Dutch Lady Milk Industries Berhad : Third Quarter Report 2021

DUTCH LADY MILK INDUSTRIES BERHAD (5063-V)

(Incorporated in Malaysia)

CONDENSED STATEMENT OF COMPREHENSIVE INCOME

For the financial quarter ended 30 September 2021

	INDIVIDUAL QUARTER	CUMULATIVE QUARTER
	CURRENT	COMPARATIVE	9 months		9 months
	QUARTER		QUARTER	TO DATE		TO DATE
	30/09/21	30/09/20		30/09/21	30/09/20
	(Unaudited)		(Unaudited)	(Unaudited)		(Unaudited)
	RM'000		RM'000	RM'000		RM'000
Revenue	290,663	286,820		833,155	811,514
Cost of Sales	(190,494)		(203,576)		(543,468)		(552,545)
Gross Profit	100,169	83,244		289,687	258,969
Other Income	1,417	-		4,401	6,514
Distribution Expenses	(46,191)	(42,140)		(122,935)	(113,378)
Administrative Expenses	(6,838)	(7,252)		(21,787)	(23,371)
Other Operating Expenses	(19,141)	(21,055)		(61,036)	(56,545)
Results from Operating Activities	29,416	12,797		88,330	72,189
Interest Income	232	184		652	520
Finance Costs	(747)	(775)		(2,307)	(2,374)
Profit Before Taxation	28,901	12,206		86,675	70,335
Income Tax Expenses	(8,521)	(2,964)		(22,132)	(17,129)
Profit After Taxation	20,380	9,242		64,543	53,206
Profit for the period/Total comprehensive
income for the period	20,380	9,242		64,543	53,206
Profit Attributable to:
Equity holders of the Company	20,380	9,242		64,543	53,206
Non-controlling interest	-	-		-	-
	20,380	9,242		64,543	53,206
EARNINGS PER SHARE
- Basic earnings per share (sen)	31.80	14.40		100.80	83.10
(Based on 64,000,000 ordinary shares)

(The Condensed Statement of Comprehensive Income should be read in conjunction with the Audited Financial Statements for the year ended 31 December 2020)

Page 1

DUTCH LADY MILK INDUSTRIES BERHAD (5063-V)

(Incorporated in Malaysia)

CONDENSED STATEMENT OF FINANCIAL POSITION

For the financial quarter ended 30 September 2021

		AS AT		AS AT
		30/09/21	31/12/20
		RM'000		RM'000
		(Unaudited)		(Audited)
	ASSETS
A01. Pr	Property, plant and equipment
175,647		199,721
A01. Ri	Right-of-use assets	7,704		9,732
A02. In	Intangible assets	1,023		957
	TOTAL NON-CURRENT ASSETS
	184,374		210,410
A03. In	Inventories
184,209		151,016
A04. Tr	Trade and other receivables	79,094		81,501
A05. Pr	Prepayments	2,071		311
A07. Ca	Cash and cash equivalents	100,731		55,605
A06. De	Derivatives financial assets	318		2
	CURRENT ASSETS
	366,423		288,435
A08. A Assets classified as held for sale	16,948		-
	TOTAL CURRENT ASSETS
	383,371		288,435
	TOTAL ASSETS	567,745	498,845
	EQUITY
E01. Sh	Share capital
64,000		64,000
E02. Re	Retained profits	151,123		102,580
	Attributable to equity holders of the Company
	215,123		166,580
	Non-controlling interest	-		-
	TOTAL EQUITY
	215,123		166,580
	LIABILITIES
L07. No	Lease Liabilities
1,727		3,590
L01. De	Deferred tax liabilities	2,136		4,494
	TOTAL NON-CURRENT LIABILITIES
	3,863		8,084
L02. Tr	Trade and other payables
329,547		295,492
L03. Pr	Provision	137		228
L05. Cu	Current tax liabilities	15,872		6,723
L06. Ba	Bank overdraft	-		16,705
L08. Cu	Lease Liabilities	2,888		2,893
L04. De	Derivatives financial liabilities	315		2,140
	CURRENT LIABILITIES
	348,759		324,181
	TOTAL LIABILITIES	352,622	332,265
	TOTAL EQUITY AND LIABILITIES	567,745		498,845
	Net assets per share attributable to ordinary	3.36	2.60
	equity holders of the Company (RM)

(The Condensed Statement of Financial Position should be read in conjunction with the Audited Financial Statements for the year ended 31 December 2020)

Page 2

DUTCH LADY MILK INDUSTRIES BERHAD (5063-V)

(Incorporated in Malaysia)

CONDENSED STATEMENT OF CHANGES IN EQUITY

For the financial quarter ended 30 September 2021

(The figures have not been audited)

					Attributable
			Distributable		to equity		Non-
	Share		Retained		holders of		Controlling
	Capital		profits		the Company		Interest		Total
	RM'000		RM'000		RM'000		RM'000		RM'000
9 months
ended 30 September 2021
Balance at
beginning of period	64,000	102,580	166,580	-	166,580
Movements
during the period	-	64,543	64,543	-	64,543
Dividend payable	-	-	-	-	-
Dividends paid	-	(16,000)	(16,000)	-	(16,000)
Balance at
end of period	64,000	151,123	215,123	-	215,123
					FALSE
9 months
ended 30 September 2020
Balance at
beginning of period	64,000	80,417	144,417	-	144,417
Movements
during the period	-	53,206	53,206	-	53,206
Dividend payable	-	-	-	-	-
Dividends paid	-	(25,600)	(25,600)	-	(25,600)
Balance at
end of period	64,000	108,023	172,023	-	172,023

(The Condensed Statement of Changes in Equity should be read in conjunction with the Audited Financial Statements for the year ended 31 December 2020)

Page 3

DUTCH LADY MILK INDUSTRIES BERHAD (5063-V)

(Incorporated in Malaysia)

CONDENSED STATEMENT OF CASH FLOW

For the financial quarter ended 30 September 2021

	9 months		9 months
	TO DATE		TO DATE
	30/09/21	30/09/20
	(Unaudited)		(Audited)
	RM'000		RM'000
CASH FLOWS FROM OPERATING ACTIVITIES
Cash receipts from customers and other receivables	837,889	827,635
Cash paid to suppliers and employees	(722,082)	(770,867)
Cash generated from operations	115,807	56,768
Income tax paid	(15,341)	(14,507)
Net cash generated from/(used in) operating activities	100,466	42,261
CASH FLOWS FROM INVESTING ACTIVITIES
Additions of property, plant and equipment	(18,475)	(19,968)
Additions of intangible assets	(251)	(244)
Proceeds from disposal of property, plant and equipment	-	137
Proceeds from disposal of asset classified as held for sale	-	0
Interest received	652	520
Net cash (used in)/generated from investing activities	(18,074)	(19,555)
CASH FLOWS FROM FINANCING ACTIVITIES
Interest paid	(2,199)	(2,202)
Dividends paid	(16,000)	(25,600)
Payment of principal portion of lease liabilities	(2,362)	(2,441)
Net cash used in financing activities	(20,561)	(30,243)
Net increase/(decrease) in cash and cash equivalents	61,831	(7,537)
Cash and cash equivalents brought forward	38,900	44,808
Cash and cash equivalents carried forward	100,731	37,271
Cash and cash equivalents consist of:
Cash and bank balances	100,731	54,380
Bank overdraft	-	(17,109)
Deposits placed with licensed banks	-	-
	100,731	37,271

(The Condensed Statement of Cash Flows should be read in conjunction with the Audited Financial Statements for the year ended 31 December 2020)

Page 4

DUTCH LADY MILK INDUSTRIES BERHAD (5063-V)

(Incorporated in Malaysia)

NOTES

1. Basis of Preparation
   The interim financial report is unaudited and has been prepared in accordance with the applicable disclosure provisions of the Listing Requirements of the Bursa Malaysia Securities Berhad and MFRS 134, 'Interim Financial Reporting' in Malaysia and with IAS 34 'Interim Financial Reporting'. They do not include all of the information required for full annual financial statements and should be read in conjunction with the most recent audited financial statements of the Company as at and for the year ended 31 December 2020.
   The accounting policies and methods of computation are consistent with those adopted in the most recent audited financial statements for the year ended 31 December 2020
2. Auditors' Report of Preceding Annual Financial Statements
   The auditors' report of the Company in respect of the annual audited financial statements for the year ended 31 December 2020 was not subject to any audit qualification.
3. Seasonal and Cyclical Factors
   The dairy and dairy related business can be influenced by the weather and major festivals.
4. Unusual Items
   There were no unusual items affecting assets, liabilities, equity, net income or cash flows during the financial period under review.
5. Changes in Estimates
   Pursuant to the Company's announced investment in our future manufacturing activities,
   DLMI has identified assets in its Petaling Jaya factory that will not be transitioned to the new site. In light of this, DLMI has started to perform accelerated depreciation for the mentioned assets at the start of the financial year.
   Pursuant to the company's circular dated 9 June 2021 with respect to the proposed disposal of lands held together with the buildings erected thereon, the said land and buildings are reclassified from Property, Plant and Equipment within Fixed Assets to Assets Held For sale within Current Assets.
   Other than the afore-mentioned, there were no other changes in estimates of amounts reported in the current quarter or changes in estimates of amounts reported in prior financial years that have a material effect in the current quarter.

Notes to the Financial Statements - Pg. 5