Naim Records Improvement in Property Segment for FY16
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Naim Holdings Bhd (Naim) achieved an improvement in profit from RM12.1 million for 2015 to RM15.8 million for 2016 for its property segment.
The segment also recorded new property sales of about RM112 million for 2016, a welcomed result against the backdrop of the current slowdown in the property market.
Naim's group managing director, Datuk Hasmi Hasnan said moving forward, the group would continue to focus on its three flagship developments in Kuching, Bintulu, and Miri.
"Once completed in phases between five to 15 years' period, these three developments namely Naim Kuching Paragon, Naim Bintulu Paragon and Naim Bandar Baru Permyjaya township in Miri would yield an estimated gross development value (GDV) of more than RM10 billion.
"Except for our Sapphire On The Park condominium within Naim Kuching Paragon integrated development and part of Naim South Lake Permyjaya, Miri development which is considered higher-end products, we will be refocusing on medium and affordable residential products in the price range of RM300,000 to RM500,000, a segment which we were renowned for previously.
On its prospects, the group's current order book of more than RM2 billion is expected to contribute positively to its bottom line in time to come.
In addition, measures to improve efficiency and cost management and capacity building will be enhanced to improve future performance.
With works for its projects including its joint-venture project with Gamuda Bhd, the RM1.57 billion works package for the Pan Borneo Highway progressing well, and continued strict monitoring of projects' progress, the group is cautiously optimistic to complete the current outstanding order book at reasonable margins, within the stipulated time frame.
The group is also cautiously optimistic to secure some construction projects out of a number of sizeable tenders it participated in.