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66 MSM MALAYSIA HOLDINGS BERHAD WHO WE ARE STATEMENT & DISCUSSION BY OUR LEADERS HOW WE OPERATE
ANNUAL INTEGRATED REPORT 2021

GROUP FINANCIAL

REVIEW

Revenue
RM2.26

billion

Profit after tax
RM125.35

million

EBITDA MSM has made significant progress on the turnaround of the Company despite
RM282.31 operating in a very challenging environment. The Group registered a healthy profit
after tax of RM125.35 million, a significant improvement from a loss after tax of
million RM71.23 million in FY2020. This was achieved amidst significant COVID-19 related
impacts including substantial increase in the price of raw sugar due to supply
and demand as well as changing weather in raw sugar producing countries which
affected the sugarcane crop. Additionally, freight costs increased significantly
as a result of shortages of containers and vessels due to border restrictions and
slow turnaround time at ports. Furthermore, local sugar consumption in Malaysia
was also affected by reduced productivity in the hospitality and food and beverage
sectors, as well as the slowdown in social and economic activities as a result of
Gains from disposal of movement restriction orders to curb the spread of COVID-19.
MSM Perlis As a result of these impacts, the Group’s gross profit margin reduced by 4% from
RM91.81 the prior year. However, the Group recorded a profit before interest, tax, depreciation
and amortisation (EBITDA) of RM282.31 million, an increase of more than
million 100% from prior year of RM116.68 million. The Group’s statutory net profit of
RM125.35 million includes the impact of gain from disposal of a subsidiary of
RM91.81 million as well as depreciation charges of RM82.84 million.