Shah Alam, 26 February 2014 – UMW Holdings Berhad announced today that the Group recorded lower revenue of RM3,891.8 million for the fourth quarter ended 31st December 2013 compared to RM4,050.4 million recorded in the same period of 2012. The lower revenue was mainly contributed by the lower sales of motor vehicles and equipment.Consequently, the Group recorded a lower profit before taxation of RM333.7 million compared to RM471.0 million recorded in the same period of 2012. This was mainly due to lower contributions from the Automotive and M&E segments offset by improved contributions from the Equipment and Oil & Gas segments. In spite of the lower revenue performance of the Equipment Segment, profit contribution from this segment was higher due to better margins.
The net profit attributable to equity holders of the Company for the fourth quarter ended 31st December 2013 was RM109.1 million compared to RM250.9 million in the previous year’s corresponding quarter.
Automotive Segment
The new Vios model that was launched only in October 2013 contributed to the lower revenue of RM2,866.9 million in the quarter ended 31st December 2013 as compared to the same quarter of 2012. Order-taking for the new Vios was encouraging with total cumulative order of about 20 thousand units, with a waiting period of 3.5 months immediately after the initial launch which subsequently reduced to 2.8 months by December 2013. Overall vehicle sales improved compared to the previous quarter but was lower than the same quarter of 2012. Perodua recorded an increase in vehicle sales of 3.1% in the fourth quarter of 2013 compared to the corresponding quarter in 2012, contributed by higher sales of the new MyVi. In line with the lower revenue, profit before taxation recorded in the fourth quarter of 2013 of RM390.9 million was lower than that of the same quarter of 2012.
Equipment Segment
Revenue for Equipment Segment was RM371.1 million, lower than that of the same period of 2012. The drop in commodity prices and continued suspension of mining activities in a country where we operate resulted in lower demand of our equipment during the quarter.
Nevertheless, profit before taxation of the Equipment Segment of RM24.5 million was higher than that of the previous year’s corresponding quarter. The improvement was contributed by better margins.
Oil & Gas Segment
Revenue for the Oil & Gas Segment of RM206.0 million for the current quarter was higher compared to the same quarter of 2012 of RM128.2 million, mainly due to higher exploration income especially from the new NAGA 4.
In tandem with the increase in revenue, profit before taxation increased to RM54.5 million in the current quarter of 2013 from RM12.5 million registered in the preceding year’s corresponding quarter.
Manufacturing & Engineering Segment
Revenue for the Manufacturing & Engineering Segment for the current quarter of RM184.0 million was higher than that of the same quarter in 2012. However, this segment registered a loss before taxation of RM11.6 million for the quarter due to the current downturn of the automotive industry and impairment of assets of our subsidiaries in India.
Dividend
The Board has declared a third interim single-tier dividend of 18% or 9.0 sen per share of RM0.50 each, amounting to a net dividend payable of approximately RM105.1 million (2012 – RM292.1 million) for the financial year ended 31st December 2013. The dividend will be paid on 25th April 2014.
The total single-tier dividend for the financial year ended 31st December 2013 would be 88% or 44.0 sen per share of RM0.50 each, amounting to a net dividend of approximately RM514.0 million (2012 ‘ 100% or 50.0 sen per share of RM0.50 each, amounting to a net dividend of RM584.2 million).
About UMW
The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses – Automotive, Equipment, Manufacturing & Engineering, and Oil & Gas.
Adopting its rallying call – Beyond Boundaries®, UMW is set to play a leading role in shaping the future of its industries globally. The Company will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of all its stakeholders.
