AME Elite Consortium kicks off FY2027 with 50% jump in 1Q profit, lifted by construction, fair value gains

KUALA LUMPUR (Aug 27): AME Elite Consortium Bhd (KL:AME) posted a 50% jump in its first-quarter net profit as it recorded a substantial fair value gain on its investment properties and higher contributions from its construction services segment.

The integrated industrial space solutions provider reported a net profit of RM48.59 million for the three months ended June 30, 2026 (1QFY2027), up from RM32.39 million a year earlier, its bourse filing showed.

The group recorded RM16.3 million in fair value gains net of tax and non-controlling interests, including RM9.27 million in realised gains from the disposal of an industrial asset to AME Real Estate Investment Trust (KL:AMEREIT).

Revenue for the quarter under review climbed 4.4% to RM195.74 million from RM187.46 million for 1QFY2026, due largely to higher stages of work completed in its construction division and growing recurring rental income from its property investment portfolio. No dividend was declared.

“Entering FY2027, our integrated business model is delivering positive results across multiple fronts. As global supply chains diversify into Malaysia, our industrial parks continue to attract multinational corporations across high-value industries.

“With our flagship parks in Johor achieving outstanding take-up rates, alongside our ongoing developments in Penang and Selangor, we are well-positioned to meet the growing demand for premium industrial spaces,” said AME Elite Consortium executive director and group chief executive officer Dylan Tan Teck Eng.

As at end-June, the group’s external construction and engineering order book stood at RM485.7 million, while its property development division had RM512 million in unbilled sales, of which RM395.1 million came from i-TechValley at the Southern Industrial and Logistics Clusters (SILC) in Johor, and RM116.9 million from its 50%-owned Northern TechValley@BKE joint venture in Penang.

For FY2027, AME Elite anticipates industrial property demand in Johor to remain supported by infrastructure developments and the Johor-Singapore Special Economic Zone.

While higher construction and operating costs stemming from the conflict in the Middle East are expected to weigh on margins and business sentiment, the group plans to focus on cost control and operational efficiency. It will also continue to pursue land acquisitions and development opportunities.

Shares of AME Elite ended flat at RM1.34 on Thursday’s market close, giving the group a market capitalisation of RM858.5 million.