Johor Corporation president and CEO Datuk Syed Mohamed Syed Ibrahim
KUALA LUMPUR: Johor Corporation (JCorp) saw its gross profit increase by 9% to RM2.4bil for the fiscal year ending 2023 (FY23), with revenue rising 8% to RM6.2bil.
In a statement, JCorp said its net assets exceeded RM10.8bil in FY23.
“Our wellness and healthcare segment achieve outstanding results, posting a robust 17% revenue jump to RM3.4bil and a record a profit after tax (PAT) of RM270mil. This is a testament to KPJ Healthcare Bhd
’s initiatives to continuously upgrade and improve its services,” JCorp said.
Meanwhile, it said the real estate & infrastructure division achieved commendable results, driven by strategic land sales and robust demand for its premium developments.
“We are capitalising on the growing data centre and renewable energy sectors in Johor, actively pursuing opportunities across the value chain through our subsidiary, JLand Group,” it added.
However, its food and restaurant segment encountered significant challenges in the last three months of FY23, as revenue declined due to the intensifying conflict in Gaza.
This sharp downturn erased the gains made earlier in the year, resulting in an overall 1% growth in revenue for a total of RM4.9bil.
“The conflict severely impacted consumer sentiment and spending, particularly in our key markets, leading to a decline in net profit for the segment. It is important to note that this decline is attributable to external market factors beyond our control and does not reflect the underlying strength of our business or the effectiveness of our ongoing transformation initiatives.
“The group is actively implementing mitigation strategies to address these challenges and expects the segment to recover as the situation stabilises,” JCorp said.
JCorp’s agribusiness segment achieved RM1.3bil revenue in FY23, down 27% compared to the previous year.
It said the decline was largely driven by external factors affecting the palm oil industry as a whole, including a downturn in crude palm oil (CPO) and palm kernel (PK) sales volume, coupled with reduced average selling prices (ASPs) and inclement weather.
This is also a natural market correction following the record prices observed in 2021 and 2022 due to global supply shortages.
JCorp president & chief executive Datuk Syed Mohamed Syed Ibrahim said: “The strategic plan implemented in 2020 remains a work in progress, and we are on track with our growth plan to realise targeted outcomes.”
“We are exploring new verticals while optimising returns from current investments and executing several strategic initiatives to future-proof the organisation in generating sustainable income, with an emphasis on innovation and leveraging digital technologies.”
On its outlook, Syed Mohamed said JCorp’s commitment to Johor’s continued growth and development.
“With major infrastructure projects like the Rapid Transit System (RTS) linking Johor Bahru to Singapore and the establishment of the Johor-Singapore Special Economic Zone (JS-SEZ), the region is poised for significant economic expansion. JCorp is well-positioned to play a key role in this growth, leveraging its diverse portfolio and industry expertise to contribute to the state's economic advancement.”
