LBS delivers consistent financial results for Q1FYE2024

SHAH ALAM - Malaysian developer LBS Bina Group Berhad (LBS) has announced its unaudited financial results for the first quarter of the financial year ending Dec 31, 2024 (Q1FYE2024).

The results highlight a consistent financial performance, demonstrating the group's robust financial health and effective business strategies.

For Q1FYE2024, LBS reported a profit after tax and non-controlling interests (PATMI) of RM30.53 million, supported by a revenue of RM 342.1 million.

This mirrors last year’s Q1 PATMI of RM 30.5 million, demonstrating LBS’s stability in maintaining strong financial results.

The property development segment, which makes up 96 per cent of the group's total revenue, was a significant driver of this success.

Key projects within the Klang Valley, such as LBS Alam Perdana, KITA @ Cybersouth, Prestige Residence, and the Idaman projects, contributed to this segment’s notable 19 per cent growth in profit after tax, reaching RM 42.6 million.

LBS Group Executive Chairman Tan Sri Datuk Sri Ir. (Dr) Lim Hock San highlighted the importance of operational efficiency and cost optimisation in achieving these results.

"Our operational efficiency and cost optimisation efforts are evident in the improved PATMI margin, rising from eight per cent to nine per cent in the quarter under review. This signifies a progressive step towards maintaining a steady profit margin,” he said.

Reflecting its strategic expansion and dedication to enhancing the property landscape, LBS launched three major projects with a combined value of RM1.12 billion.

These include the BSP Sutera Apartment and Townhouse in Bandar Saujana Putra (RM 207 million), the SkyRia Service Apartment in Puchong (RM 265 million), and the Alam Perdana Central Hub (Semi-Detached Factory and Terrace Factory) in Alam Perdana, contributing RM 648 million collectively.

He also noted the success of the Alam Perdana Central Hub, where the Semi-Detached and Terrace factories have achieved a 50 per cent take-up rate.

"This allows us to capitalise on the growing logistics and warehousing sectors, which are predominantly fuelled by the surge in e-commerce,” he said.

As LBS ventures into the industrial segment, traditionally focusing on residential and commercial properties, this move reflects its strategic agility.

"Alam Perdana Central Hub factories reflect our ability to recognise and seize adjacent opportunities in the industrial segment,” added Lim.

The rise in demand for specialised industrial spaces, driven by Malaysia’s strong market demand and increasing investments in manufacturing, logistics, and technology, positions LBS to meet these evolving business needs.

With these strategic projects and market positioning, LBS anticipates positive contributions over the next three years.