KUALA LUMPUR, June 22 (Bernama) -- Bursa Malaysia ended on a softer note today as investors engaged in profit-taking following the recent rebound in the local market, an analyst said. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) declined by 0.65 per cent, or 11.19 points, to 1,700.84 from last Friday's close of 1,712.03. The benchmark index opened 1.56 points lower at 1,710.47 and moved between 1,699.94 and 1,712.32 throughout the trading session. Market breadth was negative, with decliners outnumbering gainers 560 to 481. A total of 608 counters were unchanged, 1,649 untraded, and 14 suspended. Turnover slipped to 3.29 billion units worth RM2.40 billion from 3.45 billion units worth RM3.79 billion on Friday.
Key Growth Strategy
- Eco World Development Group Bhd (KL:ECOWLD) aims to increase recurring income from 20% to 30% of total revenue within the next three to five years, according to President and CEO Datuk Chang Khim Wah.
- Growth will be driven by five key business pillars:
- Eco Hubs (commercial spaces)
- Eco Business Parks (green industrial parks)
- Quantum (data centres)
- Eco Townships (landed residential homes)
- Eco Rise (high-rise developments)
- Quantum, which focuses on large-scale data centre-related land leases, is one of the group's fastest-growing segments.
Expansion in Data Centre Leasing
- EcoWorld has secured four industrial land lease deals worth RM1.59 billion since August 2024 with global tech giants Microsoft and Google.
- The latest deal, announced Tuesday, involves a 20-year, RM266.1 million triple-net lease with Google's affiliate, Pearl Computing Malaysia Sdn Bhd, for 92 acres of land.
- Despite its data-centre expansion, EcoWorld emphasized that it remains a real estate business, not a technology player.
- “We are not in the data business. It's a pure land transaction,” Chang clarified.
No Plans for Special Dividend
- Despite achieving record-breaking RM4.07 billion sales in FY2024, EcoWorld has no plans for a special dividend.
- Instead, the group will maintain or increase regular dividend payouts, similar to previous years.
- FY2024 dividend remained at six sen per share.
- The decision aligns with EcoWorld’s strategy to reinvest capital into land acquisitions, build-and-lease projects, and expansion.
Financial Performance & Market Position
- Net profit surged 60.33% YoY to RM303.54 million in FY2024, compared to RM189.32 million in FY2023.
- Annual revenue remained steady at RM2.26 billion.
- EcoWorld’s share price closed at RM1.96, up one sen (0.51%) on Wednesday, valuing the company at RM5.8 billion.
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