Eco World Development Group Berhad (KLSE:ECOWLD) has released its second-quarter 2024 financial results. The company reported revenue of RM555.8m, which is a 32% increase from the same quarter in 2023. Net income also saw a 12% increase to RM70.0m, with a profit margin of 13%, down from 15% in the second quarter of 2023. Earnings per share increased to RM0.024 from RM0.021 in the same period last year.
Looking ahead, Eco World Development Group Berhad is forecasting an average annual revenue growth of 6.0% over the next three years. This is slightly lower than the 7.6% growth forecast for the Real Estate industry in Malaysia. However, despite this slight decrease, investors should be aware of two warning signs before investing in this company.
The first warning sign is that Eco World Development Group Berhad’s revenue growth rate is lower than the industry average growth rate for real estate companies in Malaysia.
The second warning sign is that the company’s earnings per share are only increasing at a slow pace compared to other companies in the real estate industry.
Despite these concerns, it’s important to remember that past performance does not necessarily indicate future results and that investors should conduct their own research and analysis before making any investment decisions.
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This article by Simply Wall St provides commentary based on historical data and analyst forecasts. It is not intended to be financial advice and does not constitute a recommendation to buy or sell any stock. The analysis is driven by fundamental data, and may not take into account the latest price-sensitive company announcements or qualitative material. Simply Wall St does not have a position in any of the stocks mentioned.
Investors should be aware that investing always carries risks, including potential loss of capital and fluctuating returns on investment (ROI). It’s important for investors to conduct their own research and analysis before making any investment decisions based on this information alone.
Additionally, past performance may not necessarily reflect future results due to many factors such as market trends, economic conditions, regulatory changes and more.
