PETALING JAYA: Sunway Bhd’s net profit for the second quarter ended June 30, 2022 more than doubled to RM168.88 million from RM70.52 million a year ago supported by stronger operating contributions from most business segments.
Revenue soared 66.9% to RM1.28 billion from RM767.3 million in the same quarter last year underpinned by improved revenue performance from all business segments.
Pursuant to the adoption of MFRS 15, development profit from two of the group’s ongoing property development projects in Singapore will only be recognised upon completion and handover of the projects. The accumulated profit of these projects amounted to RM87.5 million, of which RM17.6 million was recorded in the current quarter, was not recognised.
For the six months period, its net profit more than doubled to RM308.99 million while revenue jumped to RM2.39 billion.
The group declared a first interim single-tier cash dividend of 2 sen per share for the financial year ending Dec 31, 2022 and a preferential dividend of 5.25% per annum per irredeemable convertible preference shares for the period from Jan 1, 2022 up to and including June 30, 2022, in respect of the financial year ending Dec 31, 2022.
Sunway group CFO Chong Chang Choong said its financial performance continued to strengthen further in the current quarter, underpinned by the steady recovery of domestic demand as economic activity continued to normalise following the reopening of the economy and its international borders.
“The group expects to continue to benefit from the on-going economic recovery, particularly its leisure and hospitality segments due to improving domestic tourism demands and higher tourist arrivals. In addition, the healthcare segment will also benefit from the recovering medical tourism sector as international travels start to normalise.
“While there may be downside risks to the recovery going forward due to rising inflationary expectations and higher interest rates, the domestic economy is expected to be able to weather the headwinds and sustain its growth momentum.”
Barring any unforeseen circumstances, the financial performance for the group is expected to be satisfactory for FY2022.