PETALING JAYA: BSL Corp Bhd is developing a small scale and affordable housing project in Ipoh, Perak after the company announced that it is diversifying its income stream into the property market.
Chief executive officer Richard Ngiam Tee Wee said as the division is still new, the plan is focus on small scale development projects at niche market outside Klang Valley.
Ngiam said the proposed project in Ipoh will be a landed affordable property project with less than 50 units, involving an expected gross development value of RM10 million.
“While we agree that the property market is currently competitive with oversupply in the market, we are targeting a more niche and affordable projects as a start and progress from there.
“We planned to address the shortage of affordable housing and property projects in small scale across Malaysia, and we targeting to launch the project in Ipoh by end of this year,” he told reporters after the company’s annual general meeting here today.
Ngiam said over long term, the company plans to be one of the Industrialised Building System (IBS) players in the market.
In November last year, BSL has established a 51:49 joint venture with Wong Sze Chien to explore acquisition, investment and development opportunities in properties.
On its engineering, procurement, construction and commissioning (EPCC) for large scale solar (LSS) plants business, Ngiam said the company plans to double the size of the contract that it had done last year in the current financial year ending August 31, 2018.
He said last year, the company has EPCC for LSS of two megawatt (MW) and expects to secure at least a couple more this year.
“We planned to start doing EPCC for 2MW this year as a start, and with more experience under our belt, we want to grow this business more in the coming year.
“We did 2MW plus little smaller ones last year, and conservatively, we want to double that in this financial year,” he said.
For the financial year ended August 31, 2017, BSL’s net profit was 35.8 per cent lower at RM3.06 million from RM4.76 million recorded in the previous financial year.
Revenue in the same period increased 38.2 per cent to RM149.62 million from RM108.26 million.