Guocoland Sees Marginal Improvements For Q2 Earnings
Guocoland Berhad reported revenue of RM135.5 million and profit after tax of RM7.8 million for the current quarter under review as compared to revenue of RM119.6 million and profit after tax of RM5.2 million in the preceding year’s corresponding quarter.
The higher Group revenue reported for Q2 was primarily due to higher contributions from the property development division following the completion of the North Tower of Emerald Hills project in Cheras in the current quarter.
The group said the performance of the hospitality division has improved in the current quarter under review with higher occupancy and better average room rates as well as the property investment division which recorded improvement with increased average rental rates and better cost management in our DC Mall. Goucoland also incurred lower finance costs as compared to the preceding year’s corresponding quarter.
The lower shares of results of associates and joint ventures were mainly due to lower contributions from Rawang projects following the completion of Mallow Lakepark Homes and Garland Residence 1 and 2 in the previous financial year, partially offset by higher contributions from Tower Real Estate Investment Trust (“Tower REIT”) through improved occupancy and average rental rate in the current quarter.
Looking into 2025, the Group said its focus will remain on the timely completion of its ongoing development projects, effective monetisation of inventories, and maintaining prudent financial and judicious cost management to navigate an evolving market landscape.
The Group is currently undertaking a comprehensive review of its existing portfolio, including redevelopment or repositioning where appropriate taking into account the emerging trend of the increased market demand in digital infrastructure and industrial parks.
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