KUALA LUMPUR (July 4): Property developer SkyWorld Development Bhd, en-route to its Main Market listing next Monday (July 10), posted a net profit of RM58.21 million or 93.13 sen per share for the fourth quarter of financial year ended March 31, 2023 (4QFY2023).
It also announced a first interim dividend of three sen per share, to be paid on Sept 22. Its ex-date is Sept 11 and its entitlement date on Sept 12.
In a Bursa filing on Tuesday (July 4), the group reported a revenue of RM225.95 million derived from the progressive revenue recognition from ongoing projects.
These projects include SkySierra Residences (The Valley), EdgeWood Residences, SkyVogue Residences, SkyAwani III Residences, SkyAwani IV Residences and SkyAwani V Residences, followed by sales of completed inventories mainly from the SkyMeridian Residences.
It also said that SkyAwani III Residences was completed and delivered to its customers during the financial year.
For its full year of 2023 (FY2023), its net profit stood at RM144 million or 230.39 sen per share on a revenue of RM841.11 million.
“No comparative figures for the preceding year and preceding quarter are presented as this is the first interim financial report announced by the group in compliance with the Main Market Listing Requirements of Bursa Malaysia Securities Bhd,” said the group in its Bursa filing.
Its founder and non-independent executive chairman Datuk Seri Ng Thien Phing said the group’s performance has achieved the highest revenue and net profit in the its history.
“To add on, our return on equity continues to remain strong as it clocked in at 27.9% for 2023,” he said in a statement.
“This momentous achievement is a testament to the hard work, dedication, and ingenuity of our exceptional team, as well as the unwavering support from the homeowners.”
“Moving forward, we remain committed to uphold our reputation for excellence, innovation, and customer satisfaction, as we continue to focus on our ongoing and future developments.”
He noted that the group has a total sold and unbilled gross development value (GDV) of RM968.28 million as of May 22, which will be recognised progressively between 2023 and 2026.
“SkyWorld’s completed developments have a collective take-up rate of 98% and our QLASSIC score exceeds the overall average scores for the industry which ranged between 69% and 73% from 2017 to 2020,” said Ng.
Expected to be listed on July 10, its initial public offering (IPO) exercise is targeted to raise RM320 million.
It is set to be the third-largest listing exercise on Bursa this year after DXN Holdings Bhd which raised RM708.83 million and Radium Development Bhd (RM434 million).
It announced an IPO price of 80 sen per share and a public issuance of 208 million new shares, along with an offer for sale of up to 192 million existing shares.
It is expected to have a market capitalisation of RM800 million after the exercise, based on the enlarged issued share of one billion shares and 80 sen per share IPO price.
The group has also targeted a dividend payout of 20% based on its profit after tax attributable to owners.
SkyWorld has earmarked RM100 million for the acquisition of land for development.
The group has also allocated RM35 million (21.2%) for working capital for project development, followed by RM20 million (12%) for the repayment of bank borrowings.
The remaining RM11.2 million (6.7%) will be allocated for IPO-related expenses.
Kenanga Investment Bank Bhd is the principal adviser, underwriter and placement agent for the offering, while Newfields Advisors Sdn Bhd is the financial adviser.
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