KUALA LUMPUR, Nov 12 (Bernama) -- Bursa Malaysia extended its losing streak for a fourth consecutive session, closing lower on Thursday amid continued broad-based selling that weighed on market sentiment, an analyst said. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) slid 9.23 points or 0.57 per cent to 1,585.96 from Wednesday's close of 1,595.19. The benchmark index opened 3.61 points lower at 1,591.58 and fluctuated between an intraday low of 1,583.66 and a high of 1,592.89 throughout the day. Market breadth remained negative with losers thumping gainers 799 to 318, while 476 counters were unchanged, 1,181 untraded and 13 suspended. Turnover climbed to 3.06 billion units valued at RM2.56 billion compared with yesterday’s 2.90 billion units valued at RM2.33 billion.
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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