SUMMARY OF ACTIVITIES OF THE AUDIT AND RISK MANAGEMENT COMMITTEE During the financial year, the ARMC met five times. In line with the terms of reference of the ARMC, the following activities were carried out by the ARMC during FY2024 in discharging its functions:- (1) External Audit (a) Met with the external auditors four (4) times during FY2024 on 28 February 2024, 1 April 2024, 29 August 2024 and 28 November 2024 respectively on matters relating to the audit and financial statements without the presence of Management and Executive Directors. No major concerns were highlighted by the external auditors during the private sessions and they had been receiving full co-operation from Management during the course of audit; (b) Reviewed and discussed with the external auditors on their scope of work, engagement team, audit timeline, areas of audit emphasis, key audit matters, accounting standards updates that affected financial reporting, the responsibilities of Directors and Management, and the FY2024 audit planning memorandum; (c) Reviewed and discussed with the external auditors the results of their audit, their comments and conclusions on the significant audit findings, the audit report, management letter and their evaluation of the internal controls; (d) Sought clarification from the Management on significant financial reporting matters, judgments made by the Management and matters highlighted by the external auditors. The ARMC was satisfied with the clarification from the Management and the actions taken by the Management to address the matters highlighted; (e) Reviewed the audit fees proposed by the external auditors and recommended the fees to the Board of Directors for approval; (f) Reviewed the letter of resignation from the previous external auditors, Crowe Malaysia PLT (“Crowe”) and discussed with Crowe on their resignation. The ARMC concluded that there wasn’t any matter that need to be brought to the attention of the shareholders of the Company; and (g) Assessed the suitability, objectivity and independence of Ernst & Young PLT (“EY”) to fill the vacancy of external auditors. In its assessment, the ARMC considered, amongst others, the information presented in EY’s annual transparency report, competency and adequacy of resource, the professional staff assigned to the audit and the level of non-audit services to be rendered by EY. Written assurance was received from EY confirming their independence in accordance with the By-Laws (on Professional Ethics, Conduct and Practice) of the Malaysian Institute of Accountants and the International Code of Ethics for Professional Accountants (including International Independence Standards). Being satisfied with EY’s technical competency, resources and audit independence, the ARMC recommended the appointment of EY as external auditors for FY2024. (2) Financial Reporting (a) Reviewed the quarterly unaudited financial results, audited financial statements and Annual Report before recommending for the Board’s approval, focusing particularly on:- (i) changes in or implementation of major accounting policy changes; (ii) significant matters highlighted including financial reporting issues, significant judgments made by Management, significant and unusual events or transactions, and how these matters are addressed; (iii) compliance with accounting standards, regulatory and other legal requirements; (iv) the going concern assumption; and (v) significant adjustment arising from the audit. The ARMC obtained the advice of the Company Secretaries and external auditors on compliance with the MMLR of Bursa Securities, the applicable approved Financial Reporting Standards issued by the Malaysian Accounting Standards Board, and other legal requirements. AUDIT AND RISK MANAGEMENT COMMITTEE REPORT 066
RkJQdWJsaXNoZXIy NDgzMzc=