KUALA LUMPUR (Sept 24): Eco World Development Group Bhd (KL:ECOWLD) is on track for a strong finish to its financial year ending Oct 31, 2026 (FY2026), with sales and earnings expected to hit record highs, after the property developer posted nearly 11% increase in third-quarter net profit.

Net profit for the third quarter ended July 31, 2026 (3QFY2026) rose 10.86% to RM112.16 million from RM101.17 million a year earlier, while revenue grew 27.51% to RM971.53 million from RM761.93 million, mainly driven by higher locked-in sales.

The key projects contributing to earnings included Eco Botanic, Eco Spring, Eco Tropics, Eco Business Park I and Eco Business Park II in the Southern region, as well as Eco Majestic, Eco Forest, Eco Grandeur and Eco Business Park V in the Central region.

Eco World also declared a third interim dividend of two sen per share for the quarter, bringing total dividends declared for FY2026 to six sen per share, compared with five sen over the corresponding period a year earlier.

For the nine months of FY2026, net profit increased 27.74% to RM397.71 million from RM311.35 million, as revenue rose 43.25% to RM3.12 billion from RM2.18 billion.

Eco World said its cumulative sales had surpassed its FY2026 sales target of RM4 billion, reaching RM4.05 billion as at Aug 31, 2026, or within the first 10 months of the financial year.

The residential segment accounted for the largest portion of sales at RM2.3 billion, or 57% of total sales, led by the group’s Eco Townships.

By region, the Southern region, comprising Iskandar Malaysia, contributed RM1.97 billion, or 49% of total sales. The Central region, which covers the Klang Valley and Negeri Sembilan, contributed RM1.79 billion, or 44%, while the Northern region, comprising Penang, accounted for RM296 million, or 7%.

Including the RM1.01 billion agreement signed on Sept 22 with Tera Data Centers (Malaysia) Sdn Bhd (TERA), Eco World’s cumulative sales have exceeded RM5 billion for the first time, said its president and CEO Datuk Seri Chang Khim Wah in a statement.

The deal involves the sale of two industrial land parcels spanning 221.665 acres in Eco Business Park VII (EBP VII) in Negeri Sembilan, within QUANTUM Pulse, the project’s dedicated data centre zone, he said in the statement. 

“Premised on strong sales and YTD 2026 results achieved, the group is on track for a strong close to FY2026, with record high sales and profits combined with an increasingly diversified earnings base to underpin our performance in the years ahead,” Chang said.

The sustained sales momentum has also helped reduce the group’s gross and net gearing ratios to 0.57 times and 0.21 times respectively as at end-July, while cash balances, including deposits and short-term funds, stood at RM2.28 billion.

At Thursday’s noon break, shares of Eco World fell one sen or 0.52% to RM1.92, giving the group a market capitalisation of RM6.21 billion.