KUALA LUMPUR: Lagenda Properties Bhd, a leading developer of affordable housing and integrated townships, recorded revenue of RM262.1 million for Q1 ended March 31, 2026 (FY26), while maintaining stable profitability with profit after tax of RM44.2 million.

Against this backdrop, the group delivered resilient operational performance despite a slower first quarter, which was affected by the festive period and led to slower construction progress.

Consequently, revenue declined marginally by 0.9% year-on-year, mainly due to lower contributions from the property development segment.

Nonetheless, it remained the group’s key earnings contributor, contributing approximately 90% of total revenue.

The trading segment, meanwhile, continued to provide a supportive contribution and recorded strong growth, with revenue increasing 18.4% year-on-year, driven by higher demand for building materials and an increased sales volume to external contractors.

The property development segment remained supported by ongoing construction progress across projects, including Lagenda Ardea Phase 2 in Ulu Bernam (Selangor), BBSAP in Sitiawan (Perak), and the group’s highly anticipated development, La Lumiere in Kulai (Johor).

While quarterly performance was affected by the timing of progress billings, the group expects revenue recognition to gradually improve in the coming quarters, supported by a higher number of project launches in the previous year, which has increased the construction pipeline and the recognition of billings.

This performance, together with steady progress in execution across ongoing developments and additional launches planned in the coming quarters, is expected to drive a gradual ramp-up in performance.

Lagenda recorded property sales of approximately RM372.5 million during the quarter, led by encouraging demand for developments including La’ Lumiere in Kulai (Johor), Lagenda Ardea in Ulu Bernam (Selangor) and La’ Indera in Kuantan (Pahang).

The continued positive take-up rates reflect sustained demand for the group’s affordable landed township developments.

As of March 31, 2026, the group’s unbilled sales stood at a record high of approximately RM1.67 billion, providing strong earnings visibility for the coming quarters.

Lagenda also maintained a sizeable landbank of approximately 3,998 acres, with an estimated gross development value of RM10.28 billion across multiple strategic growth corridors nationwide.

The group remains cautious of geopolitical uncertainties, inflationary pressures and broader external market conditions, but expects the overall impact on operations to remain manageable, supported by resilient domestic demand and its affordable housing-focused business model.

It also intends to maintain its current housing price positioning despite rising global costs and inflationary pressures, in line with its commitment to affordable home ownership.

“We are pleased to have delivered another quarter of resilient performance, supported by steady demand across our township developments.

“While the first quarter was affected by the festive period, our strong sales momentum and record-high unbilled sales continue to reinforce sustained demand for affordable landed homes in strategic growth corridors.

We expect performance to strengthen progressively, with an incremental uplift in construction activities, revenue recognition, and profitability supporting this trend in the coming quarters.

“Moving forward, we remain focused on disciplined execution, timely project delivery and strategic expansion within high-growth locations.

“With construction activities expected to normalise in the coming quarters, alongside upcoming launches in Sungai Petani, Kedah and Senawang, Negeri Sembilan, we remain optimistic of delivering stronger performance in the quarters ahead and over the longer term,” the group said in a statement.

At the close of trade, Lagenda Properties shares were priced at RM1.46, giving the group a market capitalisation of RM1.22 billion.