Share
- Local projects contributed RM903 million or approximately 87% of sales, with international projects contributing RM130 million or approximately 13% of sales.
KUALA LUMPUR (May 17): S P Setia achieved commendable sales of RM1.03 billion for the first quarter ended March 31, 2023 while revenue came in at RM968 million with a corresponding profit before tax of RM116 million.
Local projects contributed RM903 million or approximately 87% of sales, with international projects contributing RM130 million or approximately 13% of sales, S P Setia stated in a media release.
In Malaysia, the sales secured were largely from Central region with RM546 million whereas Southern region contributed RM285 million.
The developer also revealed that completed inventories worth of RM107 million were cleared during the same quarter. It secured bookings of RM512 million as at March 31, 2023 and “remains steadfast on the swift conversion of these bookings into sales”.
“We are pleased with this achievement for the first quarter of this year. This achievement reflects improvement in a challenging macroeconomic environment and market sentiment”, said Datuk Choong Kai Wai, president & chief executive officer of S P Setia Bhd.
For FY2023, S P Setia will launch RM4.89 billion worth of local properties. Launches will be concentrated in the Central region with a gross development value of RM3.83 billion. This includes new projects from the group’s established developments such as Bandar Setia Alam, Setia Ecohill 1 & 2, Setia Eco Templer, Bandar Kinrara and Setia Eco Park as well as rebranded projects of Setia Alamsari (North and South), Setia Alam Impian and Setia Bayuemas.
In Johor, launches of RM403 million will be rolled out largely from Setia Tropika, Taman Pelangi Indah, Setia Eco Gardens and Setia Eco Cascadia.
As for Northern region, planned launches worth RM575 million are mainly located in Setia Fontaines in Bertam and Setia Miracca, a new development planned in Penang Island.
For 1QFY2023, the group launched a total GDV of RM683 million worth of landed properties comprising mostly double storey terrace and/or semi-detached homes “whereby the take-up rate in well sought after and mature township such as Bandar Kinrara was fully sold out”. Other successfully launched projects “were also observed in townships such as Setia Eco Templer, Setia Alam Impian and Setia Eco Gardens during this period”, stated S P Setia.
The developer is of the view that the recent overnight policy rate hike by Bank Negara Malaysia to help counter inflationary pressures “may add burden to new homebuyers”.
“Cognisant of the various measures announced and implemented by authorities, we are prioritising on creating sustainable community developments by taking cue of the current market demand and buyer’s affordability levels.
“We continue to emphasise on offering new planned launches that meet the buyers’ demand. The group has diversified into hospitality and industrial property sectors and is slated to further expand our presence in Australia and Vietnam given the strong growth potential prevalent in these markets, ” said Choong.
"With the commendable sales achieved for the first quarter, we are optimistic that we will achieve the sales target of RM4.2 billion set for FY2023," he added.
