Mah Sing: Demand still high for DIBS

KUALA LUMPUR: Property developer Mah Sing Group Bhd group managing director Tan Sri Leong Hoy Kum said any measure by the central bank to curb developer interest-bearing schemes (DIBS) should take the current market condition into consideration.

This follows reports in the local media that Bank Negara Malaysia was studying the risks arising from DIBS with a view to implementing measures to curb it. "We can't comment too much now as there have not been many announcements, but generally the lending environment is still conducive and the interest rates are still low due to the competitive market,” Leong said after the company AGM yesterday.

He added that banks are selective in offering DIBS to developers and market demand is still high for the scheme.

DIBS is a financing package launched a few years ago. It is a scheme where a property developer absorbs the home loan interest of the homebuyers during the construction period of a property.

Mah Sing offers DIBS for some of its projects, depending on the market demand. The developer does not offer DIBS for its commercial and landed residential properties.

On the company's property development, executive director Datuk Steven Ng Poh Seng said that with a cashpile of RM822 million and a low net gearing ratio of 0.19 times as at March 31 the group plans to grow its landbank, especially in the Klang Valley."We are scouting for more land,” said Leong, adding that the company will also look at land in Iskandar Malaysia, Penang as well as Kota Kinabalu, Sabah.

Mah Sing has set a RM3 billion sales target for the financial year ending Dec 31, 2013 (FY13), after achieving RM2.5 billion new sales last year. With its RM750 million new sales in the first quarter (1Q), Ng said Mah Sing is on track to achieve the RM3 billion sales target.

The group garnered RM436 million sales from in the Klang Valley in 1Q with RM57 million from Penang, RM175 million from Johor and RM83 million from Sabah.

Additionally, out of the RM3 billion targeted sales, the group expects 62% to be generated from Kuala Lumpur, 13% from Penang, 20%  from Johor and 5% from Sabah.

The property player is currently sitting on 1,391 acres (562ha) with a total gross development value (GDV) of RM24.31 billion, which should last for seven to eight years, said Ng.

Mah Sing is also planning to have RM3.7 billion worth of launches this year."We have RM3.55 billion unbilled sales as at end of March, which is 2.3 times our property revenue last year,” said Ng.

For this year, the group has acquired four parcels of land with a combined GDV of RM7.78 billion thus far.

The four parcels of land include Damansara Sentral in Kuala Lumpur (with a GDV of RM900 million), Lakeville Residence in Taman Wahyu, Kepong (GDV of RM1.15 billion), Meridin in Senibong, Johor (GDV of RM4.35 billion) and Kota Kinabalu Convention City, Sabah (GDV of RM1.4 billion).

The upcoming launch will be the 6.55-acre Damansara Sentral land with its first phase of the integrated commercial centre, slated to be launched in 4Q this year.

Meanwhile, the group expects to launch its new sales gallery in Singapore on July 8 at TripleOne Sommerset, which will feature the group's projects.

Mah Sing registered a net profit of RM69.5 million for 1QFY13, up 16% from the same quarter last year. Revenue for the quarter declined to RM423.14 million from RM457.78 million previously.

Leong said out of the RM69.5 million net profit the group had achieved, RM67 million was from the property segment while the remaining RM2 million was from the plastics segment.

This article first appeared in The Edge Financial Daily, on June 26, 2013.

--

Get stories like this on the Yahoo app and discover more every day.
Download it now.
Loading...
  • Stocks gain after U.S. presidential debate; oil drops
    Stocks gain after U.S. presidential debate; oil drops Reuters - 7 minutes ago

    By Richard Leong NEW YORK (Reuters) - Stock prices across major markets rose on Tuesday, led by U.S. technology and consumer sectors following the presidential debate between Hillary Clinton and Donald ... … More »

  • US stocks lifted by consumer data, Clinton debate boost AFP - 9 minutes ago

    US stocks jumped Tuesday following surprisingly good consumer confidence data and a strong performance by Democrat Hillary Clinton in the first US presidential debate. Consumer confidence spiked to 104.1 ... … More »

  • Oil down 3 percent as Saudi, Iran dash hopes for an Algiers deal
    Oil down 3 percent as Saudi, Iran dash hopes for an Algiers deal Reuters - 11 minutes ago

    Oil fell about 3 percent on Tuesday after Saudi Arabia and Iran dashed market hopes that the two major OPEC producers would find a compromise this week at meeting in Algiers to help ease a global glut of crude. Saudi Energy Minister Khalid al-Falih … More »

  • The top 10 books on Apple's iBooks-US Associated Press - 18 minutes ago

    iBook charts for week ending September 25, 2016 (Rank, Book Title by Author Name, ISBN, Publisher ): iBooks US Bestseller List - Paid Books 1. The Girl on the Train by Paula Hawkins - 9780698185395 - (Penguin ... … More »

  • Iraq mediating between Saudis and Iran to support oil prices Reuters - 19 minutes ago

    Iraq is carrying out a mediation between Saudi Arabia and Iran to bring about an agreement that would lift crude prices, at a meeting of crude-producing nations in Algiers, Iraqi Oil Minister Jabar Ali al-Luaibi said on Tuesday. Iran on Tuesday … More »

  • Landec tops Street 1Q forecasts Associated Press - 27 minutes ago

    On a per-share basis, the Menlo Park, California-based company said it had profit of 12 cents. The results surpassed Wall Street expectations. The average estimate of seven analysts surveyed by Zacks Investment ... … More »

  • World Bank unanimously reappoints President Jim Yong Kim
    World Bank unanimously reappoints President Jim Yong Kim AFP News - 29 minutes ago

    The board of the World Bank has unanimously agreed to name Jim Yong Kim to a second term as president, the global lender announced Tuesday. Kim had been the only candidate in a process criticized by World Bank staff and campaigners as lacking in … More »

  • Markets Right Now: US stocks end higher Associated Press - 32 minutes ago

    The latest on developments in global financial markets (all times local): 4:00 p.m. U.S. stocks are closing higher, with many of the biggest gains coming in technology and consumer stocks. Solid quarterly ... … More »

  • Facebook to appeal German order on WhatsApp data
    Facebook to appeal German order on WhatsApp data Reuters - 40 minutes ago

    Facebook (FB.O) said it would appeal against an order by a German privacy regulator on Tuesday to stop collecting and storing data of German users of its messaging app WhatsApp and to delete all data that has already been forwarded to it. The … More »

  • StanChart tells authorities about corruption allegations at Indonesian firm
    StanChart tells authorities about corruption allegations at Indonesian firm Reuters - 41 minutes ago

    LONDON/WASHINGTON (Reuters) - Standard Chartered (STAN.L) has told "appropriate authorities" about alleged corruption at an Indonesian power plant company majority-owned by its private equity arm, the bank said on Tuesday. The statement came in … More »

  • Grain higher, livestock lower Associated Press - 1 hour 2 minutes ago

    Grain futures were higher Tuesday on the Chicago Board of Trade. Wheat for Dec. gained 8 cents at $4.04 a bushel; Dec. corn was up 2.75 cents to 3.3175 a bushel; Dec. oats rose 3.75 cents at $1.7325 a ... … More »

  • The newest trailer for ‘Battlefield 1’ is breathtaking
    The newest trailer for ‘Battlefield 1’ is breathtaking Business Insider - 1 hour 11 minutes ago

    A new trailer for “Battlefield 1” dropped today … Continued The post The newest trailer for ‘Battlefield 1’ is breathtaking appeared first on Business Insider. … More »

  • Stanford will pay you to attend its business school — but only if you agree to work in the Midwest
    Stanford will pay you to attend its business school — but only if you agree to work in the Midwest Business Insider - 1 hour 12 minutes ago

    Stanford Alumni/Facebook; Jereme Rauckman/Flickr; Melia Robinson/Business Insider A … Continued The post Stanford will pay you to attend its business school — but only if you agree to work in the Midwest appeared first on Business Insider. … More »

  • Microsoft teams with Bank of America on 'blockchain'
    Microsoft teams with Bank of America on 'blockchain' AFP News - 1 hour 33 minutes ago

    Microsoft and Bank of America Merrill Lynch on Tuesday announced they are working together to make financial transactions more efficient with blockchain technology -- the foundation of bitcoin digital currency. Microsoft planned to use its Azure … More »

  • Justice Dept. top national security official to leave post Associated Press - 1 hour 38 minutes ago

    The Justice Department's top national security official is leaving his position next month. John Carlin, who has led the department's national security division since 2014, will be leaving government on ... … More »

  • WHY IT MATTERS: Social Security
    WHY IT MATTERS: Social Security Associated Press - 1 hour 46 minutes ago

    THE ISSUE: More than 60 million retirees, disabled workers, spouses and children rely on monthly Social Security benefits. That's nearly one in five Americans. The trustees who oversee Social Security ... … More »

  • Wall Street rises in wake of first presidential face-off
    Wall Street rises in wake of first presidential face-off Reuters - 1 hour 46 minutes ago

    By Noel Randewich (Reuters) - Consumer and technology stocks including Amazon led gains on Wall Street on Tuesday as some investors deemed Democrat Hillary Clinton to have won a presidential debate against ... … More »

  • Uber quietly promoted an employee to be its new CFO in January
    Uber quietly promoted an employee to be its new CFO in January Business Insider - 1 hour 47 minutes ago

    REUTERS/Adnan Abidi Uber CEO Travis Kalanick Uber has secretly … Continued The post Uber quietly promoted an employee to be its new CFO in January appeared first on Business Insider. … More »

  • Global stocks bounce after U.S. debate; oil falls
    Global stocks bounce after U.S. debate; oil falls Reuters - 2 hours 9 minutes ago

    By Richard Leong NEW YORK (Reuters) - Stock prices across major markets rose on Tuesday, led by gains in the U.S. technology and consumer sectors following the presidential debate between Hillary Clinton ... … More »

  • Colleges lavishing more financial aid on wealthy students
    Colleges lavishing more financial aid on wealthy students Associated Press - 2 hours 18 minutes ago

    Spencer Mulligan knew his family could pay for his college education, even without loans or grants. So when the University of Connecticut offered a merit award of $20,000 over four years, he saw it as ... … More »

  • Consumer companies lead indexes higher; energy drops
    Consumer companies lead indexes higher; energy drops Associated Press - 2 hours 23 minutes ago

    U.S. stocks are climbing Tuesday and consumer stocks are making some of the biggest gains. Solid quarterly results from cruise line operator Carnival are giving travel-related companies a boost. Technology ... … More »

  • Oil down 3 percent as Saudis say no chance for Algiers deal
    Oil down 3 percent as Saudis say no chance for Algiers deal Reuters - 2 hours 25 minutes ago

    By Barani Krishnan NEW YORK (Reuters) - Oil fell 3 percent on Tuesday after Saudi Arabia said it did not expect to agree on output cuts at a meeting with other producers in the Algerian capital, although ... … More »

  • OPEC set for no deal as Iran rejects Saudi oil output offer
    OPEC set for no deal as Iran rejects Saudi oil output offer Reuters - 2 hours 28 minutes ago

    Iran rejected on Tuesday an offer from Saudi Arabia to limit its oil output in exchange for Riyadh cutting supply, dashing market hopes the two major OPEC producers would find a compromise this week to help ease a global glut of crude. "The gap (in … More »

  • Amazon has a secret plan to replace FedEx and UPS called ‘Consume the City’
    Amazon has a secret plan to replace FedEx and UPS called ‘Consume the City’ Business Insider - 2 hours 36 minutes ago

    AP Photo/Ted S. Warren Amazon CEO Jeff Bezos … Continued The post Amazon has a secret plan to replace FedEx and UPS called ‘Consume the City’ appeared first on Business Insider. … More »

  • Gusto CEO: We now have 40,000 customers, twice as many as Zenefits
    Gusto CEO: We now have 40,000 customers, twice as many as Zenefits Business Insider - 2 hours 45 minutes ago

    Gusto Gusto CEO Josh Reeves In the race to … Continued The post Gusto CEO: We now have 40,000 customers, twice as many as Zenefits appeared first on Business Insider. … More »

 
Recent Quotes
Symbol Price Change % Chg 
Your most recently viewed tickers will automatically show up here if you type a ticker in the "Enter symbol/company" at the bottom of this module.
You need to enable your browser cookies to view your most recent quotes.
 
Sign-in to view quotes in your portfolios.

MARKET MOVERS

  • Most Actives
    Most Actives
    NamePriceChange% Chg
    0.141+0.003+2.17%
    N21.SI
    3.99+0.03+0.76%
    Z74.SI
    0.155+0.003+1.97%
    AFC.SI
    0.740.000.00%
    BS6.SI
    0.275+0.010+3.77%
    5ME.SI
  • % Gainers
    % Gainers
    NamePriceChange% Chg
    0.133+0.020+17.70%
    5PF.SI
    0.19+0.03+15.85%
    AWI.SI
    1.48+0.16+12.12%
    S91.SI
    0.198+0.020+11.24%
    M14.SI
    0.60+0.05+9.09%
    AZA.SI
  • % Losers
    % Losers
    NamePriceChange% Chg
    0.255-0.110-30.14%
    AZT.SI
    0.56-0.18-24.32%
    5VJ.SI
    0.395-0.070-15.05%
    K1Q.SI
    0.162-0.028-14.74%
    BGO.SI
    0.122-0.020-14.08%
    569.SI

Market Data

  • Currencies
    Currencies
    NamePriceChange% Chg
    1.3594-0.0008-0.06%
    USDSGD=X
    1.5242-0.0061-0.40%
    EURSGD=X
    1.7691+0.0063+0.36%
    GBPSGD=X
    73.8100+0.086+0.12%
    SGDJPY=X
    5.7030+0.0037+0.06%
    SGDHKD=X
    3.0385+0.0043+0.14%
    SGDMYR=X
    9,526.9111-51.9111-0.54%
    SGDIDR=X
    4.9007-0.0011-0.02%
    SGDCNY=X
    1.0422+0.0036+0.35%
    AUDSGD=X
  • Commodities
    Commodities
    NamePriceChange% Chg
    1,331.10-13.00-0.97%
    GCZ16.CMX
    19.23-0.37-1.89%
    SIZ16.CMX
    92.98-1.47-1.55%
    ^XAU
    2.17-0.02-1.14%
    HGZ16.CMX
    43.85+0.41+0.94%
    CLV16.NYM
  • Bonds
    Bonds
    TreasuryYield (%)Yield Change
    1.11-0.02
    ^FVX
    1.56-0.03
    ^TNX
    2.28-0.05
    ^TYX