KUALA LUMPUR (Sept 18): Eco World Development Group Bhd (KL:ECOWLD) said on Thursday that it has exceeded its sales target for the financial year ending Oct 31, 2025 (FY2025), after reporting a more than 25% rise in third quarter earnings.

The group achieved RM3.84 billion in sales in the first 10 months of FY2025, surpassing its full-year target of RM3.5 billion. Projects in Iskandar Malaysia contributed RM1.99 billion, or 52% of total sales, followed by the Klang Valley at 38% and Penang at 10%.

Net profit for the third quarter ended July 31, 2025 (3QFY2025) rose to RM101.2 million, from RM80.4 million a year earlier, as revenue jumped nearly 45% to RM761.9 million from RM526.2 million.

The stronger earnings were mainly driven by full contributions from Paragon Pinnacle Sdn Bhd, the developer of Eco Grandeur and Eco Business Park V, which became a wholly owned subsidiary in February, after EcoWorld acquired the remaining 40% stake from the Employees Provident Fund’s (EPF) Tanjung Wibawa Sdn Bhd.

Other projects that contributed to earnings included Eco Botanic, Eco Botanic 2, Eco Spring, Eco Tropics, Eco Business Parks I–III in Iskandar Malaysia, as well as Eco Majestic, Eco Forest, Eco Sanctuary and Se.Duduk D’ Kajang in the Klang Valley.

EcoWorld declared a third interim dividend of two sen per share, payable on Oct 28. This brings total dividends declared for the first nine months of FY2025 (9MFY2025) to five sen, up from four sen in the same period last year.

Looking ahead, the group expects its residential segment to receive a further boost from the launch of Eco Botanic 3 in Iskandar Malaysia before year-end.

Its recurring income strategy is also progressing, with construction already underway on a data centre for Pearl Computing Malaysia Sdn Bhd, targeted for completion in the second half of FY2027.

“Upon completion, we expect the substantial rental income arising from this lease to anchor our recurring income base and further enhance the stability of the group’s revenue, profits and cash-flow generation going forward,” said EcoWorld president and chief executive officer Datuk Chang Khim Wah.

For the cumulative nine months of FY2025, EcoWorld’s net profit jumped 41.4% to RM311.3 million, from RM220.1 million a year earlier, while revenue climbed 34.6% to RM2.18 billion, from RM1.62 billion.

As at July 31, 2025, EcoWorld’s net gearing ratio stood at 0.53 times, supported by cash balances, deposits and short-term funds of RM1.7 billion.

At midday break on Thursday, shares in EcoWorld were up one sen or 0.5% at RM2.24, giving the group a market capitalisation of RM6.71 billion. Year to date, the counter has risen more than 7%.