C.i. Holdings Berhad

Following up with $CIHLDG / 2828 (C.I. HOLDINGS BERHAD)

45th AGM Q&A key summary from Q&A section:
- 99% of the CIHLDG’s business is export in nature and is denominated in USD and EURO. Cost is mainly incurred in MYR.
- They are reinvesting some of the profits into expansion of capacity and improvement of facilities for better efficiency.
- The main component of the CAPEX in FY 2023 was construction in progress of RM47mil which comprise the purchase of land and buildings in Mukim Plentong, Daerah Johor Bahru, Negeri Johor Darul Ta’zim, modernisation of plant in Mukim Telok, Panglima Garang. The Company had also spent RM1.2 million on motor vehicles and RM1.8 million on building upgrades.
- The continuation of the construction will lead to approximately RM150 million to RM170 million CAPEX budgeted for FY 2024.

Q1 2024 CIHLDG
The revenue for Q1 is 20% lower yoy despite increase in sales volume by 15%, which mainly comes from increase demand from Africa, Middle East and Asia region. Lower results was due to decrease in average RBD Palm Olein price with lower selling price to maintain competitiveness in certain African markets. The strengthening of USD against MYR also contributes to higher realised loss on derivatives.

Q2 2024 CIHLDG
The revenue for for Q2 is 14% lower yoy due to decrease in demand from West Africa as a result of political instability in the region. Average RBD Palm Olein price also continues to decline.

Q3 2024 CIHLDG
- Operating profit increased by 5% despite decreased in revenue by 36%. The increase is mainly due to the strengthening of USD against MYR contributed to a higher realised and unrealised gain on derivatives.
- The coup that started in Niger led to a political crisis and affected the neighbouring countries in West Africa. The demand from Middle East has also decreased due to the crisis in the Red Sea region which led to a sharp increase in freight costs, affecting shipments to Middle East ports.
- Their profit margin is hovering around 1.7% ~ 1.9%, but the recent quarter has increased to 3.6%
- Retained earnings continue to grow from RM233mil in FY 2022 to RM314mil in FY 2023, and as of 31st March 2024 it is at RM345.5mil.

Anyone interested to track export prices of RBD PK Olein can refer to this link:
https://cutt.ly/Zega0NxU

Previous write-up on their:
FY2023 AR : https://cutt.ly/1ega0M5r
General overview : https://cutt.ly/4ega01On

Quarterly rpt on consolidated results for the financial period ended 31/03/2024

OTHERSC.I. HOLDINGS BERHAD ("CIHB") - RENAMING OF AUDIT AND RISK MANAGEMENT COMMITTEE AS AUDIT, RISK MANAGEMENT AND SUSTAINABILITY COMMITTEE

Change of Company Secretary - LIM LEE TZE

$CIHLDG / 2828 (C.I. HOLDINGS BERHAD)

Change in Boardroom - ENCIK AMIR NASHRIN BIN JOHARI

Quarterly rpt on consolidated results for the financial period ended 31/12/2023

Change in Nomination and Remuneration Committee - DATIN MARIAM PRUDENCE BINTI YUSOF

Changes in Director's Interest (Section 219 of CA 2016) - ENCIK MOHAMMAD BIN ALWI

Changes in Director's Interest (Section 219 of CA 2016) - ENCIK MEGAT JOHA BIN MEGAT ABDUL RAHMAN

DEALINGS IN LISTED SECURITIES (CHAPTER 14 OF LISTING REQUIREMENTS) : Dealings Outside Closed Period

Notice of Person Ceasing (Section 139 of CA 2016) - MR FUNG HEEN CHOON

Notice of Person Ceasing (Section 139 of CA 2016) - MADAM LEE CHEANG MEI

DEALINGS IN LISTED SECURITIES (CHAPTER 14 OF LISTING REQUIREMENTS) : Dealings Outside Closed Period

Notice of Interest Sub. S-hldr (Section 137 of CA 2016) - DATO' SUKUMARAN S/O RAMASAMY

Changes in Director's Interest (Section 219 of CA 2016) - DATO' SUKUMARAN S/O RAMASAMY

Revisiting $CIHLDG / 2828 (C.I. HOLDINGS BERHAD) as they hit their highest revenue and profit in FY 2023

You may read my previous attempt in understanding the business and having a general overview here: https://cutt.ly/2wS7pyUW

Sharing some insights gathered from their FY2023 Annual Report:

- As a whole, FY2023 net profit stood at RM100.4mil, with revenue at RM5.3bil. For reference, in FY2022 their net profit at RM67.2mil and revenue was at RM4bil.

- Their profit margin is hovering around 1.7% ~ 1.9%.

- Edible Oil Products Division revenue continues to grow YoY from 4.98bil to 6.33bil, which is mainly led by contribution from sales to Africa region (~1 bil).

- Tap & Sanitaryware division revenue also grew. They aim to improve profitability by focusing on transportation mega projects, healthcare, and retail. They have supplied to MRT 2 and are currently supplying to LRT 3, which strengthens their bid for upcoming projects such as the MRT 3 (31 stations) and Bayan Lepas, Penang, and ECRL (23 stations). That being said, they still intend to divest this Division to interested parties in order to focus on the Edible Oil Division.

- Net debt to equity ratio has significantly dropped from 1.50x to 1.09x.

- Retained earnings increased ~RM80mil vs FY2022, from RM233mil to RM314mil.

- No formal dividend policy in place due to potential future requirements of funds for expansions and growth, but they have been consistent in giving out dividends.

- Other developments to take note of: Johari vacates CI Holdings’ chairman post and will be filled by Megat Joha Megat Abdul Rahman (who is also a board member of $KUB / 6874 (KUB MALAYSIA BERHAD), $KLSE-M&G and Central Cable Bhd).

- Future prospects indicated from their latest QR : The Group will cautiously continue with its expansion plans for its edible oil division operations and with smart partnership tie-up with property developers for the tapware and sanitaryware divisions to enhance shareholders' value.

The catch for this stock is, the liquidity is almost non-existent. Haha...
😅

Changes in Director's Interest (Section 219 of CA 2016) - ENCIK MEGAT JOHA BIN MEGAT ABDUL RAHMAN

$CIHLDG / 2828 (C.I. HOLDINGS BERHAD)

Change in Boardroom - DATUK SERI JOHARI BIN ABDUL GHANI

Change in Nomination and Remuneration Committee - DATUK SERI JOHARI BIN ABDUL GHANI

Change in Boardroom - ENCIK MEGAT JOHA BIN MEGAT ABDUL RAHMAN

Quarterly rpt on consolidated results for the financial period ended 30/09/2023

Change in Nomination and Remuneration Committee - DATIN MARIAM PRUDENCE BINTI YUSOF

Change in Nomination and Remuneration Committee - DATUK SERI JOHARI BIN ABDUL GHANI

Change in Nomination and Remuneration Committee - ENCIK MOHAMMAD FARISH NIZAR BIN OTHMAN

Change in Nomination and Remuneration Committee - CIK SHARINA BINTI SAIDON

Change in Nomination and Remuneration Committee - DATO' SIVANANTHAN A/L SHANMUGAM

Change in Audit Committee - DATO' SIVANANTHAN A/L SHANMUGAM

Change in Audit Committee - CIK SHARINA BINTI SAIDON