Tropicana delivers stronger 3QFY2025 revenue on improved progress billings and balance-sheet recovery

Tropicana Corp Bhd has posted a solid set of unaudited results for the financial period ended Sept 30, 2025, with group revenue rising to RM1.0 billion — a 15.4% increase equivalent to RM135.1 million year-on-year. The improvement was mainly fuelled by higher progress billings across major developments in the Klang Valley, as well as ongoing projects in the Southern and Northern regions.

The group recorded a modest profit before tax (PBT) of RM0.7 million, a sharp turnaround from the RM435.9 million loss before tax (LBT) registered in the previous financial year. The recovery was largely due to the absence of last year’s one-off provision for foreseeable losses from divestment properties, coupled with accelerated construction milestones across its active townships and residential phases. Market demand in Greater Kuala Lumpur — particularly within mature corridors that also support growth in commercial property in KL and industrial property in Selangor — has helped sustain steady project momentum.

In October 2025, Tropicana met its Tranche 4 payment of RM139 million under the RM1.5 billion Islamic Medium-Term Notes (IMTN) Sukuk Wakalah Programme, bringing cumulative payments to RM1.12 billion. The group further strengthened its funding position with the successful issuance of RM300 million IMTN in November 2025. The exercise, upsized from RM200 million following strong investor appetite — particularly from government-linked institutional investors — reflects improved market confidence in Tropicana’s financial direction.

Tropicana highlighted that its strategic focus remains anchored on sustainable growth through stronger sales, targeted monetisation of landbanks and investment assets, and ongoing financial optimisation. The group’s land parcels in high-demand corridors — including areas with rising interest for office space in Bukit Jalil, factory space in Puchong and industrial hubs near Subang — continue to support long-term development potential.

MARC Ratings recently revised its outlook on Tropicana to positive from stable while reaffirming an A rating, citing successful deleveraging measures, asset disposals and overall balance-sheet improvement.

Reiterating its long-term vision, the management said the group is committed to building a future-ready organisation backed by a strong core property segment, ESG-led practices and its signature development DNA. Tropicana also extended its appreciation to its internal teams and partners for their continuous contribution to the group’s progress.