[%TDwi%]
Research by TA
Buy – TP of MYR0.47

“Revised Sales Target to a Minimum of RM300mn”

Glomac's net profit for 9MFY24 plummeted by 52% YoY to RM8.4mn, missing expectations due to narrower property development margins. However, management anticipates earnings to strengthen in 4QFY24, driven by margin normalisation following the completion of low-margin development and accelerated recognition of progress billings for the nearly completed 121 Residences. Notably, 3QFY24 net profit surged nearly 8 times QoQ, with the EBIT margin improving from 9.7% in 2QFY24 to 12.5% post-completion of lowmargin development. 

Analyst(s):
Thiam Chiann Wen 
[%Pikv%]

$KLSE-GLOMAC
Research by TA
Buy – TP of MYR0.47

“Revised Sales Target to a Minimum of RM300mn”

Glomac's net profit for 9MFY24 plummeted by 52% YoY to RM8.4mn, missing expectations due to narrower property development margins. However, management anticipates earnings to strengthen in 4QFY24, driven by margin normalisation following the completion of low-margin development and accelerated recognition of progress billings for the nearly completed 121 Residences. Notably, 3QFY24 net profit surged nearly 8 times QoQ, with the EBIT margin improving from 9.7% in 2QFY24 to 12.5% post-completion of lowmargin development. 

Analyst(s):
Thiam Chiann Wen 
cwthiam@ta.com.my