Eco World Posts Solid 1HFY26 Earnings on Industrial Land Sales

Eco World reported stronger 1HFY26 earnings driven by industrial land sales, while robust new sales and rising future revenue strengthened earnings visibility despite softer quarterly performance.

Eco World

Eco World Development Group Berhad delivered a solid set of results for the first half of FY2026, with core net income rising to RM285.6 million, representing 52% of house estimates and 53% of consensus forecasts for the full year. The property developer also declared a second-quarter dividend of 2 sen per share, bringing total dividends for 1HFY26 to 4 sen per share.

Second-quarter earnings eased 18.2% quarter-on-quarter to RM128.5 million as revenue declined following a strong first quarter, which benefited from the recognition of land sales at Eco Business Park 1 in Iskandar Malaysia and Eco Business Park V in Selangor. However, lower administrative and marketing expenses, alongside stronger joint venture contributions, helped cushion the decline.

On a yearly basis, second-quarter earnings increased 11.9% despite lower revenue, supported by a lower effective tax rate. Cumulative earnings for 1HFY26 climbed 47.1% year-on-year, largely driven by industrial land sales recognized earlier in the financial year.

Eco World also recorded encouraging sales momentum, achieving RM3.28 billion in new sales during the first seven months of FY2026, equivalent to 82% of its full-year target. Future revenue rose to RM5.38 billion, providing approximately 1.8 years of earnings visibility and supporting longer-term growth prospects.