KUALA LUMPUR: SP Setia Bhd expects a slightly better outlook this year as it plans to launch projects worth RM7.07 billion and sets a sales target of RM5 billion.
This came after its net profit rose marginally last year.
For the financial year ended December 2017, its profit rose to RM1.069 billion , higher than RM1.067 billion in 2016 but revenue eased to RM4.52 billion from RM5.71 billion in 2016.
SP Setia achieved total sales of RM4.06 billion, surpassing the sales target of RM4 billion.
Local projects contributed RM2.55 billion or 63 per cent of the total sales while international projects contributed RM1.51 billion or 37 per cent of total sales.
President and chief executive officer Datuk Khor Chap Jen said it has set a sales target of RM5 billion this year, RM1 billion higher than last year's target on slightly better outlook.
The better outlook is underpinned by an unbilled sales of RM7.72 billion, 44 ongoing projects and effective remaining land bank of 384.24 hectares with a gross development value of RM128.37 billion, as at December 2017, he added.
Khor said there is a strong underlying demand for landed starter homes and mid-range properties in strategic locations with good infrastructure.
"The focus is to leverage on the group’s established townships and roll out more mid-priced landed properties where the demand for these staple products have proven to be strong.
“Hence, we will be emphasising on the launch of mid-range landed properties in Setia Alam, Salak Tinggi, Alam Impian, Temasya Glenmarie, Alam Sari, Temasya Putra, Setia EcoHill and Kota Bayuemas in 2018,” he said.
On overseas launches, the property developer plans to launch UNO Melbourne with a GDV of RM1.14 billion in the central business district of Melbourne and Daintree Residence with a GDV RM1.45 in Singapore.