Nanyang Siang Pay - Tropicana Corperation net profit hike 1.38 times in Q4

Kuala Lumpur, 28 February 2018 – Tropicana Corp. Bhd.’s (TROP, 5401, main market, property) net profit for the fourth quarter of its financial year ended 31 December 2017 rise up to 1.38 times and the property developer attributed the big jump in earning to cost savings, release of low cost provisions and advanced progress of projects.

A note filled with Bursa showed Tropicana’s net profit increased more than double to RM 69.62mil or 4.77 sen per share from RM 29.26mil or 2.05 sen per share in the previous corresponding quarter.

The group’s revenue expanded by 35.36% to RM 619.04mil compared with RM 457.32mil recorded in previous corresponding quarter. The increase in revenue in the quarter reflected higher progress billings from advanced stages of construction works for most of the group’s ongoing projects.

The group said it drew in sales contribution of RM 252.6mil in the fourth quarter and is confident that it will continue to grow, backed by RM 1.5bil in unbilled sales.

For the financial year 2017, Tropicana’s net profit was higher by 69.3% to RM 190.48mil or 13.1 per share whereas the annual revenue grew by 30.79% to RM 1.91bil.

Tropicana will be launching Aman 2 in the second half of 2018 following the successful launch of Aman 1 in Tropicana Aman, Kota Kemuning. The group expects these quality homes to drive stronger sales performance for the group in 2018 as well as grow its customer base, reaching out to more first-time homebuyers and new families who aspire for modern living.

Currently the group’s landbank stands at 888.7 acres with a total potential gross development value (GDV) of RM 42.1mil.

Acquire Marivaux at RM 78.25mil

On a side note, Tropicana announced its acquisition of Marivaux Holdings Sdn Bhd at RM 78.25mil.

Marivaux mainly focusing on property development and upon completion of acquisition, it will become sole subsidiary of Tropicana.