KUALA LUMPUR: Eastern & Oriental Bhd (E&O) is open to collaborating with potential joint venture partners to develop its Andaman Island project in Penang, said group managing director Kok Tuck Cheong.

He said the project on the artificial island has a gross development value (GDV) of RM60 billion and is projected to take approximately 30 years to materialise fully.

Under the project’s masterplan, the Andaman Island project, spanning 307.56-hectares, will feature a mixed-use development, including luxury condominiums, shopping malls, office buildings, hotels, and community parks.

Situated along the Gurney Drive and Tanjung Tokong coastline, the island is being developed in two phases.

The land reclamation works for the first phase, covering 102.38 hectares, were completed in December 2019.

“We don’t need to go alone. The fact that we can have adequate financing from the banking community will give us a strong negotiating position with potential joint venture partners,” he said during the company’s media briefing for its second quarter ended Sept 30, 2024 (2Q 2025) results here today.

Kok said the company has been talking to several parties regarding the matter.

Regarding its performance, he said E&O is still catering to local demand, and business has been very encouraging.

However, Kok foresees demand from foreign buyers might increase following the new Malaysia My Second Home (MM2H) programme.

“We have not seen many of these MM2H applications coming onto our island at the moment. In the future, it could well come in, and I’m sure it will give a further boost to our sales,” he said.

In a filing with Bursa Malaysia today, E&O posted a net profit of RM30.39 million for 2Q 2025, up from RM29.73 million in the previous corresponding quarter.

Revenue rose to RM171.03 million from RM123.86 million previously.

For its six-month period (1H 2025) performance, E&O’s net profit rose to RM67.91 million from RM62.69 million recorded a year ago, while revenue jumped to RM336.68 million from RM209.28 million previously.

The property developer expects its sales momentum to continue as its first waterfront high-rise residential project on Andaman Island is on track to launch by the year-end.

E&O is confident in its offerings, with sales of The Lume, the first high-rise development on the island, receiving an encouraging response.

Meanwhile, the group said it expects an increase in hospitality revenue driven by the festive season.

E&O declared a special dividend of one sen per share with a payment date of Dec 18, 2024.