Dear Valued Shareholders,
On behalf of the Board of Directors of Greenyield Berhad and its Subsidiaries ("Greenyield" or the "Group"), it gives me pleasure to present to you the Annual Report and Audited Financial Statements for the financial period ended 31 December 2021 ("FYE2021")
For FYE2021, the Group recorded a net profit of RM5.44 million (FYE2020: RM5.39 million) supported by sales from household goods and plantation inputs operating segments. The business environment remains challenging due to continued disruptions arising from the COVID-19 pandemic. Nevertheless, the Directors, management team and staff will remain vigilant and are working hard towards resolving and mitigating negative factors.
For FYE2021, the Group recorded a revenue of RM45.38 million over 12 months compared to FYE2020 of RM33.34 million. The profit before tax in FYE2021 was RM7.50 million (FYE2020: RM6.89 million). The revenue from the plantation inputs segment in FYE2021 was RM18.63 million (FYE2020: RM9.39 million), rubber estate segment RM1.41 million (FYE2020: RM1.00 million), and household goods segment RM25.34 million (FYE2020: RM22.95 million).
BUSINESS OUTLOOK AND PROSPECTS
The Board is cautiously optimistic of growth prospects in 2022 due to the successful roll out of the COVID-19 vaccination programme and the reopening of Malaysia’s international borders from 1 April 2022 which is expected to boost business and consumer sentiment and demand. However, the Russia-Ukraine crisis creates uncertainties and volatilities which can be detrimental to world economic growth.
The Board of Directors has proposed a single tier final dividend of 0.30 sen per ordinary share for the financial year ended 31 December 2021 for approval of the shareholders at the forthcoming Nineteenth Annual General Meeting of the Company. Going forward, the Board of Directors will review the Group’s cash flow affordability in recommending dividends to shareholders.
On 21 March 2022, the Group announced a proposal to acquire the Greenyield Rubber Holdings (M) Ltd (“GRHM”) Group which owns and develops 15,313 hectares of land suitable for planting rubber and coconut in Papua New Guinea. This proposal is in line with the Company’s long-term strategy of expanding into the plantations business, which is expected to provide a stable source of recurring income to the Group.
I wish to acknowledge the employees whose dedication and perseverance have contributed to the sustained operations of the Group during the COVID-19 pandemic, hence ensuring the Group’s reputation as a trusted and reliable partner to the companies we serve globally. On behalf of the Board, I would like to express our thanks and appreciation to our shareholders, customers, business associates, financiers, suppliers, and regulatory authorities for their continued support and understanding extended to us during the financial year.
Dr Zainol Bin Md Eusof