KUALA LUMPUR: KLCC Property Holdings Bhd’s (KLCCP) net profit rose 24.7 per cent to RM384.6 million in the fourth quarter ended Dec 31, 2023 (4Q23) from RM279.5 million a year ago.
The growth was primarily driven by strong performance in the retail and hotel segments.

Its quarterly revenue also saw an uptick, climbing 7.1 per cent to RM442.63 million from RM413.3 million.

For the full year, KLCCP’s net profit rose by 19 per cent from RM782.7 million to RM931.3 million, with revenue increasing by 11 per cent from RM1.5 billion to RM1.61 billion.

KLCCP said the office sector, which includes the Petronas Twin Towers, Menara 3 Petronas and Menara ExxonMobil, maintained stability supported by triple net lease (NL) arrangements and long-term lease agreements.

“The segment’s revenue increased to RM146.5 million, while profit before tax showed a slight improvement to RM114.5 million.

“Meanwhile, its retail segment, represented by Suria KLCC and the retail podium of Menara 3 Petronas, delivered a stellar performance with a 9.3 per cent increase in revenue to RM137.1 million and a 7.4 per cent increase in pre-tax profit,” it added.

The Mandarin Oriental, Kuala Lumpur, representing the hotel segment, saw a revenue surge of 32.8 per cent to RM65.2 million in Q, up from RM49.1 million previously, with a pre-tax profit of RM6.2 million.

“This performance was attributed to higher occupancy of 62 per cent from 56 per cent in 4Q22 and a 27 per cent surge in revenue per available room (RevPAR), driven by group stays, and banqueting events, which marked the highest revenue in October 2023 since the hotel opening,” said KLCCP.

KLCCP chief executive officer Datuk Md Shah Mahmood said the company’s growth across all sectors, combined with strategic initiatives, had led to a successful performance in 2023, coinciding with the 10th anniversary since listing as a stapled security.

“We are optimistic that the upswing will continue, particularly in the retail and hotel segments.

“Our customer-focused strategy, together with the growth in tourism and MICE activities, will strategically position us to synergise efforts and enhance our competitive advantage towards future business sustainability,” he added.

Source: KLCC Property’s Q4 net profit rises 25pct to over RM384mil | New Straits Times (nst.com.my)