Frontken Berhad Annual Report 2016

Frontken Corporation Berhad (651020-T)

ANNUAL REPORT

2016

The directors of

FRONTKEN CORPORATION BERHAD

have pleasure in submitting their report and the audited financial statements

of the Group and of the Company for the financial year ended 31 December 2016.

PRINCIPAL ACTIVITIES

The principal activities of the Company are that of investment holding and provision of management services to its

subsidiaries.

The principal activities of the subsidiaries are disclosed in Note 11 to the financial statements.

There have been no significant changes in the nature of these activities during the financial year.

FINANCIAL RESULTS

The Group

The Company

Profit after taxation for the financial year

27,285,714

6,154,262

Attributable to:

Owners of the Company

20,040,231

6,154,262

Non-controlling interests

7,245,483

27,285,714

6,154,262

DIVIDEND

No dividend has been paid or declared by the Company since the end of the previous financial year. The directors do not

recommend the payment of any dividends in respect of the current financial year.

RESERVES AND PROVISIONS

All material transfers to or from reserves or provisions during the financial year are disclosed in the financial statements.

ISSUES OF SHARES AND DEBENTURES

During the financial year,

(a) there were no changes in the authorised and issued and paid-up share capital of the Company; and

(b) there were no issues of debentures by the Company.

TREASURY SHARES

During the financial year, the Company repurchased 400,000 of its issued ordinary shares from the open market at an

average price of RM0.16 per share. The total consideration paid for the repurchase including transaction costs amounted to

RM64,491. The shares repurchased are being held as treasury shares in accordance with Section 67A of the Companies Act

1965 and are presented as a deduction from total equity.

As at 31 December 2016, the Company held 5,466,600 treasury shares at a carrying amount of RM663,237. Relevant details

on the treasury shares are disclosed in Note 21 to the financial statements.

Directors’ Report