PETALING JAYA: IOI Properties Group Bhd (IOI Prop) expects earnings for its current financial year ending June 30 to match that of its previous financial year, despite the slowdown in the property sector.

Chief operating officer Teh Chin Guan (pic) said that having a diverse range of property products had allowed the company to be resilient during the tough times.

He said IOI Prop would be launching the last two blocks of its Almyra Residence service apartments in Bandar Puteri Bangi, which start from RM368,820, later this year.

“We have an advantage. During a market slowdown, we are able to focus on affordable products,” Teh told StarBiz.

Comprising four blocks, the Almyra Residence development consists of 669 units.

IOI Prop’s net profit in 2015 was flat at RM890.70mil, compared with RM889.92mil in the previous corresponding period.

Revenue increased to RM1.91bil compared with RM1.45bil a year earlier. The better earnings were due to higher sales from development projects in Malaysia and Singapore, coupled with steady increase in progress works.

Earlier this month, BIMB Research highlighted that IOI Prop would have two townships added to its existing portfolio, Bandar Puteri Warisan and Bandar Puteri Bangi, which respectively have a gross development value (GDV) of RM2.5bil and RM3.6bil.

It said projects from this segment would contribute about 53% of the total GDV of RM16bil for the next three years.

Major contributors include its 16 Sierra in South Puchong, Bandar Puchong Jaya and Bandar Puteri Puchong which have a combined GDV of RM5.2bil,

Teh also said the company would be launching the second phase of its Avista two-storey terrace development next month.

While the units start from RM680,000, he said the company is optimistic about the take-up rate, adding that it also had a number of other projects in the pipeline that it considers “affordable” for buyers.

“We also have a large landbank and properties in and outside Malaysia,” said Teh.

IOI Prop has 10,000 acres of undeveloped landbank. It has projects in Penang, Selangor, Negri Sembilan, Malacca, Johor, Singapore and China.

He said the company was on the lookout for strategic landbank.

On the outlook for the local property market, Teh said he expects the segment to pick up only next year.

“We expect 2017 to be better. For this year, growth will remain flat due to both internal and external factors. We don’t really know when the market will bottom out, although statistics seem to indicate that we have pretty much bottomed,” he said.

IOI Properties Group Bhd chief operating officer Teh Chin Guan during a briefing on the companys 16 Sierra project in Puchong. (filepic)