KUALA LUMPUR (Feb 26): UEM Sunrise Bhd (KL:UEMS), the property arm of Khazanah Nasional Bhd’s UEM Group Bhd, saw its net profit for the fourth quarter plummet 82.3% on non-operational adjustments.

Net profit for the three months ended Dec 31, 2025 (4QFY2025) shrank to RM9.63 million from RM54.33 million a year earlier, according to a bourse filing on Thursday.

UEM Sunrise said it recognised “certain non-operational and non-cash adjustments” amounting to RM59 million during the quarter. A breakdown of the adjustments was not provided, but the group noted that the 4QFY2025 net profit would have stood at RM69 million if the adjustments were excluded.

Despite the drop in quarterly earnings, UEM Sunrise declared an interim dividend of 0.84 sen per share and a special dividend of 0.59 sen per share, both payable on May 15. Full-year payout stood at 1.43 sen apiece, up from the 1.24 per share declared in FY2024.

For the full year, net profit dropped 31.9% to RM71.02 million from RM104.34 million in FY2024, despite a 27% rise in revenue to RM1.7 billion from RM1.34 billion.

The drop in annual earnings was also attributed to the non-operational and non-cash adjustments, which amounted to RM51 million for the year. Excluding the adjustments, FY2025 net profit would have stood at RM122 million, UEM Sunrise noted.

The stronger full-year revenue was on the back of higher construction progress and property sales recognition, it added.

Sales performance for FY2025 stood at RM1.4 billion, exceeding its RM1.05 billion target. Its unbilled sales position provides earnings visibility, with revenue expected to be recognised progressively over the next 18 to 36 months.

Looking to FY2026, UEM Sunrise has pegged a sales target of RM1.3 billion and a gross development value launch target of RM2.2 billion.

The launch pipeline will focus on "attainable and upgrader homes" across Serene Heights and Mont’Kiara, among others, in Peninsular Malaysia's central region, and Gerbang Nusajaya and Estuari in the southern region, the group noted.

“The company will also continue sales momentum from its One Oval development in Australia,” it added.

Shares in UEM Sunrise ended a sen or 1.63% lower at 60.5 sen, valuing the group at RM3.04 billion.