PETALING JAYA (Feb 26) — Radium Development Bhd posted a softer fourth-quarter performance but delivered a significantly stronger full-year result for the financial year ended Dec 31, 2025 (FYE2025), supported by a substantial one-off land settlement gain.
For the fourth quarter, the group recorded a net profit of RM1.73 million, lower year-on-year, despite revenue increasing to RM71.58 million from RM46.20 million previously.
On a full-year basis, revenue climbed 30% to RM199.2 million compared with RM152.8 million a year earlier. Net profit surged nearly sevenfold, largely attributable to a RM123.7 million one-off gain arising from a land settlement with Kuala Lumpur City Hall. Excluding this exceptional item, earnings growth would have been more moderate but still reflective of ongoing project progress.
For property investors and landowners monitoring commercial property in KL and redevelopment sites within mature corridors, such land settlements can significantly reshape a developer’s balance sheet and future expansion strategy.
In a strategic move beyond traditional residential development, Radium announced plans to enter the healthcare sector.
Its wholly owned unit, Radium Healthcare Sdn Bhd, will spearhead the diversification, while its 90%-owned subsidiary, Radium Hospital Ayer Keroh Sdn Bhd, will undertake the group’s first hospital project.
The company previously acquired 2.88 hectares of land in Ayer Keroh, Melaka, for RM25.5 million. Plans are underway to develop a 140-bed hospital, with expansion capacity to 200 beds. The project, carrying an estimated development cost of RM300 million, is targeted for completion in the first half of 2028. Funding will be sourced through a combination of bank financing and internal resources.
The proposed venture will add healthcare real estate assets — including hospital buildings and medical facilities — to Radium’s portfolio. Over time, the group may explore integrated healthcare-led developments combining medical centres with residential, retail or commercial property components, subject to regulatory approvals and market demand.
This type of mixed-use concept mirrors broader trends seen in commercial property in KL, where integrated developments increasingly combine healthcare, office, retail and residential uses to diversify income streams and enhance asset resilience.
The diversification proposal remains subject to shareholder approval at an extraordinary general meeting. Meanwhile, the group will continue focusing on its core property development operations.
Heading into 2026, Radium maintains an active project pipeline concentrated in Kuala Lumpur and Selangor — key markets for investors seeking office space in Bukit Jalil, factory in Puchong and industrial property in Subang area.
Among its ongoing and upcoming projects:
Vista Adesa and Radium Adesa — combined estimated gross development value (GDV) of RM980 million.
Radium Arena, Old Klang Road — 988 suite apartments with an estimated GDV of RM505 million.
Kepong joint venture project — expected launch in 2Q2026, projected GDV of RM400 million.
Pandan Indah, Selangor — maiden Selangor development slated for 4Q2026 launch, with potential GDV of RM500 million.
Cheras land acquisition — strengthens long-term pipeline, with an estimated GDV of RM2.54 billion.
The expansion into Selangor — particularly areas such as Pandan Indah — aligns with increasing demand for strategically located residential and commercial hubs supported by improving infrastructure connectivity across the Klang Valley.
As infrastructure projects progress and economic activity stabilises, demand fundamentals are also strengthening for industrial land in Selangor, logistics-ready industrial property in Subang area, and light manufacturing space including factory in Puchong. Developers with strong landbanks in growth corridors are positioned to tap into these spillover effects.
Radium’s healthcare diversification introduces a new recurring-asset dimension to its business model, complementing its existing residential pipeline in Kuala Lumpur and Selangor. While the one-off land settlement boosted FY2025 earnings, the group’s long-term trajectory will depend on execution across its upcoming launches and the successful rollout of its hospital project.
For stakeholders tracking commercial property in KL and emerging integrated developments, Radium’s strategy highlights how Malaysian developers are gradually broadening asset classes to include healthcare real estate, while maintaining core exposure to high-density urban and suburban growth areas.
As 2026 approaches, the group’s performance will be closely linked to launch momentum, construction progress and broader property market sentiment across the Klang Valley.
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