This article first appeared in The Edge Malaysia Weekly on October 6, 2025 - October 12, 2025

The sale of land parcels to data centre operators has positioned Crescendo Corp Bhd (KL:CRESNDO) as a key beneficiary of Johor’s emergence as a data centre hub. Over the past three years, investors have also been drawn to the property developer’s resilient share price performance and steady dividend payouts.

During The Edge Billion Ringgit Club (BRC) awards evaluation period — from March 31, 2022, to March 28, 2025 — Crescendo’s total annual return averaged an impressive 55.36% over three years, the highest among property sector peers with a market capitalisation below RM3 billion.

This win came even as its adjusted share price rose from 34 sen at end-March 2022 to 35 sen at end-March 2023, before climbing to 92 sen on March 28, 2024, and RM1.29 on March 29, 2025. Between April 1 and Aug 29 this year, the counter traded within a range of RM1.035 to RM1.31.

This strong share price performance was underpinned by stellar earnings, with net profit surging to RM526.3 million for the financial year ended Jan 31, 2025 (FY2025) — more than nine times the RM56.7 million recorded a year earlier — while revenue more than tripled to RM1.15 billion in FY2025 from RM341.3 million in FY2024, driven largely by land sales to data centre operators at Nusa Cemerlang Industrial Park (NCIP).

It paid a total dividend per share of 10 sen for FY2025 — comprising an interim dividend of two sen and a special dividend of eight sen — higher than the six sen distributed in FY2024 (adjusted for the three-for-one share split completed in September 2024).

By comparison, Crescendo posted a net profit of RM24.5 million in FY2023, up 14% from RM21.5 million in FY2022, although revenue eased slightly to RM215.7 million from RM217.1 million. The group paid dividends of five sen per share in FY2023 and four sen per share in FY2022.

Crescendo’s core business is property development and construction with a total development land bank of about 2,600 acres in Johor Bahru. Its current projects include Bandar Cemerlang, Residensi Senyum, Desa Cemerlang, Taman Perindustrian Cemerlang and Taman Dato’ Chellam. The group — controlled by the Gooi siblings via their 68.35% stake in Sharikat Kim Loong Sdn Bhd — develops a broad range of properties, from affordable to mid-range and high-end homes, shopoffices and factories, catering for diverse customer needs.

According to Crescendo’s 2025 annual report, the group’s wholly-owned unit Panoramic Industrial Development Sdn Bhd (PID) completed five conditional sale and purchase agreements (SPAs) in FY2025 for the disposal of 128.41 acres of freehold vacant land at NCIP for a total cash consideration of RM677.43 million.

PID also entered into three more conditional SPAs to dispose of a further 61.39 acres of freehold vacant land at NCIP for a total cash consideration of RM355.77 million. One of these SPAs, valued at RM115.88 million, was completed in April 2025.

Major buyers of the land include Microsoft Payments (Malaysia) Sdn Bhd, Nanda Digital Sdn Bhd and Data Cloud Innovation Sdn Bhd.

Crescendo remains optimistic about Johor’s property market outlook, underpinned by major infrastructure projects such as the Rapid Transit System Link and the Johor-Singapore Special Economic Zone (JS-SEZ).

Crescendo chairman and managing director Gooi Seong Lim said the JS-SEZ definitive agreement, signed on Jan 7 this year, is expected to enhance the flow of people, goods, services and capital, which in turn will drive demand for industrial and residential properties in Johor.

He noted that foreign direct investment continues to flow into the state, which should further support the industrial property sector. Special tax incentives for investors in the JS-SEZ are also expected to reinforce this momentum.

While macroeconomic headwinds such as global trade tensions, fluctuating material costs, subsidy rationalisation for fuel and electricity and local wage adjustments pose potential risks, Gooi said the group remains focused on strengthening its resilience, optimising cost management and pursuing market-responsive developments, while continuing to diversify its offerings to cater to a broader customer base.

“In March 2025, we launched Residensi Senyum, a high-rise serviced apartment project in Jalan Senyum, near the RTS terminal. With 1,257 units and a gross development value of RM1.3 billion, this project is well positioned to meet growing demand for urban living.

“Recognising the strong industrial demand in JS-SEZ, we are also progressing with site clearing for a 500-acre industrial park in Bandar Cemerlang, with plans to launch Phase 1 next year. As at May 16, 2025, the group has committed property sales totalling RM437 million,” said Gooi in the annual report.

“With support from our banking partners, we remain confident in our capacity to execute and deliver all ongoing and upcoming projects efficiently and within the stipulated timelines, thereby positioning the group for sustained success in the years ahead.”

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