KUALA LUMPUR: Property developer Radium Development Bhd (RDB) posted a net profit of RM7.89 million for the fourth quarter (Q4) ended December 31, 2023 (FY23) while profit before tax stood at RM15.77 million.
Despite a minor revenue dip due to ongoing projects such as R Suites Chancery Residences, Vista Adesa @ Desa Timur, and Radium Adesa @ Desa East Residences, RDB showcased a strong PBT for the quarter.
Additionally, the company maintained an impressive gross gearing ratio of 0.05 times, reflecting its financial stability and strategic management amidst project dynamics.
Furthermore, Radium Global Sdn Bhd (RGSB), a subsidiary of RDB, recently acquired land at Old Klang Road in June 2023, signalling the company’s commitment to growth and enhancing shareholder value.
The launch of this project is expected in the first half of 2024.
“We are confident in our company’s sustained growth trajectory, with a focus on launching and selling two new projects in 2023: R Suites Chancery Residences in Ampang, with an estimated gross development value (GDV) of RM500 million, and Vista Adesa @ Desa Timur and Radium Adesa @ Desa East Residences in Sungai Besi, with an estimated GDV of RM1 billion,” RDB group managing director Datuk Gary Gan Kah Siong said in a statement.
Moreover, RM109.3 million from the initial public offering (IPO) proceeds have been allocated to develop a 145-room boutique hotel seamlessly integrated into a mixed-development project in Ampang, Kuala Lumpur.
This strategic move aims to tap into a rejuvenated revenue stream from Kuala Lumpur’s tourism sector, complementing the company’s existing property development portfolio.
Vista Adesa, launched in May 2023, has achieved a take-up rate of nearly 60 per cent, equivalent to a GDV of approximately RM219 million.
Similarly, Radium Adesa, launched in June 2023, has garnered a take-up rate of 78 per cent, representing a GDV of RM447 million.
“The Vista Adesa project aligns with the government’s strategic objective of enhancing homeownership among Malaysians.
“The project encompasses the provision of economical residential units valued at up to RM300,000, comprehensively financed through the housing credit guarantee corporation (HCGS) loan programme,” said Gary Gan.
On November 28, 2023, RDB formalised a Strategic Partnership Agreement with MyCharge EV Sdn Bhd (MCSB) to integrate electric vehicle (EV) chargers across current and future developments.
The company plans to install EV chargers at Vista Sentul Residences in March 2024.
“Aligning with the evolving landscape of environmentally conscious businesses, our partnership with MCSB represents a significant step.
“Additionally, the company is actively exploring new avenues to diversify our revenue streams,” said Gary Gan.
RDB’s performance and strategic initiatives demonstrate its resilience and forward-thinking approach in the property development sector.
