BOUSTEAD'S PROFIT AFTER TAX RM668 MILLION AMIDST CHALLENGING CLIMATE
KUALA LUMPUR, February 26, 2009
- Boustead Holdings Berhad's (Boustead) focused approach of building
on the strengths of its core Divisions proved to be a solid strategy
as the Groupís profit after tax increased to RM668 million compared
with RM655 million recorded last year. Profit attributable to shareholders
also registered a significant jump to RM579 million compared with
RM478 million a year ago.
For the period under review, earnings
per share was 91 sen (2007: 79 sen) while net assets per share were
RM4.47 (2007: RM3.75). The Group also remains committed to ensure
its investors are still able to enjoy positive yields despite the
economic outlook. As a result, the Group is maintaining its dividend
payout of 30 sen per share. To date, dividends totaling 17.5 sen have
been paid while the remaining 12.5 sen will be paid on 18 May 2009
to shareholders on the register as at 30 April 2009.
YBhg Tan Sri Dato' Lodin Wok Kamaruddin,
Group Managing Director, Boustead Holdings Berhad, said, "The
significant 22% jump in turnover to RM7 billion has indeed been
a commendable one, more so due to the challenging financial year
we have just experienced. In addition to delivering strong organic
growth to our bottom line, we also saw profit attributable to shareholders
grow by more than RM100 million. Our improved performance was due
the drop in minority interests and lower tax expenses."
The Plantation Division remained
a key contributor to the Group's revenue by registering an improved
profit of RM270 million compared with RM201 million recorded in
the previous year.
The Division recorded a higher average
selling price of RM2,794 per MT in comparison with the RM2,279 per
MT achieved in 2007, representing an increase of 23% on a year-on-year
basis. In spite of the fall in CPO prices in the second half of
the financial period, the Division still managed to achieve these
The Heavy Industries Division on
the other hand recorded a profit of RM184 million even with lower
progress billings on the vessel construction project undertaken
by Boustead Naval Shipyard Sdn Bhd.
The Group's astute foresight and
long term planning produced positive results as the Property Division
recorded a remarkable 73% jump in profit to RM147 million, its best
profit to date as compared with RM85 million last year. This was
largely due to the sale of corporate lots at the highly sought after
Mutiara Damansara development in Selangor. The Manufacturing and
Services Division also recorded a profit of RM20 million compared
with RM10 million achieved last year despite the overall slowdown
in domestic demand.
"Although the Group experienced
a difficult year, I am pleased to inform that we surpassed most
of our key performance indicators for Government Linked Companies.
The Group's Return on Equity was 22.2% versus our target of 14%.
Return on Assets was 9.7%, marginally off against the target of
11% while Dividend payout was 60% versus our target of 40%."
"While it is clear that the
financial year ahead will prove to be yet another challenging one,
we are fortunate to have diversified streams of income which will
allow us to deliver strong profits in a slowing economy. Moving
forward, the Group will stay on course to unlock the value of its
assets and seize opportunities that will see the Group's vision
of achieving progress and enhancing shareholder value come to fruition.
Hence, we are optimistic that the Group will remain resilient to
face the challenges of 2009," YBhg Tan Sri Dato' Lodin concluded.
Since its inception as a modest
trading entity more than 180 years ago, the Boustead Group has grown
by leaps and bounds to comprise more than 80 subsidiary and associate
companies, and has substantial interests in various sectors of the
Malaysian economy. The Boustead Group's operations are focused in
six key areas; plantation, heavy industries, property, finance &
investment, trading and manufacturing & services. As at 31 December
2008, Boustead Holdings Berhadís paid-up capital is RM326 million,
while its shareholders' funds stand at RM2.9 billion.
Forward looking statements
This release may contain certain
forward-looking statements with respect to the financial conditions,
results of operations and business of the Group and certain plans
and objectives of Boustead Holdings Berhad with respect to these
items. By their nature, forward-looking statements involve risk
and uncertainty because they relate to events and depend on circumstances
that will occur in the future and there are many factors that could
cause actual results and developments to differ materially from
those expressed or implied by these forward-looking statements.
on behalf of: Boustead Holdings Berhad By: acorn
communications sdn bhd
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