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CHHB Shows Growth in Revenue but Remains Concerned

Group Revenue Up by RM12.4 Million to RM275.2 Million from RM262.8 Million for Financial Year ended 31 Dec 2014 but Wary of Market Sentiment 

Kuala Lumpur, June 17, 2015:

Country Heights Holdings Berhad (CHHB) announced its positive growth in revenue for the financial year ended 31 December 2014 at the company’s 31st Annual General Meeting today. The group recorded an increase in revenue by RM12.4 million to RM275.2 million from RM262.8 million during the period amidst a challenging year.

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The Group’s profit before tax for 2014 was recorded RM51.8 million as compared to RM49.3 million in the same period of the preceding year. The increase in revenue and profit before tax were principally derived from the company’s property development division.

Group chief executive officer Dianna Lee said, “The growth in revenue is mainly due to the sales of existing inventory which is part of the Group’s plan to pare down its debt.” The group debt has been reduced to 18.8% for the year ending 2014. However, Lee cautioned that she is not optimistic that 2015 would be able to sustain the same result given the drastic slowdown in the economy this year and the tightening of end financing for purchasers. Moreover, the sudden new property ruling for Selangor and Negeri Sembilan state housing on Bumi and foreign quota does not help with the current challenging circumstances the market is already facing. The low tourists arrival and hotel rate war are also affecting the hotel sales on top of the thrifty sentiment after the GST implementation.”

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Lee also stated her concerns regarding the new alignment of MRT Line 2, where the original alignment should be passing through the Mines area, which has now been changed to Serdang Raya. She has written her second letter to the MRT Corp about the reconsideration of the line, that it should at least maintain the Mines station as it has 100,000 more ridership than the Serdang Raya area.

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The general manager of group branding & communications, Diani Lee said “The Mines area is a key economic area and the ETP (Economic Transformation Plan) is considered a very important project, because we want to connect the MRT Line 2 with HSR, together with all the economic drivers in Klang Valley. The MRT Line 2 is very good, but where you place the station is equally important towards the success and sustainability of MRT Line 2 in the future.”

CHHB was awarded as the ‘Best Companies to Work for in Asia 2014’ Award by HR Asia, a regional publication for HR professionals in 2014. This award is recognition of CHHB’s outstanding achievement and significant best practices in Human Resources Management that is aligned to the Group’s philosophy and vision.

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