KUALA LUMPUR (May 28): Berjaya Land Bhd (KL:BJLAND) said its net profit surged more than sevenfold for the third quarter ended March 31, 2024 (3QFY2024), attributed to gains from equity disposal and the revaluation of retained equity interest.

Net profit rose to RM29.33 million from RM4.05 million, while revenue was little changed at RM1.95 billion compared with RM1.94 billion previously, its bourse filing showed. It did not declare any dividend for the quarter.

BLand is involved in numbers forecast operations (NFOs), auto retailing and its after-sales services, property development and investment, and hotels and resorts.

BLand said its pre-tax profit of RM115.29 million for the quarter — nearly doubled from the previous year’s corresponding quarter of RM59.43 million — included gains of RM42.5 million from equity disposal and RM56.89 million from the remeasurement of retained equity interest in a former associated company.

Additionally, its subsidiary STM Lottery Sdn Bhd saw a higher profit contribution due to higher sales per draw and a lower prize payout. Its hotels and resorts business segment also reported higher revenue, driven by higher room rates and occupancy rates amid a rise in tourist arrivals.

HR Owen Plc also reported a better profit margin earned from new car sales and higher after-sales revenue.

However, for the nine-month period ending March 31, 2024 (9MFY2024), the group recorded a net loss of RM10.29 million, in contrast to a net profit of RM96.89 million in the corresponding period of the previous year.

BLand attributed this to a lower profit contribution from the property development and investment business segment, higher operating expenses and finance costs, as well as higher depreciation incurred by HR Owen following the full operation of Hatfield Centre.

Looking ahead, BLand said the directors are “cautiously optimistic” that FY2024 will be “satisfactory” and expect its domestic businesses to improve on the back of strong consumer spending and tourism activities.

“As for the gaming business, the closure of legal NFO (numbers forecast operator) outlets in Kedah and Perlis will result in the proliferation of illegal operators in these underserved areas,” it warned.

Shares of BLand were down half a sen to 36 sen, valuing the group at RM1.8 billion. The counter has climbed eight sen, or 28.57%, since the beginning of the year.