I-Berhad kicks off FY25 with 150% surge in Q1 earnings
PETALING JAYA: I-Berhad posted a strong start to FY25, reporting a significant 150% year-on-year surge in profit before tax (PBT), reaching to RM12.36 million, alongside a 53% rise in revenue to RM62.06 million for the first quarter ended March 31, 2025.
The performance was driven by steady contributions from the group's three core business segments – property development, property investment, and leisure and hospitality.
The group's results validate its strategic pivot over the past year towards building a more resilient and sustainable asset-backed business model – an approach increasingly relevant in a volatile global environment marked with the rising importance of stable cash flows.
Leisure and hospitality generated RM26.4 million in revenue during the quarter, remaining the group's leading revenue segment. The newly rebranded Wyndham Garden i-City (formerly Best Western Hotel) recorded healthy occupancy in its first full quarter of operations, contributing alongside DoubleTree by Hilton i-City and Wyndham Suites KLCC.
I-Berhad in a statement said that these assets continue to underpin the company's strategy of yield optimisation and premiumisation within its hospitality portfolio.
The property development segment recorded a turnaround, posting RM28.36 million in revenue and RM4.62 million in PBT, compared to a loss of RM2.23 million in the same period last year. This was driven by sustained demand for units at BeCentral, as well as a soon-to-be-launched branded residence within i-City Finance Avenue.
As at March 31, 2025, unbilled sales stood at RM89.2 million, providing earnings visibility into the quarters ahead.
Executive chairman Tan Sri Lim Kim Hong said the results reflected the company's evolution into a more balanced, asset-driven business.
'Over the past year, we've restructured our growth engine to ensure we create an ecosystem that generates recurring income across our existing assets. The performance we are seeing today shows that our strategy is working – our earnings are broad-based, resilient, and supported by both recurring income and market-responsive development,' he added.
The property investment segment contributed RM6.66 million in revenue and RM5.28 million in PBT – a 42% increase from the previous year. High occupancy levels at Mercu Maybank Premium Corporate Tower and Central i-City Mall, together with active rental management strategies, helped anchor this recurring income stream.
The leisure and hospitality segment's PBT eased to RM2.97 million from RM4.16 million a year ago, mainly due to Ramadan seasonality and initial costs from new offerings. The group expects a stronger second quarter, supported by school holiday tourism and yield optimisation, especially with Visit Selangor 2025 and Visit Malaysia 2026 gaining momentum.
Lim said that the group's diversified income sources place it in a strong position to manage changing market cycles. 'We are focused on quality over speed. Each business vertical plays a specific role – some offer growth, others provide stability. This balance allows us to reinvest selectively and protect long-term value.'
Looking ahead, I-Berhad will focus on phased development, operational efficiency, and strengthening its commercial leasing. With RM5 billion in remaining GDV at i-City, the group will time future launches to maximise value and align with market conditions.
'With a stabilised earnings base and significant GDV held in reserve, we are entering a new phase – one where disciplined execution, yield optimisation, and long-term ecosystem value will define our performance. We are building more than just structures but a destination, while we are curating experiences, enabling connectivity, and cultivating a future-forward lifestyle hub,' Lim said.
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