MKH Annual Report 2018

17 MKH Berhad Annual Report 2018 CHAIRMAN’S STATEMENT The Company also successfully issued 23,646,246 ordinary shares pursuant to the exercise of 23,646,246 warrants at an exercise price of RM1.55 each. For FY2018, a first interim single-tier dividend of 3.5 sen per ordinary share amounting to approximately RM20.3 million was declared on 30 November 2018 and paid on 10 January 2019. This represents a distribution of 29.3% of the Group's net profit attributable to shareholders. Moving forward, our Property Development and Construction Division will continue to leverage on the demand for a ordable residential properties as well as upgraders looking for medium high-end landed residential properties, banking on the Group's upcoming property launches with an estimated GDV target of RM1.20 billion strategically located in the much sought after vicinities of Kajang, Semenyih, and Puncak Alam. As at 30 September 2018, this division recorded unbilled sales of RM1.06 billion that is mainly attributable to ongoing property projects, namely Inspirasi Mont'Kiara, TR Residence and Hillpark @ Shah Alam North. Subsequent to the financial year ended 30 September 2018, we have also entered into two (2) joint-ventures to develop serviced apartments with total GDV of approximately RM1.09 billion. Located in Kajang and Kuala Lumpur respectively, both proposed projects are transit-oriented development with direct access to Sungai Jernih Mass Rapid Transit (“MRT”) Station in Kajang and Titiwangsa Light Rail Transit, Monorail and upcoming MRT Interchange Station respectively. As majority of our oil palm trees have reached prime age, our implementation of mechanisation process in the collection and transportation of harvested crops is timely to enhance estate productivity. Further, we expect demand for crude palm oil (“CPO”) to pick up following the reduced CPO import levy by India as one of the main buyers of CPO as well as the implementation of B10 and B20 biodiesel in Malaysia and Indonesia respectively. In addition, the abolishment of Indonesian export levy on CPO if market price is below USD570 per MT augurs well for our plantation as we are also exporting our CPO. On behalf of the Board of Directors, my utmost sincere gratitude and thanks to our valued shareholders, customers, bankers, business associates and regulatory authorities for their continued support towards the Group. My heartfelt gratitude also goes to my fellow Board members, management team and over 4,300 employees for their dedication as we move forward together into the new year. I look forward to a fruitful and eventful year in 2019 with the continued support from all of our stakeholders. Tan Sri Dato' Alex Chen Kooi Chiew Group Executive Chairman Implementation of mechanical-assisted collection has significantly improved in-field mobility and productivity at our oil palm plantation Artist's impression of the thematic recreational park in a new residential phase of Kaori and Murasaki @ Kajang 2 Precinct 2