1. INTRODUCTION

The Board of Directors of Eksons wishes to announce that the Company had on 30 May 2022 submitted its unaudited 4th quarter results ended 31 March 2022 (“4Q FYE 2022”) to Bursa Malaysia Securities Berhad (“Bursa Securities”).

Eksons also wishes to make reference to the Audited Financial Statements of the Company for the financial year ended 31 March 2022 (“AFS 2022”).

2. DEVIATION BETWEEN UNAUDITED RESULTS AND THE AUDITED RESULTS 

In compliance with Paragraph 9.19(35) of the Main Market Listing Requirements of Bursa Securities, the Company wishes to inform that there is deviation in results of more than 10% between the loss attributable to equity holders of the Company as announced in 4Q FYE 2022 results on 30 May 2022 and the AFS 2022. The deviation is reconciled and explained as below:-

Net loss after taxation and minority interest

Variance

AFS 2022

Q4 2022

RM ‘000

RM ‘000

RM ‘000

%

Loss attributable to :

Equity holders of the Company

(15,448)

(10,206)

(5,242)

(51.4)

Non-controlling interests

823

(1,449)

2,272

156.8

Loss for the year

(14,625)

(11,655)

(2,970)

(25.5)

The variance of more than 10% was mainly due to the following:-  

1. The 4Q FYE 2022 included an impairment of RM9.5 million in respect of inventories in the property division. The AFS 2022 shows a reduction in impairment for the inventories held by the Company amounting to RM7.1 million and an adjustment in deferred tax of RM0.9 million due to the reduction in impairment.

2. The AFS 2022 included a RM1.2 million adjustment, reducing the charge out from property development cost.

3. The 4Q FYE 2022 omitted an additional investment sum made in securities amounting to RM10.7 million, which was not accounted for as an unrealised loss in investment during the release of 4Q FYE 2022 arising from the accounting error. The AFS 2022 incorporates the unrealised loss of RM10.7 million.

The reconciliation between the 4Q FYE 2022 Results and the AFS 2022 are as follows:-

Reconciliation of reported loss for the year

RM '000

Loss as per Q4 2022

(11,655)

a)

Impairment reduction

7,100

Deferred tax from impairment reduction

(839)

b)

Reduction in charge out from property development cost

1,200

c)

Unrealised loss in investment

(10,700)

Other adjustments not listed in announcement

269

Loss for the year as per AFS 2022

(14,625)

This announcement is dated 29 July 2022.