SINGAPORE - Lower revenue from a decrease in an incremental percentage of completion for Capital City Mall weighed down results for Catalist-listed property developer Capital World for its full financial year, it said in a Singapore Exchange announcement on Wednesday night (Aug 29).
Net profit dropped 17.7 per cent to RM57.7 million (S$19 million) from the year-ago period, the group said in the filing. For the 12 months ended June 30, revenue fell 14.9 per cent to RM156.4 million from the previous year. The mall was 83.2 per cent completed as at June 30, 2018.
It also faced higher general and administrative costs of RM37.5 million, from RM13.0 million in FY2017, due to reasons such as higher payroll-related costs from additional headcounts after its reverse takeover, and fees for liaising and sourcing tenants for Capital City Mall.
Earnings per share fell to 4.53 sen from 6.36 sen for the previous year.
Capital World said it believes that projects such as the proposed Rail Transit System and the Bus Rapid Transit System could help enhance Johor Bahru's connectivity, and it introduced an indoor musical circus in Malaysia at Capital City Mall earlier in August.
"The group remains committed to complete Project Capital City and launch its pipeline projects while exploring potential joint venture projects in strategic locations in Malaysia and other Asean countries," the company added.
Capital World shares ended $0.001 or 2.2 per cent up at $0.046 on Wednesday.