) in Shah Alam and Cameron Centrum (RM239 million GDV) in Pahang within the year.

Going forward, Lim said LBS Bina is confident of meeting its sales target for 2016, despite the dampened property segment.

"In my opinion, the worst is over for the property segment. Although we have been affected by the implementation of the goods and services tax (GST) and tighter lending policies, I believe that consumer sentiment will recover," he said.

He added that LBS Bina has 1,076ha of land bank with an estimated potential GDV of RM21.5 billion.

As at 2.44pm, LBS Bina shares were trading 2 sen or 1.45% lower at RM1.36, for a market capitalisation of RM741.64 million.

(Note: The Edge Research's fundamental score reflects a company's profitability and balance sheet strength, calculated based on historical numbers. The valuation score determines if a stock is attractively valued or not, also based on historical numbers. A score of 3 suggests strong fundamentals and attractive valuations.)