KUALA LUMPUR (June 25): EWI Capital Bhd (KL:EWICAP), formerly known as Eco World International Bhd, has turned to a loss in its second quarter, mainly dragged by higher impairments.

Net loss for the three months ended April 30, 2026 (2QFY2026) stood at RM30.86 million, as compared to a net profit of RM2.28 million a year earlier, according to a bourse filing on Thursday.

The loss marked the group’s fourth consecutive quarterly loss. No revenue was recognised in 2QFY2026. 

It recognised a higher impairment loss of RM13.75 million on a disposal group held for sale, namely its Australian unit holding the Macquarie Park site, as well as RM7.99 million on the amount owing by EWL Living.

On its prospects, EWI Capital said the London residential market remains challenging for developers as housing prices remain on the decline while construction prices remain elevated, placing pressure on development margins.

“With regards to the four remaining UK projects in the group’s portfolio, the Griffin Park site at Kew Bridge has obtained planning permission. The Duffy site is expected to receive permission by the end of 2026,” the group said.  

“The board is currently evaluating the feasibility of proceeding with the development of Griffin Park, while also exploring potential disposal options to accelerate monetisation,” it added.

Looking to Australia, the group said, notwithstanding near-term pressure from higher interest rates, the outlook for the Australian office market is more constructive for prime central business district assets.

The group completed its subscription into TrustCapital Australian Office Fund No 3 in 2Q2026 and will begin generating income in the near future following the completion of a commercial asset acquisition in Melbourne in May 2026, it noted.

In a separate filing, EWI Capital announced the appointment of Tee Kim Xiong as its deputy CEO, effective Friday.

Tee has extensive experience in corporate and investment banking, EWI Capital noted, with nearly 15 years of his career with CIMB Bank.

“Prior to joining the company (EWI Capital), he briefly served as the CEO of a private real estate asset management company,” it added.

Shares of EWI Capital ended half a sen or 2.63% lower at 18.5 sen, valuing the group at RM432.9 million.