UEM Sunrise : 2023 Q3

UEM SUNRISE BERHAD

Registration No. 200801028815 (830144-W)

Incorporated In Malaysia

QUARTERLY REPORT ON CONSOLIDATED RESULTS FOR THE THIRD QUARTER ENDED 30 SEPTEMBER 2023

THE FIGURES HAVE NOT BEEN AUDITED

I(A). CONDENSED CONSOLIDATED INCOME STATEMENT

			INDIVIDUAL QUARTER	CUMULATIVE QUARTER
				Preceding year	Nine		Nine
			Current year		corresponding	months		months
			quarter		quarter	to		to
		Note	30/09/2023	30/09/2022		30/09/2023	30/09/2022
			RM'000		RM'000	RM'000		RM'000
1. (a)	Revenue		312,354	355,759		917,087	1,137,210
(b)	Cost of sales		(229,583)		(261,150)		(613,565)		(829,367)
(c)	Gross profit		82,771	94,609		303,522	307,843
(d)	Other income		22,974	16,405		51,109	47,298
(e)	Expenses		(63,278)	(50,311)		(179,862)	(180,523)
(f)	Finance costs		(38,755)	(36,326)		(117,062)	(106,877)
(g)	Foreign exchange (loss)/gain		(43)	(4,574)		4,209	(1,446)
(h)	Share of net results of associates		1,078	(2,738)		2,008	4,712
(i)	Share of net results of joint ventures		8,822	8,803		23,457	23,443
(j)	Profit before income tax
	from continuing operations		13,569	25,868		87,381	94,450
(k)	Loss before income tax
	from discontinued operations		(169)		(644)		(1,417)		(1,212)
(l)	Profit before income tax		13,400	25,224		85,964	93,238
(j)	Profit before income tax
	from continuing operations		13,569	25,868		87,381	94,450
(m) Income tax expense	14	(2,465)	(3,903)		(31,367)	(31,722)
(n)	Profit for the period from
	continuing operations		11,104	21,965		56,014	62,728
(o)	Loss from discontinued operations		(169)		(644)		(1,417)		(1,212)
(p)	Profit for the period		10,935		21,321		54,597		61,516

The condensed Consolidated Statement of Comprehensive Income should be read in conjunction with the Annual Audited Financial Statements for the year ended 31 December 2022 and the accompanying explanatory notes attached to this quarterly announcement.

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UEM SUNRISE BERHAD

Registration No. 200801028815 (830144-W)

Incorporated In Malaysia

I(A). CONDENSED CONSOLIDATED INCOME STATEMENT (CONT'D)

		INDIVIDUAL QUARTER	CUMULATIVE QUARTER
			Preceding year	Nine		Nine
		Current year		corresponding	months		months
		quarter		quarter	to		to
	Note 30/09/2023	30/09/2022		30/09/2023	30/09/2022
		RM'000		RM'000	RM'000		RM'000
Attributable to:
(q) Owners of the Parent
Profit for the period from
continuing operations	8,473	20,871		49,528	61,048
Loss for the period from discontinued
operations	(136)	(518)		(1,139)	(974)
Profit for the period attributable
to owner of the parent	8,337	20,353		48,389	60,074
(r) Non-controlling Interests
Profit for the period from continuing
operations	2,631	1,094		6,486	1,680
Loss for the period from discontinued
operations	(33)	(126)		(278)	(238)
Profit for the period attributable to
non-controlling interests		2,598		968		6,208		1,442
Profit for the period	10,935	21,321		54,597	61,516
2. Earning/(loss) per share based on
1(q) above	21
- Continuing operations		0.17 sen		0.41 sen	0.98 sen		1.21 sen
- Discontinued operations		(0.00)sen		(0.01) sen	(0.00)sen		(0.02)sen
		0.17 sen		0.40 sen		0.98 sen		1.19 sen

The condensed Consolidated Statement of Comprehensive Income should be read in conjunction with the Annual Audited Financial Statements for the year ended 31 December 2022 and the accompanying explanatory notes attached to this quarterly announcement.

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UEM SUNRISE BERHAD

Registration No. 200801028815 (830144-W)

Incorporated In Malaysia

I(B). CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

	INDIVIDUAL QUARTER	CUMULATIVE QUARTER
		Preceding year	Nine	Nine
	Current year	corresponding	months	months
	quarter	quarter	to	to
	(Note 1)	(Note 1)	(Note 1)	(Note 1)
	30/09/2023	30/09/2022	30/09/2023	30/09/2022
	RM'000	RM'000	RM'000	RM'000
Profit for the period	10,935	21,321	54,597	61,516

Other comprehensive expense to be reclassified to profit or loss in subsequent period:

Foreign currency translation differences for foreign operations

Total other comprehensive expense for the period, net of tax

Total comprehensive income for the period

Attributable to:

Owners of the Parent

Non-controlling Interests

Total comprehensive income for the period

(6,694)			(10,184)			(6,694)		(848)
(6,694)	(10,184)	(6,694)	(848)
4,241		11,137		47,903		60,668
(1,988)	10,138	41,674	59,207
6,229	999	6,229	1,461
4,241	11,137	47,903	60,668

Note 1: Included discontinued operations with regard to Roc-Union Group. Refer the details in Note 11(iii).

The condensed Consolidated Statement of Comprehensive Income should be read in conjunction with the Annual Audited Financial Statements for the year ended 31 December 2022 and the accompanying explanatory notes attached to this quarterly announcement.

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UEM SUNRISE BERHAD

Registration No. 200801028815 (830144-W)

Incorporated In Malaysia

I(C). REMARKS TO CONDENSED CONSOLIDATED INCOME STATEMENT

		INDIVIDUAL QUARTER	CUMULATIVE QUARTER
			Preceding year	Nine	Nine
		Current year	corresponding	months	months
		quarter	quarter	to	to
	Note	30/09/2023	30/09/2022	30/09/2023	30/09/2022
		RM'000	RM'000	RM'000	RM'000
Profit before income tax from continuing
operations is arrived at after charging/(crediting):
Finance costs		38,755	36,326	117,062	106,877
Depreciation		11,599	13,542	38,554	40,377
Interest income		(11,937)	(5,318)	(30,981)	(15,513)
(Gain)/loss on foreign exchange:
- unrealised		(3,815)	4,602	(3,815)	1,546
- realised		(394)	(28)	(394)	(100)
Dividend income from investment
at fair value through profit or loss		(1,542)	(37)	(2,916)	(224)
Write back of impairment
of receivables		-	-	-	(556)
Net allowance for doubtful debts		(538)	(518)	293	1,234
Loss on disposal of subsidiaries	(a)	-	-	-	479

Other than the above, there was no write-off of inventories, write-back of impairment of assets, exceptional items and reversal of provisions for the costs of restructuring.

1. On 18 March 2022, Sunrise Berhad, a wholly-owned subsidiary of the Company, completed the Share Sale and Purchase Agreement ("SSPA") with SCM Property Management Sdn Bhd ("Purchaser") for the disposal of 100% equity in SCM Property Services Sdn Bhd ("SCM") for a total sale consideration of RM1.7 million. Consequently, SCM ceased to be an indirect subsidiary of the Company ("SCM disposal").

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UEM SUNRISE BERHAD

Registration No. 200801028815 (830144-W)

Incorporated In Malaysia

II. CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION
Unaudited	Audited
As at current	As at preceding
financial year end	financial year end

ASSETS

1. Non-current assets

Property, plant and equipment Investment properties Right-of-use assets

Land held for property development Interests in associates

Interests in joint ventures Amounts due from joint ventures Goodwill

Deferred tax assets Long term receivables

2. Current assets

Property development costs Inventories held for sale Inventories under contract of sale Receivables

Contract assets

Amounts due from associates Amounts due from joint ventures Short term investments

Cash, bank balances and deposits

Assets classified as held for sale

(a)

30/09/2023

RM'000

394,131

777,078

18,834

5,101,200

843,704

890,456

149,622

621,409

257,495

361,652

9,415,581

1,067,243

135,790

77,044

508,068

410,564

610

104,844

5

1,112,529

3,416,697

33,700

31/12/2022

RM'000

407,260

780,014

21,831

5,158,456

844,980

891,191

156,982

621,409

283,003

360,295

9,525,421

978,702

203,005

102,096

672,969

374,672

612

103,473

45,005

1,025,551

3,506,085

22,397

Total assets

12,865,978

13,053,903

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UEM SUNRISE BERHAD

Registration No. 200801028815 (830144-W)

Incorporated In Malaysia

II. CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION (CONT'D)

	Note
EQUITY AND LIABILITIES
3. Equity attributable to Owners of the Parent
Share capital
Reserves
Merger relief reserve
Other reserves
Retained profits
4. Non-controlling Interests
Total equity
5. Non-current liabilities
Borrowings	16
Lease liabilities
Payables
Contract liabilities
Deferred income
Provisions
Deferred tax liabilities
6. Current liabilities
Provisions
Payables
Contract liabilities
Borrowings	16
Lease liabilities
Tax payable

Total liabilities

Total equity and liabilities

7. Net assets per share attributable to Owners of the Parent

Unaudited	Audited
As at current	As at preceding
financial year end	financial year end
30/09/2023		31/12/2022
RM'000	RM'000
4,960,276		4,960,276
34,330		34,330
71,625		78,340
1,719,352		1,696,255
6,785,583		6,769,201
110,696		104,467
6,896,279		6,873,668
2,889,095		2,360,637
15,612		18,414
40,068		45,976
248,498		239,678
194,036		162,839
29,971		68,317
139,594		163,395
3,556,874		3,059,256
157,106		104,003
852,515		937,938
60,265		105,041
1,322,355		1,954,611
3,873		3,617
16,711		15,769
2,412,825		3,120,979
5,969,699		6,180,235
12,865,978		13,053,903
RM 1.34		RM 1.34

(a) Included discontinued operations with regard to Roc-Union Group. Refer the details in Note 11(iii).

The condensed Consolidated Statement of Financial Position should be read in conjunction with the Annual Audited Financial Statements for the year ended 31 December 2022 and the accompanying explanatory notes attached to this quarterly announcement.

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UEM SUNRISE BERHAD

Registration No. 200801028815 (830144-W)

Incorporated In Malaysia

III. CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

Note

Operating Activities

Cash receipts from customers

Cash receipts from related parties

Cash payments to contractors

Cash payments for land and development related costs

Cash payments to related parties

Cash payments to employees and for expenses

Cash generated from operations

Net income tax paid

Interest received

Net cash generated from operating activities

Investing Activities

Dividend received from joint ventures Net proceeds from disposal of subsidiary Purchase of property, plant and equipment Purchase of investment properties

Net repayment from joint ventures

Redemption of Redeemable Non-convertibleNon-cumulative Preference Shares from an associate

Investment in a joint venture

Investment in land held for property development Net redemption in short term investments

Net cash generated from/(used in) investing activities

Unaudited

Nine

months

to

30/09/2023

RM'000

1,083,079

48,558

(610,509)

(8,809)

(4,925)

(176,014)

331,380

(33,894)

11,601

309,087

36,000

-

(66)

(9,551)

5,425

-

-

(23,534)

73,373

81,647

Unaudited

Nine

months

to

30/09/2022

RM'000

894,205

2,783

(456,106)

(129,702)

(397)

(184,764)

126,019

(13,219)

10,486

123,286

31,000

356

(1,634)

(9,216)

8,698

6,400

(900)

(70,414)

5,138

(30,572)

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UEM SUNRISE BERHAD

Registration No. 200801028815 (830144-W)

Incorporated In Malaysia

III. CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS (CONT'D)

		Unaudited
		Nine
		months
		to
	Note	30/09/2023
		RM'000
Financing Activities
Drawdown of borrowings		861,537
Drawdown of Islamic Medium Term Notes
and Islamic Commercial Papers		1,345,000
Repayment of borrowings		(1,280,181)
Repayment of Islamic Medium Term Notes		(1,020,000)
Repayment of lease liabilities		(3,403)
Dividend paid		(25,292)
Interest paid		(164,056)
Net cash generated (used in)/from financing activities		(286,395)
Effects of exchange rate changes		3,667
Net increase in cash and cash equivalents		108,006
Cash and cash equivalents as at beginning of financial period		995,768
Cash and cash equivalents as at end of financial period	(a)	1,103,774
		Unaudited
		As at
		30/09/2023
		RM'000
(a) Cash and cash equivalents comprise of the following amounts:
Cash, bank balances and deposits
Unrestricted		595,953
Restricted		516,576
		1,112,529
Bank overdrafts (included in short term borrowings)	16	(8,755)
Cash and cash equivalents		1,103,774

Unaudited

Nine

months

to

30/09/2022

RM'000

896,126

555,000

(1,142,319)

(150,000)

(20,997)

-

(132,251)

5,559

(837)

97,436

848,204

945,640

Unaudited

As at

30/09/2022

RM'000

610,546

339,765

950,311

(4,671)

945,640

There is no cash and cash equivalents and its comparative from discontinued operations with regard to Roc- Union Group. Refer the details in Note 11(iii).

The condensed Consolidated Statement of Cash Flows should be read in conjunction with the Annual Audited Financial Statements for the year ended 31 December 2022 and the accompanying explanatory notes attached to this quarterly announcement.

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UEM SUNRISE BERHAD

Registration No. 200801028815 (830144-W)

Incorporated In Malaysia

IV. CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN TOTAL EQUITY

			Attributable to Owners of the Parent
	Non-distributable			Distributable
			Merger
	Share		Relief	Other		Retained			Non-controlling		Total
	Capital		Reserve	Reserves		Profits		Total		Interests		Equity
						Note 1		Note 1				Note 1
	RM'000		RM'000	RM'000		RM'000		RM'000		RM'000		RM'000
Nine months to 30 September 2023
(Unaudited)
At 1 January 2023	4,960,276	34,330			78,340	1,696,255	6,769,201	104,467	6,873,668
Total comprehensive income for the period	-	-			(6,715)	48,389	41,674	6,229	47,903
Dividend paid (Note 7)	-	-			-	(25,292)	(25,292)	-	(25,292)
At 30 September 2023
4,960,276		34,330			71,625		1,719,352		6,785,583		110,696		6,896,279
Nine months to 30 September 2022	4,960,276	34,330			71,625	1,719,352	6,785,583	110,696	6,896,279
(Unaudited)
At 1 January 2022	4,960,276	34,330			82,798	1,615,716	6,693,120	102,931	6,796,051
Total comprehensive income for the period	-	-			(867)	60,074	59,207	1,461	60,668
At 30 September 2022
4,960,276		34,330			81,931		1,675,790		6,752,327		104,392		6,856,719

Note 1: Included discontinued operations with regard to Roc-Union Group. Refer the details in Note 11(iii).

The Consolidated Statement of Changes in Total Equity should be read in conjunction with the Annual Audited Financial Statements for the year ended 31 December

2022 and the accompanying explanatory notes attached to this quarterly announcement.

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UEM SUNRISE BERHAD

Registration No. 200801028815 (830144-W)

Incorporated In Malaysia

V. NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

1. Basis of preparation
   The condensed consolidated interim financial statements have been prepared in accordance with Malaysian Financial Reporting Standard 134 : Interim Financial Reporting and also in compliance with IAS 34 : Interim Financial Reporting issued by the International Accounting Standards Board and applicable disclosure provisions of the Listing Requirements of Bursa Malaysia Securities Berhad.
   The notes to the condensed consolidated interim financial statements should be read in conjunction with the Group's annual audited financial statements for the financial year ended 31 December 2022, which have been prepared in accordance with the Malaysian Financial Reporting Standards ("MFRS"), International Financial Reporting Standards and the Companies Act 2016.
2. Changes in accounting policies and methods of computation
   The accounting policies and methods of computation adopted by the Group in this condensed consolidated interim financial statements are consistent with those adopted in the most recent audited financial statements for the financial year ended 31 December 2022 except for the newly issued MFRS, interpretation and amendments to standards to be applied by all Entities Other Than Private Entities for the financial periods beginning on or after 1 January 2023:
   Amendments to MFRS 112 Income Taxes: Deferred Tax related to Assets and Liabilities arising from a Single Transaction
   Amendments to MFRS 101 Presentation of Financial Statements: Classification of Liabilities as Current or Non-current
   Amendments to MFRS 101: Presentation of Financial Statements and MFRS Practice Statement 2: Disclosure of Accounting Policies
   Amendments to MFRS 108: Accounting Policies, Changes in Accounting Estimates and Errors: Definition of Accounting Estimates
   The adoption of the above new standards and other pronouncements did not have any significant effects on the interim financial statements upon their initial applications.
   Standards issued but not yet effective
   The Group has not adopted the following standards and interpretations that have been issued but are not yet effective:

	Effective for the financial
	periods beginning on or
Amendments to MFRS 16: Lease Liability in a Sale and Leaseback	1 January 2024
Amendments to MFRS 101: Non-current Liabilities with Covenants	1 January 2024
Amendments to MFRS 107 and MFRS 7: Supplier Finance Arrangements	1 January 2024
Amendments to MFRS 10 and MFRS 128: Sale or Contribution of Assets
between an Investor and its Associate or Joint Venture	Deferred

The adoption of the above new standards and other pronouncements will not have any significant effects on the interim financial statements.

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