Poh Kong Berhad : The Financial Period Ended 30 April 2022

POH KONG HOLDINGS BERHAD (Registration No : 200201018476)

QUARTERLY REPORT FOR THE THIRD QUARTER ENDED 30 APRIL 2022

UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION

	AS AT		AS AT
	30.4.2022	31.7.2021
	RM'000		RM'000
			(Audited)
ASSETS
NON-CURRENT ASSETS
Property, plant and equipment	89,935		92,280
Right of use assets	37,178		53,042
Investment properties	12,648		12,709
Investment in an associate	7,765		7,765
Other investments	228		228
Goodwill on consolidation	1,485		1,485
Deferred tax assets	13,547		11,849
	162,786		179,358
CURRENT ASSETS
Inventories	649,431		594,777
Trade and other receivables	10,358		2,890
Deposits and prepayments	11,782		10,792
Current tax assets	1,240		835
Fixed deposits placed with licensed banks	17,962		10,259
Cash and bank balances	19,485		9,414
	710,258		628,967
TOTAL ASSETS	873,044	808,325
EQUITY AND LIABILITIES
Equity attributable to owners of the Company
Share capital	205,176		205,176
Reserves	454,432		396,998
TOTAL EQUITY	659,608		602,174
NON-CURRENT LIABILITIES
Long-term borrowings	25,921		46,124
Deferred tax liabilities	13,970		13,970
	39,891		60,094
CURRENT LIABILITIES
Trade and other payables	18,511		11,016
Deposits and accruals	7,910		6,699
Contract liabilities	9,912		9,225
Provision for restoration costs	400		400
Amount due to ultimate holding company	1,305		1,331
Amount due to directors (Note 1)	1,627		1,894
Short-term borrowings	124,715		110,854
Current tax liabilities	9,165		4,638
	173,545		146,057
TOTAL LIABILITIES	213,436		206,151
TOTAL EQUITY AND LIABILITIES	873,044		808,325
Net assets per share attributable to owners of	1.61	1.47
the Company (RM)

Note 1: Amount due to directors consists of directors' fee and directors' other emoluments.

(The Unaudited Condensed Consolidated Statement of Financial Position should be read in

conjunction with the Audited Financial Statements for the year ended 31 July 2021) 1

POH KONG HOLDINGS BERHAD (Registration No : 200201018476)

QUARTERLY REPORT FOR THE THIRD QUARTER ENDED 30 APRIL 2022

UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

	INDIVIDUAL QUARTER		CUMULATIVE QUARTER
	QUARTER		QUARTER		PERIOD		PERIOD
	ENDED		ENDED		ENDED		ENDED
	30.4.2022	30.4.2021	30.4.2022	30.4.2021
	RM'000		RM'000		RM'000		RM'000
Revenue	366,201	364,186	947,952	817,478
Other operating income	421	971	3,221	2,761
Operating expenses	(328,819)	(332,111)	(865,736)	(748,102)
Profit from operations	37,803	33,046	85,437	72,137
Finance income	119	132	290	276
Finance costs	(2,343)		(1,827)		(5,739)		(7,198)
Profit before tax	35,579	31,351	79,988	65,215
Income tax expense	(7,988)		(7,327)		(17,630)		(15,193)
Profit after tax	27,591		24,024		62,358		50,022
Other comprehensive expense	-	-	-	-
Total Comprehensive Income	27,591	24,024	62,358	50,022
Profit after tax attributable to:
Owners of the Company	27,591	24,024	62,358	50,022
Non-controlling Interests	-		-		-		-
	27,591	24,024	62,358	50,022
Total comprehensive income attributable to:
Owners of the Company	27,591	24,024	62,358	50,022
Non-controlling Interests	-		-		-		-
	27,591	24,024	62,358	50,022
Earnings per share attributable to
Owners of the Company
- basic (sen)	6.72		5.85		15.20		12.19
- diluted (sen)	6.72		5.85		15.20		12.19

(The Unaudited Condensed Consolidated Statement of Comprehensive Income should be read in conjunction with the Audited Financial Statements for the year ended 31 July 2021)

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POH KONG HOLDINGS BERHAD (Registration No : 200201018476)

QUARTERLY REPORT FOR THE THIRD QUARTER ENDED 30 APRIL 2022 UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

Attributable to owners of the Company

Share Revaluation RetainedTotal

capital reserve earnings equity

At 1 August 2020

Realisation of revaluation reserve Profit for the financial year Dividends

At 30 April 2021

At 1 August 2021

Profit for the financial year Dividends

At 30 April 2022

RM'000	RM'000	RM'000	RM'000
205,176	41,635	323,414	570,225
-	25	-	25
-	-	50,022	50,022
-	-	(4,924)	(4,924)
205,176	41,660	368,512	615,348
205,176	41,747	355,251	602,174
-	-	62,358	62,358
-	-	(4,924)	(4,924)
205,176	41,747	412,685	659,608

(The Unaudited Condensed Consolidated Statement of Changes in Equity should be read in conjunction with the Audited Financial Statements for the year ended 31 July 2021)

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POH KONG HOLDINGS BERHAD (Registration No : 200201018476)

QUARTERLY REPORT FOR THE THIRD QUARTER ENDED 30 APRIL 2022

UNAUDITED CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS
	CUMULATIVE QUARTER
	PERIOD		PERIOD
	ENDED		ENDED
	30.4.2022	30.4.2021
	RM'000		RM'000
CASH FLOWS FROM OPERATING ACTIVITIES
Profit before taxation	79,988	65,215
Adjustments for:
Depreciation of property, plant and equipment and investment properties	6,138		5,557
Depreciation of right of use assets	15,864		16,571
Net gain on disposal of property, plant and equipment	(100)		(61)
Property, plant and equipment written off	64		99
Dividend income	-		(300)
Loss on dissolution of subsidiaries	-		64
Interest income	(290)		(276)
Interest expense	5,739		7,198
Operating profit before working capital changes	107,403	94,067
Inventories	(54,654)		(45,731)
Receivables	(8,458)		806
Payables	8,706		7,144
Contract liabilities	687		1,784
Net cash generated from operations	53,684	58,070
Tax paid	(15,207)		(13,149)
Net cash generated from operating activities	38,477	44,921
CASH FLOWS FROM INVESTING ACTIVITIES
Interest received	290		276
Dividend received	-		300
Net outflows arising from dissolution of subsidiaries	-		(64)
Proceeds from disposal of property, plant and equipment	100		61
Purchase of property, plant and equipment	(3,796)		(1,500)
Net cash used in investing activities	(3,406)	(927)
CASH FLOWS FROM FINANCING ACTIVITIES
Interest paid	(5,739)		(5,161)
Placement of fixed deposit	(3)		(6)
Net loans repayment	10,409		(18,117)
Dividend paid	(4,924)		(4,924)
(Decrease) / Increase in amount due to ultimate holding company	(26)		15
Decrease in amount due to directors	(267)		(742)
Repayment of lease liabilities	(16,962)		(19,355)
Net cash used in financing activities	(17,512)		(48,290)
NET INCREASE / (DECREASE) IN CASH AND CASH EQUIVALENTS	17,559	(4,296)
OPENING CASH AND CASH EQUIVALENTS	18,364		33,148
CLOSING CASH AND CASH EQUIVALENTS	35,923	28,852
Cash and cash equivalents comprise the following:
Fixed deposits with licensed banks	17,962	17,240
Bank overdraft	(212)	(135)
Cash and bank balances	19,485		13,037
	37,235	30,142
Less: - Fixed deposits pledged to licensed banks	(1,312)		(1,290)
	35,923		28,852

(The Unaudited Condensed Consolidated Statement of Cash Flows should be read in conjunction with the Audited Financial Statements for the year ended 31 July 2021)

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POH KONG HOLDINGS BERHAD (Registration No : 200201018476)

QUARTERLY REPORT FOR THE THIRD QUARTER ENDED 30 APRIL 2022

1. NOTES TO THE INTERIM FINANCIAL REPORT

A1. Accounting Policies and Methods of Computation

The interim financial report has been prepared in accordance with Malaysian Financial Reporting Standard ("MFRS")

1. Interim Financial Reporting and Chapter 9, Paragraph 9.22 of the Listing Requirements of Bursa Malaysia Securities Berhad, and should be read in conjunction with the Audited Financial Statements for the year ended 31 July 2021.

The significant accounting policies and methods of computation adopted in the preparation of this interim financial report are consistent with those adopted in the audited financial statements of the Group and of the Company for the financial year ended 31 July 2021.

The Group and the Company have not adopted the following new MFRS and amendments/improvements to MFRS that have been issued, but yet to be effective:

		Effective for financial periods
		beginning on or after
New MFRS		1 January 2023
MFRS 17	Insurance Contracts
Amendments/Improvements to MFRSs
MFRS 1	First-time Adoption of Malaysian Financial Reporting	1 January 2022^/
	Standards	1 January 2023#
MFRS 3	Business Combinations	1 January 2022/
		1 January 2023#
MFRS 5	Non-current Assets Held for Sale and Discontinued	1 January 2023#
	Operations
MFRS 7	Financial Instruments: Disclosures	1 January 2023#
MFRS 9	Financial Instruments	1 January 2022^/
		1 January 2023#
MFRS 10	Consolidated Financial Statements	Deferred
MFRS 15	Revenue from Contracts with Customers	1 January 2023#
MFRS 16	Leases	1 January 2022^
MFRS 17	Insurance Contracts	1 January 2023
MFRS 101	Presentation of Financial Statements	1 January 2023/
		1 January 2023#
MFRS 107	Statements of Cash Flows	1 January 2023#
MFRS 108	Accounting Policies, Changes in Accounting Estimates	1 January 2023
	and Errors
MFRS 112	Income Taxes	1 January 2023
MFRS 116	Property, Plant and Equipment	1 January 2022/
		1 January 2023#
MFRS 119	Employee Benefits	1 January 2023#
MFRS 128	Investments in Associates and Joint Ventures	Deferred/
		1 January 2023#
MFRS 132	Financial instruments: Presentation	1 January 2023#
MFRS 136	Impairment of Assets	1 January 2023#
MFRS 137	Provisions, Contingent Liabilities and Contingent Assets	1 January 2022/
		1 January 2023#
MFRS 138	Intangible Assets	1 January 2023#
MFRS 140	Investment Property	1 January 2023#
MFRS 141	Agriculture	1 January 2022^

^The Annual Improvements to MFRS Standards 2018-2020

# Amendments as to the consequence of effective of MFRS 17 Insurance Contracts

The Group and the Company plan to adopt the above applicable new MFRS and Amendments/Improvements to MFRSs when they become effective.

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