Sunway City Kuala Lumpur,25 May 2021
Sunway Berhad (“the Group”) today announced its first quarter financial results (“1Q 2021”) for the financial year ending 31 December 2021.
The Group registered revenue of RM1,016.7 million for the current quarter ended 31 March 2021 compared to RM971.4 million in the corresponding quarter in the preceding financial year, representing an increase of 4.7% year-on-year (“y-o-y”). Revenue was higher in 1Q 2021 driven by higher contributions from most business segments except property development and property investment segments. Profit before tax (“PBT”) contracted by 6.7% y-o-y, from RM93.5 million to RM87.2 million for the quarter under review on the back of lower contributions from property development and property investment segments. However, the Group has recently launched two executive condominium projects in Singapore, which were well received by the market. In accordance with MFRS 15, their development profits will only be recognised upon completion and handover of the projects.
For the quarter under review, a majority of the business segments continued to recover from the fallout of the pandemic despite the implementation of movement control order (“MCO 2.0”) from 13 January to 4 March 2021. The hospitality and leisure businesses under the Property Investment segment continued to be adversely impacted due to closure of the theme park operations, more stringent social distancing requirements and restrictions in interstate travels.
Sunway Group Chief Financial Officer, Chong Chang Choong commented, “While the Group’s leisure and hospitality businesses continue to be impacted by the on-going pandemic, the other business segments of the Group are, however, more resilient and able to continue to perform and deliver satisfactory results.”
He added, “With the progressive rollout of the mass vaccination programme over the short to medium term, the Group is hopeful that the pandemic may be contained. This will augur well for the Group going forward as the economic recovery will be more sustainable, which will be further supported by the recovering global economy and accelerated fiscal stimulus spending by the government. Barring any unforeseen circumstances, the Group expects the financial performance of CY2021 to be satisfactory.”