KUALA LUMPUR: Damansara Realty Bhd (DBhd) saw improved earning for its 2019 full year resulted from higher integrated facilities management (IFM) projects margin, sales of its Aliff Square 2 (AS2) commercial units as well as contributions from its joint venture with Country Garden for Central Park development in Johor Bahru.
DBhd's net profit jumped 19.3 per cent to RM23.3 million while pre-tax profit rose 7.6 percent to RM27.3 million.
"This performance is evidence that DBhd is progressing towards high-growth and better-margin projects despite lower revenue recorded last year," group managing director Brian Iskandar Zulkarim said in a statement today.
Fourth quarter revenue increased by 7.2 percent to RM88.2 million compared to the same quarter in the preceding year while net profit stood at RM13.5 million and pre-tax profit at RM14.8 million.
"We are seeing positive results from our strategic alliances, especially for our property development segment. We have also continued to expand these alliances from our partnership with Active Estates for the development of 68 Commercial Units at Business Boulevard Central Park JB worth more than RM156 million," he added.
DBhd also partnered with Menteri Besar Negeri Sembilan Incorporated (MBNSI) to jointly develop a mixed-development project Bandar Sri Sendayan, Negeri Sembilan worth more than RM770 million.
With planning underway, DBhd is looking to break ground within the second quarter (Q2) of 2020.
This 50-acre commercial plot is to be developed over the next 5 to 10 years.
"In 2020, we are doubling our efforts to explore more opportunities in the IFM segment. We believe that our strategy in improving the quality of our contracts through technology adaptation and innovation will bear fruits soon.
"This includes the Metro Parking Group (MPG) implementing its in-house cashless and automated system to improve long-term business efficiency and margins," Brian said.
Earlier in 2019, the MPG through its subsidiary, Metro Parking Philippines (MPP) was awarded a RM62 million contract to develop and manage various parking facilities in Madrigal Business District, Manila.
The Singapore Operations via Metro Parking Singapore (MPS) also reported a positive result in 2019 following a major transformation exercise aimed at bringing it back to profitability, led by its newly appointed managing director Mohd Afiq Farhan Md Hanif, who is one of the talents in the Group’s succession planning programme.