Berjaya Property Bhd

Berjaya Property Bhd maintains a leveraged capital structure with a debt-to-equity ratio of 1.7, indicating significant reliance on debt financing relative to shareholder equity. The company holds total assets of MYR 15.1 billion against total liabilities of MYR 11.6 billion, resulting in total equity of MYR 3.5 billion. Liquidity appears tight, with a current ratio of 1.01, suggesting limited short-term buffer to meet obligations. Operating cash flow stands at MYR 53.8 million, while free cash flow is positive at MYR 69.0 million, despite capital expenditures of MYR 184.9 million. The negative net cash position, derived from subtracting total debt from cash equivalents, highlights a constrained liquidity profile.

Profitability metrics indicate operational challenges, with a return on equity of -4.68% and a return on assets of -1.09%. The company reported a net loss of MYR 100.6 million on revenues of MYR 7.6 billion, reflecting a net margin compression. Gross profit of MYR 2.0 billion suggests that while top-line generation is substantial, operating expenses and other costs erode profitability. The operating income of MYR 323.2 million contrasts sharply with the net loss, implying significant non-operating expenses, likely interest costs given the high debt load. Without cohort median data for direct comparison, the negative returns signal underperformance relative to typical industry benchmarks for profitable leisure and property firms.

Operating income surged 304.2% year-over-year to MYR 323.2 million, signaling significant improvement in core operational profitability.

Free cash flow turned positive at MYR 69.0 million, marking a 68.0% improvement from the previous year's negative position.

Gross profit remained robust at MYR 2.04 billion, demonstrating strong underlying margin generation despite net income losses.

Revenue decline slowed to -10.6% year-over-year, suggesting a potential stabilization in top-line growth trends.

The company faces high credit risk and medium liquidity risk, posing significant threats to financial stability and operations.

Debt-to-equity ratio of 1.7 places the company in the bottom quartile, indicating excessive leverage compared to peers.

Net margin of -2.16% ranks in the bottom quartile, reflecting persistent inability to convert revenue into net profit.

Return on equity is negative at -4.68%, falling into the bottom quartile and destroying shareholder value.

Revenue has contracted at a 4-year CAGR of -8.1%, indicating a long-term decline in business scale.