ECO WORLD DEVELOPMENT GROUP BERHAD (ECOWLD)

Eco World Development Group Berhad (ECOWLD / 8206)

Eco World Development Group Berhad (ECOWLD) is one of Malaysia's largest private property developers, with a proven track record spanning three major economic corridors: Klang Valley, Iskandar Malaysia (Johor), and Penang. Founded under the leadership of Tan Sri Liew Kee Sin, ECOWLD has built its reputation through large-scale township developments and is now sharpening a new identity as a leading player in the green industrial parks segment.

Financial year 2025 (ended 31 October 2025) marked a historic milestone: net profit of RM438.07 million, an all-time high (+44% YoY), on revenue of RM2.93 billion (+30% YoY). This was no accident - it is the result of a carefully orchestrated expansion strategy, the full consolidation of Paragon Pinnacle, and robust demand for both ECOWLD's residential and industrial products.

Core Business Segments

• Klang Valley: Eco Grandeur (Puncak Alam), Eco Ardence, Eco Bloom, and the upcoming Eco Radiance. Eco Grandeur is now 100% wholly owned by ECOWLD following the acquisition of EPF's 40% stake in February 2025.
• Iskandar Malaysia, Johor: Multiple residential and commercial projects, plus EBP 8 (Kulai) as the latest industrial project.
• Penang: Residential projects in the premium Penang market.
• Industrial Parks (Eco Business Parks): A fast-growing segment. EBP V (Puncak Alam), EBP VII (Jimah, Port Dickson, Negeri Sembilan - 1,195 acres), and EBP 8 (Kulai, Johor). Partnerships with Japanese entities (Musashino Bank, Bugin Research) position EBP VII as a preferred destination for Japanese SMEs entering Malaysia.

Shariah Compliant Status ✅

ECOWLD is a Shariah-compliant company, making it an appropriate choice for investors who prioritize halal investments. This status is certified by the Securities Commission Malaysia's Shariah Advisory Council.

FY2026 Target: RM4 Billion

For financial year 2026, management has set a sales target of RM4 billion. More impressively: within the first 4 months alone (November 2025 - February 2026), the company had already achieved more than 50% of that target. Analysts now project that ECOWLD may exceed the RM4 billion target if momentum continues. Three new launches are driving this: EBP VII, EBP 8, and Eco Radiance.

Key Projects Driving Growth

The ECOWLD story in 2025-2026 is one of a company successfully evolving from a pure township developer into a diversified property group spanning residential, industrial, and now international markets through its JV with JLand in Australia.

💰 Financial Analysis: last 8 quarters

The main story: ECOWLD's revenue and profit are rising on strong property sales and industrial land sales, but quarter to quarter results are very uneven. As a developer, revenue is recognised on project progress and land is sold in tranches, so one quarter should not be treated as a run rate.

* 3Q FY2026 EPS is an estimate (net profit divided by about 3.2 billion shares). Other figures are from the quarterly results database and press reports. 3Q FY2026 PBT of RM163.8 million is from press reports.

3Q FY2026 summary

• Revenue RM971.5 million (+27.5% YoY), PBT RM163.8 million (+17% YoY), net profit to shareholders RM112.2 million (+10.9% YoY).
• Quarter on quarter: PBT -8.7%, profit after tax -12.5%, JV contribution -44.8%.
• 9M FY2026: revenue RM3.12 billion (+43.3%), net profit RM397.7 million (+27.7%).
• 3Q gross margin about 27.2%; 9M 27.6% versus 29.3% a year earlier (product mix).
• Balance sheet: cash and deposits RM2.28 billion, gross gearing 0.57x, net gearing 0.21x (31 July 2026).
• Unbilled sales (future revenue) of RM5.01 billion as at 31 August 2026.

💸 ECOWLD Dividends

ECOWLD pays interim dividends regularly and has raised them gradually. With 3Q FY2026, the board declared a third interim dividend of 2 sen per share, bringing FY2026 declared dividends to 6 sen versus 5 sen at the same stage last year.

Yield: at RM1.97, the FY2025 dividend of 7 sen gives a yield of about 3.6%. If the FY2026 final dividend is at least 2 sen, the total of 8 sen equals about 4.1%.

Dividends are paid from operating profit and cash flow, not from reserves during a loss year. For FY2025, the payout ratio was about 47% of earnings (per the results report).