CAHYA MATA SARAWAK ANNUAL REPORT 2016

81 Cahya Mata Sarawak Berhad A N N U A L R E P O R T 2 0 1 6 Section 07 Financial StatementS DIRECTORS’ REPORT The directors have pleasure in presenting their report together with the audited financial statements of the Group and of the Company for the financial year ended 31 December 2016. PRINCIPAL ACTIVITIES The Company is principally an investment holding company. It also provides centralised treasury and administrative services to the Group. The Group is principally engaged in manufacturing and trading of cement and construction materials, construction, road maintenance, township, property and infrastructure development. The principal activities of the subsidiaries are more particularly set out in Note 19 to the financial statements. There have been no significant changes in the nature of the principal activities during the financial year. RESULTS Group Company RM’000 RM’000 Profit for the year attributable to: - Owners of the Company 169,177 30,305 - Non-controlling interests 48,134 - 217,311 30,305 In the opinion of the directors, the results of the operations of the Group and of the Company during the financial year were not substantially affected by any item, transaction or event of a material and unusual nature, other than as disclosed in the financial statements. RESERVES AND PROVISIONS There were no material transfers to or from reserves and provisions during the financial year other than as disclosed in the financial statements. DIVIDENDS Since the end of the previous financial year, the Company paid on 26 May 2016 a final tax exempt (single-tier) dividend of 3 sen per ordinary share, totalling RM32,231,272 in respect of the financial year ended 31 December 2015. At the forthcoming Annual General Meeting, a first and final tax exempt (single-tier) dividend in respect of the financial year ended 31 December 2016, of 6.3 sen per share on 1,074,375,720 ordinary shares, amounting to a dividend payable of RM67,685,670 will be proposed for shareholders’ approval. The financial statements for the current financial year do not reflect this proposed dividend. Such dividend, if approved by the shareholders, will be accounted for in equity as an appropriation of retained earnings in the financial year ending 31 December 2017.