KESM Industries Berhad : Financial Results - 2nd Quarter Ended 31 Jan 2017

Financial Results (v12) RELEASED

Created by EPSILON ADVISORY SERVICES SDN BHD ­ COMMON 4 on 06

Reference No. FRA­06032017­00001

Mar 2017 at 5:21:29 PM

Submitted by EPSILON ADVISORY SERVICES SDN BHD on 09 Mar 2017 at

5:18:32 PM

COMPANY INFORMATION SECTION
Announcement Type	New Announcement Amended Announcement
Company Name	KESM INDUSTRIES BERHAD
Stock Name	KESM
Stock Code	9334
Board	Main Market
Submitting Secretarial Firm	EPSILON ADVISORY SERVICES SDN BHD

CONTACT DETAIL
Contact Person	Designation	Contact No	Email Address
EPSILON ADVISORY SERVICES SDN BHD	012­3885312	[e-mail]
Leong Oi Wah	Secretary	03­78031126	[e-mail]

MAIN
General Information
Financial Year End	31 Jul 2017
Quarter	2 Qtr
Quarterly report for the financial period ended	31 Jan 2017
The figures	have not been audited
Remarks
Please attach the full Quarterly Report here

No File Name	Size
1 KESMI­ Q2FY2017.pdf	71.2KB

DEFAULT CURRENCY

Currency	Malaysian Ringgit (MYR)
Part A2 : SUMMARY OF KEY FINANCIAL INFORMATION
Summary of the Key Financial Information for the financial period ended	31 Jan 2017
INDIVIDUAL PERIOD		CUMULATIVE PERIOD
CURRENT YEAR QUARTER	PRECEDING YEAR CORRESPONDING QUARTER	CURRENT YEAR TO DATE	PRECEDING YEAR CORRESPONDING PERIOD
31 Jan 2017	31 Jan 2016	31 Jan 2017	31 Jan 2016
[dd/mm/yyyy] $$'000	[dd/mm/yyyy] $$'000	[dd/mm/yyyy] $$'000	[dd/mm/yyyy] $$'000
1. Revenue	83,115	70,259	163,227	140,438
2. Profit/(loss) before Tax	11,602	7,809	22,774	17,648
3. Profit/(loss) for the period	9,975	6,999	19,987	15,065
4. Profit/(loss) attributable to ordinary equity holders of the parent	9,975	6,999	19,987	15,065
5. Basic earnings/(loss) per share (Subunit)	23.20	16.30	46.50	35.00
6. Proposed/Declared dividend per share (Subunit)	0.00	0.00	0.00	0.00
AS AT END OF CURRENT QUARTER		AS AT PRECEDING FINANCIAL YEAR END
7. Net assets per share attributable to ordinary equity holders of the parent ($$)	7.1534		6.6655

Remarks
In a currency system, there is usually a main unit (base) and subunit that is a fraction amount of the main unit. Example for the subunit as follows:
Part A3 : ADDITIONAL INFORMATION (This Information is for Exchange's Internal Use only)
INDIVIDUAL PERIOD		CUMULATIVE PERIOD
CURRENT YEAR QUARTER	PRECEDING YEAR CORRESPONDING QUARTER	CURRENT YEAR TO DATE	PRECEDING YEAR CORRESPONDING PERIOD
31 Jan 2017	31 Jan 2016	31 Jan 2017	31 Jan 2016
[dd/mm/yyyy] $$'000	[dd/mm/yyyy] $$'000	[dd/mm/yyyy] $$'000	[dd/mm/yyyy] $$'000
1. Gross interest income	665	549	1,302	992
2. Gross interest expense	540	793	994	1,692
Remarks

Country	Base unit	Subunit
Malaysia	Ringgit	Sen
United States	Dollar	Cent
United Kingdom	Pound	Pence

Country	Base unit	Subunit
Malaysia	Ringgit	Sen
United States	Dollar	Cent
United Kingdom	Pound	Pence

OTHER CURRENCY

Other Currency
Part A2 : SUMMARY OF KEY FINANCIAL INFORMATION
Summary of the Key Financial Information for the financial period ended	31 Jan 2017
INDIVIDUAL PERIOD		CUMULATIVE PERIOD
CURRENT YEAR QUARTER	PRECEDING YEAR CORRESPONDING QUARTER	CURRENT YEAR TO DATE	PRECEDING YEAR CORRESPONDING PERIOD
[dd/mm/yyyy] $$'000	[dd/mm/yyyy] $$'000	[dd/mm/yyyy] $$'000	[dd/mm/yyyy] $$'000
1. Revenue
2. Profit/(loss) before Tax
3. Profit/(loss) for the period
4. Profit/(loss) attributable to ordinary equity holders of the parent
5. Basic earnings/(loss) per share (Subunit)
6. Proposed/Declared dividend per share (Subunit)
AS AT END OF CURRENT QUARTER		AS AT PRECEDING FINANCIAL YEAR END
7. Net assets per share attributable to ordinary equity holders of the parent ($$)
Remarks
In a currency system, there is usually a main unit (base) and subunit that is a fraction amount of the main unit. Example for the subunit as follows:
Part A3 : ADDITIONAL INFORMATION (This Information is for Exchange's Internal Use only)
INDIVIDUAL PERIOD		CUMULATIVE PERIOD
CURRENT YEAR QUARTER	PRECEDING YEAR CORRESPONDING QUARTER	CURRENT YEAR TO DATE	PRECEDING YEAR CORRESPONDING PERIOD
[dd/mm/yyyy] $$'000	[dd/mm/yyyy] $$'000	[dd/mm/yyyy] $$'000	[dd/mm/yyyy] $$'000
1. Gross interest income
2. Gross interest expense
Remarks

UNAUDITED SECOND QUARTERLY REPORT ON CONSOLIDATED RESULTS FOR THE FINANCIAL QUARTER ENDED 31 JANUARY 2017

The Board of Directors is pleased to announce the following unaudited results of the Group for the financial quarter ended 31 January 2017.

CONDENSED CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME FOR THE QUARTER ENDED 31 JANUARY 2017

INDIVIDUAL PERIOD CUMULATIVE PERIOD CURRENT YEAR PRECEDING YEAR CURRENT PRECEDING YEAR

QUARTER CORRESPONDING YEAR-TO-DATE CORRESPONDING QUARTER YEAR-TO-DATE

(31/01/2017) (31/01/2016) (31/01/2017) (31/01/2016) RM'000 RM'000 RM'000 RM'000

Revenue Other items of income	83,115	70,259	163,227	140,438
Interest income	665	549	1,302	992
Dividend income	18	40	36	58
Other income	259	479	608	1,456
Items of expense Raw materials and	(10,001)	(9,002)	(17,117)	(17,075)

consumables used

Changes in work-in-progress 817 469 641 353

and finished goods

Employee benefits expense *	(27,557)	(23,930)	(56,917)	(47,381)
Depreciation of property,	(16,012)	(13,446)	(30,668)	(27,711)
plant and equipment
Finance costs	(540)	(793)	(994)	(1,692)
Other expenses *	(19,162)	(16,816)	(37,344)	(31,790)
Profit before tax	11,602	7,809	22,774	17,648
Income tax expense	(1,627)	(810)	(2,787)	(2,583)
Profit net of tax	9,975	6,999	19,987	15,065
Other comprehensive income:
Foreign currency translation	1,002	(3,507)	2,290	942
Other comprehensive income for the period, net of tax	1,002	(3,507)	2,290	942
Total comprehensive income
for the period	10,977	3,492	22,277	16,007

Profit attributable to:

Owners of the Company 9,975 6,999 19,987 15,065

Total comprehensive income attributable to:

Owners of the Company 10,977 3,492 22,277 16,007

Earnings per share attributable to

owners of the Company (sen per share):

- Basic 23.2 16.3 46.5 35.0

* Comparative figures have been restated to conform with current year's presentation.

The condensed consolidated statement of comprehensive income should be read in conjunction with the audited financial statements for the financial year ended 31 July 2016 and the accompanying explanatory notes attached to the interim financial statements.

CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION AS AT 31 JANUARY 2017

AS AT END OF CURRENT QUARTER	AS AT PRECEDING FINANCIAL YEAR END
31/01/2017	31/07/2016
RM'000	RM'000
ASSETS
Non-current assets Property, plant and equipment	196,806	169,770
Deferred tax assets	602	602
197,408	170,372
Current assets Inventories	8,540	8,527
Trade and other receivables	78,402	70,421
Prepayments	6,376	5,452
Investment securities	3,901	4,184
Cash and short-term deposits	114,572	112,748
211,791	201,332
Total assets	409,199	371,704
EQUITY AND LIABILITIES
Equity attributable to owners of the Company Share capital	43,678	43,015
Other reserves	19,690	18,063
Retained earnings	244,337	225,640
Total equity	307,705	286,718
Non-current liabilities Obligations under finance leases	1,778	1,874
Term loans	14,656	8,000
16,434	9,874
Current liabilities Trade and other payables	50,190	45,230
Obligations under finance leases	2,339	1,483
Term loans	31,201	28,012
Income tax payable	1,330	387
85,060	75,112
Total liabilities	101,494	84,986
Total equity and liabilities	409,199	371,704
Net assets per share attributable to
owners of the Company (RM)	7.15	6.67

The condensed consolidated statement of financial position should be read in conjunction with the audited financial statements for the financial year ended 31 July 2016 and the accompanying explanatory notes attached to the interim financial statements.