Page 1 of 13

(Quarter ended 30.6.2022)

INTERIM FINANCIAL STATEMENTS

UNAUDITED INCOME STATEMENT FOR THE FINANCIAL YEAR ENDED
30 JUNE 2022

4th Quarter Ended 12 Months Cumulative Todate

30 June 30 June 30 June 30 June
2022 2021 2022 2021
RM'000 RM'000 RM'000 RM'000

Revenue 300,226 1,875,488 2,687,227 7,164,186

Operating expenses (268,410) (644,796) (1,599,836) (2,171,130)
Finance costs (1,591) (1,973) (5,705) (8,113)
Share of profit of associated companies (1,051) 2,498 (11,435) 35,050
Profit before tax 29,174 1,231,217 1,070,251 5,019,993
Taxation 3,107 (215,785) (299,174) (1,090,049)
Profit after tax 32,281 1,015,432 771,077 3,929,944
Other comprehensive income/(loss)
Foreign currency translation 49,385 (3,349) 41,047 22,175
49,385 (3,349) 41,047 22,175

Total comprehensive income 81,666 1,012,083 812,124 3,952,119

Profit attributable to:
Owners of the parent 33,054 962,526 732,429 3,816,717
Minority interest (773) 52,906 38,648 113,227
32,281 1,015,432 771,077 3,929,944
Total comprehensive income attributable to:
Owners of the parent 83,300 956,845 773,796 3,833,910
Minority interest (1,634) 55,238 38,328 118,209
81,666 1,012,083 812,124 3,952,119
Weighted average('000) number of
2,643,856 2,595,917 2,643,856 2,595,917
Ordinary Shares in issue
EPS - Basic and diluted ( sen ) 1.25 37.08 27.70 147.03

This Unaudited Condensed Income Statement should be read in conjunction with the Annual Financial Report of the
Group for the year ended 30 June 2021 (the latest audited accounts).
 Page 2 of 13
(Quarter ended 30.6.2022)

INTERIM FINANCIAL STATEMENTS

UNAUDITED STATEMENT OF FINANCIAL POSITION AS AT 30 JUNE 2022

Unaudited Audited
30 June 2022 30 June 2021
RM'000 RM'000

ASSETS
Non-Current Assets
Property, Plant & Equipment 1,750,984 1,449,803
Investment in associated companies 166,366 177,802
Deferred tax assets 40,671 111,674
1,958,021 1,739,279
Current Assets
Inventories 250,399 518,507
Trade receivables 156,438 627,711
Tax recoverable 375,334 592,253
Other receivables 159,671 137,379
Cash & bank balances 3,031,820 3,779,037
3,973,662 5,654,887
TOTAL ASSETS 5,931,683 7,394,166
EQUITY AND LIABILITIES
Share capital 340,077 340,077
Minority Interest 167,123 135,512
Treasury shares (70,673) (186,368)
Reserves 4,568,659 4,605,167
Shareholders Fund 5,005,186 4,894,388
Non-Current Liabilities
Long term borrowing 52,729 63,992
Deferred tax liabilities 68,006 66,009
120,735 130,001
Current Liabilities
Trade payables 144,991 273,195
Other payables and accrued expenses 121,688 83,380
Prepayment received from customers 64,221 817,025
Short term borrowing 179,907 198,293
Provision for taxation 294,955 997,884
805,762 2,369,777
TOTAL EQUITY AND LIABILITIES 5,931,683 7,394,166
Net Asset per share 1.82 1.82

This Unaudited Condensed Statement of Financial Position should be read in conjunction with the Annual Financial
Report of the Group for the year ended 30 June 2021 (the latest audited accounts).
 Page 3 of 13
(Quarter ended 30.6.2022)

INTERIM FINANCIAL STATEMENTS

UNAUDITED CONDENSED STATEMENT OF CASH FLOWS
FOR THE FINANCIAL YEAR ENDED 30 JUNE 2022

12 Months Ended
30 June 30 June
2022 2021
RM'000 RM'000

Profit before tax 1,070,251 5,019,993

Adjustment for non cash items 95,480 39,897

Operating profit before changes in working capital 1,165,731 5,059,890

Changes in working capital:

Net change in current assets 714,699 (642,413)
Net change in current liabilities (842,699) 44,771
Income tax paid (712,186) (837,061)

Net cash flows from operating activities 325,545 3,625,187

Investing Activities
Purchase of property, plant and equipment (408,936) (450,057)

Net cash flows used in investing activities (408,936) (450,057)

Financing Activities
Bank borrowings (29,649) (68,162)
Share buy back (42,177) (164,338)
Interest expenses (5,705) (8,113)
Interest income 5,156 7,630
Dividend paid (659,332) (443,935)

Net cash flows used in financing activities (731,708) (676,918)

Net change in cash & cash equivalents (815,099) 2,498,212

Effect of foreign exchange rate changes 67,882 94,635
Cash & cash equivalent at beginning of period 3,779,037 1,186,190

Cash & cash equivalent at end of period 3,031,820 3,779,037

Analysis of cash & cash equivalents:-

Cash & bank balances 3,031,820 3,779,037
3,031,820 3,779,037

This Unaudited Condensed Statement of Cash Flows should be read in conjunction with the Annual Financial Report
of the Group for the year ended 30 June 2021 (latest audited accounts).
 Page 4 of 13
(Quarter ended 30.6.2022)

INTERIM FINANCIAL STATEMENTS

UNAUDITED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE FINANCIAL YEAR ENDED 30 JUNE 2022

Reserves
Share Translation Retained Minority
Attributable Total
Capital Reserve Profits Interest
To Capital
RM'000 RM'000 RM'000 RM'000 RM'000 RM'000

Year Ended 30th June 2021

At 1st July 2020 340,077 (101,912) (141,657) 1,432,558 21,475 1,550,541

Movements during the year - (84,456) 17,194 3,297,072 114,037 3,343,847

At 30th June 2021 340,077 (186,368) (124,463) 4,729,630 135,512 4,894,388

Year Ended 30 June 2022

At 1st July 2021 340,077 (186,368) (124,463) 4,729,630 135,512 4,894,388

Movements during the period - 115,695 41,365 (77,873) 31,611 110,798

At 30 June 2022 340,077 (70,673) (83,098) 4,651,757 167,123 5,005,186

This Unaudited Condensed Consolidated Statement of Changes in Equity should be read in conjunction with the Annual
Financial Report of the Group for the year ended 30 June 2021 (the latest audited accounts).
 Page 5 of 13
(Quarter ended 30.6.2022)

NOTES TO THE INTERIM FINANCIAL REPORT FOR THE QUARTER ENDED 30 JUNE 2022
PURSUANT TO FINANCIAL REPORTING STANDARD (FRS) 134

1. Basis of Preparation

The interim financial report is unaudited and has been prepared in accordance with the requirements
of the Malaysian Financial Reporting Standard 134 (MFRS 134): Interim Financial Reporting issued
by the Malaysian Accounting Standards Board (“MASB”) and paragraph 9.22 (Appendix 9B part
A) of the Main Market Listing Requirements (“Listing Requirements”) of the Bursa Malaysia
Securities Berhad (“Bursa Securities”) and should be read in conjunction with the Group’s audited
financial statements for the financial year ended 30 June 2021 and the accompanying explanatory
notes attached to the unaudited consolidated financial statements.

The significant accounting policies and methods of computation adopted in the preparation of this
interim financial report are consistent with those adopted in the audited financial statements of the
Company for the financial year ended 30 June 2021. The adoption of the new MFRS,
amendments/improvements to MFRSs and new IC Interpretations does not have any significant
impact on the financial performance and financial position of the Group.

2. Auditors’ Report

There was no qualification on the audited financial statements of the Group for the financial year
ended 30 June 2021.

3. Seasonal and Cyclical Factors

The principal business operations of the Group were not affected by any seasonal and cyclical
factors.

4. Exceptional and Extraordinary Items

There were no exceptional or extraordinary items in the current quarter under review.

5. Changes in Accounting Estimates

There were no changes in accounting estimates for the current quarter under review.

6. Issuances, Cancellations, Repurchase, Resale and Repayments of Debt and Equity Securities

Share Buyback

During the quarter under review, the Company purchased a total of 697,200 ordinary shares from
the open market, all of which were retained in treasury. As at 30 June 2022, the Company held
55,758,209 shares in treasury.
 Page 6 of 13
(Quarter ended 30.6.2022)

7. Dividend Paid

Dividends paid in respect of the current financial year-to-date are as follows:

Financial Year Description Payment Dividend Value

Date(s) per share (RM’000)
2022 Interim single tier dividend 03.01.2022 5.0 sen* 130,882
Interim single tier dividend 28.06.2022 3.0 sen* 79,946

* The dividend rate is based on 2,720.6 million shares (less treasury shares if any) following a 1-for-1 bonus issue
completed on 8 September 2020.

8. Segmental Reporting

For management purposes, the Group is organized into operating divisions as shown in the table
below:

THE GROUP Investment Manu-

CUMULATIVE Holding facturing Trading Others Elimination Consolidated
FY2022 RM’000 RM’000 RM’000 RM’000 RM’000 RM’000
Revenue
External Revenue - 517,158 2,096,395 73,673 - 2,687,226
Inter-Segment Revenue 906,154 1,244,694 508,941 17,040 (2,676,829) -
906,154 1,761,852 2,605,336 90,713 (2,676,829) 2,687,226

Segmental results 1,156,190

Depreciation &
Amortisation (73,954)
Finance costs (5,705)
Interest income 5,155
Share of profit in
associated cos. (11,435)
PBT 1,070,251
Tax expenses (299,174)
PAT 771,077

9. Valuation of property, plant and equipment

Property, plant and equipment are stated at cost less accumulated depreciation. The carrying amounts
of property, plant and equipment are reviewed at each balance sheet date to determine whether there
is any indication of impairment.
 Page 7 of 13
(Quarter ended 30.6.2022)

10. Capital Commitments

As at 18 August 2022, the Group had capital commitments amounting to RM 212.6 million for the
purchase of plant and equipment to be installed at its various factories in Malaysia.

This amount is part of total Capital Expenditure of RM1.39 billion that the group budgeted & put
aside to build 5 new Nitrile Glove Manufacturing plants, i.e. Plant #13, #14, #15, #16 & #17 in
Klang, Selangor, Malaysia. The construction of the 4 of the 5 new plants are at various stages & the
plant and machineries for those which have been under installation would be commissioned when
market recovers.

As for USA Plant, US$350 million has been budgeted and site work, civil and structural works have
started. Installation of plant and machineries shall follow once the main civil and structural works
are completed in year 2023.

11. Material Events Subsequent to the End of Period Reported

There are no material events subsequent to the end of the interim period that have not been reflected
in the financial statements for the interim period.

12. Changes in the Composition of the Group

There were no significant changes in the composition of the Group during the current quarter ended
30 June 2022.

13. Contingent liabilities and contingent assets

The Group has no outstanding contingent liabilities and contingent assets as at 18 August 2022 which
might materially and adversely affect the position or business of the Group.
 Page 8 of 13
(Quarter ended 30.6.2022)

Additional information required by Bursa Malaysia Securities Bhd Listing Requirements

1. Review of the Performance of the Company and Its Principal Subsidiaries

The Supermax Group’s performance for the quarter under review is tabled below:

4th Quarter 4th Quarter

ended ended Increase/(Decrease)
Description
30.6.2022 30.6.2021*
RM ‘000 RM ‘000 RM’000 %
Revenue 300,226 1,875,488 (1,575,262) (84.0)
EBITDA 52,755 1,252,948 (1,200,193) (64.0)
EBITDA Margin (%) 17.6% 66.8% (49.2)
Profit Before Tax (PBT) 29,174 1,231,217 (1,202,043) (97.6)
PBT Margin (%) 9.7% 65.6% (55.9)
Profit After Tax ( PAT ) 32,281 1,015,432 (983,151) (96.8)
PAT Margin (%) 10.7% 54.1% (43.4)
* Audited

Supermax Group’s revenue saw a steep fall of 84.0% (RM1.57 billion) to RM 300.2 million
compared to the corresponding quarter a year ago. Over this period, profitability in absolute terms
and in terms of margins have fallen away significantly.

The declining profitability was due to a combination of factors as follows:

- Average selling prices (ASPs) and demand continue to come off the highs recorded a year ago
at a time when the worldwide Covid-19 pandemic fears were at or near its peak.

- Sales continues to be adversely impacted as the Withhold Release Order (WRO) imposed by
the US Customs and Border Protection (USCBP) in October 2021 remains in place and the
Canadian government having suspended orders and deliveries from Supermax.

- Importers and distributors including Supermax Group’s overseas distribution units having had
to sell high-priced inventory at falling market prices since end-CY2021.

- Increased operating costs caused by unfavourable factors and increase in minimum wages.
 Page 9 of 13
(Quarter ended 30.6.2022)

2. Comparison with Preceding Quarter’s Result

The Group’s current quarter performance versus the preceding quarter is tabled below:

4th Quarter 3rd Quarter

ended ended Increase/(Decrease)
30.6.2022 31.3.2022
RM ‘000 RM ‘000 RM’000 %
Revenue 300,226 407,799 (107,573) (26.4)
EBITDA 52,755 34,485 +18,270 +53.0
EBITDA Margin (%) 17.6% 8.5% +9.1
Profit Before Tax (PBT) 29,174 18,280 +10,894 +59.6
PBT Margin (%) 9.7% 4.5% +5.2
Profit After Tax ( PAT ) 32,281 15,810 +16,471 +104.2
PAT Margin (%) 10.7% 3.9% +6.8

Compared to the preceding quarter, the Group’s revenue was lower by 26.4%. While the Group’s
profits showed increases with EBITDA, PBT and PAT rising by RM18.3 million, RM10.9 million
and RM16.5 million respectively.

The deterioration in revenue was mainly due to:

- continued decline in average selling prices (ASPs) amid intensive competition with overall
glove supply rising significantly in line with the ramping up of production capacities by existing
and new glove players.

- US CBP’s WRO action remains in place and together with the Canadian government suspending
glove purchases from the Company, sales continue to be hampered.

- Importers and distributors including Supermax Group’s overseas distribution units having to
sell high-priced inventory at falling market prices since end-CY2021.

- Increased operating costs due to inflationary pressures on utility costs among others.
 Page 10 of 13
(Quarter ended 30.6.2022)

Historical & Current Financial Performance

The Group’s historical and current year cumulative financial performances are shown below:
FYE FYE FYE FYE FYE
Description 06/2018 06/2019 06/2020 06/2021 06/2022
(RM’000) (RM’000) (RM’000) (RM’000) RM’000)
Revenue 1,304,460 1,538,157 2,131,808 7,164,186 2,687,227
Profit from operations 169,879 192,116 679,111 5,028,106 1,087,391
EBITDA 217,720 237,194 771,822 5,096,884 1,149,909
EBITDA Margin 16.7% 15.4% 36.2% 71.1% 42.8%
Profit before Tax (PBT) 161,894 172,408 680,163 5,019,993 1,070,250
PBT Margin 12.4% 11.2% 31.9% 70.1% 39.8%
Profit after Tax (PAT) 110,142 123,103 534,778 3,929,944 771,076
Core Profit after Tax (PAT) 110,142 118,147 534,778 3,929,944 738,913
Core PAT Margin 8.4% 7.7% 25.1% 54.9% 27.5%
No. of Shares 680,154 1,360,308 1,360,308 2,720,619 2,720,619
Net Tangible Asset (NTA) 1,022,710 1,134,226 1,550,542 4,894,388 4,954,982
NTA per share (RM) 0.38# 0.42# 0.59# 1.82 1.81
EPS (sen) 4.05# 4.70# 20.08# 147.03 26.52
Return on Assets (ROA) 6.4% 6.7% 16.7% 53.1% N/A
Return on Equity (ROE) 10.8% 10.8% 34.5% 80.3% N/A

# The NTA per share and EPS for the financial year ended 30.6.2021 and financial year ending 30.6.2022 are
based on an enlarged share capital of 2.72 billion shares following a 1:1 bonus issue on 8 September 2020.
For comparative purposes, the NTA per share and EPS in the prior years’ have been adjusted to reflect the
said bonus issue.

8,000,000

7,000,000

6,000,000
(RM'000)

5,000,000
Value

4,000,000

3,000,000

2,000,000

1,000,000

0
'05 '06 '07 '08 '09 '10 '11 '12 '13 '14 FPE'16 '17 '18 '19 '20 21 22
Year

Revenue Profit from Operation Profit before Tax Profit after Tax

Note: The financial period ended 30 June 2016 is an 18-month transition period following the change in financial year-
end from December to June.
 Page 11 of 13
(Quarter ended 30.6.2022)

3. Prospects
Glove Division

a) Global supply exceeding demand and glove selling prices are weak.

The rubber glove industry is currently well into a consolidation phase, after having gone through
its strongest ever growth phase historically in 2020 and 2021, triggered by the Covid-19
pandemic that had spread across the globe. The sector’s strong growth spurt had attracted many
new players into the market and encouraged existing players to ramp up production capacity to
capitalise on the surging demand. The resulting over-supply situation coupled with demand
normalising as the world comes to terms with a pandemic that is transitioning to an endemic
disease, has seen average selling prices (ASPs) for gloves track lower from their record highs.

We expect to see continued major consolidation in the rubber glove industry as ASPs and
demand continue to moderate from the record highs seen at the peak of the Covid-19 pandemic.
Nevertheless, the structural shift triggered by the pandemic will see demand remain at a higher
level compared to the pre-pandemic period and resume a longer-term upward trend once the
current demand-supply disequilibrium rebalances in time.

Going forward, we are expecting the market to remain weak, competition continue to be intense
and the profit margins continue to moderate.

4. Variance of Actual and Forecasted Profit and Shortfall in Profit Guarantee

This is not applicable to the Group for the current quarter under review.
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(Quarter ended 30.6.2022)

5. Profit Before Tax

Profit before Tax is arrived at after charging/(crediting):

4th Quarter Ended Financial Year Ended

30.6.2022 30.6.2022
RM’000 RM’000
Interest Expense 1,591 5,705
Depreciation & Amortisation 21,990 73,953
Staff costs:
- Salaries, wages & bonus 33,597 145,478
- EPF 1,948 7,669
- Other related staff costs 1,105 15,290

Foreign Exchange
- Realised (Gain) or Loss (9,687) (38,973)
- Unrealised (Gain) or Loss (30,019) (26,386)

Other Costs & Expenses 249,476 1,422,805

Total Operating Expenses 268,410 1,599,836

6. Taxation and Variance between the Effective and Statutory Tax Rate

4th Quarter Ended Financial Year Ended

30.6.2022 30.6.2022
RM ‘000 RM ‘000
Tax Expense/(Income) (3,107) 299,174

The effective tax rate for the financial year-to-date is higher than the statutory tax rate of 24% as
higher provision was made in view of the prosperity tax announced in Budget 2022.

7. Profit/(Loss) On Sale of Unquoted Investment and/or Properties

There were no sales of investment and /or properties for the financial period under review.

8. Quoted Investment

There were no purchases or sales of quoted securities during the current financial period.

9. Status of Corporate Proposals Announced

There are no corporate proposals announced as at 18 August 2022 (the latest practicable date that
shall not be earlier than 7 days from the date of this quarterly report).
 Page 13 of 13
(Quarter ended 30.6.2022)

10. Group Borrowings and Debt Securities

Group borrowings as at 30 June 2022 are as follows:-

Secured Unsecured Total

RM’000 RM’000 RM’000
Short term borrowings - 179,907 179,907
Long term borrowings - 52,729 52,729
Total borrowings - 232,636 232,636

81% of the short-term borrowings comprise trade facilities amounting to RM 145.7 million that are
revolving in nature for working capital purposes.
Remaining secured bank facilities have been fully settled.

11. Financial Instruments with Off Balance Sheet Risks

There were no financial instruments with off balance sheet risk as at 18 August 2022 (the latest
practicable date which shall not be earlier than 7 days from the date of this quarterly report).

12. Pending Material Litigation

The Group has no outstanding material litigation which might materially and adversely affect the
position or business of the Group as at 18 August 2022, being the latest practicable date.

13. Dividends Declared/Proposed

The Board of Directors has proposed a final single tier dividend of 3 sen per ordinary share for the
financial year ended 30 June 2022, subject to shareholders’ approval at the upcoming Annual
General Meeting to be held later this year.

14. Earnings per Share (EPS)

Current Quarter Financial Year

Ended Ended
30.6.2022 30.6.2022

Net profit (RM’000) attributable to

33,054 732,429
ordinary shareholders
Weighted average (‘000)
2,643,856 2,643,856
Number of ordinary shares in issue
Basic earnings per share (sen) 1.25 27.70