Messages from Our Leaders Messages from Our Leaders Press Metal Aluminium Holdings Berhad 12 13 Integrated Annual Report 2023 CHAIRMAN’S STATEMENT RM13.8 billion REVENUE PATAMI RM1.2 billion MOVING AHEAD WITH RESILIENCE “We are making steady progress in Fortifying Our Position in the aluminium industry in Asia.” Chairman’s Statement DEAR VALUED STAKEHOLDERS On behalf of the Board of Directors of Press Metal Aluminium Holdings Berhad, it is my pleasure to present to you our inaugural Integrated Annual Report 2023. This IAR 2023 articulates our strategies, governance and performance during the financial year ended 31 December 2023. It highlights the strong links between our financial performance and the broader social, environmental and economic context, demonstrating how we have deployed our capital to drive value creation across the short, medium and long term. We delivered a strong financial performance in FYE2023 despite operating in a very challenging environment. This was achieved by leveraging our strong customer base, which forms the solid foundation of our efforts, expanding our product range to serve the automotive, industrial and various commercial sectors and enhancing our portfolio with valueadded ancillary products. Most importantly, the resilience of our workforce empowered us to adapt to the fast-changing environment and meet our goals while remaining true to our purpose. In addition, we expanded our extrusion capacity, enhanced our efficiency and optimised our cost structures while maintaining a sharp focus on improving our financial position, resulting in a lower gearing ratio and improved cash flow. In alignment with our commitment to our five core values – Business Acumen, Global Outlook, Focused Teamwork, Quality Excellence and Social Responsibility – these forwardthinking actions have and will continue to guide us in the allocation of capital and resources towards achieving our strategic objectives across the short, medium and long-term. Strategically, we are actively exploring renewable technologies. Notably, our partnership with Xi’an Jiaotong University through a collaborative research project aims to advance research and development initiatives in carbon capture and utilisation. Through this endeavour, we are committed to enhancing our contribution to a greener tomorrow. Indeed, we are making steady progress in Fortifying Our Position in the aluminium industry in Asia. Datuk Yvonne Chia Independent Non-Executive Chairman OUR FIVE CORE VALUES CONTINUING MACROECONOMIC UNCERTAINTY The global economic landscape in 2023 remained challenging, with headwinds stemming from a high-interest environment, escalating geopolitical conflicts from Ukraine to the Middle East and China’s slower than expected recovery. With these accelerating risks compounded by rapid technological change and the urgency of the net zero agenda, the Board and Management must proactively engage in future-proof planning to seek new opportunities and address rapidly evolving challenges. Within the global aluminium industry, the macroeconomic challenges led to reduced London Metal Exchange (“LME”) aluminium prices. However, we capitalised on the growth of green sectors such as electric vehicles (“EV”), solar and energy transmission – where aluminium plays a crucial role in key components and solutions – to open new avenues for growth. These emerging sectors represent promising opportunities for the Group and, with the trend towards low-carbon aluminium accelerating, we took steps to strengthen our sustainability profile, embracing the energy transition as a key driver of our future growth. FINANCIAL FORTITUDE IN CHALLENGING TIMES Our financial standing in FYE2023 remained robust with an annual revenue of RM13.8 billion and profit after tax and minority interest (“PATAMI”) of RM1.2 billion. This was mirrored by a strong balance sheet, with our net gearing ratio decreasing from 0.6 times in FYE2022 to 0.4 times as at the end of FYE2023. These results underscore our adept management of margins, our focus on value-added products (“VAPs”) – which deliver higher margins – and our prudent approach to balance sheet management. Our return on capital employed remains healthy at 22.2%. 1 Business Acumen 2 Global Outlook 3 Focused Teamwork 4 Quality Excellence 5 Social Responsibility
RkJQdWJsaXNoZXIy NDgzMzc=