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Annual Report 2021

KUB Malaysia Berhad

Building Resilience

A simple and solid cover that focuses on the metal spring to depict the qualities of Inherent Strength and Resilience. The metal reflects the inherent strength and stability of KUB’s present financial position while the spring elements depicts the ability to bounce back and recover in stressful economic conditions such as the ongoing pandemic. A colour gradient effect is used on the theme to show KUB’s ability to adapt and thrive through changing environments.

Group Managing Director's Statement

Dear Valued Shareholder,

The COVID-19 pandemic has cast a long shadow over the world, threatening lives and livelihoods while causing major disruption to global supply chains, amongst many other challenges. In Malaysia, the ongoing uncertainty it has brought about has resulted in depressed demand from both consumer and commercial markets, ongoing logistical challenges and significant delays to the commencement and fulfilment of projects across the business community.

While we have certainly not been immune to the negative impacts of the pandemic, this year’s report theme of ‘Building Resilience’ reflects our belief that the actions we have taken over the past eighteen (18) months particularly in disposing of our non-strategic and non-core assets and building balance sheet strength will pay dividends in the long run. Alongside the continued streamlining of our cost structure, we now benefit from improved financial latitude to invest in our core businesses and execute our strategic plans to their fullest potential, thus standing us in good stead for the long run.

I welcome you to read the analysis below to gain greater insight into how our respective business divisions have evolved amidst pandemic-related obstacles, and the strategies we have put in place to rebound in the near future.

– Ahmed Fairuz bin Abdul Aziz

Financial Highlights

5 year group financial highlights

2021 chart 1
2021 chart 2
2021 chart 3
2021 chart 4

Sustainability Statement

KUB’s Board of Directors has the overall responsibility for sustainability and considers economic, environmental, social and governance (‘EESG’) matters in the development of the Group’s strategy. EESG matters that are material to value creation are integrated into the Group’s balanced scorecard, which is used to set objectives, drive behaviour, measure performance and determine remuneration.

The Group integrates sustainability practices into its business model and throughout all its processes and procedures. Sustainability practices are aligned with its philosophy of ‘Think Sustainably, Act Responsibly’.

The Group has established a formal Sustainability Policy and Framework as a tool for advocacy. This policy and framework affirm sound action plans.

Corporate Governance

The Board of Directors (the ‘Board’) of KUB Malaysia Berhad (‘KUB’ or ‘the Company’) presents this Corporate Governance Overview Statement (‘the Statement’) to provide the shareholders and stakeholders an overview of the corporate governance practices of KUB and its subsidiaries (‘KUB Group’) throughout the eighteen (18) months financial period i.e. 1 January 2020 to 30 June 2021.

The Board is committed to exercise good corporate governance practices to ensure application of the key principles set out in Bursa Malaysia Securities Berhad (‘Bursa Malaysia’) Main Market Listing Requirements (‘MMLR’), the Malaysian Code on Corporate Governance 2017 (‘the Code’) and other statutory requirements.

This Statement is prepared in compliance with the MMLR of Bursa Malaysia and is to be read together with the Corporate Governance Report (‘CG Report’) which can be downloaded from KUB’s website at www.kub.com or from Bursa Malaysia’s website.