Paramount Corporation Berhad: Q1 2026 Financial Results & Key Updates for Investors
Key Highlights from the Q1 2026 Interim Financial Report
- Revenue Decline: Paramount Corporation Berhad reported Q1 2026 revenue of RM152.2 million, a significant 30% drop from RM216.5 million in Q1 2025.
- Profit Before Tax (PBT): PBT declined 18% year-on-year to RM18.6 million from RM22.6 million in the same period last year.
- Net Profit: Profit for the period attributable to ordinary shareholders was RM14.4 million, marginally down from RM14.4 million in Q1 2025. Basic EPS was 2.31 sen (Q1 2025: 2.32 sen).
- Operating Environment: The weaker performance was mainly attributed to fewer ongoing projects, the absence of new property launches, slower revenue recognition due to early-stage construction phases, and softer sales amid geopolitical uncertainties.
Detailed Segment Analysis
Property Segment
- Revenue dropped 32% to RM140.1 million (Q1 2025: RM205.9 million); PBT decreased by 27% to RM22.6 million (Q1 2025: RM30.9 million).
- The decline was caused by fewer active projects and a more cautious launch schedule. Most high-rise projects are still in early construction stages, delaying revenue recognition.
- Sales for Q1 2026 reached RM152 million in Gross Development Value (GDV), 34% lower than RM230 million in Q1 2025.
- No new launches were recorded in Q1 2026, with sales mainly coming from prior launches and existing inventories. In Q1 2025, strong sales were supported by the launch of The Ashwood and RM62.4 million in new projects.
- Top contributors: The Atera (Selangor), Bukit Banyan (Kedah), and The Ashwood (Kuala Lumpur). The Ashwood was fully sold during the quarter.
Coworking Segment
- Revenue decreased to RM4.7 million (Q1 2025: RM6.6 million), reflecting the absence of design-and-build contracts from Scalable Malaysia.
- Loss before tax widened to RM0.8 million (Q1 2025: RM0.5 million) due to higher fixed costs from network expansion.
- Network growth: Co-labs Coworking opened its first space outside Klang Valley at Mid Valley Southkey (Johor Bahru) and a new single-tenant site at KL Eco City.
Investment & Others Segment
- Revenue grew by 11% to RM8.1 million, supported by improvements across business units and contributions from the new associate, Envictus International Holdings Limited.
- Loss before tax narrowed by 59% to RM3.3 million (Q1 2025: RM7.9 million).
Balance Sheet Position & Cash Flows
- Total assets: RM3.36 billion as at 31 March 2026, up from RM3.26 billion at 31 December 2025.
- Net assets per share: RM2.36 (down from RM2.40 at year-end 2025).
- Cash and cash equivalents: RM228.1 million at quarter-end (Q1 2025: RM175.2 million).
- Net cash from operations: RM128.8 million, up from a net outflow of RM2.6 million in Q1 2025.
- Net cash used in investing activities: RM273.3 million, mainly for land acquisition and investments.
- Net cash from financing activities: RM116.2 million, driven by new borrowings and issuance of private debt securities (PDS).
Dividends & Capital Management
- RM28.0 million was paid as a 2nd interim dividend for FY2025 (4.5 sen per share). No dividend is recommended for the current quarter.
- Private Debt Securities: RM100 million issued during the quarter, boosting capital structure.
Borrowings and Debt Securities
- Total borrowings: RM1.28 billion as at 31 March 2026 (Q1 2025: RM1.06 billion). This includes new term loans, sukuk issuances, and medium-term notes for strategic investments and land acquisitions.
- Weighted average floating rate: 4.55% (Q1 2025: 4.92%).
- Borrowing increase mainly due to: RM88 million for Envictus stake, RM50 million Sukuk Wakalah (refinance), RM115.8 million Sukuk Murabahah (land acquisition).
Land Bank, Development Pipeline & Prospects
- Undeveloped land: 617.2 acres as at 31 March 2026, including the newly acquired 295.6 acres in Kulim, Kedah.
- Five additional land deals (78.3 acres, projected GDV: RM3 billion) pending completion, expected to support long-term growth.
- Q1 2026: Residential transactions in Malaysia declined by 11% in volume and 8% in value; new launches fell by 27%.
- Planned launches for 2H 2026: First phase of Kulim (Kedah) land, a new township in Section U9 (Shah Alam), and high-end serviced apartments in the U-Thant, Kuala Lumpur area.
- Unbilled sales of RM1.5 billion provide near-term cash flow visibility.
- Management continues a measured approach—prioritising inventory sales, cost control, and market-responsive launches.
Key Corporate Developments
- Ongoing major land deals:
- Acquisition of Brunsfield Residence (Kuala Lumpur) for RM145 million (SPA signed; RM14.5 million deposit paid).
- Acquisition of 48.5 acres at Bukit Raja (Selangor) for RM113.5 million (SPA signed).
- Acquisition of 3.7 acres of commercial land in Kuala Lumpur from IOI Properties for RM257.9 million (SPA signed).
- All deals are pending completion and are expected to replenish the Group’s development pipeline.
Material Litigation
- Tanah Bayumas Sdn. Bhd. (subsidiary) faces ongoing litigation regarding the Brunsfield Residence acquisition. The company has legal protections under the SPA, and management does not expect a significant financial impact. The SPA allows for a refund plus interest if the deal cannot complete due to legal proceedings or caveats.
Outlook & Strategic Focus for Investors
- Management remains cautious amid macroeconomic headwinds (geopolitical risks, softer property market, higher costs).
- Strategy: Prudent launch timing, focus on converting unbilled sales, cost management, and selective landbanking to support sustainable growth.
- Coworking segment expansion to continue, including a flagship premium space at Sunway Square (Subang Jaya) in mid-2026.
- No profit forecast/guarantee is provided for the current quarter.
Potential Share Price Sensitivities for Investors
- Lower earnings and revenue in Q1 2026 may dampen short-term sentiment.
- Significant land acquisitions and ongoing corporate exercises may enhance long-term development pipeline and value.
- Absence of new launches in Q1 2026 may concern some investors but pipeline for 2H 2026 is robust.
- Litigation risks appear managed but could be a headline risk if delays escalate.
- Strong balance sheet and unbilled sales provide some cash flow reassurance.
- Dividend payout for FY2025 supports the yield case, but no dividend for Q1 2026 may disappoint yield-focused investors.
Disclaimer: This article is a summary and interpretation of Paramount Corporation Berhad’s Q1 2026 interim financial report. It is not investment advice. Investors should refer to the original filings and consult qualified professionals before making any investment decisions.
Paramount Corporation Berhad: Keputusan Kewangan Suku Pertama 2026 & Perkembangan Penting untuk Pelabur
Sorotan Utama Laporan Kewangan Suku Pertama 2026
- Pendapatan Menurun: Paramount Corporation Berhad melaporkan pendapatan RM152.2 juta untuk 1Q2026, penurunan 30% berbanding RM216.5 juta pada 1Q2025.
- Untung Sebelum Cukai (PBT): PBT menurun 18% tahun ke tahun kepada RM18.6 juta (1Q2025: RM22.6 juta).
- Untung Bersih: Untung untuk tempoh ini kepada pemegang saham biasa ialah RM14.4 juta, sedikit menurun berbanding RM14.4 juta pada 1Q2025. EPS asas ialah 2.31 sen (1Q2025: 2.32 sen).
- Persekitaran Operasi: Prestasi yang lemah disebabkan oleh kurang projek aktif, tiada pelancaran baru, pengiktirafan pendapatan perlahan, dan jualan lebih lembap dalam suasana ketidaktentuan geopolitik.
Analisis Segmen Terperinci
Segmen Hartanah
- Pendapatan turun 32% kepada RM140.1 juta (1Q2025: RM205.9 juta); PBT menurun 27% kepada RM22.6 juta (1Q2025: RM30.9 juta).
- Penurunan disebabkan kurang projek aktif serta jadual pelancaran yang lebih berhati-hati. Kebanyakan projek high-rise masih di peringkat awal pembinaan.
- Jualan 1Q2026: RM152 juta GDV, 34% lebih rendah dari RM230 juta pada 1Q2025.
- Tiada pelancaran baharu dalam 1Q2026; jualan datang dari pelancaran terdahulu dan inventori sedia ada. 1Q2025 mendapat lonjakan daripada pelancaran The Ashwood dan projek baru lain.
- Penyumbang utama: The Atera (Selangor), Bukit Banyan (Kedah), The Ashwood (Kuala Lumpur). The Ashwood telah habis dijual semasa suku ini.
Segmen Coworking
- Pendapatan jatuh kepada RM4.7 juta (1Q2025: RM6.6 juta), mencerminkan ketiadaan kontrak reka bentuk & bina daripada Scalable Malaysia.
- Rugi sebelum cukai melebar kepada RM0.8 juta (1Q2025: RM0.5 juta) kerana kos tetap lebih tinggi akibat peluasan rangkaian.
- Pertumbuhan rangkaian: Co-labs Coworking membuka tapak pertama di luar Lembah Klang di Mid Valley Southkey (Johor Bahru) dan tapak baru di KL Eco City.
Segmen Pelaburan & Lain-lain
- Pendapatan meningkat 11% kepada RM8.1 juta, didorong oleh prestasi baik unit perniagaan dan sumbangan daripada syarikat bersekutu baharu, Envictus International Holdings Limited.
- Rugi sebelum cukai mengecil 59% kepada RM3.3 juta (1Q2025: RM7.9 juta).
Kedudukan Kunci Kira-kira & Aliran Tunai
- Jumlah aset: RM3.36 bilion pada 31 Mac 2026.
- Aset bersih sesaham: RM2.36 (turun dari RM2.40 pada akhir 2025).
- Tunai & setara tunai: RM228.1 juta pada akhir suku (1Q2025: RM175.2 juta).
- Tunai operasi bersih: RM128.8 juta, berbanding aliran keluar bersih RM2.6 juta pada 1Q2025.
- Tunai pelaburan bersih: Aliran keluar RM273.3 juta, terutamanya untuk pembelian tanah dan pelaburan.
- Tunai pembiayaan bersih: Aliran masuk RM116.2 juta, didorong oleh pinjaman baharu dan terbitan sekuriti hutang swasta (PDS).
Dividen & Pengurusan Modal
- Dividen interim kedua sebanyak RM28.0 juta untuk FY2025 telah dibayar (4.5 sen sesaham). Tiada dividen dicadangkan untuk suku semasa.
- Sekuriti Hutang Swasta: RM100 juta diterbitkan semasa suku ini, mengukuhkan struktur modal.
Pinjaman & Sekuriti Hutang
- Jumlah pinjaman: RM1.28 bilion pada 31 Mac 2026 (1Q2025: RM1.06 bilion). Termasuk pinjaman bertempoh, terbitan sukuk dan nota jangka sederhana untuk pelaburan strategik dan pembelian tanah.
- Kadar faedah terapung purata: 4.55% (1Q2025: 4.92%).
- Peningkatan pinjaman: RM88 juta untuk pegangan Envictus, RM50 juta Sukuk Wakalah (pembiayaan semula), RM115.8 juta Sukuk Murabahah (pembelian tanah).
Bank Tanah, Pelan Pembangunan & Prospek
- Tanah belum dibangunkan: 617.2 ekar pada 31 Mac 2026, termasuk 295.6 ekar baru di Kulim, Kedah.
- Lima perjanjian pembelian tanah tambahan (78.3 ekar, GDV projek: RM3 bilion) sedang menunggu penyelesaian.
- 1Q2026: Transaksi kediaman Malaysia turun 11% (jumlah), 8% (nilai); pelancaran baru turun 27%.
- Pelancaran dirancang untuk 2H 2026: Fasa pertama di Kulim, township baru di Seksyen U9 (Shah Alam), dan serviced apartment mewah di U-Thant, Kuala Lumpur.
- Jualan belum dibil RM1.5 bilion memberi jaminan aliran tunai jangka pendek.
- Pengurusan kekal berhati-hati, mengutamakan penjualan inventori, kawalan kos, dan strategi pelancaran yang responsif pasaran.
Perkembangan Korporat Penting
- Pembelian tanah utama yang sedang berjalan:
- Pengambilalihan Brunsfield Residence (Kuala Lumpur) RM145 juta (SPA ditandatangani; deposit RM14.5 juta dibayar).
- Pengambilalihan 48.5 ekar di Bukit Raja (Selangor) RM113.5 juta (SPA ditandatangani).
- Pengambilalihan 3.7 ekar tanah komersial di Kuala Lumpur dari IOI Properties RM257.9 juta (SPA ditandatangani).
- Semua perjanjian menunggu penyelesaian dan dijangka menambah pipeline pembangunan kumpulan.
Litigasi Material
- Tanah Bayumas Sdn. Bhd. (anak syarikat) menghadapi litigasi berkaitan pengambilalihan Brunsfield Residence. Syarikat telah dilindungi dari segi SPA dan pengurusan tidak menjangka impak kewangan material. Wang akan dipulangkan jika urusniaga gagal akibat tindakan undang-undang atau kaveat.
Tinjauan & Fokus Strategik untuk Pelabur
- Pengurusan kekal berhati-hati dalam suasana makroekonomi yang mencabar (risiko geopolitik, pasaran hartanah lembap, kos meningkat).
- Strategi: Masa pelancaran berhati-hati, fokus pada penukaran jualan belum dibil, pengurusan kos, pemilihan bank tanah untuk pertumbuhan mampan.
- Peluasan segmen coworking diteruskan, termasuk ruang premium di Sunway Square, Subang Jaya (pertengahan 2026).
- Tiada ramalan untung/dividen untuk suku semasa.
Faktor Sensitif Harga Saham untuk Pelabur
- Keuntungan & pendapatan lebih rendah untuk Q1 2026 mungkin menekan sentimen jangka pendek.
- Pembelian tanah utama & urusniaga korporat boleh meningkatkan pipeline pembangunan dan nilai jangka panjang.
- Ketiadaan pelancaran baru dalam Q1 2026 mungkin menimbulkan kebimbangan, tetapi pipeline 2H 2026 kukuh.
- Risiko litigasi terkawal tetapi boleh menjadi risiko tajuk jika berlaku kelewatan lanjut.
- Kunci kira-kira kukuh & jualan belum dibil memberi jaminan aliran tunai.
- Bayaran dividen FY2025 menyokong kes hasil, tetapi ketiadaan dividen untuk Q1 2026 mungkin mengecewakan pelabur berorientasikan hasil.
Penafian: Artikel ini adalah ringkasan dan interpretasi laporan kewangan interim Q1 2026 Paramount Corporation Berhad. Ia bukan nasihat pelaburan. Pelabur perlu merujuk dokumen asal dan mendapatkan nasihat profesional sebelum membuat keputusan pelaburan.
