KUALA LUMPUR (May 28): Tropicana Corp Bhd (KL:TROP) kicked off its new financial year with a quarter in the red, despite a 20.5% jump in revenue, no thanks to unrealised losses on quoted shares.
It recorded a net loss of RM23.12 million for the three months ended March 31, 2026 (1QFY2026), compared with a net profit of RM1.32 million in the same quarter a year earlier. Revenue climbed to RM313.68 million from RM260.36 million, driven by accelerated milestones across key projects nearing completion, the property developer’s bourse filing on Thursday showed.
The loss was mainly due to a RM16.7 million unrealised loss on quoted shares, Tropicana said. Higher costs also pulled its gross margin down to 27% from 35.7% a year ago.
Excluding the loss on quoted shares, profit before tax (PBT) stood at RM3.9 million, as opposed to RM5.32 million previously. No dividend was proposed in its latest results announcement.
Tropicana noted that the property market continued to stage a measured recovery, though it remained subject to external uncertainties that might continue to influence buyer sentiment.
The industrial and logistics segment continued to outperform, it noted, while the residential segment was stable, with overhang in certain high-rise segments expected to persist in the near term.
“The group is well-positioned to capitalise on infrastructure-led growth and cross-border economic initiatives, particularly in Johor and the Klang Valley, while leveraging its diversified landbank across Genting Highlands and Langkawi,” Tropicana said.
“Importantly, the group’s diversified landbank provides strategic opportunities to pivot beyond traditional property development into high-growth sectors such as industrial and logistics, renewable energy and data centre developments.
“This positions the group to potentially capture emerging opportunities arising from increasing foreign direct investment and the opportunity to expand into the digital economy and the ongoing energy transition, thereby enhancing long-term value creation and earnings resilience,” it added.
Shares of Tropicana ended one sen higher at RM1.05 on Thursday, valuing the group at RM2.64 billion.