KUALA LUMPUR (Nov 29): Mah Sing Group Bhd recorded a higher net profit at RM50.02 million or 2.06 sen per share for the third quarter ended Sept 30, 2023 (3QFY2023), increased 6.29% compared to RM47.06 million or 1.94 sen per share a year ago, driven by the higher property sales and progressive revenue recognition from ongoing construction progress.  

Quarterly revenue for the group stood at RM 644.26 million, down 4% from RM 671.12 million in 3QFY2022, according to the group’s filing to Bursa Malaysia on Wednesday.

“The group registered new property sales of RM600 million for the third quarter ended Sept, 30, 2023 (3QFY2023), bringing the nine months cumulative sales to RM1.8 billion,” it said.

For the nine months of 2023 (9MFY2023), the group profit stood at RM150.55 million, higher from RM133.27 million year-on-year (y-o-y), with a revenue of RM1.93 billion (increased 17.3%) from RM1.64 billion in 9MFY2022.  

For the 9MFY2023 period, the group registered a RM1.8 billion in property sales, an increase of 14.4% compared with RM1.57 billion in the same period last year.

Its founder and group managing director Tan Sri Leong Hoy Kum said he is confident that the group would achieve its 2023 minimum sales target of RM2.2 billion.

“Our unbilled sales have grown to RM2.42 billion, providing future revenue visibility for the group,” he said in a separate statement.

“Armed with a healthy cash and bank balance, together with a low 0.13 times net gearing ratio, the group is actively seeking to acquire more lands, especially in Klang Valley, Johor and Penang,” the group said. 

Cash and cash equivalents stood at RM715.56 million as at Sept 30, 2023.

Mah Sing said they will continue to pursue more acquisitions to develop affordable residential homes, as well as to expand its industrial development portfolio.  

Further to its four new land acquisitions earlier in the year, the group entered into a joint venture collaboration in September 2023 to offer a one-stop service solution for foreign businesses looking to set up a manufacturing base in Malaysia.

According to Mah Sing, the joint venture is expected to open up more opportunities for the group to fuel its industrial development portfolio growth. 

At the time of writing on Wednesday, shares in Mah Sing traded up two sen or 2.44%, with 11.46 million shares changing hands. Its market capitalisation stood at RM2.04 billion.