TIDMIKK
RNS Number : 8115X
Inch Kenneth Kajang Rubber
21 August 2009
?
INCH KENNETH KAJANG RUBBER PUBLIC LIMITED COMPANY (990261 M)
(Incorporated in Scotland)
UNAUDITED CONDENSED CONSOLIDATED INCOME STATEMENT
FOR THE FINANCIAL YEAR ENDED 30 JUNE 2009
+-------------------------+------------+----------+----------+----------+---------+----------+------------+--+
| | Current | | Preceding Year | Current Year | Preceding |
| | Year | | Corresponding | To date | Year |
| | Quarter | | Quarter | |Corresponding |
| | | | | | Period |
+-------------------------+------------+----------+---------------------+--------------------+---------------+
| |30.06.2009 | | 30.06.2008 | 30.06.2009 | 30.06.2008 |
+-------------------------+------------+----------+---------------------+--------------------+---------------+
| | RM'000 | RM'000 | RM'000 | RM'000 |
+-------------------------+-----------------------+---------------------+--------------------+---------------+
| | | | | |
+-------------------------+-----------------------+---------------------+--------------------+---------------+
| Group Revenue | 3,330 | | 3,832 | | 5,393 | | 5,555 | |
+-------------------------+------------+----------+----------+----------+---------+----------+------------+--+
| | | | | | | | | |
+-------------------------+------------+----------+----------+----------+---------+----------+------------+--+
| Operating Expenses | (3,001) | | (2,879) | | (6,030) | | (4,789) | |
+-------------------------+------------+----------+----------+----------+---------+----------+------------+--+
| | | | | | | | | |
+-------------------------+------------+----------+----------+----------+---------+----------+------------+--+
| Other Operating Income | 30 | | 44 | | 173 | | 136 | |
+-------------------------+------------+ +----------+----------+---------+----------+------------+ +
| | | | | | | | | |
+-------------------------+------------+----------+----------+----------+---------+----------+------------+--+
| Operations Profit / | 359 | | 997 | | (464) | | 902 | |
| (Loss) | | | | | | | | |
+-------------------------+------------+----------+----------+----------+---------+----------+------------+--+
| | | | | | | | | |
+-------------------------+------------+----------+----------+----------+---------+----------+------------+--+
| Finance Costs | (230) | | (407) | | (712) | | (834) | |
+-------------------------+------------+----------+----------+----------+---------+----------+------------+--+
| | | | | | | | | |
+-------------------------+------------+----------+----------+----------+---------+----------+------------+--+
| Gain / (Loss) on | - | | - | | 563 | | - | |
| disposal of assets | | | | | | | | |
+-------------------------+------------+----------+----------+----------+---------+----------+------------+--+
| | | | | | | | | |
+-------------------------+------------+----------+----------+----------+---------+----------+------------+--+
| Share of results of | 3,626 | | 36 | | 4,012 | | (1,096) | |
| associate | | | | | | | | |
+-------------------------+------------+----------+----------+----------+---------+----------+------------+--+
| | | | | | | | | |
+-------------------------+------------+----------+----------+----------+---------+----------+------------+--+
| Profit / (Loss) Before | 3,755 | | 626 | | 3,399 | | (1,028) | |
| Tax | | | | | | | | |
+-------------------------+------------+----------+----------+----------+---------+----------+------------+--+
| | | | | | | | | |
+-------------------------+------------+----------+----------+----------+---------+----------+------------+--+
| Taxation (note 11) | - | | - | | (2) | | (5) | |
+-------------------------+------------+----------+----------+----------+---------+----------+------------+--+
| | | | | | | | | |
+-------------------------+------------+----------+----------+----------+---------+----------+------------+--+
| Profit / (Loss) After | 3,755 | | 626 | | 3,397 | | (1,033) | |
| Tax | | | | | | | | |
+-------------------------+------------+----------+----------+----------+---------+----------+------------+--+
| | | | | | | | | |
+-------------------------+------------+----------+----------+----------+---------+----------+------------+--+
| Net Profit / (Loss) for | 3,755 | | 626 | | 3,397 | | (1,033) | |
| the year | | | | | | | | |
+-------------------------+------------+----------+----------+----------+---------+----------+------------+--+
| | | | | | | | | |
+-------------------------+------------+----------+----------+----------+---------+----------+------------+--+
| | | | | | | | | |
+-------------------------+------------+----------+----------+----------+---------+----------+------------+--+
| Earnings / (Loss) Per | | | | | | | | |
| Share: | | | | | | | | |
+-------------------------+------------+----------+----------+----------+---------+----------+------------+--+
| Basic (sen) | 0.89 | | 0.10 | | 0.81 | | (0.20) | |
+-------------------------+------------+----------+----------+----------+---------+----------+------------+--+
Exchange Rate as at 30 June 2009 :
GBP1 = RM5.8592
1RM = GBP 0.1707
(The condensed consolidated income statement should be read in conjunction with
the Audited Financial Statements for the year ended 31 December 2008 and the
accompanying explanatory notes attached to the interim financial statements)
INCH KENNETH KAJANG RUBBER PUBLIC LIMITED COMPANY (990261 M)
(Incorporated in Scotland)
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS
AS AT 30 JUNE 2009
+---------------------------------------+-------+------------+---+---+-----------+--+---+
| | | 30.06.2009 | 31.12.2008 |
+---------------------------------------+-------+----------------+----------------------+
| |Notes | RM'000 | RM'000 |
+---------------------------------------+-------+----------------+----------------------+
| | | (Unaudited) | (Audited) |
+---------------------------------------+-------+----------------+----------------------+
| ASSETS | | | |
+---------------------------------------+-------+----------------+----------------------+
| | | | |
+---------------------------------------+-------+----------------+----------------------+
| Non-current assets | | | |
+---------------------------------------+-------+----------------+----------------------+
| Property, plant & equipment | 14 | 395,162 | | 396,982 | |
+---------------------------------------+-------+------------+-------+-----------+--+
| Prepaid land lease payments | | 47 | | 48 | |
+---------------------------------------+-------+------------+-------+-----------+--+
| Intangible assets - software | | 5 | | 5 | |
+---------------------------------------+-------+------------+-------+-----------+--+
| Deposits for purchases of | 16 | 54,928 | | 54,928 | |
| investments | | | | | |
+---------------------------------------+-------+------------+-------+-----------+--+
| Investment in associated | 17 | 49,085 | | 45,073 | |
| undertaking | | | | | |
+---------------------------------------+-------+------------+-------+-----------+--+
| Available-for-sale investments | 18 | 111 | | 117 | |
+---------------------------------------+-------+------------+-------+-----------+--+
| | | 499,338 | | 497,153 | |
+---------------------------------------+-------+------------+-------+-----------+--+
| Current assets | | | | | |
+---------------------------------------+-------+------------+-------+-----------+--+
| Inventories | | 197 | | 39 | |
+---------------------------------------+-------+------------+-------+-----------+--+
| Trade and other receivables | | 13,908 | | 11,806 | |
+---------------------------------------+-------+------------+-------+-----------+--+
| Deposits for purchases of | | 2,500 | | 2,500 | |
| investments | | | | | |
+---------------------------------------+-------+------------+-------+-----------+--+
| Short term deposits | | 805 | | 805 | |
+---------------------------------------+-------+------------+-------+-----------+--+
| Cash and cash equivalents | | 1,740 | | 1,471 | |
+---------------------------------------+-------+------------+-------+-----------+--+
| | | 19,150 | | 16,621 | |
+---------------------------------------+-------+------------+-------+-----------+--+
| | | | | | |
+---------------------------------------+-------+------------+-------+-----------+--+
| TOTAL ASSETS | | 518,488 | | 513,774 | |
+---------------------------------------+-------+------------+-------+-----------+--+
| | | | | | |
+---------------------------------------+-------+------------+-------+-----------+--+
| EQUITY AND LIABILITIES | | | | | |
+---------------------------------------+-------+------------+-------+-----------+--+
| Equity attributable to shareholders | | | | | |
| of the Company | | | | | |
+---------------------------------------+-------+------------+-------+-----------+--+
| Share capital | | 287,343 | | 287,343 | |
+---------------------------------------+-------+------------+-------+-----------+--+
| Share premium | | 8 | | 8 | |
+---------------------------------------+-------+------------+-------+-----------+--+
| Property revaluation reserve | | 195,367 | | 196,240 | |
+---------------------------------------+-------+------------+-------+-----------+--+
| Investment revaluation reserve | | 12,803 | | 12,807 | |
+---------------------------------------+-------+------------+-------+-----------+--+
| Retained losses | | (6,111) | | (10,381) | |
+---------------------------------------+-------+------------+-------+-----------+--+
| TOTAL EQUITY | | 489,410 | | 486,017 | |
+---------------------------------------+-------+------------+-------+-----------+--+
| | | | | | |
+---------------------------------------+-------+------------+-------+-----------+--+
| Current liabilities | | | | | |
+---------------------------------------+-------+------------+-------+-----------+--+
| Trade and other payables | | 9,054 | | 7,707 | |
+---------------------------------------+-------+------------+-------+-----------+--+
| Bank borrowings | 20 | 19,955 | | 19,955 | |
+---------------------------------------+-------+------------+-------+-----------+--+
| Finance lease creditor | | 42 | | 56 | |
+---------------------------------------+-------+------------+-------+-----------+--+
| Taxation payable | | 7 | | 5 | |
+---------------------------------------+-------+------------+-------+-----------+--+
| | | 29,058 | | 27,723 | |
+---------------------------------------+-------+------------+-------+-----------+--+
| Non-current liabilities | | | | | |
+---------------------------------------+-------+------------+-------+-----------+--+
| Deferred tax provision | | - | | - | |
+---------------------------------------+-------+------------+-------+-----------+--+
| Finance lease creditor | | 15 | | 19 | |
+---------------------------------------+-------+------------+-------+-----------+--+
| Employee entitlements | | 5 | | 15 | |
+---------------------------------------+-------+------------+-------+-----------+--+
| | | 20 | | 34 | |
+---------------------------------------+-------+------------+-------+-----------+--+
| | | | | | |
+---------------------------------------+-------+------------+-------+-----------+--+
| TOTAL LIABILITIES | | 29,078 | | 27,757 | |
+---------------------------------------+-------+------------+-------+-----------+--+
| | | | | | |
+---------------------------------------+-------+------------+-------+-----------+--+
| TOTAL EQUITY AND LIABILITIES | | 518,488 | | 513,774 | |
+---------------------------------------+-------+------------+-------+-----------+--+
| | | | | | |
+---------------------------------------+-------+------------+-------+-----------+--+
| Net Assets per share | | 1.16 | | 1.16 | |
+---------------------------------------+-------+------------+-------+-----------+--+
| | | | | | |
+---------------------------------------+-------+------------+---+---+-----------+--+---+
(The condensed consolidated balance sheets should be read in conjunction with
the Audited Financial Statements for the year ended 31 December 2008 and the
accompanying explanatory notes attached to the interim financial statements)
INCH KENNETH KAJANG RUBBER PUBLIC LIMITED COMPANY (990261 M)
(Incorporated in Scotland)
UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE FINANCIAL YEAR ENDED 30 JUNE 2009
+----------------------+---------+---------+-------------+-------------+----------+---------+
| | Share | Share | Property | Investment |Retained | Total |
+----------------------+---------+---------+-------------+-------------+----------+---------+
| |Capital |Premium |Revaluation |Revaluation | Losses | Equity |
+----------------------+---------+---------+-------------+-------------+----------+---------+
| | | | Reserve | Reserve | | |
+----------------------+---------+---------+-------------+-------------+----------+---------+
| | RM'000 | RM'000 | RM'000 | RM'000 | RM'000 | RM'000 |
+----------------------+---------+---------+-------------+-------------+----------+---------+
| | | | | | | |
+----------------------+---------+---------+-------------+-------------+----------+---------+
| 6 Months Quarter | | | | | | |
| Ended | | | | | | |
+----------------------+---------+---------+-------------+-------------+----------+---------+
| 30 June 2009 | | | | | | |
+----------------------+---------+---------+-------------+-------------+----------+---------+
| | | | | | | |
+----------------------+---------+---------+-------------+-------------+----------+---------+
| At 01 January 2009 | 287,343 | 8 | 196,240 | 12,807 | (10,381) | 486,017 |
+----------------------+---------+---------+-------------+-------------+----------+---------+
| | | | | | | |
+----------------------+---------+---------+-------------+-------------+----------+---------+
| Surplus/(Deficit) on | | | | | |
| revaluation of investments: | | | | | |
+--------------------------------+---------+-------------+-------------+----------+---------+
| - Group's | - | - | - | (4) | - | (4) |
| available-for-sale | | | | | | |
| investments | | | | | | |
+----------------------+---------+---------+-------------+-------------+----------+---------+
| | | | | | | |
+----------------------+---------+---------+-------------+-------------+----------+---------+
| - Impairment of | - | - | - | - | - | - |
| goodwill relating to | | | | | | |
| associate | | | | | | |
+----------------------+---------+---------+-------------+-------------+----------+---------+
| | | | | | | |
+----------------------+---------+---------+-------------+-------------+----------+---------+
| Realised revaluation | | | (873) | | 873 | |
| surplus on disposal | | | | | | |
+----------------------+---------+---------+-------------+-------------+----------+---------+
| | | | | | | |
+----------------------+---------+---------+-------------+-------------+----------+---------+
| Profit / (Loss) for | - | - | - | - | 3,397 | 3,397 |
| the year | | | | | | |
+----------------------+---------+---------+-------------+-------------+----------+---------+
| | | | | | | |
+----------------------+---------+---------+-------------+-------------+----------+---------+
| At 30 June 2009 | 287,343 | 8 | 195,367 | 12,803 | (6,111) | 489,410 |
+----------------------+---------+---------+-------------+-------------+----------+---------+
| | | | | | | |
+----------------------+---------+---------+-------------+-------------+----------+---------+
| | | | | | | |
+----------------------+---------+---------+-------------+-------------+----------+---------+
| 6 Months Quarter | | | | | | |
| Ended | | | | | | |
+----------------------+---------+---------+-------------+-------------+----------+---------+
| 30 June 2008 | | | | | | |
+----------------------+---------+---------+-------------+-------------+----------+---------+
| | | | | | | |
+----------------------+---------+---------+-------------+-------------+----------+---------+
| At 01 January 2008 | 287,343 | 8 | 248,660 | 13,093 | (8,841) | 540,263 |
+----------------------+---------+---------+-------------+-------------+----------+---------+
| | | | | | | |
+----------------------+---------+---------+-------------+-------------+----------+---------+
| Surplus/(Deficit) on | | | | | |
| revaluation of investments: | | | | | |
+--------------------------------+---------+-------------+-------------+----------+---------+
| - Group's | - | - | - | (58) | - | (58) |
| available-for-sale | | | | | | |
| investments | | | | | | |
+----------------------+---------+---------+-------------+-------------+----------+---------+
| | | | | | | |
+----------------------+---------+---------+-------------+-------------+----------+---------+
| (Loss) / Profit for | - | - | - | - | (1,033) | (1,033) |
| the year | | | | | | |
+----------------------+---------+---------+-------------+-------------+----------+---------+
| | | | | | | |
+----------------------+---------+---------+-------------+-------------+----------+---------+
| At 30 June 2008 | 287,343 | 8 | 248,660 | 13,035 | (9,874) | 539,172 |
+----------------------+---------+---------+-------------+-------------+----------+---------+
(The condensed consolidated statement of changes in equity should be read in
conjunction with the Audited Financial Statements for the year ended 31 December
2008 and the accompanying explanatory notes attached to the interim financial
statements)
INCH KENNETH KAJANG RUBBER PUBLIC LIMITED COMPANY (990261 M)
(Incorporated in Scotland)
UNAUDITED CONDENSED CONSOLIDATED CASH FLOW STATEMENTS
FOR THE FINANCIAL YEAR ENDED 30 JUNE 2009
+--------------------------------------------+----------+---+------------------------+---+
| |Current Year | Preceding |
| | Ended | Year Ended |
+--------------------------------------------+--------------+----------------------------+
| | 30.06.2009 | 30.06.2008 |
+--------------------------------------------+--------------+----------------------------+
| | RM'000 | RM'000 |
+--------------------------------------------+--------------+----------------------------+
| | | |
+--------------------------------------------+--------------+----------------------------+
| | | |
+--------------------------------------------+--------------+----------------------------+
| Cash flows from operating activities | | |
+--------------------------------------------+--------------+----------------------------+
| (Loss)/profit before tax | 3,399 | | (1,028) | |
+--------------------------------------------+----------+---+------------------------+---+
| | | | | |
+--------------------------------------------+----------+---+------------------------+---+
| Adjustments for non-cash items : | | | | |
+--------------------------------------------+----------+---+------------------------+---+
| Non-cash items | 3,185 | | 420 | |
+--------------------------------------------+----------+---+------------------------+---+
| (Gain) / Loss on disposal of land | (563) | | - | |
+--------------------------------------------+----------+---+------------------------+---+
| Provision for Interest | | | 829 | |
+--------------------------------------------+----------+---+------------------------+---+
| Share of results of associate | (4,012) | | 1,096 | |
+--------------------------------------------+----------+---+------------------------+---+
| Operating loss before changes in working | 2,009 | | 1,317 | |
| capital | | | | |
+--------------------------------------------+----------+---+------------------------+---+
| | | | | |
+--------------------------------------------+----------+---+------------------------+---+
| | | | | |
+--------------------------------------------+----------+---+------------------------+---+
| Changes in working capital: | | | | |
+--------------------------------------------+----------+---+------------------------+---+
| Net change in current assets | (2,360) | | 1,070 | |
+--------------------------------------------+----------+---+------------------------+---+
| Net change in current liabilities | 1,333 | | (439) | |
+--------------------------------------------+----------+---+------------------------+---+
| | | | | |
+--------------------------------------------+----------+---+------------------------+---+
| Tax paid | (2) | | (72) | |
+--------------------------------------------+----------+---+------------------------+---+
| | | | | |
+--------------------------------------------+----------+---+------------------------+---+
| Net cash generated from/(used in) | 980 | | 1,876 | |
| operating activities | | | | |
+--------------------------------------------+----------+---+------------------------+---+
| | | | | |
+--------------------------------------------+----------+---+------------------------+---+
| Investing activities | | | | |
+--------------------------------------------+----------+---+------------------------+---+
| Disposal of available-for-sale investments | - | | - | |
+--------------------------------------------+----------+---+------------------------+---+
| Purchases of available-for-sale | - | | 213 | |
| investments | | | | |
+--------------------------------------------+----------+---+------------------------+---+
| Purchases of shares in associated | - | | (6) | |
| undertaking | | | | |
+--------------------------------------------+----------+---+------------------------+---+
| Payment to acquire property, plant and | - | | (66) | |
| equipment | | | | |
+--------------------------------------------+----------+---+------------------------+---+
| Payments to acquire tangible fixed | | | - | |
| assets | | | | |
+--------------------------------------------+----------+---+------------------------+---+
| | | | | |
+--------------------------------------------+----------+---+------------------------+---+
| Net cash generated from/(used | - | | 141 | |
| in) investing activities | | | | |
+--------------------------------------------+----------+---+------------------------+---+
| | | | | |
+--------------------------------------------+----------+---+------------------------+---+
| Financing activities | | | | |
+--------------------------------------------+----------+---+------------------------+---+
| Repayment of finance leases | (4) | | (688) | |
+--------------------------------------------+----------+---+------------------------+---+
| Proceeds from bank borrowings | - | | - | |
+--------------------------------------------+----------+---+------------------------+---+
| Repayments of bank borrowings | (707) | | (2,500) | |
+--------------------------------------------+----------+---+------------------------+---+
| | | | | |
+--------------------------------------------+----------+---+------------------------+---+
| Net cash generated from/(used in) | (711) | | (3,188) | |
| financing activities | | | | |
+--------------------------------------------+----------+---+------------------------+---+
| | | | | |
+--------------------------------------------+----------+---+------------------------+---+
| Increase/(decrease) in cash and cash | 269 | | (1,171) | |
| equivalents | | | | |
+--------------------------------------------+----------+---+------------------------+---+
| | | | | |
+--------------------------------------------+----------+---+------------------------+---+
| Cash and cash equivalents at 1 January | 1,471 | | 3,771 | |
+--------------------------------------------+----------+---+------------------------+---+
| | | | | |
+--------------------------------------------+----------+---+------------------------+---+
| Cash and cash equivalents at 30 June | 1,740 | | 2,600 | |
+--------------------------------------------+----------+---+------------------------+---+
(The condensed consolidated cash flow statements should be read in conjunction
with the Audited Financial Statements for the year ended 31 December 2008 and
the accompanying explanatory notes attached to the interim financial statements)
INCH KENNETH KAJANG RUBBER PUBLIC LIMITED COMPANY (990261 M)
NOTES TO THE UNAUDITED FINANCIAL INFORMATION
FOR THE PERIOD ENDED 30 JUNE 2009
1. Basis of preparation and accounting policies
1.1 Reporting entity
Inch Kenneth Kajang Rubber plc ("the Company") is a company incorporated in
Scotland with its registered office at 7 Castle Street, Edinburgh EH2 3AP,
Scotland. The principal operating office is at 22nd Floor Menara Promet, Jalan
Sultan Ismail, 50250 Kuala Lumpur, Malaysia. All of the operations of the
Company and its subsidiaries are located within Malaysia.
The consolidated unaudited financial information of the Company as at 30 June
2009 includes the Company, its subsidiaries and its interest in an associated
undertaking (together referred to as the "Group").
1.2 Basis of preparation
The unaudited financial information has been prepared on a going concern basis
and in accordance with International Financial Reporting Standards, as adopted
by the European Union ("IFRS"), including IAS34 Interim Financial Reporting. The
financial information has been prepared under the historical cost convention
using a fair value measurement of available-for-sale investments and freehold
estate lands. The financial information is also presented to comply in all
material respects of the requirement of the Malaysian FRS 134 Interim Financial
Reporting and Chapter 9 of the Bursa Malaysia Listing Requirements.
The unaudited quarterly consolidated financial information to 30 June 2009
included in this Announcement has been prepared by applying accounting policies
consistent with those used in the preparation of the most recent audited
financial statements of the Group, being for the year ended 31 December 2008.
The consolidated financial statements of the Group for the year ended 31
December 2008 are available at Bursa Malaysia website, the Company's registered
office in Scotland and its operating office in Malaysia.
1.3 Non-statutory accounts
The financial information contained in this report does not constitute full
statutory accounts within the meaning of Section 240 of the United Kingdom's
Companies Act 1985.
1.4 Independent auditors' report of preceding financial year
ended 31 December 2008
There was no qualification made on the preceding audited financial statements.
1.5 Approval by Board of Directors
This consolidated interim financial information was approved by the board of
Directors on 8 August 2009.
2.Review of performance
The Group's turnover was RM5.393 million for the cumulative quarter ended
30 June 2009 as compared to RM5.555 million for the corresponding quarter in
preceding year. The reduction was mainly due to drop in the plantation revenue
as CPO price is lower.
The revenue of the associate's company, Concrete Engineering Products Berhad
("Cepco") for the cumulative quarter ended 30 June 2009 was also lower from
RM115.241 million (24.65% shareholding : RM28.4 million) to RM105.2 million
(24.65% shareholding : RM25.9 million). This is due to slowdown of construction
industry during the year compared to last year.
The Group's operating profit for the year ended 30 June 2009 was RM3.399 million
as compared to a loss of RM1.033 million for the corresponding year ended
30 June 2008. This is due to the higher share of profit in associate as
compared to last year.
3.Comparison with preceding quarter
Similarly, for the quarter under review, the Group recorded a pre-tax profit of
RM3.755 million for the current quarter under review compared to a pre-tax
profit of RM0.356 million in the 1st Quarter 31 March 2009. This is mainly due
to higher share of profit in associate as compared to last quarter .
4.Commentary on prospects
The world economy remains uncertain since the wake of the global financial
crisis. The Group expects a slight decrease in its turnover due to the lower
prices of crude palm oil and also the slower activity in the construction
industry. However, notwithstanding the current economic situation, the Board
will try its best to at least maintain previous year's performance.
The Company is in final discussions with a few parties to dispose of its 600
acres of land near Bangi, next to the Alam Sari property development project by
Island & Peninsular Berhad. The Group has earmarked the sales proceeds for new
plantations in Indonesia, Sabah and Sarawak, both green field and brown field,
to replace its current plantations in Kajang and Bangi.
The proceeds will also be used to venture into property development at the land
bank in Kajang of approximately 350 acres, with an estimated gross development
value of approximately RM1.2 billion to RM1.5 billion. This piece of land is
ready for development as it is linked to Seremban, to the South, Putrajaya, to
the West as well as Cheras and Kuala Lumpur to the North. However the timing
will largely depend upon the stabilisation of the property market.
Our expansion in the tourism sector has also begun to show its results and we
hope that this will continue in the next few years.
5.Comparison with profit forecasts
As the Group does not issue profit forecasts no comparison can be made.
6.Changes in composition of the group
There were no changes in the composition of the Group during the financial
period under review.
7.Status of corporate proposals
There are no corporate proposals that have been announced but not completed as
at the date of this announcement.
8.Seasonal or cyclical factors
The performance of the Group was not subject to any seasonal or cyclical
fluctuations.
9.Material changes in estimates
There were no material changes in accounting estimates of amounts, reported in
prior interim periods of the current financial year or in prior financial year
that have a material effect in the current quarter.
10.Segmental reporting
Segmental reporting for the period ended 30 June 2009 is as follows:-
+------------------+------------+---------+-------------+---------+------------+--------+
| |Plantation |Tourism | Property |Trading |Investment | Total |
| | | |development | | | |
| | | | & leasing | | | |
+------------------+------------+---------+-------------+---------+------------+--------+
| | RM'000 | RM'000 | RM'000 | RM'000 | RM'000 |RM'000 |
+------------------+------------+---------+-------------+---------+------------+--------+
| Revenue : | | | | | | |
+------------------+------------+---------+-------------+---------+------------+--------+
| Sales to | 1,572 | 2,736 | - | 1,085 | - | 5,393 |
| external | | | | | | |
| customers | | | | | | |
+------------------+------------+---------+-------------+---------+------------+--------+
| | | | | | | |
+------------------+------------+---------+-------------+---------+------------+--------+
| (Loss)/profit | | | | | | |
| for year: | | | | | | |
+------------------+------------+---------+-------------+---------+------------+--------+
| Operating | (432) | 523 | - | 10 | - | 101 |
| (losses)/profits | | | | | | |
+------------------+------------+---------+-------------+---------+------------+--------+
| Net finance | | (4) | - | | (708) | (712) |
| costs | | | | | | |
+------------------+------------+---------+-------------+---------+------------+--------+
| Share of | - | - | - | - | 4,012 | 4,012 |
| results of | | | | | | |
| associate | | | | | | |
+------------------+------------+---------+-------------+---------+------------+--------+
| Taxation | - | (2) | - | - | - | (2) |
+------------------+------------+---------+-------------+---------+------------+--------+
| | | | | | | |
+------------------+------------+---------+-------------+---------+------------+--------+
| (Loss)/profit | (432) | 517 | - | 10 | 3,304 | 3,399 |
| for the year | | | | | | |
+------------------+------------+---------+-------------+---------+------------+--------+
As at 30 June 2009, the revenue of our associate company, Cepco is RM115.41
million (2008 : RM105.2 million).
11.Taxation
+--------------------------------------+------------+--+---+-----------+--+
| | Current | | Cumulative |
+--------------------------------------+---------------+---+--------------+
| |Quarter Ended | |Year To-Date |
+--------------------------------------+---------------+---+--------------+
| | 30/06/09 | | 30/06/08 |
+--------------------------------------+---------------+---+--------------+
| | RM'000 | | RM'000 |
+--------------------------------------+---------------+---+--------------+
| | | | |
+--------------------------------------+---------------+---+--------------+
| Corporation taxation | (2) | | | (5) | |
+--------------------------------------+------------+--+---+-----------+--+
| Deferred taxation | - | | | - | |
+--------------------------------------+------------+--+---+-----------+--+
| | (2) | | | (5) | |
+--------------------------------------+------------+--+---+-----------+--+
| | | | | | |
+--------------------------------------+------------+--+---+-----------+--+
The Group is liable to corporation tax in Malaysia and is not subject to United
Kingdom corporation tax.
12.Earnings/(loss) per share
The basic and diluted earnings per share has been calculated using the Group's
profit for the financial year ended 30 June 2009 of RM3.397 million (loss for
the period ended 30 June 2008: RM1.033 million) and the weighted average number
of shares in issue of 420,750,000 (2007: 420,750,000). The Company does not have
any outstanding share options or other potentially dilutive financial
instruments currently in issue.
13.Dividends proposed and paid
No dividends were proposed or paid during the current financial period under
review.
14.Property, plant & equipment
+---------------------------+----------+-----------+---------+----------+
| |Freehold |Buildings | Others | Total |
+---------------------------+----------+-----------+---------+----------+
| | lands | | | |
+---------------------------+----------+-----------+---------+----------+
| | RM'000 | RM'000 | RM'000 | RM'000 |
+---------------------------+----------+-----------+---------+----------+
| | | | | |
+---------------------------+----------+-----------+---------+----------+
| Cost | | | | |
+---------------------------+----------+-----------+---------+----------+
| At 1 January 2009 | 390,830 | 14,464 | 5,834 | 411,128 |
+---------------------------+----------+-----------+---------+----------+
| Additions | - | - | - | - |
+---------------------------+----------+-----------+---------+----------+
| Disposal | (1,438) | - | - | (1,438) |
+---------------------------+----------+-----------+---------+----------+
| Revaluations | - | - | - | - |
+---------------------------+----------+-----------+---------+----------+
| | | | | |
+---------------------------+----------+-----------+---------+----------+
| At 30 June 2009 | 389,392 | 14,464 | 5,834 | 409,690 |
+---------------------------+----------+-----------+---------+----------+
| | | | | |
+---------------------------+----------+-----------+---------+----------+
| Accumulated depreciation | | | | |
+---------------------------+----------+-----------+---------+----------+
| At 1 January 2009 | - | 9,019 | 5,127 | 14,146 |
+---------------------------+----------+-----------+---------+----------+
| Charge for year | - | 339 | 43 | 382 |
+---------------------------+----------+-----------+---------+----------+
| | | | | |
+---------------------------+----------+-----------+---------+----------+
| At 30 June 2009 | - | 9,358 | 5,170 | 14,528 |
+---------------------------+----------+-----------+---------+----------+
| | | | | |
+---------------------------+----------+-----------+---------+----------+
| Net book value | | | | |
+---------------------------+----------+-----------+---------+----------+
| At 30 June 2009 | 389,392 | 5,106 | 664 | 395,162 |
+---------------------------+----------+-----------+---------+----------+
| | | | | |
+---------------------------+----------+-----------+---------+----------+
| At 31 December 2008 | 390,830 | 5,445 | 707 | 396,982 |
+---------------------------+----------+-----------+---------+----------+
| | | | | |
+---------------------------+----------+-----------+---------+----------+
15.Carrying amount of property, plant and equipment
The Group's freehold lands were valued in February and March 2009 by JB
Jurunilai Bersekutu, International Assets Consultants, independent valuers,
using the open market basis method. The total valuation of the lands is
RM390.830 million.
The Group's lands are currently being used for the Group's plantation activities
for growing and selling of oil palm fresh fruit bunches. The Group has been
given consent for the change of use of the lands. Further commentary on the
Group's plans for its land is shown above in note 4.
16.Deposits for purchases of investments
The deposits for purchases of investments of RM57.428 million, represent amounts
paid to vendors for deposits for the purchase of shares of three companies. The
Group has options to complete the acquisitions of those companies. The decision
on whether to complete the acquisitions will depend on the outcome of due
diligence investigations on the companies to be acquired which are expected to
be completed in the foreseeable future. These deposits are refundable in full if
the Group does not proceed with these acquisitions. During 2008, the Directors
decided not to proceed with two of the acquisitions. The deposits for these two
purchases, amounting to RM2.5 million have been reclassified to current assets
with the remaining RM54.928 million shown in non-current assets.
17.Investment in associated undertaking
The Group's investment in associated undertaking represents a 24.65% interest in
Concrete Engineering Products Berhad ("CEPCO"), a public company incorporated in
Malaysia. The principal activity of CEPCO is the manufacture and distribution of
prestressed spun concrete piles and poles. The Group's investment in the CEPCO
is accounted for under the equity accounting method as follows:
+----------------------------------------------------+-------------+
| | |
| | 30 June |
| | 2009 |
+----------------------------------------------------+-------------+
| | |
| | RM'000 |
+----------------------------------------------------+-------------+
| Shares | |
+----------------------------------------------------+-------------+
| At 1 January 2009 | 48,126 |
+----------------------------------------------------+-------------+
| Reclassification | - |
+----------------------------------------------------+-------------+
| Purchase of shares in CEPCO in year | - |
+----------------------------------------------------+-------------+
| | |
+----------------------------------------------------+-------------+
| At 30 June 2009 | 48,126 |
+----------------------------------------------------+-------------+
| | |
+----------------------------------------------------+-------------+
| Share of retained profits/(losses) | |
+----------------------------------------------------+-------------+
| At 1 January 2009 | 274 |
+----------------------------------------------------+-------------+
| Share of profit / (loss) for 2009 | 4,012 |
+----------------------------------------------------+-------------+
| | |
+----------------------------------------------------+-------------+
| At 30 June 2009 | 4,286 |
+----------------------------------------------------+-------------+
| | |
+----------------------------------------------------+-------------+
| Impairment of goodwill | |
+----------------------------------------------------+-------------+
| At 1 January 2009 | (3,327) |
+----------------------------------------------------+-------------+
| Impairment 2009 | - |
+----------------------------------------------------+-------------+
| | |
+----------------------------------------------------+-------------+
| At 30 June 2009 | (3,327) |
+----------------------------------------------------+-------------+
| | |
+----------------------------------------------------+-------------+
| Net book value | |
+----------------------------------------------------+-------------+
| At 30 June 2009 | 49,085 |
+----------------------------------------------------+-------------+
| | |
+----------------------------------------------------+-------------+
| At 31 December 2008 | 45,073 |
+----------------------------------------------------+-------------+
| | |
+----------------------------------------------------+-------------+
The Group's share of the net assets of CEPCO as at 30 June 2009
comprised:
+--------------------------------------------------------------------------------------+
| 30 June 2009 |
+--------------------------------------------------------------------------------------+
| |
| RM000 |
+--------------------------------------------------------------------------------------+
+---------------------------------------------------------------------+-----------------+
| Share of assets | |
+---------------------------------------------------------------------+-----------------+
| Share of non-current assets | 14,109 |
+---------------------------------------------------------------------+-----------------+
| Share of current assets | 26,264 |
+---------------------------------------------------------------------+-----------------+
| | |
+---------------------------------------------------------------------+-----------------+
| | 40,373 |
+---------------------------------------------------------------------+-----------------+
| | |
+---------------------------------------------------------------------+-----------------+
| Share of liabilities | |
+---------------------------------------------------------------------+-----------------+
| Share of non-current liabilities | (3,037) |
+---------------------------------------------------------------------+-----------------+
| Share of current liabilities | (20,127) |
+---------------------------------------------------------------------+-----------------+
| | |
+---------------------------------------------------------------------+-----------------+
| | (23,164) |
+---------------------------------------------------------------------+-----------------+
| | |
+---------------------------------------------------------------------+-----------------+
| Share of net assets | 17,209 |
+---------------------------------------------------------------------+-----------------+
| Goodwill (net of impairment) arising on the acquisition of CEPCO | 31,876 |
+---------------------------------------------------------------------+-----------------+
| | |
+---------------------------------------------------------------------+-----------------+
| Carrying value of associate | 49,085 |
+---------------------------------------------------------------------+-----------------+
The group's share of the results of CEPCO for the year ended 30 June 2009 was as
follows:
+-----------------------------------------------------+-------------+
| | |
| | 30 June |
| | 2009 |
+-----------------------------------------------------+-------------+
| | RM'000 |
+-----------------------------------------------------+-------------+
| | |
+-----------------------------------------------------+-------------+
| Share of revenue | 28,407 |
+-----------------------------------------------------+-------------+
| | |
+-----------------------------------------------------+-------------+
| Share of operating profits | 5,387 |
+-----------------------------------------------------+-------------+
| Share of finance costs | (341) |
+-----------------------------------------------------+-------------+
| Share of taxation | (1,034) |
+-----------------------------------------------------+-------------+
| | |
+-----------------------------------------------------+-------------+
| Share of (loss)/profits for the year - included in | (4,012) |
| Group income statement | |
+-----------------------------------------------------+-------------+
18.Available-for-sale investments
+----------------------------------------+------------+--+------------+
| | 30 June | | 30 June |
| | 2009 | | 2008 |
+----------------------------------------+------------+--+------------+
| Quoted shares: | RM'000 | | RM'000 |
+----------------------------------------+------------+--+------------+
| | | | |
+----------------------------------------+------------+--+------------+
| Balance b/f | 117 | | 534 |
+----------------------------------------+------------+--+------------+
| Purchase of investments | - | | - |
+----------------------------------------+------------+--+------------+
| Disposal of investments | - | | (131) |
+----------------------------------------+------------+--+------------+
| Impairment of investments | - | | - |
+----------------------------------------+------------+--+------------+
| Fair value adjustments | (6) | | (58) |
+----------------------------------------+------------+--+------------+
| | | | |
+----------------------------------------+------------+--+------------+
| Balance c/f - fair values | 111 | | 345 |
+----------------------------------------+------------+--+------------+
| | | | |
+----------------------------------------+------------+--+------------+
19.Profit/(loss) on sale of unquoted investments and/or properties
There were no sales of unquoted investments and/or properties outside the
ordinary course of business of the Group for the period under review.
20.Group borrowings
+----------------------------------------+------------+--+-----------+
| | 30 June | | 30 June |
| | 2009 | | 2008 |
+----------------------------------------+------------+--+-----------+
| | RM'000 | | RM'000 |
+----------------------------------------+------------+--+-----------+
| | | | |
+----------------------------------------+------------+--+-----------+
| Short term revolving bank borrowing - | 19,955 | | 21,365 |
| secured | | | |
+----------------------------------------+------------+--+-----------+
| Borrowings in foreign currency | - | | - |
+----------------------------------------+------------+--+-----------+
| | | | |
+----------------------------------------+------------+--+-----------+
| | | | |
+----------------------------------------+------------+--+-----------+
| | 19,955 | | 21,365 |
+----------------------------------------+------------+--+-----------+
21.Off balance sheet financial instruments
During the period under review, the Group has not entered into any contract
involving off balance sheet financial instruments.
22.Debt and equity securities
On 25 June 2009 the Company obtained approval from its shareholders for the
renewal of the proposed purchase of up to ten percent (10%) of the issued and
paid-up share capital of the Company. However, there was no purchase of its own
shares for this quarter or the financial year.
There were no other issues or repayments of debt securities or equity
securities, share cancellations, share held as treasury shares and re-sales of
treasury shares, since the last annual financial statements.
23.Changes in contingent liabilities or contingent assets
There have been no changes in contingent liabilities or contingent assets since
the last annual balance sheet date.
24.Material litigation
There was no material litigation against the Group for the period under review.
25.Significant events during and after the year end
No significant events occurred during or after the period under review.
This information is provided by RNS
The company news service from the London Stock Exchange
END
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