Mah Sing, a major property developer engaged in both the affordable housing and high-end segments, said its strong balance sheet as at 30 September 2017 provides opportunities to pursue more land banking.
Mah Sing’s Group Managing Director, Tan Sri Datuk Seri Leong Hoy Kum said: “Our growth initiative principle is to move forward while adhering to prudent financial management to optimise capital utilization.
“We are on the lookout for more strategic land banks with a focus on developing products below RM500,000 especially in Klang Valley.”
The Group said it posted a profit before tax of approximately RM359.2million and a net profit of approximately RM273.1million on the back of revenue of approximately RM2.2billion for the nine-month period ended 30 September 2017.
On a quarterly basis, the Group recorded net profit of approximately RM92.3million and revenue of approximately RM704.3million.
“With our strong balance sheet, we are in prime position to acquire more lands particularly in the Klang Valley which meet our evaluation. Our target is to increase our land banks in the Klang Valley to 75% of our gross development value (GDV) from our current 66% in the next two years.
As a growth-minded developer, we are very careful in our evaluation as we will not buy for the sake of buying. There must be a compelling reason to buy each piece of land. We are looking at land banks with a good location that fit into our business strategy,” said the MD.
The Group currently has a remaining of approximately 2,131 acres of undeveloped land with approximately remaining GDV and unbilled sales of RM28.3billion which can support the Group’s revenue and earnings growth for the next 8 years.
Send in your scoop to email@example.com