KUALA LUMPUR: SP Setia Bhd's net profit rose to RM75.23 million in the first quarter ended March 31, 2021 from RM24.09 million in the same quarter last year driven by progressive revenue recognition from strong take-up rates achieved.
Revenue increased to RM1.05 billion from RM702.65 million previously.
In a filing with Bursa Malaysia today, president and chief executive officer Datuk Khor Chap Jen said the company had intensified its marketing efforts to generate more sales before the Home Ownership Campaign 2020 ends in May 2021.
"In addition, we had launched a total gross development value (GDV) of RM525 million landed properties," he said.
He said the company recorded a strong sales performance of RM1.19 billion during the first quarter, of which 78 per cent was contributed by local projects and the remaining from international projects mainly from Daintree Residence in Singapore.
On the local front, he said sales were primarily derived from the central region at RM705 million followed by the southern region (RM148 million) and northern region (RM74 million).
Khor said the company continued to be cautiously optimistic of sustainable market momentum for the second half of the current financial year, especially with the recent announcement of the Movement Control Order 3.0.
"Nonetheless, the economic outlook is projected to improve on the back of the ongoing nationwide vaccination programme, which will ultimately spur the economy, specifically the local property market," he said.
As of March 31, 2021, SP Setia has 47 ongoing projects with effective remaining land bank of 3,445 hectares valued at a GDV of RM135.7 billion and total unbilled sales of RM10.12 billion, which will tide the group over the next two years.