KUALA LUMPUR: Lifestyle property developer Eastern & Oriental Bhd (E&O) has in the past 6-month period from April to September this year, locked in new property sales worth RM635 million while unbilled sales as at end-September stood at RM825 million.
The company said in a statement today that while working within the current subdued property market conditions, it has been banking on its brand strength and established track record to continue drawing in sales for its properties in Penang, Kuala Lumpur, Medini Iskandar and London.
"We are operating in a tough market environment challenged by a host of factors that include the government’s cooling measures as well as other domestic and global uncertainties," E & O deputy managing director Eric Chan Kok Leong said.
“Against such a backdrop, we have had to intensify our sales and marketing efforts to reach out to local and international clients. As shown by the sales numbers for the 6-month period since April, the results of these initiatives have been positive.”
Commenting on the prospects of the market, Chan said: "While there may not be a marked change in the market situation in the short term, we are cognisant of the cyclical nature of the property market which warrants a longer- term perspective.”
"Demand," he noted, "remains in the niche locations and for projects by developers offering strong concept, branding and delivery.
"We are responding to this with the upcoming launches of the second tower of The Tamarind and the second phase of Avira garden terraces.”
The Tamarind is E&O’s first executive apartments coming up in Seri Tanjung Pinang, Penang while Avira is the Group’s wellness-themed project developed in partnership with Khazanah Nasional Berhad and Temasek Holdings Pte Ltd in Medini, Iskandar Malaysia.
Chan said the two projects are expected to be launched in the second half of the financial year and are already recording a steady flow of registrants.
E&O also released its results for the first half of the 6-month financial period ended Sept 30, 2015.
It reported to Bursa Malaysia today that it had achieved revenue of RM154.6 million and profit after tax of RM47.7 million for the first 6 months of its 2016 fiscal year with the bottomline of the group improving by 11 per cent year-on-year.
E & O also said the proposed listing of its subsidiary Eastern & Oriental Plc on AIM of the London Stock Exchange is awaiting approval from the UK listing authority.