PETALING JAYA (Sept 16, 2025) – Mah Sing Group Bhd (KLSE: MAHSING) is doubling down on its expansion strategy, targeting prime land acquisitions across the Klang Valley, Johor, and Penang to strengthen its pipeline of residential and industrial projects.

Founder and group managing director Tan Sri Leong Hoy Kum said the group’s strong balance sheet and prudent capital management continue to support its landbanking ambitions.

“Our strategic land banking activities are closely aligned with market opportunities and future growth,” Leong told StarBiz.

Strong Financial Position

Mah Sing has already secured two prime freehold sites this year with a combined gross development value (GDV) of RM1.6 billion:

M Aria, Sentul – acquired in January (2.78 acres)
Corus Hotel site, Jalan Ampang – acquired in August (1.48 acres)

As of August 2025, the group held cash reserves of RM1.12 billion and a low net gearing of 0.23 times (as at June 30, 2025).

Healthy Sales & Earnings

Mah Sing’s property sales rose 12.4% in 1H25 to RM1.15 billion, supported by strong demand for its affordable M Series developments. This contributed to:

Revenue: RM1.22 billion (vs. RM1.14 billion in 1H24)
Net Profit: RM132.06 million (vs. RM120.26 million in 1H24)
Property Development Revenue: RM983.8 million with operating profit of RM211.5 million
Manufacturing Segment Revenue: RM222.2 million, up 10.8% y-o-y
In 2Q25, the group posted a net profit of RM66.02 million with EPS rising to 2.58 sen.

Pipeline & Market Outlook

Research houses remain optimistic on Mah Sing’s outlook, noting strong upcoming launches:

M Aurora, Old Klang Road
M Aria, Sentul
M Zenni, Penang
New phases of ongoing M Series projects

Unbilled sales stood at RM2.91 billion, ensuring earnings visibility of around 1.1 years.

On the data centre front, Mah Sing is still in negotiations with potential operators for both outright sales and build-to-lease opportunities. Analysts say a breakthrough deal could be a medium-term catalyst.

Affordable Homes Strategy

Leong stressed Mah Sing’s focus on affordability and accessibility:

90% of M Series priced below RM700,000
46% priced below RM500,000

Launches are timed when existing blocks hit 70% take-up; current projects are around 90% sold.

With more than 60,000 homes delivered to date, Mah Sing aims to continue serving a broad demographic, from first-time homebuyers to upgraders and investors.

Market Conditions

The group remains cautiously optimistic for the rest of 2025, citing supportive factors such as:

OPR cut to 2.75% (July 2025), boosting affordability
Stable economy and government support for housing and infrastructure
EPF Account 3 withdrawals improving liquidity for buyers

However, Leong acknowledged ongoing global uncertainties, inflationary pressures, and subsidy rationalisation as potential headwinds.

FAQs

1. What are Mah Sing’s latest land acquisitions?
M Aria in Sentul (2.78 acres) and the Corus Hotel site in Jalan Ampang (1.48 acres), with a combined GDV of RM1.6 billion.

2. How strong are Mah Sing’s finances?
Cash balance of RM1.12 billion (Aug 2025) and low net gearing of 0.23 times (June 2025).

3. What is the sales target for 2025?
At least RM2.65 billion, with stronger sales expected in 2H25.

4. What types of homes does Mah Sing focus on?
Affordable units: 90% priced below RM700,000 and nearly half below RM500,000.

5. How many homes has Mah Sing delivered?
More than 60,000 units across Malaysia.