AGAINST the backdrop of easing movement restrictions and economic re-opening – and considering that most of the group’s launched residential products are almost sold – Glomac Bhd will be launching RM282 mil of new products this year.
In fact, its planned new launches comprise mainly landed residential phases within the mid-market and affordable segments that have continued to garner solid response from property buyers.
This includes the debut of Saujana Utama 5 in Sungai Buloh, a residential township with an estimated gross development value (GDV) of RM299 mil.
Earlier this month, the group officially rolled out Primrose in Saujana KLIA (Sepang). The development which entails 123-units of double-storey terrace homes with a total GDV of RM65 mil has received healthy response from buyers since its launch.
Located within the proximity to Cyberjaya, Putrajaya and the KLIA International Airport, the entire Saujana KLIA township boasts an estimated GDV of RM1.43 bil. Previous launches of mainly terrace houses and shop offices totalling RM525 mil have been all sold.
During its 1Q FY4/2022, Glomac has successfully handed over all its completed 103 units of its double-storey terrace Acadian homes in Saujana Rawang.
Despite the many restrictions of the pandemic since early 2020, this timely hand-over was closely followed by similar exercise for Tresna Teruntum homes in Saujana Perdana (Sungai Buloh).
Come October, the group is also expected to make more timely deliveries for its Tresna Teratai homes.
As far as high-rise development is concerned, Glomac is focusing on converting sales from its ongoing residential developments such as Plaza @ Kelana Jaya and 121 Residences as well as other new launches.
Moving forward, Glomac said it has successfully embraced the new digital norm by adding value to its products via broadband connectivity and work-from-home layouts. Additionally, it has also introduced digital marketing to complement conventional approach to boost marketing efforts.
While it remains cautious of the lingering impact from the COVID-19 pandemic on the property market and sentiment, Glomac expects its longer-term prospects to remain intact.
“The lifting of economic restrictions and the resumption of construction activities will reflect positively on near-term performance, supported by Glomac’s RM580 mil unbilled sales,” it projected.
“Given the group’s healthy balance sheet, Glomac is well-placed to accelerate development activities, tapping into its strong development pipeline that has a potential estimated GDV of RM8 bil.”
In its unaudited results for 1Q FY4/2022, Glomac saw its net profit dipped 60% year-on-year (yoy) to RM1.73 mil (FY4/2021: RM4.39 mil) on the back of difficult operating environment due to the COVID-19 pandemic. Reflecting that condition, the company’s revenue during the period also edged down 38% to RM28.84 mil yoy (FY4/2021: RM46.87 mil).
Nevertheless, the group’s balance sheet is robust with a cash position of RM189.9 mil as of end-July while the group’s net gearing stood at a manageable 0.26 times and net assets per share at RM1.45.
Revenue for the quarter was driven by ongoing phases in Saujana Perdana, Plaza@ Kelana Jaya, Saujana Rawang, Lakeside Boulevard and 121 Residences.
At the close of yesterday’s trading, Glomac was down 0.5 sen or 1.47% to 33.5 sen with 237,300 shares traded, thus valuing the company at RM268 mil. – Sept 23, 2021
