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KUALA LUMPUR: Property player YNH Property Bhd (YPB) has redesignated Khong Kam Hou as the YNH audit committee chairman. Khong was appointed to the board of directors of YNH as a senior independent non-executive director on March 31, 2023, when he was also made a member of the audit committee, nominating committee, and remuneration committee. As chairman of the audit committee, Khong will lead the three-member team to assist the board in fulfilling its oversight and fiduciary duties, including assessing the YPB’s processes relating to risks, overseeing financial reporting and evaluating the company’s internal and external audit processes. “The most immediate and critical task of the audit committee headed by Khong will be to appoint an independent external auditor,” a YNH spokesperson said in a statement. “Over the past few months, the board has been carefully evaluating several candidates for the role recommended to the independent non-executive directors that make up the audit committee. “YNH is confident that the external auditor will be appointed very soon after the members of the audit committee have undertaken a thorough and objective assessment,” the spokesperson added. Khong, who graduated from the University of Malaya with a Bachelor in Economics in 1974, had served in important units within the Inland Revenue Department, namely tax assessment, corporate tax and tax investigation from 1975 to 1991. He opted out as a senior tax officer in 1992 and started his practice as a licensed tax consultant from 1992 to 2019. In another development, YPB appointed Lee Zhi Yan as the new independent non-executive director and a member of its audit committee, nominating and remuneration committee. The company has also re-designated its independent non-executive director,Ching Lee Fong as chairman of the nominating committee. Lee graduated from Monash University Australia with a Bachelor of Commerce in 2016 and has extensive working experience in Australia and Malaysia. He spent several years in multinational companies like PricewaterhouseCoopers Plt (Malaysia) and Dutch Lady Milk Industries Bhd. Lee holds certifications from The Malaysian Institute of Accountants (MIA), The Malaysian Institute of Certified Public Accountants (MICPA) and Chartered Accountants Australia and New Zealand (CAANZ). Lee also completed the Summer School Programme with the London School of Economics and Political Science in the UK. Meanwhile, Ching, an existing member of the audit committee and remuneration committee, was appointed to the board on March 31, 2023, and has over 23 years of engineering experience in the electrical and electronics industry. He has worked with multiple multinational companies like Intel Microelectronics, Motorola and Altera on front-end design, verification and system validation. Currently, he is working on artificial intelligence and RISCV processors with a Hong Kong-based startup company. “YPB is confident that the breadth and depth of experience and capabilities of the members of its audit, nominating, and remuneration committees will play an important role in enabling the board and the company to inculcate high standards of corporate governance within the organisation,” the spokesperson said.

KUALA LUMPUR: China-based Zhejiang Sinopont Technology Co Ltd is building its first manufacturing facility outside China in Ipoh, Perak. Through its Malaysian subsidiary, Sinopont Everthriving (Malaysia) Sdn Bhd, Zhejiang Sinopont’s manufacturing facility in Tasek Industrial Park will commence operations immediately. The facility will produce solar cell encapsulant film with an initial production capacity of 85 million square metres, sufficient to cater to about 10 gigawatts (GW) of demand. Sinopont plans to gradually increase its investment in Perak, aiming to eventually produce enough encapsulant film to meet the needs of a 30 GW solar energy system. The company said in a statement that this expansion will be executed in several stages, with production capacity steadily rising to 300 million square meters. The partnership between Perak and Sinopont goes beyond this initial investment. Both companies are looking at further collaboration, including potential expansion projects and creating a complete solar industry hub within Perak. In lauding Sinopont’s investment, Perak chief minister Datuk Seri Saarani Mohamad emphasised the state’s endorsement of Perak’s business environment and joint commitment to driving economic growth while preserving the environment for future generations. Several factors have made Perak increasingly attractive to local and foreign investors. Improved infrastructure, a skilled workforce, and government support contributed to this rise in appeals. These developments are well-aligned with the ‘Pelan Perak Sejahtera 2030’ plan, which prioritises initiatives that draw in investment. Perak recognises its significant role in attracting investment, and the state agency InvestPerak is offering a ‘fast-track letter’ to expedite approvals for key projects, ensuring a smooth implementation process. This move aligns with their goal, spearheaded by InvestPerak chief executive officer Mohamad Hashim Abdul Ghani, to collaborate with government agencies and solidify Perak as the top investment choice in the country. Beyond immediate benefits like job creation, which is estimated at 300 positions, Sinopont’s investment is expected to have a lasting impact. It will strengthen Malaysia’s solar panel manufacturing sector, particularly in the north, paving the way for further economic growth and development.

KUALA LUMPUR: The parent company of Malaysian budget airline AirAsia, Capital A Berhad, is looking to raise US$400 million in equity as part of a planned merger to bring its long and short-haul operations under one brand, its CEO said on Monday. Group chief executive Tony Fernandes, in an interview, said that would be on top of a US$200 million bond-raising the company is hoping to conduct in the next few weeks as it awaits regulator and shareholder approval to complete the sale of its aviation business to long-haul unit AirAsia X Bhd. He said the proposed deal announced last month would see the formation of a single airline AirAsia Group. “(We hope) the acquisition by AirAsia X of Capital A aviation assets will be done by June and July,” Fernandes told Reuters. Fernandes did not provide details on what the financing would be used for. Both Capital A and AirAsia X have undergone restructuring after being classified by Malaysia’s stock exchange as financially distressed, due to strict pandemic travel restrictions. AirAsia X was removed from the classification in November, after undertaking measures to improve its financial position, while Capital A has said it hopes to present a plan to the bourse by June. Fernandes said the aviation industry was currently experiencing its “best period”, with greater room to expand routes amid an industry-wide supply crunch and fewer competitors. “We feel really confident about the future,” he said. Fernandes said he hoped to eventually list all of the group’s remaining non-aviation businesses, which include mobile payments firm BigPay, logistics arm Teleport, and online travel agency AirAsia MOVE. Last year, the company also said it plans to list its brand management unit in the United States via a merger with special purpose acquisition company, Aetherium Acquisition Corp. — REUTERS

KUALA LUMPUR: The Malaysian Tourism Promotion Board (Tourism Malaysia) has named Manoharan Periasamy board’s new director-general, replacing Datuk Ammar Abd Ghapar, who was demoted last week. According to a post shared on Tourism Malaysia’s Facebook page, Manoharan has been a long-serving senior executive in Tourism Malaysia and had previously served as the agency’s director for India and, before the top post, as senior director for international promotion (Asia and Africa). Tourism Malaysia board congratulated Manoharan after he was appointed director-general, effective February 26, 2024. Last week, Ammar told the media that he had received a letter from Tourism, Arts, and Culture Minister Datuk Seri Tiong King Sing regarding his demotion. The letter, signed by Tiong and dated February 22, stated that the termination was to take effect on February 26. In a media report, Ammar expressed his dissatisfaction at having to vacate his position in such circumstances after serving the ministry for 36 years. On Saturday, Tiong confirmed Ammar will be demoted to deputy director-general after failing to improve his performance.

KUALA LUMPUR: Global logistics service operator J&T Express has achieved significant enhancements in parcel volume and delivery efficiency across several key markets in China and Southeast Asia during the recent Lunar New Year, attributing to the company’s continuous operational capacity improvements and early preparations for the holiday season. Data from J&T Express reveals that over the Lunar New Year period, its average daily parcel delivery time in China improved by approximately 5 per cent compared to the previous year, while the average daily delivery rate increased by approximately 17 per cent year-on-year (YoY). In Singapore, there has been an 81 per cent YoY increase in parcel volume, alongside a 9 per cent improvement in average delivery time efficiency. Similarly, Malaysia’s parcel volume surged by approximately 54 per cent YoY. In addition to China, the Lunar New Year is a public holiday in numerous Southeast Asian countries. With the global popularity of e-commerce, ensuring reliable logistics services during the holiday season has become increasingly critical for businesses and consumers alike. As the largest courier service provider in Southeast Asia, J&T Express plays a vital role in meeting this demand. With the company’s extensive and comprehensive logistics network across multiple countries, coupled with its year-round collaboration with e-commerce platforms and expertise in operating during the Lunar New Year in the Chinese market, J&T Express has significantly bolstered its hardware and personnel and updated the delivery fleet in key markets to meet the challenges of delivering shipments during the holiday season. For instance, J&T Express Vietnam added over 3,000 delivery personnel before the Lunar New Year, and upgraded more than 100 service points, expanding the operational area by over 7,000 square meters. Additionally, at the end of December 2023, J&T Express Vietnam officially received 140 new trucks from Truong Hai Auto Corporation, a Vietnamese automobile manufacturer. According to a forecast by Ho Chi Minh City’s Department of Industry and Trade, seasonal purchases are expected to grow by more than 11 per cent in 2024, and the growth trend of social commerce will continue as well. Against a thriving online shopping landscape, the demand for delivery services presents opportunities and challenges. Recognising the potential, J&T Express Vietnam has strategically improved and enhanced its service quality to meet the evolving demands. The recent upgrade of the company’s truck fleet reflects its clear goal of improving the quality of its transportation services. It helps the company meet the growing demand for deliveries during the holiday season, creating significant customer benefits with guaranteed service quality and capacity. With unwavering confidence in the market’s prosperity and a customer-centric approach, J&T Express is poised to seize growth opportunities in Vietnam and is actively accelerating its market capture. It will continue to expand its logistics network and transit centres to ensure optimal operational processes and improve user experience and service quality. J&T Express is a global logistics service provider the company adopts an innovative business model that combines unified standards with a high degree of regional autonomy. This model balances service quality and flexible decision-making, reduces costs, and enables localized and efficient development in each market. With its self-developed JMS system, J&T Express can integrate and manage the full lifecycle of shipments, from order placement and collection to settlement, ensuring efficient operations in each market. J&T Express has expanded its express delivery business to five countries in Latin America, the Middle East, and North Africa, building upon its successful operations in China and Southeast Asia. Currently, the company provides express delivery services in 13 countries worldwide. Looking ahead, J&T Express is committed to enhancing its global logistics network while improving service quality and operational efficiency. The company is eager to establish collaborative partnerships with new industry leaders to deliver high-quality logistics solutions for customers worldwide.

KUALA LUMPUR: Yew Lee Pacific Group Bhd (YLP) net loss widened to RM1.38 million in the fourth quarter (Q4) ended December 31, 2023 (FY23), reflecting the impact of current market conditions and the strategic investments made by the company, including the costs associated with setting up a new subsidiary in Thailand. Revenue for the quarter stood at RM4.93 million, slightly lower from RM5.32 million posted in the same quarter in FY22, attributed to variations in sales orders across markets. In Q4, YLP’s manufacturing segment continued to perform strongly, contributing RM3.6 million to the quarter’s revenue, up from RM3.3 million in Q4 FY22. This positive momentum shows the manufacturing arm’s resilience and consistent performance amidst the broader challenges within the glove industry. The trading segment faced fluctuations, largely due to competition within the markets that they operate in and price wars. In response, the company is taking decisive steps to streamline this segment, focusing on consolidation within the trading segment to enhance its cost efficiency. These adjustments are part of a broader strategy to ensure the trading segment is alignment with the company’s efficiency and profitability goals. YLP managing director Ang Lee Leong said as the company navigates through the current phase, it is important to recognise the impact of broader industry trends on its performance, particularly in the rubber glove sector, which remains a significant contributor to YLP’s revenue. “The industry has faced challenges due to oversupply and market imbalances following rapid expansions and stockpiling during the pandemic. “Despite these hurdles, we are optimistic about the sector’s recovery, driven by heightened global hygiene awareness and increasing glove usage,” he said in a statement. Ang said to complement YLP’s core business and mitigate industry-specific risks, the company is actively diversifying its portfolio. “We are expanding our industrial brush range, introducing customisable options to meet diverse market needs and solidifying our presence in local and international markets. “Additionally, we’re broadening our scope in the industrial hardware and machinery parts segment, exploring new opportunities in semiconductors, timber, glass, and agriculture sectors. “These strategic initiatives are designed to strengthen our market position and reduce our dependency on the rubber glove industry, ensuring a more balanced and resilient business model for YLP,” Ang said. As of February 23, 2024, the share price of YLP stands at RM0.39, representing a market capitalisation of RM208 million.

KUALA LUMPUR: Malaysia’s largest home improvement retailer MR DIY Group Bhd posted a net profit of RM158.63 million for the fourth quarter (Q4) ended December 31, 2023 (FY23), an increase of 16.6 per cent from RM136.07 million posted in the same quarter last year. The net earnings increase was partially lifted by the absence of a one-off prosperity corporate tax of RM10.2 million in Q4 FY22. Revenue for Q4 FY23 rose 7.6 per cent to RM1.14 billion from RM1.06 billion posted in the same quarter last year, driven by a 16.8 per cent growth in new stores. Transaction volume increased 16.7 per cent as the company continued strategically expanding its store network across its core brands from 1,080 stores in FY22 to 1,255 as of December 31, 2023. Gross profit (GP) margin for Q4 FY23 rose 2.1 percentage points (pp) year-on-year (YoY) to 45.8 per cent. The improvement was mainly due to the normalisation of freight costs and the impact of the price adjustment exercises carried out in FY22. Consequently, GP increased 12.7 per cent YoY to RM525.4 million. For FY23, MR DIY posted a cumulative revenue and net profit of RM4.4 billion and RM560.7 million, up 9.4 per cent and 18.5 per cent, respectively. Chief executive officer Adrian Ong said the company continues to deliver growth across all key indicators. He said since the company’s initial public offering (IPO) in 2020, MR DIY’s store network has grown by 111.6 per cent from 593 to 1,255 as of the end of FY23. Revenue has grown by 70.3 per cent from RM2.6 billion in FY20 to RM4.4 billion in FY23. More importantly, net earnings have grown by 66.3 per cent from RM337.2 million in FY20 to RM560.7 million in FY23. “This reflects the strength and resilience of our business model, underpinned by the value-for-money offering that resonates with Malaysians from all walks of life. “This commendable set of financial results is also attributable to the determination of our close to 18,000-strong workforce, who have been committed to ensuring we deliver an excellent retail experience whilst staying on course with our expansion strategy,” Ong said in a statement. Ong said MR DIY is confident of its prospects going forward, driven by the demand for everyday essentials at consistent value, especially in this period of persistent inflation and the rising cost of living. “Our growing store network makes us increasingly accessible to more Malaysians and underpins our role as their go-to retailer for everyday household items. “Our plan in the near and mid-term is to open 180 new stores in 2024 and surpass 2,000 stores by 2028. “This will further cement the company’s position as the largest home improvement retailer in the country,” he said. MR DIY declared a dividend of RM94.4 million for Q4 FY23, taking the full year’s dividend payout to RM302.1 million, a 47.9 per cent improvement from the previous year. The full-year dividend equals a payout ratio of 54 per cent of its net profit.

KUALA LUMPUR: Newly-listed electrical engineering service provider HE Group Bhd (HGB) registered revenue of RM44.2 million for the fourth quarter (Q4) ended December 31, 2023 (FY23), lower by 44.0 per cent lower from RM78.9 million posted in the third quarter (Q3) FY23. The decrease was mainly attributed to the completion of certain projects in Q3 FY23. In tandem with reduced total revenue, profit before tax (PBT) also decreased by RM1.4 million or 28.9 per cent to RM3.4 million for Q4 FY23. This is the second interim financial report announced in compliance with the ACE market listing requirements of Bursa Malaysia. There are no comparative figures for the preceding corresponding quarter as no interim financial report was prepared for the comparative quarter concerned. For the quarter, the power distribution system and electrical equipment hook-up and retrofitting segments, which carry higher profit margins, contributed 70.3 per cent of revenue in Q4 FY23 compared to 59.2 per cent in Q3 FY23. Hence, the PBT margin increased to 7.7 per cent from 6.1 per cent due to the favourable project mix. For the full year, the company posted a revenue of RM204.4 million in FY23, mainly derived from the power distribution system and other building systems and works segments, contributing to RM133.4 million and RM59.9 million. These segments accounted for 65.3 per cent and 29.3 per cent of the total revenue, respectively. Additionally, these segments fuelled profitability, with PBT reaching RM14.8 million for FY23. The board have proposed a final single-tier dividend of 0.4 sen per ordinary share, amounting to approximately RM1.8 million for FY23. This translates to a dividend payout of 16.1 per cent. The proposed dividend is subject to shareholders’ approval at the upcoming annual general meeting. HGB managing director Haw Chee Seng said the company remains confident in its prospects as it focuses on executing the projects and actively participates in tenders to replenish the order book. HGB kicked off the new financial year ending December 31, 2024 (FY24) on a good note by securing a contract worth RM34.8 million. Its wholly-owned subsidiary, Hexatech Engineering Sdn Bhd on January 30, 2024, accepted a new work order from a Germany-based manufacturer of semiconductor components. The project involves designing, supplying, installing, testing and commissioning a low-voltage distribution system and is expected to be completed by April 30, 2024. HGB sees significant growth potential in the power distribution systems industry, driven by the strategic alignment of the government’s recently launched New Industrial Master Plan 2030 (NIMP) with the company’s core competencies. The NIMP prioritises development in key sectors such as electrical and electronics and medical devices, where a substantial portion of HGB’s major clients operate. This targeted growth within these sectors is expected to generate substantial demand for HGB’s power distribution systems solutions, translating to the potential for sustained earnings growth in the coming years.

KUALA LUMPUR: Muar Ban Lee Group Bhd (MBL) is poised to navigate the challenges the looming El Niño poses with strategic business diversification plans. The company is adopting technological advancements in palm kernel oil processing and ventures into the biogas sector, showcasing its resilience and potential as a critical player in the evolving market. The expected rise in palm oil prices allows MBL to increase revenue from its core operations. The company’s involvement in biogas aligns with the global trend towards renewable energy and offers an alternative application for palm oil, potentially reducing production risks associated with El Niño. “MBL’s investment in modern technology is a game-changer, enhancing our efficiency and yield in palm kernel oil processing. “This strategic move positions us to maximise our resources and maintain a competitive edge, especially in times of reduced production,” MBL’s top management representative said in a statement. Further, the spokesperson said the anticipated global upswing in palm oil demand, driven by biogas, positions MBL favourably. As biogas gains prominence in the energy sector, MBL’s involvement could lead to new revenue streams and market opportunities. MBL’s venture into biogas marks a strategic move, aligning with the global shift towards renewable energy. By converting palm oil production waste into energy, MBL addresses environmental concerns and taps into a burgeoning market. This diversification also provides a buffer against the volatility of palm oil prices and production levels. Furthermore, MBL’s strategic divestiture of a 51.0 per cent stake in Indonesia-based PT Serdang Jaya Perdana for RM11.0 million has streamlined its financial portfolio, boosting cash flow and overall financial stability. By shedding a low-yield asset, this divestment refocuses the company’s efforts on more lucrative ventures. Post-divestment, MBL’s revenue normalised to RM74.58 million in the third quarter (Q3) FY23, with its core manufacturing business contributing RM51.97 million. Meanwhile, profit after tax jumped 62.5 per cent quarter-on-quarter (QoQ) to RM4.98 million, driven by heightened demand in its manufacturing division. Regarding the business outlook, a substantial order book and a favourable business climate could boost earnings in the near term. MBL’s success is underpinned by its diverse product and service offerings in the palm oil industry, notably its commitment to sustainability. Initiatives like the empty fruit bunch (EFB) biogas plants and palm oil mill effluent (POME) water treatment systems exemplify MBL’s dedication to environmental stewardship, turning waste products into energy and managing wastewater efficiently. The shift towards renewable energy is crucial to MBL’s robust earnings growth prospects. This transition aligns with global environmental goals and presents lucrative opportunities for the company. “A deliberate and strategic shift in our asset portfolio has not only strengthened our financial footing but also allowed us to channel our resources towards more profitable and sustainable ventures,” a senior executive at MBL said. Aside from the growth potential, MBL’s diversified revenue streams enhance its earnings resilience and stability. MBL’s automotive division, for instance, contributed approximately RM28.18 million in revenue during Q3. Additionally, MBL’s plantation segment, though in its early stages with an immature durian plantation yet to yield revenue, represents a promising avenue for long-term growth. From an investment perspective, MBL presents an attractive valuation. The company’s net asset per share, at 95 sen, is significantly higher than its current share price of around 45 sen. Before the COVID-19 pandemic, MBL had a strong track record of dividend payouts, suggesting potential future dividends as business normalises. However, challenges loom on the horizon, particularly concerning the impact of El Niño. This climatic phenomenon risks palm oil production, potentially affecting supply and prices. MBL must navigate these uncertainties, which could affect production volumes and revenue. The company’s response to these challenges will be crucial in maintaining its growth trajectory and fulfilling its commitments to shareholders and clients. “We are acutely aware of the challenges ahead. Our strategy is to stay nimble, adapt quickly, and leverage our technological and market strengths to weather these uncertainties,” the senior executive said. While MBL is positioned for success with its diversified business model, technological advancements, and commitment to sustainability, it must remain vigilant and adaptive to overcome the challenges posed by El Niño and other market fluctuations. This proactive approach will be vital in sustaining its growth and upholding its reputation in the industry.

KUALA LUMPUR: In a significant nod to its burgeoning status as a global hub for sustainable urban development, Kuala Lumpur has been chosen to host the prestigious UIA2024 International Forum (UIA2024) from 15 to 19 November 2024 at the Kuala Lumpur Convention Centre. This landmark event, expected to draw more than 3,000 delegates, underscores the city’s commitment to fostering diverse, inclusive, and sustainable urban environments. Organised jointly by the Pertubuhan Akitek Malaysia (PAM) and Dewan Bandaraya Kuala Lumpur (DBKL), the UIA2024 is set to be a transformative gathering. It will bring together architects, urban planners, policymakers, and enthusiasts from around the globe to engage in  critical discussions under the theme of DiverseCity for Humanity and Sustainable Growth. This theme reflects modern cities’ complex challenges, emphasising the need for strategies that prioritise human well-being alongside environmental stewardship. The forum is anticipated to generate a significant economic impact, with an estimated RM43.4 million in benefits and up to RM18.5 million in visitor expenditures, bolstering the Malaysian economy. DBKL project implementation and building maintenance department director Hanum Ain  Zainal said Kuala Lumpur is steadfast in its journey to emerge as a global frontrunner in crafting resilient, inclusive, and habitable urban landscapes. “The UIA2024 International Forum Kuala Lumpur offers a golden opportunity for us to exchange insights, absorb global best practices, and cultivate partnerships that will propel us towards achieving our collective aspirations,” she said in a statement. PAM president Ar Abu Zarim Abu Bakar said hosting the UIA2024 in Malaysia is significant for sharing cultural diversity experiences and a powerful way to promote dialogue, understanding, and appreciation for the diverse cultural contexts in which architecture operates. “It has the potential to inspire positive change, foster collaboration, and contribute to advancing architecture as a socially responsible and culturally responsive profession,” he said. The theme DiverCity, reflects Malaysia’s unique cultural diversity and commitment to environmental stewardship. It highlights the importance of inclusive and sustainable urban development practices that prioritise the well-being of communities and the environment. The forum also aligns closely with the United Nations Sustainable Development Goals (SDGs), particularly goals related to reducing inequalities, gender equality, peace and justice and strong institutions. Architects and urban planners play a crucial role in advancing these global agendas through innovative design and planning solutions that address global issues such as social inequality and cultural preservation. The successful bid by the Malaysian delegation, presented in a hybrid format at the UIA 148th Council Meeting and extraordinary general assembly in Madrid, Spain, included prominent figures from the architectural and urban planning sectors. The team responsible for this achievement includes UIA2024 convener Datuk Ar Ezumi Harzani Ismail, PAM past president Ar Sarly Adre Sarkum, past deputy president Ar Alice Leong, Nusantara Academy of Development director Ar Ahmad Najib Ariffin, Malaysia Convention & Exhibition Bureau (MyCEB) chief operating officer Noor Ahmad Hamid, along with 16 other delegation members, including PAM and UIA former president Tan Sri Ar Esa Mohamed. Supported by the Ministry of Tourism, Arts and Culture (MOTAC), MyCEB, ARCHIDEX, and other partners, UIA2024 is set to be a transformative event that highlights Kuala Lumpur’s advancements and shapes the future of sustainable urban development globally.