EXCEL FORCE MSC BERHAD 11 KEY BUSINESS RISK AND MITIGATION STRATEGIES (CONT’D) The Group adopted a zero-tolerance stance on fraud, bribery and corruption in all forms. The Anti-Bribery and Anti-Corruption Framework (ABAC) with policy, code of conduct and ethic clearly articulated and published on our website. The Framework laid out the process and procedures to deal with bribery and corruption risks, and incorporated them into our existing operational workflows. Further details of risk management and internal control are in Statement on Risk Management and Internal Control (SORMIC) on pages 37 to 39 in this annual report. The framework enables the Board to continuously identify, assess and manage risks that affects the Group. OUR OUTLOOK Most high and middle income countries are transitioning to endemic management of COVID-19. While the global economy continues to recover, the risks of high energy cost, rising food prices, increasing inflationary pressure, on-going supply chain disruptions, interest rates increase and military conflict in Ukraine threaten to upend the nascent recovery. Economic recovery in Malaysia is gathering momentum amid the reopening of the economy and international borders. With better COVID-19 management and higher vaccination rates, BNM expects less disruption to domestic economic activity and spending. Malaysia will also continue to benefit from the expansion in global demand. For 2022, BNM projects Malaysia’s GDP to grow between 5.3% and 6.3%. As Malaysians rebuild their savings after surviving the pandemic, they will re-focus to grow their wealth through investment. There are many asset choices now for investors to achieve their financial goals. To better compete in this evolving investment landscape, stockbrokers are innovating faster and creating uniqueness in their product and service offering to attract and retain customers. The Group is in constant contact with our current and prospective customers to understand and discover their needs, and help them achieve their business objectives. EForce intends to grow its revenue stream, optimise utilization of resources for productive gain and improvemargin. The Group regularly reviews its resource allocation to ensure our people are concentrating their time and effort on the right activities and get them done right first time. The Group will look out for good business opportunities with attractive valuation to invest in. The Group is also open to collaborate with potential partners in Malaysia and overseas to explore new business segments that leverages on the Group's technological capability and know-how in mission critical business environment. Overall, EForce is positive on our business prospect, excluding any unforeseen developments globally or in Malaysia. DIVIDEND The Group had declared and paid RM5.6 million dividends in FYE 2021, totalling 1.0 sen per ordinary share. EForce proposed a final single-tier dividend of 0.5 sen per ordinary share, subject to shareholders’ approval in the upcoming Twentieth (20th) AGM to be held on 9 June 2022. The dividend payout ratio (including the proposed dividend) will be 69% of the Group’s profit for the current financial year. EForce has no dividend distribution policy as management is of the view that adequate resources must be maintained within the Group for working capital and future expansion needs of the Group. Factors that may influence dividend pay-out includes profitability of the Group, the availability of cash balance, adequacy of reserve and economic situation. Management Discussion and Analysis (cont’d)
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