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AME Elite Consortium reports robust revenue growth amid industrial demand

EditorAmbhini Aishwarya
Published 23/11/2023, 12:56
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AMEE
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AME Elite Consortium Berhad has reported a significant increase in revenue, reaching RM233.3 million, driven by strong demand for industrial properties within its integrated industrial parks. The company's performance for the first half of the fiscal year ending September 30, 2023, showcased a Profit After Tax (PAT) of RM57.9 million and a notable rise in revenue to RM455.8 million, marking an over fifty percent increase from the previous period.

The company's recent financial results indicate a dynamic growth trajectory, particularly when considering the adjustments for fair value gains from AME Real Estate Investment Trust (REIT) transactions. For the second quarter ended September 30, 2022, AME's reported PAT was RM56.4 million on revenues of RM147.5 million. However, excluding these fair value gains, there is a discernible advancement in this year's quarter compared to the last.

Despite a thirteen percent dip in net profits to RM45 million for the semi-annual period, the adjusted figures excluding fair value gains display a substantial uptick in performance. Revenue surged by more than sixty percent to approximately RM456 million. Although earnings per share have decreased from over seven sen to just under three-and-a-half sen this quarter compared to the same period last year, AME Elite Consortium is laying down strategic foundations for future growth.

The managing director, Kelvin Lee Chai, expressed optimism regarding the company's expansion prospects. He highlighted strategic initiatives such as Johor's ranking as a top destination for Foreign Direct Investment (FDI) and the development of sustainably designed industrial parks. One of the major forthcoming projects is the launch of an industrial park in Penang with an estimated gross development value of RM1.5 billion (USD1 = MYR4.6790). This venture is expected to further bolster business interest both domestically and internationally as Malaysia's economy continues to expand.

In line with their dividend policy, AME has declared an interim dividend that distributes a minimum of 20% of net profit, excluding fair value gains adjustments. This demonstrates the company's commitment to shareholder returns amidst its growth and expansion plans in Southeast Asia.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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