Glomac’s FY2025: Strong Margins Drive PBT Growth Amidst Strategic Launches
Glomac Berhad, a familiar and award-winning name in Malaysian property development, has just unveiled its financial results for the fourth quarter and full financial year ended 30 April 2025 (FY2025). The report paints a compelling picture of resilience and strategic growth, highlighted by a notable increase in profit before tax (PBT) for the full year, driven by stronger margins from higher-value developments and efficient financial management.
This latest update underscores Glomac’s unwavering commitment to timely project delivery and quality execution, while maintaining a robust financial position. Let’s delve into the numbers and what they mean for this established developer and its future trajectory.
Unpacking the Numbers: A Look at Glomac’s Performance
Full Financial Year 2025 (FY2025) Performance
For the full financial year, Glomac demonstrated solid performance, with revenue supported by steady construction progress and contributions from key projects. The Group’s focus on higher-value developments and prudent financial management evidently paid off.
FY2025
Revenue: RM238.3 million
Profit Before Tax (PBT): RM33.4 million
FY2024
PBT: RM32.9 million
The increase in PBT from RM32.9 million in FY2024 to RM33.4 million in FY2025 was primarily attributed to stronger margins from higher-value developments, gains from the disposal of investment properties, and lower finance costs. This indicates a strategic shift towards more profitable projects and effective cost management.
Fourth Quarter 2025 (4Q FY2025) Snapshot
In the quarter under review, Glomac continued its operational momentum:
Metric | 4Q FY2025 |
---|---|
Revenue | RM74.9 million |
Profit Before Tax (PBT) | RM12.1 million |
The quarter saw steady contributions from ongoing developments like Saujana Perdana, Lakeside Residences, and high-rise residential projects such as 121 Residences and Plaza@Kelana Jaya.
Key Operational Achievements and Sales Momentum
Beyond the financials, Glomac achieved significant operational milestones. The Group successfully completed and handed over several projects, including the award-winning 121 Residences, which has an estimated Gross Development Value (GDV) of RM334 million. This highlights Glomac’s commitment to delivering on its promises.
New launches in the fourth quarter, including semi-detached houses at KEYS, Lakeside Residences, and double-storey terrace houses at ALLAMANDA, Saujana KLIA, as well as ALAMANDA, Saujana Jaya, Kulai Johor, received encouraging market responses. Notably, all 112 units of double-storey terrace houses at Serai@SBCR, Bandar Saujana Utama, launched in 1QFY2025, were fully sold in 4QFY2025. This strong take-up rate underscores the Group’s ability to offer market-responsive residential products that resonate with buyers.
Full-Year New Sales: Glomac achieved RM332 million in new sales for the full financial year, demonstrating consistent sales momentum and effective product targeting.
Strategic Positioning and Future Outlook
Glomac’s financial health remains robust, providing a strong foundation for future development activities. The Group maintains a near zero net gearing position and holds substantial cash and deposits, ensuring ample liquidity for ongoing projects and future landbanking initiatives.
Key Financial Strengths (as of end-April 2025):
- Cash and deposits: RM235.7 million
- Shareholders’ equity: RM1,200.9 million
- Net asset value per share: RM1.56 (translating to a price-to-book ratio of approximately 0.20 times)
The Group has also strategically strengthened its capital structure through its Sukuk Wakalah Programme, providing a funding capacity of up to RM3.0 billion. Backed by strategically located landbanks with an estimated future GDV of RM6 billion, Glomac is well-positioned to capitalize on future growth opportunities and expand its development footprint.
Upcoming Launches for FY2026
Looking ahead, Glomac is set to sustain its launch momentum with a disciplined, market-aligned approach. The Group plans new launches with a total estimated GDV of RM324 million, comprising entirely of landed residential properties. Key upcoming launches include two new phases of double-storey terrace houses at Serai@SBCR and a new phase of semi-detached homes at KEYS, Lakeside Residences, indicating a continued focus on high-demand landed properties.
Summary and Investment Considerations
Glomac’s FY2025 financial report showcases a company that is not only achieving growth in its profit before tax but also strategically positioning itself for sustained success. The increase in PBT, strong sales performance, and a healthy financial position underline the Group’s operational efficiency and market responsiveness. The successful completion of projects and encouraging take-up rates for new launches demonstrate Glomac’s ability to deliver quality developments that meet market demand.
Furthermore, the proposed single-tier final dividend of 1.25 sen per ordinary share for FY2025, bringing the total dividend payout to 2.25 sen per share, reflects Glomac’s commitment to returning value to its shareholders, subject to approval. This, coupled with recent prestigious industry accolades such as being among The Edge Malaysia Property Excellence Awards Top 20 Property Developers and The All-Stars Award – Top 10 Listed Companies at the StarProperty Awards 2025, reinforces Glomac’s reputation and standing in the Malaysian real estate landscape.
Key factors that investors might consider when evaluating Glomac’s trajectory include:
- Strong Financial Health: Near-zero net gearing, substantial cash reserves, and a robust capital structure provide a solid foundation for future growth.
- Strategic Landbank: An estimated future GDV of RM6 billion from strategically located landbanks offers long-term development potential.
- Market-Responsive Launches: The focus on high-demand landed residential properties and a track record of successful project take-ups indicate a keen understanding of market needs.
- Commitment to Shareholder Returns: Consistent dividend payouts reflect a focus on delivering value to shareholders.
From a professional standpoint, Glomac appears to be navigating the property market with a disciplined and strategic approach. Their emphasis on high-value projects, efficient cost management, and a strong balance sheet positions them well for future opportunities, even amidst evolving market conditions.
What are your thoughts on Glomac’s performance and their plans for FY2026? Do you believe their focus on landed properties and their strong financial position will enable them to maintain this positive momentum in the coming years? Share your insights in the comments below!