KUALA LUMPUR, Kumpulan Kitacon Bhd has secured an RM86.58 million contract from Earth Pavilion Sdn Bhd to construct residential units at The Mines Resort City in Selangor.
The project, to be undertaken by its wholly owned subsidiary Kitacon Sdn Bhd, comprises two phases:
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Phase 3: 34 units of three-storey semi-detached and zero-lot homes
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Phase 4: 47 units of three-storey zero-lot and bungalow houses
Construction will commence on Nov 1, 2025, and is expected to be completed within 24 months, the group said in a bourse filing.
Kitacon added that the contract is expected to contribute positively to its earnings and net assets per share for the financial year ending Dec 31, 2025 (FY2025) and onwards.
For the first half of FY2025, the group posted a net profit of RM26.41 million, up 9.9% from RM24.02 million a year earlier, despite a 12.5% decline in revenue to RM413.34 million due to several projects nearing completion.
CGS International projected stronger earnings in the second half of FY2025, supported by margin expansion and ongoing township projects such as Bandar Bukit Raja and Elmina.
As of June, Kitacon’s tender book stood at RM913 million, comprising 83% residential and 17% industrial projects. The group has secured RM375 million worth of new contracts so far this year, including an RM88 million residential project from GuocoLand Group.
At Tuesday’s midday break, Kitacon shares slipped 0.5 sen or 0.68% to 72.5 sen, valuing the company at RM362.7 million.
