Construction firm GDB posts record 2Q earnings; targets RM1.8b new bids by 4Q

• As at end-June, GDB’s order book stood at RM990 million, providing earnings visibility through to FY2026.

KUALA LUMPUR (Aug 26): GDB Holdings Bhd (KL:GDB), which specialises in high-rise construction projects, posted its strongest-ever quarterly earnings for the second quarter ended June 30, 2025 (2QFY2025), underpinned by contributions from ongoing projects and lower other expenses, a bourse filing showed.

Net profit for the quarter jumped more than fivefold to RM21.75 million from RM4.16 million a year earlier, while revenue surged 288% to RM180.86 million from RM46.62 million. This marks the group’s highest quarterly earnings since its listing on the ACE Market in March 2018, before its transfer to the Main Market in April 2020.

GDB declared a second interim dividend of 0.5 sen per share, payable on Sept 25, bringing its year-to-date payout to one sen per share. It paid a total of 0.7 sen per share for FY2024.

The ongoing projects that contributed to its bottom line are the KL International Hospital in Bukit Jalil, the Logistic Hub Plot B in Shah Alam and the Metrohub 4 Logistic Hub in Klang.

For the first half of FY2025, the group’s cumulative net profit soared to RM41.54 million, nearly seven times the RM6.18 million it made in the previous corresponding period, as revenue jumped to RM326.87 million, over three times the RM91.09 million it recorded previously.

As at end-June, GDB’s order book stood at RM990 million, providing earnings visibility through to FY2026.

GDB said it has submitted tenders worth about RM1.2 billion to date and plans to submit an additional RM1.8 billion worth of bids by the fourth quarter of the year, covering a diversified portfolio of projects spanning commercial, residential, mixed developments, hospitals and warehouses.

Meanwhile, the group is still assessing the potential financial impact of the government’s move to expand the sales and service tax (SST) to the construction industry.

GDB shares closed up half a sen or 1.15% at 44 sen on Monday, giving the group a market capitalisation of RM407.81 million. Year to date, the counter has risen over 22%.

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