Firing On All Cylinders

MBM Resources is powering up, say analysts

RESEARCH analysts are bullish about MBM Resources Bhd’s (MBM) expansion plans to become a complete automotive group with capabilities that include manufacturing and assembly, distribution, retail and dealerships, parts and accessories, and body and paint repair.

In a report, Kenanga Research says it continues to view MBM’s prospects positively.

The research unit notes that MBM is shifting its focus to manufacturing as the group plans to grow its earnings for its manufacturing division to make up 36% of the group total earnings, from about 15% currently.

“We also see more potential orders for its airbags sales, given the low average airbag fitment rate of 50% to 70% for local cars.”

OSK Research also says MBM is morphing into an integrated automotive player with exposure across broad segments and various supply chains in the sector.

OSK Research reiterates that automotive safety equipment manufacturer Hirotako Holdings Bhd, which was recently acquired by MBM, could contribute up to RM42mil to the group’s profit this year.

OSK Research points out that airbag maker Hirotako will benefit from the compulsory fitment of airbags for all new vehicles this year.

“Also, we understand that MBM is inking a deal to supply airbags for the Toyota Vios this year.”

OSK Research says airbag maker Hirotako will benefit from the compulsory fitment of airbags for all
new vehicles this year.

OSK Research points out that Hirotako’s joint venture partner was Autoliv, known as the biggest supplier of airbags globally with Volkswagen as its biggest customer.

“We see both parties sealing a deal here eventually, since Volkswagen will soon start localising production. Also, in the longer term, opportunities are abound for MBM to cross-sell its airbags to Daihatsu Indonesia.”

RHB Research Institute points out that Hirotako is the sole manufacturer of airbags in Malaysia, and estimates that the company could grow its 2011 to 2014 net profit at a 13.3% compound annual growth rate (CAGR).

“This year, Hirotako’s earnings will be driven by the full 12-month contribution from the supply of safety equipment for the new Myvi, in addition to Proton’s forthcoming Persona replacement,” says RHB Research.

Meanwhile, Kenanga Research points out that the group’s 78%-owned subsidiary Oriental Metal Industries (M) Sdn Bhd (OMI) would have a new RM103mil alloy wheel manufacturing plant in Rawang, which is expected to be commissioned by the end of the year.

“This plant will have an annual production capacity of one million alloy wheels, which will be used to fulfil the demand gap in the alloy wheel segment as about 44% of the alloy wheels in the country are imported. We expect an additional RM150mil in annual turnover to MBM when the facility is fully operational in 2015.”

It is also notes that MBM has a manufacturing licence for the assembly of motor vehicles after acquiring a 70.1% stake in Kinabalu Motor Assembly Sdn Bhd from the Lion Group two years ago.

“Although details still remain sketchy, the licence acquired is a general licence which entitles MBM to assemble passenger cars or commercial vehicles. This is better than new licences, which only allow for the assembly of cars higher than 1.8-litre and priced above RM150,000.”

RHB Research believes a vehicle assembly plant set up by MBM would be best served by being located in close proximity to the Klang Valley.

“While MBM intends to leverage on the manufacturing licence, any potential investment opportunity would depend on the outcome of the forthcoming revision to the National Automotive Policy that is expected to be announced in April,” says RHB Research.

RHB Research also says the completion of the 26-storey Menara MBM, located on the former Federal Auto showroom site adjacent to Mid Valley Megamall is on track, could add RM20mil to the group’s earnings in 2014.

“The construction of the building by 70%-owned subsidiary Inai Benua is on track. MBM plans to keep seven floors for its own use while 70% of the remainder has been sold.”

Results within expectations

Meanwhile, analysts say MBM’s earnings for the financial year ended Dec 31, 2011 were within estimates.

For the 12 months under review, MBM posted a 15% year-on-year drop in net profit to RM120.9mil, which was attributed to higher expenses incurred from the group’s expansion, lower margins from the discontinuation of the Daihatsu Delta trucks, higher material costs, adjustment of a once-off gain in 2010 as well as manufacturing deliveries affected by the disruption in parts supply, as a result of the Japan earthquake and Thailand flood disasters last year.

Revenue for the year under review increased 14.6% to RM1.75bil, on the back of strong sales of new Volkswagen models by the Federal Auto Group as well as Perodua cars by the dealership network of DMM Sales (M) Sdn Bhd.

For its fourth quarter ended Dec 31, 2012, MBM posted a 10.6% year-on-year drop in net profit to RM26mil while revenue was 45% higher at RM539mil.

The group says the decline in net profit for the quarter under review was due to RM6.6mil spent on acquisition related costs for Hirotako Holdings Bhd.

The group’s gross debt to equity ratio as at Dec 31, 2011 is 32.8%, compared with only 3.3% a year earlier.

Net assets per share rose to RM4.55 as at Dec 31, 2011, from RM4.20 a year earlier.

First fund-raising exercise

On Feb 24, MBM announced a 3-for-10 bonus issue to reward shareholders.

The group also announced its first fund-raising exercise since its public listing in 1995, with a proposed 3-for-10 rights issue with free warrants, which could raise some RM315 million when fully exercised, for its expansion plan.

OSK Research says while the enlarged share base and potential 38% dilution to earnings per share (EPS) are a cause for concern, there is a potential price upside for MBM’s stock as the group’s total consolidated earnings (including that from newly-acquired Hirotako), could surge by 50% in the current financial year.

“We see the proposed rights issue and warrants as the best way for MBM to optimise its capital. It will lower the group’s financing expenses, especially after having raised RM396mil from bank borrowings to pay RM409mil for Hirotako.

“From the proceeds raised, MBM could potentially reduce net gearing to 8% and 5.3% for this and next year respectively. We also see the MBM going back to a net cash position by 2015, from a net gearing of 13.9% currently.”

OSK Research says MBM’s return on equity (ROE) would still be in double digits at an estimated 10% to 11% for 2012 to 2014.

Stock valuations

Kenanga Research maintains its “outperform” call on MBM’s stock, with a target price of RM5.38 per share based on a forecast of eight times MBM’s PER (price-to-earnings ratio) for its financial year 2012 estimated earnings.

RHB Research maintains its “outperform” call on MBM’s stock, with a fair value of RM5.05 per share based on 8.5 times its forecast 2012 earnings.

“Our target PER reflects the increasing shift of MBM’s earnings derived from higher value-added manufacturing activities.”

However, RHB Research notes that risks for MBM include a weaker economy and tighter financing conditions that could result in lower car sales, as well as unfavourable foreign exchange trends.

OSK Research has upgraded its call on MBM’s from “sell” to “buy”, with a fair value of RM5.34 per share.

“Our fair value implies a forward price-to-earnings multiple of 10.7 times, which is in line with the automotive sector’s average currently,” says OSK Research.

The research unit opines that with the higher liquidity base and the group’s market cap breaching RM1bil, MBM’s stock may come into the radar of institutional investors going forward, including foreign funds.


  • Diploma in Civil Engineering, University Technology MARA, Shah Alam
  • Degree in Civil Engineering, University Technology MARA, Shah Alam
  • Executive Diploma in Business Administration, University of Central Lancashire, United Kingdom.

Working Experience / Other Directorships


  • Group Advisor, PNA Technologies Sdn Bhd
  • Group Advisor, Syarikat Metal Industries of Malaysia Sdn Bhd


  • Group Advisor New Business Development of Ingress Corporation Berhad
  • President & Chief Executive Officer of Perusahaan Otomobil Kedua Sdn Bhd (Perodua) from 2013 to 2018
  • Managing Director of Perodua from 2009 to 2012
  • Executive Director of Strategic Marketing Group, UMW Toyota Motor Sdn Bhd from 2007 to 2009
  • Executive Director of Strategic Planning Group, UMW Toyota Motor Sdn Bhd in 2006
  • Executive Director, Sales Group of UMW Toyota Motor Sdn Bhd from 2004 to 2005
  • Director, Human Capital Group of UMW Toyota Motor Sdn Bhd from 2001 to 2003
  • General Manager, HR and Administration of UMW Toyota Motor Sdn Bhd from 1996 to 2001
  • Manager, Property and Facilities of UMW Toyota Motor Sdn Bhd from 1992 to 1996
  • Property and Purchasing Manager of Utusan Melayu (M) Sdn Bhd in 1992
  • Property and Maintenance Manager of Techart Sdn Bhd from 1985 to 1991
  • Project Engineer of Techart Sdn Bhd from 1983 to 1985
  • Board of Director Universiti Teknologi Mara (UiTM)
  • Board of Director Universiti Teknologi Mara Holding (UiTMH)
  • Board of Director Universiti Malaysia Pahang (UMP)

Membership of Board Committees in MBMR:

  • Nominating and Remuneration Committee (Chairman)
  • Audit Committee (Member)
  • Group Transformation Committee* (Chairman)

*Dissolved on 27 January 2022

Date Appointed to the Board

  • 29 May 2019

Mr. Low Hin Choong was appointed to the Board on 18 May 2001. He is currently the Chairman of the Long Term Incentive Plan Committee and a member of the Risk Management and Sustainability Committee. During the period between 24 August 2023 to 2 January 2024, Mr. Low also served as a member of the Executive Committee of MBMR which was temporarily set up to assume the role and responsibilities of the Group Chief Executive Officer upon his departure.

He holds a Bachelor of Science (Honours) Degree in Business Administration and Computer Science from Queen’s University Belfast, United Kingdom.

Mr. Low has over 30 years of experience in the IT industry. He is the founding director of his own successful software applications company. Mr. Low has since retired but remains a director and advisor to the company.

Mr. Low is presently a Director of Perusahaan Otomobil Kedua Sdn Bhd and an alternate Director at Med-Bumikar MARA Sdn Bhd. He also holds directorships in Reliance Business Solutions Sdn Bhd, Rosen Sdn Bhd, and RBS Technology Sdn Bhd.

His current directorships in other companies within the MBMR Group include Hirotako Holdings Berhad, Hirotako Acoustics Sdn Bhd, Autoliv Hirotako Sdn Bhd, Federal Auto Holdings Berhad, Oriental Metal Industries (M) Sdn Bhd, Daihatsu Malaysia Sdn Bhd and MBMR Properties Sdn Bhd.

Mr. Ng Seng Kong has been on the Board since 1 October 2015. He is currently a member of the Audit Committee.

Mr. Ng is a Fellow Member of the Association of Chartered Certified Accountants, United Kingdom and a Fellow Member of the Chartered Institute of Management Accountants, United Kingdom. He is also a member of Chartered Global Management Accountant.

Mr. Ng started his career as an auditor at a chartered accounting firm in London from 1975 to 1979. Upon returning to Malaysia, he joined MKS Sdn Bhd as a Financial Controller from 1980 to 1981. Presently, Mr. Ng serves as Managing Director of UMS Holdings Berhad and UMS Corporation Sdn Bhd.

Mr. Ng also currently holds directorships in several companies within the MBMR Group namely, Hirotako Holdings Berhad, Hirotako Acoustics Sdn Bhd, Autoliv Hirotako Sdn Bhd, Federal Auto Holdings Berhad, Oriental Metal Industries (M) Sdn Bhd, MBMR Properties Sdn Bhd, Teck See Plastic Sdn Bhd, Hino Motors Sales (Malaysia) Sdn Bhd and Hino Motors Manufacturing (Malaysia) Sdn Bhd. He is also a Director on the Board of Med-Bumikar MARA Sdn Bhd.


  • Master of Arts, International Studies, Ohio University, United States of America
  • Bachelor of Economics (Hons), University of Malaya, Malaysia

Working Experience / Other Directorships


  • Chairman of Zelan Berhad


  • Director of CIMB Principal Asset Management Berhad
  • Chairman of Faber Group Berhad from 2001 to 2008
  • Various management positions in Khazanah Nasional Berhad from 1994 to 2004 including Managing Director position.
  • Special Assistant to the Secretary General of Ministry of Finance from 1993 to 1994
  • Principal Assistant Secretary in the Finance Division, Federal Treasury under Ministry of Finance from 1991 to 1993
  • Deputy Director of Petroleum Development Division under Prime Minister’s Department from 1986 to 1991
  • Principal Assistant Secretary in Foreign Investment Division, Economic Planning Unit under Prime Minister’s Department from 1982 to 1984
  • Attachment with Investment Division of the Malaysian Tobacco Company Berhad under the British Malaysia Industry & Trade Association training scheme from 1984 to 1985
  • Principal Assistant Secretary in Economic & International Division, Federal Treasury under Ministry of Finance from 1980 to 1981
  • Principal Assistant Secretary in Budget Division, Federal Treasury under Ministry of Finance from 1978 to 1980
  • Assistant Director in Industries Division under Ministry of International Trade & Industry from 1973 to 1978

Membership of Board Committees in MBMR:

  • Nominating and Remuneration Committee (Member)
  • Audit Committee (Chairman)
  • Long Term Incentive Plan Committee (Member)
  • Risk Management and Sustainability Committee (Member)

Date Appointed to the Board

  • 16 January 2018


  • Fellow Member of the Institute of Chartered Accountants in England and Wales
  • Member of the Malaysian Institute of Accountants
  • Bachelor degree in Accountancy

Working Experience / Other Directorships


  • Chief Executive Officer of Berjaya Capital Berhad
  • Non-Independent Non- Executive Director of 7-Eleven Malaysia Holdings Berhad
  • Audit Committee Member of Razak School of Government


  • Acting Chief Executive Officer and Chief Financial Officer of MARA Corporation Sdn Bhd from 2016 to 2019
  • Chief Operating and Financial Officer of Unitar Capital Sdn Bhd from 2012 to 2016
  • Advisor of ECS Solutions Sdn Bhd from 2011 to 2012
  • Audit and Assurance Director of Ernst & Young from 2008 to 2011
  • Manager under Banking and Capital Market Group of Ernst & Young LLP, London from 2003 to 2008
  • Internal Auditor of Habib Bank AG Zurich from 2002 to 2003
  • Senior Auditor of John Cumming Ross, Ltd in 2001
  • Senior Auditor of Andersen & Co, Malaysia (formerly known as Arthur Andersen & Co) from 1998 to 2001

Membership of Board Committees in MBMR:

  • Audit and Risk Management Committee (Member)
  • Group Transformation Committee* (Member)

*Dissolved on 27 January 2022

Date Appointed to the Board

  • 28 January 2019

Ms. Wong Fay Lee was appointed to the Board as a Non-Executive Director on 29 May 2019. She is currently the Chairman of the Risk Management and Sustainability Committee and a member of the Nominating and Remuneration Committee.

Ms. Wong graduated from the University of Sydney with a Bachelor’s Degree in Law. She also holds a Graduate Diploma in Applied Finance and Investments from Securities Institute Australia.

She started her career in 1987 as a corporate finance lawyer with Mallesons Stephen Jaques in Sydney, Australia and later as a Senior Associate in Mallesons’ South East Asian practice. She then joined the Malaysian Securities Commission as Manager of Product Development from 1993 to 1995.

Her past leadership positions include serving as Chief Executive Officer at Malaysian Derivatives Clearing House Bhd (now known as Bursa Malaysia Derivatives Berhad) from 1995 to 2000, Adviser to the Clearing Division of Hong Kong Exchanges and Clearing Limited from 2001 to 2002 and she was also an Independent Director at KFH Asset Management Sdn Bhd from 2002 to 2010.

Ms Wong was previously appointed as an Executive Director in MBMR from 2014 to 2017 while concurrently serving as the Head of Governance, Legal Risk & Compliance from 2011 until 2018. She was also appointed as Managing Director of Federal Auto Holdings Bhd from 2016 to 2017.

She is currently the Chairman of Federal Auto Holdings Berhad and a Director at Daihatsu (Malaysia) Sdn Bhd, Med-Bumikar MARA Sdn Bhd, and Astute Fund Management Berhad (formerly Apex Investment Services Berhad).

During the Financial Year Ended 31 December 2023, a family member of Ms. Wong was promoted to General Manager in the Company’s Subsidiary, Federal Auto Holdings Berhad wherein Ms. Wong was serving as Chairman of the Board. Ms. Wong had not participated in deliberations and abstained from voting and decision.


  • Bachelor of Economic, International Islamic University Malaysia
  • London Chamber of Commerce & Industry (LCCI) Higher – Business Statistics
  • Six Sigma – Champion Training, Motorola University

Working Experience / Other Directorships


  • Group Chief Executive Officer
  • Director of Daihatsu (Malaysia) Sdn Bhd
  • Director of Federal Auto Holdings Berhad
  • Director of Autoliv Hirotako Sdn Bhd
  • Director of Teck See Plastic Sdn Bhd
  • Director of MBMR Properties Sdn Bhd
  • Director of Oriental Metal Industries (M) Sdn Bhd
  • Director of Hirotako Acoustics Sdn Bhd
  • Director of Perusahaan Otomobil Kedua Sdn Bhd


  • Head, Automotive Distribution Division, Hicom Holdings Berhad (HHB) – Holding
    company of listed DRB-Hicom Berhad
  • Director, Mitsubishi Motors Malaysia (MMM)
  • Director, Isuzu Motors Sdn Bhd (IMSB)
  • Director, Edaran Otomobil Nasional (EON)
  • Director, EON Auto Mart Sdn Bhd
  • Director, Euromobil Sdn Bhd
  • Director, Hicom Auto Sdn Bhd
  • Director, AVIS Malaysia
  • Director, ACM
  • Director, DRB-Hicom Commercial Vehicles Sdn Bhd (DHCV)
  • Director, DRB-Hicom Auto Solution Sdn Bhd
  • Senior General Manager – Sales & Marketing Division, Perodua Sales Sdn Bhd
  • General Manager – Sales Division, Perodua Sales Sdn Bhd
  • Deputy General Manager – Sales Operations, Perodua Sales Sdn Bhd
  • Senior Manager – Sales Planning Department, Perodua Sales Sdn Bhd
  • Senior Manager – Distribution Department, Perodua Sales Sdn Bhd
  • Coordinator, MD’s Office, Perodua Sales Sdn Bhd
  • Manager – Market Planning, UMW Toyota Motor Sdn Bhd
  • Marketing Manager, UMW Engineering Sdn Bhd
  • Strategic Planning & Business Development Manager, UMW Auto Parts Sdn Bhd
  • Marketing Administration Executive, UMW Heavy Equipment Group
  • Corporate Planning & Project Executive, UMW Corporation Sdn Bhd
  • Economic Analyst, Federation of Malaysia Manufacturers (FMM)

Date Appointed to MBMR

  • 8th February 2021

Ms. Chin Tze Fui @ Annie Chin was appointed as the Group Chief Financial Officer on 29 September 2020. She first joined MBMR on 1st November 2016 as the Group Financial Controller and briefly served as the Acting President and Chief Executive Officer of MBMR from October 2020 to February 2021.

Annie has also previously served on the Board of a number of companies under the MBMR Group, namely Daihatsu (Malaysia) Sdn Bhd, Federal Auto Holdings Berhad, Autoliv Hirotako Sdn Bhd and Teck See Plastic Sdn Bhd during her tenure as the Acting President & CEO.

Annie graduated with a Bachelor of Science in Accounting (Honours) from Oklahoma State University, United States of America and she is a member of Malaysian Institute of Accountants (MIA).

Annie has over 30 years of experience in the fields of financial management practices covering various aspects of accounting, finance, business assurance and corporate transactions. She served as an Audit Manager at Ernst & Young Malaysia early in her career and proceeded to join Scomi Group Berhad. During her years with Scomi Group Berhad, Annie held several senior positions including Group and Regional Financial Controller. She later became a Partner at Annbren Management & Consultancy Services from 2011 to 2016 prior to joining MBMR.


  • B. A. (Hons) Accounting and Financial Studies, University of Exter, UK
  • Certified Training Professional, ARTDO-ITD International
  • Member, Society for Human Resource Management
  • Member, International Coaching Federation

Working Experience / Other Directorships


  • Director, Group Corporate Services


  • Director, Transformation Office of MBMR Resources Berhad
  • Board of Trustees of Kelab Belia Kalsom (The Kalsom Movement)
  • Director/Head, Group Human Capital of MARA Corporation Sdn Bhd
  • Executive Director, UNITAR International Academy Sdn Bhd
  • Director, Vice Chancellor’s Office of UNITAR International University
  • Head of Collaboration of Arise Asia Sdn Bhd
  • Vice President, Strategic Human Capital Management of Khazanah National Berhad
  • Consultant of Mercer Human Capital Consulting

Date Appointed to MBMR

  • 4th February 2020


Throughout our history, one driving force has remained constant: our commitment to being the Automotive Partner of Choice for our Employees, Customers, and Investors.

Our primary goal is to deliver sustainable performance and returns to our investors. But beyond the numbers, we recognise the importance of contributing to social development and environmental protection. Our sustainability objectives aren’t lofty ideals; they’re practical necessities for our long-term success. By integrating sustainability into our business practices, we ensure our resilience and relevance in an ever-changing world. Through responsible environmental practices, social engagement, and ethical governance, we pave the way for enduring prosperity.

In 2022, MBMR established our Sustainability Policy and Framework alongside a governance structure. This foundational framework not only laid out our overarching sustainability goals but also provided the necessary infrastructure for effective monitoring and implementation. Within this framework, a set of sustainability targets was delineated to serve as key performance indicators, guiding our progress in this crucial domain.

Building upon this groundwork, MBMR embarked on a journey of oversight for our sustainability performance and initiatives. Quarterly sustainability performance and reporting mechanisms were introduced to ensure meticulous tracking of our sustainability endeavours. These regular assessments allowed us to gauge our progress, identify areas for improvement, and adapt our strategies accordingly.

The year 2023 marked a significant milestone in our sustainability journey, characterised by notable advancements in our initiatives. Board members and Management participated in the Sustainability Leadership Series organised by the Group, featuring esteemed speakers. Topics covered included ESG trends, the Carbon Market, and policies related to sustainability, among others.

Additionally, a comprehensive materiality assessment was conducted during this period to identify our most pressing sustainability issues and align our strategies accordingly. This exercise not only offered clarity on the focal points for reporting but also served as a strategic guidepost for our sustainability endeavors. By directing our resources towards addressing the most pertinent challenges, we ensured that our sustainability efforts remained focused and impactful.

Furthermore, MBMR expanded its reporting framework to include carbon emission tracking for Scope 1 and 2 emissions. This enhancement, coupled with the standardisation of data collection and calculation methodologies, bolstered the accuracy and reliability of our sustainability reporting efforts. By aligning our reporting practices with industry standards and best practices, we ensure transparency and accountability in our sustainability journey.

Our strides in environmental management have taken a notable leap forward. At the OMI steel wheel plant in Shah Alam, we augmented our sustainability efforts by installing a 330 kilowatts peak (“kWp”) solar panel array. This addition complements the solar panels previously installed at HASB and AHSB in 2022, along with the OMI Shah Alam tyre assembly plant in 2021. Additionally, we upgraded the existing air compressors to invertor air compressors at the OMI Shah Alam facility, a move aimed at reducing our carbon footprint and energy consumption.

In tandem with these initiatives, waste management witnessed ongoing enhancements, accompanied by the expansion of recycling programmes across all MBMR businesses. Within our manufacturing units, the steadfast maintenance of ISO 14001 environmental management system accreditation serves as a testament to our commitment to environmental stewardship. This accreditation not only assures stakeholders of our compliance with environmental regulations but also generates cost-savings through improved resource efficiency and waste management practices.

Investing in our most valuable asset, our people, remains paramount to our strategic advancement. We hold firm to the belief in fostering focused employee engagement and a deeply integrated culture of appreciation and development. Ensuring a safe working environment is foundational to our approach, underpinned by comprehensive health and safety programmes, as well as regular audits and inspections. Moreover, we prioritise talent development programmes aimed at upskilling our workforce, providing them with opportunities to enhance both technical and soft skills. These initiatives underscore our commitment to nurturing the potential of our employees and empowering them to thrive in their roles.

We perceive digitalisation as a catalyst for advancing our strategic objectives. In the past year, we implemented Internet of Things (“IoT”) monitoring systems, facilitating production and maintenance monitoring at the 400 tonnes hydraulic press machine at HASB. Additionally, we introduced a Supervisory Control and Data Acquisition (“SCADA”) system at OMI for real-time data capturing and analysis. These digitalisation initiatives have not only enhanced monitoring capabilities but also paved the way for greater automation, thereby boosting operational efficiencies across our manufacturing plants.

At MBMR, we remain committed to enriching the communities surrounding our operations. To this end, we prioritise local suppliers along our supply chain where possible, ensuring both cost optimisation and adherence to quality requirements. These concerted efforts underscore our dedication to fostering mutually beneficial relationships with our local communities.

Further, our efforts to enhance our Group’s businesses are underpinned by a sturdy governance, risk management, and internal control framework and practices. We are steadfast in our commitment to instilling the highest standards of integrity, honesty, and transparency within the Group.

As part of our governance initiatives, we have implemented fundamental Group-wide policies aimed at bolstering overall governance within the Group. One notable initiative is the adoption of a new Group Governance Framework to promote the adoption of good corporate governance practices and to minimise the risk of governance failures within the Group. The Group Governance Framework sets out the Group’s governance structure including all policies and procedures with the aim of setting the tone for leadership and culture within the Group towards alignment of strategies and priorities across the Group.

Through continuous investments in knowledge development, operational excellence, innovative technology adoption, and digitalisation, we are driving our businesses to directly address these pillars and contribute to the sustainability of our planet. We firmly believe that there is no alternative to sustainability, and as such, we are committed to making continuous improvements in the material sustainability matters we have identified, aligning them with delivering sustainable returns to our shareholders.

Looking ahead, the future holds great promise for MBMR. In 2024, we are poised to incorporate sustainability targets which are linked to performance remuneration across all operating companies and introduce Scope 3 Carbon Emission reporting in our disclosures. Moreover, our facilities will increasingly transition to renewable energy sources over time, further solidifying our commitment to environmental stewardship. As we prepare for reporting against the Task Force on Climate-Related Financial Disclosure, we remain steadfast in our dedication to upholding the integrity of our content, as evidenced by the independent limited assurance on the selected sustainability indicators in our 2023 Sustainability Report disclosure.

With sustainability as our guiding principle, MBMR is primed to embark on a journey of continued growth, innovation, and responsible business practices. Together, let us forge ahead, shaping a more sustainable future for generations to come.

Encik Aqil bin Ahmad Azizuddin