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PETALING JAYA (July 29): Country View Bhd posted a 15.3% increase in net profit for the second quarter ended May 31, 2026 (2QFY2026), despite lower revenue, as higher-margin property sales, a commercial land disposal and lower financing costs offset weaker sales volumes.
It said in a Bursa Malaysia filing on Tuesday (July 28) that net profit rose to RM21.1 million from RM18.3 million a year earlier, while profit before tax (PBT) climbed 16.8% to RM29.2 million from RM25 million. Quarterly revenue, however, declined 18.9% to RM83.4 million from RM102.8 million as the group sold fewer properties during the period.
The improved profitability was driven by the progress of work on Aurora Avenue three-storey semi-detached shops at Aurora Sentral, Iskandar Puteri, together with contributions from the sale of a commercial land parcel designated for a petrol station in Taman Nusa Sentral, Johor. Lower marketing and promotion expenses, coupled with reduced finance costs, also supported earnings.
For the first half of FY2026, revenue fell 16% to RM182.2 million from RM217 million, while net profit declined 14.4% to RM41.4 million from RM48.4 million. PBT eased 13.7% to RM56.8 million from RM65.8 million.
The weaker half-year performance reflected the absence of sizeable commercial land sales recognised in the corresponding period last year, when the group benefited from the sale of three commercial land parcels in Taman Nusa Sentral.
On a quarter-on-quarter basis, revenue slipped 15.6% from RM98.8 million in the preceding quarter, but PBT improved 5.8% from RM27.6 million, supported by the commercial land sale and lower marketing, administrative and finance costs.
The group paid a first interim single-tier dividend of 12 sen per share on May 29, bringing total dividends paid year-to-date to 25 sen per share, compared with 40.5 sen in the corresponding period last year.
Country View's balance sheet strengthened during the period. Cash and bank balances increased to RM41.7 million as at May 31, 2026, from RM14.8 million at the end of the previous financial year, while total borrowings fell to RM29.6 million from RM88.3 million following repayments of term loans and revolving credit facilities. Net assets per share improved to RM4.78 from RM4.62 previously.
Looking ahead, Country View said it remains cautious on the Johor property market amid geopolitical tensions and broader global economic uncertainty, including commodity price volatility, inflationary pressures, interest rate movements and changing investor sentiment.
Nevertheless, the group expects its FY2026 performance to continue to be driven by sales and progress of work at Taman Nusa Sentral and Aurora Sentral in Iskandar Puteri, Johor.
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