Latest news with #JeffreyChew
The Sun
24-06-2025
- Business
- The Sun
Paramount CEO happy with Q1 sales momentum
PETALING JAYA: Paramount Corporation Bhd posted a profit before tax (PBT) of RM22.6 million (Q1'24: RM17 million) for the first quarter of 2025 (Q1'25) supported by revenue of RM217.8 million (Q1'24: RM172.6 million). Profit attributable to shareholders rose by 87% to RM14.4 million (Q1'24: RM7.7 million). The property segment remains the group's primary revenue driver, contributing RM205.9 million in Q1'25, a 27% increase from the RM161.8 million recorded in Q1'24. The three biggest contributors were The Atera, a transit oriented mixed development in Petaling Jaya; Utropolis Batu Kawan, a mixed development in Penang; and Paramount Palmera Industrial Park, also in Penang. Correspondingly, PBT for the property segment was 40% higher at RM32.2 million (Q1'24: RM23 million) underpinned by higher revenue. Boosted by broader product offerings available for sale after a record RM2.4 billion launches in 2024, property sales more than doubled to RM230 million in Q1'25, from a low base of RM101 million the year before that was impacted by deferred launches. The top contributors in Q1'25 sales were The Ashwood at U-Thant in Kuala Lumpur, followed by The Atera in Petaling Jaya, which is also Paramount's largest on-going project, and Paramount Embun Hills, a new development next to the Bukit Mertajam Forest Park. Paramount Group CEO Jeffrey Chew said he was pleased with the sales momentum to date, noting that The Ashwood at U-Thant, Kuala Lumpur, had reached 90% sales as of mid-May 2025. 'Meanwhile, The Atera, which is Paramount's largest on-going project, is doing well with Phase 1 achieving 91% sales as of mid-May. In response to steady demand, we have launched Lumeo, the second phase.' 'In Bukit Mertajam, The Shoppes at Paramount Embun Hills, comprising 30 units of shop offices, were fully booked within an hour of its launch in January 2025. We believe its strong value proposition as a vibrant lifestyle hub by the hills and its strategic location along Jalan Kulim, contributed to the overwhelming response.' Paramount had launched RM62.4 million worth of properties in Q1'25 (including Paramount Embun Hills) as part of its planned RM1.4 billion pipeline for the entire year. 'We look forward to a strong response when we launch Phase 1 of its residential component in the middle of the year, with its cluster and double storey terrace homes. Paramount Embun Hills is a strata development, gated and guarded, and has been master-planned for GreenRE certification.' Chew added that Paramount Property's sustained success as the people's developer was due to its ability to consistently deliver strong value propositions. 'At Utropolis Batu Kawan, Penang, we offered yet another compelling value proposition with the launch of Seiras Residences in May 2025, the fifth phase of our high-rise residential homes, featuring dual- and triple-key layouts.' 'Seiras Residences' triple-key layout offers three self-contained living spaces, each with a private balcony and en-suite bathroom, ideal for homeowners seeking both privacy and rental income. This unique co-living concept is the first in the northern region of the peninsula,' he said. Chew said the group will strive to meet its 2025 sales target of RM1.5 billion along with on-going projects contributing to the group financial performance for the financial year ending Dec 31, 2025. The group's unbilled sales (RM1.6 billion as at March 31, 2025) will provide near-term visibility on the group's cashflow though the conversion into billings will largely depend on work progress. The Q1'25 co-working segment's revenue of RM6.6 million was 75% higher year-on-year (Q1'24: RM3.8 million). Despite the higher revenue, the co-working segment maintained a loss before tax (LBT) of RM0.5 million in Q1'25, unchanged from the previous year. The loss was largely due to rental costs incurred for the NU Sentral space—the business's eighth co-working outlet—during its pre-opening renovation phase, as the space only commenced operations in May 2025. The segment also saw an increase in headcount at Scalable Malaysia, its design and build business that has been growing. Chew said he was optimistic about the newly opened co-working space at NU Sentral Shopping Centre, noting its strategic location adjacent to the KL Sentral transportation hub.
The Star
05-06-2025
- Business
- The Star
Paramount still keen on foreign markets
Paramount Corp Bhd group chief executive officer Jeffrey Chew. SHAH ALAM: Property developer Paramount Corp Bhd remains committed to overseas property investment amid market uncertainty and Eco World International Bhd 's (EWI) plans to re-enter the Malaysian property scene. In May 2024, Paramount became a major shareholder of EWI after acquiring a 21.54% stake in the international property developer for a cash consideration of RM170.61mil. Loss-making EWI focuses on international property development, mainly in Britain and Australia, but had recently announced plans to venture into the local market. Group chief executive officer Jeffrey Chew said EWI's decision to tap into the local market does not divert Paramount's objective of diversifying its earnings base and expanding property development activity overseas. 'I think our objective has always been to keep some assets outside of Malaysia. The fact that EWI has actually decided to launch in Malaysia does not mean that they are going to get rid of all the overseas projects. 'In a way, it still does meet our objective and original intonation of having assets outside of Malaysia,' he told the media during a briefing after Paramount's 55th AGM, yesterday. Chew noted that if EWI were to launch projects locally, revenue recognition would likely be faster compared to markets such as Britain or Australia. He said Paramount sees long-term value in maintaining its investment in EWI, maintaining a positive outlook over the next few years. On Paramount's broader overseas investment strategy, Chew said that the group tries to 'not put all its eggs in one basket' and continues to explore new opportunities. He acknowledged that earlier projects, including a venture in Bangkok, had underperformed due to post-pandemic market conditions. As a result, Paramount is now focusing on lower-risk, structured international investments that offer fixed returns and defined exit mechanisms. To date, Paramount has invested in six international property projects across Australia, Britain and the United States. In line with its updated investment approach, the group also revised its international profit contribution target to 20%, down from the earlier goal of 30%. He said the company was also working to improve internal performance metrics. 'We've grown our return on equity (ROE) from just over 2% a few years ago to 7.2% today, one of the highest in the domestic property sector. Our aim is to reach double-digit ROE in the next few years by improving operational efficiency, shortening development cycles and managing land acquisition more strategically,' he added. Looking ahead, Paramount remains confident in its ability to achieve its sales target of RM1.5bil, supported by the robust demand in the property market, specifically for residential property. Paramount posted a net profit of RM14.43mil or a basic earnings per share of 2.32 sen for the first quarter of this year (1Q25). This was higher from the RM7.71mil or 1.24 sen in the same quarter of the preceding year. Revenue also increased from RM172.61mil to RM217.84mil.
