Country View Bhd reported a 15.3% increase in net profit for the second quarter, as a sharp decline in cost of sales, coupled with lower marketing and finance costs and the sale of a commercial land parcel, more than offset weaker property sales.
Country View Bhd (KL:CVIEW) reported a 15.3% increase in net profit for the second quarter, as a sharp decline in cost of sales, coupled with lower marketing and finance costs and the sale of a commercial land parcel, more than offset weaker property sales.
Net profit for the three months ended May 31, 2026 (2QFY2026), rose to RM21.1 million from RM18.3 million a year earlier. It also attributed the higher earnings to the progress of work on the units sold for Aurora Avenue three-storey semi-detached shops at Aurora Sentral in Iskandar Puteri, Johor, according to a Bursa Malaysia filing on Tuesday (July 28).
Revenue, however, fell 18.9% to RM83.4 million from RM102.8 million due to a lower number of properties sold during the quarter, the Johor-based property developer added.
The cost of sales declined by 29.8% to RM46.88 million in 2QFY2026, from RM66.74 million a year ago.
Marketing and promotion expenses fell 87.8% to RM379,000 in 2QFY2026, from RM3.11 million a year ago while finance costs also dropped 56.4% to RM783,000, from RM1.8 million.
For the first half ended May 31, 2026 (1HFY2026), its net profit slipped 14.45% to RM41.45 million from RM48.4 million while revenue declined 16% to RM182.23 million from RM217.02 million.
The group attributed the weaker performance to the absence of sales of three commercial land parcels in Taman Nusa Sentral.
On its prospects, Country View expects its financial performance for the financial year ending Nov 30, 2026 (FY2026), to be supported by sales and construction progress at Taman Nusa Sentral and Aurora Sentral in Iskandar Puteri, Johor.
The group said it remains cautious on the Johor property market amid geopolitical uncertainties stemming from the Middle East conflict.
With that, it said it will monitor external challenges such as global economic uncertainties arising from geopolitical and global trade tensions that have resulted in fluctuating prices of commodities and materials, volatility of currencies, shifts in inflation, fluctuating interest rates and changes in investor sentiment.
No dividends were declared for the quarter under review.
On Tuesday, Country View shares closed up two sen or 0.63% at RM3.18, giving the group a market capitalisation of RM318 million. The stock has jumped 40% over the past one year.
