With the revenue contributions from the Moxy Hotel in Putrajaya and W Kuala Lumpur Hotel in the first quarter of this year, IOI Properties Group's (IOIPG, 5249, main board industry stock) hotel business will have stronger growth momentum.
IOI Properties Group announced its performance for the third quarter of the 2024 fiscal year (ending March 31), with net profit soaring 90.87% year-on-year to MYR 220.21 million and revenue increasing 59.77% year-on-year to MYR 921.9 million.
IOI Properties Group's cumulative net profit for the first nine months was MYR 516.15 million, a year-on-year decrease of 55.41%; the accumulated revenue was MYR 2.1571 billion, a year-on-year increase of 11.96%.
IOI Properties Group stated in a press release that its first nine months' revenue benefited from the sale of land in Johor, which brought in MYR 211.1 million. Meanwhile, the property investment and hotel and leisure businesses have both grown.
IOI Properties Group further pointed out that Moxy Hotel in Putrajaya has made significant contributions to the hotel and leisure business. Moxy is a 480-room hotel that opened before the Lunar New Year.
Meanwhile, W Kuala Lumpur Hotel, which is owned by the company and has 150 rooms, opened in February.
IOI Properties Group CEO Lee Yeow Seng said that although the operating environment both domestically and overseas is expected to continue to be challenging, the company will continue to launch diversified industries and improve its hotel and leisure business. He believes that this can maintain the recurring income of the company's investment portfolio.
Total property sales for the first nine months were MYR 1.59 billion.
IOI Properties Group has launched a total of MYR 2.78 billion worth of property projects in the first nine months.
The total sales of property development business for the first nine months were MYR 1.59 billion, of which local projects contributed MYR 1.46 billion (92%), Chinese projects contributed MYR 118.3 million (7%), and Singapore projects contributed MYR 14 million (1%).
The sales of local projects mainly came from Johor (MYR 669.3 million), with the highest sales from Kulai and Puteri Hills; the sales in the Klang Valley region (MYR 645.6 million) were also good, with the IOI Resort City integrated development project in Putrajaya and the Puteri Princess City project in Selangor contributing the most to sales.