SkyRia serviced apartments in Puchong is one of LBS’ development conceptualised as an island resort inspired township.
PETALING JAYA: Internationally recognised developer LBS Bina Group Berhad (LBS) announced its unaudited financial results for the second quarter of the financial year ending Dec 31 (Q2FYE2024) yesterday (Aug 22).
The group recorded a revenue of RM431.9mil for Q2FYE2024, derived from continuing operations, marking a 16.5% increase from RM370.7mil in the corresponding quarter last year.
The growth was primarily driven by a 17.3% year-on-year increase in the property development segment’s revenue, which rose from RM358.1mil to RM420.0mil.
Maintaining its consistent financial trajectory, LBS achieved a 3.0% increase in profit after tax and non-controlling interests (Patmi), from continuing operations, to RM34.8mil from RM33.8mil in Q2FYE2023.
For the cumulative six months (1HFYE2024), the Patmi, derived from continuing operations, rose 1.5% to RM66.0mil on the back of the continuing operations’ revenue of RM770.1mil.
The property development segment is the group’s main revenue contributor where it accounted for 97.0% or RM747.2mil of 1HFYE2024’s total revenue mainly derived from KITA @ Cybersouth, LBS Alam Perdana, Prestige Residence and Idaman projects.
The positive momentum in the current quarter has been driven by the successful execution of the group’s launched projects.
Year-to-date, LBS has introduced a total of seven projects with a combined gross development value (GDV) of RM1.6 billion, and achieved total sales of RM794.0mil as of Aug 21.
Notably, the Alam Perdana Central Hub, launched in April this year experienced strong demand, generating sales of RM254.5mil.
This demand was largely driven by small and medium-sized enterprises (SMEs) seeking a strategic industrial location to support their operations.
Moving forward, with a landbank totaling 1087ha (2,686ac) and unbilled sales of RM1.7bil as of July 31, the group remains confident in sustaining its strong performance into the future.
Commenting on the financial performance, LBS group executive chairman Tan Sri Ir Dr Lim Hock San said, “Our steadfast commitment to sustainable development has resonated strongly with stakeholders and customers.
“Concurrent efforts in operational efficiency and cost management have been instrumental in driving positive results.
“The group anticipates the disposal of Lamdeal Investments Limited Group including Zhuhai International Circuit to be finalised by October.
“This transaction, via an equity transfer and debt repayment, is expected to strengthen LBS’ financial position with the proceeds to be allocated to working capital, repay loans and fund growth initiatives.
”This strategic move aligns with our objective of preserving capital for reinvestment in high-return projects, debt repayment, or other value-enhancing initiatives.”
Lim said the group remains committed to maintaining this positive trajectory moving forward and that its strategic priorities include enhancing its project pipeline, exploring new market opportunities and continuing to deliver exceptional value to its customers and stakeholders.
“We are cautiously optimistic that with our strong leadership and dedicated team, we will sustain this momentum in the upcoming quarters”, he added.
LBS was lauded for its vision of creating delightful spaces, which it has done over 30 years.
The group has focused on quality and affordable homes, placing people at the heart of its approach.
Recently, it clinched its third consecutive win as one of Deloitte’s Best Managed Companies in Malaysia.
The success is attributed to Lim’s leadership as group executive chairman, as he was also named Property Man of the Year by the Malaysia Property Award in 2018.
This year, he received the World Sustainable Property Icon Leadership Lifetime Achievement Award for his outstanding contributions to sustainability in the property sector.
LBS continues to grow with vast land banks across Malaysia, replicating successful townships such as Bandar Saujana Putra in other parts of Selangor, including KITA @ Cybersouth in Dengkil and LBS Alam Perdana in Bandar Puncak Alam.
The group is also expanding into retail management, hospitality and tourism.
