DESTINI Annual Report 2019

PERFORMANCE 03 In view of the extremely challenging conditions, Destini is blessed to find strength in the diversity of its businesses which promotes the sustainability of its overall business. All four of Destini’s businesses are within the essential services and operations are expected to remain as usual with minor external uncertainties such as supply disruptions and regulatory changes that may evolve as the pandemic shifts. That being said, Destini is first and foremost a maintenance service provider which means that our business is to service our customers assets. Going back to fundamentals, Destini has had a substantial track record in providing successful services to all its clients and there are still avenues to expand and rake from this business from various industries. The opportunities can be limitless given the correct conditions. Destini will also continue to tender for public and private projects in all the sectors it is in to further strengthen the fundamentals of its diverse business portfolio in Malaysia and overseas. The Group will continuously explore for new opportunities and enhance its competitive strengths to ensure profitability. The Group is also looking forward to tap into its recent foray into port operations in Kalimantan, Indonesia. Destini had also incorporated a new subsidiary that was established to pursue opportunities in the coal industry. This will see the Group diversify its income stream further and acts as a means to mitigate cyclical income downturns from aviation, marine, land systems and oil and gas business segments. Aside to that, the Group has also taken preemptive measures to be resilient in weathering the uncertain operational environment by focusing more in strengthening the Group’s balance sheet and managing its cash flow prudently. The Group has planned a regular review and actions to be taken to tighten capital expenditure, operating expenditure and investment and divestment decisions that could optimize the Group’s balance sheet, including its capital structure, if necessary. MANAGEMENT DISCUSSION AND ANALYSIS ANNUAL REPORT 2019 047