Stripping off the exceptional items amounting to RM96.0mn, Sunway’s 1H24 core net profit of RM346.7mn (+18% YoY) came in within expectations, accounting for 44% and 43% of ours and consensus’ full-year forecasts, respectively.
A first interim dividend of 2.0sen/share was declared, matching the amount declared in the corresponding period last year.
YoY: In 1H24, revenue grew by 10% YoY to RM3.0bn, fuelled by stronger performance across all business segments. Core PBT increased by 19%, in line with the revenue growth. Notably, the property development segment achieved a 51% rise in PBT, thanks to higher sales and progress billings. Similarly, the property investment division saw a 23% increase in core PBT, driven by higher visitor numbers at theme parks, improved hotel occupancy rates, and increased revenue from investment assets. Additionally, the healthcare division's PBT rose by 30%, supported by improved operational results from its hospitals, increased licensed bed capacity, and better census performance compared to the previous period.
QoQ: In 2Q24, revenue increased by 11%, driven by higher contributions from most business segments, though the property investment segment saw a marginal decline. Despite this, core net profit grew by only 1.3% QoQ to RM174.5mn, mainly due to lower margins in the property investment division, higher tax expenses, and increased minority interests.
Sunway’s 2Q24 property sales decreased 23% YoY but increased 55% QoQ to RM771mn. This brought the YTD 1H24 property sales to RM1.3bn, representing a 15% YoY decline. The Klang Valley region contributed 53% of total sales – see Figure 1.
New IPO: The onshore and offshore support services provider for the O&G industry, Steel Hawk Bhd aims to list on the Ace Market!
MQ Trader 8023 views | 7 d ago
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New IPO: The largest mini-market player and a leading groceries retailer in Malaysia, 99 Speed Mart Retail Holdings Bhd aims to list on the Main Market!
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....