The construction and property firm bucks the trend to register brisk sales at a time when other firms are struggling with Covid-19
Despite the difficult property and construction scenario, Ibraco Berhad has defied the odds to record a net profit of almost RM6 mil for the three-month period ended March 31 riding on revenue of RM54.9 mil.
During this reporting quarter, Ibraco’s revenue was primarily recognised from its property development projects, namely the apartment suites and commercial lots at ContiNew, Kuala Lumpur, as well as the NorthBank integrated development in Kuching.
Meanwhile, Ibraco, which has a total of 40 years of construction experience, saw its total assets maintain at RM741.7 mil as at March 2021 compared to RM784.557 million as at December 2020. The company continues to rewards its shareholders which has exemplified its faith to the company over the years by ramping up its earnings per share to 1.12 sen from 1.09 sen previously. On February 25, 2021, the board of directors have approved an interim single tier dividend of 2.00 cent per ordinary share for the financial year ended December 31, 2020, which was paid out on April 15, 2021.
As for its prospects, Ibraco is hopeful of an economic recovery in Sarawak in view of the Sarawak Government’s five-year development master plan to transform the city of Kuching. Furthermore, Sarawak’s infrastructure development will get a major boost with sizable allocation in the Year 2021 state budget for development expenditure and global economic recoveries.
Against the above backdrop coupled with the Ibraco’s efforts in the branding of The NorthBank development over the years, it is set on good path to roll out more launches in FY2021 focusing on The NorthBank. There will be new launches for commercial developments, service apartments and landed residences. Also in the development plan is the kick start of the construction of The NorthBank Specialist Hospital in FY2021 that will further enhance the value of the surrounding properties. Apart from The NorthBank, the Group also plan to roll out a range of affordable housings in Kuching in FY2021 to broaden their market reach as well as to cater for the current demand for affordable homes.
In the Bintulu market, Ibraco is planning for the new launch of shop office and 2nd phase of serviced apartments following the 100% take up rate of the phase 1 serviced apartments.
Riding on the success of ContiNew Kuala Lumpur, the Group’s venture into West Malaysia will continue with the new launch of affordable service apartment at Bandar Petaling Jaya Selatan in the new future.