Kerjaya Prospek Property Bhd group executive chairman Datin Toh Siew Chuon (left) and CEO Joanne Lee at the group's financial results briefing on Tuesday (Photo by Sam Fong/The Edge)

KUALA LUMPUR (May 28): Kerjaya Prospek Property Bhd (KL:KPPROP) plans to launch two new residential projects in the Klang Valley with a combined gross development value (GDV) of RM395 million this year.

The first project located in Sentul comprises 587 units of serviced apartments in a 52-storey block, while the second one in Shah Alam features 479 units of serviced apartments and 14 retail units in a 39-storey block.

The two projects will provide earnings visibility of up to four years, group executive chairman Datin Toh Siew Chuon said at Kerjaya Prospek Property's financial results briefing on Tuesday.

Toh expects the group's net profit margin to drop for the current financial year ending March 31, 2025 (FY2025) compared with FY2024, before rebounding in FY2026 and beyond. This, she said, was because sales recognition would only come in after the new properties are launched by the end of this year.

The group achieved a net profit margin of 27.68% for FY2024 after the fourth quarter's profit margin more than doubled to 45.91% from 20.82% a year earlier, noted Toh.

Kerjaya Prospek Property, which focuses on property development and hospitality, saw its net profit rise 4.5% to RM24.82 million in the fourth financial quarter ended March 31, 2024 (4QFY2024) from RM23.75 million a year earlier, mainly due to a project cost optimisation exercise, despite lower revenue.

Quarterly revenue more than halved to RM54.05 million from RM114.05 million in 4QFY2023 due to lower revenue contribution from the property segment, but it was mitigated by increased revenue from the hospitality segment from hosting of events and banquets.

The latest quarterly revenue is the group's lowest since 2QFY2022 when it posted RM56.28 million.

For full year FY2024, the group’s net profit inched up 1.97% to RM93.31 million from RM91.51 million in FY2023, while revenue fell 9.05% to RM337.06 million, from RM370.62 million.

The group has declared a third interim dividend of one sen per share, payable on July 2, bringing the full-year dividend to three sen per share.

Kerjaya Prospek Property shares closed one sen or 1.17% lower at 84.5 sen on Tuesday, giving the group a market capitalisation of RM456 million. The stock has gained 14% so far this year.