Shalimar Malay : Interim Financial Statements as of 31st December 2021

Shalimar (Malay) PLC

Summarised Financial Report

for the nine months ended

31st December 2021

SHALIMAR (MALAY) PLC

Review of operations for the period ended 31st December 2021

The main business of the Company is the minority equity investments it holds in Shalimar Developments Sdn. Bhd. (SDSB) and in Shalimar (Malay) PLC (SMPLC). SDSB's investee company carries out palm oil plantation operations in Indonesia.

The investee company has been taking several measures to ensure uninterrupted business operations in the midst of the relentless COVID-19 pandemic. On a positive note, the Crude Palm Oil prices (CPO) have continued to trade at higher levels during the quarter under review, partly impacted by the duty on CPO sales introduced by the Indonesian government in Dec 2020 to support its bio-diesel mandate. In the backdrop of these industry and economic challenges, the company is cautiously preserving its liquidity position to ensure it remains strong and resilient.

The Company received dividends from its equity investments in the period under review. Further, the Company earned interest income from its short-term deposits in Sri Lanka, the rate of which has declined sharply following the pandemic outbreak. Accordingly, the Company recorded an after tax profit of Rs. 20.12 Mn from its operations during the period under review; compared to a profit of Rs 0.36 Mn recorded in the corresponding period of the previous financial year.

Interim Dividend

The Company received a dividend from its investment in SDSB in July 2021 and consequently declared an interim dividend of Rs 8.90 per share to the shareholders for the year ending 31st March 2022. This was paid to the shareholders in July 2021.

Minimum Public Holding

As previously informed, the Company is not in compliance with the minimum public holding requirements in relation to a Company Listed on the Main Board of the Colombo Stock Exchange (CSE) as per Rule 7.13.1 (a) of the Listing Rules of CSE, due to which the Company was transferred to the 'Watch List' of the CSE in terms of Rule 7.13.2 (b) of the previous Listing Rules of the CSE with effect from 2nd July 2018.

However, the CSE via their Circular No. 03/2019 dated 3rd October 2019 amended the Listing Rules on enforcement actions applicable for non-compliance with minimum public holding requirements with effect from 12th September 2019. Accordingly, in terms of Rule 7.13.2 of the Listing Rules of the CSE, the company was transferred to the Second Board with effect from 15th November 2019.

We wish to highlight that the objective of the voluntary offer made to all shareholders on 17th March 2011 was to acquire the entire minority shareholding as a step towards the consolidation of the oil palm plantation business. The offer documents also mentioned that upon completion of the voluntary offer, the rational for remaining listed will be evaluated. Since the voluntary offer did not result in the acquisition of the entire minority shareholding, the Company continued to remain listed.

Taking into consideration that a voluntary offer had been made and also considering that there is no requirement for additional capital infusion to the Company and resultantly, there being no plans for issuing of new shares nor a dilution by the majority shareholder and as previously communicated to shareholders through market disclosures and Annual Reports and in terms of the revised Listing Rules, we will report the proposed course of action.

Agro Harapan Lestari (Pvt) Ltd

Managers

07th February 2022

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SHALIMAR (MALAY) PLC

Statement of Profit or Loss

	Quarter ended		Nine months ended
(All figures in Sri Lankan Rupees '000)	31st December	Change	31st December	Change
	2021	2020		2021	2020
			%			%
Dividend income	-	-	-	21,356	-	-
Interest income	124	1,033	-88%	186	1,852	-90%
Administrative expenses	(374)	(1,689)	-78%	(1,424)	(1,490)	-4%
Profit / (loss) before tax for the period	(250)	(656)	-62%	20,118	362	5457%
Income tax expense	-	-	-	-	-	-
Profit / (loss) for the period	(250)	(656)	-62%	20,118	362	5457%
Earnings Per Share (Rs.)	(0.05)	(0.12)		3.73	0.07
Statement of comprehensive income	Quarter ended		Nine months ended
	31st December	Change	31st December	Change
	2021	2020		2021	2020
			%			%
Profit for the period	(250)	(656)	-62%	20,118	362	5457%
Other Comprehensive Income / (Expense) for the period, net	-	-	-	-	-	-
of tax
Total Comprehensive Income for the period, net of tax	(250)	(656)	-62%	20,118	362	5457%

Changes represent the percentage change in current period's results compared to corresponding period of last year. Figures in brackets indicate deductions/negative changes.

The above figures are subject to audit.

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SHALIMAR (MALAY) PLC

Statement of financial position

(All figures in Sri Lankan Rupees '000)
		As at	As at
		31.12.2021	31.03.2021
ASSETS
Non-Current Assets
Property, Plant and Equipment		357	113
Non-current financial assets	(Note 3 )	6,896,135	6,896,135
Total Non- Current Assets		6,896,492	6,896,248
Current Assets
Advances and Prepayments		11	429
Income tax receivable		764	764
Short term investments		8,187	37,308
Cash and cash equivalents		3,906	2,558
Total Current Assets		12,868	41,059
Total Assets		6,909,360	6,937,307
EQUITY AND LIABILITIES
Equity
Stated capital	(Note 6)	69,401	69,401
Retained earnings		35,366	63,289
Other reserves		6,804,301	6,804,301
Total Shareholders' Funds		6,909,068	6,936,991
Current Liabilities
Provisions and Accrued Expenses		275	299
Unclaimed dividend		17	17
Total Current Liabilities		292	316
Total Liabilities		292	316
Total Equity and Liabilities		6,909,360	6,937,307
Net Asset per share (Rs.)		1,279.97	1,285.14

I certify that these financial statements are in compliance with the requirements of the Companies Act No. 7 of 2007.

(Sgd.)

Aneesh Dudeja

President / Chief Financial Officer

The Board of Directors is responsible for the preparation and presentation of these financial statements. Approved & signed for and on behalf of the Managers, Approved & signed for and on behalf of the Board,

(Sgd.)	(Sgd.)	(Sgd.)
Rushdi Azeez	H. Selvanathan	M. Selvanathan
Director	Chairman	Director
Agro Harapan Lestari (Pvt) Ltd
07th February 2022
The above figures are subject to audit.

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SHALIMAR (MALAY) PLC Statement of Changes in Equity (All figures in Sri Lankan Rupees '000)

Balance as at 1st April 2020 Profit for the year

Other comprehensive income for the year Total comprehensive income for the year Balance as at 31st March 2021

	Fair Value	Retained	Total
Stated Capital	Shareholders'
Reserve	Earnings
	Funds
69,401	5,476,219	62,221	5,607,841
-	-	1,068	1,068
-	1,328,082	-	1,328,082
-	1,328,082	1,068	1,329,150
69,401	6,804,301	63,289	6,936,991
	Fair Value	Retained	Total
Stated Capital	Shareholders'
Reserve	Earnings
	Funds

Balance as at 1st April 2020 Profit for the period

Other comprehensive income for the period Total comprehensive income for the period Balance as at 31st December 2020

69,401	5,476,219	62,221	5,607,841
-	-	362	362
-	-	-	-
-	-	362	362
69,401	5,476,219	62,583	5,608,203

		Stated	Fair Value	Retained	Total
		Shareholders
		Capital	Reserve	Earnings
		' Funds
Balance as at 1st April 2021		69,401	6,804,301	63,289	6,936,991
Profit for the period		-	-	20,118	20,118
Other comprehensive income for the period		-	-	-	-
Total comprehensive income for the period		-	-	20,118	20,118
Interim Dividend -2021/22	(Note 8)	-	-	(48,041)	(48,041)
Balance as at 31st December 2021		69,401	6,804,301	35,366	6,909,068

Figures in brackets indicate deductions/negative changes

The above figures are subject to audit.

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