Chairman's Message

Dear Shareholders,
On behalf of the Board of Directors, I am pleased to present to you the Annual Report and Audited Financial
Statements of the Company and the Group for financial year ended 30 June 2018 ("FY2018").

Financial Performance

The Group achieved a profit before tax of RM45.6 Million for FY2018, which is higher than prior year by 29%. The higher profit was mainly due to a one time gain from the realization of an investment in a fund.

For this financial year, I am pleased to report that the Board of Directors has proposed a final single-tier exempt dividend of 5 sen per share, subject to the approval of shareholders at the upcoming Annual General Meeting.

Overview

The local economic conditions had remained challenging throughout the financial year due to the unwavering effects from the global economic slowdown. The ringgit weakening against major currencies have had a significant impact on local businesses during the financial year and continue to be of concern.

Over the years, we have developed a more disciplined and prudent approach. The Group’s businesses were able to endure these challenging times and were able to deliver the commendable results for the financial year.

The market condition is expected to remain uncertain in the near term in view of the tight credit control by banks, the large market supply of properties remaining unabated and the increasing cost of living and economic uncertainties resulting in more restrained consumer spending.

Our Board is cautiously optimistic about the financial results of the Group for the financial year ending 30 June 2019
given the challenging business environment.

Acknowledgement

On behalf of the Board, I wish to express my heartfelt appreciation to the Management and staff for their loyal and dedicated services to our Group, and to various government authorities, and agencies, bankers, valued customers, suppliers and business associates for their kind co-operation and continued support.

Finally, I wish to thank my fellow Board members for their support and the shareholders for their confidence in the Board and Management of our Group.

DATO' AHMAD JOHARI BIN TUN ABDUL RAZAK
Chairman

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