Dear Stakeholders,
On behalf of the Board of Directors of CB Industrial Product Holding Berhad (“CBIP” or “the Company”), I am pleased to present the Annual Report and Audited Financial Statements of the Company and the Group for the financial year ended 31 December 2024.
For the financial year under review, the Group registered a revenue of RM739.2 million with a loss before tax of RM10.0 million, as compared to the preceding financial year’s revenue of RM841.0 million and profit before tax of RM100.0 million respectively.
The detailed analysis of the performance for the financial year ended 31 December 2024 is discussed in the enclosed Management Discussion and Analysis Report.
The Equipment and Engineering Segment anticipates stable demand in the near future and will continue to focus on growing its order book and increasing its clientele base, whereas the Special Purpose Vehicle Segment expects the market environment to remain challenging in 2025 despite the decline in performance due to stiff competition on open market tendering.
The Plantation and Milling Segment foresees a continuous improvement in performance in 2025 following the improved trees age profile as well as the soaring of crude palm oil prices over the period from 2024 to 2025.
Heading into 2025, with the upswing of the crude palm oil prices, CBIP is expect to have positive result leading by the Equipment and Engineering Segment and Plantation and Milling Segment. Thus, CBIP Group is optimistic of the Group’s financial performance in the coming financial year 2025.
In 2024, CBIP entered into shares sale and purchase agreements for the disposal of shares in its subsidiaries, namely Gulf Lubes Malaysia Sdn. Bhd. and TPG Oil & Gas Sdn. Bhd. The disposal is pending the fulfilment of the conditions precedent with both parties continue in active negotiation to complete the disposal.
The Company has consistently pay dividends each year while allocating funds for business growth and investment. The Company paid a first interim single tier dividend of 2.0 sen per share for the financial year ended 31 December 2024 on 28 August 2024, and second single tier dividend of 2.0 sen per share for the financial year ended 31 December 2024 on 27 February 2025.
The Company will endeavour to reward our shareholders with a good dividend pay-out each year, despite the current challenging market conditions.
The Board and I would like to take this opportunity to express our sincere thanks and appreciation to the Management and staff for their continuous valuable contributions, loyalty and dedication to the Group. We also wish to record our heartfelt gratitude to our shareholders, customers, partners, bankers, business associates, and all the respected government authorities for their invaluable support and assistance, continuous trust and understanding during the year.
Tengku Dato’ Ardy Esfandiari Bin Tengku Abdul Hamid Shah
Chairman/Executive Director