For Immediate Release
LBS POSTS RECORD REVENUE IN FYE2022
Full-year revenue increased 26% year-on-year to RM1.72 billion from RM1.37 billion.
- Outperformed 2022 sales target by 25% to RM2.0 billion.
- 18 ongoing projects with an estimated GDV of RM5.70 billion.
- Strong unbilled sales of RM2.40 billion.
- 12 new projects with an estimated GDV of RM2.09 billion
Petaling Jaya, 21 February 2023 – LBS Bina Group Berhad (“LBS” or the “Group”) today announced its results for the financial year ended 31 December 2022 (“FYE2022”).
For FYE2022, the Group delivered a strong set of financial results driven by an outstanding performance with revenue increasing by 26% year-on-year, from RM1.37 billion in FYE2021 to RM1.72 billion. The RM1.72 billion revenue is LBS’ highest ever achieved. In addition, the Group’s profit after tax (“PAT”) increased by 17%, from RM114.92 million to RM134.48 million. Despite global challenges of geopolitical instability, supply chain disruptions and inflationary pressures, the Group continued to record positive results mainly due to its attractive product mix of affordable homes in line with its three pillars of affordability, connectivity, and community. This resulted in strong demand for its properties as the overall property market strengthened. The stellar FYE2022 performance was further supported by creative marketing strategies. The Group had also continued with its LBS Fabulous Extra Campaign for homebuyers by offering impressive lucky draw prizes worth RM1.5 million.
In particular, the property development front, which is the Group’s main earnings contributor, development projects within the Klang Valley contributed more than 84% of the Group’s revenue for FYE2022. The increase in revenue of property development segment was the end result of continuous strong take up rates and speedier progress at key development projects at Bukit Jalil, LBS Alam Perdana, KITA @ Cybersouth and Rumah Idaman MBI projects.
For fourth quarter of the financial year under review, LBS reported a revenue of RM372.76 million. In addition, PAT and profit after tax and non-controlling interests were RM28.33 million and RM25.65 million respectively.
LBS currently has 18 ongoing development projects with an estimated gross development value (“GDV”) of RM5.7 billion and a landbank of 2,970 acres. Further, the Group has unbilled sales of RM2.40 billion which will contribute a solid buffer to withstand earnings visibilities over the next two to three years.
Commenting on the results, LBS Executive Chairman Tan Sri Lim Hock San said, “LBS has yet again surpassed expectations and closed off 2022 on a strong note. Following on from 2021, we have again clocked in record revenue and puts us on good stead in 2023. It is encouraging to witness the recovery of the property market, and we expect market confidence to improve further in 2023. Exciting times are ahead for the remainder of the year as we intend to launch 12 new projects with an estimated GDV of RM2.09 billion worth of properties in the coming quarters.”
He added, “LBS’ financial performance remained resilient as evidenced by the improved earnings in 2022. Being able to surpass our initial 2022 sales target of RM1.6 billion by 25% to RM2.0 billion is testament of our homebuyers’ trust and confidence in our products and services. LBS will continue to increase operational efficiency to improve its profit margins and ensure long term business sustainability. In addition, LBS will emphasise on ESG principles for long-term value creation to further propel its growth in the property market.”