Mah Sing's Q2 net profit jumps nearly 10pct on stronger sales

KUALA LUMPUR: Mah Sing Group's net profit climbed 9.8% to RM72.47 million for the second quarter ending June 30th, 2026, up from RM66.02 million a year ago. The increase was fueled by a surge in property sales and contributions from ongoing projects. The company's revenue grew 16% to RM656.29 million, compared to RM565.92 million previously.

For the first half of 2026, the property developer recorded RM1.32 billion in sales, a 15% rise from RM1.15 billion in the same period last year, indicating progress towards its RM2.76 billion annual sales goal. Mah Sing reported strong demand for its well-located and affordable homes, with new launches like M Aria, M Aurora, and M Amaya receiving positive responses.

The company has more launches in the pipeline, including M Hana, M Mira, M Cora, and M Tiara 2. In terms of financial standing, Mah Sing had RM1.01 billion in cash and bank reserves and a net gearing ratio of 0.39 times as of June 30th, providing ample funds for current projects, land expansion, and future opportunities. The manufacturing division turned profitable, with an operating profit of RM9.7 million, compared to a RM5.2 million loss in the previous year.

This turnaround was a result of better glove plant utilization, higher selling prices, and cost cuts following the sale of its automotive parts division. Mah Sing is also exploring digital infrastructure as a secondary growth sector. The company has proposed selling around 31.89 hectares of commercial land at Mah Sing DC Hub @ Southville City for RM617.9 million, equivalent to RM180 per square foot.

This move aims to unlock land value and generate capital for reinvestment, while Mah Sing looks into a proposed colocation data center with an established operator. While property development remains the core business, the group views digital infrastructure as a way to diversify income and build long-term value.