Kimlun Corporation Berhad Annual Report 2025

ANNUAL REPORT 2025 025 MANAGEMENT DISCUSSION AND ANALYSIS Challenges and Risks As in any business, the Group is subject to various challenges and risks. Please refer to pages 98 to 99 of this Annual Report for nature of the key risks and the Group’s control measures to mitigate them. In addition, the Group is exposed to challenges arising from geopolitical tensions. The ongoing Middle East conflict has disrupted global crude oil supply, driving energy prices higher and cascading into transport, logistics, and manufacturing sectors. Construction material costs are also escalating. If this trend continues, margins are expected to come under pressure, and some developers may defer new projects. As the conflict continues to evolve, the extent and duration of its impact on our businesses remain difficult to predict. In response, the Group will adopt a cautious approach to bidding and new launches, while leveraging its strong track record, extensive industry experience, and continued support from bankers to navigate uncertainties. DIVIDEND POLICY While we do not adopt a formal dividend policy, our Company has been declaring dividends every year since its listing on the Main Market of Bursa Malaysia Securities Berhad in 2010. In respect of FY2025, the Board recommends a final single tier dividend of 4.0 sen per ordinary share. The recommended final dividend is subject to the shareholders’ approval at the forthcoming Annual General Meeting. Our Company is always mindful to reward our loyal shareholders who have supported our growth over the years while trying to strike a balance with the funding needs of our business operation and expansion.

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