• Boustead returns to the black after 6 consecutive quarters of losses
  • Profit Before Taxation and Zakat surged at RM121.3 million
  • EBITDA at RM274.2 million, improvement of 156%


KUALA LUMPUR, 31 May 2021 – Boustead Holdings Berhad (Boustead) returns to the black in the first quarter ended 31 March 2021 (Q1 FY2021) with a Profit Before Taxation and Zakat (PBT) of RM121.3 million against a Loss Before Taxation and Zakat (LBT) of RM53.3 million in the same quarter last year. This was mainly due to improved performance by all the Group’s divisions except for Heavy Industries Division and a one-off gain on the disposal of a hotel at RM84.6 million.

The Group achieved a Profit After Taxation and Zakat (PAT) of RM87.4 million against a Loss After Taxation and Zakat (LAT) of RM75.6 million in the same quarter last year. While Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) for the quarter stood at RM274.2 million, reflecting a 156% increase from the previous quarter.

For Q1 FY2021, the Group posted a lower revenue of RM2.1 billion as compared with RM2.3 billion in the previous corresponding quarter. This was mainly attributable to weaker revenue contribution by most divisions with the exception of Plantation Division which registered a higher revenue on the back of better palm product prices.

Segmental performance results for each division are as follows:

Plantation Division

  • The Plantation Division registered a higher PBT of RM19.3 million in contrast to RM1.3 million in the same quarter last year, primarily due to positive global palm products prices. The Division also recorded higher revenue of RM171.9 million compared to RM162.7 million last year.

Pharmaceutical Division

  • The Pharmaceutical Division recorded a marginally higher PBT of RM30.0 million (Q1 FY2020: PBT of RM29.4 million). The reduction in finance cost compensated the lower operating profit due to reduced demand from Indonesian business.

Trading, Finance & Investment Division

  • The Trading, Finance & Investment Division achieved a turnaround with a PBT of RM47.3 million, comparing favourably against an LBT of RM22.4 million in Q1 FY2020 on the back of stockholding gain (Q1 FY2020: stockholding loss) by Boustead Petroleum Marketing as a result of higher average fuel prices.
  • However, the result of our tourism-related entities was still affected by the COVID-19 pandemic. Our associate, Affin Bank Berhad, registered a lower contribution due to lower non-interest income and higher operating expenses but cushioned by higher nett interest income, lower allowance for impairment losses and higher income from Islamic banking.

Property & Industrial Division

  • The Property & Industrial Division posted a PBT of RM63 million (Q1 FY2020: LBT of RM25.1 million) mainly due to the recognition of a gain on disposal of Royale Chulan Bukit Bintang Hotel at RM84.6 million. Due to the movement restrictions imposed during the pandemic, the hotel segment incurred an operational loss of RM14.9 million compared to RM19.3 million for the same quarter last year.
  • Profit from the property development segment dropped due to lower progress billing for our project at Mutiara Rini, Johor and rebates given for One Cochrane project. On the other hand, property investment segment recorded a lower loss on reduced operating cost. The industrial segment closed the quarter with a better result than Q1 FY2020 due to higher construction demand and export sales.

Heavy Industries Division

  • The Heavy Industries Division closed the quarter with an LBT of RM38.3 million against RM36.5 million in the same quarter last year, mainly due to a higher loss from BHIC. In Q1 FY2021, BHIC incurred higher loss mainly due to lower revenue from variation in milestone achieved for LCS, LMS and ship repair projects.

Boustead Group Managing Director Dato’ Sri Mohammed Shazalli Ramly said Boustead core businesses are set to remain steady amidst the challenges brought about by COVID-19 globally.

“In line with the Reinventing Boustead strategy, we continue to focus on our identified performance improvement programmes, new value creation initiatives within existing core businesses by exploring ventures into the digital services and high-technology sectors.

“The strategy is expected to put the company on a stronger footing over the next three years.
As planned, we have various exciting initiatives in place and we look forward to carrying them through. To ensure our business sustainability across all divisions, we will continue to focus on operational efficiencies and speedier executions while preserving healthy levels of liquidity.

“We wish to also register our appreciation for the announcement made by the Ministry of Defence regarding the conditional resumption of the Littoral Combat Ship (LCS) project and are committed in delivering all LCS units,” he said.

Commenting further, Boustead Chairman Dato’ Seri Mohamed Khaled Nordin said that the Board is pleased that the Group is back in the black and picking up the pace. “We believe this will serve as a turning point for the Group,” he said.

Reiterating confidence in the Reinventing Boustead strategy, he said the Board expects the management to stay focused on turning our business segments into profitable and sustainable businesses, despite the uncertain economic outlook.

“Nevertheless, Boustead’s diversified operations mainly in the essential services will continue to bolster the durability in bracing the impact of the COVID-19 pandemic while continuing the effort to seek new opportunities and strengthen its performance,” he concluded.


Forward looking statements
This release may contain certain forward-looking statements with respect to the financial conditions, results of operations and business of Boustead and certain plans and objectives of Boustead Holdings Berhad with respect to these items. By their nature, forward-looking statements involve risk and uncertainty because they relate to events and depend on circumstances that will occur in the future and there are many factors that could cause actual results and developments to differ materially from those expressed or implied by these forward-looking statements.


About Boustead Holdings Berhad

Boustead Holdings Berhad (‘Boustead’), one of Malaysia’s oldest conglomerates, is Lembaga Tabung Angkatan Tentera (‘LTAT’)’s investment arm. The diversified Group comprises more than 90 subsidiaries, associate companies and joint ventures, and has substantial interests in various sectors of the Malaysian economy.

Its operations are focused in five key areas namely plantation, heavy industries, property & industrial, trading, finance & investment, and pharmaceutical.

Since its inception as a modest trading entity more than 190 years ago, the Boustead Group has grown by leaps and bounds. As at 30 September 2020, Boustead Holdings Berhad’s paid-up capital was RM2.7 billion while its shareholders’ funds stood at RM3.5 billion. Market capitalisation is currently in the region of RM1.3 billion. For more information on Boustead, log on to 

For more details, please contact Boustead’s Group Corporate Communications Department at