Glomac sales momentum set to pick up from Q2 FY27

KUALA LUMPUR: Glomac Bhd's sales momentum is expected to pick up from the second quarter (Q2) of its financial year 2027 (FY27), as the property developer rolls out its remaining launches for the year.

TA Securities said Glomac's FY27 launch activity only began in the quarter ending Oct 31, 2026, with about RM163 million worth of projects launched on Sept 19.

These comprised Qaya shop offices at Saujana Perdana worth RM78 million, Serai 3 at Sungai Buloh Country Resort worth RM69 million and 16 Legacy at Saujana Rawang worth RM16 million.

"These account for slightly over half of Glomac's planned FY27 launches, which total RM317 million.

"Management expects FY27 sales to improve but has not provided a formal target at this stage," the firm said in a note.

Glomac reported a core net profit of RM7.6 million for Q1 FY27, beating TA Securities' expectations and accounting for 43 per cent of its full-year forecast.

The stronger-than-expected performance was mainly driven by higher margins, while revenue of RM68.5 million was in line with the firm's expectations, making up 28 per cent of its full-year forecast.

Year-on-year, revenue surged 163 per cent, driven mainly by property development revenue, which more than tripled to RM61.1 million from RM19.2 million.

The stronger performance helped Glomac swing to a core net profit of RM7.6 million from a core net loss of RM1.7 million in Q1 FY26.

On a quarter-on-quarter basis, however, revenue fell 14 per cent from RM79.7 million in Q4 FY26, while core net profit declined 37 per cent from RM12.1 million.

"The decline in revenue largely reflected lower progress billings, while gross margin normalised to 31.4 per cent from the exceptionally strong 43.0 per cent in the preceding quarter.

"We believe the margin movement was partly attributable to the different mix of projects recognised during the quarter," TA Securities said.

The firm said Glomac's balance sheet remained healthy, with the group in a net cash position of about RM25 million as at end-July 2026.

Its latest unbilled sales stood at RM407 million, equivalent to about 2.1 times its FY26 property development revenue.

TA Securities maintained its "Hold" call on Glomac with an unchanged target price of 34 sen a share.