Nanyang Siang Pau -Tropicana first quarter net profit soared 72%

Kuala Lumpur, 23 May 2018 - Tropicana Corp Bhd's (TROP, 5401, main m arket, property) net profit surged 71.49% year-on-year to RM46.4 million in its first quarter ended March 31, 2018 from RM27.06 million due to cost savings and advanced progress of projects. Earnings per share increased to 3.17 sen from 1.89 sen previously. The group said in a filing with Bursa Malaysia today, quarterly revenue went up 21.22% to RM 453mil from RM 373.68mil. 

Profit before tax rose1.1 times  Tropicana said that due to higher progress billings from advanced stages of construction work for many of the group’s ongoing projects, it pushed the group’s revenue. The group will continue to focus on being market-driven and unlock the value of its landbank at strategic locations across the Klang Valley and the northern and southern regions of Peninsular Malaysia.  The group stated, profit before tax rose 1.1 times from RM 40.5mil to RM 85.4mil. The group had delivered total unbilled sales of RM1.2bil, anchored by 15 ongoing projects and an existing land bank of 888.9 acres with a total gross development value of RM42.1bil. Tropicana said that while the industry is expected to remain challenging, the group believes there will still be demand for property in prime locations. As such, the group plans to introduce new phases across its signature developments, namely Tropicana Heights, Tropicana Aman, Tropicana Metropark and Tropicana Danga Cove, with total development value of RM 898mil.