Revenue for the quarter grew by 41.7% to RM558mil while earnings per share increased to 7.39 sen from 5.59 sen previously.
For the full financial year 2010 (FY10), the group achieved a net profit of RM251.8mil from revenue of RM1.7bil, which was 47% and 24% higher respectively from the previous financial year.
Tan Sri Liew Kee Sin ... ‘For financial year 2011, we targ et to achieve RM3bil in sales.’
President and chief executive officer Tan Sri Liew Kee Sin said the positive results were mainly due to the group's innovative marketing campaigns, Best for the Best and Invest in SetiaHomes.
Speaking after the company's results briefing yesterday, Liew said SP Setia sales for the year stood at RM2.31bil, which was 40% higher than FY09.
For financial year 2011, we target to achieve RM3bil in sales as all our projects in Klang Valley, Johor Bahru and Penang continue to do well.
We will soon launch our KL Eco City, an integrated green commercial development opposite Mid Valley City, he said.
Liew is also looking forward to SP Setia's 800-apartment project, which will be launched in Melbourne in March or April 2011.
To date, SP Setia has a land bank of 3,430 acres.
The KL Eco City project has a gross development value of RM6bil while the Melbourne project RM1.4bil.
For FY10, the board has proposed a final dividend of 14 sen per share less income tax of 25%.
This would add to the total dividend to 20 sen less income tax of 25% for FY10, representing a payout of about 60.6% of the group's net profit.
Meanwhile, RAM Ratings has reaffirmed its AA3 rating for SP Setia's RM500mil nominal value 2% redeemable serial bonds with 168,151,302 detachable warrants (2007/2012) with a stable outlook for long term.
The rating reflects SP Setia's strong business profile as a leading property developer in Malaysia, said RAM head of real estate and construction ratings, Shahina Azura Halip, in a statement yesterday.
With its strong branding and innovation, SP Setia is expected to continue churning impressive sales based on its track record of annual sales growth over the past decade irrespective of economic cycles.
On the flip side, the rating is moderated by the uncertainties of SP Setia's foreign ventures.
The company's debt is expected to increase from RM1.29bil (as at end-July) to about RM2.1bil, some RM400mil higher than an earlier projection.
SP Setia has, however, redeemed RM250mil of its bonds on Nov 23.
By The Star
