Eupe 2Q net profit up 56.85% on higher property sales

KUALA LUMPUR (Oct 22): Eupe Corp Bhd’s net profit jumped 56.85% to RM16.21 million for the second quarter ended Aug 31, 2020 (2QFY21) from RM10.33 million a year ago, underpinned by strong contributions from its property division.

In a bourse exchange, the company announced that its revenue for 2QFY21 also surged 53.37% to RM121.46 million from RM79.2 million in the previous year.

“Q2FY2021’s financial performance reflects the consistently strong contributions from its property development division, with high sales take-up rate and solid momentum in the construction progress of Parc3@KL South (Parc3), with Novum@South Bangsar (Novum) handed over to its purchasers in June 2020,” it said.

However, for the six months ended Aug 31, 2020 (1HFY20), the group’s net profit slipped 6.49% to RM16.59 million from RM17.74 million a year ago. Its revenue also fell 7.34% to RM151.87 million from RM163.9 million in the previous year.

The group attributed the decline chiefly to the temporary shutdown of the group’s business activities as a result of implementation of the Movement Control Order from March 18 to May 3 and conditional Movement Control Order from May 4 to June 9 to contain the spread of the coronavirus.

Going forward, the group noted that economic disruptions created by responses to the pandemic are likely to accelerate some existing trends in the property market, which may include greater consumer demand for more value for their investment, as well as more product innovation in home design.

“Eupe remains firmly focused on these strategies, particularly as it continues to develop its projects in the pipeline within Klang Valley, and remains confident that its product planning and design focused strongly around clear points of design and lifestyle differentiation is sufficiently resilient to meet these new challenges,” it said.

Eupe rose 1 sen or 1.75% to 58 sen, valuing the company at RM74.24 million.

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