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Country View Berhad’s Q2 2025: Profits Soar and Dividends Flow Amidst a Booming Johor Market
Country View Berhad, a prominent property developer with a strong focus on the Iskandar Malaysia region, has just released its financial results for the second quarter ended May 31, 2025. The report reveals a period of explosive growth, with pre-tax profits skyrocketing over 200% compared to the same period last year. Adding to the good news, the company has declared another generous dividend, signaling strong confidence in its financial health and future prospects. Let’s dive deep into the numbers and what they mean for the company moving forward.
Key Highlight: The Group’s profit before tax surged by an impressive 204% year-on-year, driven by strong sales and project progression in Iskandar Puteri, Johor.
Core Data Highlights: A Tale of Impressive Growth
Stunning Year-on-Year Performance
Country View’s performance in the second quarter of 2025 is nothing short of remarkable when compared to the same quarter last year. The surge in both revenue and profitability underscores the robust demand and successful execution of its projects.
Q2 FY2025 (Current Quarter)
Revenue: RM102.8 million
Profit Before Tax: RM25.0 million
Profit After Tax: RM18.3 million
Earnings Per Share: 18.30 sen
Q2 FY2024 (Comparative Quarter)
Revenue: RM50.4 million
Profit Before Tax: RM8.2 million
Profit After Tax: RM5.8 million
Earnings Per Share: 5.77 sen
The report attributes this incredible 104% jump in revenue and 204% surge in pre-tax profit to several key factors. Primarily, a higher number of properties were sold during the quarter. The strong performance was bolstered by construction progress on key developments like the Aurora Resort Villas (ARVs) and the Aurora Avenue 3-Storey Semi-detached shops. Furthermore, the sale of bumi-release units at higher prices and the successful sales of shops in Aurora Sentral, Iskandar Puteri, significantly contributed to the bottom line.
Strong First Half Cements a Positive Outlook
Looking at the first six months of the financial year, the growth story is even more compelling. The Group’s revenue grew by 130% to RM217.0 million, while pre-tax profit exploded by 411% to RM65.8 million. This was driven not only by the ongoing project sales but also by the significant contribution from the sale of three commercial land parcels in Taman Nusa Sentral during the first quarter.
Quarter-on-Quarter Comparison: A Realistic Perspective
While the year-on-year growth is spectacular, the quarter-on-quarter (QoQ) results show a slight moderation. This is not a sign of weakness but rather a reflection of an exceptionally strong preceding quarter.
| Financial Metric | Q2 2025 (Current) | Q1 2025 (Immediate Preceding) | Change |
|---|---|---|---|
| Revenue | RM102.8 million | RM114.2 million | -10% |
| Profit Before Tax | RM25.0 million | RM40.8 million | -39% |
The decrease in revenue and profit compared to the immediate preceding quarter is mainly because the first quarter’s results included the high-value sale of three commercial lands. The current quarter’s performance, driven by core project sales, represents a more normalized, yet still very strong, operational level.
Rewarding Shareholders: Another Dividend Declared
The Board has declared a second interim single-tier dividend of 11.0 sen per ordinary share for the financial year ending 30 November 2025. This follows a 20.0 sen dividend paid in June, showcasing the company’s commitment to returning value to its shareholders.
Risk and Prospect Analysis: Capitalising on Johor’s Growth Story
Country View is strategically positioned to capitalize on the continued growth of the property market in Johor Bahru. The region is buzzing with activity, fueled by major infrastructure projects and economic initiatives.
Opportunities on the Horizon:
- Infrastructure Boost: Projects like the Johor Bahru-Singapore Rapid Transit System (RTS) Link and the Gemas-Johor Bahru Electrified Double-Track Rail Project are set to enhance connectivity and drive demand.
- Economic Zones: The Johor-Singapore Special Economic Zone (JS-SEZ) and the Forest City Special Financial Zone (SFZ) are expected to attract significant investment and boost demand for residential, commercial, and industrial properties.
- Foreign Investment: Iskandar Malaysia remains an attractive destination for foreign buyers, especially from Singapore, due to relatively lower property prices.
Navigating Potential Headwinds:
The company remains mindful of external challenges. These include global economic uncertainties stemming from geopolitical tensions, which could lead to fluctuating material prices and currency volatility. Other risks include shifts in inflation, interest rates, and overall investor sentiment. In response, Country View is committed to a prudent financial strategy, refining its product offerings to meet market expectations, and adapting its launch timings to market conditions. The planned launch of affordable housing schemes like RMMJ and PKJ A in Taman Nusa Sentral demonstrates this adaptive strategy.
Summary and Outlook
Country View Berhad’s Q2 2025 report showcases a company in excellent financial health, firing on all cylinders. The remarkable year-on-year growth in profit, driven by its core property development activities in the high-growth Iskandar Malaysia corridor, is a testament to its strong market position and operational efficiency. The company’s ability to generate strong cash flow and consistently reward shareholders with substantial dividends further underscores management’s confidence.
Looking ahead, the Group’s prospects appear bright, anchored by its strategic landbank and a pipeline of projects poised to benefit from Johor’s economic transformation. While the company must navigate potential market risks, its prudent strategies and focus on delivering quality, sustainable developments place it on a solid footing for the remainder of the financial year. The performance for FY2025 will continue to be driven by sales of its existing and newly launched properties in Iskandar Puteri.
Key risks to monitor include:
- Global economic uncertainties arising from geopolitical and trade tensions.
- Volatility in the prices of construction materials and fluctuations in currency exchange rates.
- Potential shifts in domestic inflation and interest rates that could impact borrowing costs and property demand.
- Changes in investor sentiment that could affect the broader property market.
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