Southern Steel Berhad : Quarterly rpt on consolidated results for the financial period ended 30/06/2021

SOUTHERN STEEL BERHAD (196301000443 (5283-X))

QUARTERLY REPORT ON CONSOLIDATED RESULTS FOR THE FOURTH QUARTER ENDED 30 JUNE 2021

The figures have not been audited

CONDENSED CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME FOR THE QUARTER ENDED 30 JUNE 2021

Individual Quarter	Cumulative Quarter
Current Year	Preceding Year	Current Year-	Preceding Year
Quarter	Corresponding	To-Date	Corresponding
	Quarter		Period
30/6/2021	30/6/2020	30/6/2021	30/6/2020
RM'000	RM'000	RM'000	RM'000

Revenue

Cost of sales

Gross profit/(loss)

Operating expenses

Other operating income/(expense)

Profit/(Loss) from operations

Interest income Finance costs

Share of profit/(loss) in an associated company, net of tax

Profit/(Loss) before taxation

Taxation

Profit/(Loss) from continuing operations

(Loss)/Profit from a discontinued operation, net of tax (N1)

Profit/(Loss) for the period

Profit/(Loss) attributable to:

Owners of the Company

Non-controlling interests

Profit/(Loss) for the period

Earnings/(Loss) per ordinary share (sen): -

1. Basic
2. Fully diluted

358,091	199,227	1,740,711	1,912,736
(317,122)	(210,650)	(1,557,135)	(1,951,064)
40,969	(11,423)	183,576	(38,328)
(24,080)	(21,372)	(100,386)	(96,346)
18,707	(8,927)	10,310	(20,638)
35,596	(41,722)	93,500	(155,312)
214	542	995	1,931
(7,000)	(5,428)	(30,635)	(41,991)
571	(164)	1,156	(1,923)
29,381	(46,772)	65,016	(197,295)
2,225	(11,265)	1,749	(10,317)
31,606	(58,037)	66,765	(207,612)
(7,088)	9,028	(18,481)	(259,303)
24,518	(49,009)	48,284	(466,915)
24,471	(48,931)	47,926	(467,055)
47	(78)	358	140
24,518	(49,009)	48,284	(466,915)
4.10	(9.68)	8.04	(92.61)
N/A	N/A	N/A	N/A

(N1) Southern HRC Sdn Bhd ("SHRC"), a wholly-owned subsidiary of the Company had ceased its hot rolled coil operation in the 4th quarter of the preceding financial year ended 30 June 2020. Accordingly, the financial results of the operation is separately disclosed as a discontinued operation.

The Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income should be read in conjunction with the Annual Financial Statements for the Financial Year Ended 30 June 2020.

SSB/1

SOUTHERN STEEL BERHAD (196301000443 (5283-X))

QUARTERLY REPORT ON CONSOLIDATED RESULTS FOR THE FOURTH QUARTER ENDED 30 JUNE 2021

The figures have not been audited

CONDENSED CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME FOR THE QUARTER ENDED 30 JUNE 2021 (cont'd)

		Individual Quarter	Cumulative Quarter
		Current Year	Preceding Year	Current Year-	Preceding Year
		Quarter	Corresponding	To-Date	Corresponding
			Quarter		Period
		30/6/2021	30/6/2020	30/6/2021	30/6/2020
		RM'000	RM'000	RM'000	RM'000
Profit/(Loss) for the period	24,518	(49,009)	48,284	(466,915)
Item that will not be reclassified subsequently
to profit or loss
(Loss)/Gain on fair value of equity
instrument at fair value through other
comprehensive income	(250)	173	267	(285)
Re-measurement of defined benefit liability	4,650	-	4,650	-
Revaluation of land	-	-	-	62,551
Revaluation of right-of-use asset	-	-	-	233,254
Item that are or may be reclassified
subsequently to profit or loss
Foreign currency translation differences for
a foreign operation	1	(2)	(17)	22
Cash flow hedge	(970)	(2,729)	593	454
Total comprehensive income/(expense) for
the period	27,949	(51,567)	53,777	(170,919)
Total comprehensive income/(expense)
attributable to:
Owners of the Company	27,905	(52,152)	53,392	(171,713)
Non-controlling interests	44	585	385	794
Total comprehensive income/(expense) for
the period		27,949	(51,567)	53,777	(170,919)

The Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income should be read in conjunction with the Annual Financial Statements for the Financial Year Ended 30 June 2020.

SSB/2

SOUTHERN STEEL BERHAD (196301000443 (5283-X))

QUARTERLY REPORT ON CONSOLIDATED RESULTS FOR THE FOURTH QUARTER ENDED 30 JUNE 2021

The figures have not been audited

CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION AS AT 30 JUNE 2021

	As At End of	As At End of
	Current Quarter	Preceding
		Financial Year
	30/6/2021	30/06/2020
	RM'000	RM'000
ASSETS
Property, plant and equipment ("PPE")	412,896	460,585
Rights-of-use assets ("ROU")	345,982	426,075
Goodwill on consolidation	30,256	30,256
Investments in an associated company	13,084	11,928
Other investments	612	345
Deferred tax assets	36,452	32,639
Tax credit receivable	16,525	19,941
Other receivables	294,982	-
Total non-current assets	1,150,789	981,769
Inventories	562,613	406,016
Trade and other receivables, including derivatives	43,960	410,747
Current tax assets	9,350	14,113
Cash and cash equivalents	133,011	219,427
Asset to be returned to vendor	369,377	369,377
Asset held for sale	84,486	-
Total current assets	1,202,797	1,419,680
TOTAL ASSETS	2,353,586	2,401,449
EQUITY ATTRIBUTABLE TO OWNERS OF THE COMPANY
Share capital	641,010	641,010
Reserves	84,271	30,879
	725,281	671,889
NON-CONTROLLING INTERESTS	6,763	6,378
TOTAL EQUITY	732,044	678,267
LIABILITIES
Lease liabilities	21,926	25,622
Deferred tax liabilities	24,273	24,983
Deferred income	6,090	7,513
Employee benefits	25,865	29,996
Loans and borrowings	354,880	-
Total non-current liabilities	433,034	88,114

SSB/3

SOUTHERN STEEL BERHAD (196301000443 (5283-X))

QUARTERLY REPORT ON CONSOLIDATED RESULTS FOR THE FOURTH QUARTER ENDED 30 JUNE 2021

The figures have not been audited

CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION AS AT 30 JUNE 2021 (cont'd)

	As At End of	As At End of
	Current Quarter	Preceding
		Financial Year
	30/6/2021	30/06/2020
	RM'000	RM'000
Lease liabilities	3,696	5,409
Employee benefits	1,020	1,579
Provisions	5,292	8,954
Trade and other payables, including derivatives	247,488	178,118
Contract liability	369,377	369,377
Loans and borrowings	561,617	1,071,612
Current tax liabilities	18	19
Total current liabilities	1,188,508	1,635,068
TOTAL LIABILITIES	1,621,542	1,723,182
TOTAL EQUITY AND LIABILITIES	2,353,586	2,401,449
Net assets per share attributable to owners of the Company (RM)	1.22	1.13

The Condensed Consolidated Statement of Financial Position should be read in conjunction with the Annual Financial Statements for the Financial Year Ended 30 June 2020.

SSB/4

SOUTHERN STEEL BERHAD (196301000443 (5283-X))

QUARTERLY REPORT ON CONSOLIDATED RESULTS FOR THE FOURTH QUARTER ENDED 30 JUNE 2021

The figures have not been audited

CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY FOR THE PERIOD ENDED 30 JUNE 2021

				Attributable to owners of the Company
				Non-distributable				Distributable
		Share	Redeemable	Revaluation	Merger	Hedging	Exchange	Executive	Retained	Total	Non-	Total
		capital	convertible	reserve	reserve	reserve	fluctuation	share	earnings		controlling	equity
			unsecured loan				reserve	scheme			interests
			stocks					reserve
			("RCULS")
			(equity portion)
		RM'000	RM'000	RM'000	RM'000	RM'000	RM'000	RM'000	RM'000	RM'000	RM'000	RM'000
Current year-to-date
ended 30 June 2021
At 1 July 2020	641,010	-	295,156	30,000	391	1,845	-	(296,513)	671,889	6,378	678,267
Profit for the period	-	-	-	-	-	-	-	47,926	47,926	358	48,284
Other comprehensive
income/(expense):
- Gain on fair value of
equity instruments	-	-	-	-	-	-	-	267	267	-	267
- Foreign currency
translation differences	-	-	-	-	-	(17)	-	-	(17)	-	(17)
- Cash flow hedge	-	-	-	-	581	-	-	-	581	12	593
- Re-measurement of
defined benefit liability	-	-	-	-	-	-	-	4,635	4,635	15	4,650
Total comprehensive
income/(expense) for the
period	-	-	-	-	581	(17)	-	52,828	53,392	385	53,777
At 30 June 2021		641,010	-	295,156	30,000	972	1,828	-	(243,685)	725,281	6,763	732,044

SSB/5