OSK Holdings plans one-for-two bonus issue; 4Q net profit jumps 51%

• The property investment division saw stable rental income and gains from a joint venture's office tower sale, offset by a loss on an overseas property.

KUALA LUMPUR (Feb 27): OSK Holdings Bhd (KL:OSK) has proposed a bonus issue exercise involving one bonus share for every two existing shares held.

OSK shares have risen 25% in the past year, closing at RM1.81 on Thursday for a market capitalisation of RM3.79 billion.

“This exercise will see the total number of issued shares of the company increase from 2.095 billion to 3.143 billion, benefitting over 22,000 OSK shareholders as of December 31, 2024,” the group said in a Bursa Malaysia filing.

Separately, OSK announced that its net profit rose 50.9% in the fourth quarter ended Dec 31, 2024 (4QFY2024) to RM147.60 million, compared with RM97.8 million in the previous year’s corresponding quarter. Earnings per share grew to 7.16 sen from 4.74 sen.  

This was primarily underpinned by its investment holding segment, which benefitted from higher profit contribution from RHB Bank Bhd (KL:RHBBANK), in which OSK holds a 10.27% stake.

OSK declared a final dividend of five sen per share, bringing to a total dividend payout of eight sen for FY2024 against seven sen for FY2023.

Quarterly revenue, however, was flat at RM440.42 million against RM423.54 million last year.

On a full-year basis, OSK reported a 14.9% rise in net profit to RM536.47 million on the back of higher revenue of RM1.66 billion, compared with RM1.59 billion previously.

OSK said all business segments saw higher pre-tax profits for FY2024, except for the industries segment, as it incurred higher expenses from the acquisition of additional cable manufacturing plants which have not commenced production.

The property investment division saw stable rental income and gains from a joint venture's office tower sale, offset by a loss on an overseas property.

The hospitality segment benefitted from high occupancy, increased room rates and demand for corporate events, while its financial services segment was supported by an expansion in Malaysia and Australia.

Going forward, OSK said its property development division will continue to launch projects as scheduled and is expected to remain a key profit driver in the coming fiscal year with a solid launch pipeline.

For ongoing developments, management will monitor work progress and cost efficiency, ensuring that each project remains on track and within budget.

“The continued focus on project launches, with strong market response, positions the division for sustained success and expansion,” it added.

EdgeProp.my is currently on the lookout for writers and contributors to join our team expansion. Please feel free to send your CV to [email protected]. 

Looking to buy a home? Sign up for EdgeProp START and get exclusive rewards and vouchers for ANY home purchase in Malaysia (primary or subsale)!