Kuala Lumpur Kepong Berhad : Fourth Quarter 2021Ended 30 September 2021

KUALA LUMPUR KEPONG BERHAD

197301001526 (15043-V)

Interim Financial Report

For the year ended 30 September 2021

KUALA LUMPUR KEPONG BERHAD

197301001526 (15043-V)

The Directors are pleased to announce the unaudited financial results of the Group for the year ended 30 September 2021.

Condensed Consolidated Statement of Profit or Loss

For the year ended 30 September 2021

(The figures have not been audited.)

	Individual Quarter		Cumulative Quarter
	3 months ended		12 months ended
	30 September		30 September
	2021	2020	+/(-)	2021	2020	+/(-)
	RM'000	RM'000	%	RM'000	RM'000	%
Revenue	5,934,533	4,003,408	48.2	19,915,796	15,595,956	27.7
Operating expenses	(5,315,324)	(3,751,071)	41.7	(17,836,499)	(14,505,455)	23.0
Other operating income	46,988	164,792	(71.5)	814,216	327,519	148.6
Finance costs	(63,283)	(57,396)	10.3	(237,707)	(242,598)	(2.0)
Net impairment reversals/(losses)
on financial assets	3,287	(7,194)	N/M	1,184	(13,274)	N/M
Share of results of associates	256,483	(11,291)	N/M	287,301	32,569	782.1
Share of results of joint ventures	17,270	(4,958)	N/M	32,134	(8,987)	N/M
Profit before taxation	879,954	336,290	161.7	2,976,425	1,185,730	151.0
Taxation	(184,311)	(97,003)	90.0	(524,373)	(328,681)	59.5
Net profit for the period	695,643	239,287	190.7	2,452,052	857,049	186.1
Attributable to:
Equity holders of the Company	625,800	208,816	199.7	2,257,584	772,604	192.2
Non-controlling interests	69,843	30,471	129.2	194,468	84,445	130.3
	695,643	239,287	190.7	2,452,052	857,049	186.1
	Sen	Sen		Sen	Sen
Earnings per share - basic	58.0	19.4		209.3	72.0
Earnings per share - diluted	N/A	N/A		N/A	N/A
N/M - Not meaningful
Comments on Results
Included in profit before taxation for the current quarter and 12-month todate ended 30 September 2021 are the following
non-operational items:
				Current	Year
				Quarter	Todate
				RM'000	RM'000
Fair value surplus on deemed disposal of an associate, Aura Muhibah Sdn Bhd	-	324,260
Surplus on sales of land and government acquisitions			4,264	162,642
Foreign exchange gain from translation of inter-company loans denominated
in foreign currencies				962	52,223
Fair value surplus of an ordinary investment which was previously
an associate				-	12,606
Negative goodwill from acquisition of Aura Muhibah Sdn Bhd		-	2,941
Impairment on an estate in Liberia				(61,887)	(61,887)
Total				(56,661)	492,785
Excluding the above non-operational items, profit before tax of the Group for the current quarter and 12-months ended 30
September 2021 would be RM936.6 million and RM2.484 billion respectively and earnings per share would be 63.3 sen
and 163.8 sen respectively.

The Condensed Consolidated Statement of Profit or Loss should be read in conjunction with the Annual Financial Report for the year ended 30 September 2020.

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KUALA LUMPUR KEPONG BERHAD

197301001526 (15043-V)

Condensed Consolidated Statement of Other Comprehensive Income

For the year ended 30 September 2021

(The figures have not been audited.)

Individual Quarter

3 months ended

30 September

2021 2020

RM'000 RM'000

Cumulative Quarter

12 months ended

30 September

2021 2020

RM'000 RM'000

Net profit for the period	695,643	239,287	2,452,052	857,049
Other comprehensive income/(loss) that
will be reclassified subsequently to
profit or loss
Currency translation differences	46,868	(196,828)	193,718	(24,890)
Share of other comprehensive (loss)/income
in associates	(11,034)		23,412		(62,827)		5,813
	35,834	(173,416)	130,891	(19,077)
Other comprehensive income/(loss) that
will not be reclassified subsequently to
profit or loss
Net change in fair value of equity
instruments	57,602	34,055	134,473	(21,865)
Share of other comprehensive income/(loss)
in associates	48,755	(19,918)	65,300	(25,038)
Remeasurement of defined benefit plans	(3,632)		10,808		(3,632)		10,808
	102,725	24,945	196,141	(36,095)
Total other comprehensive income/(loss)
for the period	138,559		(148,471)		327,032		(55,172)
Total comprehensive income for the period	834,202	90,816	2,779,084	801,877
Attributable to:
Equity holders of the Company	754,259	72,828	2,571,800	727,913
Non-controlling interests	79,943		17,988		207,284		73,964
	834,202	90,816	2,779,084	801,877

The Condensed Consolidated Statement of Other Comprehensive Income should be read in conjunction with the Annual Financial Report for the year ended 30 September 2020.

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KUALA LUMPUR KEPONG BERHAD

197301001526 (15043-V)

Condensed Consolidated Statement of Financial Position

As at 30 September 2021

(The figures have not been audited.)

	30 September		30 September
	2021	2020
	RM'000		RM'000
Assets
Property, plant and equipment	11,014,851	7,656,584
Right-of-use assets	1,316,628	868,435
Inventories	2,035,257	1,096,046
Goodwill on consolidation	327,417	326,345
Intangible assets	20,907	22,324
Investments in associates	1,777,894	1,544,951
Investments in joint ventures	179,649	145,783
Other investments	598,959	416,150
Other receivable	444,389	228,269
Deferred tax assets	338,660		367,758
Total non-current assets	18,054,611		12,672,645
Inventories	2,991,026	1,972,866
Biological assets	210,218	126,922
Trade and other receivables	3,167,272	2,133,846
Contract assets	7,448	10,276
Tax recoverable	25,021	58,497
Derivative financial assets	162,459	98,309
Short term funds	253,405	919,957
Cash and cash equivalents	3,205,971		2,952,981
Total current assets	10,022,820		8,273,654
Total assets	28,077,431	20,946,299
Equity
Share capital	1,375,695	1,373,861
Reserves	10,510,376		9,466,651
	11,886,071	10,840,512
Less: Cost of treasury shares	(26,809)		(13,447)
Total equity attributable to equity holders of the Company	11,859,262	10,827,065
Non-controlling interests	2,347,778		977,035
Total equity	14,207,040	11,804,100
Liabilities
Deferred tax liabilities	965,959	452,690
Lease liabilities	148,449	139,856
Deferred income	98,465	106,564
Provision for retirement benefits	559,576	545,568
Borrowings	5,612,880		5,110,442
Total non-current liabilities	7,385,329		6,355,120
Trade and other payables	2,734,106	1,212,849
Contract liabilities	120,584	85,531
Deferred income	8,598	8,419
Lease liabilities	9,983	32,439
Borrowings	3,152,482	1,310,848
Tax payable	221,142	39,546
Derivative financial liabilities	238,167		97,447
Total current liabilities	6,485,062		2,787,079
Total liabilities	13,870,391		9,142,199
Total equity and liabilities	28,077,431	20,946,299
Net assets per share attributable to equity holders
of the Company (RM)	11.00	10.04

The Condensed Consolidated Statement of Financial Position should be read in conjunction with the Annual Financial Report for the year ended 30 September 2020.

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																KUALA LUMPUR KEPONG BERHAD
																		197301001526 (15043-V)
	Condensed Consolidated Statement of Changes in Equity
			For the year ended 30 September 2021
			(The figures have not been audited.)
					Attributable to the equity holders of the Company
					Exchange		Fair									Non-
	Share		Capital		fluctuation		value	Retained		Other		Treasury				controlling		Total
	capital		reserve		reserve		reserve			earnings		reserve		shares		Total		interests		Equity
	RM'000		RM'000		RM'000		RM'000	RM'000		RM'000		RM'000		RM'000		RM'000		RM'000
At 1 October 2020	1,373,861	1,322,993	(4,322)	610,621			7,537,359	-	(13,447)	10,827,065	977,035	11,804,100
Net change in fair value of equity instruments	-	-	-	134,473			-	-	-	134,473	-	134,473
Realisation on fair value of equity instruments	-	-	-	(1,339)			1,339	-	-	-	-	-
Transfer of reserves	-	16,892	-	-			(16,892)	-	-	-	-	-
Share of comprehensive (loss)/income in associates	-	-	(62,827)	-			65,300	-	-	2,473	-	2,473
Remeasurement of defined benefit plans	-	-	-	-			(3,699)	-	-	(3,699)	67	(3,632)
Currency translation differences	-	451	180,518	-			-	-	-	180,969	12,749	193,718
Total other comprehensive income for the year	-	17,343	117,691	133,134			46,048	-	-	314,216	12,816	327,032
Profit for the year	-	-	-	-			2,257,584	-	-	2,257,584	194,468	2,452,052
Total comprehensive income for the year	-	17,343	117,691	133,134			2,303,632	-	-	2,571,800	207,284	2,779,084
Acquisition through business combination	-	-	-	-			-	-	-	-	1,560,148	1,560,148
Unconditional Mandatory General Offer ("MGO") on
acquisition of a subsidiary *	-	-	-	-			-	(935,048)	-	(935,048)	-	(935,048)
Purchase of shares from non-controlling interests	-	-	-	-			-	-	-	-	(250,470)	(250,470)
Issuance of shares to non-controlling interests	-	-	-	-			-	-	-	-	17,472	17,472
Redemption of redeemable preference shares	-	228,000	-	-			(220,000)	-	-	8,000	(8,000)	-
Employees' share grant scheme	1,834	-	-	-			-	-	558	2,392	-	2,392
Shares buy back	-	-	-	-			-	-	(13,920)	(13,920)	-	(13,920)
Effect of deemed disposal of shares in an associate	-	-	2	-			(2)	-	-	-	-	-
Effect of changes in shareholdings in a subsidiary	-	-	-	-			(7,876)	-	-	(7,876)	(15,635)	(23,511)
Dividend paid - FY2020 final	-	-	-	-			(377,494)	-	-	(377,494)	-	(377,494)
- FY2021 interim	-	-	-	-			(215,657)	-	-	(215,657)	-	(215,657)
Dividends paid to non-controlling interests	-	-	-	-			-	-	-	-	(140,056)	(140,056)
Total transactions with owners of the Company	1,834	228,000	2	-			(821,029)	(935,048)	(13,362)	(1,539,603)	1,163,459	(376,144)
At 30 September 2021	1,375,695	1,568,336	113,371	743,755			9,019,962	(935,048)	(26,809)	11,859,262	2,347,778	14,207,040

• Upon the closing of MGO on 18 November 2021, Other Reserve amounting to RM795,530,000, representing the shares acquired during the MGO period, would be set off against non-controlling interests and the remaining balance of RM139,518,000 would be reversed against other payable.

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