JOHOR BAHRU: Main Market-listed property developer Paragon Globe Bhd recorded a 56.4% year-on-year increase in PATAMI to RM24.94 million for Q1 ended June 30, 2026 (FY27.
Revenue rose 69.8% to RM94.46 million from RM55.65 million in Q1 FY26.
Profit before tax (PBT) increased 64.6% to RM33.58 million, bringing basic earnings per share to 3.34 sen compared to 2.14 sen previously.
The property development segment was the primary earnings contributor.
Segment revenue increased 67.6% to RM93.25 million, and PBT rose 65.4% to RM38.97 million.
The performance reflected revenue recognition from land sales in Tanjung Kupang, detached factory sales in Pekan Nanas, and serviced apartments in Johor Bahru.
Gross profit increased 59.9% to RM44.58 million, representing a gross margin of 47.2%.
Administrative expenses decreased 6.7% to RM6.08 million.
Executive chairman Datuk Sri Edwin Tan Pei Seng said Q1 results demonstrate the direct impact of its property development activities and strategic land sales.
“Generating RM136.7 million in operating cash flow allows us to fund our ongoing expansion plans while maintaining liquidity.
“The conditional disposal in Tanjung Kupang and our subsequent acquisitions in Sedenak reflect a deliberate realignment of our landbank.
“We are positioning Paragon Globe to directly address the commercial and industrial demand emerging from the Johor-Singapore Special Economic Zone and the broader digital infrastructure sector in Johor,” he said.
Net cash generated from operating activities reached RM136.79 million for the quarter, compared to a net operating cash outflow of RM3.53 million a year earlier.
As of June 30, 2026, cash and bank balances stood at RM185.86 million.
Total assets expanded to RM1.40 billion from RM1.14 billion at the end of FY26.
Shareholders’ equity increased to approximately RM502.0 million, bringing net assets per share to RM0.67 from RM0.64.
The group maintained a PBT margin of 35.5% for the quarter.
The investment segment recorded revenue of RM1.22 million, generated primarily by rental income from a healthcare-related asset in Sepang.
During the quarter, Paragin Globe, through its wholly-owned subsidiary PGB Landmark Sdn Bhd, entered a conditional sale and purchase agreement to dispose of approximately 65.28 acres in Tanjung Kupang to DayOne Data Centers Malaysia III Sdn Bhd for RM398.11 million.
Subject to completion, this transaction is expected to provide financial flexibility for ongoing developments, future land acquisitions, repayment of borrowings, and working capital.
The group also held the groundbreaking ceremony for the PGB-GSP AutoPark in Iskandar Puteri, advancing its partnership with GSP Automotive Group into physical development.
Subsequent to the quarter, Paragon Globe expanded its development pipeline in Sedenak, Kulai, through a completed initial land acquisition of RM13.86 million and an acquisition of additional beneficial interests for RM127.28 million.
The Sedenak land is located within the Kulai-Sedenak flagship zone of the Johor-Singapore Special Economic Zone (JS-SEZ).
Paragon Globe expects factors such as the JS-SEZ, the Johor Bahru-Singapore RTS Link, cross-border investment flows, and digital infrastructure developments to continue supporting property demand in Johor.
The group will focus on project execution, fulfilling conditions for its corporate exercises, and managing capital deployment.
