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The MEDIA Library

2017's News


  • UMW KICKS-OFF CENTENARY CELEBRATIONS WITH A CARNIVAL FOR ITS STAFF
    UMW KICKS-OFF CENTENARY CELEBRATIONS WITH A CARNIVAL FOR ITS STAFF

    SHAH ALAM, 5 October 2017 - UMW Holdings Berhad, one of the nation's leading conglomerates, is proudly celebrating its centenary this year. The momentous milestone celebrations commenced with a one-day carnival for its employees at Dataran UMW in Shah Alam today.

    The employee carnival featured various games, free health screening, a blood donation drive as well as celebrity appearances. Following this, the Group will be organising a range of activities to honour and commemorate other stakeholders for their strong support over the years.

    The UMW Group started operations as United Motor Works, an automotive repair shop in Orchard Road, Singapore in 1917.Subsequently, long-standing strategic alliances with leading global enterprises have underpinned UMW Group's position as a pioneer and leader in its core businesses. Today, the UMW Group is a major industrial conglomerate with diverse and global interests in the automotive, equipment and manufacturing & engineering sectors. It currently operates in eleven countries and has over 10,000 employees.

    The Group is ushering in its 100th year poised for an exciting phase of sustainable growth. UMW'slandmark venture into the aerospace industry is progressing well with the first delivery of fan case for Rolls-Royce's Trent 1000 aero engine expected this month. In addition, construction of a new state-of-the-art automotive plant by UMW Toyota Motor in Bukit Raja, Klang is underway and scheduled for operations in early 2019. The Group also recently announced a new joint venture with Komatsu (Japan) to strengthen and grow the market penetration of Komatsu products in Malaysia, Singapore, Myanmar and Papua New Guinea. All three developments are fresh catalytic opportunities that will provide a strong platform for future expansion and value creation.

    "The long sweep of UMW's 100-year history has always been defined by forward motion - achieved through the resilience of our employees, the staunch support of our stakeholders and a constant, ceaseless broadening of our horizons. This is the legacy that we honour and live up to as we relentlessly explore new growth opportunities. We are immensely proud that UMW has turned the page on its first century of operations; and we will continue to work closely with our stakeholders to propel the Group to even greater heights over the next 100 years to come. We also would like to thank our shareholders, Government, business partners and customers for all the cooperation and trust given to UMW," said Badrul Feisal bin Abdul Rahim, President & Group CEO of UMW Holdings Berhad.

  • UMW HOLDINGS RECORDS HIGHER REVENUE IN 2Q17 AND SUCCESSFUL DEMERGER EXERCISE IS EXPECTED TO PUT THE COMPANY BACK ON THE PROFITABLE PATH MOVING FORWARD
    UMW HOLDINGS RECORDS HIGHER REVENUE IN 2Q17 AND SUCCESSFUL DEMERGER EXERCISE IS EXPECTED TO PUT THE COMPANY BACK ON THE PROFITABLE PATH MOVING FORWARD

    • Group revenue was 2.8% higher than the corresponding period of 2016.
    • Automotive and Equipment segments continue to be profitable
    • Manufacturing & Engineering performed reasonably well but was affected by pre-operating expenses incurred by the aerospace business.
      Core Business segmentsAutomotiveEquipmentM &
      E
      Total
      PBT (RM'mil) 99.032.2(9.6)121.6
    • Group's results were dragged down by losses in both the listed and unlisted Oil & Gas segments, and one-off loss on the demerger of UMW Oil & Gas Corporation Berhad (UMW-OG) arising from the difference between the fair value/market value of UMW-OG and share of net assets of UMW-OG.
    • Oil & Gas exit will nonetheless improve financial position and underpin the refocus on core businesses.

    SHAH ALAM, 28 August 2017 - UMW Holdings Berhad's Automotive and Equipment segments remained profitable in the second quarter of 2017 despite challenging operating conditions due to intense competition, lower margins and weaker consumer demand. The Manufacturing & Engineering segment continued to perform reasonably well but was affected by pre-operating expenses incurred by the aerospace business. Meanwhile, the Group's listed Oil & Gas segment recorded losses for the quarter but moving forward this will no longer impact the Group following the successful completion of the demerger. A one–off loss arising from the demerger exercise was also included in the second quarter's results.

    President and Group Chief Executive Officer of UMW Holdings Berhad, Badrul Feisal bin Abdul Rahim, said: “As per our strategy, we have successfully completed the demerger within the said timeframe and the exit will provide the platform for the Group to emerge as a stronger, more competitive industrial conglomerate with increased capacity for expansion. Despite the challenging operating environment, the Group continue to perform reasonably well in our core business segments. However, the losses from the Oil & Gas segment continue to impact the Group's performance. Nonetheless, the demerger has resulted in reduced exposure to debt and a strengthened balance sheet, thus improving our financial position to enable new and accretive investments which will spur the growth of our core business segments moving forward.”

    Overall, the Group registered revenue of RM2,925.6 million for the second quarter of 2017, an increase of RM78.8 million or 2.8% higher than the corresponding quarter of 2016. The improved revenue was primarily contributed by the Automotive segment. However, the Group posted a loss before taxation of RM189.5 million for the quarter as opposed to a profit before taxation of RM44.8 million in the same quarter of 2016. This was mainly attributable to the losses in both the listed and unlisted Oil & Gas segments. Also included in the results was a one-time loss on demerger of UMW Oil & Gas Corporation Berhad (UMW-OG) of RM126.9 million arising from the difference between the fair value/market value of UMW-OG dated 13 June 2017 and share of net assets of UMW-OG.

    The Automotive segment registered improved revenue of RM2,260.3 million for the second quarter of 2017, an increase of RM83.2 million or 3.8% compared to the corresponding quarter in 2016. Higher revenue was attributable to the surge in demand for Toyota Innova and Toyota Fortuner. However, profit before taxation (PBT) was lower at RM99.0 million primarily due to the strengthening of the US Dollar, which increases the cost of imports, hence shrinking margins. The market share for Toyota including Lexus for 1H17 strengthened to 12.0% compared to 10.1% in 1H16 and sales could be further supported by the launch of new models later this year.

    Revenue of the Equipment segment in the second quarter of 2017 stabilised at RM351.4 million. However, PBT for the quarter was at RM32.2 million, a drop of RM11.2 million compared with the same quarter of 2016 of RM43.3 million. The earnings declined amid shrinking margins and a highly competitive operating environment. While there is a slowdown in the heavy equipment segment, the industrial equipment segment continues to perform well, particularly the leasing business. Consequently, Toyota forklift commands more than 50% market share in Malaysia and Singapore.

    The Manufacturing & Engineering segment recorded a revenue of RM153.9 million in the second quarter of 2017, marginally lower than the RM157.0 million reported in the same quarter of 2016. The lubricant business was affected by intense competition and registered lower revenue. The broader segment registered a loss before taxation of RM9.6 million, as opposed to a PBT of RM10.9 million in the same quarter of 2016. The profitability was negatively affected by the pre-operating expenses incurred by the aerospace business. Moving forward, the shock absorber business (KYB) remains sustainable in view of its high market share in the OEM and strong position in the REM segments especially exports as KYB-UMW exports products to 38 countries.

    The Unlisted Oil & Gas segment registered lower revenue of RM31.7 million in the second quarter compared to RM42.3 million in the corresponding quarter of 2016, mainly due to the continued low industry demand. The loss before taxation also widened to RM70.6 million in the second quarter, attributable to lower revenue and expenses incurred on cessation of drilling operations in Oman.

    Badrul Feisal added: “The Group's overall performance remains challenging for the rest of the year. We are committed to exit the unlisted oil & gas segment and hopefully we should be able to achieve considerable milestones by the end of this year. Till then, the Group's overall performance will continue to be impacted by headwinds from the oil & gas sector until full completion of the exit plan. On a more positive note, UMW Toyota Motor is also on track to achieve its full-year sales target of 70,000 units for 2017. Sustained traction of the leasing business will continue to boost the industrial equipment segment and underpin the performance of the broader Equipment division. In addition, the fan case project is progressing as per schedule and delivery is expected to commence in the last quarter of this year. Meanwhile, we will continue to improve operational methods to achieve efficiency equilibrium and extract better Group synergies.”

  • UMW HOLDINGS CATAT HASIL LEBIH BAIK PADA SUKU KEDUA 2017 DAN PENYAHGABUNGAN YANG SELESAI DIJANGKA AKAN MENUNJUKKAN KEUNTUNGAN PADA MASA HADAPAN
    UMW HOLDINGS CATAT HASIL LEBIH BAIK PADA SUKU KEDUA 2017 DAN PENYAHGABUNGAN YANG SELESAI DIJANGKA AKAN MENUNJUKKAN KEUNTUNGAN PADA MASA HADAPAN

    • Hasil Kumpulan adalah 2.8% lebih tinggi dari suku yang sama tahun 2016.
    • Segmen Automotif dan Jentera kekal menguntungkan.
      Prestasi segmen Pembuatan & Kejuruteraan adalah memuaskan tetapi telah dijejaskan oleh perbelanjaan pra-operasi perniagaan aeroangkasa.
      Segmen perniagaan terasAutomotifJenteraPembuatan &
      Kejuruteraan
      Jumlah
      Keuntungan sebelum
      cukai (RM juta)
      9932.2-9.6121.6
    • Keputusan keseluruhan Kumpulan terjejas oleh kerugian dalam kedua-dua segmen minyak & gas tersenarai dan tidak tersenarai serta kerugian dari penyahgabungan anak syarikat minyak & gas.
    • Pelupusan perniagaan Minyak & Gas akan memperkukuhkan kedudukan kewangan dan penumpuan semula kepada perniagaan teras.

    SHAH ALAM, 28 Ogos 2017 - Segmen Automotif dan Jentera UMW Holdings Berhad kekal menguntungkan pada suku kedua 2017 walaupun dalam keadaan operasi yang amat sukar dan mencabar akibat dari persaingan sengit, nilai ringgit yang tidak menentu dan permintaan yang perlahan. Prestasi segmen Pembuatan & Kejuruteraan adalah memuaskan tetapi telah dijejaskan oleh perbelanjaan pra-operasi perniagaan aeroangkasa. Segmen minyak & gas tersenarai masih mencatat kerugian pada suku ini tetapi tidak akan mempengaruhi prestasi Kumpulan pada masa hadapan dengan selesainya penyahgabungan dari UMW Oil & Gas Corporation Berhad. Kerugian dari penyahgabungan ini telah diambil kira dalam keputusan suku kedua.

    Presiden dan Ketua Pengarah Eksekutif Kumpulan UMW Holdings Berhad, Badrul Feisal bin Abdul Rahim berkata, “Selaras dengan strategi kami, penyahgabungan telah berjaya dilaksanakan dalam jangka masa ditetapkan dan ini akan menjadi platform buat Kumpulan untuk muncul sebagai konglomerat perindustrian yang lebih berdaya saing dengan peningkatan kapasiti untuk terus berkembang.

    Secara keseluruhan, Kumpulan mencatat hasil sebanyak RM2,925.6 juta pada suku kedua 2017, peningkatan sebanyak RM78.8 juta atau 2.8% lebih tinggi berbanding suku yang sama tahun 2016. Peningkatan hasil banyak disumbang oleh segmen Automotif. Walau bagaimanapun, Kumpulan mencatatkan kerugian sebelum cukai sebanyak RM189.5 juta pada suku ini berbanding dengan keuntungan sebelum cukai sebanyak RM44.8 juta pada suku yang sama tahun 2016. Ini adalah disebabkan oleh kerugian dalam kedua-dua segmen Minyak & Gas yang tersenarai dan tidak tersenarai. Turut termasuk dalam keputusan suku ini adalah kerugian dari penyahgabungan dari UMW Oil & Gas Corporation Berhad sebanyak RM126.9 juta.

    Segmen Automotif mencatat hasil yang lebih baik sebanyak RM2,260.3 juta pada suku kedua 2017, kenaikan sebanyak RM83.2 juta atau 3.8% berbanding suku yang sama tahun 2016. Hasil yang lebih tinggi ini dirangsang oleh kenaikan permintaan untuk Toyota Innova dan Toyota Fortuner. Walau bagaimanapun, keuntungan sebelum cukai adalah lebih rendah dengan jumlah sebanyak RM99.0 juta, akibat dari peningkatan mata wang dollar, kenaikan kos import yang mengecilkan margin. Bahagian pasaran untuk Toyota termasuk Lexus untuk setengah tahun pertama 2017 adalah 12.0% berbanding 10.1% pada setengah tahun pertama 2016 dan dijangka meningkat dengan model-model yang akan dilancarkan pada tahun ini.

    Hasil segmen Jentera pada suku kedua 2017 stabil dengan jumlah RM351.4 juta. Bagaimanapun, keuntungan sebelum cukai pada suku ini adalah RM32.2 juta, penurunan sebanyak RM11.2 juta berbanding dengan suku yang sama pada 2016 berjumlah RM43.3 juta. Hasil menurun dengan penyusutan margin dan persaingan yang hebat. Walaupun terdapat kelembapan dalam segmen jentera berat, segmen jentera industri terus menunjukkan prestasi yang baik terutamanya dengan skim pajakan. Toyota forklift menguasai lebih daripada 50% bahagian pasaran di Malaysia dan Singapura.

    Segmen Pembuatan & Kejuruteraan mencatat hasil sedikit menurun sebanyak RM153.9 juta pada suku kedua 2017, berbanding RM157.0 juta pada suku yang sama tahun 2016. Perniagaan minyak pelincir yang terjejas oleh persaingan sengit telah mencatat hasil yang lebih rendah. Segmen in mencatat kerugian sebelum cukai sebanyak RM9.6 juta, berbanding dengan keuntungan sebelum cukai sebanyak RM10.9 juta pada suku yang sama tahun 2016. Keuntungan segmen ini dijejaskan oleh perbelanjaan pra-operasi yang ditanggung oleh perniagaan aeroangkasa. Perniagaan penyerap kejutan (KYB) kekal mapan memandangkan KYB mempunyai bahagian pasaran yang besar dalam OEM dan kedudukan kukuh dalam segmen REM terutamanya pasaran eksport. KYB mengeksport ke 38 buah negara luar.

    Segmen Minyak & Gas yang tidak tersenarai mencatatkan hasil yang lebih rendah sebanyak RM31.7 juta pada suku ini berbanding hasil sebanyak RM42.3 juta pada suku yang sama tahun lepas ekoran dari permintaan yang berkurangan. Kerugian sebelum cukai mencecah RM70.6 juta pada suku ini disebabkan oleh hasil dan perbelanjaan yang lebih rendah yang ditanggung akibat pemberhentian operasi penggerudian di Oman.

    Badrul Feisal menjelaskan, “Prestasi keseluruhan Kumpulan akan terus mencabar pada tahun ini tetapi kami tetap komited untuk keluar dari segmen Minyak & Gas tidak tersenarai. Oleh itu, prestasi keseluruhan Kumpulan akan terus dipengaruhi oleh kelembapan sektor minyak & gas sehingga semua aset minyak dan gas berjaya dilupuskan. UMW Toyota Motor dijangka akan mencapai sasaran jualan sebanyak 70,000 unit bagi tahun 2017 manakala perniagaan pajakan jentera industri yang semakin berkembang akan terus meningkatkan prestasi segmen Jentera. Projek Rolls-Royce sedang berjalan mengikut jadual dan pengeluaran pertama dijangka pada suku terakhir tahun ini. Sementara itu, kami akan terus mempertingkatkan kaedah operasi untuk mencapai keseimbangan kecekapan demi mencapai sinergi Kumpulan yang lebih baik.”

  • OVER 250 FAMILIES IN MELAKA BENEFITTED FROM KEMBARA RAMADHAN UMW 2017
    OVER 250 FAMILIES IN MELAKA BENEFITTED FROM KEMBARA RAMADHAN UMW 2017

    SHAH ALAM, 19 June 2017 - 29 UMW Community Champions (volunteers) in a 10-vehicle convoy travelled to Kuala Linggi, Melaka to distribute ‘Ramadhan Packs' and household items last weekend. The convoy‘s mission was to provide assistance to underprivileged families during the fasting month.

    The convoy's first stop was Pusat Pendidikan Dalam Komuniti (PDK) Seri Malindo, Masjid Tanah, Melaka. PDK is a learning centre for the disabled community in the area. The centre trains the disabled to be independent as well as teach them skills like sewing and cooking, which could help them generate income. The volunteers distributed baju raya to the trainees and household items to the centre.

    After PDK, the convoy visited three underprivileged families where the volunteers carried out ‘gotong royong' to clean up the houses and surrounding areas.

    The volunteers set up a base at Surau Nur Iman, Kampung Nelayan where they prepared bubur lambuk and 187 ‘Ramadhan Packs' to be distributed to underprivileged families from Kampung Kuala Linggi and Kampung Bukit Darat.

    A buka puasa event was also organised for the villagers at the surau and the volunteers together with Surau Nur Iman committee members prepared the feast for buka puasa. It is the company's hope that the small contributions will lighten some of the burden of the villagers in preparing for Hari Raya and the presence of the volunteer have brought some cheer to them.

    This is the second year UMW Community Champions have embarked on Kembara Ramadhan, going outside Klang Valley to help the underprivileged communities. The benefit goes both ways – for the recipients and also as an eye opener to the volunteers.

    This programme is part of UMW's continuous support towards the underprivileged communities in the country under its community development pillar. UMW continues to champion many worthy causes under its three CSR pillars, with the other two being education and environment.

  • LEBIH 250 KELUARGA DAPAT MANFAAT MELALUI KEMBARA RAMADHAN UMW 2017
    LEBIH 250 KELUARGA DAPAT MANFAAT MELALUI KEMBARA RAMADHAN UMW 2017

    SHAH ALAM, 21 Jun 2017 - 29 orang UMW Community Champions (sukarelawan) yang terdiri dari kakitangan UMW Corporation Sdn Bhd (UMW) baru-baru ini telah menyertai konvoi 10 buah kenderaan pacuan empat roda ke Kuala Linggi, Melaka untuk membahagikan Pek Ramadhan dan barang keperluan. Misi konvoi ini adalah untuk menghulurkan sedikit bantuan kepada keluarga kurang berkemampuan di bulan Ramadhan yang mulia ini.

    Hentian pertama konvoi adalah Pusat Pendidikan Dalam Komuniti (PDK) Seri Malindo, Masjid Tanah, Melaka. PDK ialah pusat latihan untuk komuniti kurang upaya di kawasan itu. Ia melatih golongan kurang upaya berdikari dan juga mengajar kemahiran-kemahiran seperti menjahit dan memasak, yang diharap dapat membantu mereka menjana pendapatan. Sukarelawan UMW membahagi baju raya kepada pelatih PDK dan menyampaikan sumbangan barang keperluan untuk pusat itu.

    Selepas melawat PDK, konvoi Kembara Ramadhan melawat 3 keluarga kurang bernasib baik di mana para sukarelawan bergotong royong membersihkan rumah mereka dan kawasan persekitaran.

    Konvoi kemudian bergerak ke Surau Nur Iman, Kampung Nelayan di mana sukarelawan menyediakan bubur lambuk dan 187 Pek Ramadhan untuk diedarkan kepada penduduk Kampung Linggi dan Kampung Bukit Darat.

    Majlis berbuka puasa turut diadakan untuk penduduk kampung di surau itu dan para sukarelawan dan ahli jawatankuasa Surau Nur Iman bergotong royong menyediakan juadah berbuka. Adalah menjadi harapan UMW supaya Pek Ramadhan yang disumbangkan dapat sedikit sebanyak meringankan beban penduduk kampung dan membawa sedikit keriangan menjelang Aidilfitri.

    Ini adalah tahun kedua sukarelawan UMW menyertai Kembara Ramadhan di luar Lembah Klang untuk membantu komuniti kurang bernasib baik. Program ini bukan sahaja memberi manfaat kepada masyarakat, tetapi juga turut membuka mata para sukarelawan.

  • UMW HOLDINGS' CORE BUSINESSES PROFITABLE IN Q1 2017 DESPITE CHALLENGING ECONOMIC CONDITIONS
    UMW HOLDINGS' CORE BUSINESSES PROFITABLE IN Q1 2017 DESPITE CHALLENGING ECONOMIC CONDITIONS

    • Automotive, Equipment and Manufacturing & Engineering segments continue to be profitable despite intense competition, subdued consumer demand and weak ringgit
      Core Business segmentsAutomotiveEquipmentM&ETotal
      PBT (RM'mil)87.139.53.1129.7
    • Group's lower profit before tax due to higher losses in Listed Oil & Gas segment
    • Oil & Gas exit will improve financial position and refocus on core businesses

    SHAH ALAM, 23 May 2017 - UMW Holdings Berhad's core businesses – Automotive, Equipment and Manufacturing & Engineering – have remained profitable in the first quarter of 2017 despite exceptionally difficult and challenging operating conditions due to heightened competition, a weak ringgit and subdued consumer demand. Only the Group's listed and unlisted Oil & Gas segments, which are in the process of being divested, recorded losses for the quarter.

    President and Group Chief Executive Officer of UMW Holdings Berhad, Badrul Feisal bin Abdul Rahim, said: “The Group continued to demonstrate the mettle and resilience of its core businesses to record sustained revenue and profit growth despite challenging economic and operating circumstances.”

    The Group's overall financial performance proved resilient despite challenging conditions which affected all industry players. With the Group's strategic decision to exit the O&G sector, UMW Holdings' future prospects have been enhanced with its financial position and performance expected to improve moving forward.

    Overall, the Group registered revenue of RM2,803.6 million for the first quarter of 2017, which was 27.5% higher than the corresponding quarter in 2016. Profit before tax (PBT) for the Group in the first quarter of 2017 was RM14.4 million, a decrease of 31.7% compared to PBT of RM21.1 million in the corresponding quarter, mainly due to the higher losses in its Listed Oil & Gas segment.

    For the first quarter of 2017, the Group's core businesses – Automotive, Equipment and Manufacturing & Engineering – posted a combined PBT of RM129.7 million as compared to RM128.6 million in the corresponding quarter of 2016. For the quarter, the core businesses registered revenue of RM2.7 billion, an improvement of 28.6% compared to revenue of RM2.1 billion in the corresponding quarter last year.

    The Automotive segment recorded revenue of RM2,190.9 million for the first quarter of 2017, an increase of 40.8% compared to the corresponding quarter in 2016. PBT for the quarter improved by 5.2% to RM87.1 million compared to RM82.7 million in the corresponding quarter last year. With spill-over orders from year-end promotions boosting consumer sentiment, improved sales translated to higher market share for Toyota from 8.0% in the first quarter of 2016 to 11.8% in the quarter under review.

    As a result of the competitive local operating environment, the Equipment segment registered marginally lower revenue of RM342.4 million compared to RM358.0 million in the same quarter of 2016. PBT for the segment improved marginally to RM39.5 million from RM39.2 million in the corresponding quarter of 2016.

    The Manufacturing & Engineering segment recorded revenue of RM165.9 million, an improvement of 14.1% over the same quarter in 2016. Due to the operating expenses incurred by the segment in setting up its new aerospace unit, PBT decreased to RM3.1 million for the quarter under review compared to RM6.6 million in the same quarter of 2016.

    Badrul Feisal explained: “The Group's overall performance remains robust, as demonstrated by the sustained profitability of its core businesses under challenging operating circumstances. Furthermore, the recent strategic decisions and plans the Group have made will be the springboard for our future growth.”

    “At the Group's recent EGM, our shareholders gave us an overwhelming mandate to proceed with the demerger of UMW Oil & Gas Corporation Berhad. This strong vote of confidence will allow us to refocus on our core businesses, particularly in view of the attractive long-term growth prospects across these three segments.”

    “Moving forward, not only will the Group's earnings and profitability stabilise, our improved financial position and flexibility will allow us to optimise resources and embark on investments in these core areas of businesses as the platform for future expansion and value creation.”

  • PERUSAHAAN UTAMA UMW HOLDINGS JANA KEUNTUNGAN PADA SUKU PERTAMA WALAUPUN KEADAAN EKONOMI MENCABAR
    PERUSAHAAN UTAMA UMW HOLDINGS JANA KEUNTUNGAN PADA SUKU PERTAMA WALAUPUN KEADAAN EKONOMI MENCABAR

    • Segmen Automotif, Jentera serta Pembuatan & Kejuruteraan terus menguntungkan walaupun mendapat persaingan hebat, permintaan pengguna yang lemah dan nilai ringgit yang merosot
      Segmen perniagaan terasAutomotifJenteraPembuatan &
      Kejuruteraan
      Jumlah
      Keuntungan sebelum
      cukai (RM juta)
      87.139.53.1129.7
    • Keuntungan sebelum cukai Kumpulan yang lebih rendah disebabkan oleh kerugian yang meningkat dalam segmen Minyak & Gas yang tersenarai
    • Pelupusan perniagaan Minyak & Gas akan memperkukuhkan kedudukan kewangan dan kembali fokus kepada perusahaan utama

    SHAH ALAM, 23 Mei 2017 - Perusahaan utama UMW Holdings Berhad, iaitu Automotif, Jentera serta Pembuatan & Kejuruteraan, kekal menguntungkan pada suku pertama 2017 meskipun keadaan operasi yang amat sukar dan mencabar dalam perniagaan ini akibat daripada persaingan yang meningkat, nilai ringgit yang merosot dan permintaan pengguna yang lemah. Hanya segmen Minyak & Gas Kumpulan tersenarai dan tidak tersenarai, yang sedang dalam proses pelupusan, telah mencatat kerugian bagi suku pertama tahun ini.

    Presiden dan Ketua Pegawai Eksekutif Kumpulan UMW Holdings Berhad, Badrul Feisal bin Abdul Rahim, berkata: “Kumpulan terus mempamerkan daya tahan perusahaan utama dalam mencapai pendapatan berterusan dan pertumbuhan keuntungan walau dalam keadaan ekonomi dan operasi yang mencabar.”

    Prestasi kewangan Kumpulan secara keseluruhan masih utuh dalam keadaan mencabar yang turut menjejaskan semua penggiat industri. Berikutan keputusan strategik Kumpulan untuk keluar daripada sektor Minyak & Gas, prospek masa depan UMW Holdings telah meningkat dengan kedudukan dan prestasi kewangan Kumpulan yang dijangka bertambah baik pada masa akan datang.

    Secara keseluruhan, Kumpulan mencatat hasil sebanyak RM2,803.6 juta bagi suku pertama tahun 2017, iaitu 27.5% lebih tinggi daripada suku yang sama pada tahun 2016. Keuntungan sebelum cukai Kumpulan pada suku pertama 2017 ialah RM14.4 juta, iaitu penurunan 31.7% berbanding dengan keuntungan sebelum cukai sebanyak RM21.1 juta pada suku yang sama pada tahun 2016, disebabkan terutamanya oleh kerugian lebih tinggi dalam segmen Minyak & Gas tersenarai.

    Bagi suku pertama 2017, perniagaan teras Kumpulan - Automotif, Jentera serta Pembuatan & Kejuruteraan - mencatat keuntungan sebelum cukai tergabung sebanyak RM129.7 juta berbanding dengan RM128.6 juta bagi suku yang sama pada tahun 2016. Bagi suku pertama 2017, perniagaan teras mencatat hasil sebanyak RM2.7 bilion, iaitu peningkatan sebanyak 28.6% berbanding dengan hasil sebanyak RM2.1 bilion pada suku yang sama pada tahun sebelumnya.

    Segmen Automotif mencatat hasil sebanyak RM2,190.9 juta bagi suku pertama tahun 2017, iaitu peningkatan sebanyak 40.8% berbanding dengan suku yang sama pada tahun 2016. Keuntungan sebelum cukai bagi suku pertama 2017 meningkat sebanyak 5.2% kepada RM87.1 juta berbanding dengan RM82.7 juta bagi suku yang sama pada tahun sebelumnya. Lebihan tempahan daripada promosi akhir tahun telah meningkatkan jualan dan pegangan pasaran Toyota daripada 8.0% pada suku pertama 2016 kepada 11.8% pada suku ini.

    Berikutan daripada persaingan hebat dalam pasaran tempatan, segmen Jentera telah mencatat hasil yang lebih rendah sebanyak RM342.43 juta berbanding dengan RM357.97 juta pada suku yang sama pada tahun 2016. Keuntungan sebelum cukai bagi segmen ini meningkat sedikit kepada RM39.55 juta daripada RM39.25 juta pada suku yang sama tahun 2016.

    Segmen Pembuatan & Kejuruteraan mencatat hasil sebanyak RM165.9 juta, iaitu peningkatan sebanyak 14.1% daripada suku yang sama pada 2016. Disebabkan oleh perbelanjaan operasi yang ditanggung oleh segmen ini dalam penubuhan unit aeroangkasa, keuntungan sebelum cukai telah menurun kepada RM3.1 juta bagi suku yang ditinjau berbanding dengan RM6.6 juta pada suku yang sama bagi tahun 2016.

    Badrul Feisal menjelaskan, “Prestasi Kumpulan secara keseluruhannya masih kukuh seperti yang ditunjukkan oleh keuntungan berterusan perusahaan utama dalam keadaan operasi yang mencabar. Keputusan strategik dan rancangan yang telah dibuat oleh Kumpulan baru-baru ini akan menjadi batu loncatan bagi pertumbuhan syarikat pada masa hadapan.”

    “Para pemegang saham syarikat telah memberi mandat yang besar kepada kami untuk meneruskan penyahgabungan UMW Oil & Gas Corporation Berhad semasa mesyuarat agung luar biasa Kumpulan baru-baru. Kepercayaan ini akan membolehkan kami memberi tumpuan semula kepada perusahaan utama, khususnya mengambil kira prospek pertumbuhan jangka masa panjang yang menyeluruh bagi ketiga-tiga segmen.”

    “Bukan sahaja hasil dan keuntungan Kumpulan akan menjadi lebih stabil pada masa hadapan, peningkatan kedudukan kewangan dan fleksibiliti akan membolehkan kami mengoptimumkan sumber dan memulakan pelaburan dalam perusahaan utama sebagai asas kukuh untuk pembangunan perniagaan pada masa akan datang.”

  • UMW HOLDINGS BERHAD RECEIVES SHAREHOLDER APPROVAL FOR DEMERGER FROM UMW OIL & GAS CORPORATION BERHAD
    UMW HOLDINGS BERHAD RECEIVES SHAREHOLDER APPROVAL FOR DEMERGER FROM UMW OIL & GAS CORPORATION BERHAD

    SHAH ALAM, 4 May 2017 - UMW Holdings Berhad (“UMWH”) has received shareholder approval to demerge from UMW Oil & Gas Corporation Berhad (“UMWOG”). Shareholders voted and approved the resolution for the demerger exercise at UMWH's Extraordinary General Meeting (EGM) this morning.

    On 19 January 2017, UMWH announced its plans to exit the Oil & Gas sector through the “distribution in specie” of all its shares in UMWOG to all entitled shareholders of UMWH.

    Following its exit from the Oil & Gas sector, UMWH's activities will be focussed on its core businesses of Automotive, Equipment and Manufacturing & Engineering which offer the best potential for growth and will deliver enhanced value for shareholders.

    President and Group Chief Executive Officer of UMWH, Badrul Feisal bin Abdul Rahim, said: “Our shareholders' approval for the exercise is a strong vote of confidence for the company's plans on the proposed corporate exercise. This will then allow us to refocus on our core businesses, particularly in view of the attractive long-term growth prospects across these three core businesses.”

    “Moving forward, not only will the Group's earnings and profitability stabilise, our improved financial position and flexibility will allow us to optimise resources and embark on investments in these core areas of businesses as its platform for future expansion and value creation.”

    During the EGM, shareholders also approved the resolution to reduce the Group's issued and paid-up capital. The capital reduction will improve the Group's financial position and will have no impact on the company's earnings and earnings per share (EPS).

  • UMW CORPORATION DONATES RM100,000 TO TEMERLOH SCHOOLS
    UMW CORPORATION DONATES RM100,000 TO TEMERLOH SCHOOLS

    TEMERLOH, 20 April 2017 - As part of its corporate social responsibility (CSR) programme in conjunction with Malaysian Unit Trust Week (Minggu Saham Amanah Malaysia 2017), UMW Corporation Sdn. Bhd. (UMW) is donating a total of RM100,000 to ten selected schools in the Temerloh district.

    The Prime Minister's wife, Datin Paduka Seri Rosmah Mansor, accompanied by UMW's board member, Tan Sri Hasmah binti Abdullah, handed over five cheques of RM10,000 each to the Principals of Sekolah Menengah Kebangsaan Paya Pulai, Sekolah Menengah Kebangsaan Seberang Temerloh, Sekolah Menengah Kebangsaan Mentakab, Sekolah Kebangsaan Bolok and Sekolah Kebangsaan Belenggu.

    The short ceremony was held at Permodalan Nasional Berhad's main booth in MSAM exhibition hall.

    The other five remaining schools - Sekolah Menengah Kebangsaan Temerloh, Sekolah Menengah Kebangsaan Lanchang, Sekolah Menengah Kebangsaan Kuala Krau, Sekolah Kebangsaan Charuk Puting and Sekolah Kebangsaan Paya Luas will be receiving their respective cheques during the closing ceremony on 25 April 2017.

    This RM100,000 donation is UMW's contribution in supporting the development of schools in rural areas in the country under its education pillar where UMW continues to champion many worthy causes under its three CSR pillars, the other two being community development and environment.

  • UMW CORPORATION SUMBANG RM100,000 KEPADA SEKOLAH-SEKOLAH TEMERLOH
    UMW CORPORATION SUMBANG RM100,000 KEPADA SEKOLAH-SEKOLAH TEMERLOH

    TEMERLOH, 20 April 2017 - Sebagai sebahagian daripada program tanggungjawab sosial korporat (CSR) sempena Minggu Saham Amanah Malaysia 2017 (MSAM), UMW Corporation Sdn. Bhd. (UMW) menyumbang sebanyak RM100,000 kepada sepuluh buah sekolah di bawah Pejabat Pendidikan Daerah Temerloh.

    Isteri Perdana Menteri, Datin Paduka Seri Rosmah Mansor, diiringi oleh ahli lembaga pengarah UMW, Tan Sri Hasmah binti Abdullah, telah menyerahkan cek bernilai RM10,000 setiap satu kepada para Pengetua dan Guru Besar Sekolah Menengah Kebangsaan Paya Pulai, Sekolah Menengah Kebangsaan Seberang Temerloh, Sekolah Menengah Kebangsaan Mentakab, Sekolah Kebangsaan Bolok dan Sekolah Kebangsaan Belenggu.

    Majlis ringkas itu telah diadakan di ruang pameran utama Permodalan Nasional Berhad di dalam dewan pameran MSAM.

    Lima buah sekolah lagi iaitu Sekolah Menengah Kebangsaan Temerloh, Sekolah Menengah Kebangsaan Lanchang, Sekolah Menengah Kebangsaan Kuala Krau, Sekolah Kebangsaan Charuk Puting dan Sekolah Kebangsaan Paya Luas akan menerima cek sumbangan masing-masing di majlis penutup pada 25 April 2017.

    Sumbangan RM100,000 ini adalah sebahagian daripada usaha UMW dalam menyokong pembangunan sekolah-sekolah luar Bandar di bawah tunggak pendidikan di mana UMW terus melaksanakan pelbagai usaha murni di bawah tiga tunggak, dua lagi adalah tunggak pembangunan komuniti dan tunggak alam sekitar.

  • KEMBARA MSAM-UMW SETS OFF TO VISIT VILLAGES AROUND TEMERLOH
    KEMBARA MSAM-UMW SETS OFF TO VISIT VILLAGES AROUND TEMERLOH

    TEMERLOH, 19 April 2017 - Following the success of its inaugural Kembara MSAM-UMW last year, UMW Corporation Sdn. Bhd. has once again organised Kembara MSAM-UMW 2017 in conjunction with Malaysian Unit Trust Week (Minggu Saham Amanah Malaysia 2017).

    This year, the 10-vehicle convoy ferrying 30 UMW Community Champions (volunteers) will be travelling to destinations which include several orang asli villages and an orphanage. The convoy will be covering almost 300 kilometres, to reach out to far-flung places in Temerloh, Bera and Kuala Krau. UMW Community Champions, which comprise SL1M trainees and UMW employees based in Shah Alam, will be distributing essential items like rice, cooking oil, flour and sugar to the villagers.

    A gotong-royong will also be held at Kampung Paya Luas on the third day where the volunteers will help 12 poor families including single mothers to clean up their houses and its surroundings.

    Kembara MSAM-UMW will be reaching out to Rumah Baitul Makhazin, Kampung Orang Asli Lubuk Perah, Kampung Orang Asli Penchorong, Kampung Orang Asli Sungai Beruang, Kampung Orang Asli Ulu Sungai Bera, Pondok Bukit Keledang and Kampung Paya Luas. 116 families and 152 students will benefit from this corporate social responsibility (CSR) programme.

    The ten four-wheel-drive convoy was flagged off by Dato' Idris Kechot, Deputy President & Group Chief Operating Officer, Asset Management, Permodalan Nasional Berhad and Badrul Feisal bin Abdul Rahim, President and Group Chief Executive Officer of UMW Holdings Berhad.

    This programme is part of UMW's continuous support towards the underprivileged communities in the country under its community development pillar. UMW continues to champion many worthy causes under its three CSR pillars, with the other two being education and environment.

  • MISI KEMBARA MSAM-UMW MEMBANTU PENDUDUK KAMPUNG SEKITAR TEMERLOH
    MISI KEMBARA MSAM-UMW MEMBANTU PENDUDUK KAMPUNG SEKITAR TEMERLOH

    TEMERLOH, 19 April 2017 - Berikutan kejayaan Kembara MSAM-UMW yang pertama tahun lepas, UMW Corporation Sdn. Bhd. sekali lagi menganjurkan Kembara MSAM-UMW 2017 sempena Minggu Saham Amanah Malaysia 2017 (MSAM).

    Tahun ini, sepuluh buah konvoi kenderaan pacuan empat roda yang membawa 30 orang sukarelawan UMW (UMW Community Champions) akan mengembara ke tujuh destinasi termasuk perkampungan orang asli dan rumah anak yatim. Konvoi ini akan mengembara sejauh hampir 300 kilometer di serata ceruk Temerloh dan Bera. Sukarelawan UMW (UMW Community Champions) yang terdiri dari pelatih-pelatih SL1M dan kakitangan UMW dari Shah Alam akan mengagihkan barang keperluan harian seperti beras, minyak masak, gandum dan gula kepada penduduk kampung.

    Satu gotong-royong akan diadakan di Kampung Paya Luas pada hari ketiga kembara di mana para sukarelawan akan membantu 12 keluarga miskin termasuk ibu-ibu tunggal membersihkan rumah dan kawasan persekitaran tempat tinggal mereka.

    Kembara MSAM-UMW akan mengunjungi Rumah Baitul Makhazin, Kampung Orang Asli Lubuk Perah, Kampung Orang Asli Penchorong, Kampung Orang Asli Sungai Beruang, Kampung Orang Asli Ulu Sungai Bera, Pondok Bukit Keledang dan Kampung Paya Luas, di mana 116 keluarga dan 152 pelajar akan mendapat manfaat dari program tanggungjawab sosial korporat (CSR) ini.

    Konvoi kenderaan pacuan empat roda ini telah dilepaskan oleh Dato' Idris Kechot, Timbalan Presiden dan Ketua Pengarah Operasi Kumpulan, Pengurusan Aset, Permodalan Nasional Berhad dan Encik Badrul Feisal Abdul Rahim, Presiden dan Ketua Pegawai Eksekutif Kumpulan UMW Holdings Berhad.

    Program ini adalah sebahagian dari sokongan berterusan UMW terhadap komuniti yang kurang bernasib baik di negara ini di bawah tunggak pembangunan komuniti di mana UMW terus melaksanakan pelbagai usaha murni di bawah tiga tunggak, dua lagi adalah tunggak pendidikan dan tunggak alam sekitar.

  • UMW GRANTT INTERNATIONAL SIGNS SPONSORSHIP AGREEMENTS WITH UNIVERSITI UTARA MALAYSIA
    UMW GRANTT INTERNATIONAL SIGNS SPONSORSHIP AGREEMENTS WITH UNIVERSITI UTARA MALAYSIA

    SINTOK, 6 April 2017 - As part of UMW's efforts to nurture talent and contribute towards building a dynamic Malaysian workforce, UMW Grantt International Sdn. Bhd. (UMW Grantt) signed two Memorandum of Agreements (MoAs) today with Universiti Utara Malaysia (UUM), through its School of International Studies (SoIS).

    Both the MoAs were signed by UUM Vice Chancellor, Prof. Dato' Seri Dr. Mohamed Mustafa Ishak and President of UMW's Manufacturing & Engineering Division, Megat Shahrul Azmir.

    UMW Grantt, the producer of a full-range of lubricants with international standards, will be sponsoring one of UUM's students' residence hall, better known as Inapan Siswa (INASIS) for a duration of 10 years. This INASIS will be rebranded as INASIS GRANTT starting today.

    The second MoA signed between UMW Grantt and UUM is a 3-year sponsorship through SoIS for research opportunities and funding of students' activities. SoIS students and residents of INASIS GRANTT will have the opportunity to garner industry experience through future activities in collaboration with UMW Grantt.

    UMW Grantt also handed over the certificate of appointment as the official distributor of Grantt lubricants in UUM to Uniutama Property Sdn. Bhd.

    UUM, through SoIS, had previously worked with UMW in the industry lecture programme in April 2016 and the collaboration has now been further strengthened by the signing of the MoAs.

    “This collaboration is a very meaningful effort not just for our business, but also for UUM's management to instil entrepreneurial spirit in students and advance the innovation agenda for the benefit of all,” said Megat Shahrul Azmir before signing the MoAs.

  • UMW GRANTT PERKUKUH JENAMA DENGAN MEMETERAI MoA DENGAN UUM
    UMW GRANTT PERKUKUH JENAMA DENGAN MEMETERAI MoA DENGAN UUM

    Sintok, 6 April - Dalam usaha memperkenalkan jenama GRANTT kepada warga Universiti Utara Malaysia (UUM), UMW Grantt International Sdn. Bhd. (UMW Grantt) dan UUM menerusi Pusat Pengajian Antarabangsa (SoIS) telah mencapai kesepakatan dengan memeterai dua Memorandum Perjanjian (MoA), hari ini.

    MoA itu ditandatangani oleh Naib Canselor UUM, Prof Dato' Seri Dr Mohamed Mustafa Ishak dan Presiden, Bahagian Kejuruteraan & Pembuatan UMW, Encik Megat Shahrul Azmir.

    UMW Grantt yang merupakan pembuat dan pengeluar produk minyak pelincir kenderaan berpiawaian antarabangsa itu akan menaja salah satu Inapan Siswa (INASIS) selama 10 tahun. INASIS ini akan dijenamakan sebagai INASIS GRANTT mulai hari ini.

    MoA kedua yang ditandatangani menyaksikan UMW Grantt memberi tajaan selama 3 tahun dalam bentuk peluang penyelidikan dan penajaan aktiviti pelajar kepada UUM melalui SoIS. Pelajar SoIS dan pelajar yang menginap di INASIS GRANTT juga akan berpeluang untuk menimba pengalaman industri melalui aktiviti-aktiviti yang bakal dijalankan bersama UMW Grantt.

    UMW Grantt turut menyampaikan surat lantikan Pengedar Sah kepada Uniutama Property Sdn Bhd (UPSB) yang memberikan hak penjualan minyak pelincir UMW Grantt.

    UUM menerusi SoIS dan UMW pernah bekerjasama melalui program ceramah industri pada April 2016 dan usaha sama itu diteruskan lagi sehingga termeterainya MoA berkenaan.

    “Usaha sama ini sememangnya amat bermakna bukan sahaja untuk kepentingan perniagaan kami, malah juga untuk pihak pengurusan UUM bersama-sama membangunkan semangat keusahawanan dan mempertingkatkan agenda inovasi demi kepentingan bersama,” ujar Megat Shahrul Azmir sebelum menandatangani kedua-dua MoA tersebut.

  • UMW LAND-MIDA MOU TO BOOST HIGH VALUE MANUFACTURING INVESTMENTS
    Premier UMW Park in Serendah Enhances Malaysia's Business Ecosystem
    UMW LAND-MIDA MOU TO BOOST HIGH VALUE MANUFACTURING INVESTMENTS
    Premier UMW Park in Serendah Enhances Malaysia's Business Ecosystem

    LANGKAWI, 21 March 2017 - UMW Land Sdn. Bhd. (UMW Land) has inked a Memorandum of Understanding (MOU) with the Malaysian Investment Development Authority (MIDA) to explore areas of co-operation and collaboration with regards to the industrial development of UMW's land-bank in Serendah.

    UMW's initiative to create a High Value Manufacturing Park is focused mainly on strengthening the aerospace and other industries related to smart manufacturing. The park, located next to an automotive manufacturing facility, consists of 861 acres of land as well as commercial and residential developments at the northern part of the site. This mixed development project will feature UMW Aerospace's production facility of aero-engine fan cases for Rolls-Royce. The newly-completed facility is expected to be the premier and integral constituent of the park, and will act as a catalyst to draw in other high value investments.

    The exchange of the MOU documents ceremony between UMW Land and MIDA at the Langkawi International Maritime & Aerospace Exhibition (LIMA) was witnessed by the Minister of International Trade and Industry, Dato' Sri Mustapa bin Mohamed, and UMW Holdings Berhad Chairman, Tan Sri Dato' Sri Hamad Kama Piah bin Che Othman. The MOU was signed at MIDA's HQ earlier this month by Dr. Wafi Nazrin bin Abdul Hamid, President, UMW Land, and Dato' Azman Mahmud, Chief Executive Officer of MIDA.

    In commenting the MOU, Dato' Azman Mahmud said, “The greatest advantage to manufacturers in Malaysia has been the nation's persistent drive to develop and upgrade its infrastructure. Investors today are able to choose from over 500 industrial estates and Free Zones to locate their investments. New sites, fully equipped with infrastructure facilities such as roads, electricity and water supplies, and telecommunications, are continuously being developed by state governments as well as private developers to meet demand. The UMW High Value Manufacturing Park in Serendah is a welcomed addition, especially since it caters to the needs of high value manufacturing industries. The park is one of the locations that can be considered by investors, particularly those who are looking to move up the value chain by incorporating high-tech innovations.”

    “We are excited to sign the MOU and look forward to working closely with MIDA as they will be able to assist in facilitating interested potential investors by introducing and recommending the development project in Serendah,” said Dr. Wafi Nazrin after the ceremony.

  • LOSSES FROM UMW HOLDINGS' O&G BUSINESSES AFFECTED THE GROUP'S FINANCIAL PERFORMANCE IN 2016 DESPITE PROFITABILITY OF OTHER CORE BUSINESSES
    LOSSES FROM UMW HOLDINGS' O&G BUSINESSES AFFECTED THE GROUP'S FINANCIAL PERFORMANCE IN 2016 DESPITE PROFITABILITY OF OTHER CORE BUSINESSES

    • Group's pre-tax loss due primarily to the impairments and provisions for Oil & Gas businesses
    • Automotive, Equipment and Manufacturing & Engineering segments resilient despite intense competition and strengthened USD
    • Other core businesses remained profitable in 2016
      Core business segmentAutomotiveEquipmentM&ETotal
      PBT (RM'mil)493.1146.724.0663.8
    • Oil & Gas exit will strengthen the balance sheet, financial position, and refocusing on its core businesses

    SHAH ALAM, 27 February 2017 - The Group's overall financial performance was adversely impacted by the losses of the O&G division due to the industry downturn. Nonetheless, UMW Holdings Berhad's other non-oil and gas businesses – Automotive, Equipment and Manufacturing & Engineering – remained profitable throughout 2016.

    President and Group Chief Executive Officer of UMW Holdings Berhad, Badrul Feisal bin Abdul Rahim, said: “Despite the tough economic conditions, the Group is encouraged and emboldened by the resilience shown by the other core business segments in sustaining profitability under exceptionally challenging operating circumstances.

    With the Group's strategic decision to exit the O&G sector, UMW Holdings' future prospects have been enhanced with its financial position and performance expected to improve moving forward.”

    For the fourth quarter of 2016, with the inclusion of the Listed and Non-listed Oil & Gas assets, the Group registered a pre-tax loss of RM2,098.0 million as compared to a pre-tax loss of RM330.2 million in the corresponding quarter of last year. This result includes the operational losses and impairments of both the Listed and Non-Listed Oil & Gas segments coupled with provisions for financial guarantee contracts.

    However, the Group's other core businesses – Automotive, Equipment and Manufacturing & Engineering – posted a combined profit before tax (PBT) of RM178.2 million as compared to RM293.6 million in the corresponding quarter of 2015. For 2016, these segments registered a collective PBT of RM663.8 million as compared to RM1,104.2 million in 2015.

    Overall, the Group registered revenue of RM3,062.3 million for the last quarter of 2016, which was 26.8% lower than the corresponding quarter in 2015. The Group recorded full-year revenue of RM10,965.1 million, a decrease of 24.1% over the previous year. Excluding the impairment of assets and provision for financial guarantee contracts, the Group posted a profit before tax of RM89 million in 2016. The lower profit recorded was contributed by the operating losses of the Oil and Gas listed and non-listed businesses. After taking into account the impairments and provisions, the Group registered a pre-tax loss of RM2,153.8 million for 2016 as compared to a PBT of RM269.7 million in 2015.

    The Automotive segment recorded profit before tax (PBT) of RM143.6 million for the 4th quarter of 2016, a decrease of 42.7% compared to the corresponding quarter in 2015. The segment registered full-year PBT of RM493.1 million for 2016, a drop of 42.7% from the previous year. The performance of this segment is in tandem with the significant drop in the Total Industry Volume (TIV) by 13%. The decrease in profitability is due to continued weakening of the ringgit and weak consumer sentiment.

    The Equipment segment registered PBT of RM30.6 million for the current quarter, a slight improvement over the corresponding quarter in 2015. Full-year PBT for the segment stood at RM146.7 million, a decrease of 35% from the previous year. Profitability of the segment was affected by slowing demand for heavy equipment and heightened competition in the construction sector. In addition, operations in Myanmar continued to be constrained by the restriction imposed on heavy equipment importation by the national government.

    Manufacturing & Engineering full-year PBT surged by 42.9% over the previous year to RM24 million. For the 4th quarter 2016, this segment posted PBT of RM4.0 million as compared to RM13.9 million for the corresponding quarter. The 4th quarter performance was adversely affected by weak market sentiments in the lubricant and auto component businesses.

    Badrul Feisal explained: “The operating performance of the Group's non-Oil & Gas businesses moderated under challenging operating circumstances in 2016. The successful execution of the O&G withdrawal strategy will be the platform for the Group to emerge as a stronger, more competitive industrial conglomerate with increased capacity for expansion. It will remove significant debt overhang and reinvigorates our financial position to enable fresh investments which will spur new growth impetus of our core segments.”

    “For 2017, we anticipate stable revenues comparable to the previous year. Moving forward, we are confident of the long-term prospect of our three core businesses as demonstrated by our on-going investments in Automotive, Equipment and Manufacturing and Engineering businesses. Our growth strategy will be underpinned by continued expansion in these three core sectors.”

  • CABARAN SITUASI EKONOMI TIDAK MENGHALANG SEGMEN PERNIAGAAN TERAS UMW HOLDINGS DARIPADA MENJANA KEUNTUNGAN
    CABARAN SITUASI EKONOMI TIDAK MENGHALANG SEGMEN PERNIAGAAN TERAS UMW HOLDINGS DARIPADA MENJANA KEUNTUNGAN

    • Kerugian sebelum cukai Kumpulan disebabkan oleh kejejasan nilai aset dan peruntukan bagi usahaniaga Minyak & Gas
    • Segmen Automotif, Jentera serta Pembuatan & Kejuruteraan berdaya tahan walaupun menerima saingan hebat di samping nilai ringgit yang merosot
    • Perniagaan teras yang lain masih mencatat keuntungan pada tahun 2016
      Segmen perniagaan terasAutomotifJenteraPembuatan &
      Kejuruteraan
      Jumlah
      Keuntungan sebelum
      cukai (RM juta)
      493.1146.724.0663.8
    • Pelupusan perniagaan Minyak & Gas akan memperkukuh kunci kira-kira, kedudukan kewangan dan penumpuan semula kepada perniagaan teras

    SHAH ALAM, 27 Februari 2017 - Prestasi keseluruhan Kumpulan telah menerima kesan negatif dari kerugian bahagian Minyak & Gas ekoran kelembapan industri. Walaubagaimanapun, segmen perniagaan selain minyak dan gas UMW Holding Berhad iaitu Automotif, Jentera serta Pembuatan & Kejuruteraan, kekal menguntungkan sepanjang tahun 2016.

    Presiden dan Ketua Pegawai Eksekutif Kumpulan UMW Holdings Berhad, Badrul Feisal bin Abdul Rahim, berkata: “Walaupun keadaan ekonomi adalah mencabar, kami didorong oleh dayatahan yang ditunjukkan oleh segmen perniagaan teras yang lain untuk terus mengekalkan keuntungan dalam keadaan operasi yang amat mencabar.”

    Berikutan keputusan strategik Kumpulan untuk keluar dari sektor Minyak & Gas, prospek masa depan UMW telah meningkat dengan kedudukan kewangan dan prestasi Kumpulan dijangka bertambah baik pada masa hadapan.

    Bagi suku keempat tahun 2016, dengan merangkumi aset-aset tersenarai dan tidak tersenarai Minyak & Gas, Kumpulan mencatat kerugian sebelum cukai yang sebanyak RM2,098.0 juta bagi suku keempat tahun 2016 berbanding dengan kerugian sebelum cukai sebanyak RM330.2 juta pada suku yang sama tahun sebelumnya. Keputusan ini termasuk kerugian operasi dan kejejasan nilai aset segmen Minyak & Gas tersenarai dan tidak tersenarai berserta peruntukan kontrak jaminan kewangan.

    Walaubagaimanapun, perniagaan teras Kumpulan yang lain iaitu Automotif, Jentera serta Pembuatan & Kejuruteraan telah mencatat keuntungan sebelum cukai terkumpul sebanyak RM178.2 juta berbanding dengan RM293.6 juta pada suku yang sama tahun 2015. Bagi tahun 2016, segmen-segmen ini mencatat keuntungan sebelum cukai terkumpul sebanyak RM663.8 juta berbanding dengan RM1,104.2 juta pada tahun 2015.

    Secara keseluruhan, Kumpulan mencatat hasil sebanyak RM3,062.3 juta bagi suku terakhir tahun 2016, iaitu 26.8% lebih rendah daripada suku yang sama pada tahun 2015. Kumpulan mencatat hasil setahun sebanyak RM10,965.1 juta, penurunan sebanyak 24.1% berbanding tahun sebelumnya. Tanpa mengambil kira kejejasan nilai aset dan peruntukan kontrak jaminan kewangan, Kumpulan mencatat keuntungan sebelum cukai sebanyak RM89 juta pada tahun 2016. Penurunan keuntungan yang direkodkan adalah disebabkan oleh kerugian operasi segmen perniagaan Minyak & Gas tersenarai dan tidak tersenarai. Setelah mengambil kira kejejasan aset dan peruntukan kontrak jaminan kewangan, Kumpulan merekodkan kerugian sebelum cukai sebanyak RM2,153.8 juta pada tahun 2016 berbanding RM269.7 juta pada tahun 2015.

    Segmen Automotif mencatat keuntungan sebelum cukai sebanyak RM143.6 juta bagi suku keempat tahun 2016, penurunan sebanyak 42.7% berbanding dengan suku yang sama bagi tahun 2015. Segmen ini mencatat keuntungan sebelum cukai setahun sebanyak RM493.1 juta bagi tahun 2016, penurunan sebanyak 42.7% dari tahun sebelumnya. Prestasi segmen ini adalah sejajar dengan penurunan 13% Jumlah Keseluruhan Industri (TIV). Penurunan keuntungan adalah disebabkan kemerosotan mata wang ringgit yang berterusan dan sentimen pasaran yang lemah.

    Segmen Jentera mencatat keuntungan sebelum cukai sebanyak RM30.6 juta bagi suku semasa, sedikit peningkatan berbanding dengan suku yang sama pada tahun 2015. Keuntungan sebelum cukai setahun bagi segmen Jentera berada pada RM146.7 juta, penurunan sebanyak 35% dari tahun sebelumnya. Keuntungan segmen ini terjejas oleh permintaan yang semakin perlahan untuk jentera berat dan persaingan yang meningkat dalam sektor pembinaan. Selain itu, operasi di Myanmar terus berdepan dengan kesukaran sekatan yang dikenakan terhadap pengimportan jentera berat oleh kerajaan tempatan.

    Keuntungan sebelum cukap setahun segmen Pembuatan & Kejuruteraan melonjak sebanyak 42.9% kepada RM24 juta berbanding tahun sebelumnya. Bagi suku keempat tahun 2016, segmen ini mencatat keuntungan sebelum cukai sebanyak RM4.0 juta berbanding dengan RM13.9 juta bagi suku yang sama tahun lepas. Prestasi suku keempat terjejas oleh sentimen pasaran yang lemah dalam perniagaan pelincir dan komponen kenderaan.

    Badrul Feisal menjelaskan: “Prestasi operasi segmen perniagaan selain segmen Minyak & Gas sederhana dalam keadaan operasi yang mencabar. Kejayaan pelaksanaan strategi pelupusan Minyak & Gas akan menjadi dasar bagi Kumpulan untuk tampil sebagai konglomerat perindustrian yang lebih kukuh dan berdaya saing dengan lebih banyak kapasiti untuk terus berkembang. Ini akan menghapuskan hutang yang tinggi dan menggiatkan semula kedudukan kewangan kami bagi membolehkan pelaburan baru yang akan menyokong pertumbuhan segmen-segmen teras kami.”

    “Kami menjangka hasil yang stabil untuk tahun 2017 berbandung tahun lepas. Melangkah ke hadapan, kami yakin dengan prospek jangka panjang tiga perniagan teras kami seperti yang ditunjukkan oleh pelaburan berterusan kami dalam segmen Automotif, Jentera dan Pembuatan & Kejuruteraan. Strategi pertumbuhan kami akan didukung oleh pengembangan secara berterusan ketiga-tiga sektor teras ini.”

  • UMW HOLDINGS TO REFOCUS ON CORE BUSINESSES, STREAMLINING THE COMPANY FOR LONG-TERM SUCCESS
    UMW HOLDINGS TO REFOCUS ON CORE BUSINESSES, STREAMLINING THE COMPANY FOR LONG-TERM SUCCESS

    • UMW Holdings Berhad announces plans to refocus on core businesses of automotive, equipment and manufacturing & engineering to create value for shareholders
    • Company plans strategic exit from oil & gas sector via ‘distribution in specie' of UMW Oil & Gas Corporation Berhad shares to entitled shareholders, followed by progressive exit from non-listed oil & gas assets

    KUALA LUMPUR, 19 January 2017 - UMW Holdings Berhad (UMWH) today announced it is refocusing on its core businesses of automotive, equipment and manufacturing & engineering. The announcement follows the commencement of a planned strategic exit from the oil & gas sector to allow the company to enhance its operations in areas where it sees better long-term growth potential. Concurrently, UMW Oil & Gas Corporation Berhad (UMWOG) is also proposing to lead the oil & gas industry consolidation.

    The exit from oil & gas begins with the proposal for the ‘distribution in specie' of all its shares in UMWOG to all entitled shareholders of UMWH. This distribution exercise will be followed by a progressive exit of non-listed oil & gas assets held by UMWH, a process that commenced five years ago.

    In pursuing this, for the other non-listed oil & gas assets, UMWH may have to impair such investments, the details of which are being assessed as part of the annual audit impairment testing exercise. At this juncture, the quantum of the potential impairment has yet to be determined.

    UMWH has chosen to undertake the proposed distribution through the Proposed Bonus Issue and Proposed Redemption, which utilises the Company's share premium account as opposed to its retained earnings, which may be impacted by the impairment exercise.

    Following this exercise, shareholders will now own shares in two listed entities, namely UMWH and UMWOG. This will provide an opportunity for shareholders to manage their investment exposure and rebalance their portfolio independent of each other and according to their individual investment objectives.

    The process of refocusing on the company's core businesses will position UMWH for leadership in these core areas and allow for a more efficient employment of resources to these capital intensive, growth businesses. In addition, the go-forward business will gain added strength to its financial position.

    President and Group Chief Executive Officer of UMW Holdings Berhad, Badrul Feisal bin Abdul Rahim, said: “UMW Holdings will focus on its core businesses to create and unlock value for shareholders. A strategic exit from oil & gas will allow the company to strengthen its financial position and reallocate its resources towards investments that we believe have the best potential for growth. In doing so, we will streamline the business and capture stronger returns by investing in areas where we believe we are market-leaders, or can become the leaders.

    “To achieve these goals, we are distributing our shares in UMWOG to UMW Holdings investors and pursuing our progressive exit strategy from all our non-listed oil & gas assets with a view to eventually exiting the business altogether.”

    “Along the way, we expect to incur impairments. Notwithstanding that, the long-term effect of this exercise will be a strengthened balance sheet, reduced exposure to debt, more efficient operations and a stronger company delivering better value to our shareholders.”

    The proposed distribution of UMWOG shares is expected to be completed by the second quarter of 2017.

    Badrul Feisal bin Abdul Rahim added: “Looking ahead, our long-term strategic goals for the company include enhancing returns from our automotive division, expanding further into high value manufacturing and engineering, and increasing our product range and market presence for our equipment division.”

2016's News


  • TAN SRI DATO’ SRI HAMAD KAMA PIAH PENGERUSI BARU KUMPULAN UMW
    TAN SRI DATO’ SRI HAMAD KAMA PIAH PENGERUSI BARU KUMPULAN UMW

    SHAH ALAM, 30 Disember 2016 – UMW Holdings Berhad mengumumkan perlantikan Tan Sri Dato’ Sri Hamad Kama Piah bin Che Othman sebagai Pengerusi Kumpulan yang baru bermula 1 Januari 2017 menggantikan Tan Sri Asmat bin Kamaludin yang tamat tempoh perkhidmatan pada 31 Disember 2016.

    Tan Sri Dato’ Sri Hamad Kama Piah telah berkhidmat sebagai Presiden & Ketua Pengarah Eksekutif Permodalan Nasional Berhad (PNB) sehingga persaraan beliau pada 30 September 2016. Beliau telah bersama PNB sejak tahun 1979. Beliau juga telah berkhidmat sebagai Pengarah Amanah Saham Nasional Berhad, Pelaburan Hartanah Nasional Berhad, Amanah Mutual Berhad, Chemical Company of Malaysia Berhad, Sime Darby Berhad dan beberapa syarikat swasta yang lain. Beliau sekarang adalah Pengerusi PNB Development Sdn. Bhd., E-Lock Corporation Sdn. Bhd. dan Universiti Malaysia Kelantan, Pengarah Professional Golf Association of Malaysia dan pemegang amanah Yayasan Karyawan.

    Kerjaya beliau selama 30 tahun merangkumi bidang pelaburan dan pengurusan amanah saham. Beliau telah bertanggungjawab dalam pelbagai aspek pengurusan pelaburan dan kewangan korporat di PNB termasuk sebagai pengurus portfolio dan ketua penstrukturan semula korporat.

    “Kami berasa bertuah dan bangga dengan perlantikan Tan Sri Dato’ Sri Hamad Kama Piah sebagai Pengerusi Kumpulan. Pengalaman beliau yang sangat luas akan memberi banyak sumbangan kepada Kumpulan UMW. Saya dan lembaga pengarah amat mengalu-alukan perlantikan Tan Sri Dato’ Sri Hamad Kama Piah dan berharap dapat bekerja dengan beliau dalam memacu Kumpulan UMW ke peringkat yang lebih tinggi,” kata Badrul Feisal bin Abdul Rahim, Presiden & Ketua Pengarah Eksekutif Kumpulan UMW Holdings Berhad.

    Tan Sri Asmat bin Kamaludin telah berkhidmat sebagai Pengerusi Kumpulan UMW Holdings Berhad sejak 20 Februari 2001. Kerjaya cemerlang beliau selama 35 tahun di Kementerian Perdagangan Antarabangsa dan Industri tamat dengan persaraan pada tahun 2001 dengan jawatan terakhir sebagai Ketua Setiausaha. Tan Sri Asmat telah banyak menyumbang kepada hubungan ekonomi antara Jepun-Malaysia. Pada 11 November 2014, beliau telah dianugerahkan bintang kebesaran “Order of the Rising Sun, Gold and Silver Star” oleh Maharaja Jepun bagi mengiktiraf sumbangan beliau dalam mengeratkan hubungan ekonomi serta mengeratkan jalinan persefahaman antara Jepun dan Malaysia.

    “Bagi pihak ahli lembaga pengarah UMW Holdings Berhad, saya ingin merakamkan setinggi-tinggi penghargan kepada Tan Sri Asmat di atas sumbangan beliau yang tidak ternilai kepada Kumpulan UMW. Perniagaan Kumpulan UMW telah berkembang dan kini beroperasi di 13 buah negara di bawah kepimpinan beliau”, tambah Badrul Feisal.



  • TAN SRI DATO’ SRI HAMAD KAMA PIAH IS UMW’S NEW GROUP CHAIRMAN
    TAN SRI DATO’ SRI HAMAD KAMA PIAH IS UMW’S NEW GROUP CHAIRMAN

    SHAH ALAM, 30 December 2016 – UMW Holdings Berhad announced the appointment of Tan Sri Dato’ Sri Hamad Kama Piah bin Che Othman as its new Group Chairman effective 1 January 2017. He replaces Tan Sri Asmat bin Kamaludin whose tenure expires on 31 December 2016.

    Tan Sri Dato’ Sri Hamad Kama Piah was the President & Group Chief Executive Officer of Permodalan Nasional Berhad (PNB) until his retirement on 30 September 2016. He was with PNB since 1979. He had served as a Director of Amanah Saham Nasional Berhad, Pelaburan Hartanah Nasional Berhad, Amanah Mutual Berhad, Chemical Company of Malaysia Berhad, Sime Darby Berhad and several private companies. He is currently the Chairman of PNB Development Sdn. Bhd., E-Lock Corporation Sdn. Bhd. and Universiti Malaysia Kelantan, a Director of Professional Golf Association of Malaysia and a Trustee of Yayasan Karyawan.

    His career spans over 30 years in the fields of investment and unit trust management. He undertook various responsibilities in various facets of investment management and corporate finance in PNB including as portfolio manager and head of corporate restructuring.

    “We are honoured with the appointment of Tan Sri Dato’ Sri Hamad Kama Piah as our new Group Chairman. His wealth of knowledge and vast experience would contribute immensely to the UMW Group. The Board of Directors and I are looking forward to welcoming Tan Sri Dato’ Sri Hamad Kama Piah and working closely with him. With his esteemed leadership, we are confident of propelling UMW to new frontiers and greater heights,” said Badrul Feisal bin Abdul Rahim, President & Group Chief Executive Officer of UMW Holdings Berhad.

    Tan Sri Asmat bin Kamaludin has been the Group Chairman of UMW Holdings Berhad since 20 February 2001. He had a distinguished career with the Ministry of International Trade and Industry Malaysia spanning over 35 years, culminating with his retirement as Secretary-General in 2001. Tan Sri Asmat has contributed immensely to Japan-Malaysia economic ties. On 11 November 2014, he was conferred the prestigious “Order of the Rising Sun, Gold and Silver Star” award by His Majesty, the Emperor of Japan, in recognition of his contributions in the strengthening of economic relations and the promotion of mutual understanding between Japan and Malaysia.

    “On behalf of the Board of Directors of UMW Holdings Berhad, I would like to record our utmost gratitude to Tan Sri Asmat for his invaluable contributions to the UMW Group. Under his esteemed leadership, the UMW Group has grown to be a leader in its core businesses and today has operations in 13 countries. We thank him and wish him well for the future”, added Badrul Feisal.



  • UMW HOLDINGS BERHAD’S THIRD QUARTER RESULTS AFFECTED BY THE SLOWDOWN IN THE OIL & GAS INDUSTRY
    UMW HOLDINGS BERHAD’S THIRD QUARTER RESULTS AFFECTED BY THE SLOWDOWN IN THE OIL & GAS INDUSTRY

    SHAH ALAM, 29 November 2016 – UMW Holdings Berhad recorded a revenue of RM2,856.8 million for the third quarter ended 30 September 2016, representing RM676.4 million or 19.1% lower than the RM3,533.2 million recorded in the same period of 2015. The challenging economic environment in the Oil & Gas industry coupled with the weakening ringgit had impacted the Group’s results.

    Consequently, the Group reported a loss before taxation of RM121.6 million against a profit of RM72.2 million in the previous year’s corresponding quarter.

    The Automotive segment recorded a lower revenue of RM2,263.4 million for the third quarter of 2016 compared to RM2,596.1 million registered in the previous year’s corresponding quarter as a result of soft market sentiments and intense competition from other automotive manufacturers. The total industry volume (TIV) for the third quarter of 2016 was 142,974 units, a drop of 12% compared to 163,235 units in the same quarter of 2015.

    Nevertheless, profit before taxation improved from RM113.4 million in the third quarter of 2015 to RM133.5 million in the current quarter. The record sale of the new model, Perodua Bezza that was launched in July 2016 contributed to the better profit performance.

    Equipment segment’s revenue of RM342.8 million for the third quarter of 2016 was a decrease of 27.8% or RM132.0 million against RM474.8 million recorded in the same period of 2015. This was mainly attributable to the decline in equipment sales resulting from the slowdown in the mining sector and stiff competition in the construction sector.

    Sales performance in Myanmar was weighed down by the continued restriction imposed on the importation of heavy equipment into the country by the government of Myanmar.

    In tandem with the lower revenue, profit before taxation decreased from RM64.4 million recorded in the third quarter of 2015 to RM33.6 million in the current quarter.

    The Manufacturing & Engineering segment recorded a revenue of RM144.6 million in the current quarter, RM39.2 million or 21.3% lower than the RM183.8 million reported in the previous year’s corresponding quarter. Nevertheless, profit before taxation improved from RM0.8 million to RM2.5 million in the current quarter, mainly attributable to the better performance of shock absorber business.

    The Oil & Gas (Listed) segment registered a revenue of RM49.7 million, a reduction of RM163.0 million from the same quarter of 2015 of RM212.7 million. Fewer income-generating assets coupled with the continued pressure on charter rates significantly impacted the revenue of the segment.

    On the back of the lower revenue, the segment reported a loss before taxation of RM133.0 as opposed to a profit before taxation of RM11.5 million in the same quarter of 2015.

    The Oil & Gas (Unlisted) segment registered a lower revenue of RM58.4 million in the current quarter, a drop of RM11.6 million compared to the RM70.0 million in the same quarter of 2015. The adverse performance of the segment was mainly due to the impact of continued low oil prices. Nevertheless, lower loss of RM36.1 million was reported compared to the loss of RM65.1 million reported in the same quarter of 2015, mainly attributable to lower operating costs from the onshore drilling operations in Oman.

    “The performance of the Group is affected by the present downturn in the oil and gas industry, softer local demand for motor vehicles and weakening ringgit. The challenges and uncertainties in the current business environment may add pressure for asset impairment in the last quarter of the year, hence, may adversely impact the Group’s results. Nevertheless, management will take appropriate measures to contain cost, increase operational efficiency and continue to improve business potentials,” says Badrul Feisal bin Abdul Rahim, its President & Group CEO.



  • KEPUTUSAN KEWANGAN SUKU KETIGA UMW TERJEJAS OLEH KELEMBAPAN DALAM INDUSTRI MINYAK DAN GAS
    KEPUTUSAN KEWANGAN SUKU KETIGA UMW TERJEJAS OLEH KELEMBAPAN DALAM INDUSTRI MINYAK DAN GAS

    SHAH ALAM, 29 November 2016 – UMW Holdings Berhad merekodkan hasil sebanyak RM2,856.8 juta bagi suku ketiga berakhir 30 September 2016, menunjukkan hasil RM676.4 juta atau 19.1% lebih rendah berbanding hasil sebanyak RM3,533.2 juta yang direkodkan pada suku yang sama tahun 2015. Keadaan ekonomi industri minyak dan gas yang mencabar ditambah dengan penyusutan mata wang ringgit yang berterusan telah menjejaskan keputusan kewangan Kumpulan UMW.

    Kumpulan UMW melaporkan kerugian sebelum cukai sebanyak RM121.6 juta berbanding keuntungan sebanyak RM72.2 juta pada suku yang sama tahun lepas.

    Segmen automotif mencatatkan hasil yang lebih rendah sebanyak RM2,263.4 juta pada suku ini, berbanding RM2,596.1 juta yang diperolehi pada suku yang sama tahun lepas disebabkan oleh sentimen pasaran yang lemah dan persaingan yang sengit di antara penggiat industri yang lain. Jumlah keseluruhan industri bagi suku ketiga tahun ini adalah 142,974 unit, penurunan sebanyak 12% berbanding 163,235 unit pada suku yang sama tahun 2015.

    Walau bagaimanapun, keuntungan sebelum cukai meningkat dari RM113.4 juta pada suku ketiga tahun 2015 kepada RM133.5 juta pada suku ini. Permintaan tinggi untuk model kenderaan baru, Perodua Bezza yang dilancarkan pada Julai 2016 telah menyumbang kepada keuntungan yang lebih baik.

    Hasil segmen jentera sebanyak RM342.8 juta bagi suku ketiga tahun 2016 menurun sebanyak 27.8% atau RM132.0 juta berbanding hasil sebanyak RM474.8 juta yang direkodkan pada suku yang sama tahun 2015. Ini adalah disebabkan oleh penurunan jualan jentera ekoran dari kelembapan sektor perlombongan dan persaingan hebat dalam sektor pembinaan. Prestasi jualan di Myanmar telah dijejaskan oleh penerusan sekatan yang dikenakan oleh kerajaan baru Myanmar ke atas pengimportan jentera berat yang di bawa masuk ke negara itu.

    Sejajar dengan hasil yang lebih rendah, keuntungan sebelum cukai menurun dari RM64.4 juta pada suku ketiga 2015 kepada RM33.6 juta pada suku ini.

    Segmen pembuatan dan kejuruteraan mencatat hasil sebanyak RM144.6 juta pada suku ini, RM39.2 juta atau 21.3% lebih rendah dari hasil sebanyak RM183.8 juta yang dicatatkan dalam suku yang sama tahun lepas. Walaupun hasil berkurangan, keuntungan sebelum cukai telah meningkat dari RM0.8 juta kepada RM2.5 juta pada suku ini disebabkan prestasi meningkat dalam perniagaan penyerap kejutan kenderaan.

    Segmen minyak dan gas (tersenarai di Bursa) merekodkan hasil sebanyak RM49.7 juta, penurunan sebanyak RM163.0 juta dari hasil sebanyak RM212.7 juta pada suku yang sama tahun 2015. Penggunaan asset penjana pendapatan yang rendah dan penekanan terhadap kadar carter yang berterusan telah nyata sekali menjejaskan hasil untuk segmen ini.

    Berikutan penurunan hasil ini, segmen minyak dan gas merekodkan kerugian sebelum cukai sebanyak RM133.0 juta berbanding keuntungan sebelum cukai sebanyak RM11.5 juta bagi suku yang sama tahun 2015.

    Segmen minyak dan gas (tidak tersenarai di Bursa) mencatat hasil lebih rendah iaitu sebanyak RM58.4 juta pada suku ini, penurunan sebanyak RM11.6 juta berbanding RM70 juta pada suku yang sama tahun 2015. Kemerosotan prestasi bagi segmen ini adalah disebabkan oleh harga pasaran minyak yang rendah. Walau bagaimanapun pengurangan kerugian sebanyak RM36.1 juta dilaporkan berbanding kerugian sebanyak RM65.1 juta pada suku yang sama tahun 2015 disebabkan oleh kos operasi lebih rendah di Oman.

    “Prestasi Kumpulan ini telah dijejaskan oleh kelembapan industri minyak dan gas, penurunan permintaan pasaran tempatan terhadap kenderaan dan kemerosotan mata wang ringgit. Cabaran dan ketidaktentuan pasaran mungkin menambah tekanan untuk kejejasan aset pada suku terakhir tahun ini dan akan memberi impak negatif kepada keputusan kewangan Kumpulan. Pihak pengurusan akan terus mengambil langkah-langkah yang sepatutnya untuk mengurangkan kos, meningkatkan kecekapan operasi dan terus menambah baik potensi perniagaan,” kata Presiden dan Ketua Pengarah Eksekutif Kumpulan UMW, Encik Badrul Feisal bin Abdul Rahim.



  • UMW GRANTT INTERNATIONAL SPONSORS BORNEO SAFARI SABAH FOR THE SECOND YEAR
    UMW GRANTT INTERNATIONAL SPONSORS BORNEO SAFARI SABAH FOR THE SECOND YEAR

    KOTA KINABALU, 30 October 2016 – UMW Grantt International Sdn. Bhd., a wholly-owned subsidiary of UMW Group that produces and distributes GRANTT lubricants, is proud to announce its participation as Platinum Sponsor Partner in South East Asia’s biggest extreme off-road event, Borneo Safari International Off Road Challenge (Borneo Safari) 2016.

    Similar to the previous year, UMW Grantt International has introduced a new series of special edition product, the GRANTT Quasar Diesel Engine Oil 15W40 – CI 4 (7-litre pack) in conjunction with the event. The same oil will be tested in some of the vehicles participating in this 8-day 4WD expedition through challenging and varied off-road terrains, covering an estimated journey of about 1000 km.

    From the comprehensive post-event evaluation conducted last year, Grantt Quasar 15W-40 CI-4/SL has surpassed industry-established performance tests in wear protection. Its powerful anti-wear performance provides effective lubrication at critical wear zone and positive feedback from last year’s participants has shown that Grantt Quasar is able to perform well and withstand extreme driving condition providing optimal performance, giving excellent fuel efficiency benefit.

    GRANTT’s full range of lubricants include Passenger Car Motor Oil (PCMO), Motorcycle Oil (MCO), Diesel Engine Oil (DEO), Automatic Transmission Fluid (ATF), industrial oil and greases.

    Quasar Diesel Engine Oil by GRANTT is formulated with advanced American Technology to deliver excellent engine performance and to protect engine wear, corrosion, overheating and prevent deposits build up even in the toughest driving conditions. It meets the latest lubrication technology for low emission engines fitted with Exhaust Gas Recirculation (EGR). The Borneo Safari corporate vehicles this year will again be powered by GRANTT Quasar Diesel Engine.

    More than 350 four-wheel-drive vehicles were flagged off by YB Datuk Seri Panglima Masidi Manjun, Minister of Tourism, Culture and Environment Sabah.

    “We are thrilled to once again be a part of South East Asia’s biggest extreme off-road event. We hope with our sponsorship, it will create more awareness towards our brand and more people will choose GRANTT lubricants for their vehicles,” said Amri Hasim, General Manager of UMW Grantt International Sdn. Bhd.



  • MOTOGP WORLD CHAMPION MARC MARQUEZ UNVEILS THE NEW RANGE OF REPSOL PASSENGER CAR LUBRICANTS
    MOTOGP WORLD CHAMPION MARC MARQUEZ UNVEILS THE NEW RANGE OF REPSOL PASSENGER CAR LUBRICANTS

    SEPANG, 29 October 2016 – Repsol MotoGP World Champion, Marc Marquez, together with Hiroshi Aoyama unveiled Repsol’s new series of Repsol Elite lubricants after the qualifying race at the Sepang International Circuit.

    The quality of these products has been improved to help extend the engine's lifespan, exceed the most rigorous specifications and quality standards in the field, and comply with the strictest environmental regulations.

    These new lubricants have been certified and recognized by the main automobile manufacturers, and they offer the best performance in terms of protection and efficiency. It is also possible to reduce consumption in new vehicles by more than 3% compared with previous formulation.

    They also contribute to the durability of the engine and the exhaust after-treatment systems, which leads to a reduction in CO2 emissions in the most advanced engines.

    Repsol has increased the range of viscosities available in the Repsol Elite line, with the highest-quality additives and specific formulations for each manufacturer. The range includes synthetic products that meet all customers' needs. The product was developed at the Repsol Technology Center following the most rigorous quality standards.

    MĂĄrquez, who won his third MotoGP World Championship a few days ago, uses gasoline and lubricant formulated and produced by Repsol.

    Repsol has come out with new packaging design that indicates the types of engine oil, allowing the customer to instantly identify the difference in quality level that best suit their engine requirements.

    This new line of lubricants will be blended at the UMW plant in Shah Alam and will be made available in the local market next year. “The partnership forged between UMW & Repsol brand has enable us to deliver the pinnacle of quality and excellence to our precious consumer,” said Megat Shahrul Azmir, President of UMW Manufacturing & Engineering Division.

    The launch was also witnessed by representatives from Repsol and guests from China, Thailand, Singapore and Vietnam.

    UMW holds the Repsol licence and distributorship since 2010 covering Malaysia, China and Singapore markets. UMW is also the biggest Repsol distributor outside Europe.



  • UMW GRANTT INTERNATIONAL PARTNERS WITH MALAYSIAN RALLY CHAMPIONSHIP 2016 FOR ROUND 3 AND 4
    UMW GRANTT INTERNATIONAL PARTNERS WITH MALAYSIAN RALLY CHAMPIONSHIP 2016 FOR ROUND 3 AND 4

    KOTA TINGGI, 28 October 2016 – UMW Grantt International Sdn. Bhd. (UMWG), a wholly-owned subsidiary of UMW Group that produces and distributes GRANTT lubricants, is proud to announce its involvement as an exclusive partner and co-sponsor of the Malaysian Rally Championship (MRC) 2016. The 12th edition of the Malaysian Rally will take place from 28th to 30th October in Johor, where it has been held annually since 2003. This will be the second time the event will be held in October and it is usually a very wet and muddy time of the year in Johor.

    “We are taking many initiatives to further penetrate the Malaysian and Asia Pacific markets by enhancing brand awareness and positioning GRANTT as a premium brand. We are proud to be a co-sponsor for Malaysian Rally Championship, which is part of the prestigious FIA Asia-Pacific Rally Championship, the biggest international rally event in this region after World Rally Championship (WRC) with six host countries. We hope our involvement in this Championship will help to elevate the country’s motorsports,” said Amri Hasim, General Manager of UMW Grantt International Sdn. Bhd.

    The sponsorship mock cheque was handed to Managing Director of Wheel Sport Management Sdn. Bhd., Y.M. Datin Paduka Raja Nor Mazli Raja Tun Mohar by UMWG’s General Manager, Amri bin Hasim. The presentation ceremony was witnessed by the Tunku Temenggong of Johor, Y.A.M. Tunku Idris Iskandar ibni Sultan Ibrahim.

    This exclusive partnership in MRC for Round 3 in Kota Tinggi, Johor, and Round 4 to be held in Sri Iskandar Perak in December will put the brand on the forefront of the lubricant market and promote itself to the MRC community, the spectators and public at large.

    GRANTT’s full range of lubricants include Passenger Car Motor Oil (PCMO), Motorcycle Oil (MCO), Diesel Engine Oil (DEO), Automatic Transmission Fluid (ATF), industrial oils and greases. The GRANTT PCMO Stellar range has been tested to comply with the international lubricant standards, the American Petroleum Institute’s API-SN requirements, as well as the stringent European Automobile Manufacturers Association ACEA A3/B4 standard.



  • SPARK LABS LAUNCHES 2ND MANHATTAN LOCATION & U.S. EXPANSION PLATFORM
    SPARK LABS LAUNCHES 2ND MANHATTAN LOCATION & U.S. EXPANSION PLATFORM

    NEW YORK, 26 October 2016 – Spark Labs (http://spark-labs.co/), one of NY’s fastest growing co-working communities, and now, a global ecosystem built to fast track entrepreneurs in the U.S., today announced the opening of a second location in the heart of NYC’s “Silicon Alley” and the backing of UMW Holdings Berhad, a Malaysian Corporation with a $3.5B revenue in 2015, eager to embark in technology investment in North America.

    The brand new space opening on 1 November is 20,000-square-feet, comprising an entire floor at 25 W. 39 St. in Bryant Park. Memberships start at $350 a month for a flex desk to $20,000 a month for large private offices. All memberships include access to a unique ecosystem including community, workspace and a comprehensive support platform specifically built for tech companies, including: Sales and Business Development, Marketing and Public Relations, funding fast track, Mentorship program, Recruitment, Legal and Accounting support.

    The new Spark Labs ecosystem will allow more global startups currently operating outside of the U.S. market to scale and make their mark in North America. Several foreign startups have already matured into successful businesses with the aid of Spark Labs -- including Invoxia (makers of Triby, the first non-Amazon device with Alexa integration) and ConnectThings (a leader in NFC tag, QR codes and iBeacon management systems) -- by leveraging the ecosystem.

    Spark Labs Founder and CEO Christophe Garnier (formerly Totsy Co-Founder) stated, “Looking for workspace in NYC is easy but finding the right environment is a different story. If you are a global entrepreneur looking to expand in the U.S. market, Spark Labs is the simple and obvious choice. We developed Spark Labs from the beginning as a collaborative ecosystem and U.S. expansion platform for innovation and now with UMW in the picture, we look forward to more success stories joining the fold.”

    “UMW is impressed with the holistic solution Spark Labs has created to foster global tech players entering the U.S. via expansion in NYC and we look forward to aiding high growth technology companies through the Spark Labs ecosystem”, said Ms Faizah Mohamed Amin, president at UMW Technology, the tech investments division of UMW.

    Spark Labs has built a successful formula of community, support, benefits and events which has already helped dozens of tech and innovation companies to enter the U.S. market. With over $40M raised by past and current cohort companies, Spark Labs is supported locally by Amazon, IBM, SalesForce for Startups, SendGrid, JustWorks, Rubicon Ventures, White Star Capital, First Mark Capital, Eniac Ventures & KVB Partners.



  • UMW HOLDINGS BERHAD CATAT KEUNTUNGAN SEBELUM CUKAI SEBANYAK RM45 JUTA BAGI SUKU KEDUA TAHUN 2016
    UMW HOLDINGS BERHAD CATAT KEUNTUNGAN SEBELUM CUKAI SEBANYAK RM45 JUTA BAGI SUKU KEDUA TAHUN 2016

    SHAH ALAM, 29 August 2016 – UMW Holdings Berhad merekodkan hasil sebanyak RM2,846.8 juta bagi suku kedua berakhir 30 Jun 2016, menunjukkan hasil RM638.5 juta atau 18.3% lebih rendah berbanding hasil sebanyak RM3,485.3 juta yang direkodkan pada suku yang sama tahun 2015. Semua segmen perniagaan menunjukkan hasil yang lebih rendah berbanding suku yang sama tahun lepas.

    Sejajar dengan hasil yang lebih rendah, Kumpulan UMW mencatatkan keuntungan sebelum cukai yang lebih rendah sebanyak RM44.8 juta berbanding RM207.6 juta pada suku yang sama tahun lepas.

    Segmen automotif mencatatkan hasil yang lebih rendah sebanyak RM2,177.1 juta pada suku ini, berbanding RM2,732.7 juta yang diperolehi pada suku yang sama tahun lepas disebabkan oleh persaingan yang sengit di antara penggiat industri yang lain.

    Oleh itu, segmen ini mencatatkan keuntungan sebelum cukai lebih rendah sebanyak RM133.3 juta bagi suku ini, 49.4% lebih rendah dari keuntungan sebelum cukai sebanyak RM263.4 juta yang direkodkan pada suku yang sama tahun lepas. Penyusutan mata wang Ringgit yang berterusan juga turut menjejaskan keuntungan segmen ini.

    Hasil segmen jentera sebanyak RM351.2 juta bagi suku kedua tahun 2016 menurun sedikit berbanding hasil sebanyak RM353.6 juta yang direkodkan pada suku yang sama tahun 2015, disebabkan oleh sektor pembinaan dan perlombongan yang perlahan serta sekatan yang dikenakan oleh kerajaan baru Myanmar ke atas pengimportan jentera berat yang di bawa masuk ke negara itu.

    Walau bagaimanapun, keuntungan sebelum cukai meningkat dari RM33.7 juta ke RM43.3 juta hasil pengurusan kos yang lebih baik.

    Hasil segmen minyak dan gas sebanyak RM130 juta untuk suku ini adalah 29.1% atau RM53.4 juta lebih rendah dari hasil sebanyak RM183.4 juta dalam suku yang sama tahun lepas. Penurunan hasil ini disebabkan oleh kadar carter dan penggunaan asset yang rendah untuk segmen ini.

    Segmen minyak dan gas merekodkan kerugian sebelum cukai sebanyak RM64 juta bagi suku ini berbanding keuntungan sebanyak RM8 juta yang dicatatkan pada suku yang sama tahun 2015.

    Segmen pembuatan dan kejuruteraan mencatat hasil sebanyak RM157 juta pada suku ini, RM8.4 juta atau 5.1% lebih rendah dari hasil sebanyak RM165.4 juta yang dicatatkan dalam suku yang sama tahun lepas. Walaupun hasil berkurangan, keuntungan sebelum cukai telah meningkat dari RM0.4 juta kepada RM10.9 juta pada suku ini disebabkan prestasi yag meningkat dalam perniagaan penyerap kejutan kenderaan dan minyak pelincir.

    Sentimen pengguna yang menurun terus memberi kesan dalam pasaran automotif dan saingan sengit dari semua penggiat industri yang menggunakan strategi pemasaran yang agresif untuk meningkatkan jualan masing-masing terus memberi cabaran kepada Kumpulan UMW. Presiden dan Ketua Pengarah Eksekutif Kumpulan UMW, Encik Badrul Feisal bin Abdul Rahim berkata, “Harga minyak mempunyai potensi untuk pulih dalam jangka masa pertengahan dengan harga minyak Brent kekal stabil pada USD 40 setong selama lebih 4 bulan. Peningkatan aktiviti tender untuk servis penggerudian menunjukkan potensi peningkatan dalam jangka masa sederhana tetapi tender ini mungkin akan memakan masa beberapa bulan untuk diterjemahkan kepada penggunaan rig. Kumpulan UMW terus melaksanakan langkah-langkah yang sesuai untuk memperbaik kecekapan operasi dan membendung kos”.



  • UMW HOLDINGS BERHAD REGISTERS PROFIT BEFORE TAXATION OF RM45 MILLION FOR THE SECOND QUARTER OF 2016
    UMW HOLDINGS BERHAD REGISTERS PROFIT BEFORE TAXATION OF RM45 MILLION FOR THE SECOND QUARTER OF 2016

    SHAH ALAM, 29 August 2016 – UMW Holdings Berhad recorded a revenue of RM2,846.8 million for the second quarter ended 30 June 2016, representing RM638.5 million or 18.3% lower than the RM3,485.3 million recorded in the same period of 2015. All business segments recorded lower revenue compared to the previous year’s corresponding quarter.

    In line with the lower revenue, the Group generated a lower profit before taxation of RM44.8 million against RM207.6 million in the previous year’s corresponding quarter.

    The Automotive segment recorded a lower revenue of RM2,177.1 million for the second quarter of 2016 compared to RM2,732.7 million registered in the previous year’s corresponding quarter as a result of intense competition from other automotive manufacturers.

    Consequently, the segment registered a lower profit before taxation of RM133.3 million for the quarter, i.e. 49.4% lower than the RM263.4 million profit before taxation recorded in the previous year’s corresponding quarter. The continued weakening of ringgit had also affected the segment’s profit for the quarter.

    Equipment segment’s revenue of RM351.2 million for the second quarter of 2016 was marginally lower than RM353.6 million recorded in the same period of 2015, mainly attributable to the slowdown in the construction and mining sectors and the restriction imposed on the importation of heavy equipment into the country by the new government in Myanmar.

    Nevertheless, the profit before taxation improved from RM33.7 million to RM43.3 million through better cost management.

    The Oil & Gas segment’s revenue of RM130.0 million for the current quarter was 29.1% or RM53.4 million lower than the previous year’s corresponding quarter of RM183.4 million. The reduction in revenue was due to lower time charter rates and lower utilisation of assets for the segment.

    Consequently, the segment recorded a loss before taxation of RM64.0 million for the current quarter compared to profit before taxation of RM8.0 million reported in the corresponding quarter of 2015.

    The Manufacturing & Engineering segment recorded a revenue of RM157.0 million in the current quarter, RM8.4 million lower or 5.1% lower than the RM165.4 million reported in the previous year’s corresponding quarter. Despite the lower revenue, profit before taxation increased from RM0.4 million to RM10.9 million in the current quarter, mainly attributable to the better performance of shock absorbers and lubricant businesses.

    Softening consumer sentiment continues to affect the automotive market and intense competition from all auto players deploying aggressive marketing strategies to boost sales continue to pose challenges to the Group. “Oil price has the potential for recovery in the medium term with the Brent benchmark oil price stabilising at about USD40 per barrel for more than four months recently. The increase in tendering activities for drilling services indicates potential upturn in the medium term though these tenders may take months to translate into rig utilisation. The UMW Group continues to implement appropriate measures to improve operational efficiencies and contain cost,” says Badrul Feisal bin Abdul Rahim, its President & Group CEO.



  • UMW’s MERDEKA WEBFILM IN CONJUNCTION WITH 59th MERDEKA ANNIVERSARY
    UMW’s MERDEKA WEBFILM IN CONJUNCTION WITH 59th MERDEKA ANNIVERSARY

    SHAH ALAM, 25 August 2016 – UMW Corporation Sdn. Bhd. (UMW) is proud to present its Merdeka webfilm with the hope that 31st August will always remain special to all Malaysians.

    This is a story of a person called Merdeka, Deka for short, who grew up thinking that the Merdeka celebration was meant for him during his younger days. As the years passed, he realised that Merdeka was no longer celebrated in the same patriotic spirit like in the past.

    We hope this short video will re-ignite the patriotic spirit in all of us, and 31st August will always be celebrated with pride and a time to reflect on the sacrifices and the challenges that our forefathers have gone through for our independence.

    UMW will be releasing the webfilm today via Youtube. To watch this special Merdeka webfilm, please log on to YouTube and search for “UMW Merdeka 2016 Webfilm”.



  • SUKARELAWAN UMW MENYELAMI HIDUP GELANDANGAN
    SUKARELAWAN UMW MENYELAMI HIDUP GELANDANGAN

    KUALA LUMPUR, 21 Jun 2016 – UMW Corporation Sdn Bhd (UMW) telah bekerjasama buat kali pertama dengan KASEH4U, sebuah organisasi bukan kerajaan yang ditubuhkan untuk menyediakan makanan asas pada setiap hari Selasa di Pusat Gelandangan Medan Tuanku.

    40 orang sukarelawan UMW (UMW Community Champions) yang terdiri dari kakitangan Kumpulan UMW meredah kesesakan jalanraya selepas waktu pejabat ke Pusat Gelandangan Medan Tuanku supaya tiba sebelum waktu Maghrib. Selepas berbuka puasa dan solat, para sukarelawan mula membungkus kelengkapan kebersihan, menyusun makanan, minuman, buah-buahan dan bekalan sahur.

    Seawal jam 8 malam sudah kelihatan para gelandangan dan miskin bandar yang mula menanti di hadapan pintu masuk. Bagi kebanyakan mereka, ini adalah makanan pertama mereka hari itu. Selepas kelengkapan kebersihan tersedia, makanan dan minuman telah diatur, pintu pagar dibuka buat mereka.

    Semua orang mengikut peraturan dan beratur untuk mendapatkan kelengkapan kebersihan dan seterusnya ke meja makanan di mana para sukarelawan membahagikan makanan, minuman, buah-buahan dan bekalan sahur. Milo ais menjadi tumpuan kanak-kanak dan dewasa yang kelihatan tersenyum lebar ketika mendekati gerai berwarna hijau untuk mendapatkan segelas milo ais.

    UMW akan membiayai tiga program menyediakan makanan yang sihat dan keperluan asas buat komuniti yang terpinggir. Ini adalah inisiatif UMW untuk mendekati golongan gelandangan dan miskin Bandar tanpa mengira bangsa dan agama yang tidak mampu untuk membeli makanan setiap hari.

    “Membahagi makanan di pusat ini adalah program pertama yang melibatkan gelandangan dan miskin bandar, juga kerjasama dengan Kaseh4U. Kami berharap sumbangan tidak seberapa kami ni dapat memberikan sedikit kegembiraan dan keceriaan kepada masyarakat yang kurang bernasib baik,” kata Ketua Perkhidmatan Pengurusan Kumpulan UMW, Muzafar Munzir.



  • UMW COMMUNITY CHAMPIONS’ EVENING WITH THE HOMELESS
    UMW COMMUNITY CHAMPIONS’ EVENING WITH THE HOMELESS

    KUALA LUMPUR, 21 June 2016 – UMW Corporation Sdn Bhd (UMW) has collaborated for the first time with KASEH4U, a non-governmental organisation that was established to provide basic meals every Tuesday at a homeless centre in Medan Tuanku.

    40 UMW Community Champions that consist of employees from UMW Group of companies braved the peak hour traffic after work to the homeless centre in Medan Tuanku, to arrive there before sunset. After a quick buka puasa and prayer, the volunteers set out to work, packing hygiene packs, arranging dinner, drinks, fruits and sahur packs.

    As early as 8pm, homeless people can be seen waiting for the gate to the centre to open, many of them were looking forward to their first meal of the day. After hygiene packs were arranged, food and drinks lined up, the gate was opened to them.

    Everybody queued for the hygiene packs and then to the food line, where volunteers distributed dinner, drinks, fruits and sahur packs. The highlight of the evening was the iced MILO, with children’s eyes lighting up and the adults smiling wider as they approached the familiar green-coloured booth.

    UMW has pledged to fund three programmes like this offering healthy meals and basic essentials to the marginalised community. This is an initiative by the company to reach out to the homeless people, the destitute and urban poor, irrespective of race or religion, who could not afford food on a daily basis.

    “Distributing food at this centre is our maiden programme involving the homeless, likewise the collaboration with Kaseh4U. We hope we have somewhat provided some joy and cheer to the underprivileged community, as it is only a small contribution,” said Muzafar Munzir, the Head of UMW Group Management Services.



  • KEMBARA RAMADHAN UMW 2016
    KEMBARA RAMADHAN UMW 2016

    SHAH ALAM, 17 Jun 2016 - UMW Community Champions, sukarelawan yang terdiri dari kakitangan UMW Corporation Sdn Bhd (UMW) baru-baru ini telah mengembara sejauh 450 ke Laloh, Kelantan untuk membahagikan Pek Ramadhan dan barang keperluan.

    Laloh ialah sebuah kawasan di Kuala Krai yang terjejas teruk akibat bencana banjir yang melanda Kelantan dan negeri-negeri di pantai timur pada tahun 2014. Ramai penduduk Laloh masih bergelut untuk menyara hidup semenjak kediaman mereka musnah atau dihanyutkan air.

    Seramai 20 orang sukarelawan UMW (UMW Community Champions) menaiki 10 buah kenderaan pacuan empat roda bersama pasukan Four Wheelers For Charity (4W4C) telah dilepaskan oleh Ketua Pengarah Operasi Kumpulan di ibu pejabat UMW di Shah Alam.

    UMW Community Champions menggunakan Masjid Mukim Karangan Daerah Olak Jeram pada keesokan hari di mana mereka menyediakan Pek Ramadhan untuk dibahagikan kepada 116 keluarga miskin dan kurang berkemampuan dari Kampung Karangan Meranti, Kampung Karangan Baru, Kampung Karangan Lama and Kampung Sungai Benir. Sukarelawan UMW turut pergi ke rumah penduduk-penduduk yang keuzuran dan tidak dapat menghadirkan diri ke masjid.

    Muzafar Munzir, Ketua Perkhidmatan Pengurusan Kumpulan UMW berkata, “Kembara Ramadhan ini memberikan peluang untuk Community Champions UMW untuk melawat semula komuniti-komuniti di kawasan yang dilanda banjir di mana UMW turut terlibat dalam misi kemanusiaan pasca banjir pada awal tahun lepas”.

    Majlis berbuka puasa turut dijalankan bersama dengan penduduk kampung di masjid tersebut dan sukarelawan UMW bergotong-royong bersama ahli jawatankuasa Kampung Karangan dalam menyediakan pelbagai masakan Kelantan sebagai juadah berbuka. Adalah menjadi harapan UMW supaya Pek Ramadhan yang disumbangkan dapat sedikit sebanyak meringankan beban penduduk kampung dan membawa sedikit keriangan menjelang Aidilfitri.



  • KEMBARA RAMADHAN UMW 2016
    KEMBARA RAMADHAN UMW 2016

    SHAH ALAM, 17 June 2016 - UMW Community Champions, the staff volunteers of UMW Corporation Sdn Bhd (UMW), had made the 450-kilometre journey to Laloh, Kelantan to distribute ‘Ramadhan Packs’ and household items last weekend.

    Laloh is a small town in Kuala Krai severely affected by the catastrophic flood that ravaged the east coast in 2014 with Kelantan being the worst-hit state. Many of the villagers in Laloh are still struggling to make ends meet since their homes were damaged and washed away by the worst flood in history.

    20 UMW Community Champions riding in ten Four Wheelers For Charity (4W4C)’s vehicles were flagged off by Azmin Che Yusoff, Group Chief Operating Officer at UMW’s head office in Shah Alam.

    The volunteers set up a base at Masjid Mukim Karangan Daerah Olak Jeram the next day where they prepared the ‘Ramadhan Packs’ for distribution to 116 underprivileged families from Kampung Karangan Meranti, Kampung Karangan Baru, Kampung Karangan Lama and Kampung Sungai Benir. The team then went off to distribute the ‘Ramadhan Packs’ to houses of villagers who could not make it to the mosque.

    Muzafar Munzir, Head of UMW Group Management Services said, “This Kembara Ramadhan gave the opportunity for our Community Champions to revisit the communities in flood-hit Kuala Krai, where UMW had participated in the post-flood humanitarian mission early last year”.

    A buka puasa event was also organised for the villagers at the local mosque and the Community Champions together with Kampung Karangan committee members prepared delicious Kelantanese feast for buka puasa. It is the company’s hope that the “Ramadhan Packs” provided will help ease some of the burden of the villagers for this this coming Hari Raya celebration and brought joy to them.



  • UMW HOLDINGS BERHAD POSTS RM2.2 BILLION REVENUE FOR THE FIRST QUARTER OF 2016
    UMW HOLDINGS BERHAD POSTS RM2.2 BILLION REVENUE FOR THE FIRST QUARTER OF 2016

    SHAH ALAM, 24 May 2016 - UMW Holdings Berhad recorded revenue and profit before taxation of RM2,199.2 million and RM21.1 million respectively, for the quarter ended 31 March 2016. The Group’s revenue and profit before taxation were 32.1% and 93.4% lower than the previous corresponding quarter’s results which stood at RM3,240.4 million and RM320.1 million respectively. The continued low oil prices, weak ringgit and soft market sentiment had adversely affected the Group’s financial performance.

    The Automotive segment recorded a revenue of RM1,556.0 million in the first quarter of 2016, RM449.6 million or 22.4% lower compared to the previous year’s corresponding quarter. The segment continued to be negatively impacted by the weak ringgit and poor consumer sentiment. The segment closed the quarter with a lower profit before taxation of RM82.7 million.

    The Equipment segment achieved a revenue and profit before taxation in the first quarter of 2016 of RM358.0 million and RM39.2 million respectively. The segment’s revenue and profit before tax were lower by 45.2% and 60.5% compared to RM653.0 million and RM99.3 million, recorded in the corresponding period of 2015. The performance was largely affected by the weak market sentiment in the construction and mining sectors. The exceptionally better performance for the first quarter 2015 was due to forward purchases by customers prior to implementation of GST in April 2015 as well as higher demand for heavy equipment in Myanmar, following resumption of jade mining activities in Hpakant province in late 2014.

    The Oil & Gas segment recorded revenue and loss before taxation in the current quarter of RM87.7 million and RM68.4 million respectively. The segment’s poor performance was due to reduced time charter rates as well as soft demand for drilling services arising from continued low oil prices and reduced operating and capital expenditure from oil majors.

    The Manufacturing & Engineering segment recorded RM145.5 million revenue and RM6.6 million profit before taxation in the current quarter. The revenue was 15.0% lower compared to the same quarter of 2015, due to lower demand for lubricants and auto components products. However, the profit before taxation improved over the corresponding quarter of 2015 mainly from the automotive shock absorbers business. Successful disposal of the loss-making automotive components companies in India in November 2015 had also contributed to the segment’s better results.

    The Group expects a challenging year ahead with the weakening ringgit, uncertainties surrounding oil prices, soft market sentiment and intense competition from other automotive players in the industry. “The current gradual improvement in the oil prices provides prospects for potential recovery in the medium to long term but the near term volatility willl continue to pose challenges to the segment in 2016. However, the management will continue to implement cost cutting measures to mitigate the impact of the market volatility on the Group performance,” says Badrul Feisal bin Abdul Rahim, its President & Group CEO.



  • UMW HOLDINGS BERHAD CATAT HASIL RM2.2 BILION BAGI SUKU PERTAMA TAHUN 2016
    UMW HOLDINGS BERHAD CATAT HASIL RM2.2 BILION BAGI SUKU PERTAMA TAHUN 2016

    SHAH ALAM, 24 Mei 2016 - UMW Holdings Berhad merekodkan hasil sebanyak RM2,199.2 juta dan keuntungan sebelum cukai sebanyak RM21.1 juta bagi suku berakhir 31 Mac 2016. Hasil dan keuntungan sebelum cukai ini adalah 32.1% dan 93.4% lebih rendah dari suku yang sama tahun lepas yang menunjukkan hasil dan keuntungan sebanyak RM3,240.4 juta dan RM320.1 juta masing-masing. Harga minyak rendah yang berterusan, penyusutan mata wang Ringgit berbanding Dolar Amerika dan sentimen pasaran yang lemah telah menjejaskan prestasi kewangan Kumpulan UMW.

    Segmen automotif mencatatkan hasil sebanyak RM1,556.0 juta pada suku ini, RM449.6 juta atau 22.4% lebih rendah berbanding suku yang sama tahun lepas. Segmen ini terus terkesan dengan impak negatif oleh penyusutan mata wang Ringgit dan sentimen pengguna yang menurun. Segmen ini mengakhiri suku ini dengan keuntungan sebelum cukai yang lebih rendah sebanyak RM82.7 juta.

    Segmen jentera mencapai hasil dan keuntungan sebelum cukai bagi suku pertama 2016 sebanyak RM358.0 juta dan RM39.2 juta masing-masing. Hasil dan keuntungan sebelum cukai adalah 45.2% dan 60.5% lebih rendah berbanding RM653.0 juta dan RM99.3 juta yang direkodkan dalam suku yang sama tahun 2015. Prestasi segmen ini banyak dijejaskan oleh sentimen pasaran yang lemah dalam sektor pembangunan dan perlombongan. Prestasi yang luar biasa pada suku pertama 2015 adalah disebabkan oleh pembelian hadapan oleh pelanggan sebelum pelaksanaan GST pada April 2015 serta permintaan yang tinggi untuk jentera berat di Myanmar berikutan penerusan aktiviti perlombongan batu jed di daerah Hpakant pada akhir tahun 2014.

    Segmen minyak dan gas merekodkan hasil dan kerugian sebelum cukai pada suku pertama 2016 sebanyak RM87.7 juta dan RM68.4 juta masing-masing. Pencapaian yang kurang memuaskan ini disebabkan oleh kadar carter dan permintaan yang lebih rendah dalam servis penggerudian berikutan harga minyak rendah berterusan dan pengurangan perbelanjaan operasi dan modal oleh syarikat-syarikat gergasi minyak.

    Segmen pembuatan dan kejuruteraan mencatat hasil sebanyak RM145.5 juta dan keuntungan sebelum cukai sebanyak RM6.6 juta pada suku ini. Penurunan hasil sebanyak 15% adalah disebabkan oleh permintaan yang rendah untuk minyak pelincir dan komponen kenderaan. Walaubagaimanapun, keuntungan sebelum cukai menunjukkan peningkatan berbanding suku yang sama tahun 2015 disebabkan oleh perniagaan penyerap kejutan kenderaan. Pelupusan syarikat-syarikat komponen kenderaan di India yang mencatatkan kerugian pada November 2015 telah menyumbang kepada keputusan segmen yang lebih baik.

    Kumpulan UMW menjangkakan 2016 sebagai tahun yang mencabar dengan penyusutan ringgit, ketidaktentuan harga minyak, sentimen pasaran yang menurun dan saingan hebat dari syarikat-syarikat utama kenderaan dalam industri. Presiden dan Ketua Pengarah Eksekutif Kumpulan UMW, Encik Badrul Feisal bin Abdul Rahim berkata, “Peningkatan beransur harga minyak memberi prospek yang agak cerah dalam jangka masa panjang tetapi harga pasaran minyak semasa yang tidak menentu akan terus menjadi cabaran tahun ini bagi segmen ini. Bagaimanapun, pihak pengurusan akan terus melaksanakan langkah-langkah pengurangan kos supaya impak ketidaktentuan pasaran terhadap prestasi Kumpulan UMW dapat diringankan”.



  • INAUGURAL KEMBARA MSAM-UMW SETS OFF TO VISIT VILLAGES AROUND TAPAH
    INAUGURAL KEMBARA MSAM-UMW SETS OFF TO VISIT VILLAGES AROUND TAPAH

    TAPAH, 20 April 2016 - In conjunction with Malaysian Unit Trust Week (Minggu Saham Amanah Malaysia 2016), UMW Corporation Sdn Bhd has organised its inaugural Kembara MSAM-UMW 2016.

    The 10-vehicle convoy ferrying 30 UMW Community Champions (volunteers) will be travelling to four villages and one Maahad Tahfiz located approximately 20 kilometres from Tapah town.

    The ten four-wheel-drive vehicles were flagged off by Tan Sri Dato’ Sri Hamad Kama Piah bin Che Othman, President and Group Chief Executive of Permodalan Nasional Berhad and Encik Badrul Feisal bin Abdul Rahim, President and Group Chief Executive Officer of UMW Holdings Berhad.

    Kembara MSAM-UMW will be reaching out to Kampung Menderang, Kampung Orang Asli Bukit Terang, Kampung Kinjang, Kampung Orang Asli Rancangan Penempatan Semua Jernang and Maahad Tahfiz Al-Quran Al-Iman, where about 540 families will benefit from the programme.

    UMW Community Champions, which comprise SL1M trainees and UMW employees based in Shah Alam, will be distributing essential items like rice, cooking oil, flour and sugar to the villagers at their respective community centres. They will be going deep into the villages to personally deliver the items to those who are unable to be at the community centres due to illness or disability.

    A gotong-royong will be held at Maahad Tahfiz Al-Quran Al-Iman where the volunteers and students will together clean up the tahfiz school.

    This outreach programme is the seventh collaboration between UMW and Four Wheelers for Charity (4W4C) in an attempt to expand its community programmes.

    Four Wheelers for Charity (4W4C) is a neutral and independent non-governmental organisation whose humanitarian missions exclusively use 4-wheel-drive vehicles to reach out to far-flung places to help the community.

    This programme is part of UMW’s continuous support towards the underprivileged communities in the country under its community development pillar where UMW continues to champion many worthy causes under its three pillars, the other two being education and environment.



  • KEMBARA MSAM-UMW YANG PERTAMA MELAWAT KAMPUNG DI SEKITAR TAPAH
    KEMBARA MSAM-UMW YANG PERTAMA MELAWAT KAMPUNG DI SEKITAR TAPAH

    TAPAH, 20 April 2016 - Sempena Minggu Saham Amanah Malaysia 2016, UMW Corporation Sdn Bhd buat julung kalinya telah menganjurkan Kembara MSAM-UMW 2016.

    Sepuluh buah konvoi kenderaan pacuan empat roda yang membawa 30 orang sukarelawan UMW (UMW Community Champions) akan mengembara ke empat buah kampung dan sebuah Maahad Tahfiz yang berada dalam lingkungan 20 kilometer radius dari pekan Tapah.

    Konvoi kenderaan pacuan empat roda ini telah dilepaskan oleh Tan Sri Dato’ Sri Hamad Kama Piah bin Che Othman, Presiden dan Ketua Pegawai Eksekutif Kumpulan Permodalan Nasional Berhad dan Encik Badrul Feisal bin Abdul Rahim, Presiden dan Ketua Pegawai Eksekutif Kumpulan UMW Holdings Berhad.

    Kembara MSAM-UMW akan melawat Kampung Menderang, Kampung Orang Asli Bukit Terang, Kampung Kinjang, Kampung Orang Asli Rancangan Penempatan Semua Jernang dan Maahad Tahfiz Al-Quran Al-Iman, di mana lebih kurang 540 keluarga akan mendapat manfaat dari program ini.

    Sukarelawan UMW (UMW Community Champions) yang terdiri dari pelatih-pelatih SL1M dan pekerja-pekerja UMW dari Shah Alam akan mengagihkan barang keperluan harian seperti beras, minyak masak, gandum dan gula ke pusat-pusat komuniti kampung-kampung tersebut. Mereka juga akan turut pergi ke pelusuk kampung dan menghantar barang keperluan kepada mereka yang tidak dapat hadir ke pusat komuniti disebabkan keuzuran atau kurang keupayaan.

    Satu gotong-royong akan diadakan di Maahad Tahfiz Al-Quran Al-Iman di mana para sukarelawan dan pelajar maahad tersebut akan bersama-sama membersihkan persekitaran sekolah tahfiz itu.

    Kembara MSAM-UMW ini adalah kolaborasi ketujuh UMW dengan Four Wheelers for Charity (4W4C) dalam usaha untuk meluaskan program-program khidmat masyarakat seperti ini.

    Four Wheelers for Charity (4W4C) ialah sebuah pertubuhan bukan kerajaan yang menjalankan misi-misi kemanusiaan menggunakan kenderaan pacuan empat roda untuk pergi ke kawasan-kawasan pedalaman untuk membantu masyarakat yang memerlukan.

    Program ini adalah sebahagian dari sokongan berterusan UMW terhadap komuniti yang kurang bernasib baik di negara ini di bawah tunggak pembangunan komuniti di mana UMW terus melaksanakan pelbagai usaha murni di bawah tiga tunggak, dua lagi adalah tunggak pendidikan dan tunggak alam sekitar.



  • UMW EQUIPMENT LAUNCHES KOMATSU BACKHOE LOADER, SKID STEER LOADER AND COMPACT HYDRAULIC EXCAVATOR
    UMW EQUIPMENT LAUNCHES KOMATSU BACKHOE LOADER, SKID STEER LOADER AND COMPACT HYDRAULIC EXCAVATOR

    SHAH ALAM, 29 March 2016 - UMW Equipment Sdn. Bhd., a wholly-owned subsidiary of the UMW Group, today officially launched the WB93R-5E0 Komatsu Backhoe Loader, SK815-5E0 Skid Steer Loader and PC55MR-3 Compact Hydraulic Excavator to the Malaysian market.

    The new products were officially launched by Mr. Lee Chin Min, President, Equipment Division, UMW Corporation Sdn. Bhd. and Mr. Hisashi Shinozuka, President, Construction & Mining Equipment Marketing Division of Komatsu Ltd. at the UMW Complex in Shah Alam.

    Mr. Lee Chin Min in his speech said Komatsu’s policy is to maintain and enhance its tradition of “Quality and Reliability”. In this respect, he assured that Komatsu Backhoe Loaders, Skid Steer Loaders and Compact Hydraulic Excavators will provide the highest level of reliability, performance and durability required by its customers.

    Komatsu Backhoe Loaders, Skid Steer Loaders and Compact Hydraulic Excavators, produced by Komatsu Italia Manufacturing S.p.A and Komatsu Ltd., are state-of-the-art machines equipped with functions and features designed for speed, better turnaround and with high standards of safety and comfort.

    “The Komatsu backhoe loader has the highest horsepower in its class, the highest breakout force and the best lifting capacity. Its performance is akin to the Greek ancient hero, Hercules,” quips Mr Lee.

    With these three new products launched today, UMW is now able to offer the full range of Komatsu construction and mining equipment to the Malaysian market.

    “The three new products have solid track records of successful application for urban civil engineering work in Japan and European countries. I am confident that the products will demonstrate their strengths in UMW markets,” says Mr Hisashi Shinozuka while emphasising on Komatsu’s commitment in delivering quality products and services.

    Komatsu construction and mining equipment have featured prominently in Malaysia’s major projects such as the North-South Highway, East Coast Highway, Sungai Selangor Dam, Bintulu Airport, Kuala Lumpur International Airport, infrastructure development works for the Bakun Hydroelectric Dam, Electrified Double Track and PETRONAS RAPID Project.

    UMW Equipment Division which represents Komatsu Ltd. as its exclusive distributor covers the territories of Malaysia, Singapore, Brunei, Papua New Guinea and Republic of the Union of Myanmar with leadership positioning.

    UMW’s alliance with Komatsu stretches back to 1965. This partnership has withstood the numerous changes and challenges over five decades and is attributed to the common objective of Komatsu and UMW of producing and marketing a brand name that is synonymous with customer satisfaction.



  • UMW EQUIPMENT LANCAR KOMATSU BACKHOE LOADER, SKID STEER LOADER DAN COMPACT HYDRAULIC EXCAVATOR
    UMW EQUIPMENT LANCAR KOMATSU BACKHOE LOADER, SKID STEER LOADER DAN COMPACT HYDRAULIC EXCAVATOR

    SHAH ALAM, 29 Mac 2016 - UMW Equipment Sdn. Bhd., anak syarikat Kumpulan UMW, hari ini melancarkan Komatsu Backhoe Loader WB93R-5EO, Skid Steer Loader SK815-5EO dan Compact Hydraulic Excavator PC55MR-3 untuk pasaran tempatan.

    Jentera-jentera baru ini dilancarkan oleh Lee Chin Min, Presiden Bahagian Jentera UMW dan Hisashi Shinozuka, Presiden Bahagian Pemasaran Jentera Pembinaan & Pelombongan Komatsu Ltd. di Kompleks UMW di Shah Alam.

    Lee Chin Min berkata adalah polisi Komatsu untuk memelihara dan mempertingkatkan tradisi “Quality and Reliability”. Beliau menekanan bahawa jentera-jentera ini akan memberi keandalan, prestasi dan ketahanan pada tahap tertinggi.

    Komatsu Backhoe Loaders, Skid Steer Loaders dan Compact Hydraulic Excavators yang dikeluarkan oleh Komatsu Italia Manufacturing S.p.A dan Komatsu Ltd. adalah jentera-jentera terkini dengan fungsi dan ciri-ciri yang direka untuk kelajuan, masa pusing balik dengan piawaian yang tinggi dari segi aspek keselamatan dan keselesaan.

    “Komatsu Backhoe Loader ini mempunya kuasa kuda paling tinggi dalam kelasnya, daya pecah keluar tertinggi dan keupayaan angkutan terbaik dan kekuatannya umpama Hercules”, kata Lee Chin Min lagi.

    Dengan pelancaran tiga jentera ini, UMW berupaya untuk menawarkan pelbagai jenis jentera pembinaan dan perlombongan dalam pasaran Malaysia.

    “Ketiga-tiga jentera baru ini mempunyai rekod prestasi cemerlang dalam kerja-kerja kejuruteraan awam bandar di Jepun dan negara-negara Eropah. Saya yakin jentera-jentera ini akan mempamerkan kebolehan mereka dalam pasaran-pasaran UMW”, kata Hirashi Shinozuka sambil menekankan komitmen Komatsu dalam memberikan produk dan servis yang berkualiti.

    Penglibatan jentera pembinaan dan perlombongan Komatsu adalah ketara dalam projek-projek mega di Malaysia seperti Lebuhraya Utara-Selatan, Lebuhraya Pantai Timur, Empangan Sungai Selangor, Lapangan Terbang Bintulu, Lapangan Terbang Antarabangsa Kuala Lumpur, kerja-kerja pembinaan infrastruktur untuk Empangan Hidroelektrik, Landasan Berkembar Elektrik dan Projek RAPID Petronas.

    Bahagian Jentera UMW yang mewakili Komatsu Ltd. sebagai pengedar eksklusif mendahului pasaran yang merangkumi Malaysia, Singapura, Brunei, Papua New Guinea dan Myanmar.

    Usaha sama yang terjalin antara UMW dan Komatsu sejak tahun 1965 ini telah berjaya merintangi pelbagai cabaran dan perubahan dan kejayaan ini adalah hasil daripada perkongsian objektif yang sama oleh Komatsu dan UMW dalam mengeluarkan dan memasarkan jenama yang sinonim dengan kepuasan pengguna.



  • UMW HOLDINGS BERHAD CATAT PENINGKATAN PRESTASI DALAM SEGMEN AUTOMOTIF BAGI SUKU TERAKHIR TAHUN 2015; BAYAR DIVIDEN 10 SEN
    UMW HOLDINGS BERHAD CATAT PENINGKATAN PRESTASI DALAM SEGMEN AUTOMOTIF BAGI SUKU TERAKHIR TAHUN 2015; BAYAR DIVIDEN 10 SEN

    SHAH ALAM, 25 February 2016 - Hasil UMW Holdings Berhad sebanyak RM4,160.9 juta bagi suku keempat berakhir 31 December 2015 menunjukkan kenaikan 13.1% dari hasil yang dicatat dalam suku yang sama tahun 2014. Peningkatan prestasi segment automotif sebanyak 31.8% menyumbang kepada hasil yang lebih tinggi.

    Kumpulan UMW merekodkan kerugian sebelum cukai sebanyak RM334.3 juta pada suku ini walaupun mencatat kenaikan hasil. Kerugian sebelum cukai ini disebabkan oleh susut nilai aset dan hapus kira aset tidak ketara dalam segmen minyak dan gas bagi suku ini serta penyusutan mata wang Ringgit berbanding Dolar Amerika ("USD").

    Susut nilai asset dan hapus kira asset tidak ketara dalam segmen minyak dan gas telah memberikan impak negatif terhadap keputusan kumpulan bagi suku ini sebanyak RM337.7 juta. Penyusutan ringgit juga telah mengakibatkan kenaikan kos operasi sebanyak lebih dari RM300.0 juta pada suku ini.

    Segmen automotif mencatatkan hasil yang lebih tinggi sebanyak RM814.1 juta pada suku keempat 2015 berbanding dengan suku yang sama tahun 2014. Hasil yang lebih tinggi ini adalah disebabkan oleh sambutan positif terhadap kempen jualan akhir tahun yang agresif bersama dengan harga kereta yang dijangka meningkat pada tahun 2016.

    Walaubagaimanapun, segmen ini telah merekodkan keuntungan sebelum cukai yang lebih rendah sebanyak RM247.9 juta pada suku ini berbanding RM316.2 juta pada suku yang sama tahun 2014. Segmen ini telah dijejaskan oleh kelemahan ringgit berbanding USD.

    Segmen jentera mencatat hasil dan keuntungan sebelum cukai bagi suku keempat 2015 yang lebih rendah berbanding prestasi pada suku yang sama tahun 2014. Keputusan suku keempat 2014 adalah menggalakkan ekoran dari permintaan yang tinggi untuk jentera berat di Myanmar berikutan penerusan aktiviti perlombongan batu jed pada September 2014. Permintaan kembali ke paras normal pada tahun 2015.

    Hasil segmen minyak dan gas pada suku keempat 2015 sebanyak RM131.0 juta adalah 59.9% lebih rendah dari suku yang sama tahun lepas yang mencatatkan hasil sebanyak RM326.2 juta. Pengurangan hasil ini adalah disebabkan oleh kadar carter dan penggunaan rig yang lebih rendah pada suku ini.

    Kerugian sebelum cukai segmen minyak dan gas sebanyak RM411.3 juta pada suku ini adalah impak dari susut nilai aset dan hapus kira aset tidak ketara sebanyak RM337.7 juta dan kos menanggung tempoh tidak beroperasi beroperasi yang disebabkan oleh kelembapan pasaran minyak dan gas. Segmen ini mencatat kerugian sebanyak RM73.6 juta sebelum peruntukan hapus kira aset.

    Segmen pembuatan dan kejuruteraan mencatat hasil 4.8% lebih tinggi pada suku keempat 2015 berbanding suku yang sama tahun 2014. Peningkatan permintaan untuk pelincir dan menyumbang kepada hasil yang lebih tinggi.

    Sejajar dengan peningkatan hasil, keuntungan sebelum cukai adalah lebih baik pada suku yang sama. Kejayaan penjualan syarikat-syarikat komponen automotif di India yang mencatatkan kerugian pada November 2015 telah menyumbang kepada keputusan segmen yang lebih baik.

    Presiden dan Ketua Pengarah Eksekutif Kumpulan UMW, Encik Badrul Feisal bin Abdul Rahim berkata, "Tahun 2015 adalah tahun yang amat mencabar buat Kumpulan UMW. Banyak faktor luaran yang negatif menimpa kami dalam jangka waktu yang sama. Bagaimanapun, di sebalik semua cabaran ini, kumpulan UMW telah menandatangani perjanjian selama 25 tahun dengan opsyen sambungan 5 tahun oleh syarikat Rolls-Royce untuk membuat dan memasang selongsong kipas untuk enjin jet Rolls-Royce Trent 1000. Kami ingin meletakkan kedudukan kami dalam bidang pembuatan bernilai tinggi (high value manufacturing). Kami percaya projek selongsong kipas ini akan membolehkan UMW mengukuhkan keupayaan kejuruteraan kami dan membina platform yang teguh dalam penjanaan nilai masa depan kumpulan".

    Lembaga Pengarah telah mengisytiharkan dividen interim satu peringkat sebanyak 20% atau 10.0 sen bagi setiap syer RM0.50, menjadikan dividen bersih perlu dibayar hampir RM116.8 juta (2014 - 32% atau 16.0 sen bagi setiap syer RM0.50 sebanyak RM186.9 juta) bagi tahun berakhir 31 Disember 2015 yang akan dibayar pada 23 Mac 2016.

    Jumlah keseluruhan dividen satu peringkat bagi tahun kewangan berakhir 31 Disember 2015 adalah 40% atau 20.0 sen bagi setiap syer RM0.50, menjadikan jumlah dividen bersih hampir RM233.7 juta (2014 - 82% atau 41.0 sen bagi setiap syer RM0.50, menjadikan jumlah dividen bersih RM479.0 juta).



  • UMW HOLDINGS BERHAD RECORDS IMPROVED PERFORMANCE FROM AUTOMOTIVE SEGMENT IN THE FOURTH QUARTER OF 2015; PAYS 10 SEN DIVIDEND
    UMW HOLDINGS BERHAD RECORDS IMPROVED PERFORMANCE FROM AUTOMOTIVE SEGMENT IN THE FOURTH QUARTER OF 2015; PAYS 10 SEN DIVIDEND

    SHAH ALAM, 25 February 2016 - UMW Holdings Berhad's revenue of RM4,160.9 million recorded in the quarter ended 31 December 2015 was 13.1% higher than the revenue recorded in the same quarter of 2014. The improved performance from the automotive segment by 31.8% contributed to the higher revenue.

    The Group recorded a loss before taxation of RM334.3 million in the current quarter despite the higher revenue recorded. The loss before taxation was attributable to assets impairment in the Oil & Gas segment provided in the current quarter, as well as the weakening of ringgit against US dollar ("USD").

    The asset and goodwill impairment in the Oil & Gas segment had negatively impacted the Group's results for the quarter by RM337.7 million. The weakening ringgit had also resulted in a higher cost of sales of more than RM300.0 million for the quarter.

    The Automotive segment recorded a higher revenue by RM814.1 million in the fourth quarter of 2015 compared to the previous year's corresponding quarter. The higher revenue was due to positive response towards aggressive year-end sales campaigns coupled with the anticipated vehicle price increase in 2016. Nevertheless, the segment registered a lower profit before taxation of RM247.9 million for the quarter against RM316.2 million in the same quarter of 2014. The segment was adversely affected by the depreciating ringgit against the USD.

    The Equipment segment's revenue and profit before taxation in the fourth quarter of 2015 was lower than the performance in the same period of 2014. Fourth quarter 2014 performance was boosted by higher demand of heavy equipment in Myanmar following the resumption of jade mining activities in September 2014. The demand was subsequently normalised in 2015.

    The Oil & Gas segment's revenue in the current quarter of RM131.0 million was 59.9% lower than the previous year's corresponding quarter of RM326.2 million. Lower revenue was due to lower time charter rates and lower utilisation of some of the assets during the quarter. The segment recorded a loss before taxation of RM411.3 million for the fourth quarter, after taking into account asset and goodwill impairment amounting to RM337.7 million for the period.

    The loss before taxation was also attributable to costs incurred during the non-operational period when assets were not fully contracted as a result of the sluggish oil and gas market. The segment recorded a loss before taxation of RM73.6 million before provisioning for asset and goodwill impairment.

    The Manufacturing & Engineering segment recorded 4.8% higher revenue in the current quarter compared to the same quarter of 2014 due to higher demand for lubricants and absorbers. In line with the higher revenue, profit before taxation also improved over the corresponding quarter of 2014. Successful disposal of the loss-making automotive components companies in India in November 2015 had also attributed to the segment's better results.

    "2015 was a very challenging year for the UMW Group. Many negative external factors descending upon us at the same time, mainly the sluggish oil & gas market and the depreciating ringgit against USD, had adversely impacted the performance of the Group resulting in the significant drop in profitability. Despite that, we also had a major significant event last year. The UMW Group was awarded a 25+5 year contract by Rolls-Royce to manufacture and assemble fan cases for its Trent 1000 aero engines. We are positioning ourselves into the field of High Value Manufacturing. We believe that the fan case project will enable UMW to strengthen its engineering capabilities and establish a strong platform for delivering future value creation for the Group," says Badrul Feisal bin Abdul Rahim, its President & Group CEO.

    The Board declared an interim single-tier dividend of 20% or 10.0 sen per share of RM0.50 each, amounting to a net dividend payable of approximately RM116.8 million (2014 - 32% or 16.0 sen per share of RM0.50 each, amounting RM186.9 million) for the year ended 31st December 2015, to be paid on 23rd March 2016.

    The total single-tier dividend for the financial year ended 31st December 2015 would be 40% or 20.0 sen per share of RM0.50 each, amounting to a net dividend of approximately RM233.7 million (2014 - 82% or 41.0 sen per share of RM0.50 each, amounting to a net dividend of RM479.0 million).



  • UMW AEROSPACE ON COURSE TO DELIVER FIRST UNIT OF TRENT 1000 FAN CASE
    UMW AEROSPACE ON COURSE TO DELIVER FIRST UNIT OF TRENT 1000 FAN CASE

    SHAH ALAM, 18 February 2016 - UMW Aerospace has signed a 25-year agreement with an option for a 5-year extension with Rolls-Royce Plc in August 2015, to manufacture and assemble fan cases for Rolls-Royce's aero engines. Further to this agreement, UMW Aerospace Sdn. Bhd. has identified 30 acres of UMW land in Serendah, Selangor for the construction of its manufacturing plant to produce fan cases for Rolls-Royce's Trent 1000 and Trent 7000 aero engines. This facility shall act as the anchor tenant to UMW's proposed Aerospace Hard Metal Manufacturing Park in Serendah.

    UMW Aerospace has secured the required manufacturing license from Malaysian Investment Development Authority (MIDA) to start the production activity. The earthwork on site is progressing as planned and UMW is currently on course to deliver its first unit of Trent 1000 fan case aero engines to Rolls Royce's assembly facility in Seletar Aerospace Park, Singapore upon receipt of the first purchase order targeted for October 2017. The Trent 1000 engines power the Boeing 787 Dreamliner.

    Rolls-Royce's strategy to create a world-class, competitive global supply chain in the region coincides perfectly with Malaysia's plans to establish a strong aerospace industry, as envisaged by the National Aerospace Blueprint 2016-2030. The deal includes a manufacturing know-how and technology sharing programme with Rolls-Royce engineering team in the United Kingdom.

    To boost its capabilities, UMW will build a pre-production and technology development centre adjacent to UMW's fan case manufacturing facility in Serendah, Selangor. The pre-production facility will support UMW's innovation objectives by exploring future manufacturing processes and automation technologies.

    "Despite the current unfavourable economic conditions, we are positioning ourselves into the field of High Value Manufacturing. We believe that the fan case project will enable UMW to strengthen its engineering capabilities and establish a strong platform for delivering future value creation for the Group", said Badrul Feisal Abdul Rahim, President & Group CEO, UMW Holdings Berhad.

    UMW Aerospace, the first Malaysian-based company to become a Tier 1 supplier to Roll-Royce, will also manufacture the Trent 7000 fan case upon the commencement of the program. Trent 7000 is the seventh generation of the market-leading Trent family of civil large engines and is the exclusive engine for the Airbus A330neo.



  • UMW HOLDINGS BERHAD SERAH CEK TAJAAN PGM TOUR
    UMW HOLDINGS BERHAD SERAH CEK TAJAAN PGM TOUR

    RAWANG, 31 Januari 2016 - UMW Holdings Berhad (UMW) telah menyerahkan cek bernilai RM333,333.33 kepada Professional Golf of Malaysia (PGM) setelah berakhirnya Kejohanan Golf PGM-UMW Pro-Am di Templer Park Country Club yang menyaksikan penyertaan lebih dari 80 orang pemain golf profesional, korporat, agensi-agensi kerajaan dan wakil media.

    UMW mula menaja Kejohanan Golf PGM-UMW dari tahun 2011 sebanyak RM1 juta ringgit yang dibayar secara berkala sehingga tahun 2013. Penajaan itu disambung selama tiga tahun lagi bermula dari tahun 2014 sehingga tahun ini dengan jumlah yang sama di mana UMW menyerahkan cek sebanyak RM333,333.33 setiap tahun.

    Penajaan ini adalah salah satu sumbangan UMW sebagai sebuah badan korporat yang memainkan peranan mendukung aspirasi kerajaan dalam usaha menjadikan Malaysia sebuah negara bersukan. Bertitik tolak dari penajaan UMW, PGM Tour semakin berkembang dan telah melihat kemunculan beberapa bakat baru dalam arena sukan golf.



2015's News


  • UMW WRAPS UP 2015 CSR ACTIVITIES WITH THREE BACK TO SCHOOL PROGRAMME
    UMW WRAPS UP 2015 CSR ACTIVITIES WITH THREE BACK TO SCHOOL PROGRAMME

    SHAH ALAM, 23 December 2015 – UMW has visited three different states in November and December for its Back to School programme, the last of its CSR programmes for the year.

    600 students from Dabong, Kelantan; Gopeng, Perak; and Ulu Tembeling, Pahang were provided with basic school necessities for the coming school year, as part of the Back to School programme for the underprivileged community. Amongst the items distributed were school uniforms, school shoes, socks, backpacks and stationeries.

    UMW Back to School programme was held on 20 - 22 November in Dabong, Kelantan, 11 - 13 December in Gopeng, Perak and 18 - 20 December in Ulu Tembeling, Pahang. The majority of the recipients were victims of the flood disaster in late 2014.

    More than 60 UMW volunteers (UMW Community Champions) participated in the Back to School programme and besides the opportunity to give back to society, they also gained valuable insights into the lives of the less fortunate.

    As the locations of the recipients were not accessible by regular vehicles, UMW collaborated with Four Wheelers for Charity (4W4C) to assist in transporting the school items and volunteers by using 4WD vehicles to reach these rural areas. The collaboration with 4W4C is part of UMW's CSR strategy to expand its community reach.

    This programme is part of UMW’s continuous effort to support the community which is one of its three pillars; community, education and environment.



  • UMW NAMED ONE OF THE BEST COMPANIES TO WORK FOR IN ASIA
    UMW NAMED ONE OF THE BEST COMPANIES TO WORK FOR IN ASIA

    KUALA LUMPUR, 26 November 2015 – UMW Corporation Sdn. Bhd. has been named one of the Best Companies to Work for in Asia for the second consecutive year by HR Asia, Asia’s largest circulating publication for senior HR professionals. The event was jointly organised with its knowledge partner, MERCER.

    The award was received by Juliah Nik Jaafar, UMW’s Executive Director of Group Human Resource at the Intercontinental Hotel, Kuala Lumpur. It was jointly presented by Datuk Dr. Abu Bakar bin Mohamad Diah, Deputy Minister of Science, Technology & Innovation and Dato’ William Ng, Group Editor-In-Chief of Business Media International, the publisher of HR Asia.

    "This is one of the most scientific and extensive surveys on employee engagement and workplace practices in this region. Through the survey, HR Asia has discovered that many of these companies - both local and international - have workplace practices that are on par with the best in the world," said Dato' William Ng.

    The HR Asia Best Companies To Work For In Asia Award is more than just an award. It seeks to identify and reveal the best practices in the workplace and complements the companies’ current HR initiatives, employee surveys and feedback mechanism providing a truly independent view on how they are performing as employers.

    Online surveys were conducted amongst UMW’s eligible employees who met the selection requirements prior to the awards ceremony, followed by a site audit on 30 September 2015 which included a management presentation by Juliah Nik Jaafar, as well as inspection of supporting documentation.



  • UMW HOLDINGS BERHAD REGISTERS RM72 MILLION PROFIT BEFORE TAX FOR THE THIRD QUARTER OF 2015
    UMW HOLDINGS BERHAD REGISTERS RM72 MILLION PROFIT BEFORE TAX FOR THE THIRD QUARTER OF 2015

    SHAH ALAM, 26 November 2015 – UMW Holdings Berhad recorded revenue of RM3,533.2 million for the third quarter ended 30th September 2015, 4.6% lower than the RM3,702.5 million recorded in the same quarter of 2014, mainly due to lower performance of the Automotive and Oil & Gas segments.

    In line with the lower revenue, the Group generated a lower profit before taxation of RM72.2 million against RM430.3 million in the previous year’s corresponding quarter. Higher operating cost arising from the current economic situations has impacted the Group’s profitability. Consequently, lower net profit attributable to equity holders of the Company of RM13.5 million for the third quarter ended 30th September 2015 was recorded against RM197.0 million of the previous year’s corresponding quarter.

    The Automotive segment recorded a lower revenue of RM2,596.1 million for the third quarter of 2015 compared to RM2,643.4 million registered in the previous year’s corresponding quarter. The lower revenue was mainly due to the stiff competition following new model launches by other players in the market and weak consumer sentiments.

    Consequently, the segment registered a lower profit before taxation of RM113.4 million for the quarter against RM343.9 million in the same quarter of last year. The weakening of ringgit and higher campaign and promotion expenses had affected the current quarter’s profit for the segment.

    Equipment segment recorded a higher revenue of RM474.8 million for the third quarter of 2015, 9.2% in excess of RM434.8 million recorded in the same period of 2014. The increase was contributed mostly by the heavy equipment sub-segment attributable to the higher demand for equipment, parts and services especially from our business in Myanmar and Papua New Guinea. In tandem with the higher revenue, the segment reported higher profit before taxation of RM64.4 million against RM44.4 million recorded in the previous year’s corresponding quarter.

    The Oil & Gas segment’s revenue of RM212.7 million for the current quarter was 16.4% lower than the previous year’s corresponding quarter of RM254.3 million.

    The reduction in revenue was due to lower time charter rates and lower utilisation of some of the rigs in the third quarter of 2015. However, this was mitigated by additional full quarter revenue from the new rig which commenced operation in October 2014.

    Profit before taxation for the segment reduced from RM75.8 million in the third quarter of 2014 to RM11.5 million in the current quarter, parallel with the reduction in revenue. The profit was further weighed down by the additional operating expenses from the new offshore premium jack-up rig, UMW NAGA 7 which has not secured any contract during the reporting period.

    Manufacturing & Engineering segment recorded a slight improvement in revenue and profit before taxation for the current quarter of RM3.6 million and RM2.2 million, respectively. The slight improvement was attributable by an improvement in the lubricant business as well as cost cutting measures undertaken by companies within the segment. Higher forex gain from retranslation of the foreign currency denominated balances also contributed to the improved gain.



  • UMW GRANTT INTERNATIONAL SPONSORS BORNEO SAFARI SABAH
    UMW GRANTT INTERNATIONAL SPONSORS BORNEO SAFARI SABAH

    KOTA KINABALU, 25 October 2015 – UMW Grantt International Sdn. Bhd., the distributor of GRANTT lubricants, has joined South East Asia’s biggest extreme off-road event, Borneo Safari International Off Road Challenge (Borneo Safari) as the Platinum Sponsor.

    GRANTT's full range of lubricants include Passenger Car Motor Oil (PCMO), Motorcycle Oil (MCO), Diesel Engine Oil (DEO), Auto Transmission Fluid (ATF) and Industrial Oil.

    To commemorate this maiden partnership with Borneo Safari, UMW Grantt International has introduced a special limited edition product, the GRANTT Quasar Diesel Engine Oil 15W40 – CI 4 (7-litre pack). The company is confident that GRANTT will deliver excellent engine performance and protection in tough off-road driving conditions and this 1000km, 8-day challenge is a great platform to showcase its lubricant technology.

    Quasar Diesel Engine Oil by GRANTT is formulated with advanced American Lubricant Technology to deliver excellent engine performance and to protect engine wear, build up, corrosion and overheating even in the toughest driving conditions. It meets the latest lubrication technology for low emission engine fitted with Exhaust Gas Recirculation (EGR). The Borneo Safari corporate vehicles are powered by GRANTT Quasar Diesel Engine.

    This year marks the 25th edition of the annual Borneo Safari. 300 four-wheel-drive vehicles were flagged off by YAB Datuk Seri Musa Aman, the Chief Minister of Sabah at Sabah Tourism Board office.

    "We are honoured and excited to be part of the 25th Borneo Safari International Off Road Challenge, South East Asia's biggest extreme off-road event. We are confident that GRANTT Quasar SAE 15W-40 will deliver excellent engine performance and make a difference in this year's expedition. We are also pleased to see the participation of our Sabah and Sarawak distributors in this event", said Mohd Fariz bin Mohd Zain, General Manager, UMW Grantt International Sdn. Bhd.

    The Borneo Safari is not just about an expedition, it also aims to help the less fortunate members of our society. Borneo Safari’s charity drive this year focuses on villagers of Kampung Kolorok, Tenom where free basic medical check-ups and treatments will be provided. The participants will also be building world-standard steel goalposts at the football field in the village.

    To celebrate its inaugural partnership with Borneo Safari, an exclusive limited edition GRANTT multi-purpose knife will be offered to customers purchasing GRANTT Quasar Diesel Engine Oil throughout the months of October and November.



  • UMW REACHES OUT TO ORANG ASLI IN KUALA LIPIS
    UMW REACHES OUT TO ORANG ASLI IN KUALA LIPIS

    KUALA LIPIS, 16 October 2015 – UMW once again ventured into the woods to reach out to the community in need at Kampung Orang Asli Pos Titom, Pahang. The outreach programme aimed to provide medical support to the orang asli community and educate orang asli children on the importance of hygiene.

    The outreach programme was the second collaboration between UMW Corporation Sdn. Bhd. and Four Wheelers for Charity (4W4C) in an attempt to expand its community programmes to reach areas with limited access due to geographical locations. Two other organisations, Pusrawi International Collage of Medical Sciences (PICOMS) and Cooking for Homeless also participated in the programme.

    The team of 12-vehicle convoy ferrying the volunteers had to travel for more than 3 hours off-road in order to reach the base camp. During the first part of the programme, UMW's Community Champions (volunteers) and other volunteers had to hike for half an hour to reach the orang asli village. The volunteers then made door-to-door visits to provide basic medical support and check-ups to those in need, giving more focus on children and the elderly.

    The mobile clinic continued its services at night as they set up a booth in the community's school with the intention to reach out to as many residents as possible. The volunteers also held a 'kenduri' and organised 'wayang pacak' to attract the residents to the venue.

    Four Wheelers for Charity (4W4C) is a neutral and independent non-governmental organisation whose humanitarian missions exclusively use 4-wheel-drive vehicles to reach out to far-flung places to help the community.

    This programme is part of UMW's continuous effort to support the community which is one of its three pillars; community, education and environment.



  • UMW HOLDINGS BERHAD REGISTERS RM207.6 MILLION PROFIT BEFORE TAX FOR THE SECOND QUARTER OF 2015
    UMW HOLDINGS BERHAD REGISTERS RM207.6 MILLION PROFIT BEFORE TAX FOR THE SECOND QUARTER OF 2015

    SHAH ALAM, 26 August 2015 – UMW Holdings Berhad recorded revenue of RM3,485.3 million for the second quarter ended 30th June 2015, RM481.5 million or 12.1% lower that the RM3,966.8 million recorded in the same period of 2014. All business segments recorded lower revenue compared to the previous year’s corresponding quarter.

    In line with the lower revenue, the Group generated lower profit before taxation of RM207.6 million against RM422.1 million in the previous year’s corresponding quarter. Consequently, the Group recorded net profit attributable to equity holders of the Company for the second quarter ended 30th June 2015 of RM68.4 million against RM142.0 million recorded in the previous year’s corresponding quarter.

    The Automotive segment recorded revenue of RM2,732.7 million for the second quarter of 2015 compared to RM2,904.4 million registered in the previous year’s corresponding quarter. Toyota’s core vehicle models faced stiff competition from the new model launches by other players in the market.

    Consequently, the segment registered a lower profit before taxation of RM263.4 million for the quarter. The weakening of Ringgit Malaysia has also affected the profit for the segment unfavourably.

    Equipment segment’s revenue of RM353.6 million for the second quarter of 2015 was RM100.2 million or 22.1% lower than RM453.8 million recorded in the same period of 2014. Both heavy and industrial equipment sub-segments recorded lower revenue in the current quarter, attributable to the slower construction and mining sectors.

    Consequently, profit before taxation for the Equipment segment decreased to RM33.7 million from RM55.1 million recorded in the previous year’s corresponding quarter.

    The Oil & Gas segment’s revenue of RM183.4 million for current quarter was 23.2% or RM55.4 million lower than the previous year’s corresponding quarter of RM238.8 million.

    The reduction in revenue was the result of lower charter rates and lower utilisation of some of our assets in the second quarter of 2015.

    The lower revenue was mitigated by –

    • additional revenue contributions from our new assets, UMW GAIT 6, a hydraulic workover unit and UMW NAGA 6, a jack-up rig, which commenced operations in August 2014 and October 2014, respectively; and
    • translation gains from the appreciation of US Dollar against Ringgit Malaysia.

    Hence, profit before taxation of RM8.0 million recorded for the current quarter was lower compared to RM66.2 million reported in the previous year’s corresponding quarter. The decrease in profit performance was mainly due to the lower revenue and the additional operating expenses from UMW NAGA 7 which has yet to secure a contract.

    Manufacturing & Engineering segment recorded lower revenue and profit before taxation for the current quarter of RM165.4 million and RM0.4 million respectively. The lower contribution was attributed to lower sales by the auto component manufacturers especially for 4-wheeler products.

    The Board has declared an interim single-tier dividend of 20% or 10 sen (2014 - 20% or 10 sen) per share of RM0.50 each amounting to a net dividend payable of approximately RM116.8 million (2014 – RM116.8 million) for the year ending 31 December 2015, to be paid on 8 October 2015.



  • UMW SIGNS LONG-TERM MANUFACTURING CONTRACT WITH ROLLS-ROYCE FOR AERO ENGINE FAN CASES
    UMW SIGNS LONG-TERM MANUFACTURING CONTRACT WITH ROLLS-ROYCE FOR AERO ENGINE FAN CASES

    MALAYSIA, PUTRAJAYA, 12 August 2015 – UMW M&E Sdn. Bhd. and its wholly-owned subsidiary, UMW Aerospace Sdn. Bhd. have signed a 25 year agreement with Rolls-Royce Plc to manufacture and assemble fan cases for Rolls-Royce’s Trent 1000 aero engines.

    The deal is part of Rolls-Royce’s strategy to create a world-class, competitive global supply chain that is closer to customers in growth regions. In 2012, Rolls-Royce opened a 65,000 sq metre facility at the Seletar Aerospace Park in Singapore. That facility manufactures fan blades and assembles and tests Rolls-Royce engines including the Trent 1000. Fan cases made under this agreement will be delivered to this facility.

    Rolls-Royce has been developing Southeast Asia as a supply hub over a number of years and this agreement is the result of Rolls-Royce’s commitment to the region and demonstrates the positive impact the Seletar facility has made on growth in aerospace capability in Malaysia and the rest of the region.

    The agreement was signed by Mark Prockter, Rolls-Royce, Supply Chain Development Executive, Compressor Components and Megat Shahrul Azmir, Executive Director, UMW Manufacturing & Engineering Division, in the presence of Y.A.B. Dato’ Sri Mohd Najib bin Tun Haji Abdul Razak, the Prime Minister of Malaysia.

    UMW’s expansion into the aviation industry is a significant step for the conglomerate and it will be the first company in Malaysia to become a Tier 1 supplier to Rolls-Royce. Aircraft manufacturers require strong lean manufacturing competency in order to handle increasing volumes of production and UMW has existing capabilities that can be adapted to the aerospace industry.

    The fan case project will also allow UMW to migrate from labour intensive manufacturing to high value manufacturing. It will also see UMW reposition its core competencies, embarking upon precision machining and assembly of crucial aerospace components. As part of establishing capability, UMW will put in place a pre-production and technology development centre that will work on future manufacturing technologies to drive competitiveness and increased manufacturing capability, such as automation and machining technology. An engine fan case consists of approximately 4,000 components and it is one of the largest part of the engine.

    The deal also represents a significant success for Malaysia’s plans to establish a strong aerospace industry, as envisaged by the national Aerospace Blueprint 2016-2030. Component manufacturing is one of the four key Aerospace areas that the Government of Malaysia has identified as being key to driving the growth of the industry and bringing social wellbeing to the country, under the Economic Transformation Programme.

    The Trent 1000 powers the Boeing 787 Dreamliner and the engine has reached over a million flying hours since entry into service in October 2011. Rolls-Royce powered the very first Boeing 787 test flight in December 2009; the first 787-8 to enter service in October 2011, with All Nippon Airlines of Japan; and the first 787-9 to enter service, in 2014 with Air New Zealand. In the last five years the Trent 1000 has been selected in more than 60 per cent of engine competitions for the aircraft.

    "The UMW team, as you can imagine, is greatly excited by the enormous prospects that this project offers. It heralds an exciting new chapter for the UMW Group. Our relationship with Rolls-Royce will commence with a 25 year contract to manufacture fan cases for Rolls-Royce’s Trent 1000 aero engines. The UMW Group’s prime intention would be to establish Malaysia as a formidable aerospace engine parts manufacturing force in the region", said Tan Sri Asmat bin Kamaludin, UMW Holdings Berhad Group Chairman.

    Tony Wood, Rolls-Royce, President – Aerospace said: "Rolls-Royce has embarked upon a multi-year transformation of our industrial base, creating a world-class, competitive global supply chain. With its commitment to creating a successful Aerospace industry, Malaysia was an ideal country in which to look for manufacturing partners. We are pleased to welcome UMW as a new supply chain partner and look forward to a long and successful relationship with them."

    To ensure the success of this project, it is imperative to have a highly-skilled work force. Hence, UMW and MARA will come together for the establishment of an apprentice training centre. The centre will ensure availability of specific technical skillsets in aerospace hard metal machining. It will also act as a training platform for machining of hard metals prior to the launch of the manufacturing plant.

    "MARA is keen to partner with UMW for the establishment of an apprentice training centre, which will include a pre-production facility that meets Rolls-Royce's specifications. Through our subsidiary company, MARA Aerospace and Technologies Sdn. Bhd. (M-AeroTech), we will utilise German Malaysian Institute's capabilities in production technology to ramp up the capability to manufacture fan case. This project marks another milestone for Asia Aerospace City's human capital offering, ensuring business sustainability for investors to our very own aerospace hub in South East Asia", said Datuk Ibrahim Ahmad, Director General of MARA on the contract between UMW and Rolls-Royce.



  • UMW INDUSTRIES CELEBRATES GOLDEN JUBILEE WITH NEW BUILDING
    UMW INDUSTRIES CELEBRATES GOLDEN JUBILEE WITH NEW BUILDING

    SHAH ALAM, 4 August 2015 – In conjunction with its Golden Jubilee celebrations, UMW Industries (1985) Sdn. Bhd., a wholly-owned subsidiary in the UMW Group, officially opened its new building today to cater to its growing business and to better serve its customers. UMW Industries specialises in material handling and industrial floor cleaning equipment. The opening of the new building was officiated by UMW Group Chairman, Tan Sri Asmat Kamaludin.

    This year sees UMW Industries celebrating 50 years of successful relationship with Toyota Industries Corporation (TICO), Japan since it was awarded the distribution rights for Toyota industrial equipment in 1965. The company currently distributes the full range of indoor and outdoor palletized material handling equipment manufactured by TICO, the world No. 1 material handling company - Toyota forklifts, BT indoor trucks from Sweden and Raymond warehouse trucks from USA. UMW Industries holds more than fifty percent market share in Malaysia’s material handling equipment business. It is the sole recipient of Toyota Diamond Club Membership in 2008, 2012 and 2014 awarded by TICO. This award is presented to the distributor who has achieved sales of at least 2,000 units annually and commands 50% or more market share in its territory.

    Other than material handling equipment, UMW Industries also distributes leading brands in the world – Tennant industrial floor cleaning equipment for both indoor and outdoor from the US, related after-market products like Tokai and Aichi premium solid tyres, Trelleborg industrial & off the road tyres and GS Yuasa traction batteries & charges.

    The UMW Group holds distributorship for Toyota forklifts in Malaysia, Singapore, Brunei, Vietnam and China (Shanghai and Zhejiang). Currently the company ranks among the top 3 distributors for Toyota material handling equipment in the world.

    The four-storey modern building, with a 500-square-metre showroom displaying products carried by UMW Industries, is located adjacent to other UMW buildings along Jalan Utas. Its state-of-the-art Material Handling and Technical Training Centre is located on the ground floor. The new 750 square metres centre can accommodate live demonstrations of the various equipment and warehouse racking systems - including Very Narrow Aisles or VNA, Push-Back, Deep Reach, Selective and Drive-in. It is the only facility of its kind in ASEAN.

    In addition, this Training Centre will be used as TICO’s regional training centre for Toyota and BT products and the Sistem Latihan Dual Nasional (SLDN) training programmes. SLDN programme is a collaboration between UMW and Ministry of Human Resources under the arm of Jabatan Pembangunan Kemahiran focusing on the apprenticeship and coaching methods to develop highly skilled mechanics from the ground up, and up-skill our existing workforce.

    UMW Industries, as the market leader in Malaysia, plays an important role to promote safety awareness amongst forklift users. The company, OHSAS 18001-certified, is the pioneer in forklift operators’ training programmes in South East Asia. Its forklift operators’ training programmes are certified under Human Resources Development Fund (Pembagunan Sumber Manusia Berhad). UMW Industries’ overseas-trained trainers have trained more than sixty thousand forklift operators.

    The new building, costing more than RM20 million, commenced construction in November 2012 and obtained its Certificate of Completion and Compliance in October 2014.

  • UMW BRINGS RAMADHAN HAPPINESS TO RUMAH AMAN CHILDREN
    UMW BRINGS RAMADHAN HAPPINESS TO RUMAH AMAN CHILDREN

    KLANG, 4 July 2015 – As part of UMW’s effort to support the community, 54 underprivileged children from Rumah Aman in Sungai Buloh were treated to Hari Raya shopping outing. The children, who were given RM250 voucher each, were accompanied by 45 UMW employees (UMW Community Champions) when they shopped at AEON Bukit Raja.

    This is an annual event organised by UMW in conjunction with the holy month of Ramadhan as part of its effort to enable the less fortunate to celebrate festive seasons. Most of them, aged between 3 to 16 years old, chose clothing items like casual shirts and jeans as well as shoes for themselves.

    After the shopping trip, the children returned to Rumah Aman with UMW employees, who joined them for ‘buka puasa’. UMW Executive Director, Dr. Wafi Nazrin Abdul Hamid presented a cheque of RM10,000 as donation to Rumah Aman’s representative. In addition to the shopping voucher, the children were given ‘duit raya’ and goodie bags.

    This programme is part of UMW’s continuous support towards the underprivileged communities in the country under its community pillar where UMW continues to champion many worthy causes under its three pillars, the other two being education and environment.

  • REPSOL LUBRICANTS FESTIVE SEASON CAMPAIGN
    REPSOL LUBRICANTS FESTIVE SEASON CAMPAIGN

    SHAH ALAM, 2 July 2015 – UMW Lubricant International Sdn Bhd (UMW Lubricant), a subsidiary in the UMW Group, has launched Repsol End User Campaign in conjunction with the festive season. Purchases of Repsol lubricants will be accompanied with practical free gifts.

    For every purchase of Repsol fully synthetic oil, the Repsol Elite Evolution 5W50 (4 litres) and Repsol Elite Evolution Long Life 5W30 (4 litres), customers will bring home a Bodypac Sweet Dream Sleeping Bag. Customers who choose the semi-synthetic oil, Repsol Elite Formula Premium 10W40 (4 litres) and Repsol Elite Formula Premium 5W30 (4 litres) will get a Thermos Water Jug while those who purchase the mineral lubricants will receive a Bodypac Shoe Bag.

    The company hopes users will enjoy a smooth ‘balik kampung’ journey this festive season by choosing to use the performance-tested Repsol lubricants. Repsol’s involvement in the motor GP sports is a testament to its outstanding quality and already been proven by Champions.

    The simulator programme is based on the KLIA airport layout with different aircraft incidents or scenarios. It was jointly developed by Rosenbauer and its software partner with the assistance of MAHB and UMW.

    UMW Lubricant holds the exclusive franchise for Repsol lubricants in Malaysia since 2010.

    This offer is available at all participating Repsol dealers’ outlets nationwide. The promotion will run until 31st August 2015.

  • UMW Delivered 17 Rosenbauer Fire Fighting Vehicles to Malaysia Airports Holdings Berhad
    UMW Delivered 17 Rosenbauer Fire Fighting Vehicles to Malaysia Airports Holdings Berhad

    SEPANG, 5 June 2015 – UMW Equipment Sdn. Bhd., a company in the UMW Group, has delivered 17 units of Rosenbauer Panther Airport Fire Fighting Vehicles to Malaysia Airports Holdings Berhad (MAHB). These 17 fire fighting vehicles is the second phase of a fleet replacement programme that commenced in 2010. Phase one saw 21 vehicles being delivered since 2010.

    UMW Equipment also delivered a Rosenbauer Tactical Simulator which provides exposure on tactical elements that all machine operators as the key personnel in rescue and fire-fighting operations need to master. By using the simulator, they will be well-trained to ensure that they are able to carry out rescue operations safely and efficiently. Malaysia is the first country in ASEAN to invest in a tactical simulator.

    The Rosenbauer tactical simulator was developed by Rosenbauer (Austria) with their software partner specifically to simulate tactical operations in fire fighting using the Airport Fire Fighting Vehicles (the Rosenbauer Panther).

    The simulator programme is based on the KLIA airport layout with different aircraft incidents or scenarios. It was jointly developed by Rosenbauer and its software partner with the assistance of MAHB and UMW.

    A tactical simulator handling demonstration was held for the guests after the handover ceremony.

    Mr. Tan Chin Lam, Director of UMW’s Equipment Division, presented the mock key to MAHB Chairman, Tan Sri Dato' Sri Dr. Wan Abdul Aziz Wan Abdullah during a short ceremony at AFRS Station in Sepang

  • UMW Serah 17 Jentera Bomba ‘Rosenbauer’ Kepada Malaysia Airports Holdings Berhad
    UMW Serah 17 Jentera Bomba ‘Rosenbauer’ Kepada Malaysia Airports Holdings Berhad

    SEPANG, 5 Jun 2015 – Anak syarikat UMW Holdings Berhad, UMW Equipment Sdn. Bhd. telah menyerahkan 17 unit Rosenbauer Panther Airport Fire Fighting Vehicles kepada Malaysia Airports Holdings Berhad (MAHB). 17 jentera baru ini adalah fasa kedua penukaran jentera bomba secara berperingkat yang dilaksanakan oleh MAHB yang bermula pada tahun 2010. Sebanyak 21 jentera sudah diserahkan semenjak tahun 2010.

    UMW Equipment turut menyerahkan simulator taktikal yang dipanggil ‘Rosenbaeur Tactical Simulator’. Penggunaan teknologi simulator berkomputer ini akan memberikan pendedahan mengenai elemen-elemen taktikal yang perlu dikuasai oleh pengendali jentera yang merupakan nadi utama dalam operasi menyelamat dan memadam kebakaran. Pasukan Bomba dan Menyelamat Lapangan Terbang juga akan berupaya meningkatkan tahap kecekapan operasi menyelamat. Malaysia adalah negara ASEAN pertama yang melabur dalam simulator taktikal seperti ini.

    Simulator taktikal ini dihasilkan oleh Rosenbauer (Austria) bersama dengan sekutu perisiannya khusus untuk simulasi operasi taktikal memadam kebakaran menggunakan jentera bomba yang diberi gelaran ‘Rosenbauer Panther’.

    Program simulator itu dibina berdasarkan pelan Lapangan Terbang Antarabangsa Kuala Lumpur (KLIA) dengan pelbagai senario insiden kapal terbang. Program simulator ini dihasilkan oleh Rosenbaeur dan sekutu perisiannya dengan kerjasama MAHB dan UMW.

    Demonstrasi penggunaan simulator taktikal telah diadakan untuk para tetamu sejurus selepas malis penyerahan berlangsung.

    Pengarah UMW Bahagian Jentera, Encik Tan Chin Lam, menyerahkan replika kunci kepada Pengerusi MAHB, Tan Sri Dato' Sri Dr. Wan Abdul Aziz Wan Abdullah di majlis ringkas di Balai Bomba Utama KLIA.

  • UMW Employees Donated Blood to Pusat Darah Negara
    UMW Employees Donated Blood to Pusat Darah Negara

    SHAH ALAM, 1 June 2015 – UMW Corporation Sdn Bhd’s Group Human Resource Division has organised a blood donation drive at its auditorium today.

    This is the sixth time for UMW to organise a blood donation drive at its headquarters to encourage more employees to donate. As many as 54 employees participated in the blood donation drive to help increase the blood supply at Pusat Darah Negara.

    The blood donation drive’s objective is to encourage UMW staff to volunteer donating blood and create awareness amongst UMW staff on blood donation basics and its importance in saving lives. The Group Human Resource plans to make this blood donation drive an annual event and hopes more employees will be involved in the future and do their part for the society.

    Ten hampers were given out to early birds who came as early as 9.00 am. The blood donation drive ended at about 3.00 pm.

    About UMW

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses – Automotive, Equipment, Manufacturing & Engineering, and Oil & Gas.

    Adopting its rallying call – Beyond Boundaries®, UMW is set to play a leading role in shaping the future of its industries globally. The Company will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of all its stakeholders.

    For further information, please contact:-
    S Vikneshwaaran
    Head, Investor & Media Relations
    UMW Corporation Sdn. Bhd.
    +603 5163 5044 / +6019 850 5799
    vikneshwaran.s@umw.com.my

  • UMW Holdings Berhad Registers Rm320 Million Profit Before Tax For The First Quarter Of 2015
    UMW Holdings Berhad Registers Rm320 Million Profit Before Tax For The First Quarter Of 2015

    SHAH ALAM, 26 May 2015 – UMW Holdings Berhad recorded revenue of RM3,240.4 million for the first quarter ended 31st March 2015, RM343.0 million or 9.5% lower that the RM3,583.4 million recorded in the same period of 2014. The Group revenue was impacted by the lower performance of Automotive and Manufacturing & Engineering segments.

    In line with the lower revenue, the Group generated lower profit before taxation of RM320.0 million against RM479.4 million in the previous year’s corresponding quarter. Consequently, the Group recorded net profit attributable to equity holders of the Company for the first quarter ended 31st March 2015 of RM165.2 million against RM235.5 million recorded in the previous year’s corresponding quarter.

    The Automotive segment recorded revenue of RM2,005.6 million for the first quarter of 2015 compared to RM2,656.4 million registered in the previous corresponding period. Toyota core vehicle models faced stiff competition from the new model launches by other players in the market.

    Consequently, the segment registered a lower profit before taxation of RM233.5 million for the quarter. The weakening of Ringgit Malaysia has also unfavourably affected the profit for the segment.

    Equipment segment’s revenue of RM653.0 million for the first quarter of 2015 has outperformed its 2014 level of RM434.9 million by RM218.1 million or 50.1%. Both heavy and industrial equipment sub-segments contributed to the improved performance with an increase of 78.1% and 29.6% respectively. Locally, the improved revenue performance was attributable to higher demand for equipment, parts and services in anticipation of Goods and Services Tax implementation. For overseas operation, the resumption of the jade mining activities in Myanmar in September 2014 as well as tax incentive given by the authority on the purchase of equipment in Singapore contributed to the higher revenue.

    In line with the improved revenue, profit before taxation for the Equipment Segment increased to RM99.3 million from RM39.1 million recorded in the previous corresponding quarter.

    The Oil & Gas segment’s revenue of RM312.5 million for the current quarter was 59.8% or RM116.9 million higher than the previous year’s corresponding period of RM195.6 million.

    The improved revenue performance was attributable to the following –

    • Full contribution from UMW NAGA 5 and UMW NAGA 6 which commenced operations in May and October 2014, respectively;
    • Improved operating efficiency by UMW NAGA 2 and UMW NAGA 3; and
    • Additional revenue from hydraulic workover GAIT 3 and GAIT 6. GAIT 6 was not operating in the first quarter of 2014.

    Profit before taxation of RM42.5 million recorded for the current quarter was lower compared to RM58.3 million reported in the previous year’s corresponding quarter. Lower contributions from the drilling business mainly attributed to discounts on time charter rates given to existing clients in view of the significant drop in oil price, accounted for the profit reduction in the first quarter.

    The lower profit was also due to the termination of contract of UMW NAGA 7 with Frontier Oil Corporation (“FOC”). UMW NAGA 7 was ready for deployment in February 2015.

    Manufacturing & Engineering segment recorded a lower revenue and profit before taxation for the current quarter of RM171.1 million and RM1.8 million, respectively. Lower contribution was attributed to lower sales by the auto component manufacturers especially on the 4 wheelers products. The segment’s lower performance was however mitigated by better contribution from the lubricant business.

    For further information, please contact:-
    S Vikneshwaaran
    Head, Investor & Media Relations
    UMW Corporation Sdn. Bhd.
    +603 5163 5044 / +6019 850 5799
    vikneshwaran.s@umw.com.my

  • UMW Introduces Grantt Lubricants In Sarawak
    UMW Introduces Grantt Lubricants In Sarawak

    SIBU, 20 April 2015 – Following its successful launch in January, UMW Grantt International Sdn. Bhd. (UMWG), a wholly-owned subsidiary in the UMW Group today introduced its full range of newly-enhanced GRANTT Lubricants to Sarawak market in its aim to have nationwide presence. GRANTT is an in-house brand and it is fully blended at UMW’s ISO 9001:2008- certified plant in Shah Alam.

    Deputy Prime Minister Tan Sri Muhyiddin Yassin visited UMW’s booth at the Sibu Town Square after the Opening Ceremony of Minggu Saham Amanah Malaysia 2015 and signed a plaque to mark the occasion.

    GRANTT is formulated from premium-quality base oil with proprietary formulation to provide outstanding engine cleanliness for exceptional fuel efficiency, wear protection and performance. The full range of lubricants include Passenger Car Motor Oil (PCMO), Motorcycle Oil (MCO), Diesel Engine Oil (DEO), Auto Transmission Fluid (ATF) and Industrial Oil.

    The GRANTT PCMO (Passenger Car Motor Oil) Stellar range has been tested to meet the American Petroleum Institute’s API-SN requirements, as well as the stringent European Automobile Manufacturers Association ACEA A3/B4 standard. While Stellar is GRANTT’s PCMO range, its MCO and DEO range are respectively called Quadra and Quasar.

    GH Lube Sdn Bhd is Sarawak’s pioneer master distributor for GRANTT lubricants. With its extensive distribution network around Sarawak covering Kuching, Sibu, Sarikei, Bintulu, Mukah, Limbang, Seratok, Betong, Sri Aman and Miri UMWG believes that GRANTT Lubricants would reach consumers in Sarawak far and wide.

    For further information, please contact:-
    S Vikneshwaaran
    Head, Investor & Media Relations
    UMW Corporation Sdn. Bhd.
    +603 5163 5044 / +6019 850 5799
    vikneshwaran.s@umw.com.my

  • UMW Goes Off-road With Children From Pusat Jagaan Curahan Kasih Sayang Ikhwan
    UMW Goes Off-road With Children From Pusat Jagaan Curahan Kasih Sayang Ikhwan

    MARAN, 5 April 2015 – UMW brought joy to 15 children from Pusat Jagaan Curahan Kasih Sayang Ikhwan as they ventured together into the woods of Hutan Lipur Jerangkang, Pahang. The programme, which is a collaboration with 4 Wheelers for Charity (4W4C) aimed to educate the children on the beauty of nature by experiencing it themselves.

    For the first part of the programme, all volunteers from UMW and 4W4C worked together to build a new pipe from the river to the public toilet as the original pipe provided was destroyed by the flood. The volunteers then held a fun game session with the orphans in which the children played to their hearts’ content.

    After lunch, the volunteers proceeded to escort the children to Jerangkang Waterfalls, a 10- minute hiking journey from the base camp where the children and volunteers spent time playing in the water. The volunteers were then presented with a Qasidah performance by the children.

    Apart from that, the 4W4C team also took the chance to allow the children to experience the thrill of riding in a 4WD vehicles as they took the children on a drive across rivers and bumpy roads in the forest. The event ended on a happy note as all the volunteers accompanied the children back to their home in Temerloh, Pahang.

    4W4C is a non-government organisation that uses 4WD vehicles as a medium to help the community by doing charity work in areas that can only be reached by 4WD vehicles.

    This programme is part of UMW’s continuous effort to support the community which is one of its three pillars; community, education and environment.

    For further information, please contact:-
    S Vikneshwaaran
    Head, Investor & Media Relations
    UMW Corporation Sdn. Bhd.
    +603 5163 5044 / +6019 850 5799
    vikneshwaran.s@umw.com.my

  • UMW Holdings Berhad Records 12.9% Rise in Profit Before Taxation for 2014
    UMW Holdings Berhad Records 12.9% Rise in Profit Before Taxation for 2014

    SHAH ALAM, 26 February 2015 – UMW Holdings Berhad recorded a total revenue of RM14,958.9 million for the year ended 31st December 2014, 7.2% higher than the RM13,951.5 million recorded in the year 2013. The improved revenue was mainly contributed by the Automotive and Oil & Gas Segments.

    In line with the increase in revenue, the Group profit before taxation for the year ended 31st December 2014 increased to RM1,620.8 million from RM1,435.7 million registered in 2013, an increase of RM185.1 million or 12.9%.

    Consequently, the net profit attributable to equity holders of the Company increased to RM657.7 million from the RM652.9 million registered in 2013.

    The Automotive Segment contributed a higher revenue of RM10,777.7 million, an increase of RM754.7 million or 7.5% from the RM10,023.0 million registered in 2013. The improved revenue for the year was attributed by higher Toyota vehicle sales of 12.0% compared to the previous year.

    Market share for Toyota vehicles increased marginally to 15.5% in 2014 compared to 14.1% in 2013.

    In line with the higher revenue, the profit before taxation increased to RM1,472.2 million, an increase of RM58.7 million or 4.2% compared to RM1,413.5 million recorded in the previous year.

    The Equipment Segment recorded a revenue of RM1,769.1 million for the year ended 31st December 2014, an increase of RM63.6 million or 3.7% higher than RM1,705.5 million recorded in 2013.

    The higher revenue was attributed mainly to improved sales in the industrial equipment segment especially in the overseas operations. The uplift of suspension of the mining activities in Myanmar further contributed to the higher revenue.

    In line with the increase in revenue, profit before taxation for the segment increased by RM21.5 million or 11.0%, from RM195.8 million to RM217.3 million.

    The Oil & Gas Segment registered a higher revenue of RM1,016.3 million for the year ended 31st December 2014, a growth of RM278.5 million or 37.7% from RM737.8 million in 2013.

    The revenue improvement was attributed by the following:

    • Higher daily operating rates for NAGA 2 and NAGA 3;
    • Full year contribution from NAGA 4 which commenced operations in April 2013;
    • Additional contribution from NAGA 5 and NAGA 6, which commenced operations in May and October 2014, respectively;
    • Higher barge sales; and
    • Improved utilisation rate of GAIT 3.

    Consequently, profit before taxation increased to RM286.2 million in 2014 from RM206.8 million registered in 2013.

    The Manufacturing & Engineering Segment’s revenue for the year 2014 of RM724.3 million was marginally lower than RM735.5 million registered in 2013. This was due to stiff competition in the lubricant business and lower contributions from our local automotive component manufacturers in the Group.

    The segment reported a profit before taxation of RM15.7 million compared to a loss of RM39.2 million in the previous year. The improvement was due to:

    • Improved operating margin contribution from our lubricant business in China; and
    • No impairment of assets provided during the current year compared to the previous year.

    About UMW

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses – Automotive, Equipment, Manufacturing & Engineering, and Oil & Gas.

    Adopting its rallying call – Beyond Boundaries®, UMW is set to become a truly world-class organisation, knowing that a world class brand never forgets its responsibility to society. Corporate Social Responsibility (CSR) is something that the Company wants to do, not because it has to.

    For further information, please contact:-
    S Vikneshwaaran
    Head, Investor & Media Relations
    UMW Corporation Sdn. Bhd.
    +603 5163 5044 / +6019 850 5799
    vikneshwaran.s@umw.com.my

  • PGM-UMW ROAD TO OLYMPICS 2016 UMW sponsors RM1.77 million
    PGM-UMW ROAD TO OLYMPICS 2016
    UMW sponsors RM1.77 million

    Professional Golf of Malaysia (PGM), UMW Corporation Sdn. Bhd. (UMW) and MST Golf Management Sdn. Bhd. (MST) are pleased to announce the signing of a Tripartite Agreement for the “PGM-UMW Road to Olympics 2016” program which was held on the 9 February 2015 at the PNB Darby Park Executive Suites. The sponsorship amount of RM1,772,700 by UMW is to be spread throughout the duration of the program.

    The PGM-UMW Road to Olympics 2016’s program, the brainchild of the Chairman of PGM, YABhg Tun Ahmad Sarji bin Abdul Hamid, is to provide opportunity for Malaysian professional golfers with the Official World Golf Ranking (OWGR) points to participate in a support programme geared towards the development and preparation for Malaysian professional golfers to qualify and play in the Olympics 2016 in Rio de Janeiro, Brazil.  This comprehensive and holistic program is developed and promoted by PGM, with UMW as the Main Sponsor and MST as the facilitator to manage the development program.  Further information on the PGM-UMW Road to Olympics 2016 program is attached.

    At the same event, PGM and MST also signed an agreement to collaborate in ensuring the success of the PGM-UMW Road to Olympics 2016 program and the smooth execution of the Tripartite Agreement.  This was followed by the signing of Players’ Agreement between PGM, MST and each of the professional golfers who will be participating in the PGM-UMW Road to Olympic 2016 program.

    YABhg Tun Ahmad Sarji bin Abdul Hamid, the Chairman of PGM, said that the PGM-UMW Road to Olympics 2016 is part of the long-term strategy of PGM to elevate the standard of professional golf in Malaysia.  This program will make use of the current tournaments schedule in the PGM Tour Calendar 2015 and 2016, in particular the 12 tournaments jointly sanctioned with the Asian Development Tour (ADT) in the 2015 Calendar.

    “These jointly sanctioned tournaments with ADT have been granted OWGR points to the top six tournament winners. With the improved performance of Malaysian professional golfers in the recent PGM tournaments and having home advantage by playing in Malaysia, I believe our Pros should be able to collect enough points to qualify for the 2016 Olympics through the ADT events,” said Tun Ahmad Sarji bin Abdul Hamid.

    “However, we also need our Pros to be exposed to playing overseas and in bigger tournaments to collect the OWGR points. Hence, we provide the incentives to do so by reimbursing part of their overseas competitions expenses,” added YABhg Tun Ahmad Sarji.

    “We are proud to be able to organise about 67% of ADT tournaments in Malaysia this year. This will not only allow the Malaysian public to watch young and upcoming Pros playing, but will also bring in foreign visitors and promote the Malaysian golf industry”, YABhg Tun Ahmad Sarji further said.

    On the sponsorship of UMW, YABhg Tun Ahmad Sarji said “UMW has always been a strong supporter of PGM activities since we started our Tour in 2010. We really appreciate the trust and confidence that UMW given to PGM to date. We will ensure that PGM-UMW Road to Olympics 2016 will achieve its target and that we will be very transparent in implementing the program”.

    “For the 12 Malaysian Pros invited to be part of this program, I hope they will make full use of this program which has been properly plan so that they will be able to reach their full potential, and are flexible enough without disrupting their own training program. Of course, they should also be honoured to be associated with UMW as the main sponsor of the program”, YABhg Tun Ahmad Sarji added.

    YBhg Tan Sri Asmat bin Kamaluddin, the Chairman of UMW, said “We are proud to be invited to be the main sponsor of the PGM-UMW Road to Olympics 2016 program. I have seen the PGM Tour events grew since its inception and personally witnessed the improvement of some of our Pros and what is most heartening is to see the emergence of young Malaysian talents as a result of the PGM Tour tournaments”.

    “As a corporate body we believe that UMW has to play a part in promoting sports and support the government’s effort in promoting sports as a unifying factor and also to carry the Malaysian flag overseas. We hope that other corporate bodies would also contribute to other sports as part of elevating the Malaysian sports in general”, added YBhg Tan Sri Asmat.

    Mr Paul Gibbons, the director of MST, said “It is an honour for MST to be given the trust by PGM and UMW to carry out this program.  We have been involved in assisting PGM in its effort to uplift the standard of Malaysian professional golfers for the last few years through the PGM Peak Performance Golf Academy.  Thus, we share the same aspiration and will ensure the success of this program”.

    About UMW

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses – Automotive, Equipment, Manufacturing & Engineering, and Oil & Gas.

    Adopting its rallying call – Beyond Boundaries®, UMW is set to become a truly world-class organisation, knowing that a world class brand never forgets its responsibility to society. Corporate Social Responsibility (CSR) is something that the Company wants to do, not because it has to.

    For further information, please contact:-
    S Vikneshwaaran
    Head, Investor & Media Relations
    UMW Corporation Sdn. Bhd.
    +603 5163 5044 / +6019 850 5799
    vikneshwaran.s@umw.com.my

  • UMW Unveils Newly-Enhanced Grantt Lubricants
    UMW Unveils Newly-Enhanced Grantt Lubricants

    SHAH ALAM, 23 January 2015 - UMW Grantt International Sdn. Bhd. (UMWG), a wholly-owned subsidiary in the UMW Group, today introduced a full range of newly-enhanced GRANTT lubricants at its head office here. GRANTT is an in-house brand and it is fully blended at UMW's ISO 9001:2008-certified plant in Shah Alam.

    Datuk Dr. Nik Norzrul Thani bin Nik Hassan Thani, Chairman of UMW Manufacturing & Engineering Sdn Bhd, unveiled the complete range of newly-enhanced GRANTT lubricants, witnessed by Datuk Syed Hisham bin Syed Wazir, President & Group CEO of UMW Holdings Berhad. The full range of lubricants include Passenger Car Motor Oil (PCMO), Motorcycle Oil (MCO), Diesel Engine Oil (DEO), Auto Transmission Fluid (ATF) and Industrial Oil.

    GRANTT is formulated from premium-quality base oil with proprietary formulation to provide outstanding engine cleanliness for exceptional fuel efficiency, wear protection and performance.

    Megat Shahrul Azmir bin Nordin, Executive Director of UMW Manufacturing & Engineering Sdn. Bhd. in his speech said that, “The GRANTT PCMO (Passenger Car Motor Oil) Stellar range has been tested to meet the American Petroleum Institute’s API-SN requirements, as well as the stringent European Automobile Manufacturers Association ACEA A3/B4 standard.”

    “The GRANTT lubricants that we launch today are products that UMW is truly proud to endorse; and we are confident that GRANTT will be a product that customers will repeatedly turn to power their rides”, he added. While Stellar is GRANTT’s PCMO range, its MCO and DEO range are respectively called Quadra and Quasar.

    Pioneer master distributors from Peninsular Malaysia, Sabah and Sarawak were present at the launch ceremony to receive their certificates of appointment. UMWG aims to have a presence nationwide and is planning to give a strong focus on the export market covering the ASEAN region.

    Guests were later taken on a tour of the blending plant and the full-fledged product development laboratory where GRANTT lubricants are produced.

    About UMW

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses – Automotive, Equipment, Manufacturing & Engineering, and Oil & Gas.

    Adopting its rallying call – Beyond Boundaries®, UMW is set to become a truly world-class organisation, knowing that a world class brand never forgets its responsibility to society. Corporate Social Responsibility (CSR) is something that the Company wants to do, not because it has to.

    For further information, please contact:-
    S Vikneshwaaran
    Head, Investor & Media Relations
    UMW Corporation Sdn. Bhd.
    +603 5163 5044 / +6019 850 5799
    vikneshwaran.s@umw.com.my

  • UMW Corporation Contributes RM938,000 for Flood Relief
    UMW Corporation Contributes RM938,000 for Flood Relief

    SHAH ALAM, 8 January 2015 - In light of the worst flood since 1967 affecting several states in Malaysia, UMW Corporation Sdn. Bhd. has pledged a cash contribution of RM938,000 to help affected Malaysians who lost their belongings and homes.

    The total amount is split between corporate sponsorship to MERCY Malaysia’s Flood Relief Fund and zakat contribution.

    UMW President and Group CEO Datuk Syed Hisham Syed Wazir flagged off a team of 30 volunteers in eleven 4x4 vehicles to Kota Bharu earlier this morning. The volunteers, UMW Community Champions, will be working together with MERCY Malaysia in Kota Bharu in the operations to help clean up the town. They will be there until Sunday.

    Caring UMW staff have also donated approximately 3 tonnes of rice, canned food, biscuits, diapers and other essential items through a 3-day internal collection drive. All donated items have been delivered to Kelantan last week.

    About UMW

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses – Automotive, Equipment, Manufacturing & Engineering, and Oil & Gas.

    Adopting its rallying call – Beyond Boundaries®, UMW is set to become a truly world-class organisation, knowing that a world class brand never forgets its responsibility to society. Corporate Social Responsibility (CSR) is something that the Company wants to do, not because it has to.

    For further information, please contact:-
    S Vikneshwaaran
    Head, Investor & Media Relations
    UMW Corporation Sdn. Bhd.
    +603 5163 5044 / +6019 850 5799
    vikneshwaran.s@umw.com.my

2014's News


  • UMW Latih 20 Orang Perintis Sistem Latihan Dual Nasional
    UMW Latih 20 Orang Perintis Sistem Latihan Dual Nasional

    SHAH ALAM, 4 Disember 2014 – Timbalan Menteri Sumber Manusia, Ybhg Dato’Sri Haji Ismail Bin Haji Abd Muttalib menyampaikan Sijil Kemahiran Malaysia (SKM) Tahap 1 kepada seramai 20 perintis yang terpilih untuk menyertai program Sistem Latihan Dual Nasional (SLDN) di Auditorium UMW Corporation Sdn Bhd di sini hari ini.

    Program SLDN ialah satu tanggungjawab sosial korporat hasil kerjasama di antara UMW Corporation Sdn Bhd dengan Kementerian Sumber Manusia melalui Jabatan Pembangunan Kemahiran (JPK). Objektif utama program ini adalah untuk memberikan latihan vokasional kepada belia-belia yang keciciran di dalam peperiksaan Sijil Pelajaran Malaysia (SPM). Program ini bermula pada 1 April 2014 hingga 30 September 2014 dalam bidang Jentera Tolak Tanah. Belia yang terpilih dilatih di UMW Technical Akademy (UTAc) yang ditubuhkan pada tahun 2013 untuk menjalankan program SLDN ini.

    UMW menyokong penuh usaha Jabatan Perdana Menteri untuk menjalankan “Upward Mobility Scheme” (UMS) kerana ia menekankan kepada pembinaan keupayaan melalui pendidikan dan latihan kemahiran berkualiti tinggi.

  • UMW Holdings Berhad Records 75.2% Rise in Profit Before Taxation
    UMW Holdings Berhad Records 75.2% Rise in Profit Before Taxation

    Shah Alam, 26 November 2014 – UMW Holdings Berhad’s revenue improved from RM3,456.6 million recorded in the third quarter ended 30th September 2013 to RM3,702.5 million recorded in the same period of 2014, an increase of RM245.9 million or 7.1%. The improved revenue was mainly contributed by the Automotive and Oil & Gas segments.

    In tandem with the higher revenue, profit before taxation increased to RM430.3 million for the third quarter ended 30th September 2014 from RM245.6 million recorded in the same period of 2013.

    In line with the increased profit before taxation, net profit attributable to equity holders of the Company for the third quarter ended 30th September 2014 also increased to RM197.0 million from RM101.5 million registered in the previous year’s corresponding quarter.

    Automotive segment recorded a revenue of RM2,643.4 million in the third quarter of 2014, an increase of RM210.1 million or 8.6% higher than RM2,433.3 million registered in the third quarter of 2013. Toyota vehicle sales for the quarter increased by 19.3% compared to the same quarter of 2013, mainly contributed by the better sales of Vios and Altis.

    In line with the higher revenue, profit before taxation increased to RM343.9 million from RM294.9 million recorded in the corresponding quarter of 2013.

    The Equipment segment contributed a revenue of RM434.8 million during the third quarter of 2014, a marginal increase of RM24.0 million or 5.8% compared to RM410.8 million recorded in the same period of 2013. Higher revenue during the quarter was mainly contributed by the industrial equipment segment.

    Profit before taxation in the third quarter of 2014 of RM44.4 million was lower compared to RM55.6 million recorded in the previous corresponding quarter. The increase in profitability of the industrial equipment segment was not sufficient to cover the drop in the heavy equipment segment’s profitability that resulted from the continued suspension of mining activities in Myanmar and continued drop in commodity prices in Papua New Guinea.

    The Oil & Gas segment recorded a revenue of RM254.3 million for the third quarter of 2014, an increase of RM49.0 million or 23.9% compared to the RM205.3 million registered in the same quarter of 2013. Higher revenue contribution mainly from the Drilling Services segment, resulted in the revenue improvement in the third quarter of 2014. Overseas operations contributed approximately 64.0% of the segment’s revenue in the third quarter of 2014.

    The segment achieved a profit before taxation of RM75.9 million in the third quarter of 2014 compared to the RM54.5 million recorded in the corresponding quarter of 2013, an improvement of RM21.4 million or 39.3%. Higher profit contribution from the Drilling Services segment contributed to the profit improvement in the third quarter of 2014.

    The Manufacturing & Engineering segment’s revenue for the third quarter of 2014 of RM180.2 million was marginally lower than RM188.9 million recorded in the same quarter of 2013, mainly caused by lower contributions from the local automotive component manufacturers.

    The segment recorded a lower loss of RM1.5 million for the current quarter compared to a loss of RM31.1 million in the previous year’s corresponding quarter. Higher losses in the same quarter of 2013 was mainly due to impairment of assets made during the period.

    About UMW

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses – Automotive, Equipment, Manufacturing & Engineering, and Oil & Gas.

    Adopting its rallying call – Beyond Boundaries®, UMW is set to become a truly world-class organisation, knowing that a world class brand never forgets its responsibility to society. Corporate Social Responsibility (CSR) is something that the Company wants to do, not because it has to.

    For further information, please contact:-
    S Vikneshwaran
    Head, Investor & Media Relations
    UMW Corporation Sdn. Bhd.
    +603 5163 5044 / +6019 850 5799
    vikneshwaran.s@umw.com.my
  • UMW celebrates Kaizen
    UMW celebrates Kaizen

    Shah Alam, 20 October 2014 – Deputy Minister of the Ministry of International Trade and Industry (MITI), Datuk Ir. Hj. Hamim Samuri, today presented the Quality Environment/5S Certificates to representatives of all 45 locations in UMW that succeeded in the certification for another year. During the event held at the UMW Auditorium, he also presented the 5S Excellence Award and the Kobetsu Kaizen Award

    “It is commendable for UMW Corporation to address Continuous Improvement Programme as a strategic initiative to enhance operational performance. I hope UMW can share best practices achieved and lessons learnt from this initiative to vendors and other Small and Medium Enterprises, and inspire them to push for higher productivity” the Deputy Minister said in his speech.

    Continuous Improvement Programmme (CIP)

    Continuous Improvement Programme (CIP) is a strategic move that has been designed and implemented throughout the UMW Group of companies to heighten excellent work culture and generate benefits from various enhancement & improvement initiatives. CIP consists of 4 main programmes, namely, 5S, Kobetsu Kaizen, Total Productive Maintenance (TPM) and Lean Manufacturing, scheduled for completion within a 6-year time schedule.

    Since the launch of the programme in 2011, two model companies, UMW Industrial Power Sdn. Bhd. and UMW Oilpipe Services Sdn. Bhd. have implemented 5S activities. The objective of the 5S programme is not only to realise a conducive working environment, but also to reduce cost and to be recognised and certified by the Malaysian Productivity Corporation (MPC). UMW later made history in 2013 with a record of 45 locations certified with MPC QE/5S certification, the highest for any organisation in Malaysia.

    “The first initiative, 5S, has facilitated in maturing the platform of continuous improvement culture. The objective of 5S implementation last year was to create a territorial wave, gain foothold and create awareness on the benefits and positive impact of the 5S programme at UMW. This has made the field more conducive for the Kaizen programme to take place,” said Datuk Syed Hisham bin Syed Wazir, President & Group CEO, UMW Holdings Berhad during the award ceremony and Kobetsu Kaizen celebration.

    UMW plans to further expand and introduce the 5S programme to its other subsidiaries including their overseas operations in Singapore, Myanmar, Thailand, Vietnam and China. It also plans to increase the number of Kobetsu Kaizen groups from 78 currently to a minimum of 130 groups next year in order to gain more tangible benefits for the UMW Group.

    About UMW

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses – Automotive, Equipment, Manufacturing & Engineering, and Oil & Gas.

    Adopting its rallying call – Beyond Boundaries®, UMW is set to play a leading role in shaping the future of its industries globally. The Company will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of all its stakeholders.

    For further information, please contact:-
    S Vikneshwaran
    Head, Investor & Media Relations
    UMW Corporation Sdn. Bhd.
    +603 5163 5044 / +6019 850 5799
    vikneshwaran.s@umw.com.my
  • UMW Supports "Shah Alam Trees for Life"
    UMW Supports "Shah Alam Trees for Life"

    Shah Alam, 11 October 2014 - UMW Corporation Sdn. Bhd. contributed RM60,000 to MBSA’s “Shah Alam Trees For Life” programme on Saturday. In conjunction with the tree planting programme, UMW SL1M (Skim Latihan 1Malaysia) trainees also organised UMW Eco Run as part of their Corporate Social Responsibility (CSR) activities.

    Almost 1,000 participants comprising UMW employees, Lebuhraya Kemuning – Shah Alam (LKSA) staff, NGO members, students and members of the public started registering for the UMW Eco Run as early as 6.30am. Shah Alam Mayor, Dato’ Mohd Jaafar bin Mohd Atan together with UMW Holdings Berhad President & Group CEO, Datuk Syed Hisham Syed Wazir, flagged off the runners for the 5km fun run at the Alam Impian Toll Plaza.

    Volunteers arrived slightly later for the tree planting programme. Datuk Syed Hisham presented the mock cheque for RM60,000 to Dato’ Mohd Jaafar, who received it on behalf of MBSA. The contribution will enable MBSA to plant approximately 2,000 seedlings.

    After the cheque presentation, all participants were ferried to several locations nearby LKSA to plant the seedlings together with the guests of honour. About 2,000 seedlings were planted by the guests, volunteers and UMW Eco Run runners. Amongst the many seedlings planted were teak, shorea, clove, mangosteen, rambutan and guava.

    After all the trees were planted, guests were entertained by drumline performers, Voice of Percussion. The Instagram contest #umwecorun grand prize winner won a GoPro Hero3+ (Silver Edition) camera, while first and second runners-up bagged a digital camera and a polaroid camera respectively.

    Lucky draw winners went home with exciting prizes such as a folding bicycle, eco-friendly skincare product hampers and restaurant vouchers.

    This is UMW’s second year involvement in the MBSA’s “Shah Alam Trees For Life” environmental programme. It is part of UMW’s continuous support to environmental programmes in the country under its environment pillar where UMW continues to champion many worthy causes under its three pillars, the other two being community and education.


    About UMW

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses – Automotive, Equipment, Manufacturing & Engineering, and Oil & Gas.

    Adopting its rallying call – Beyond Boundaries®, UMW is set to play a leading role in shaping the future of its industries globally. The Company will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of all its stakeholders.

    For further information, please contact:-
    S Vikneshwaran
    Head, Investor & Media Relations
    UMW Corporation Sdn. Bhd.
    +603 5163 5044 / +6019 850 5799
    vikneshwaran.s@umw.com.my
  • UMW Brings Joy to Dyslexic Children in Aquaria KLCC
    UMW Brings Joy to Dyslexic Children in Aquaria KLCC

    Kuala Lumpur, 27 September 2014 - Sixty eight dyslexic children from Shah Alam and Subang Jaya centre of the Malaysian Dyslexia Association were treated to an outing in Aquaria KLCC last Saturday organised by UMW Corporation Sdn Bhd's Corporate Social Responsibility (CSR) Unit.

    The children were ferried to Aquaria KLCC, where they were guided by their ten teachers and accompanied by twenty eight UMW Community Champions (staff volunteers) through aquarium showcasing marine life from Malaysia and around the world.

    After one and half hours of fun exploring the underwater world, the whole group departed from Aquaria KLCC for lunch in Subang Parade. There, the Association was presented with a cash contribution of RM2,000 and all the children were given goodie bags.

    This programme is part of UMW’s continuous support to people with special needs in the country under its community pillar where UMW continues to champion many worthy causes under its three pillars, the other two being education and environment.


    About UMW

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses – Automotive, Equipment, Manufacturing & Engineering, and Oil & Gas.

    Adopting its rallying call – Beyond Boundaries®, UMW is set to play a leading role in shaping the future of its industries globally. The Company will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of all its stakeholders.

    For further information, please contact:-
    S Vikneshwaran
    Head, Investor & Media Relations
    UMW Corporation Sdn. Bhd.
    +603 5163 5044 / +6019 850 5799
    vikneshwaran.s@umw.com.my
  • UMW Registers Profit Before Tax of RM422 Million for 2Q14; Pays 10 Sen Dividend
    UMW Registers Profit Before Tax of RM422 Million for 2Q14; Pays 10 Sen Dividend

    Shah Alam, 27 August 2014 - UMW Holdings Berhad announced today that the Group revenue of RM3,966.8 million for the second quarter ended 30th June 2014 was RM467.6 million or 13.4% higher than the RM3,499.2 million recorded in the same period of 2013. The improved revenue was contributed by all business segments within the Group.

    Despite the higher revenue, a lower profit before taxation of RM422.1 million was recorded for the second quarter ended 30th June 2014 compared to RM443.2 million recorded in the same period of 2013. This was mainly due to the provision for the expected loss of RM93 million on the proposed disposal of investment in the automotive component companies in India.

    In line with the reduced profit before taxation, net profit attributable to equity holders of the Company for the second quarter ended 30th June 2014 also reduced to RM142.0 million from RM251.0 million registered in the previous year’s corresponding quarter.

    Automotive Segment

    Revenue for the Automotive Segment for the second quarter of 2014 of RM2,904.4 million increased by RM333.0 million or 13.0% from the RM2,571.4 million registered in the second quarter of 2013. Toyota vehicle sales for the quarter increased by 17.8% compared to the same quarter of 2013, mainly contributed by the increase in sales of Vios and Altis.

    In line with the higher revenue, profit before taxation in the second quarter of 2014 of RM408.5 million recorded an increase of RM50.4 million or 14.1% from RM358.1 million registered in the previous corresponding quarter.

    Equipment Segment

    The Equipment Segment recorded a revenue of RM453.8 million compared to RM444.2 million recorded in the same period of 2013.

    In line with the higher revenue, profit before taxation increased to RM55.1 million from RM51.9 million recorded in the corresponding quarter of 2013.

    Better contribution from the industrial equipment segment resulted in the higher revenue and profit before taxation.

    Oil & Gas Segment

    Revenue for the Oil & Gas Segment of RM238.8 million for the current quarter was higher than the same quarter of 2013 of RM167.8 million.

    The improved revenue in the current quarter was contributed by additional contribution from NAGA 5, which commenced operations in May 2014.

    However, profit before taxation of RM66.2 million in the second quarter of 2014 was lower than the corresponding quarter in 2013 of RM75.8 million. The higher profit before taxation in 2013 was due to the one-off contribution from the sale of property by one of the subsidiaries of approximately RM30.0 million.

    Manufacturing & Engineering Segment

    The Manufacturing & Engineering Segment’s revenue for the current quarter of RM188.9 million was marginally higher than that of the same quarter in 2013.

    The segment recorded a profit of RM11.9 million for the current quarter compared to a loss of RM2.5 million in the previous corresponding quarter. This was mainly due to the foreign exchange gain on the retranslation of the USD loans by the subsidiaries in India following the strengthening of the Indian Rupee against USD.

    The Board declared an interim single-tier dividend of 20% or 10.0 sen (2013 - 20% or 10.0 sen) per share of RM0.50 each, amounting to a net dividend payable of approximately RM116.8 million (2013 - RM116.8 million) for the year ending 31st December 2014, to be paid on 8th October 2014.


    About UMW

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses – Automotive, Equipment, Manufacturing & Engineering, and Oil & Gas.

    Adopting its rallying call – Beyond Boundaries®, UMW is set to play a leading role in shaping the future of its industries globally. The Company will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of all its stakeholders.

    For further information, please contact:-
    S Vikneshwaran
    Head, Investor & Media Relations
    UMW Corporation Sdn. Bhd.
    +603 5163 5044 / +6019 850 5799
    vikneshwaran.s@umw.com.my
  • UMW Secures RM200 Million Contract in Myanmar
    UMW Secures RM200 Million Contract in Myanmar

    Shah Alam, 22 August 2014 - UMW Engineering Services Limited, Myanmar, a unit in the UMW Group, has successfully secured contracts worth RM200 million to supply more than 60 units of Komatsu equipment in Myanmar. The contracts are from its three major customers in Myanmar involved in the jade mining industry in Hpakant, located about 350km north of Mandalay, Myanmar’s second-largest city. Hpakant is the source of the world’s highest quality jade. The delivery of the Komatsu equipment is expected to commence from October this year.

    Myanmar is a country rich in jade and gems, oil, natural gas and other mineral resources. The jade and gems sector sales revenue amounting to USD3.4 billion was generated at the recently-concluded 51st Annual Jade and Gems Emporium held in Naypitaw, Myanmar.

    Jade-mining activities in Myanmar were suspended in May 2012 due to security reasons. The government announced recently that the suspension will be lifted effective 1 September 2014. The resumption of the mining activities will offer growth potential and UMW Group is confident of securing more orders for Komatsu equipment in Myanmar.

    The UMW Group was awarded the Komatsu heavy equipment distributorship in 1965. The Group has exclusive franchise in Malaysia, Singapore, Myanmar and Papua New Guinea. It established market presence in Myanmar in 1999 and currently has four branches there.


    About UMW

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses – Automotive, Equipment, Manufacturing & Engineering, and Oil & Gas.

    Adopting its rallying call – Beyond Boundaries®, UMW is set to play a leading role in shaping the future of its industries globally. The Company will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of all its stakeholders.

    For further information, please contact:-
    S Vikneshwaran
    Head, Investor & Media Relations
    UMW Corporation Sdn. Bhd.
    +603 5163 5044 / +6019 850 5799
    vikneshwaran.s@umw.com.my
  • UMW Spreads Ramadan Joy
    UMW Spreads Ramadan Joy

    Shah Alam, 17 July 2014 - In conjunction with the holy month of Ramadan, UMW gave a special treat to the children from Rumah Amal Al Firdaus in Denai Alam, Shah Alam. 44 children from the home, accompanied by UMW staff, were first brought to a mall in Bukit Tinggi, Klang for their Hari Raya shopping. Each child was given RM250 to purchase items of their choice for the upcoming festival. After their shopping trip, the children were treated with a ‘buka puasa’ event with senior management and staff of the UMW Group.

    UMW President & Group CEO, Datuk Syed Hisham Syed Wazir said, “Through this annual event, we hope to give back to the community and spread Aidilfitri joy among deserving children”. During the event, Datuk Syed Hisham presented a cash contribution of RM5,000 to Rumah Amal Al Firdaus. He also distributed “duit raya” along with goodie bags to children from the home.

    The UMW Group has a long history of supporting a number of non-profit and non-political organisations through its community programmes. The Group’s Corporate Social Responsibility (CSR) strategy is comprehensive and goes beyond just funding charitable projects, benchmarking against international best practices in the marketplace, the workplace, the environment and the community.


    About UMW

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses – Automotive, Equipment, Manufacturing & Engineering, and Oil & Gas.

    Adopting its rallying call – Beyond Boundaries®, UMW is set to play a leading role in shaping the future of its industries globally. The Company will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of all its stakeholders.

    For further information, please contact:-
    S Vikneshwaran
    Head, Investor & Media Relations
    UMW Corporation Sdn. Bhd.
    +603 5163 5044 / +6019 850 5799
    vikneshwaran.s@umw.com.my
  • UMW Pays RM14.7 Million in Zakat For 2013
    UMW Pays RM14.7 Million in Zakat For 2013

    Shah Alam, 30 June 2014 - In discharging its duties as a good corporate citizen, the UMW Group paid a corporate zakat of RM14,786,905 to Lembaga Zakat Selangor, a body under Majlis Agama Islam Selangor (MAIS). The payment was for the assessment year 2013. A cheque for the amount was presented to Sultan Sharafuddin Idris Shah, the Sultan of Selangor by UMW Group Chairman, Tan Sri Asmat Kamaludin at Masjid Sultan Salahuddin Abdul Aziz Shah, Shah Alam.

    UMW, with Permodalan Nasional Berhad (PNB) as the majority shareholder, is considered a Bumiputra company where the majority of its employees are Muslims, thus the obligation for the company to pay zakat. The payment of zakat is practiced by a number of companies under the PNB Group as well as other Government-linked Companies (GLCs).

    The guidelines of Lembaga Zakat Selangor allow a payee company to utilise a maximum of 3/8 or 37.5% of its zakat for distribution to the underprivileged in accordance to the shariah. UMW will use some of the funds for its CSR activities.

    The obligation to pay zakat is based on the clear and undisputed order in the Quran, Hadith and the consensus of shariah scholars. The word zakat itself means purification and growth.


    About UMW

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses – Automotive, Equipment, Manufacturing & Engineering, and Oil & Gas.

    Adopting its rallying call – Beyond Boundaries®, UMW is set to play a leading role in shaping the future of its industries globally. The Company will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of all its stakeholders.

    For further information, please contact:-
    S Vikneshwaran
    Head, Investor & Media Relations
    UMW Corporation Sdn. Bhd.
    +603 5163 5044 / +6019 850 5799
    vikneshwaran.s@umw.com.my
  • UMW Renews Partnership With MERCY Malaysia Contributes RM436,000 for 2014
    UMW Renews Partnership With MERCY Malaysia Contributes RM436,000 for 2014

    Shah Alam, 20 June 2014 - The UMW Group today announced the renewal of its existing partnership with MERCY Malaysia. The partnership has seen UMW provide over RM2.2 million in funds, including the supply of 5 vehicles – 3 Toyota Hilux, 1 Toyota Hiace and 1 Toyota Innova. Since 2009, the Group has also been providing manpower support through its staff volunteer initiative to MERCY Malaysia’s programmes, particularly for the rural and vulnerable communities in Sabah, Sarawak and Johor. To commemorate this occasion, a signing ceremony between UMW and MERCY Malaysia was held at UMW’s corporate headquarters in Shah Alam. Datuk Dr. Ahmad Faizal bin Mohd Perdaus, President, MERCY Malaysia and Datuk Syed Hisham bin Syed Wazir, President & Group CEO, UMW Corporation Sdn. Bhd. officiated the ceremony.

    For 2014, the UMW Group has allocated a budget of RM436,455.00 to MERCY Malaysia. The grant will be used to fund activities which include 6 Outreach Clinics for the indigenous community in the rural areas of Sabah and 4 Outreach Clinics in the rural areas of Sarawak. Activities typically carried out at UMW-MERCY Malaysia Outreach Clinics include dental treatment, basic health screening and treatment, eye care, pap smear, talks on basic hygiene and reproductive health, referral cases involving hypertension, diabetes and heart ailments, and fire disaster risk reduction programme. Other programmes include Medical and Nature Expeditions, IGAM seminars and, disaster and emergency relief. To-date, about 18,600 people have benefitted from the programmes jointly organised by UMW and MERCY Malaysia.

    “This brings UMW’s total financial contribution to MERCY Malaysia, over the course of six years, to more than RM2.6 million. On UMW’s part, we don’t see this amount as a sponsorship or donation - it’s all part of an investment towards a better, safer, healthier and happier society. And that type of return, is priceless to say the least”, said Datuk Syed Hisham at the signing ceremony.

    As an extension of UMW’s CSR efforts, its employee-volunteer programme known as the UMW Community Champions have clocked nearly 16,688 hours in service to the community and is confident of achieving an additional 5,500 hours by the end of 2014. Selected Community Champions have undergone training programmes with MERCY Malaysia and have gone on to participate in various MERCY Malaysia activities around the country.

    Background on UMW

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses – Automotive, Equipment, Manufacturing & Engineering, and Oil & Gas.

    Adopting its rallying call - Beyond BoundariesÂŽ, UMW is set to play a leading role in shaping the future of its industries globally. The Group will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of its stakeholders.

    About MERCY Malaysia

    MERCY Malaysia is a non‐profit organisation focusing on providing medical relief, sustainable health-related development and risk reduction activities for vulnerable communities in both crisis and non-crisis situations.

    MERCY Malaysia recognises the value of working with partners and volunteers as well as providing opportunities for individuals to serve with professionalism.

    We uphold the Code of Conduct for the International Red Cross and Red Crescent Movement and NGOs in Disaster Relief and hold ourselves accountable to our donors and beneficiaries.

    As a non‐profit organisation, MERCY Malaysia relies solely on funding and donations from organizations and generous individuals to continue our services to provide humanitarian assistance to our beneficiaries.

    For further information, please contact:-
    S Vikneshwaran
    Head, Investor & Media Relations
    UMW Corporation Sdn. Bhd.
    +603 5163 5044 / +6019 850 5799
    vikneshwaran.s@umw.com.my
  • UMW Registers Profit Before Tax of 479 Million for 1Q14
    UMW Registers Profit Before Tax of 479 Million for 1Q14

    Shah Alam, 23 May 2014 - UMW Holdings Berhad announced today that the Group revenue of RM3,583.4 million for the first quarter ended 31st March 2014 was RM224.1 million or 6.7% higher than the RM3,359.3 million recorded in the same period of 2013. The improved revenue was mainly contributed by higher sales of motor vehicles and oil and gas drilling services.

    Consequently, a higher profit before taxation of RM479.4 million was recorded for the first quarter ended 31st March 2014 compared to RM432.7 million recorded in the same period of 2013. The Automotive and Oil & Gas segments contributed to the better profit performance.

    Dr. Wafi Nazrin Abdul Hamid, Executive Director, UMW Corporation Sdn. Bhd. presented a mock cheque for the sponsorship to Sr. Dato’ Zaharin Md. Arif, President, Malaysian Zoological Society during a presentation ceremony at Zoo Negara Malaysia on 28 April 2014.

    The net profit attributable to equity holders of the Company for the first quarter ended 31st March 2014 has increased by RM15.8 million or 7.2%, to RM235.5 million from RM219.7 million registered in the previous year’s corresponding quarter.

    Automotive Segment

    Revenue for the Automotive Segment for the first quarter of 2014 of RM2,656.4 million increased by RM264.3 million or 11.1% from the RM2,392.1 million registered in the first quarter of 2013. Overall Toyota vehicles sales improved by 16.7% compared to the previous corresponding quarter. The increase was mainly driven by Vios and Altis full model change.

    In line with the higher revenue, profit before taxation in the first quarter of 2014 of RM406.6 million recorded an increase of RM38.5 million or 10.5% from RM368.1 million registered in the previous corresponding quarter. Higher sales of 6% from Alza and new MyVi also contributed to a better profit before taxation.

    Equipment Segment

    Equipment Segment recorded a revenue of RM434.9 million compared to RM479.4 million recorded in the same period of 2013.

    Our overseas subsidiaries have recorded lower revenue due to the continued drop in commodity prices in Papua New Guinea and the continued suspension of mining activities in Myanmar.

    In line with the reduction in revenue, profit before taxation for the Equipment Segment reduced to RM39.1 million from RM59.1 million recorded in the previous corresponding quarter.

    Oil & Gas Segment

    Revenue for the Oil & Gas Segment of RM195.6 million for the current quarter was higher than the same quarter of 2013 of RM157.5 million.

    The improved revenue in Q1 2014 was contributed by -

    • Full contribution from NAGA 4 which commenced operations on 5th April 2013;
    • Higher Daily Operating Rates for NAGA 2; and
    • Higher operating days for NAGA 1.

    In tandem with the increase in revenue, profit before taxation increased to RM58.3 million in the current quarter of 2014 from RM20.6 million registered in the preceding year’s corresponding quarter. In addition, the profit before taxation improved further from the higher investment income from placement of the IPO proceeds.

    Manufacturing & Engineering Segment

    Manufacturing & Engineering Segment’s revenue for the current quarter of RM181.9 million was marginally higher than that of the same quarter in 2013. Higher revenue was due to better sales from its subsidiaries in India. Profit before taxation increased marginally in line with the increase in revenue.


    About UMW

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses – Automotive, Equipment, Manufacturing & Engineering, and Oil & Gas.

    Adopting its rallying call – Beyond Boundaries®, UMW is set to play a leading role in shaping the future of its industries globally. The Company will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of all its stakeholders.

    For further information, please contact:-
    S Vikneshwaran
    Head, Investor & Media Relations
    UMW Corporation Sdn. Bhd.
    +603 5163 5044 / +6019 850 5799
    vikneshwaran.s@umw.com.my
  • UMW Sponsors 6 Giraffes At Zoo Negara
    UMW Sponsors 6 Giraffes At Zoo Negara

    Dr Wafi Nazrin (3rd from right) presenting the mock cheque to Dato’ Zaharin (2nd from right), witnessed by Zoo Negara management.

    Kuala Lumpur, 5 May 2014 - As part of its Corporate Social Responsibility programme, UMW Corporation Sdn. Bhd. is sponsoring the conservation of six giraffes at Zoo Negara Malaysia. The sponsorship of RM 60, 000 is for a period of one year.

    The sponsorship of giraffes, the tallest living terrestrial animals, is also a visual alignment to UMW’s brand tagline, “Beyond Boundaries”. This initiative is part of their strategy to further strengthen and publicize UMW as a brand to the public and foreign visitors at Zoo Negara since it receives more than one million visitors yearly.

    Dr. Wafi Nazrin Abdul Hamid, Executive Director, UMW Corporation Sdn. Bhd. presented a mock cheque for the sponsorship to Sr. Dato’ Zaharin Md. Arif, President, Malaysian Zoological Society during a presentation ceremony at Zoo Negara Malaysia on 28 April 2014.

    Zoo Negara Malaysia is wholly-owned and managed by the Malaysian Zoological Society (MZS), which is a non-governmental organisation. MZS is dedicated to promote the conservation, public appreciation and scientific of wild animal species through operating Zoo Negara Malaysia to the highest possible standards for a zoological park.


    About UMW

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses – Automotive, Equipment, Manufacturing & Engineering, and Oil & Gas.

    Adopting its rallying call – Beyond Boundaries®, UMW is set to play a leading role in shaping the future of its industries globally. The Company will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of all its stakeholders.

    For further information, please contact:-
    S Vikneshwaran
    Head, Investor & Media Relations
    UMW Corporation Sdn. Bhd.
    +603 5163 5044 / +6019 850 5799
    vikneshwaran.s@umw.com.my
  • UMW Registers RM334 Million PBT for 4Q13; Pays 9 sen Dividend
    UMW Registers RM334 Million PBT for 4Q13; Pays 9 sen Dividend

    Shah Alam, 26 February 2014 - UMW Holdings Berhad announced today that the Group recorded lower revenue of RM3,891.8 million for the fourth quarter ended 31st December 2013 compared to RM4,050.4 million recorded in the same period of 2012. The lower revenue was mainly contributed by the lower sales of motor vehicles and equipment.

    Consequently, the Group recorded a lower profit before taxation of RM333.7 million compared to RM471.0 million recorded in the same period of 2012. This was mainly due to lower contributions from the Automotive and M&E segments offset by improved contributions from the Equipment and Oil & Gas segments. In spite of the lower revenue performance of the Equipment Segment, profit contribution from this segment was higher due to better margins.

    The net profit attributable to equity holders of the Company for the fourth quarter ended 31st December 2013 was RM109.1 million compared to RM250.9 million in the previous year's corresponding quarter.

    Automotive Segment

    The new Vios model that was launched only in October 2013 contributed to the lower revenue of RM2,866.9 million in the quarter ended 31st December 2013 as compared to the same quarter of 2012. Order-taking for the new Vios was encouraging with total cumulative order of about 20 thousand units, with a waiting period of 3.5 months immediately after the initial launch which subsequently reduced to 2.8 months by December 2013. Overall vehicle sales improved compared to the previous quarter but was lower than the same quarter of 2012. Perodua recorded an increase in vehicle sales of 3.1% in the fourth quarter of 2013 compared to the corresponding quarter in 2012, contributed by higher sales of the new MyVi. In line with the lower revenue, profit before taxation recorded in the fourth quarter of 2013 of RM390.9 million was lower than that of the same quarter of 2012.

    Equipment Segment

    Revenue for Equipment Segment was RM371.1 million, lower than that of the same period of 2012. The drop in commodity prices and continued suspension of mining activities in a country where we operate resulted in lower demand of our equipment during the quarter.

    Nevertheless, profit before taxation of the Equipment Segment of RM24.5 million was higher than that of the previous year's corresponding quarter. The improvement was contributed by better margins.

    Oil & Gas Segment

    Revenue for the Oil & Gas Segment of RM206.0 million for the current quarter was higher compared to the same quarter of 2012 of RM128.2 million, mainly due to higher exploration income especially from the new NAGA 4.

    In tandem with the increase in revenue, profit before taxation increased to RM54.5 million in the current quarter of 2013 from RM12.5 million registered in the preceding year's corresponding quarter.

    Manufacturing & Engineering Segment

    Revenue for the Manufacturing & Engineering Segment for the current quarter of RM184.0 million was higher than that of the same quarter in 2012. However, this segment registered a loss before taxation of RM11.6 million for the quarter due to the current downturn of the automotive industry and impairment of assets of our subsidiaries in India.

    Dividend

    The Board has declared a third interim single-tier dividend of 18% or 9.0 sen per share of RM0.50 each, amounting to a net dividend payable of approximately RM105.1 million (2012 - RM292.1 million) for the financial year ended 31st December 2013. The dividend will be paid on 25th April 2014.

    The total single-tier dividend for the financial year ended 31st December 2013 would be 88% or 44.0 sen per share of RM0.50 each, amounting to a net dividend of approximately RM514.0 million (2012 ' 100% or 50.0 sen per share of RM0.50 each, amounting to a net dividend of RM584.2 million).

    About UMW

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses - Automotive, Equipment, Manufacturing & Engineering, and Oil & Gas.

    Adopting its rallying call 'Beyond Boundaries', UMW is set to play a leading role in shaping the future of its industries globally. The Company will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of all its stakeholders.

    For further information, please contact:-
    S Vikneshwaran
    Manager, Investor & Media Relations
    UMW Corporation Sdn. Bhd.
    +603 5163 5044 / +6019 850 5799
    vikneshwaran.s@umw.com.my


2013's News


  • Presentation of Quality Environment Awards / 5s Certificates and Launch of The UMW Kaizen Programme
    Presentation of Quality Environment Awards / 5s Certificates and Launch of The UMW Kaizen Programme

    Shah Alam, 12 December 2013 - The UMW Group announced that several companies under its stable have been awarded the Quality Environment Awards / 5S certification by the Malaysia Productivity Corporation (MPC). The certifications indicate the strong commitment and determination of the companies to enhance and improve their processes, in tandem with the Continuous Improvement Programme (CIP). A total of 45 business locations under UMW Industrial Power Sdn. Bhd., UMW Equipment Sdn. Bhd., UMW Industries Sdn. Bhd., UMW East Malaysia Sdn. Bhd., UMW Oilpipe Services Sdn. Bhd., UMW Engineering & Pvt. Ltd. Singapore and the Group Human Resource Division have achieved this recognition.

    In 2011, UMW’s Training & Development Department had introduced the CIP Framework which contains five core programmes, namely 5S, Kaizen, Suggestion Scheme, Total Productive Maintenance and Lean Manufacturing. CIP is a result-driven programme that not only provides systems for cost management measures, it also aims to heighten excellence in work culture. The planned initiatives are to be implemented in three phases over a six-year period.

    Next year, the focus will be on Kaizen, which will be KPI-based, structured and systematic. The Kaizen Programme will act as a mechanism to improve the Group’s daily business workflow by focusing on eliminating waste in all systems and processes. This will optimise operations and lead to better cost management for the Group. This programme has also been identified as a key initiative in UMW’s 2014 Business Plan. UMW is training and developing its people to improve their ability to meet expectations of high quality, low cost and on-time delivery.

    UMW continues its partnership with MPC in its pursuit towards Organisational Excellence. MPC’s position as the leading organisation in productivity enhancement will assist UMW by sharing its expertise on productivity enhancement models, talent development through training, system development and best practices, as well as audit & assessment, certification and convention. This strong alliance is a key success factor as UMW strives to achieve the Prime Minister’s Industry Excellence Award (PMIEA). In this journey towards PMIEA, UMW will prepare itself for certifications through the Malaysia Business Excellence Framework.

    The presentation and launch ceremony was officiated by Datuk Dr. Rebecca Fatima Sta Maria, Secretary General, Ministry of International Trade and Industry and Dato’ Mohd Razali Hussain, Director General of MPC.

    About UMW

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses – Automotive, Equipment, Manufacturing & Engineering, and Oil & Gas.

    Adopting its rallying call - Beyond BoundariesÂŽ, UMW is set to play a leading role in shaping the future of its industries globally. The Group will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of its stakeholders.

    For further information, please contact:-
    S Vikneshwaran
    Manager, Investor & Media Relations
    UMW Corporation Sdn. Bhd.
    +603 5163 5044 / +6019 850 5799
    vikneshwaran.s@umw.com.my


  • UMW Registers RM246 Million PBT for 3Q13; Pays 15 Sen dividend and A Special Dividend of 10 Sen
    UMW Registers RM246 Million PBT for 3Q13; Pays 15 Sen dividend and A Special Dividend of 10 Sen

    Shah Alam, 21 November 2013 - UMW Holdings Berhad announced today that the Group recorded lower revenue of RM3,456.6 million for the third quarter ended 30th September 2013 compared to RM3,957.5 million in the same period of last year. The lower revenue was mainly contributed by the lower sales of Automotive and Equipment segments.

    Consequently, the Group recorded a lower profit before taxation of RM245.6 million for the third quarter ended 30th September 2013 compared to RM595.8 million of the same period last year. This was mainly due to lower contributions from the Automotive and Manufacturing & Equipment segments but offset by higher contributions from the Equipment and Oil & Gas segments.

    The net profit attributable to equity holders of the Company in the third quarter of 2013 was RM101.5 million compared to RM299.1 million registered in the same quarter of 2012.

    Automotive Segment

    Revenue of RM2,433.3 million for the current quarter ended 30th September 2013 was lower than RM2,934.9 million recorded in the same quarter last year. Intense competition from the new models launched by competitors had resulted in lower demand for Toyota vehicles thus a 22.0% reduction in the number of vehicles sold. Vios model run-out during the quarter pending the new model launch in Oct 2013 also contributed to the lower revenue. Perodua on the other hand, recorded an increase in vehicle sales of 5.8% in the 3rd quarter of 2013 compared to the corresponding quarter in 2012, contributed by higher sales of the new MyVi.

    In line with the lower revenue, the profit before taxation recorded in the third quarter of 2013 of RM294.9 million was lower than the RM511.2 million recorded in the same quarter of 2012.

    Equipment Segment

    Revenue of the Equipment segment was RM410.8 million, lower than that of the same period last year of RM527.7 million. Lower demand for parts and equipment resulting from the weaker construction sector, drop in commodity prices as well as the drop in mining activities at our overseas operating companies, led to the reduction in the revenue.

    Notwithstanding the above, the profit before taxation of the Equipment segment increased to RM55.6 million from RM53.4 million recorded in the previous year’s corresponding quarter. The improvement was contributed by better margin and derivative fair value gain.

    Oil & Gas Segment

    Revenue of the Oil & Gas segment of RM205.3 million for the current quarter was higher compared to the same quarter of 2012 of RM167.6 million, mainly due to the higher exploration income especially from the new NAGA 4.

    In line with the increase in revenue, profit before taxation increased to RM54.5 million in the current quarter from RM13.9 million registered in the preceding year’s corresponding quarter.

    Manufacturing & Engineering Segment

    Revenue for the Manufacturing & Engineering segment for the current quarter of RM188.9 million was higher than the RM177.0 million recorded in the same quarter of 2012. However, this segment registered a loss before taxation of RM31.1 million for the quarter. The loss was mainly contributed by the impairment of assets and weakening of the Indian Rupee which resulted in an unrealised forex loss on the USD loans.

    Dividend

    The Board has declared a second interim single-tier dividend of 30% or 15.0 sen (2012 - 30% or 15.0 sen) and a special interim single-tier dividend of 20% or 10.0 sen per share of RM0.50 each, amounting to a net dividend payable of approximately RM175.2 million (2012- RM175.2 million) and RM116.8 million, respectively, for the year ending 31st December 2013, to be paid on 20th January 2014.

    About UMW

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses – Automotive, Equipment, Manufacturing & Engineering, and Oil & Gas.

    Adopting its rallying call - Beyond BoundariesÂŽ, UMW is set to play a leading role in shaping the future of its industries globally. The Group will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of its stakeholders.

    For further information, please contact:-
    S Vikneshwaran
    Manager, Investor & Media Relations
    UMW Corporation Sdn. Bhd.
    +603 5163 5044 / +6019 850 5799
    vikneshwaran.s@umw.com.my


  • UMW Signs New Agreement with Repsol
    UMW Signs New Agreement with Repsol

    Shah Alam, 20 November 2013 - UMW Lubricant International Sdn Bhd (“ULI”), a wholly-owned subsidiary in the UMW Group, has entered into a new Distribution Agreement with Repsol Lubricantes Y Especialidades, S.A. (“REPSOL”) for the appointment of ULI as the exclusive distributor of REPSOL branded automotive, motorcycle and industrial lubricating oils and ancillary products, excluding marine oils. The agreement is for an initial term of ten years, commencing 1st January 2014 and expiring 31st December 2023, with options for further extensions to be agreed by ULI and REPSOL.

    The said appointment includes the importation, marketing, sale, distribution, manufacturing and/or toll blending of REPSOL rebranded products by ULI within the territories specified in the REPSOL Agreements. In respect of the territory of the People’s Republic of China, ULI has assigned its rights and obligations under the said Distribution Agreement to its affiliate Lubritech Limited.

    UMW, with its strong presence in Asia, extensive experience in managing partners and financial stability, has found a world class brand and committed partner in REPSOL. REPSOL, on the other hand, has found the perfect strategic partner in UMW to help its market penetration into Asia as part of its international expansion plan.

    REPSOL is a leading company and expert in energy and is currently present in over thirty countries throughout the world. Its business activities cover the upstream division which includes oil and natural gas exploration and production activities outside Argentina; the downstream business which is made up of supply and trading, refining, marketing, and the transport of oil and oil products, chemicals and LPG; the Liquefied Natural Gas (“LNG”) activities which include liquefaction, transport, marketing, and regasification of LNG, in addition to power generation activities in Spain not carried out by Gas Natural SDG and natural gas marketing in North America.

    About UMW

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses – Automotive, Equipment, Manufacturing & Engineering, and Oil & Gas.

    Adopting its rallying call - Beyond BoundariesÂŽ, UMW is set to play a leading role in shaping the future of its industries globally. The Group will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of its stakeholders.

    For further information, please contact:-
    S Vikneshwaran
    Manager, Investor & Media Relations
    UMW Corporation Sdn. Bhd.
    +603 5163 5044 / +6019 850 5799
    vikneshwaran.s@umw.com.my


  • UMW Celebrates Deepavali with Rumah Kebajikan Karunai Illam
    UMW Celebrates Deepavali with Rumah Kebajikan Karunai Illam

    Shah Alam, 31 October 2013 - As part of its annual Corporate Social Responsibility (CSR) efforts, in conjunction with Deepavali celebrations, the UMW Group recently brought cheer and joy to 41 children from Rumah Kebajikan Karunai Illam, Kepong. In the first part of the programme, the children were treated to lunch at a KFC restaurant in Sunway. Immediately after lunch was an in-door session of games where both children and volunteers could actively participate. The games created a warm atmosphere of fun with lots of prizes, keeping the children coming for more.

    Later, the children were chaperoned by UMW’s CSR team on a “Deepavali” shopping spree at the Sunway Pyramid. Each child was allocated with RM200 for their shopping expenses. While most children opted for clothes, there were others who preferred personal items like watches, shoes and belts. UMW also contributed RM3,000 in cash to the home to help support their benevolent work.

    Rumah Kebajikan Karunai Illam is a home for underprivileged children who come from broken homes or orphaned, many neglected and abused. The home located in Taman Ehsan, Kepong, has been registered with Jabatan Kebajikan Masyarakat since 2001. Karunai Illam provides residential care, education, counseling and guidance to empower these children to develop and become good citizens.

    The UMW Group has a long tradition of supporting non-profit and non-political organisations through its community programmes. The Group’s Corporate Social Responsibility (CSR) strategy is comprehensive and goes beyond just funding charitable projects, benchmarking against international best practices in the marketplace, the workplace, the environment and the community.

    About UMW

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses – Automotive, Equipment, Manufacturing & Engineering, and Oil & Gas.

    Adopting its rallying call - Beyond BoundariesÂŽ, UMW is set to play a leading role in shaping the future of its industries globally. The Group will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of its stakeholders.

    For further information, please contact:-
    S Vikneshwaran
    Manager, Investor & Media Relations
    UMW Corporation Sdn. Bhd.
    +603 5163 5044 / +6019 850 5799
    vikneshwaran.s@umw.com.my


  • Launch of the UMW Technical Academy
    Launch of the UMW Technical Academy

    Shah Alam, 8 October 2013 - The UMW Technical Academy (UTAc) was officially launched by Datuk Richard Riot, Minister of Human Resources. The opening of this Academy is part of UMW’s initiative and commitment under the “Upward Mobility Scheme”, which falls under the “Orange Book” of the Government-Linked Companies Transformation Programme (GLCTP). UMW actively supports the scheme as it focuses on capacity building through training and enhancing career progression for non-executive staff. UMW is committed to develop skilled personnel by conducting appropriate training and certification through a series of programmes.

    The objective of UTAc is to train, develop and produce skilled workers to realise our vision to be a developed nation by 2020. The Academy is equipped with a comprehensive range of equipment and machinery for apprentice personnel to gain wider knowledge and experience in handling heavy equipment.

    The first batch of 11 apprentices, mostly junior mechanics, joined the academy in February this year under the SLDN (Skim Latihan Dual Nasional) Programme, for a two and a half-year course titled “Earth Moving Equipment”. The course focuses more on practical learning, which includes on-the-job training, which constitutes between 70% and 80% of their tiem, with the remaining being, theory. The practical courses will be conducted at UMW Equipment Sdn. Bhd. and UMW (EM) Sdn. Bhd. workshops in Peninsular Malaysia, Sabah and Sarawak. Over the course, the apprentices will complete 8 modules, from HE 1 to HE 8. The final examination will be divided into three categories, namely, theory, oral and practical. As this is a single-tier programme, the apprentices will receive the Sijil Kemahiran Malaysia (SKM) 1, 2 and 3 after the two and a half-year course. UMW has allocated a maximum of 20 apprentices for each course.

    “As a partner in the SLDN programme, UMW is providing facilities for learning theory as well as practical learning workshops at 13 locations in Peninsular Malaysia, Sabah and Sarawak. We provide additional support for the programme by preparing the trainers’ module and providing 23 trainers”, said Datuk Syed Hisham bin Syed Wazir, President and Group CEO, UMW Holdings Berhad. He added that he would like to see the SLDN programme for heavy equipment becoming a flagship programme in the future. He expressed hope that the programmes will develop in the future to include other disciplines like forklift operations and other areas in the manufacturing industry.

    About UMW

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses – Automotive, Equipment, Manufacturing & Engineering, and Oil & Gas.

    Adopting its rallying call - Beyond BoundariesÂŽ, UMW is set to play a leading role in shaping the future of its industries globally. The Group will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of its stakeholders.

    For further information, please contact:-
    S Vikneshwaran
    Manager, Investor & Media Relations
    UMW Corporation Sdn. Bhd.
    +603 5163 5044 / +6019 850 5799
    vikneshwaran.s@umw.com.my


  • KYB-UMW Celebrates 30th Anniversary Donates RM100,000.00 to Charity
    KYB-UMW Celebrates 30th Anniversary Donates RM100,000.00 to Charity

    Kuala Lumpur, 14 September 2013 - KYB-UMW Malaysia Sdn. Bhd. (KYB-UMW), a member of the UMW Group, celebrated its 30th anniversary at a gala dinner at the Majestic Hotel. The highlight of its anniversary celebration was the contribution of RM100,000.00 to the Budimas Charitable Foundation.

    As part of its anniversary celebrations, KYB-UMW announced the “Caring & Sharing” corporate social responsibility (CSR) programme that was introduced last year. Under the initiative, KYB-UMW pledged to donate 10 sen for each shock absorber sold under the KYB business segment from 1 January 2012 to 31 December 2012 to the Budimas Charitable Foundation. In addition to this, they also provide financial support to other charitable organisations in Malaysia.

    KYB-UMW is the leading manufacturer of automotive and motorcycles shock absorbers in Malaysia. It has two manufacturing plants in Teluk Panglima Garang, Kuala Langat with 900 employees. Through the strong bilateral relationship and cooperation between KYB-UMW and Japan’s KYB Corporation, the KYB-UMW Group currently exports 20% of its products to 27 countries worldwide. This is an important business segment for KYB-UMW and it hopes to expand this market further. Currently, they are working closely with KYB Corporation, Japan on technology transfer and training people to elevate their skills to meet the challenging global environment to achieve the ideal manufacturing base by 2017.

    The 30th anniversary gala dinner was graced by the presence of HE Mr. Shigeru Nakamura, the Ambassador of Japan to Malaysia. Also present were Datuk Syed Hisham bin Syed Wazir, President and Group CEO, UMW Holdings Berhad and Mr. Kazuhisa Ikenoya, Executive Vice-President, KYB Corporation, Japan.

    About KYB-UMW

    Since its inception 30 years ago, KYB-UMW has grown from its humble beginnings to become one of the largest manufacturers of automotive and motorcycles shock absorbers in Malaysia. With its reputation for reliability, quality, comfort and most importantly safety, it has instilled a strong sense of confidence in its consumers. The products are manufactured under very strict manufacturing standards and are in compliance with international requirements thus propelling it to be a global company.

    About UMW

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses – Automotive, Equipment, Manufacturing & Engineering, and Oil & Gas.

    Adopting its rallying call - Beyond BoundariesÂŽ, UMW is set to play a leading role in shaping the future of its industries globally. The Group will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of its stakeholders.

    For further information, please contact:-
    S Vikneshwaran
    Manager, Investor & Media Relations
    UMW Corporation Sdn. Bhd.
    +603 5163 5044 / +6019 850 5799
    vikneshwaran.s@umw.com.my


  • UMW Registers RM443 Million PBT For 2Q13, Pays 10 Sen Dividend
    UMW Registers RM443 Million PBT For 2Q13, Pays 10 Sen Dividend

    Shah Alam, 30 Aug 2013 - UMW Holdings Berhad announced today that its Group revenue of RM3,499.2 million for the second quarter ended 30th June 2013 was lower than the RM4,108.9 million registered in the preceding year's corresponding quarter by 14.8%. This was due to the lower contribution of revenue from the Automotive, Oil & Gas and Equipment segments.

    Consequently, the Group profit before taxation of RM443.2 million for the second quarter ended 30th June 2013 reduced by 14.2% compared to RM516.8 million registered in the same quarter of 2012. This was mainly due to lower contributions from the Automotive, Equipment and M&E segments but offset by higher profit contribution from the Oil & Gas segment.

    The net profit attributable to equity holders of the Company in the second quarter of 2013 however increased by 12% to RM251.0 million from the RM224.2 million registered in the same quarter of 2012. The increase was due to the better margins in the Oil & Gas segment.

    Automotive Segment
    Total industry volume ("TIV") as reported by Malaysian Automotive Association ("MAA") for the 2nd quarter of 2013 of 155,824 units was 4.2% lower than 162,725 units recorded in the corresponding quarter in 2012. Sale of Toyota vehicles was 18.6% lower in line with the reduction in the TIV, as well as intense competition from new models launched by competitors. Perodua on the other hand, recorded an increase in vehicle sales of 9.8% in the 2nd quarter of 2013 compared to the corresponding quarter in 2012, contributed by higher sales of the new MyVi.

    In line with the lower revenue, the profit before taxation recorded in the second quarter of 2013 of RM358.1 million was 27.0% lower than the RM490.3 million recorded in the same quarter of 2012. The reduction was attributable to higher selling and distribution expenses resulting from increase in promotional and advertising activities.

    Toyota and Perodua vehicle sales of 74,503 units constitute 47.8% of the TIV of 155,824 units reported by MAA for the quarter ended 30th June 2013.

    Equipment Segment
    Revenue of the Equipment segment declined by 20.7%, from RM560.2 million recorded in the corresponding quarter of 2012 to RM444.2 million registered in the current quarter. The reduction in sales was due to lower demand for parts and equipment resulting from the weaker construction sector as well as the drop in mining activities at our overseas subsidiary.

    In line with the above, the profit before taxation of the Equipment segment reduced by 8.5%, from RM56.7 million recorded in the corresponding quarter of 2012 to RM51.9 million for the current quarter.

    Oil & Gas Segment
    Revenue of the Oil & Gas segment for the current quarter ended 30th June 2013 was lower by 10.1% compared to the same quarter of 2012 mainly due to the expiration of a semi-submersible rig contract for Hakuryu 5 in January 2013.

    Notwithstanding the above, profit before taxation increased to RM75.8 million in the current quarter from RM18.5 million registered in the preceding year's corresponding quarter resulting from :

    a) new contribution from NAGA 4;
    b) lower repairs and maintenance cost following completion of the Deepdish project for NAGA 1;and
    c) completion of a sale of property by one of the subsidiaries.

    Manufacturing & Engineering Segment
    Revenue for the Manufacturing & Engineering segment for the current quarter of RM187.9 million was higher than the RM177.0 million recorded in the same quarter of 2012. However, this segment registered a loss before taxation of RM2.5 million for the quarter. The loss was mainly contributed by the weakening of the Indian Rupee which resulted in an unrealised forex loss on the USD loans of the subsidiaries in India.

    Dividend
    The Board is pleased to declare an interim single-tier dividend of 20% or 10.0 sen (2012 - 20% or 10.0 sen) per share of RM0.50 each, amounting to a net dividend payable of approximately RM116.8 million (2012- RM116.8 million) for the year ending 31st December 2013, to be paid on 8th October 2013.

  • UMW pays RM1 Million in Zakat for 2012
    UMW pays RM1 Million in Zakat for 2012

    Shah Alam, 1 August 2013 - In discharging its duties as a good corporate citizen, the UMW Group paid a corporate zakat of RM1,011,996.00 to Lembaga Zakat Selangor, a body under Majlis Agama Islam Selangor (MAIS). The payment was for the assessment year 2012. A cheque for the amount was presented to Sultan Sharafuddin Idris Shah, the Sultan of Selangor by UMW Group Chairman, Tan Sri Asmat Kamaludin at Masjid Kampung Telok Menegon, Klang.

    UMW, with Permodalan Nasional Berhad (PNB) as the majority shareholder, is considered a Bumiputra company where the majority of its employees are Muslims, thus the obligation for the company to pay zakat. The payment of zakat is practiced by a number of companies under the PNB Group as well as other Government-linked Companies (GLCs).

    The guidelines of Lembaga Zakat Selangor allow a payee company to utilise a maximum of 3/8 or 37.5% of its zakat for distribution to the underprivileged in accordance to the shariah. UMW is considering to use the funds for its CSR activities.

    The obligation to pay zakat is based on the clear and undisputed order in the Quran, Hadith and the consensus of shariah scholars. The word zakat itself means purification and growth.

    About UMW

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses – Automotive, Equipment, Manufacturing & Engineering, and Oil & Gas.

    Adopting its rallying call - Beyond BoundariesÂŽ, UMW is set to play a leading role in shaping the future of its industries globally. The Group will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of its stakeholders.

    For further information, please contact:-
    S Vikneshwaran
    Manager, Investor & Media Relations
    UMW Corporation Sdn. Bhd.
    +603 5163 5044 / +6019 850 5799
    vikneshwaran.s@umw.com.my


  • UMW Celebrates Ramadhan with Rumah Amal Kasih Bestari
    UMW Celebrates Ramadhan with Rumah Amal Kasih Bestari

    Shah Alam, 24 July 2013 - As part of its annual CSR efforts and in conjunction with the holy month of Ramadhan, the UMW Group recently treated 39 children from Rumah Amal Kasih Bestari, Kampung Melayu Subang. In the first part of the programme, the children were chaperoned by the CSR team to a “Hari Raya” shopping trip to a mall in Klang. Each child received RM200 for clothing expenses and RM50 as “Duit Raya”. The children were then ushered to UMW’s Corporate Office in Shah Alam for a ‘buka puasa’ treat with the senior management and staff of the UMW Group.

    Rumah Amal Kasih Bestari (RAKB) was established in September 2007 and is registered with the Welfare Department of Malaysia. It was set up to provide assistance and support to orphans and children from the poor and destitute families. Currently, the home cares for the needs of about 50 children.

    UMW President & Group CEO, Datuk Syed Hisham Syed Wazir said, “Through events like this, we hope to give back to the community and spread some Aidilfitri joy among the children”. Later, Datuk Syed Hisham, together with Tan Sri Asmat Kamaludin, UMW Group Chairman, presented a cheque for RM3,000 to the home.

    Before leaving UMW, the children were also presented with some Hari Raya cookies and “kurma”.

    The UMW Group has a long history of supporting non-profit and non-political organisations through its community programmes. The Group’s Corporate Social Responsibility (CSR) strategy is comprehensive and goes beyond just funding charitable projects, benchmarking against international best practices in the marketplace, the workplace, the environment and the community.

    About UMW

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses – Automotive, Equipment, Manufacturing & Engineering, and Oil & Gas.

    Adopting its rallying call - Beyond BoundariesÂŽ, UMW is set to play a leading role in shaping the future of its industries globally. The Group will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of its stakeholders.

    For further information, please contact:-
    S Vikneshwaran
    Manager, Investor & Media Relations
    UMW Corporation Sdn. Bhd.
    +603 5163 5044 / +6019 850 5799
    vikneshwaran.s@umw.com.my


  • UMW sponsors English Workshop to 120 students
    UMW sponsors English Workshop to 120 students

    Kedah, Alor Setar, 27 June 2013 - 120 Sekolah Ugama Maktab Mahmud form 5 students discovered that with the right mindset, they too can speak English confidently. The key is in having the right mindset and attitude towards the language and to drop the fear of being afraid of what people might say or how people might tease them.

    The lucky students had that discovery through a 2-day fun-filled workshop called 'JustSpeak: Developing Confidence with English' – a programme sponsored by UMW Corporation as part of their Corporate Social Responsibility initiative.

    The programme ran for 2 days at Maktab Mahmud Alor Setar for 120 students who came from all 12 schools around Kedah. They include Baling, Sik, Yan, Pendang, Merbok, Bandar Bharu, Padang Terap, Kulim, Langkawi , Pokok Sena, Kuala Muda and Alor Setar.

    Nur Syazana Bt Mohd Fauzi, 15, said, ‘I learned to be confident to speak in public. The JustSpeak programme showed me how to be more confident and overcome my fear of speaking in English with the public’. Syahman Zakiri Bin Noor Arman, 14, said, ‘I learned to be confident and brave as well as not to be shy'.

    The workshop incorporates Accelerated Learning methodology coupled with some NLP (Neuro Linguistic Programming) techniques that are fun and easy to follow by the students. The JustSpeak programme has been conducted over the past 4 years all over the country, raising the confidence level of teachers, corporate executives and students. The JustSpeak programme has since raised the confidence level of thousands of participants who were once shy to speak

    Background on UMW

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses – Automotive, Equipment, Manufacturing & Engineering, and Oil & Gas.

    Adopting its rallying call - Beyond BoundariesÂŽ, UMW is set to play a leading role in shaping the future of its industries globally. The Group will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of its stakeholders.

    For further information, please contact:-
    S Vikneshwaran
    Manager, Investor & Media Relations
    UMW Corporation Sdn. Bhd.
    +603 5163 5044 / +6019 850 5799
    vikneshwaran.s@umw.com.my


  • UMW receives LOA from PVD Tech
    UMW receives LOA from PVD Tech

    KUALA LUMPUR, 26 June 2013 - UMW Petrodril (Malaysia) Sdn Bhd (“UMW”), a wholly-owned subsidiary of UMW Holdings Berhad has received a letter of award on last Monday, from PVD Trading and Technical Services Joint Stock Company (“PVD Tech”) a subsidiary of Petrovietnam Drilling & Well Services Corporation (“PV Drilling”) for the provision of a hydraulic workover unit and services.

    It involves the provision of one of UMW’s hydraulic workover unit, GAIT 3, and related services to PVD Tech in support of workover for the end client, Cuu Long Joint Operating Company.

    President of UMW Oil & Gas Corporation Berhad, Rohaizad Darus said, “We are honoured to be entrusted by PVD Tech this time around to provide a hydraulic workover unit and related services in support of workover operations for the Su Tu Vang Workover Program. This is the second contract awarded to UMW by PV Drilling Group in a span of three (3) months this year and is expected to contribute positively to the revenue of UMW."

    UMW Holding Berhad's jack-up drilling rig NAGA 2 is currently servicing PV Drilling on a contract valued at approximately USD31million awarded in March this year.

    Background on UMW

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses – Automotive, Equipment, Manufacturing & Engineering, and Oil & Gas.

    Adopting its rallying call - Beyond BoundariesÂŽ, UMW is set to play a leading role in shaping the future of its industries globally. The Group will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of its stakeholders.

    For further information, please contact:-
    S Vikneshwaran
    Manager, Investor & Media Relations
    UMW Corporation Sdn. Bhd.
    +603 5163 5044 / +6019 850 5799
    vikneshwaran.s@umw.com.my


  • UMW Renews Partnership with Mercy Malaysia
    UMW Renews Partnership with Mercy Malaysia

    Shah Alam, 20 June 2013 - The UMW Group announced today the renewal of its existing partnership with MERCY Malaysia. The partnership has seen UMW provide over RM1.8 million in funds, including the supply of 5 vehicles – 3 Toyota Hilux, 1 Toyota Hiace and 1 Toyota Innova. The Group has also contributed more than 4,200 hours in manpower support of MERCY Malaysia's programmes, particularly for the rural and vulnerable communities in Sabah, Sarawak and Johor since 2009. To commemorate this event, a signing ceremony between UMW and MERCY Malaysia was held at UMW's corporate headquarters in Shah Alam. Dato' Dr. Ahmad Faizal Mohd Perdaus, President, MERCY Malaysia and Datuk Syed Hisham Syed Wazir, President & Group CEO, UMW Corporation Sdn. Bhd. were present at the ceremony.

    For 2013, the UMW Group has allocated a budget of RM407,215.00 to MERCY Malaysia. The grant will be used to fund activities which include 7 Outreach Clinics for the indigenous community in the rural areas of Sabah, 4 Outreach Clinics in the rural areas of Sarawak and 2 Outreach Clinics in Johor, as well as a Disaster Risk Reduction Programme for the disabled community in Selangor. To date, approximately 14,563 people have benefitted from the programmes jointly organised by UMW and MERCY Malaysia.

    "We know that the real value of our business comes from what we can give – the best products and services to our customers; a safe, healthy and supportive environment for our employees; and for the community at large, we aim to give what we can, be it financial donations or a helping hand to those most in need", said Datuk Syed Hisham Syed Wazir at the signing ceremony.

    As an extension of UMW's CSR efforts, its employee-volunteer programme known as the UMW Community Champions have clocked nearly 11,721 hours in service to the community and is confident of achieving an additional 4,000 hours by the end of 2013. Selected Community Champions have undergone training programmes with MERCY Malaysia and have gone on to participate in various MERCY Malaysia activities around the country.

    Background on UMW

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses – Automotive, Equipment, Manufacturing & Engineering, and Oil & Gas.

    Adopting its rallying call - Beyond BoundariesÂŽ, UMW is set to play a leading role in shaping the future of its industries globally. The Group will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of its stakeholders.

    About MERCY Malaysia

    MERCY Malaysia is a non‐profit organisation focusing on providing medical relief, sustainable health-related development and risk reduction activities for vulnerable communities in both crisis and non-crisis situations.

    MERCY Malaysia recognises the value of working with partners and volunteers as well as providing opportunities for individuals to serve with professionalism.

    We uphold the Code of Conduct for the International Red Cross and Red Crescent Movement and NGOs in Disaster Relief and hold ourselves accountable to our donors and beneficiaries.

    As a non‐profit organisation, MERCY Malaysia relies solely on funding and donations from organizations and generous individuals to continue our services to provide humanitarian assistance to our beneficiaries.

    For further information, please contact:-
    S Vikneshwaran
    Manager, Investor & Media Relations
    UMW Corporation Sdn. Bhd.
    +603 5163 5044 / +6019 850 5799
    vikneshwaran.s@umw.com.my


  • 21 graduate from UMW - S.E.G.I General Management Programme
    21 graduate from UMW - S.E.G.I General Management Programme

    Shah Alam, 3 June 2013 - The UMW Group announced today that 21 of its employees had graduated from its Executive Diploma in General Management (EDGM) programme. The programme which was first launched in 2007 with SEGi University College, is aimed at providing supervisors and executives in UMW with the opportunity to equip themselves with advanced management skills and knowledge.

    This objective is in-line with UMW’s aspirations of becoming a world-class organisation and allows the company to implement a strategic, structured and continuous development programme that enhances and broadens workforce skills and knowledge to operate across the business functions within its operations. To-date, more than 100 of UMW's employees have benefitted from the programme.

    'The Group's growth in the past decade has been spectacular and we need to continually reflect this position in the quality of our workforce", said UMW President and Group CEO, Datuk Syed Hisham Syed Wazir, regarding the Group's commitment towards the programme.

    This year, the programme will take in another 25 UMW employees for a period between 9 to 12 months where they will be exposed to various modules including finance, international business as well as marketing management. The Diploma will be awarded by UMW, SEGi and The University of Sunderland, UK.

    The graduation ceremony was graced by the presence of UMW Chairman, Tan Sri Asmat Kamaludin, Tan Sri Dato' Seri Megat Najmuddin, Chairman, S.E.G. International and Datuk Syed Hisham Syed Wazir, UMW President and Group CEO.

    About UMW

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses – Automotive, Equipment, Manufacturing & Engineering, and Oil & Gas.

    Adopting its rallying call - Beyond BoundariesÂŽ, UMW is set to play a leading role in shaping the future of its industries globally. The Company will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of all its stakeholders.

    For further information, please contact:-
    S Vikneshwaran
    Manager, Investor & Media Relations
    UMW Corporation Sdn. Bhd.
    +603 5163 5044 / +6019 850 5799
    vikneshwaran.s@umw.com.my


  • UMW registers RM433 million PBT for 1Q13
    UMW registers RM433 million PBT for 1Q13

    Shah Alam, 23 May 2013 - UMW Holdings Berhad announced today that its Group revenue of RM3,359.3 million for the first quarter ended 31 March 2013 was slightly lower than the RM3,700.0 million registered in the preceding year's corresponding quarter by RM340.7 million or 9.2%. This was contributed by the lower revenue from the Automotive, Oil & Gas and Equipment segments.

    The Group profit before taxation for the first quarter ended 31 March 2013 reduced to RM432.7 million from the RM436.7 million registered in the same quarter of 2012, a reduction of 0.9% or RM4.0 million. The result of the Group was partly impacted by the unrealised fair value and foreign exchange loss of RM19.5 million compared to the gain of RM20.5 million in 2012.

    The net profit attributable to the equity holders of the Company in the first quarter of 2013 reduced slightly to RM219.7 million from the RM220.0 million registered in the same quarter of 2012, a reduction of RM0.3 million or 0.1%.

    Automotive Segment

    In the first quarter of 2013, UMW Toyota Motor sales was 10% lower than the same quarter of 2012. The shortfall was mainly due to the intense competition from the launches of the new models from the competitors. The sales of Perodua vehicles fell by approximately 2.0% in the first quarter of 2013 compared to the corresponding quarter in 2012.

    In line with the lower revenue, the profit before taxation recorded in the first quarter of 2013 of RM368.1 million, was RM2.6 million or 0.7% lower than the RM370.7 million recorded in the same quarter of 2012. The reduction was also attributable to the higher selling and distribution expenses.

    The Total Toyota and Perodua vehicle sales of 69,426 units represented 44.0% of the total industry volume of 157,664 units reported by the Malaysian Automotive Association for the quarter ended 31st March 2013.

    Equipment Segment

    The revenue of Equipment Segment declined by 22.0% or RM135.4 million mainly due to the lower demand for UMW's major equipment in Myanmar. However, this was compensated by the higher parts sales in Niugini.

    Despite the lower revenue, the profit before tax of the Equipment Segment increased to RM59.1 million from RM54.1 million registered in the same quarter of 2012, an improvement of 9.2% or RM5.0 million. The improved profit was mainly contributed by the business improvement in Niugini and lower operating expenses.

    Oil & Gas Segment

    The revenue of the Oil & Gas segment of RM178.7 million was RM97.3 million or 35.3% lower than RM276.0 million recorded in the previous corresponding quarter. The profit declined by RM19.6 million or 45.5% from RM43.1 million to RM23.5 million.

    The lower revenue and profit was largely attributable to:

    a) 72 operating days of Naga 1 compared to the full quarter operations in the first quarter of 2012 of 91 days due to the refurbishment exercise; and

    b) lower revenue from the trading of oilfield products and services.

    Manufacturing & Engineering Segment

    The revenue for the current quarter of RM177.1 million was higher than the RM158.4 million recorded in the same quarter of 2012 mainly due to the higher demand for our products.

    The higher revenue had contributed to the higher profit before taxation for the first quarter of 2013 of RM9.4 million compared to the RM4.1 million recorded in the same quarter of 2012.

    Current Prospect

    Automotive Segment
    UMW Toyota and Perodua are maintaining the 2013 sales targets, despite the intense competition in the market with aggressive promotions on new model launches.

    Equipment Segment
    The Equipment segment revenue is expected to continue to improve despite the uncertain external factors which may affect the demand for equipment. Profitability of this segment is expected to sustain resulting from better cost management and increased parts sales.

    Oil & Gas Segment
    The performance of the Oil & Gas segment is expected to continue to improve for the remaining quarters of 2013 from the full contributions of refurbished Naga 1, Naga 2 with a higher daily operating rate, Naga 3 and additional contribution from the new Naga 4.

    Manufacturing & Engineering Segment
    The performance of the Manufacturing & Engineering segment is expected to improve for the remaining quarters of 2013 due to the following -
    • higher capacity utilisation for the automotive component plants and lubricant plant in China; and
    • increased sales of Repsol and Pennzoil lubricant products.

    Barring unforeseen circumstances, the Board is of the view that the Group's performance for 2013 will remain satisfactory.

  • UMW acquires another Premium Jack-Up Drilling Rig
    UMW acquires another Premium Jack-Up Drilling Rig

    Singapore, 23 May 2013 - UMW Holdings Berhad announced that UMW Rig Asset (L) Ltd., a wholly-owned subsidiary of UMW Oil & Gas Corporation Berhad ("UMW Oil & Gas"), which in turn, is a wholly-owned subsidiary of UMW, signed a Share Purchase Agreement today with S.D. Standard Drilling PLC., to acquire a premium jack-up drilling rig through the acquisition of the entire equity interest in Offshore Driller 4 Ltd. ("OD-4"). The total consideration for this investment amounts to USD223.0 million. The acquisition of this new jack-up drilling rig is part of UMW Oil & Gas' plans to further develop its offshore drilling operations. The premium jack-up drilling rig is currently being constructed by a reputable and established rig builder, and is of higher specifications and design than a typical jack-up drilling rig to enable operations in much more challenging environments. The completion and delivery of the premium jack-up drilling rig is expected to be in May 2014.

    UMW Oil & Gas currently has a fleet of four offshore drilling rigs and has been carrying out offshore drilling for a number of wells since 2005. NAGA 1, a semi-submersible drilling rig, is co-owned with Japan Drilling Co. Ltd. UMW Oil & Gas also owns and operates three premium jack-up drilling rigs; NAGA 2, NAGA 3 and UMW NAGA 4. NAGA 1, NAGA 3 and UMW NAGA 4 are contracted out to PETRONAS Carigali Sdn. Bhd. for operations in Malaysia, while NAGA 2 will commence its operations in Vietnam for Petrovietnam Drilling and Well Services Corporation by June 2013.

    "This acquisition marks another milestone in our offshore drilling business. The new addition to our premium jack-up drilling rig family will enable UMW Oil & Gas to further enhance its assets portfolio for our future expansion plan and extend our services to address the high demand for jack-up drilling rigs in Malaysia and in the Asia Pacific region", said Rohaizad Darus, President, UMW Oil & Gas Corporation Berhad.

    UMW Oil & Gas is also developing a drilling academy, the UMW Drilling Academy, to train more Malaysians, not only for UMW Oil & Gas' needs but also for other drilling companies operating in Malaysia. With the introduction of this drilling academy, the nation will have a continuous supply of capable and skilled personnel to meet the needs of the industry.

  • UMW announces proposal to list its oil & gas business
    UMW announces proposal to list its oil & gas business

    Shah Alam, 16 May 2013 - UMW Holdings Berhad ("UMWH" or Company") announced today that it proposes to list its wholly-owned subsidiary, UMW Oil & Gas Corporation Berhad ("UMW-OG"), on the Main Market of Bursa Malaysia Securities Berhad ("Bursa Securities").

    In this regard, UMW-OG proposes to undertake the following:

    (i) an initial public offering ("IPO") of up to 843,180,000 ordinary shares of RM0.50 each in UMW-OG ("UMW-OG Shares"), comprising an offer for sale of up to 231,380,000 UMW-OG Shares and a public issue of 611,800,000 new UMW-OG Shares to retail and institutional investors ("Proposed IPO"); and

    (ii) the listing of and quotation for its entire enlarged issued and paid-up share capital of RM1,081,000,000 comprising 2,162,000,000 UMW-OG Shares on the Main Market of Bursa Securities ("Proposed Listing").

    The Company also intends to undertake an internal reorganisation which involves the transfer of the offshore drilling business and certain companies in the oilfield services division under UMWH and its subsidiaries ("UMWH Group") to UMW-OG prior to the Proposed IPO and Proposed Listing. Accordingly, UMW-OG had on 14 May 2013 entered into sale and purchase agreements in relation to the internal reorganisation with UMWH Group.

    Upon completion of the internal reorganisation, UMW-OG and its existing and proposed subsidiaries and proposed associated company ("UMW-OG Group") will be principally involved in the upstream sector of the oil and gas industry, providing offshore drilling and oilfield services which includes engineering and maintenance services.

    Under its drilling services business, UMW-OG Group provides offshore drilling and workover services with its fleet of four (4) offshore drilling rigs and four (4) hydraulic workover units ("HWUs") that it operates in Malaysia and other parts of South East Asia. UMW-OG Group operates and jointly owns one (1) semi-submersible drilling rig, namely Naga 1, as well as wholly owns and operates three (3) premium jack-up drilling rigs, namely Naga 2, Naga 3 and Naga 4. UMW-OG Group is also a PETRONAS-licenced provider of HWU services and is the sole Malaysian-owned drilling contractor owning and operating HWUs. In addition, UMW-OG also acts as an agent in Malaysia for international companies providing specialised drilling equipment and services.

    Under its oilfield services business, UMW-OG Group has operations in Malaysia, Thailand, China and Turkmenistan, providing oil country tubular goods ("OCTG") threading, inspection and repair services focused on premium connections. In Malaysia, the UMW-OG Group provides these services at two plants located in Labuan. In Thailand, the UMW-OG Group provides premium threading, inspection and related workshop services at its plants in Songkhla and Sattahip. In China, UMW-OG Group offers similar services, as well as premium accessories threading, at its plant in Tianjin. In Turkmenistan, UMW-OG Group's workshop in Turkmenbashy provides OCTG threading, inspection and repair services. The UMW-OG Group's oilfield services business also offers engineering and maintenance services as a customised equipment packager and a total solution provider for power generators and other equipment used in the oil and gas market.

    UMWH's President and Group CEO, Datuk Syed Hisham bin Syed Wazir said, "The proposed listing of UMW-OG is a key strategic initiative by UMWH which is expected to accelerate the growth of the oil and gas business within the UMWH Group and enable UMWH to unlock and crystallise the value of its investment in the UMW-OG Group and enhance the shareholders' value at UMWH level." Additionally, the proceeds from the offer for sale will enable UMWH to reduce its existing borrowings thus further improving its capital structure and providing further flexibility for UMWH to raise funds for other strategic purposes such as earnings accretive acquisitions.

    The Proposed Listing would also further enhance UMW-OG Group's profile, increase its visibility as one of the leading oil and gas companies in Malaysia and enable a wider base of investors to participate in the future performance of the UMW-OG Group. The proceeds from the public issue will also provide UMW-OG with the financial resources to pursue growth opportunities.

  • UMW announces alliance with the Blue Bird Group
    UMW announces alliance with the Blue Bird Group

    Jakarta, 16 May 2013 - UMW M&E Sdn. Bhd., a wholly-owned subsidiary in the UMW Group, today announced its joint venture with the Blue Bird Group (BBG) of Indonesia through the latter's nominee, PT Pusaka Sukucadang Indonesia to provide lubricants, automotive components and service centre operations in Indonesia. The collaboration is part of UMW's strategy of moving up the value chain of its manufacturing & engineering operations.

    The authorised share capital of the Joint Venture Company at the date of incorporation will be USD4,000,000 made up of 4,000,000 ordinary shares of USD1.00 each. Under the agreement, UMW M&E and BBG will jointly establish a Joint Venture Company in Indonesia with an initial paid-up share capital of USD1,000,000 divided into 1,000,000 ordinary shares of USD1.00 each in the proportion of 49% UMW M&E and 51% BBG.

    The Blue Bird Group is one of Indonesia's leading transportation companies with operations in major cities including Jakarta, Bali and Bandung. It currently has a fleet of more than 26,000 vehicles. BBG is one of the first Indonesian companies to implement the strict use of metered-taxis and radio communications in air-conditioned vehicles in Indonesia. The group has expanded its business to cover five main areas - passenger transportation, logistics services, industrial/manufacturing, property and support services.

    The joint-venture will be UMW M&E's first foray to penetrate the Indonesian market. "With this platform, UMW and BBG will be able to explore other potential businesses in Indonesia", said UMW President and Group CEO, Datuk Syed Hisham Syed Wazir. He added that the proposed joint venture marks a significant step for UMW to further strengthen and solidify its core bases and more importantly, as an impetus towards a new frontier in its quest to penetrate new high growth market.

    The agreement was signed on-behalf of UMW by Datuk Syed Hisham Syed Wazir while Ms. Noni Purnomo, President Director of PT. Pusaka Sukucadang Indonesia signed on-behalf of the Blue Bird Group. Also present to witness the signing ceremony were UMW Board Members, Dato' Dr Nik Norzrul Thani and Dato' Mohd Nizam Zainordin. Witnesses from the Blue Bird Group were President and Director, Dr Haji Purnomo Prawiro, and Mr. Kresna P. Djoksoetono, the President Commissioner of PT. Pusaka Sukucadang Indonesia.

  • UMW extends collaboration with PINTAR
    UMW extends collaboration with PINTAR

    Shah Alam, 15 May 2013 - UMW Holdings Berhad announced today its extension of its joint efforts with the Government in the PINTAR programme for the year 2013. PINTAR or Promoting Intelligence, Nurturing Talent and Advocating Responsibility is aimed at fostering excellence amongst underprivileged students in rural areas.

    UMW's involvement in the programme came as early as 2007 when they adopted 2 schools in Pulau Pinang with a total of 753 beneficiaries. UMW is the premier partner of Yayasan PINTAR and have spent almost RM900,000 towards the programme from 2007 to 2012. Up until 2012, it has been recorded that over 11,000 students from the 16 adopted schools have benefitted from 3-year adoption programme.

    Datuk Syed Hisham Syed Wazir, President & Group CEO, UMW Holdings Berhad said that the UMW Group has allocated RM220,000 towards the PINTAR programme this year that will benefit more than three thousand students. The funds will be used to help the adopted schools manage and organise UPSR motivational camps, extra tuition classes as well as workbooks and parent-teacher engagement programmes.

    This year, UMW will adopt five more schools to its PINTAR programme. The recipients for the year 2013-2015 are from SK Bandar Banting, Banting (Selangor) , SJK (T) Sungai Renggam, Shah Alam (Selangor), SK Batu Laut, Kuala Langat (Selangor), SJK (C) Moh Ghee Cawangan, Georgetown (P. Pinang) and SK Kati, Kuala Kangsar (Perak)

    As part of acknowledging 2012's performance, a token of appreciation will also be given to three students from each adopted school who did well in last year's UPSR examination. An award will also be given to SK Bukit Cheding (A) for successfully beating more than 300 schools at the National level of the PINTAR BattleBot Challenge 2012.

    Present to officiate the launch was Chairman of Yayasan PINTAR, Tan Sri Dato' Seri Arshad Ayub, representatives from Yayasan PINTAR and Khazanah Nasional Berhad as well as students and teachers from the recently adopted schools.

  • UMW Organises Workshop for PKOKM
    UMW Organises Workshop for PKOKM

    Shah Alam, 2 May 2013 - As part of UMW's continuous support to the community, its Corporate Social Responsibility (CSR) unit along with 8 volunteers from UMW's volunteer programme helped organise a motivational workshop for the Little People National Organisation of Malaysia (or PKOKM). About 30 participants from the organisation came to attend the workshop that was conducted by Trainers Asia.

    PKOKM was first established in 1983 with the objective of improving the living standards among 'little people' towards self reliance as well to encourage competitiveness in achieving great success.

    Apart from the workshop's objective of inspiring and motivating the participants, it was also an opportunity to expose UMW's volunteers to the plight of this community that is rarely seen by the general public. The workshop is the first series of programmes in 2013 for the disabled community planned under its CSR division. The Group also contributed RM3,000 in cash to the organisation.

    Last year, they have managed to organise three events with disabled community which included a charity bazaar for the Malaysian Association for the Blind (MAB), as well as a mini-sports carnival for Rumah Pertubuhan Kanak-Kanak Insan Istimewa Cemerlang in Rawang. This year, the division has targeted to organise four events for the disabled community.

    UMW's employee-volunteer programme, the UMW Community Champions has clocked more than 11,500 hours in service to the community since it was launched in 2009 with a target to add another 4,000 hours in 2013.

  • UMW Enrols 34 into Graduate Enhancement Programme
    UMW Enrols 34 into Graduate Enhancement Programme

    Shah Alam, 30 Apr 2013 - UMW Holdings Berhad announced today that it has enrolled 34 young graduates into its Skim Latihan 1Malaysia (SL1M) Graduate Enhancement Programme (GEP). They are part of the third batch of participants under this programme. The SL1M-UMW: GEP is an intensive programme devised to provide a fast track scheme to Malaysian university graduates - equipping them with skills consisting of soft skills training for 6 weeks and on-the-job-training for 24 weeks.

    UMW has been an avid supporter of this programme since it was mooted by the Prime Minister in 2011, under the Secretariat of the Economic Planning Unit (EPU). In UMW, the programme is not only a strategic initiative in human capital development, but also a corporate responsibility initiative by the Company to provide the GEP trainees with a platform to shape their careers and gain learning experience as well as exposure to business activities, products and services. Under the programme, the UMW Group had successfully absorbed 36 graduates after training close to 80 potential candidates previously.

    "I am happy to report that 100% of the second batch of SL1M participants has secured permanent jobs after completing the programme. 16 participants have been absorbed by UMW, whilst 24 participants have spread their wings and have managed to find careers elsewhere", said Datuk Syed Hisham Syed Wazir, President and Group CEO of UMW Holdings Berhad. He added that he sincerely hoped the candidates will grab this opportunity and make their time worthwhile in UMW.

    Datuk Syed Hisham together with Dr. Mohd Gazali Abas, Director of Human Capital Development Section of the Economic Planning Unit under the Ministry of Finance was on-hand to present the Certificate of Participation to the second batch of graduates as well as welcoming the third batch of UMW-GEP participants.

  • UMW Achieves Record PBT of RM2 Billion (Audited Account) for 2012
    UMW Achieves Record PBT of RM2 Billion (Audited Account) for 2012

    Shah Alam, 25 Apr 2013 - The UMW Group announced today that its Group revenue of RM15,863.6 million for the financial year ended 31 December 2012 exceeded the RM13,535.8 million registered in the same period of 2011, an increase of RM2,327.8 million or 17.2 percent (14.67). All four core business segments of the Group reported higher revenue during the period under review.

    In tandem with the rise in revenue, the Group profit before taxation increased substantially to RM2,009.7 million, a growth of 47.2% or RM644.4 million from the RM1,365.3 million registered in the same period of 2011. This achievement represents a new record for the Group. All four core business segments of the Group registered better profit for the financial year of 2012.

    Consequently, net profit attributable to equity holders of the Company for the financial year ended 31 December 2012 improved significantly to RM994.3 million from the RM485.8 million registered during the year 2011, a surge of RM508.5 million or 104.7%.

    "2012 was another record-year for the UMW Group. In tandem with the rise in revenue, our profit before taxation increased substantially to RM2 billion, from the RM1.4 billion registered in 2011. We look forward to challenging ourselves for a better 2013.", said Datuk Syed Hisham Syed Wazir, UMW President and Group CEO.

    Prospects for 2013

    Automotive Segment
    The Malaysian Automotive Association (MAA) forecasts the total industry volume (TIV) for the year 2013 to improve by about 2% to 640,000 units from the 627,753 units achieved in 2012.

    Collectively, UMW Toyota Motor and Perodua target to sell more units than the 295,759 units sold in 2012. The UMW Group had a market share of 47.1% in 2012.

    2013 will remain challenging due to intense competition in the market with aggressive promotions on new model launches in the automotive industry.

    Equipment Segment
    Revenue for the Equipment segment is expected to be slightly lower than 2012. Uncertain external factors may affect the demand for equipment.

    However, the profitability of this segment is expected to sustain resulting from better cost management and increased parts sales.

    Oil & Gas Segment
    The performance of the Oil & Gas segment is expected to improve in 2013 contributed by:-
    1. Full-year contribution from NAGA 1
    2. Contribution from NAGA 4. NAGA 4 received a contract from Petronas Carigali Sdn. Bhd. for a 3-year period worth USD157.68 million in April 2013.
    3. Commissioning of the new Electric Resistance Welded (ERW) and coating plant in China.


    Manufacturing & Engineering Segment
    The performance of this segment is expected to improve considering the following major activities planned for 2013:-
    1. Higher capacity utilisation of our automotive component plants in India and lubricant plant in China, and
    2. Increased sales of Repsol and Pennzoil lubricants.

  • UMW Plants 1,500 Trees with JPNS
    UMW Plants 1,500 Trees with JPNS

    Sepang, 6 Apr 2013 - 30 volunteers from UMW's volunteer programme planted 1,500 trees at an event jointly collaborated by UMW, the Selangor Forestry Department (JPNS), UMW Toyota Motor, Perodua, the Selangor Water Management Authority as well as the Sepang local municipal council. The mangrove rehabilitation programme was held at the mangrove coastal of Sungai Pelek in Sepang. The event was also to commemorate World Earth Day which falls on 22 April 2013.

    Last year, 50 of UMW's volunteers along with its partners and the local community had managed to plant 1,500 trees around the same area. It was reported by the Selangor Forestry Department that 90% of the trees are growing healthily.

    Sungai Pelek is known as a stopover and feeding area for various species of migratory birds. It is also an important buffer area for rivers against natural disasters including soil erosion, hurricanes and tsunamis.

    Apart from its obvious ecological benefits, a mangrove forest can absorb 50 times more carbon than a tropical forest of the same size, making it a crucial ally in the fight against climate change.

    As an extension of UMW's CSR efforts, its employee-volunteer programme known as the UMW Community Champions has clocked more than 11,500 hours in service to the community since it was launched in 2009.

  • UMW Visits Peadiatric Ward in Kangar
    UMW Visits Peadiatric Ward in Kangar

    Perlis, 4 Apr 2013 - In conjunction with Minggu Saham Amanah Malaysia (MSAM) which takes place on 20 April, the UMW Group organised a visit to the pediatric ward of Hospital Tuanku Fauziah in Kangar. The activity is part of the UMW pre-MSAM CSR event was also in line with the 1Malaysia Programme to continuously support the local community regardless of race, religion, gender or politics.

    Dr. Wafi Nazrin Abdul Hamid, Executive Director of UMW Corporation was on-hand to donate the items which included 1 unit patient transfer and recovery trolley, 2 water heater units and a brand new refrigerator. The children were also entertained by a local clown and given hampers before the end of the programme.

    "We hope that we had managed to bring some joy to these children as much as we had enjoyed spending time with them and hope we can continue to assist them in the near future", during his opening remarks.

    The UMW Group has a long history of supporting a number of non-profit and non-political organisations through its community programmes. The Group's Corporate Social Responsibility (CSR) strategy is comprehensive and goes beyond just funding charitable projects, benchmarking against international best practices in the marketplace, the workplace, the environment and the community.

  • UMW Participates In Beach Cleaning Programme
    UMW Participates In Beach Cleaning Programme

    Selangor, 30 Mar 2013 - As part of its on-going CSR programme, UMW, one of the nation's biggest conglomerates, took part in organising a beach clean-up programme at Pantai Remis, Jeram. Its internal volunteer group, the UMW Community Champions, together with Lembaga Urus Air Selangor (LUAS) and the Kuala Selangor municipal council spent the whole of Saturday morning cleaning the beach at Pantai Remis. The event was also to commemorate World Water Day held on 22 March 2013.

    Pantai Remis is a well known picnic spot for families during weekends. Due to its popularity over the years, the once clean and pristine tourist attraction is now littered with rubbish being disposed indiscriminately. With the help of some 40 UMW Community Champions and 40 volunteers from the Kuala Selangor Municipal Council, LUAS and the local community, they have managed to collect more than 90kg of rubbish at the end of the programme.
    UMW President & Group CEO, Datuk Syed Hisham Syed Wazir said, "Although this was a small effort, we hope that it was able to teach, especially the young, on the importance in taking care of our environment. After all, we ourselves do not inherit the earth, but merely borrow it from our children".

    The UMW Group has a long history of supporting a number of non-profit and non-political organisations through its community programmes. The Group's Corporate Social Responsibility (CSR) strategy is comprehensive and goes beyond just funding charitable projects, benchmarking against international best practices in the marketplace, the workplace, the environment and the community.

  • UMW Equipment Awarded Contract to Supply Airport Fire Vehicles to MAHB
    UMW Equipment Awarded Contract to Supply Airport Fire Vehicles to MAHB

    Langkawi, 24 Mar 2013 - The UMW Group announced today that its wholly-owned subsidiary, UMW Equipment Sdn. Bhd., has been awarded a contract to supply Airport Fire Fighting Vehicles and Tactical Simulator Static Cabins to Malaysia Airports Holdings Berhad (MAHB) at a total value of more than RM45 million. The contract also includes comprehensive maintenance services of Airport Fire Vehicles and provisional spare parts. The supply, delivery, testing and commissioning of the vehicles is in-line with the second phase of fleet replacement by MAHB.

    The hand-over date for the second phase of fleet replacement is scheduled for April 2014, followed by its second and third deliveries in July and October 2014. The fourth and final delivery of the Airport Fire Fighting Vehicles will take place sometime in March 2015.

    In October 2010, UMW Equipment Sdn. Bhd., was also awarded a contract to supply a total of 21 Rosenbauer Airport Fire Fighting Vehicles to Malaysia Airports Holdings Berhad (MAHB) at a total value of more than RM75 million. The contract also includes a comprehensive maintenance agreement for a period of 15 years for all the vehicles. Strategic location of UMW Equipment's branches in major towns across Malaysia where MAHB airports operate will ensure quick and efficient response to the maintenance and service needs of these vehicles. UMW Equipment's personnel are also involved in the on-going skills and training programme of the latest Rosenbauer in-built diagnostics system.

    The Rosenbauer Panther CA5 made its debut in Malaysia in August 2009 at the PETRONAS Kertih Airport, after successful introduction in the United States, Europe and other parts of Asia. The Panther is known to be one of the world's most sophisticated vehicles used in fire-fighting emergencies. Manufactured and assembled in Rosenbauer, Austria, the vehicle is capable of one-man operations with a capacity of 12,500 litres of water and can cater to a wide spectrum of fire emergencies. It is considered the flagship in the Rosenbauer fleet, and is growing steadily in numbers at airports around the world, including the Kuala Lumpur International Airport.

    UMW Equipment had also supplied nine units of the older model Panther DD series to Malaysia Airport Berhad (MAB) and TUDM airports/bases in East and West Malaysia.

  • UMW & MERCY Organises Mobile Clinic
    UMW & MERCY Organises Mobile Clinic

    Kuala Lumpur, 23 Mar 2013- As part of its on-going CSR programme, UMW and MERCY Malaysia took part in organising a mobile clinic programme held at Yayasan Chow Kit or formerly known as Rumah Nursalam. The programme is part of a series of community centred events held under the UMW 1Malaysia Programme. Its internal volunteer group, the UMW Community Champions, together with MERCY, spent the day by conducting therapy and health educational programmes with the resident children of Yayasan Chow Kit. Talks on sex education as well as oral hygiene and awareness were also conducted with the children.

    UMW President & Group CEO, Datuk Syed Hisham Syed Wazir said, "This is our way in helping to develop a caring society and at the same time promote the 1Malaysia concept among our Community Champions through the various activities that we have planned for the year".
    The UMW Group is scheduled to organise a visit to the paediatric ward of Hospital Tuanku Fauziah in Kangar to distribute RM7,000 worth of hampers on 4 April 2013 as part of the series of CSR activities under the UMW 1Malaysia Programme.

    The UMW Group has a long history of supporting a number of non-profit and non-political organisations through its community programmes. The Group's Corporate Social Responsibility (CSR) strategy is comprehensive and goes beyond just funding charitable projects, benchmarking against international best practices in the marketplace, the workplace, the environment and the community.

  • UMW secures PetroVietnam Job
    UMW secures PetroVietnam Job

    Ho Chi Minh, 21 Mar 2013 - UMW Standard Drilling Sdn. Bhd. (UMWSD), a wholly-owned unit under UMW Holdings Berhad has secured a contract from PetroVietnam Drilling & Well Services Corporation (PV Drilling) for the provision of jack-up drilling rig and services.

    The contract was signed yesterday in Ho Chi Minh City, Vietnam. Rohaizad Darus, President of UMW Oil & Gas Corporation Sdn. Bhd. signed on behalf of UMWSD, while PV Drilling was represented by its President & CEO, Pham Tien Dung.

    Provisions in the contract include UMW's jack-up drilling rigs, Naga 2 and related drilling services to PV Drilling to drill wells for the end client, Hoang Long Joint Operating Company.

    The UMWSD - PV Drilling contract is for a duration of six (6) months with an option for another six (6) months.

    Rohaizad said, "We thank our new client PetroVietnam Drilling & Well Services Corporation for their trust in our ability and our asset and we hope to build a long term relationship with them in Vietnam". 

    Now that the contract has been secured, the jack-up drilling rig, NAGA 2 will be moved and is expected to be in Vietnam waters in May, after completing its contract in Indonesia with Hess (Indonesia-Pangkah) Limited, expected to end in April.

    Rohaizad added, "This contract marks another milestone in our forays outside Malaysia, particularly in the Asia Pacific region. We will be completing our current drilling campaign in Indonesia soon and I believe our international operational experience there will be handy for our upcoming operations in Vietnam."

    NAGA 2 is a premium independent-leg cantilever jack-up rig that has a drilling depth capability of 30,000 feet and has a rated operating water depth of 350 feet.

  • UMW Achieves PBT of RM2 Billion For 2012
    UMW Achieves PBT of RM2 Billion For 2012

    Shah Alam, 26 Feb 2013 - The UMW Group announced today that its Group revenue of RM4,090.3 million for the fourth quarter ended 31 December 2012 exceeded the RM3,456.7 million registered in the preceding year's corresponding quarter by RM633.6 million or 18.3 percent.  The higher revenue was mainly contributed by the Automotive and Oil & Gas segments.

    Consequently, Group profit before taxation of RM459.4 million for the fourth quarter ended 31 December 2012 outperformed the RM350.0 million registered in the preceding year's corresponding quarter by 31.3% or RM109.4 million. All business segments with the exception of the Automotive segment, registered improved profit before taxation in the fourth quarter of 2012.

    Net profit attributable to equity holders of the Company in the fourth quarter of 2012 improved substantially to RM207.6 million from the RM84.1 million recorded in the same quarter of 2011, an increase of RM123.5 million or 100 percent.

    Group revenue for the financial year ended 31 December 2012 of RM15,890.2 million exceeded the RM13,535.8 million registered in the same period of 2011, an increase of RM2,354.4 million or 17.4 percent. All four core business segments of the Group reported higher revenue for the period under review.

    In tandem with the increase in revenue, the Group profit before taxation increased substantially to RM2,000.5 million, an increase of 46.5 percent or RM635.2 million from the RM1,365.3 million registered in the same period of 2011. All four core business segments of the Group registered better profit for the financial year of 2012.

    Consequently, net profit attributable to equity holders of the Company for the financial year ended 31 December 2012 improved significantly to RM951.0 million from the RM485.8 million registered in the year 2011,  a surge of RM465.2 million or 95.8 percent.

    Automotive Segment

    Revenue for the Automotive segment of RM3,049.0 million for the fourth quarter of 2012 exceeded the RM2,416.4 million registered in the same quarter of 2011 by RM632.6 million or 26.2 percent. The revenue increase was attributable to higher sales of Toyota vehicles in the fourth quarter of 2012 by approximately 28.4 percent or 6,070 units compared to the same quarter of 2011, which was affected by the March 2011 tsunami in Japan and flood in Thailand.

    However, Perodua recorded a reduction of 5,417 units or 10.8 percent in vehicle sales in the fourth quarter of 2012 compared to the same quarter of 2011.

    Despite the higher revenue, profit before taxation recorded in the fourth quarter of 2012 of RM426.0 million, was RM50.7 million or 10.6 percent lower than the RM476.7 million recorded in the same quarter of 2011. The reduction was attributable to the following:

    • Higher selling and distribution expenses: and
    • Unfavourable USD exchange rate fluctuations.

    Equipment Segment

    The revenue for the Equipment segment in the fourth quarter of 2012 declined by RM99.5 million or 18.5 percent over the RM537.3 million recorded in the same quarter of 2011. Generally, demand for its heavy and industrial equipment had softened due to the slow-down in the economy of the countries where it operates. Suspension of some mining activities overseas has also affected the demand for its mining equipment.

    Despite the lower revenue, the Equipment segment registered a profit of RM9.5 million versus the RM37.4 million loss registered in the same quarter of 2011. This was due to a turnaround of an overseas subsidiary which had registered a substantial loss in the corresponding reporting period.

    Oil & Gas Segment

    The Oil & Gas registered a higher revenue of RM412.8 million in the fourth quarter of 2012 compared to the RM334.5 million recorded in the same quarter of 2011, an increase of RM78.3 million or 23.4 percent. The revenue improvement was attributable to the following:

    • Increase in day rate for NAGA 3 offshore rig;
    • Additional revenue contribution from the Garraf Power Plant Phase 1 project; and
    • Full quarter revenue contribution from HAKURYU-5, a semi-submersible rig. HAKURYU-5 was income-generating from November 2011.

    The increase in revenue has resulted in a profit of RM4.2 million compared to a loss of RM150.4 million in the corresponding quarter of 2011. The positive contribution was due to the favourable movement in fair value of its overseas quoted investments as well as the lower impairment on investment and certain assets of the segment.

    Manufacturing & Engineering Segment

    Revenue for the Manufacturing & Engineering segment improved in the fourth quarter of 2012 by RM6.2 million or 3.6 percent compared to the same quarter in 2011. The higher revenue was contributed by stronger demand for Kayaba products and improved sales from its new automotive component and lubricant business in India and China, respectively.

    Higher revenue had contributed to higher profit before taxation for the fourth quarter of 2012 of RM1.7 million compared to a loss of RM13.0 million recorded in the same quarter of 2011. It was also attributable to the gain on fair value assessment of derivative which had resulted from the strengthening of USD against INR.

    Dividend

    The Board is pleased to declare a final single-tier dividend of 50 percent or 25.0 sen (2011 - 15 percent or 7.5 sen) per share of RM0.50 each, amounting to a net dividend payable of approximately RM292.1 million (2011 - RM87.6 million) for the financial year ended 31 December 2012, if approved by shareholders, the dividend will be paid on 15 August 2013.

    The total single-tier dividend for the financial year ended 31 December 2012 would be 50.0 sen or 100 percent per share of RM0.50 each, amounting to approximately RM584.1 million of net dividend (2011 - 31.0 sen or 62 percent per share of RM0.50 each, amounting to a net dividend of RM362.2 million).

  • UMW Takes Delivery of New Jack-Up Drilling Rig
    UMW Takes Delivery of New Jack-Up Drilling Rig

    Shah Alam, 17 Feb 2013 - UMW Oil & Gas Corporation Sdn. Bhd., a wholly-owned subsidiary of the UMW Group, took delivery of its new jack-up drilling rig, UMW NAGA 4, in Singapore yesterday. UMW signed an agreement to purchase the rig in June 2012 at a cost of USD214 million. The rig was constructed by Keppel FELS Limited.

    This is the Group's third jack-up drilling rig, in addition to NAGA 2 and NAGA 3. This premium jack-up drilling rig is of high specifications and is able to work in more challenging environments. It has the capability to work in deepwaters up to 400 feet and has a drilling depth of 30,000 feet. UMW NAGA 4 is built to Keppel's proprietary KFELS B Class design, which is today the industry standard for modern jack-up rigs. It incorporates Keppel's advanced and fully-automated high capacity rack and pinion elevating system and self-positioning fixation system.

    The delivery of this new rig marks another important milestone in UMW Oil & Gas' history. It is also part of the company's long-term plan to increase its fleet of drilling rigs to expand into regional markets and eventually becoming a global oil & gas player.

    Rohaizad Darus, President of UMW Oil & Gas Corporation said, "At present, UMW Oil & Gas is actively involved in Indonesia, Thailand, China and Turkmenistan, but we are also aggressively developing new markets within ASEAN and the Asia-Pacific region. We are expanding our asset base to address these new markets and the higher technical requirements of the industry".

    UMW Oil & Gas is presently the only Malaysian company that owns and operates jack-up drilling rigs. NAGA 2 is currently working in Indonesia for Hess (Indonesia-Pangkah) Ltd., while NAGA 3 is working for Petronas Carigali in Malaysia.

    Rohaizad added, "The delivery of UMW NAGA 4 is significant not only for UMW, but also for the Malaysian oil and gas industry. This rig will be the third jack-up drilling rig fully owned and operated by a Malaysian company. Besides providing the capacity and capability required for UMW's long term expansion plan, the rig will also provide opportunity for Malaysians to be trained and exposed to premium modern jack-up drilling rig".

    UMW NAGA 4 has the capacity to accommodate 150 people, about 25% more than typical jack-up drilling rig of its class. The additional capacity will be used to take in trainees from the drilling academy established by UMW under collaboration with Petronas' skills training arm, Institut Teknologi Petroleum Petronas (INSTEP).

2012's News


  • UMW Achieves PBT of RM597.6 Million for 3Q12
    UMW Achieves PBT of RM597.6 Million for 3Q12

    Shah Alam, 23 Nov 2012 - The UMW Group announced today that its Group revenue of RM3,964.3 million for the third quarter ended 30 September 2012 surpassed the RM3,691.4 million registered in the preceding year's corresponding quarter by RM272.9 million or 7.4 percent. All business segments with the exception of the Equipment segment, registered improved revenue in the third quarter of 2012.

    Group profit before taxation for the third quarter of 2012 surged to RM597.6 million from the RM391.9 million registered in the same quarter of 2011, an increase of 52.5 percent or RM205.7 million. In addition to the higher revenue mentioned above, turnaround from a loss to a profit position achieved by both the Oil & Gas and the Manufacturing & Engineering segments also contributed to the significant increase in Group profit before tax.

    Net profit attributable to equity holders of the Company in the third quarter of 2012 rose to RM299.1 million from the RM146.9 million recorded in the same quarter of 2011, an increase of RM152.2 million or 103.6 percent.

    Automotive Segment
    For the third quarter of 2012, sale of Toyota vehicles improved by approximately 7.6 percent or 1,879 units compared to the same quarter of 2011 which was affected by the March 2011 tsunami in Japan. As a result, revenue of RM2,934.9 million for the third quarter of 2012 exceeded the RM2,616.1 million registered in the same quarter of 2011 by RM318.8 million or 12.2 percent.

    However, for the third quarter of 2012, Perodua recorded a reduction of 2.9 percent or 1,400 units in vehicle sales compared to the same quarter of 2011. Bank Negara Malaysia's tighter guidelines on responsible lending continue to affect sales of its entry-level Viva model.
    Higher Toyota vehicle sales, favourable model mix and lower selling and distribution expenses mainly accounted for the improved profit contributions in the third quarter of 2012.

    For the third quarter ended 30 September 2012, total Toyota and Perodua vehicle sales of 73,577 units represented 46.8 percent of the total industry volume of 157,223 units. In the third quarter of 2011, a total of 73,137 units of Toyota and Perodua or 47.8 percent of the total industry volume of 153,041 units were sold.

    Equipment Segment
    Revenue of the Equipment segment declined by 16.4 percent or RM103.7 million in the third quarter of 2012 compared to the same quarter of 2011. Generally, demand for its heavy and industrial equipment has softened due to the slow-down in the economy of the countries it is operating in. Suspension of some mining activities overseas has affected demand for its mining equipment.
    Despite lover revenue, the Equipment segment achieved a higher profit of RM53.4 million versus the RM35.6 million registered in the same quarter of 2011. An overseas subsidiary has reported profit in the third quarter of 2012 as opposed to a substantial loss from a maintenance and repair contract incurred in the same quarter of 2011.

    Oil & Gas Segment
    The Oil & Gas segment posted revenue of RM337.2 million in the third quarter of 2012 compared to the RM295.1 million registered in the same quarter of 2011, an increase of RM42.1 million or 14.3 percent. The revenue improvement was attributable to the following
    • Increase in day rate for Naga 3 offshore rig
    • Additional revenue contribution from the Garraf Power Plant Phase 1 project; 
    • Full-quarter revenue contribution from Hakuryu 5, a semi-submersible rig. Hakuryu 5 was not income-generating in the third quarter of 2011.
    However, the above revenue improvement was partly offset by the zero revenue contribution following the dry-docking of Naga 1 for deep-dish installation.

    The Oil & Gas segment reported a profit of RM21.4 million in the third quarter of 2011. The turnaround was the result of:
    • Improved profit margin from a higher day rate for Naga 3
    • Additional profit contribution from the Garraf Power Plant Phase 1 project;
    • Favourable movement in fair value of its overseas quoted investments and foreign exchange rate for Indian Rupee.
    However, the dry-docking of Naga 1 for deep-dish installation has lowered the profitability of the Oil & Gas segment in the third quarter of 2012. Naga 1 is expected to resume operation in December 2012.

    Manufacturing & Engineering Segment
    The Manufacturing & Engineering segment achieved improvements in both revenue and profit contributions in the third quarter of 2012 compared to the same quarter in 2011. For the current quarter, revenue rose to RM181.6 million from the RM163.7 million recorded in the same quarter of 2011, an increase of RM17.9 million or 10.9 percent. Stronger demand for Kayaba products and improved sales from higher capacity utilisation by its new automotive component plants in India and lubricant plant in China, contributed to the higher revenue.

    In the third quarter of 2012, this segment posted a profit of RM0.9 million in contrast to a loss of RM7.6 million recorded in the same quarter of 2011, an improvement of RM8.5 million. Higher revenue as well as foreign currency exchange gains from the strengthening of Indian Rupee against the United States Dollar contributed to the profit improvement.

    Dividend
    The Board is pleased to declare a second interim single-tier dividend of 30 percent or 15.0 sen (2011-27 percent or 13.5 sen) per share of RM0.50 each, amounting to a net dividend payable of approximately RM175.2 million (2011 - RM157.7 million) for the year ending 31 December 2012, to be paid on 8 February 2013.

  • Toyota Classics 2012 Continues Philanthropic Spirit by Aiding Two Organizations
    Toyota Classics 2012 Continues Philanthropic Spirit by Aiding Two Organizations

    Kuala Lumpur, 8 Nov 2012 - In continuing its philanthropic spirit of community, UMW Toyota Motor rolled out a night to remember, the 21st Toyota Classics for classical music aficionados featuring world renowned Vienna Chamber Orchestra under the masterful baton of famed conductor Joji Hattori and featuring guitarist Soichi Muraji.

    Toyota Classics 2012 celebrates the 30th anniversary of Malaysia's Look East Policy, which was introduced by then Prime Minister Tun Dr. Mahathir Mohamad.

    "The Look East Policy (LEP) has inspired UMW Toyota Motor and many other organisations with roots in Japan to succeed in Malaysia through strategic assimilation of technological know-how, work ethics and good work values from Japan in developing Malaysia's industrial sector," said Datuk Ismet Suki, President of UMW Toyota Motor.

    Toyota Classics is one of UMW Toyota Motor's main pillars of Corporate Social Responsibility. Every year, the musical extravaganza brings internationally well-known orchestras to Malaysian shores, giving Malaysians the invaluable opportunity to enjoy world-class classical music in the country.

    Over the last two decades, Toyota Classics has developed a life of its own, with performances by different orchestras and beneficiaries. Yet the philosophy behind the Toyota Classics programme remains, which is to allow Malaysians to enjoy an enchanting night of music, at the same time donate to charity.

    "Since the inception of the Toyota Classics in 1990 we have raised RM6.6 million to benefit 50 organisations, through ticket sales and corporate donations. This is substantial fundraising for charity and speaks volumes on the generosity of Toyota's business partners and the people of Malaysia," said Datuk Ismet Suki.


     
    The Vienna Chamber Orchestra performed nine songs to enthral the audience at the one night concert, which include reinterpretation of the late Tan Sri P.Ramlee's favourites such as Malam Bulan Di Pagar Bintang, Di Mana Kan Kucari Ganti and Kwek Mambo. The guests of honour at the sold-out concert was Sultan Sharafuddin Idris Shah Al-Haj, the Sultan of Selangor, Tun Dr Mahathir Mohamad and Tun Dr Siti Hasmah Mohd.

    Proceeds from this year's ticket sales and corporate donations amounted more than RM 310,000 were channelled to two charitable and non-governmental organizations for specific purposes. Persatuan Pemulihan Orang-orang Cacat Selangor & Wilayah Persekutuan (PPOC) with a Toyota Hiace to facilitate its residents' mobility. Meanwhile, Malaysia-Japan International Institute of Technology (MJIIT) will receive a Toyota Prius 1.8 for its academia usage.

    The assistance through Toyota Classics is set to benefit Persatuan Pemulihan Orang-orang Cacat Selangor & Wilayah Persekutuan's (PPOC) residents with better logistic. Likewise, its assistance to Malaysia-Japan International Institute of Technology (MJIIT) will help its students and lecturers to travel for assignment and researching purposes in gaining more knowledge.

    The Toyota Classics concerts was conceptualised under the Philanthropic pillar of UMW Toyota Motors' three pillars of CSR to raise funds for charitable organisations and Non-Governmental Organisations (NGOs). The other two pillars are the Environment programmes for secondary school students and the road safety campaign, which is focusing on preschool children.

    UMW Toyota Motor's commitment to CSR has been an integral part of its corporate culture since it was established in 1982. Its CSR approach is consistent with its philosophy of 'A history of service to society' whereby UMW Toyota Motor continually seeks opportunities to contribute to the communities in which they operate their business.

  • UMW Toyota Motor Celebrates 30th Anniversary of Automotive Excellence in Malaysia
    UMW Toyota Motor Celebrates 30th Anniversary of Automotive Excellence in Malaysia

    Kuala Lumpur, 7 Nov 2012 - UMW Toyota Motor Sdn. Bhd., the largest non-national automotive company in Malaysia celebrated 30 years of automotive excellence, here today. Themed 'Growing Together in Harmony', the anniversary celebrates UMW Toyota Motor's past and future commitment to grow together with the nation through harmonising its core areas of customer, society and industry towards the betterment of the community and the nation through motorization.

    UMW Toyota Motor traces its roots back to 1982 when it was established as a joint venture between UMW Corporation and Toyota Motor Corporation. Throughout its history, UMW Toyota Motor remains a key player in the Malaysian automotive industry and has created more than 100,000 direct job opportunities for the local workforce.

    According to Tan Sri Asmat Kamaludin, Chairman of UMW Toyota Motor, the company has contributed significantly to the country's economy through network expansion and enhancement, localization of products that requires upgrading of manufacturing facilities and vendor development.

    "Our strong resource base and productive capacity have become one of the main factors that we have contributed to driving the national economy. We are pleased to announce that we invested and will be investing up to RM 1 billion from 2011 to 2013 that includes further development of our manufacturing facility Assembly Services Sdn. Bhd. (ASSB), expanding our network and concentrating on developing and support our local suppliers so they will be more competitive in this region," said Tan Sri Asmat.

    "UMW Toyota Motor believes human capital development is crucial for long-term growth and success of the company. Thus, we have also introduced the Inter Company Transfer (ICT) programme to enable our employees undergo one to two years of work and training in other Toyota companies in Japan, Thailand and Singapore. The programme is set to improve their skills and experience through exposure at the global level. This program is in line with the Look East Policy that was introduced 30 years ago by then Prime Minister Tun Dr. Mahathir Mohamad in which highlights the assimilation of Japanese working culture and knowledge into local workforce," added Tan Sri Asmat.

    The 30th anniversary celebration highlighted UMW Toyota Motor's contribution in finding eco-friendly solutions for an increasingly environment-conscious world with the proven success of its Toyota Prius, the world's first mass-produced and best-selling hybrid car. Including the Prius, Toyota has sold more than four million hybrid vehicles worldwide so far.

    "We look forward to assisting the Malaysian government to boost the number of eco-friendly vehicles. We will continue our efforts to create awareness on Toyota hybrid technology to allow Malaysians to enjoy the world's best hybrid technology to promote greener living," added Tan Sri Asmat.

    At the glittering anniversary gala dinner, Tan Sri Asmat was joined by over 500 guests including Mr. Shigeru Nakamura, the Japanese Ambassador to Malaysia, Mr. Yukitoshi Funo, Executive Vice President of Toyota Motor Corporation, Datuk Takashi Hibi, Deputy Chairman, UMW Toyota Motor, Datuk Syed Hisham Syed Wazir, President and Group CEO of UMW Holdings Bhd, Datuk Ismet Suki, President of UMW Toyota Motor and former deputy chairmen, managing directors and presidents of UMW Toyota Motor.



    Deputy Minister of International Trade and Industry Malaysia, Yang Berhormat Dato' Jacob Dungau Sagan, the guest of honour representing on behalf of the Minister of International Trade and Industry Malaysia, Yang Berhormat Dato' Sri Mustapa Mohamed at the gala dinner, praised UMW Toyota Motor for being a key player in the country's industrial and economic development over the past 30 years.

    "UMW Toyota Motor is a stellar example of successful Malaysian-Japanese cooperation. The company has grown with the nation, contributing to the economy, to the on-going development of human capital, technology, knowledge and skills transfer."

    "Continuous investment towards improvement has resulted in UMW Toyota Motor progressively introducing more models in Malaysia. This has been instrumental in moving the local automotive industry up the value chain. The introduction of new models has brought in new technology that has positively impacted local manufacturers of automotive parts and components. New jobs were also created for a considerable range of skill specializations, adding dynamism to the industry," said Dato' Jacob.
    "Being a Japanese joint venture, UMW Toyota Motor has assimilated the technological knowledge as well as the work culture from Japan into Malaysia to establish itself as one of the market leaders in the automotive industry," he added.

    Themed "Growing Together in Harmony", UMW Toyota Motor prides itself in harmonising its CSR three pillars that focus on the environment, road safety and philanthropy. The three pillars include philanthropic through Toyota Classics, an annual world-class classical concert which has raised RM6.6 million for more than 50 NGOs in Malaysia thus far as well as Road Safety programme which targeting preschool and primary school children with the aim to raise better and considerate road users in the future. As part of its long term commitment towards the environment, UMW Toyota Motor has also introduced the Toyota Eco Youth programme to cultivate awareness and encourage respect for the environment among youth in secondary school and their surrounding community using problem solving methodology.

  • UMW Synergistic Wins Contract from Petronas Carigali (Turkmenistan) Sdn. Bhd.
    UMW Synergistic Wins Contract from Petronas Carigali (Turkmenistan) Sdn. Bhd.

    Shah Alam, 28 Sept 2012 - UMW Synergistic Generation Sdn. Bhd., a 60 percent-owned subsidiary in the UMW Group, has been awarded a contract by PETRONAS Carigali (Turkmenistan) Sdn. Bhd. to supply a main power generation package for the Diyarbekir Oil Development Project.

    The Diyarbekir Project covers two fields, namely, West Diyarbekir and Central Diyarbekir, both located in Block 1, between 50 and 80 kilometres offshore Turkmenistan. The power generation package for West Diyarbakir includes one unit of 550kW Diesel Engine Generator and one unit of 550kW Gas Engine Generator. The same package will also be supplied to Central Diyarbekir.

    Being a total energy solutions provider, UMW Synergistic Generation is primarily involved in the design, fabrication and packaging of customised rotating equipment and their related components for the oil and gas industry as well as for the public and private sector utility companies. Its total energy solution offering includes diesel and gas generator sets, diesel-driven air compressors and Zone 2 hazardous area generator packages.

    "We would like to thank PETRONAS Carigali Turkmenistan for their confidence and trust in us, and in giving us the opportunity to service them with our products. This has provided us the platform to further develop our operational capabilities and expand our business operations," said UMW Synergistic Generation Sdn. Bhd. Managing Director, Azhari Adnan.

    Turkmenistan is not new to us as we have had a presence there since 2007. UMW Oilfield Services (Turkmenistan) Ltd. provides inspection, repair, maintenance and threading services for Oil Country Tubular Goods (OCTG).

  • Lubetech Clinches Lube Deal with Perodua
    Lubetech Clinches Lube Deal with Perodua

    Kuala Lumpur, 18 Sept 2012 - UMW Holdings Bhd's wholly owned subsidiary, Lubetech Sdn. Bhd., has been appointed as lubricant supplier to Perodua with a sales potential worth RM60 million over a 5-year period.

    The deal will see Lubetech officially supplying automatic transmission fluid, gear oil, brake fluid, radiator coolant and battery water to Perodua Sales Sdn. Bhd., which is responsible for the distribution, sales and after sales services of Perodua vehicles.

    Perodua appointed Lubetech as the sub-supplier at the beginning April this year. From April to August, Lubetech has supplied approximately 500,000 litres of products to Perodua Sales worth RM4 million.

    "As a strategy moving forward, every UMW company has been keeping an eye out for not only new opportunities externally, but also those that are available within the Group", said UMW President and Group CEO, Datuk Syed Hisham Syed Wazir. He added that today's agreement is in line with the UMW Group's business strategy and marks a significant milestone in Lubetech's journey of growth and expansion.

    Lubetech's sales volume to Perodua is expected to reach RM4.3 million from September to December this year, while sales forecast for 2013 is expected to average RM1 million monthly.

    "The deal we seal here today will ensure that our customers are getting the best value-for-money proposition when servicing their Perodua vehicles at our outlets," Perodua Managing Director, Datuk Aminar Rashid Salleh said at the signing ceremony here.

    A total of 1.2 million vehicles was handled by Perodua's service centres in the first 8 months of the year, up 9% from 1.1 million vehicles from the same period last year.

    For 2012, Perodua targets to receive some 1.77 million intake compared to the 1.71 million intake recorded in 2011.

    Perodua has sold over 2.2 million vehicles in its 19-year history, of which 1.4 million units are on the road. Approximately 53% of the 1.4 million current Perodua customers returned to its service centres for maintenance, and to purchase parts and accessories.

    "The potential for both Perodua and Lubetech is very bright and we look forward to mutually beneficial business for both parties," Aminar said.

    Perusahaan Otomobil Kedua Sdn. Bhd. (Perodua) is an associate company of UMW Corporation Sdn. Bhd., with the latter holding a 38% stake in the second national car company.

    Based upon forecasts made by PSSB, the expected volume of consumption for the remaining months from September to December is around 601,782 litres with potential sales of up to RM4.3 million. Barring unforeseen circumstances, sales forecast for 2013 is expected to be around RM1 million per month.

  • UMW Achieves Pretax Profit of RM510.2 m for 2Q12
    UMW Achieves Pretax Profit of RM510.2 m for 2Q12

    Shah Alam, 16 Aug 2012 - The UMW Group announced today that its Group revenue of RM4,139.8 million for the second quarter ended 30 June 2012 exceeded the RM3,166.5 million registered in the preceding year's corresponding quarter by RM973.3 million or 30.7 percent. Higher revenue from all business segments of the Group, particularly the Automotive segment, resulted in the substantial increase in revenue.

    Consequently, Group profit before taxation of RM510.2 million for the second quarter ended 30 June 2012 outperformed the RM283.8 million registered in the same quarter of 2011 by 79.8 percent, or RM226.4 million. Significantly higher profit contributions from the Automotive segment coupled with improved profit from the Oil & Gas and Equipment segments, resulted in the profit surge.
    Net profit attributable to equity holders of the Company in the second quarter of 2012 improved substantially to RM224.2 million from the RM103.0 million registered in the same quarter of 2011, an increase of RM121.2 million or more than 100 percent.

    Automotive Segment
    Sale of Toyota vehicles for the second quarter ended 30 June 2012 improved tremendously by approximately 41 percent or 8,391 units over the preceding year's corresponding quarter. UMW Toyota Motor holds a market share of 17.4 percent for the first half of the year.

    Similarly, for the second quarter of 2012, Perodua recorded a surge of 45.9 percent or 14,597 units in vehicle sales compared to the same quarter of 2011. Demand for the new Perodua MyVi remained strong in the second quarter of 2012. The impact of Bank Negara Malaysia's responsible lending guidelines on loan approval rate, processing lead time and loan amounts continue to improve over time. Rejection rate in June has eased to 24 percent from 27 percent in January 2012, an improvement of 3 percent or 4 percent higher than the pre-guideline level of 20 percent. In contrast, in the second quarter of 2011, longer lead time in new vehicle registration arising from the amendments to the Hire Purchase Act had affected Perodua vehicle sales.

    Substantial increase in vehicle sales volume coupled with more favourable model mix, mainly accounted for the sizeable profit contributions from the
    Automotive segment. For the first half ended 30 June 2012, total vehicle sales of Toyota, Lexus and Perodua reached 145,254 units, representing 48.2 percent of the total industry volume.

    Equipment Segment
    The Equipment Segment registered a revenue improvement of 18.6 percent or RM87.7 million for the second quarter of 2012 compared to the same quarter of 2011, principally due to:
    • continued strong demand for equipment and parts
    • increase in equipment rental fleet size
    • higher sale of parts and services; and
    • the March 2011 tsunami and earthquake in Japan had resulted in delay in the supply of Komatsu, Toyota and Mitsubishi equipment in the second quarter of 2011.

    In line with higher revenue, profit before tax of the Equipment segment increased to RM56.7 million from the RM38.2 million registered in the same quarter of 2011, an improvement of 48.4 percent or RM18.5 million.

    Oil & Gas Segment
    Revenue of the Oil & Gas segment for the current quarter ended 30 June 2012 increased by RM85.9 million or 30 percent compared to the same quarter of 2011 as a result of the following:
    • full-quarter revenue contribution from Hakuryu 5, a semi-submersible rig. Hakuryu 5 was not income-generating in the second quarter of 2011;
    • increase in day-rate for NAGA 3 offshore rig from 20 March 2012; and
    • additional revenue contribution from the Garraf Power Plant Phase 1 project.

    Consequently, profit for the Oil & Gas segment improved by about 56-fold due to the low base effect. Favourable movement in fair value of its overseas quoted investments also contributed to the profit movement.

    Manufacturing & Engineering Segment
    The Manufacturing & Engineering segment achieved a slight improvement in revenue by RM7.7 million or 4.4 percent in the current quarter ended 30 June 2012 compared to the RM174.3 million recorded in the same quarter of 2011. Higher capacity utilisation by its new automotive component plants in India and lubricant plant in China, contributed additional revenue. However, stiff competition in the Malaysian lubricant market and lower production of certain Perodua and Proton models have adversely affected demand for its products.
    Despite the higher revenue, profit for the second quarter of 2012 reduced by RM3.7 million to RM0.07 million mainly as a result of foreign currency exchange losses suffered by its subsidiaries in India from the weak Indian Rupee against the US dollar.

    Barring unforeseen circumstances, the Board expects the Group to exceed its internal targets set for 2012.

    The Board is pleased to declare an interim single-tier dividend of 20 percent of 10.0 sen (2011 - 20 percent or 10.0 sen) per share of RM0.50 each, amounting to a net dividend payable of approximately RM116.8 million (2011 - RM116.8) for the year ending 31 December 2012, to be paid on 8 October 2012.

  • UMW Staff Spread Ramadhan Joy
    UMW Staff Spread Ramadhan Joy

    Sepang, 11 Aug 2012 - As part of its CSR effort in conjunction with the holy month of Ramadhan, UMW staff along with its volunteer group known as 'UMW Community Champions' celebrated by breaking fast with children from Pusat Jagaan Baitus Sakinah Wal Mahabba in Sepang. About 30 Community Champions volunteered to spend quality time engaged with 50 children from the home.

    Pusat Jagaan Baitus Sakinah Wal Mahabba was established in January 2009 as a non-profit organisation and serves as a home for underprivileged children with the objective of providing them with care, education and other basic needs. It occupies two houses located in Kota Warisan, Sepang and is home to more than 50 children ranging from 4 to 19 years of age.

    As with any festive season, UMW's collection-drive for the needy has always received enthusiastic support. This year's effort by the CSR Department saw collections in cash and kind in excess of RM3,000 from members of UMW staff. The contributions will be given to Project MADE - a non-profit charitable organisation which focuses on assisting the poor and the underprivileged, regardless of their culture, race and political belief. The proceeds will also go to 'Rumah Penyayang Wadi Sakinah' - a shelter home for more than 120 residents ranging from orphans, single mothers, the disabled and the elderly, located in Merbok, Kedah. The shelter which consists of 4 rented houses was established in early 2010 and located in the area of Taman Merbok Permai and Kampung Bukit Haji Omar in Kedah.

    The UMW Group has a long history of supporting a number of non-profit and non-political organisations through its community programmes. The Group's Corporate Social Responsibility (CSR) strategy is comprehensive and goes beyond just funding charitable projects, benchmarking against international best practices in the marketplace, the workplace, the environment and the community.

  • UMW Celebrates Ramadhan with Orphans
    UMW Celebrates Ramadhan with Orphans

    Shah Alam, 2 Aug 2012 - As part of its CSR effort, in conjunction with the holy month of Ramadhan, UMW celebrated the fasting month with children from Institut Taufiq Islami, Klang. About 50 children were taken to UMW's Corporate Office in Shah Alam for a 'buka puasa' treat with senior management and staff of the UMW Group.

    UMW President & Group CEO, Datuk Syed Hisham Syed Wazir said, "We hope that through this annually organised event, we can give back to the community and spread some Aidilfitri joy among the children".

    UMW Chairman, Tan Sri Asmat Kamaludin and his wife were also present at the event to distribute 'duit raya' to the orphans. During the event, Datuk Syed Hisham Syed Wazir handed out a cheque for RM5,000 to the representative of Institut Taufiq Islami along with 'goody-bags' for the children.

    Institut Taufiq Islami is the brainchild of Tuan Haji Jupri bin Haji Said who donated his land for the purpose of building the orphanage. The institute was established on 12 April, 1999 and is currently home to more than 100 children.

    As with any festive season, UMW's collection-drive for the needy has always been met with great enthusiasm. This year, its CSR department managed to collect more than RM3,000 in cash and kind from members of its staff. All contributions will be given to Project MADE - a non-profit charitable organisation which focuses on assisting the poor and the underprivileged, regardless of their culture, race and political beliefs. The proceeds will also go to 'Rumah Penyayang Wadi Sakinah' - a shelter home for more than 120 residents ranging from orphans, single mothers, disables and the elderly located in Merbok, Kedah. The shelter which consists of 4 rented houses was established in early 2010 and is located in the area of Taman Merbok Permai and Kampung Bukit Haji Omar in Kedah.

    The UMW Group has a long history of supporting a number of non-profit and non-political organisations through its community programmes. The Group's Corporate Social Responsibility (CSR) strategy is comprehensive and goes beyond just funding charitable projects, benchmarking against international best practices in the marketplace, the workplace, the environment and the community.


  • UMW and PETRONAS to Set Up Training Academy
    UMW and PETRONAS to Set Up Training Academy

    Kuala Lumpur, 28 June 2012 - UMW Oil & Gas Corporation Sdn. Bhd. (UMW-OGC), a wholly-owned subsidiary of the UMW Group, today signed a Memorandum of Understanding (MOU) with PETRONAS Technical Training Sdn. Bhd. (PTTSB) to set up a training academy that will help address the shortage of skilled Malaysian personnel in the oil and gas, and drilling industry.

    The academy will be located within the premises of PTTSB's Institut Teknologi Petroleum PETRONAS (INSTEP) in Batu Rakit, Kuala Terengganu. The core focus of the academy is to help build capabilities and enhance competencies of local drilling crews and address, amongst others, difficulties encountered by the oil and gas industry in the area of succession planning.

    This collaboration between PTTSB/INSTEP, an 'Oil & Gas' regional technical learning and certification centre, and UMW-OGC with its vast experience and expertise in drilling technology is seen as a smart partnership to help resolve key issues in the local oil and gas sector which is facing a continuous shortage of skilled manpower.

    "The signing of this MOU is a significant milestone for UMW. It is in line with the Malaysian Government's and PETRONAS' aspirations to develop more Malaysians to manage and operate key activities in the oil and gas sector, as well as development of professional drilling experts in the country. We thank PETRONAS for its tremendous support in developing local oil and gas service companies. This initiative is our way of giving back by ensuring the availability of a continuous supply of skilled personnel in key areas of expertise," said Encik Rohaizad Darus, President of UMW-OGC.

    UMW currently has three offshore drilling rigs and a number of hydraulic workover units, operated primarily by Malaysians. Recently, UMW signed an agreement to acquire another jack-up drilling rig to expand its capacity.

    "Shortage of capable and competent personnel in the oil and gas industry is a global phenomenon, especially in the area of drilling. To overcome this in a more effective way, industry players need to come forward and collaborate by contributing in their own areas of expertise. The noble intention of UMW-OGC to develop human capital is not only for its own needs but also for the industry and to contribute toward a high-income nation which is in congruence with INSTEP's own aspirations," said Wan Azhar Lotfi Wan Yusof, CEO of PTTSB/INSTEP.
     
    Under the terms of the MOU, the two parties will jointly develop the academy to be known as UMW-INSTEP Drilling Academy. The academy will offer structured training in drilling operations and certification programmes and will help ensure that there will be a continuous supply of skilled personnel for the oil and gas sector to support the industry's rapid expansion.

    The MOU was signed by Encik Wan Azhar Lotfi Wan Yusof, CEO of PTTSB/INSTEP and Encik Rohaizad Darus, President of UMW-OGC. Also present at the signing ceremony were Puan Juniwati Rahmat Hussin, PETRONAS' Vice President of Human Resource Management Division and Dato' Mohd Nizam Zainordin, Director of UMW Holdings Bhd.

  • UMW Acquires New Jack-Up Rig
    UMW Acquires New Jack-Up Rig

    Kuala Lumpur, 26 June 2012 - UMW Holdings Berhad announced that UMW Drilling 4 (L) Ltd. (UMW D4), a wholly-owned subsidiary of UMW Petropipe (L) Ltd, which in turn, is a wholly-owned subsidiary of UMW, signed a Sale and Purchase agreement today with SD Drilling Pte. Ltd., to acquire a 'jack-up drilling rig' for a total consideration of USD214 million. UMW D4 also has an option to acquire another 'jack-up drilling rig' currently being built by the same company. The acquisition of this new drilling rig is part of UMW's plans to further develop its drilling operations. The rig, currently under construction, is being built by a reputable and established rig builder, and is of high design specifications to enable operations in more challenging environments. Completion and delivery is expected early next year.

    The UMW Group currently has a fleet of three offshore drilling-rigs. NAGA 1, a semi-submersible drilling rig, is co-owned with Japan Drilling Co. Ltd. The Group also owns and operates two premium jack-up drilling rigs, NAGA 2 and NAGA 3. NAGA 1 and NAGA 3 are contracted out to Petronas Carigali Sdn. Bhd. for operations in Malaysia, while NAGA 2 is in operations in lndonesia for HESS (Indonesia-Pangkah) Limited.

    "This acquisition signifies another important milestone in the development of our drilling business. The addition of this new rig will enable UMW to further expand our business and extend our services to address the growing needs of the industry", said Datuk Syed Hisham Syed Wazir, President & Group CEO, UMW Holdings Berhad. He also said that there is a significant resource requirement for drilling rigs in the region due to aggressive exploration and development activities in the oil & gas sector. Currently there is already a shortage of drilling rigs, particularly jack-up rigs.

    "I believe our new jack-up rig, which will be ready by early next year, will help to reduce some of this shortage, and in the long run, contribute toward ensuring that oil and gas companies have the support they need in their exploration and development activities", said Datuk Syed Hisham.

    UMW Oil & Gas Division is at present developing special training programmes for its drilling personnel to ensure that they have a continuous supply of capable and skilled personnel to operate its expanding fleet of drilling rigs.

    In line with the aspirations of the Malaysian government and PETRONAS, UMW is giving priority to developing more Malaysians to manage and operate its drilling business. "We are proud to say that our existing rigs are operated mainly by Malaysians. At present, a number of Malaysians are in final stages of training to assume positions in management and operations of the new rig when it is delivered next ye"€�, added Datuk Syed Hisham.

    "We would like to thank PETRONAS, Petronas Carigali, and HESS (Indonesia-Pangkah) Limited for their trust in us and in giving UMW the opportunity to service them with our drilling rigs. This has provided us the platform to further develop our operational capabilities and expand our business operations", said Datuk Syed Hisham.

  • UMW Signs Distributor Agreement with Delphi in Malaysia
    UMW Signs Distributor Agreement with Delphi in Malaysia

    Shah Alam, 31 May 2012 - UMW Advantech Sdn. Bhd. (UASB), a wholly-owned subsidiary in the UMW Group, today signed a distributorship agreement with Delphi, a premier global automotive supplier of OE quality parts to vehicle manufacturers and the aftermarket. Under the distributorship agreement, UASB will carry Delphi diesel products (nozzles, injectors and filters), chassis products such as brakes, rotors, power steering pumps and various vehicle electronic sensors for the Japanese and European car market segment. UASB says having Delphi quality products will help develop the market in this
    region.

    As a world leader in automotive systems and components, Delphi is focused on providing vehicle manufacturers with technology that keeps drivers safe, green and connected. That same technology expertise is carried through to the aftermarket. With increasing business and network development in the ASEAN aftermarket, DPSS (Delphi Product & Service Solutions) will provide OE (Original Equipment) quality parts and services for the ASEAN aftermarket to support growth and meet the growing needs of the Malaysian automotive segment.

    UMW Advantech Sdn. Bhd. is currently in the process of appointing authorised dealers for Delphi aftermarket products starting first in Kuala Lumpur and two other major cities in Malaysia.
    "We appreciate Delphi's proactive efforts and dedication as shown by the quality of the products and service," said Mr. Megat Shahrul Azmir, Executive Director of UMW Manufacturing & Engineering. "It symbolises Delphi's OE heritage and technological expertise in the aftermarket, worldwide".

    "Malaysia continues to be a key market for Delphi in the Asia Pacific region and Delphi is committed to grow the business in Malaysia and ASEAN countries, said Lucia V. Moretti, President, Delphi Product & Service Solutions. "We are very happy to sign the agreement with UMW as they clearly see the value Delphi can bring to their distribution network. We see this as a significant development for both companies."

  • UMW Achieves Pretax Profit of RM433 Million 1Q12
    UMW Achieves Pretax Profit of RM433 Million 1Q12

    Shah Alam, 29 May 2012 - The UMW Group announced today that its Group revenue of RM3,695.8 million for the first quarter ended 31 March 2012 surpassed the RM3,221.2 million registered in the preceding year's corresponding quarter by RM474.6 million or 14.7%. Higher revenue from all business segments of the Group, particularly the Oil & Gas and Equipment segments, accounted for the increase.

    As a result, Group profit before taxation for the first quarter ended 31 March 2012 escalated to RM433.3 million from the RM339.5 million registered in the same quarter of 2011, an improvement of 27.6% or RM93.8 million. Significantly higher profit contributions from the Automotive, Oil & Gas and Equipment segments, resulted in the surge in profit.

    Consequently, net profit attributable to equity holders of the Company in the first quarter of 2012 improved substantially to RM220.0 million from the RM151.8 million registered in the same quarter of 2011, an increase of RM68.2 million or 44.9%.

    Automotive Segment
    In the first quarter of 2012, UMW Toyota Motor ramped up its production and successfully recouped its 2011 production shortfalls due to the disruption in critical parts supply caused by the massive floods in Thailand. Combined sales of Toyota and Lexus vehicles improved to 23,834 units in the first quarter of 2012 from the 22,414 units achieved in the same quarter of 2011, an increase of 6.3% or 1,420 units. Bank Negara Malaysia's responsible lending guidelines have minimal impact on Toyota and Lexus vehicle sales. Higher revenue coupled with favourable exchange rates for United States Dollar resulted in the higher profit contributions from the sales of Toyota and Lexus vehicles.

    Similarly, the new hire purchase guidelines introduced in January 2012 has minimal impact on the sales of Alza and the new MyVi, two core models of Perodua.

    However, sales of its entry-level Viva model were adversely affected with a 21% drop in sales in the first quarter of 2012. Although Viva bookings were healthy, registration or conversion to sales was relatively low as the new guidelines have resulted in much lower loan approval rate, longer processing lead time and reduced loan amounts. Overall, sales of Perodua vehicles fell by approximately 3.9% in the first quarter of 2012 compared to the corresponding quarter in 2011. Despite the lower sales volume, Perodua achieved a slightly higher profit due to favourable sales mix.

    Equipment Segment
    The Equipment Segment revenue improved significantly by 40.4% or RM177.1 million mainly as a result of the following:
    • Strong demand for its major equipment from customers in Myanmar
    • Rescheduling of machine deliveries from the fourth quarter of 2011 to the first quarter of 2012, due to unfavourable weather.

    Consequently, profit before tax for the Equipment segment increased to RM54.1 million from the RM34.1 million registered in the same quarter of 2011, an improvement of 58.7% or RM20.0 million.

    Oil & Gas Segment
    For the current quarter ended 31 March 2012, revenue of the Oil & Gas segment more than doubled the RM194.0 million recorded in the same quarter of 2011. This revenue surge of RM236.7 million or 122% was largely attributable to:
    • Additional full-quarter revenue contributions by Naga 3, a premium jack-up rig and Hakuryu 5, a semi-submersible rig. Both Naga 3 and Hakuryu 5 were not revenue contributing in the first quarter of 2011
    • Significantly higher revenue from the trading of oilfield products and services
    • Additional revenue contributions from Garraf Power Plant Phase 1 project.

    Consequently, profit for the Oil & Gas segment improved by about 56-fold due to the low base effect. Favourable movement in fair value of its overseas quoted investments also contributed to the profit movement.

    Manufacturing & Engineering Segment
    Revenue for the current quarter of RM161.4 million was marginally higher that the RM160.6 million recorded in the same quarter of 2011. Higher sales achieved by its automotive parts manufacturing companies in India were offset by lower sales from the switching of power steering system from hydraulic to electric for certain new vehicle models that included the new Perodua MyVi as well as lower sales of lubricant products.

    As a result of higher unit overhead cost, profit for the current quarter declined by RM0.8 million to RM4.1 million, although the segment benefitted from the favourable foreign exchange rates.

  • UMW Renews Collective Agreement with In-House Union
    UMW Renews Collective Agreement with In-House Union

    Shah Alam, 26 Apr 2012 - UMW, one of the nation's biggest conglomerates, announced today the renewal of its Collective Agreement between UMW Holdings Berhad and its subsidiaries with its union workforce under UMW Group Workers Union or KPPPKUMW.

    In 2006, UMW took a major initiative to reinforce partnerships with all its unions. To the satisfaction of all parties, negotiations culminated in the signing of a total of eight Collective Agreements for the period 2006 to 2008. During this time, UMW concluded five agreements with its in-house union, UMW Group Workers Union, and one agreement each with the National Union of Commercial Workers, Sabah Commercial Employees' Union, and Sarawak Commercial Employees' Union.

    The latest Collective Agreement signed on 26 April 2012 for the period 1 January 2012 to 31 December 2014 will mark the tenth Collective Agreement signed by UMW and the unions. Negotiations for the proposed agreement began as early as 3 January 2012 and concluded on 18 April 2012.

    The new Agreement incorporates improvements in retrenchment benefits, medical attention as well as insurance coverage for group personal accident and term-life coverage along with other allowances.

    "The signing of this new Agreement will help strengthen existing partnerships and lead the way toward improving the company's performance", said UMW's President and Group CEO, Datuk Syed Hisham Syed Wazir.

    The agreement was signed on behalf of UMW by President and Group CEO, Datuk Syed Hisham Syed Wazir, Puan Juliah Nik Jaafar, Executive Director UMW Corporation and Head of Group Human Resource, and En Azmin Che Yusoff, Executive Director and Head of Group Financial Services whilst En. Japelus Zainal, President of KPPPKUMW, and Vice-President, En Zaini Hussain signed on behalf of the union. The signing ceremony was witnessed by Industrial Relations Director, Tuan Haji Ahmad Khusairi bin Lope Abd Rahman and UMW Chairman, Tan Sri Asmat Kamaludin.

    On an ending note, the President of KPPPKUMW, En. Japelus Zainal stated: "We would like to thank the management team of UMW for their continuous support towards the union and look forward to productive years ahead".


  • ULI Unveils Locally Blended Repsol Products
    ULI Unveils Locally Blended Repsol Products

    Shah Alam, 13 Mar 2011 - UMW Lubricant International Sdn. Bhd. (ULI), the official distributor of Repsol lubricants today unveiled Repsol's locally blended products and announced their strategic business plan to penetrate target markets both in Malaysia and regional markets.

    Together with Repsol representatives, Mr. Jose B
    arreiro (Repsol Lubricant Director) and Ms. Teresa Martin (Repsol Lubricant Regional Manager), the joint venture was promoted at the "Dealers Conversion Program" held at the Concorde Hotel in Shah Alam today.

    UMW's Executive Director for Engineering and Manufacturing Division, En. Megat Shahrul Azmir, announced that they have identified a number of dealers which will be appointed by ULI to carry the Repsol brand name in order to make it more accessible and competitive in the target markets.

    He explained that given Repsol's renowned quality and world championship branding, they have been approached by numerous established dealers who wish to carry the Repsol brand range of products. Such demand in-itself speaks volumes of this premium international brand.

    "Nonetheless we have been selective with our appointment of dealers and hope to expand our network year on year, to meet with the demand and growth of the volume for motorcycles and passenger car sales in Malaysia" said Megat Shahrul.

    He added that a total of 300 dealers have been appointed to-date and the network is expected to expand to more than 500 outlets by the end of 2012, including in East Malaysia.

    Repsol is one of the world's top ten private oil companies in terms of size and is known worldwide for its involvement in the motor sports industry, especially the MotoGP which it promotes via the Repsol-Honda Team and its 2011 World Champion Casey Stoner. Although the brand Repsol is synonymous with motorcycle lubricants, the brand also carries a wide range of products including passenger car motor oil (PCMO) and other industrial lubricants.

    "We are introducing Repsol's range of passenger car motor oils from synthetic to mineral base formulations. We are also proud to announce that the full ranges of the Repsol lubricants are blended locally at our plant in Shah Alam." declared Megat Shahrul.

    He added "The blending of these oils at our plant are operationally supervised and overseen by Repsol Spain.  By virtue of this close working model, ULI can guarantee that the quality of the product is not compromised. Further with UMW's experience in the lubricant business, we believe that we have a good platform to understand market sentiments better in order to promote Repsol products."

    Repsol's reputation in the motorsports industry and its success in continuous research and development of new lubricants with improved efficiency is well established. UMW Lubricant International is confident that by the end of 2012, along with its many marketing initiatives, ULI's dedicated sales and marketing team is targeting to capture at least 4% of the market share in the local market and secure Repsol as one of the leading lubricant brands in Malaysia.

    Megat Shahrul reiterated that since the introduction of Repsol in the Malaysian market in June 2011, sales has been very encouraging. UMW's proven market strategy and the attendant growth in the sale of these lubricants in the passenger car vehicles, motorcycles and diesel-powered engines is clearly reflective that Repsol, though a new brand, has manifested its presence in the country.

    Mr. Jose Barreiro, Repsol Lubricant Director, who was also present, said that the measures taken and planned by the UMW Lubricant International to promote and expand the Repsol brand into the Malaysia and regional market is indeed exciting.

    He commented "Just like last year, the MotoGP in Sepang this October 2012 shall be an eventful year in Malaysia for Repsol. I am sure that the locals will be in full support of Repsol-Honda team, particularly Casey Stoner, our 2011 MotoGP Champion".

    In conjunction with the upcoming MotoGP in October, ULI has lined up numerous activities and events including pre-road shows as part of its many marketing and promotional strategies to further expose the Repsol brand.

    Repsol currently has a large market share in Latin America, Middle East and North Africa. Mr. Jose Barreiro is convinced that the alliance with UMW Lubricant International will support and facilitate Repsol's international expansion plan including penetration into the Asian market.

    For further details on UMW Lubricant International Sdn. Bhd. and Repsol products, please log on to

    • www.repsoloil.com.my

  • UMW Donates Land for New Tamil School
    UMW Donates Land for New Tamil School

    Shah Alam, 08 Mar 2012 - As part of its Corporate Social Responsibility (CSR) effort, UMW Holdings Berhad today donated two acres of its land in Bandar Serendah, valued at approximately RM 800,000, for the purpose of building a Tamil School for the local community. The property will be transferred in favour of "Lembaga Pengelola Sekolah, SJK(T) Ladang Minyak, Bestari Jaya" in Kuala Selangor which will relocate the school to Bandar Serendah.

    Previously, the UMW Holdings' Board of Directors had approved the transfer of up to 10 acres of land as part of the resettlement of the ex-estate workers of the former New Serendah Estate. 8 acres of the land had been transferred to a legal entity known as RV Global Sdn. Bhd., which undertook the responsibility of safe-guarding the interests of the ex-workers and families after UMW acquired the New Serendah Estate Land from the Selangor State Government.

    The transfer letter was handed over by Ms Suseela Menon, Executive Director of UMW Corporation Sdn. Bhd. to Mr Amaran Krishnan, Secretary of Lembaga Pengelola Sekolah, SJK(T) Ladang Minyak, Bestari Jaya. The event was witnessed by YB P.Kamalanathan, the Member of Parliament for Hulu Selangor and Mr A.Rama Rao, Chairman of Lembaga Pengelola Sekolah.

    Also present at the ceremony were management representatives of the UMW Group and representatives of MIC and Gerakan.

    UMW has always believed that a company, a community, a Nation, can only stand strong and continue to grow and thrive, if it is supported by a strong pillar of knowledge and education.

    UMW embarked on this programme because the Group believes that education should not be a privilege limited to a few, but a basic right that should be easily accessible and available to all.  

    It is hoped that the development of this school, to be located on the former New Serendah Estate land, will greatly benefit and further enrich the minds of the children of the ex-estate workers and the local community.

  • UMW & MERCY Malaysia Renews Partnership
    UMW & MERCY Malaysia Renews Partnership

    Shah Alam, 27 Feb 2012 - UMW, one of the nation's biggest conglomerates announced today the renewal of its existing partnership with MERCY Malaysia. The partnership has seen UMW provide over RM1.8 million in funds and more than 3,000 hours in manpower support of MERCY's programmes, particularly for rural and vulnerable communities in Sabah and Sarawak. To commemorate this event, a signing ceremony between UMW and MERCY Malaysia was held at UMW's corporate headquarters in Shah Alam. Dato' Dr. Ahmad Faizal Mohd Perdaus, President, MERCY Malaysia and Datuk Syed Hisham Syed Wazir, President & Group CEO, UMW Corporation were present at the ceremony.

    More than 11,000 people have benefitted from programmes implemented under the UMW-MERCY Malaysia partnership, since it was formalised in December 2008. The programmes include Mobile Clinic missions which provide free basic medical screening, pap smear tests, dental treatment, eye examination and free reading glasses for those living in remote areas. Fire safety and flood relief efforts, as well as intervention groups for alcohol misuse, are also conducted as part of the partnership agreement.

    Following its commitment made in December 2008, UMW will be handing over two new Toyota vehicles (Hilux and Innova) to MERCY, bringing to a total of 5 vehicles for the purpose of carrying out their community health programmes which will now cover 4 states, namely, Sabah, Sarawak, Johor, Selangor as well as the Federal Territory of Kuala Lumpur.

    UMW's President and Group CEO, Datuk Syed Hisham Syed Wazir will also officially launch the new Employee Payroll-Deduction Scheme. "With the official roll-out of the Employee Payroll-Deduction Scheme today, UMW employees will prove themselves to be just as caring and generous with their ringgit and cents, as they are with their time", he added.

    As an extension of UMW's CSR efforts, its employee-volunteer programme known as the UMW Community Champions have clocked nearly 8000 hours in service to the community and is confident of achieving 10,000 hours by the end of 2012. Selected Community Champions have undergone training programmes with MERCY Malaysia and have gone on to participate in various MERCY activities around the country.

    In August 2008, UMW officially launched its CSR report detailing its activities and initiatives over the period spanning 2001 to 2007 related to the marketplace, the workplace, the environment and the community. The report, independently audited by Bureau Veritas --- the world's leading certification body --- has the distinction of being awarded the prestigious Global Reporting Initiative (GRI) Application Level A (+) Certification for CSR reporting. UMW is officially the first Malaysian corporation to comply with the stringent GRI-G3 sustainability reporting guidelines.


  • UMW Achieves Record Revenue And PBT for 2011
    UMW Achieves Record Revenue And PBT for 2011

    Shah Alam, 24 Feb 2012 - The UMW Group announced today that its Group revenue of RM3,477.3 million for the fourth quarter ended 31 December 2011 exceeded the RM3,417.7 million recorded in the preceding year's corresponding quarter by 2%. Higher revenue was recorded from the Equipment, Manufacturing & Engineering and Oil & Gas segments.

    Group profit before taxation of RM315.6 million for the fourth quarter ended 31 December improved from the RM224.9 million registered in the same quarter of 2010. This represented an increase of 40.3% or RM90.7 million. Substantially higher profit contributions from the Automotive segment accounted for the rise in profit.

    Consequently, net profit attributable to equity holders of the Company rose from the RM32.9 million registered in the same quarter of 2010 to RM50.8 million in the fourth quarter of 2011, an increase of RM17.9 million or 54.4%.
    Group revenue of RM13,556.4 million for the financial year ended 31 December 2011 surpassed the RM12,820.2 million registered in the year 2010 by RM736.2 million or 5.7%.

    Group profit before taxation for the financial year ended 31 December 2011 improved to RM1,381.2 million from the RM1,313.2 million recorded in the year of 2010 due to the significantly higher profit registered by the Automotive segment. This represented an increase of RM68.0 million or 5.2%.
    However, net profit attributable to equity holders of the Company for the year ended 31 December 2011 declined from the RM526.9 million achieved in the year of 2010 to RM503.0 million due to non-recognition of deferred tax assets of an overseas subsidiary and no tax deduction for asset impairment losses.

    Moving forward

    Automotive Segment
    The Malaysian Automotive Association forecasts the Total Industry Volume (TIV) for the year 2012 to improve from the 600,123 units achieved in 2011 to 615,000 units, an increase of 2.5% or 14,877 units.

    Collectivley, Perodua and UMW Toyota target to sell a total of 281,000 units or 45.7 % of the TIV in 2012. This represents an increase of 10,560 units or 3.9% over the 270,440 units sold in 2011.

    Equipment Segment
    Revenue for the Equipment segment is expected to be maintained at the 2011 level. This is because the higher revenue from the stronger demand for its mining equipment is likely to be offset by lower revenue contributions from the logging sector as demand for timber is expected to return to normalcy in 2012.

    However, profitability of this segment is expected to improve significantly as neither asset impairment nor further provision for the maintenance and repair contract are anticipated for the year 2012.

    Oil & Gas Segment
    Operating profit of the Oil & Gas segment in 2012 is expected to improve significantly in consideration of a full-year contribution from Naga 3 as well as higher day-rates for its land rigs, Ghazal 3 and 4 and a full-year contribution from Ghazal 5. Profits are said to improve further with the installation and commissioning of equipment and facilities for the Garraf Power Plant in Iraq which is expected to be substantially complete in 2012.

    Changes in fair value of UMW's overseas investments as well as hedging instruments used to hedge various financial risks may affect the overall performance of the Oil & Gas segment for the year 2012.

    Manufacturing & Engineering Segment
    Performance of this segment is expected to improve in 2012 considering the higher capacity utilisation of its four new automotive component plants in India and improved plant capacity utilisation of up to 64% for its new lubricant plant located in Xinhui, China. Sales of Repsol and Pennzoil lubricant products are also expected to increase in 2012.

    The Board is pleased to declare a final single-tier dividend of 15% or 7.5 sen (2010 -13% or 6.5 sen) per share of RM0.50 each, for the financial year ended 31December 2011. The proposed final dividend, if approved by shareholders, will be paid on 10 August 2012.

    The total single-tier dividend for the financial year ended 31 December 2011 would be 31 sen or 62% per share of RM0.50 each. This payout represents approximately 72.7% of the 2011 net profit attributable to shareholders of UMW (net of unrealised gains) against its target headline KPI for dividends of at least 50%.

  • UMW Celebrates Chinese New Year With Orphans
    UMW Celebrates Chinese New Year With Orphans

    Klang, 11 Feb 2012 - In conjunction with the Chinese New Year celebration, volunteers from the UMW Community Champions programme spent their Saturday with children from the Good Samaritan Home in Klang. Founded in 1999, the home currently houses 28 children ranging from 3 to 17 year olds.

    The Community Champions programme was first launched in May 2009 as an extension towards UMW's CSR activities and to enable all UMW employees to be a part of the Group's CSR efforts.

    Each of the children received 'ang pow' packets and goody bags. Later, they were taken for a movie and dinner treat at a local restaurant located in Bukit Tinggi, Klang.

    As with any festive season, UMW's collection-drive for the needy has never failed to disappoint. This year, its CSR department managed to collect more than RM2, 000 in cash and kind from members of its staff. On 19 January 2012, these contributions were given to the recipients staying at the House of Joy which was burned down last December due to a short-circuit. It is a home for 60 children from abused families and broken homes.
    The UMW Group has a long history of supporting a number of non-profit and non-political organisations through its community programmes. The Group's Corporate Responsibility strategy is comprehensive and goes beyond just funding charitable projects, benchmarking against international best practices in the marketplace, the workplace, the environment and the community.
    The UMW Community Champions have successfully clocked more than 3,000 hours (3170.5 hours) in volunteer work for 2011, exceeding the target hours of 2,500 hours. This year, the programme is expected to clock in more than 3,500 hours
    .

     

2011's News


  • UMW Achieves Pretax Profit of RM414 million in 3Q11
    UMW Achieves Pretax Profit of RM414 million in 3Q11

    Shah Alam, 24 Nov 2011 - The UMW Group announced today that its Group revenue of RM3,691.4 million for the third quarter ended 30th September 2011 exceeded the RM3,087.3 million recorded in the preceding year's corresponding quarter by RM604.1 million or 19.6%.

    Higher revenue from all four core business segments contributed to the increase. Swift production recovery from the impact of earthquake and tsunami in Japan had enabled its Automotive and Equipment segments to register a surge in revenue. Full-quarter revenue generated by its premium jack-up rigs, Naga 2 and Naga 3 coupled with the higher day-rate from its semi-submersible rig, Naga 1, contributed to the higher revenue in the Oil & Gas segment.

    Consequently, Group profit before taxation for the third quarter ended 30th September 2011 improved from the RM340.9 million registered in the same quarter of 2010 to RM414.2 million, an increase of 21.5% or RM73.3 million. Higher sales of both Toyota and Perodua vehicles and favourable exchange rate for the United States Dollar resulted in the higher profit contributions from the Automotive segment.

    Group revenue of RM10,079.1 million for the nine months ended 30th September 2011 surpassed the RM9,402.5 million registered in the same period of 2010 by RM676.6 million or 7.2%. Additional revenue contributions from the three offshore rigs, Naga 1, Naga 2 and Naga 3 coupled with strong demand for heavy and industrial equipment, mainly contributed to the higher revenue.

    Despite the higher revenue, Group profit before taxation for the nine months ended 30th September 2011 declined marginally to RM1,065.7 million from the RM1,088.3 million recorded in the same period of 2010, a decrease of RM22.6 million or 2.1%. Substantial increase in the cost of base oil and the fact that its newly-completed plants overseas are still in the initial stages of operations below breakeven capacity, resulted in the lower profit contributions from the Manufacturing and Engineering segment.

    Total sales of Toyota and Perodua vehicles of 198,950 units represented 44.2% of the total industry volume of 450,244 units reported by the Malaysian Automotive Association for the nine months ended 30 September 2011.

    Moving forward

    The flooding in Thailand has not directly affected any of the three Toyota vehicle production plants located in Samrong, Ban Pho and Gateway. However, vehicle production has been halted since 10th October 2011 due to disruptions in the supply of critical parts by suppliers in Thailand affected by the flooding. Toyota is doing everything possible within its capability to restore procurement as soon as possible. This includes procuring substitute parts from affiliates in other countries and carrying out countermeasures on a daily basis. Toyota resumed its plant operations in Thailand on 21st November 2011.

    UMW Toyota anticipates a temporary lower-than-normal stock level in the last two months of the year as a result of the floods in Thailand. However, UMW Toyota is doing its utmost to minimise delivery disruptions to its customers. The flooding in Thailand has no impact on the production of Perodua vehicles. Despite the challenges above, the Automotive segment is expected to achieve its internal revenue and profit targets set for 2011.

    Demand for heavy and industrial equipment is expected to be maintained in the fourth quarter of 2011. However, provision for potential losses for a heavy equipment maintenance contract is expected to affect the profit contributions from the Equipment segment for the fourth quarter of 2011.

    Performance of the Group's Manufacturing and Engineering segment is expected to be sustained in the fourth quarter of 2011, as impact from the flooding in Thailand is very minimal. However, on the whole, this segment is expected to underperform from its internal revenue and profit targets set for the year 2011 due to the general market slow-down and more costly raw materials.

    With the three rigs, Naga 1, Naga 2 and Naga 3, fully operational, operating results of the Oil and Gas segment is expected to improve further in the remaining quarter of 2011. However, any further unfavourable movement in fair value of the investment segments quoted overseas and hedging instruments at year-end will affect the overall performance of the Oil and Gas segment for the year 2011.

    The Board is of the view that the Group's internal targets for 2011 are achievable.

    The Board declared a second interim single-tier dividend of 27% or 13.5 sen (2010 -27% or 13.5 sen) per share of RM0.50 each, amounting to a net dividend payable of approximately RM157.7 million (2010 - RM156.6 million) for the year ending 31st December 2011, to be paid on 10th February 2012.

  • UMW Promotes Premium Repsol Product Range
    UMW Promotes Premium Repsol Product Range

    Shah Alam, 19 Oct 2011 - UMW Lubricant International Sdn. Bhd. (ULI), a wholly-owned subsidiary of the UMW Group, today unveiled REPSOL's range of lubricants for the automotive industry. While the Repsol name is synonymous with motorcycle lubricants due to its long association with MotoGP, the brand carries a wider range of products including lubricants for passenger and commercial vehicles as well as industrial use.

    The principal agency agreement with Repsol YPF Lubricantes Y Especialidades, S.A. (REPSOL) on for the appointment of ULI as the exclusive Principal Agent was signed in November last year, during the last round of the MotoGP Championship in Valencia, Spain.
    The agreement includes the distribution of REPSOL lubricants for automotive, motorcycle, and industrial use as well as ancillary products manufactured or sold by REPSOL. This exclusive distributorship covers Malaysia, Singapore, Brunei, Papua New Guinea, Myanmar, and China.

    UMW and REPSOL have likened the deal to a 'marriage' where REPSOL has found the perfect strategic partner in UMW to help its market penetration into Asia as part of its international expansion plan. UMW, on the other hand, with its strong presence in Asia, extensive experience in managing partners and financial stability, has found a world class brand and committed partner in REPSOL.

    Datuk Syed Hisham Syed Wazir, President & Group CEO, UMW Holdings Berhad remarked, ''We are very happy with this alliance with Repsol. Like in any marriage, the first year is the most important, where each partner gets to know one another better so that they can, together, weather any challenges they may face in the future."

    Since its introduction into the Malaysian market in June 2011, ULI has imported more than 530 tonnes of lubricant oil meant for passenger vehicles, motorcycles, and diesel powered engines.

    "We have set a target of 3,700 tonnes for 2012 to cater for the growing needs of the motorcycle and passenger car sectors, as well as diesel engines including automatic transmission fluid and other industrial products", said Datuk Syed Hisham.

    Sales of Repsol in Malaysia have been very encouraging since its introduction in June due to its renowned quality and strong international brand identity. ULI hopes to capture at least 3% of the market share by the end of 2012 through a series of on-ground activities scheduled for kick-off during the upcoming MotoGP in Sepang.

    The event will mark ULI's maiden stage appearance with Repsol, where a convoy of more than 300 bikers will track the journey to the circuit on 23rd October. Scheduled appearances by Repsol riders are also expected at ULI's promotional booth and Corporate Suite at SIC along with other promotional fun-filled activities.

    "We would like to position Repsol as a premium quality lubricant that will compete with existing major players in the lubricant industry. Given its long-time association with MotoGP, we are going to leverage on this and aggressively promote Repsol products for the wider passenger vehicle market. We will appoint nationwide distributors and dealers, and target to have more than 200 outlets by the end of 2011", added Datuk Syed Hisham.

    Sales of Repsol lubricants are expected to reach 20,000 tonnes per year within Malaysia and China by 2015. REPSOL currently markets its lubricants directly and through distributors in over 60 countries in America, Europe and Asia. In Asia, the company is present in Indonesia, Japan, Philippines and Taiwan, where it produces and distributes locally.

    REPSOL is Spain's largest integrated oil and gas company with principal operations in Latin America, the Middle East and North Africa as well as operations in over 30 countries in upstream, downstream and LNG businesses.

  • UMW showcases 'Dunia UMW'
    UMW showcases 'Dunia UMW'

    Kuala Lumpur, 15 Sept 2011 - The UMW Group today unveiled "Dunia UMW", a first-of-its-kind in the corporate world. Built around the concept of merging 3D imaging with reality based entities, 'Dunia UMW' is designed to provide an extensive virtual experience of some of UMW's key facilities. Provided with near-perfect 3D models based on actual plans, presenters and visitors alike can now immerse themselves in a virtual environment with sight and sound; you have freedom to move and interact in real-time interaction using pre-selected 3D Avatars using simple click-and-choose options.

    In "Dunia UMW", visitors will have the ability to freely move around, observe, interact with the environment (view videos and other reality based content), and vocally communicate with UMW hosts as well as other visitors, in real time.

    "Dunia UMW" probably marks a first for any corporation to showcase its facilities and infrastructure using latest cutting-edge technology - a technology opined by Jim Blascovich and Jeremy Bailenson's in their new book, "Infinite Reality", as being available only within the next few years.

    Access is simple. Visitors make an appointment with the UMW officer who will revert with an email confirmation and a secure link to download the program to their PC. The program once installed provides the engine which creates a secure link to the UMW Server. On the appointed day, the visitor using their assigned USER ID and PASSWORD, selects an Avatar for themselves (the virtual being) and enters "Dunia UMW" for a tour accompanied by one of our Virtual Ambassadors who will be on hand to receive and guide you.

    The first phase of "Dunia UMW" mirrors a number of facilities including UMW's Reception, Lounge, and Meeting Facilities, the Hallmark Lounge and Discussion Rooms, as well as our gallery of history - UMW GaleriKu. Visitors who arrive at our virtual reception and lounge areas get a near-life visual experience of being at UMW's headquarters in Shah Alam with the tour of GaleriKu providing a rich informative overview of the company.
    The next phase in the pipeline is the recreation of key UMW operations which is expected to include 3D virtual creation of one of the Group's oil and gas exploration rigs, car assembly plant, car body paint shop, and possibly a pipe manufacturing plant.

    Prime Minister Dato' Sri Mohd Najib bin Tun Abdul Razak launched the preview of 'Dunia UMW - A Virtual Walkthru' at this year's Minggu Saham Amanah Malaysia held at Stadium Indra Mulia, Ipoh, Perak on 20 April, 2011.

    UMW's project applications development partner is Axis Three Dee Studios Pvt. Ltd. of Kolkata, India, a 3-D simulation company. Axis Three Dee is Intel's Associate Partner.

    Dunia UMW's cyber 'Corporate Networking' platform, Dunia UMW incorporates many new cutting-edge features. Visitors can experience the sensation of view their reflections and shadows on polished floor tiles and mirrors as they would in reality. The 3D Avatars allow easy movement using the arrow key on the keyboard to move around. Personal interaction in virtual space include the ability to greet others real-time by verbal communications as well as through more traditional body movements including bowing and shaking hands. All of this is made possible with sophisticated backend technology that packages both the communications and security in an integrated application that allows you to experience Dunia UMW from the comfort of your home or office anywhere in the world, using today's basic computer configuration with an internet connection.

    You can arrange an appointment to visit Dunia UMW by clicking the link below.

    • http://www.umw.com.my/duniaumw
  • UMW Achieves Pretax Profit of RM312 million in 2Q11
    UMW Achieves Pretax Profit of RM312 million in 2Q11

    Shah Alam, 19 Aug 2011 - The UMW Group announced a revenue of RM3.166 billion for the second quarter ended 30 June 2011, representing a slight drop of 1.7% from the revenue registered in the first quarter.

    Lower sales of Toyota vehicles due to production disruptions caused by the earthquake and tsunami in Japan, resulted in the lower revenue for the second quarter.

    Group profit before taxation for the second quarter ended 30 June 2011 decreased from RM339.5 million in the first quarter of 2011 to RM312.0 million, a reduction of 8.1% or RM27.5million.

    Group revenue of RM6,387.6 million for the six months ended 30 June 2011 improved marginally over the RM6,315.2 million registered in the same period of 2010 by RM72.4 million or 1.1%.

    Total Toyota and Perodua vehicle sales of 125,813 units represented 42.3% of the total industry volume of 297,203 units reported by the Malaysian Automotive Association (MAA) for the six months ended 30 June 2011.

    Moving forward

    The MAA revised its 2011 TIV forecast of new motor vehicle sales from 618,000 units to 608,000 units.  This downward revision by 10,000 units or 1.6% was made in view of the production disruptions caused by the tsunami in Japan as well as the slow-down in vehicle registration caused by the amendments to the Hire Purchase Act ("HPA").

    Notwithstanding the above, the performance of both Toyota and Perodua is expected to improve significantly in the second half of 2011.  Consequently, profit contributions from the Automotive segment are expected to be in line with the Group's original 2011 internal targets.

    Datuk Syed Hisham bin Syed Wazir, President and Group CEO of UMW said, "I am pleased to announce that we have ramped up our Toyota vehicle production for the second half of the year and we expect to meet our sales targets.  Perodua's sales was also affected by the Japan disaster and the run-out of the old Myvi.  The brand new Myvi was launched on 16th June and the response has been very good.  As such, the performance of both Toyota and Perodua is expected to the better in the 2nd half".

    Supply of Komatsu, Toyota and Mitsubishi equipment has returned to normal since July 2011.  The impact of the tsunami on the performance of the Equipment segment during the second quarter of 2011 was relatively minor. Strong demand for its heavy and industrial equipment is expected to continue into the second half of 2011.

    Both revenue and profit contributions from the Manufacturing and Engineering segment for the year 2011 are expected to be lower than budget due to the slow-down in vehicle sales caused by the tsunami in Japan.  Sales of its automotive parts are picking up following the progressive recovery in the automotive sector.

    The operating results of UMW's Oil & Gas Division have shown considerable improvement.  With the improved performance, the division is expected to be profitable again from this year.

    The Group's performance is progressing satisfactorily in accordance with its business recovery plans and the Group is likely to achieve its internal performance targets for 2011.

    The Board declared an interim single-tier dividend of 20% or 10.0 sen (2010 - 20% or 10.0 sen) per share of RM0.50 each, amounting to a net dividend payable of approximately RM116.8 million (2010 - RM114.8 million) for the year ending 31st December 2011, to be paid on 7th October 2011.

  • UMW Participates In River Clean-Up Programme
    UMW Participates In River Clean-Up Programme

    Gombak, 30 Jul 2011 - As part of its on-going CSR programme, UMW, one of the nation's largest conglomerates, took part in organising a programme to river clean-up the Sungai Gombak. The Group's internal volunteer group, the UMW Community Champions, together with Lembaga Urus Air Selangor (LUAS) and Alam Flora spent the whole of Saturday morning on 30th July cleaning up parts of the river and adjacent areas.

    As many of us may be aware, the Klang Gate Dam is the main source of water supply for the residents of the Klang Valley. Water flows from the Sungai Gombak through the Puncak Niaga Treatment plant, and from there, processed clean water is supplied to households. Sungai Gombak's attraction as a picnic recreational spot had become increasingly popular due to its location and close proximity to urban and residential areas. This distinction however, has also led to an increase in the amount of litter that is thrown into the river and surrounding areas by visitors.

    UMW President & Group CEO, Datuk Syed Hisham Syed Wazir said, "Although this was a small effort, we hope that we were able to teach, especially the young, the importance of taking care of our environment. After all, we ourselves do not inherit the earth from our parents, but merely borrow it from our children".

    The UMW Group has a long history of supporting non-profit and non-political organisations through its community programmes. The Group's Corporate Social Responsibility (CSR) strategy is comprehensive and goes beyond just funding charitable projects; we benchmark against international best practices in the marketplace, the workplace, the environment, and the community.

    As at 31st December 2010, the UMW Community Champions successfully clocked 2,226 service hours, exceeding the target of 2,010 service hours for 2010. The Group plans top this by increasing its service hours to 2,500 hours by the close of 2011.
  • UMW YTD Net Profit Increases
    UMW YTD Net Profit Increases

    Shah Alam, 25 May 2011 - The UMW Group announced today that its Group profit before taxation for the first quarter ended 31 March 2011 of RM339.5 million outperformed the RM305.1 million registered in the same quarter of 2010 by 11.3% or RM34.4 million. Higher revenue coupled with favourable foreign exchange rates mainly contributed to the higher profit before taxation.
    As a result of the above, net profit attributable to the owners of the Company for the first quarter of 2011 increased from RM132.9 million registered in the same quarter of 2010 to RM151.8 million, an increase of RM18.9 million or 14.2%.

    Group revenue of RM3,221.2 million for the first quarter ended 31 March 2011 surpassed the RM3,033.2 million achieved in the preceding year's corresponding quarter by RM188.0 million or 6.2%. Improved sales registered by all business segments of the Group, particularly the Equipment segment, resulted in the revenue growth.

    Total Toyota and Perodua vehicle sales of 73,466 units represented 46.4% of the Total Industry Volume of 158,433 units reported by the Malaysian Automotive Association for the quarter ended 31 March 2011.
    Group profit before taxation of RM339.5 million for the first quarter ended 31 March 2011 was RM114.8 million or 51.1% higher than the RM224.7 million recorded in the fourth quarter of 2010. This was because the fourth quarter results had reflected impairment losses provided on some of the Group's assets and investments.
    However, Group revenue of RM3,221.2 million for the first quarter ended 31 March 2011 was lower than the RM3,438.1 million registered in the fourth quarter of 2010 by RM216.9 million or 6.3%. Lower sales of Toyota vehicles, automotive components and some of the Group's Oil & Gas products and services, resulted in the reduction in revenue for the first quarter.
    Moving forward
    Production of both Toyota and Perodua vehicles in the second quarter of 2011 is expected to slow down due to disruptions in parts supplies as a result of the recent earthquake and tsunami in Japan. As automotive parts makers in Japan are now scheduling to resume production earlier than expected, it is possible that production of Toyota and Perodua vehicles can be ramped up in the second half of 2011 to levels sufficient to cover the earlier shortfall. Perodua is maintaining its full-year sales target of 195,000 units and plans to roll out a new model soon to replace its top seller, MyVi.

    Supply of Komatsu, Toyota and Mitsubishi equipment for the month of April 2011 was delayed. However, this delay is likely to be temporary as production is expected to resume to normalcy within the next few months. UMW's Board is optimistic that the Group would most likely be able to meet its delivery commitments for the whole year.

    Datuk Syed Hisham bin Syed Wazir, President and Group CEO of UMW said, "The recent earthquake and tsunami in Japan are affecting our second quarter automotive parts sales volume in India and Malaysia. However, impact on the 2011 revenue and earnings targets of our Manufacturing & Engineering Segment is not expected to be material as full recovery within the next few months is highly probable".

    Performance of the Group's Oil & Gas Segment is expected to continue to improve for the rest of the year in view of the following:

    - UMW's premium jack-up rig, Naga 3, has secured a drilling contract from Petronas Carigali Sdn. Bhd. with an estimated value of USD41.5 million for the first year and the option to renew in Year 2 and Year 3. Naga 3 has been income-generating since March 2011.

    - Both Naga 1, a semi-submersible rig and Naga 2, a premium jack-up rig, will continue to generate income for the remaining period of the year.

    - United Seamless Tubulaar Private Limited's new OCTG plant in India is on track to increase its plant capacity utilisation. 

    - The performance of its overseas associate, WSP Holdings Limited, has shown some improvement.

    UMW's Board is of the view that the financial performance for the second quarter of 2011 will be affected by the recent earthquake and tsunami in Japan. However, barring unforeseen circumstances, full recovery from this temporary set-back is possible in the second half of 2011.

  • Making inroads into Virtual Reality - UMW Previews 'Dunia UMW'
    Making inroads into Virtual Reality - UMW Previews 'Dunia UMW'

    Shah Alam, 03 May 2011 - The UMW Group recently unveiled another first of its kind in the corporate world. Prime Minister Dato' Sri Mohd Najib bin Tun Abdul Razak launched a preview of 'Dunia UMW - A Virtual Walkthru' at this year's Minggu Saham Amanah Malaysia held at Stadium Indra Mulia, Ipoh, Perak on 20 April. This 3D Walkthru is intended to provide an extensive and virtual preview of some of UMW's important facilities. It allows visitors to see and interact in real time with UMW officers without having to physically travel all the way to these facilities.

    "Dunia UMW" marks probably the first for any corporation that would have ever ventured to showcase its facilities and infrastructure using the latest cutting-edge technology - a technology which, according to Jim Blascovich and Jeremy Bailenson's new book, "Infinite Reality", may only be available within the next five years.

    Provided with near-perfect 3D models based on actual plans, presenters and visitors alike are able to be virtually immersed in an environment that offers complete and real-time interaction through the pre-selected 3D Avatars using simple click-and-choose options.

    The process draws heavily from MMOG technology (Massively Multiplayer Online Gaming) that has, over the last few years, broken all boundaries between the Virtual and Real world perceptions.

    The first phase of ''Dunia UMW" will showcase UMW's historical gallery, known as UMW GaleriKu. UMW's reception and lounge area have also been virtualised to give visitors a real feel of entering the UMW headquarters in Shah Alam. The next phase in the digitisation of UMW's operations is expected to create one of the Group's exploration rigs, as well as its assembly plant and paint shop, and possibly a pipe manufacturing plant.

    The developers of the project are from Axis Three Dee Studios of Kolkata, India, a 3-D simulation company. Axis Three Dee is Intel's Associate Partner.

    The programme incorporates many cutting-edge features:-
    - exact replication of existing environment in low and mid poly
    - 4-D mathematics to produce advanced graphics
    - 3-D avatars for advanced interaction in Virtual Reality
    - hybrid transfer of Voice and Data
    - multi-channel segregation of voice conferencing over minimal bandwidth
    - XOR-based encryption for security

  • Compelling Facts Related to Tennant Sustainability and ec-H20â„¢
    Compelling Facts Related to Tennant Sustainability and ec-H20â„¢

    Important statistics illustrating the growing need for sustainable cleaning solutions, as well as more details on ec-H20â„¢ - which uses electrically converted water to clean floors chemical-free, while reducing water usage by up to 70%.

    Read more on   Tennant ec-H20â„¢
  • UMW Industries Today 2011 1st Issue
    UMW Industries Today 2011 1st Issue

    Shah Alam, 15 Apr 2011 - Congratulations to the winners for winning an exclusive UMW Data Traveller!

    1. Mr. Low Pek Yin, Kien Yik Glass Sdn. Bhd.
    2. Ms. Roaini Md. Arifin, Miyao-Toki (M) Sdn. Bhd.
    3. Cik Mazuin Hasliza Binti Mohd, Kilang Padi Nazra Sdn. Bhd.
    4. Mr. Ha Heng Chi, Pengangkutan Ayon Sdn. Bhd.
    5. Mr. Su Kuok Miew, Zedtee Plywood Sdn. Bhd.
    6. Cik Nor Azimah Bt Paiman, Haco Asia Pacific Sdn. Bhd.
    7. Mr. Khor Wan Keong, Chee Wah Corporation Berhad
    8. Ms. Ling Hung, Rimbunan Hijau General Trading Sdn. Bhd.
    9. Ms. Angelina Low, Ikhasas Sdn. Bhd.
    10. Mr. Chaw Ting Meng, Integrated Logistics Solutions Sdn. Bhd.

     

  • UMW Donates RM 500,000 To Japan Earthquake And Tsunami Fund
    UMW Donates RM 500,000 To Japan Earthquake And Tsunami Fund

    Shah Alam, 1 Apr 2011 - The UMW Group has contributed RM500,000 to the victims of the Japan earthquake and tsunami through the Malaysian Red Crescent Society (MRCS) International Relief Fund at the MRCS headquarters in Kuala Lumpur on 30 March 2011. The contribution consisted of RM350,000 from UMW Toyota Motor Sdn. Bhd. and RM150,000 from UMW Corporation Sdn. Bhd..

    UMW President & Group CEO, Datuk Syed Hisham Syed Wazir said, ''The UMW Group has enjoyed a long and rewarding business relationship with several highly established Japanese corporations over the years, including Toyota Motor Corporation, Japan. All of us in UMW sincerely and humbly hope this contribution will assist towards the rebuilding of lives as well as the affected areas in Japan.

    We greatly admire the dignity and indomitable spirit of the Japanese people and Japan as a nation. There is no doubt at all in our minds that Japan will rise once again, stronger than ever, to overcome this tragedy, in the shortest time possible."

    Datuk Syed Hisham presented the cheque on behalf of UMW Corporation while En Ismet Suki, President, UMW Toyota Motor presented on behalf of UMW Toyota Motor. YM Tunku Tan Sri Shahriman bin Tunku Sulaiman, Chairman, MRCS received the cheques on behalf of MRCS International Relief Fund. Also present to witness the ceremony were Mr Koichi Ito, Deputy Head of Mission, Embassy of Japan and Mr Takashi Hibi, Deputy Chairman, UMW Toyota Motor.
    The UMW Group has a long history of supporting a number of non-profit and non-political organisations through its community programmes. The Group's Corporate Social Responsibility (CSR) strategy is comprehensive and goes beyond just funding charitable projects, benchmarking against international best practices in the marketplace, the workplace, the environment and the community.

    The UMW Group has also contributed to various other relief funds for foreign natural disasters over the years. For more information, please refer Appendix.

    Appendix

    List of UMW Group's past contributions to foreign natural disaster funds:

    Myanmar, Nargis Cyclone (2008) Total contribution - RM75,000
    UMW Corporation - RM50,000
    UMW Toyota Motor - RM25,000

    Contributed to MERCY Malaysia

    China, Earthquake (2008) Total contribution - RM250,000
    UMW Corporation - RM210,266
    UMW Toyota Motor - RM25,000
    Staff contribution - RM14,733.90

    Contributed to the China Embassy

    Indonesia, Jogjakarta Earthquake (2006) Total contribution from UMW - RM10,000

    Contributed to Majlis Belia Malaysia

    Indonesia, Tsunami
    (2004) Total contribution from UMW - RM 221,613.52
    RM100,000 contributed to Tsunami Disaster Fund by NST-Berita Harian-TV3/8TV
    RM100,000 contributed to Tabung Kemanusiaan Acheh managed by Utusan Malaysia
    RM21,613.52 staff contribution to Tabung Bencana Tsunami Asia - Kementerian Luar Malaysia


     

2010's News


  • New President For UMW Toyota Motor
    New President For UMW Toyota Motor

    Shah Alam, 30 Nov 2010 - The UMW Group today announced the appointment of En Ismet Suki as the new President of UMW Toyota Motor Sdn. Bhd. ("UMW Toyota Motor"), effective 1 January 2011, replacing Mr Kuah Kock Heng who will complete his term on 31 December 2010. Mr Kuah will, with effect from 1 January 2011, head Toyota Capital Malaysia Sdn. Bhd. ("Toyota Capital Malaysia") as President, replacing Mr Lim Chin Teong upon the latter's retirement on 31 December 2010. Mr Kuah will also remain on the board of UMW Toyota Motor. Toyota Capital Malaysia, a subsidiary of Toyota Financial Services Corporation, Japan ("TFSC"), provides financial products and services to Toyota customers - covering individual, business and fleet vehicles. TFSC, a wholly-owned subsidiary of Toyota Motor Corporation, Japan ("TMC"), specialises in vehicle financing for TMC around the world, and has total managed assets of JPY 11 trillion.

    The UMW Group would like to express its deepest appreciation to Mr Kuah Kock Heng for his contributions to UMW Toyota Motor.

    En Ismet Suki, 57, is currently Executive Director, Customer Services Group & Human Capital Division of UMW Toyota Motor, a subsidiary in the UMW Group. He has served UMW Toyota Motor since 1990 in various capacities, benefitting from the job rotation system practised by the company.

    En Ismet Suki has a Diploma in Business Administration from UiTM and also holds a Bachelor of Science (Marketing) degree from Syracuse University, New York, United States of America. He has also attended a Senior Executive Programme in Kellogg Graduate School, United States of America.

    En Ismet started his career in 1976 as a Market Analyst at Ford Motor Company (Malaysia). He was granted a 2-year study leave from Ford Motor in 1979 to pursue the afore-mentioned degree as a MARA scholar. Upon his return, he rejoined Ford Motor Company as Field Manager and later, the Sales Planning & Distribution Manager. Thereafter, he spent a few years at Peremba Berhad before joining UMW Toyota Motor in 1990 as Public Affairs Manager.

    Given his extensive experience in the company's Service, Marketing, Customer Services and Human Capital Divisions, En Ismet is well-poised to take on the challenges of an increasingly competitive automotive sector.

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses - Automotive, Equipment, Manufacturing and Engineering, and Oil and Gas.

    In adopting the rallying call Beyond Boundaries, UMW is set to play a leading role in shaping the future of its industries globally. The Company will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of its stakeholders.

  • UMW Teams Up With Repsol
    UMW Teams Up With Repsol

    Shah Alam, 29 Nov 2010 - The UMW Group today announced that UMW Lubricant International Sdn. Bhd. (ULI), a wholly-owned subsidiary in the UMW Group, has signed a principal agency agreement with Repsol YPF Lubricantes Y Especialidades, S.A. (REPSOL) for the appointment of ULI as the exclusive Principal Agent to distribute the Repsol brand of lubricants throughout Asia. This includes the automotive, motorcycle and industrial lubricating oils and ancillary products excluding marine oils manufactured or sold by REPSOL. Two subsidiary agreements covering distributorship in China, Malaysia, Singapore, Brunei, Papua New Guinea and Myanmar were also signed. The signing of the agreements was timed to coincide with the final race of the prestigious MotorGP World Championship on Saturday, 6 November in Cheste, Valencia, Spain.

    The agreements were signed by Datuk Syed Hisham bin Syed Wazir, President and Group CEO, UMW Holdings Berhad and Mr Pascual Olmos, Executive Director, Repsol Marketing Europe amidst a flurry of excitement at the Repsol booth on the MotorGP circuit. Other signatories were En Azhar Harun and Ms Suseela Menon, Executive Directors, UMW Corporation Sdn. Bhd.. Earlier, the famous Dani Pedrosa, a Repsol Honda team rider and runner-up in the 2010 MotorGP World Championship, had made a surprise visit to meet the UMW and Repsol management teams.

    The initial term of the agreement is five years with options for further extensions to be agreed by the partners. Both partners have likened the deal to a ‘marriage' where REPSOL has found the perfect strategic partner in UMW to help its market penetration into Asia as part of its international expansion plan. UMW, on the other hand, with its strong presence in Asia, extensive experience in managing partners and financial stability, has found a world class brand and committed partner in REPSOL.

    Mr Pascual Olmos said, "REPSOL is happy to have found a strong and suitable partner in UMW for our expansion plans for Asia, and we are looking forward to other collaborations with UMW in the future."

    Datuk Syed Hisham Syed Wazir remarked, "We are very happy with this alliance with Repsol. Like in any marriage, the first year is the most important, where each partner gets to know one another better so that they can, together, weather any challenges they may face in the future."

    Sales of Repsol lubricants are expected to reach 20,000 tonnes per year by the end of the five year period, equivalent to more than 25% of REPSOL's annual sales of these products in Spain. REPSOL currently markets its lubricants directly and through distributors in over 60 countries in America, Europe and Asia. In that continent, the company is present in Indonesia, Japan, Philippines and Taiwan, where it produces and distributes locally.

    REPSOL is Spain's largest integrated oil and gas company with principal operations in Latin America, the Middle East and North Africa and other operations in over 30 countries in upstream, downstream and LNG businesses. Its involvement in the upstream and downstream businesses offers future opportunities for collaboration with UMW in these areas in the future.

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses - Automotive, Equipment, Manufacturing and Engineering and Oil and Gas.

    In adopting the rallying call Beyond Boundaries, UMW is set to play a leading role in shaping the future of its industries globally. The Company will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of its stakeholders.

  • UMW Acquires 2 Companies From Pennzoil Quaker State Company
    UMW Acquires 2 Companies From Pennzoil Quaker State Company

    Shah Alam, 29 Nov 2010 - The UMW Group today announced that in order to strengthen its Pennzoil lubricant distributorship agreement, UMW Auto Parts Sdn. Bhd. (UAP), a wholly-owned subsidiary in the UMW Group, has entered into two separate Share Sale Agreements with Pennzoil-Quaker State Company (PQSC) for the acquisition of 30% of the issued and paid-up share capital of Lubetech Sdn. Bhd. (LSB) and 50% of the issued and paid-up share capital of UMW Pennzoil Distributors Sdn. Bhd. (UPD) from PQSC. Upon completion of the Proposed Acquisitions, both LSB and UPD will become wholly-owned subsidiaries in the UMW Group.

    Under the Share Sale Agreements, UAP will acquire 324,000 ordinary shares of par value RM1.00 each, representing 30% of the issued and paid-up share capital of LSB at a purchase consideration of RM5,898,058.25, and 500,000 ordinary shares of par value RM1.00 each, representing 50% of the issued and paid-up share capital of UPD at a purchase consideration of RM9,101,941.75 from PQSC.

    The purchase consideration of the Proposed Acquisitions was arrived at on a "willing-buyer willing-seller" basis.

    UMW's strategy is to eventually establish itself in the international lubricant arena.

    The term of the Trademark License Agreement between PQSC and UPD is for 10 years (5 + 5).

    PQSC is a leading worldwide automotive consumer products company formed in the United States of America in 1998. Its Pennzoil and Quaker State brand motor oils are the number one and two selling motor oils in the United States of America.

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses - Automotive, Equipment, Manufacturing and Engineering and Oil and Gas.
    In adopting the rallying call Beyond Boundaries, UMW is set to play a leading role in shaping the future of its industries globally. The Company will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of its stakeholders.

  • UMW YTD Net Profit Increases By 82.1%
    UMW YTD Net Profit Increases By 82.1%

    Shah Alam, 22 Nov 2010 - The UMW Group announced today that its Group profit before taxation for the nine months ended 30 September 2010 of RM1,088.3 million outperformed the RM597.4 million achieved in the same period of 2009 by 82.2%, an increase of RM490.9 million. Higher revenue from most of UMW's core business segments, improved margins from favourable foreign exchange rates and model mix contributed to the profit surge. However, the antidumping and countervailing duties imposed by the United States on OCTG pipes imported from China continued to adversely affect the performance of its overseas associate, WSP Holdings Limited. Negative contribution from Naga 2 also contributed to the loss registered by the Oil & Gas segment.

    Net profit attributable to the owners of the Company of RM493.9 million for the nine months ended 30 September 2010 was significantly higher than the RM271.3 million achieved in the same period of 2009, an increase of RM222.6 million or 82.049%.

    Group revenue of RM9,402.5 million for the nine months ended 30 September 2010 improved over the RM7,728.5 million recorded in the same period of 2009 by RM1,674.0 million or 21.7%. Strong economic recovery, particularly in the first six months of 2010, resulted in higher demand for Toyota vehicles, industrial and heavy equipment as well as automotive parts. However, sales of its oil and gas pipes and services were adversely affected by the slow recovery in the Oil & Gas Industry.

    Group revenue of RM3,087.3 million for the third quarter ended 30 September 2010 had surpassed the RM2,797.7 million achieved in the preceding year's corresponding quarter by RM289.6 million or 10.4% due to strong consumer and business confidence that continued to generate demand for Toyota vehicles, heavy and industrial equipment as well as automotive parts.

    Group profit before taxation for the third quarter ended 30 September 2010 of RM340.9 million exceeded the RM288.2 million registered in the same quarter of 2009 by 18.3%, an increase of RM52.7 million. Higher sales of UMW's products and services by most of its business segments and favourable foreign exchange rates accounted for the profit improvement for the quarter ended 30 September 2010.

    As a result, net profit attributable to the owners of the Company for the third quarter of 2010 increased from RM125.9 million registered in the same quarter of 2009 to RM149.4 million, an increase of RM23.5 million or 18.7%.

    Group revenue of RM3,087.3 million for the third quarter ended 30 September 2010 was lower than the RM3,282.1 million registered in the second quarter of 2010 by RM194.8 million or 5.9%. Sale of Toyota vehicles and automotive parts declined due to the shorter trading periods in the third quarter of 2010 as a result of the long Hari Raya Aidilfitri festival break.

    Consequently, Group profit before taxation of RM340.9 million for the third quarter ended 30 September 2010 was RM101.4 million or 22.9% lower than the RM442.3 million recorded in the second quarter of 2010. A dip in the sales of both Toyota and Perodua vehicles mainly accounted for the reduction in profit.

    Total Toyota and Perodua vehicle sales of 212,438 units represented 46.9% of the total industry volume of 453,249 units reported by the Malaysian Automotive Association for the nine months ended 30 September 2010.

    The UMW Board declared a second interim single-tier dividend of 27% or 13.5 sen (2009 - 10% or 5.0 sen) per share of RM0.50 each, amounting to a net dividend payable of approximately RM156.6 million (2009 - RM56.2 million) for the year ending 31 December 2010, to be paid on 11 February 2011.

    Moving forward
    As expected, growth in the global economy has moderated in the third quarter with advanced economies registering a slower growth momentum than the developing and emerging economies. Nevertheless, the recovery is likely to continue into the fourth quarter of 2010, albeit at a slower pace.

    Datuk Syed Hisham bin Syed Wazir, President and Group CEO of UMW said "It is anticipated that vehicle sales will ease very slightly in the fourth quarter of 2010, as some customers may defer purchases to next year to gain better resale value and to cash-in on the full excise duty exemptions on hybrid cars which takes effect from 1 January 2011. We expect to close the year with both Toyota and Perodua exceeding their internal targets of 88,000 units and 176,000 units, respectively".

    In line with the positive outlook for the Automotive Industry, UMW's Manufacturing & Engineering segment is expected to continue to perform well in the remaining months of the year.

    The performance of its Oil & Gas segment is expected to improve in the fourth quarter of 2010 in view of the following:
    • UMW's premium jack-up rig, Naga 2, was mobilised to Ujang Pangkah Field in Indonesia on 8 September 2010, under a drilling contract with an estimated value of USD183 million over a period of 1,355 days.
    • UMW took delivery of Naga 3, another premium jack-up rig, in September 2010 and is currently in active negotiations with potential clients.
    • United Seamless Tubulaar Private Limited's new OCTG plant in India has commenced commercial production of seamless tubular green pipes. The first shipment of 200MT of 9 5/8" seamless pipes was delivered on 25 August 2010.
    • WSP has been successful in securing new customers in international markets, consequent to which sales have shown improvement. However, margins have eroded due to excess supply in the domestic China market. The company is continuing to pursue new export opportunities to broaden its customer base and to achieve improvement in overall margins.

    Demand for heavy and industrial equipment is expected to be maintained in the fourth quarter of 2010 in view of the following:
    • strong domestic economic activities in countries where UMW has presence
    • high level of activities in the construction, quarry and mining sectors with the implementation of the various stimulus packages by the Malaysian Government.

    UMW's Board is confident that the Group's internal annual performance targets set for the year 2010 are achievable.

  • UMW Enters Drilling Services Assistance Cooperation Agreement On Naga 2
    UMW Enters Drilling Services Assistance Cooperation Agreement On Naga 2

    Shah Alam, 22 Nov 2010 - The UMW Group announced today that in respect of the Letter of Award received from HESS (Indonesia-Pangkah) Limited, for the provision of UMW's Jack-Up Drilling Rig "NAGA 2" and drilling services with a total contract value of approximately USD183.12 million, UMW Standard Drilling Sdn. Bhd. ("UMWSD"), a wholly-owned subsidiary in the UMW Group, has entered into a Drilling Services Assistance Cooperation Agreement with PT. Harmoni Drilling Services ("PTHDS") and PT. Isis Megah ("PTIM").

    The Agreement is to regulate and formalise the conduct of business processes and cooperation in relation to the provision of and the performance of the Drilling Contract in respect of "NAGA 2" entered into between HESS and PTIM. The Agreement also serves to confirm the roles of each of the parties as mentioned in its announcement on 29 September 2010 in relation to the execution of the Drilling Contract by HESS and PTIM.

    The principal activity of UMWSD is to perform contract offshore drilling business and operations and other engineering services for oil and gas exploration, development and production in Malaysia and overseas.

    PTHDS's principal activities are the provision of offshore and onshore drilling and workover services to the Oil and Gas industry while the principal activities of PTIM are the supply of drilling and production equipment to the Oil and Gas industry.

  • UMW Industries Today 2010 2nd Issue
    UMW Industries Today 2010 2nd Issue

    Shah Alam, 31 Aug 2010 - Congratulations to the winners for winning an exclusive UMW Ruler Calculator!

    1. Mr. Prakash A/L Ragalwil @Rahavan, Enviro Metal Sdn. Bhd.
    2. Ms. Ching Yeo Boey, Lam Soon Edible Oils Sdn. Bhd.
    3. Ms. Bibiana Foo, Brooke Dockyard and Engineering Works Corporation
    4. En. Ismail Bin Abdullah, Globechem Sdn. Bhd.
    5. En. Norudin Bin Mamat, Latitude Tree Furniture Sdn. Bhd.
    6. Ms. Tay Mei Seah, Kilang Papan Rimba Timor (Johor) Sdn. Bhd.
    7. Mr. Yap Chee Hooi, GP Autobat Sdn. Bhd.
    8. Mr. Song Teng Hock, Seng Hin Rubber (M) Sdn. Bhd.
    9. Mr. PM Selvanathan, Ohreco Sdn. Bhd.
    10. Mr. Lim Ken Voon, LLS Fresh Fruits Marketing Sdn. Bhd.

  • UMW Industries Today 2010 1st Issue
    UMW Industries Today 2010 1st Issue

    15 Apr 2010, Shah Alam - Congratulations to the winners for winning an exclusive UMW Data Traveller!

    1. Mr. Lawrence Tay Han Chiong, Waheng Sdn. Bhd.
    2. Ms. Tan Gaik Hong, Batamas Sdn. Bhd.
    3. Cik Mazuin Haslliza Binti Mohd, Kilang Padi Nazra Sdn. Bhd.
    4. Mr. Tan Khuan Beng, Scaffold Master Sdn. Bhd.
    5. Cik Salwa Bte Fadzillah, Muar Ban Lee Group Berhad
    6. Mr. Joseph Wong Cheng Hin, Meng Kee Biotechnology Sdn. Bhd.
    7. En. Rohisham Ramly, Tesco Stores (M) Sdn. Bhd.
    8. Mr. Kumanan S/O Dhanabalan, Mox-Linde Welding Products Sdn. Bhd.
    9. Mr. Yap Voon Loong, Kenyik Hardware And Timber Sdn. Bhd.
    10. Mr. Hew Leong Meng, Xin Xiang Concrete Sdn. Bhd.

  • UMW Industries Today 2009 1st Issue
    UMW Industries Today 2009 1st Issue

    15 Sep 2009, Shah Alam - Congratulations to the winners for winning an exclusive UMW Forklift Radio Control!

    1. Ms. Catherine P. S. Dharianathan, Sama Wira Mulpha Industries Sdn. Bhd.
    2. En. Zakaria Bin Abdul Malik, Tencate Geosynthetics Asia Sdn. Bhd.
    3. Ms. Chan Yee Thin, Wing Hor Huat Trading (M) Sdn. Bhd.
    4. En. Shamsudin Abd. Rashid, Pascorp Paper Industries Berhad
    5. Mr. N. Kalaiselvan, Nippon Pigment (M) Sdn. Bhd.
    6. Ms. Hee Yook Fong, Grade One Marine Shipyard Sdn. Bhd.
    7. Mr. Kiu Ming Siong, TS Shipping And Forwarding Sdn. Bhd.
    8. Mr. Ngu Wu Tiong, Subur Tiasa Holdings Berhad
    9. Cik Izati Hamimi Bt Mohd Jais, Metonmas Stud Industries Sdn. Bhd.
    10. Mr. Benny Teoh, C-Pak Cergas Sdn. Bhd.

  • UMW Industries Today 2008 2nd Issue
    UMW Industries Today 2008 2nd Issue

    15 Nov 2008, Shah Alam - Congratulations to the winners for winning an exclusive UMW USB Kit!

    1. En. Idrus Bin Osman, Coschem Sdn. Bhd.
    2. Ms. Lai Soon Kwan, Jinhui Industries Sdn. Bhd.
    3. Mr. Nagendran A/L Lelchumanan, KL-Kepong Edible Oils Sdn. Bhd.
    4. Mr. Tan Gaik Hong, Batamas Sdn. Bhd.
    5. En. Mohamad Ariffin Ismail, Kilang Hevea Bukit Perak
    6. Mr. Su Kuok Miew, Rimex Sdn. Bhd.
    7. Mr. Hanson Tan Hsien-Hu, Coremax (M) Sdn. Bhd.
    8. Ms. Chan Yoke Mun, Philip Morris (M) Sdn Bhd
    9. Ms. Jennifer Soo Get Fong, Sabajuta Industries Sdn. Bhd.
    10. Mr. Chiau Chao Shee, Premier Milk (Malaya) Sdn. Bhd.

  • UMW Equipment To Supply Rm75mil Worth Of Airport Fire Vehicles To MAHB
    UMW Equipment To Supply Rm75mil Worth Of Airport Fire Vehicles To MAHB

    Shah Alam, 08 Oct 2010 - The UMW Group announced today that its wholly-owned subsidiary, UMW Equipment Sdn. Bhd., has been awarded a contract to supply a total of 21 Rosenbauer Airport Fire Fighting Vehicles to Malaysia Airports Holdings Berhad (MAHB) at a total value of approximately RM75 million.
    Included in the contract are 19 units of the Rosenbauer Panther CA5 6x6, one of the most advanced airport fire fighting vehicles, as well as 2 specialist support vehicles. Of these units, 16 Panthers will begin service with MAHB in phases during 2011 and will be located at major airports across both East and West Malaysia, whilst the remaining 3 Panthers and 2 support vehicles will service the LCCT by the end of 2011.

    The contract also includes a comprehensive maintenance agreement for a period of 15 years for all the vehicles.

    The first Rosenbauer Panther CA5 made its debut in Malaysia in August 2009 at the PETRONAS Kertih Airport after a successful introduction in the United States, Europe and other parts of Asia. The Panther is known to be one of the world's most sophisticated vehicles used in fire-fighting emergencies. Manufactured and assembled in Rosenbauer, Austria, the vehicle is capable of a one-man operation and has a capacity of 12,500 litres of water and can cater to almost all kinds of fire emergencies. It is considered a flagship of the Rosenbauer fleet, and is steadily growing in numbers at airports around the world including the Kuala Lumpur International Airport.

    UMW Equipment had also supplied nine units of the older model Panther DD series to Malaysia Airport Berhad (MAB) and TUDM airports/bases in East and West Malaysia.


  • UMW's Naga 1 Receives Contract Extension From Petronas Carigali
    UMW's Naga 1 Receives Contract Extension From Petronas Carigali

    Shah Alam, 4 Oct 2010 - UMW JDC Drilling Sdn. Bhd., an 85%-owned subsidiary of UMW Corporation Sdn. Bhd., which is in turn wholly-owned by UMW, announced today that it has received a Letter of Amendment & Contract Extension from PETRONAS Carigali Sdn. Bhd. for a 5-year extension of the contract for the provision of a Semi-Submersible Drilling Rig "NAGA 1" . The original contract is dated 21 June 2006 and drilling operations for the twenty (20) firm wells under this original contract are expected to be completed by the end of 2010. The Contract Extension is in respect of additional wells to be stipulated by PETRONAS Carigali during the duration of the contract.

    PETRONAS Carigali extended the contract for a further period of five (5) years which shall commence upon completion of drilling services of the twentieth (20th) well under the current contract. The contract value is approximately USD250 million. The Contract Extension is expected to contribute positively to the earnings and net assets of UMW for the financial year ending 31 December 2011 and beyond.

    NAGA 1, jointly-owned by UMW and Japan Drilling Company Ltd. enjoys the reputation of being the only Malaysian co-owned semi-submersible offshore rig. NAGA 1 was refurbished and upgraded in 2008, thus enhancing its competitiveness and extending its lifespan so as to maintain its excellent safety track record as evidenced by its no loss time incidents (LTI) for which it received awards and recognition from the International Association of Drilling Contractors and PETRONAS.

  • UMW Awards Scholarships To 20 Undergraduates
    UMW Awards Scholarships To 20 Undergraduates

    Shah Alam, 1 Oct 2010 - As part of its corporate social responsibility, UMW Holdings Berhad, one of the nation's most reputable conglomerates today awarded 20 undergraduate students from local universities with scholarships through its annual scholarship award. The scholarship awards were presented by UMW's new President & Group CEO, Dato' Syed Hisham bin Syed Wazir. Also in the audience were the recipients' parents, student affairs representatives from the universities and UMW's senior management.

    Held at UMW's Corporate Building, the ceremony saw each recipient receiving scholarships worth RM9,000 per year for engineering undergraduates and RM8,500 per year for Business Administration, Accountancy / Finance undergraduates. As part of the scholarship, all the undergraduates received laptops to help facilitate their assignments and research projects.
    This programme is aimed at attracting and identifying potential talents at an early stage. Since its inception in 2005, it has been an effective recruitment tool for UMW in ensuring that the best talents are always within the company's reach.

    En. Zailan Ahmad, Executive Director of Corporate Services and Group Human Capital said "Providing financial support to needy students is an on-going process. To-date 77 students have benefitted from the grants whilst 44 students are in the full scholarship programme with a total investment in excess of RM800, 000".

    Upon completion of their degree programmes, the graduates will be offered management trainee positions where they will undergo a 12-month graduate management training programme. This programme has proven to be very effective in helping new employees to experience and be exposed to the different facets of the Group's business.

    Apart from the UMW Scholarship Award, UMW also offers rewards in the form of Amanah Saham Gemilang (ASG) unit trusts to students in Shah Alam schools who excel in the PMR examinations. Similar unit trust rewards are also given to children of its employees who obtain excellent results in the UPSR, PMR and SPM examinations.

  • UMW Launches 1st Book In Management Series
    UMW Launches 1st Book In Management Series

    Shah Alam, 29 Sep 2010 - UMW Holdings Berhad, one of the nation's most reputable conglomerates today launched the first edition of its Management Series - "UMW-Dennis Specialist Vehicles Sdn. Bhd. - A Bumpy Ride" at its headquarters in Shah Alam.

    UMW has a very long history - it has endured the test of time and it has overcome numerous obstacles to become what it is today. The UMW Management Series came about from the management's desire to document UMW's many business ventures, both the successful and also, failed ones.
    UMW had earlier in 2008 launched its corporate history book, Turning Points: The UMW Story. The book chronicles the journey of UMW, from the company's humble beginnings to its current achievements as an international conglomerate. Having published the history book, UMW is going one step further in sharing the finer details of the company's stories with its employees, the industry and academia by producing a series of books on its management case studies. These case studies involve real business issues that were actually faced by UMW's decision-makers and contain information as to how the company arrived at its decisions, what went right or wrong in particular cases.

    Said Dato' Abdul Halim Harun, President & Group CEO of UMW Holdings Berhad who initiated the series, "In sharing our experiences, we hope to help those within our own organisation as well as others, to better appreciate the trials and tribulations of doing business. Our management series seek to document some of the lessons learnt".

    He continued, "History has always been a great teacher. The information and stories compiled through this series of books will be invaluable to management practitioners and students in helping them to grasp and have a better understanding of the business decision-making process. These booklets will be UMW's contribution to the country's knowledge store on management and it is in line with the Group's belief in lifelong learning at the individual, corporate and national levels".

    The first edition of the Management Series is on the UMW-Dennis Specialist Vehicles bus project, a joint venture company set up in 1994 with UK-based Specialist Vehicles Ltd. (SVL). The joint venture was set up to manufacture modern buses that would be far superior to those available in the market during that time. Unfortunately, the project had to be discontinued in 2002 due to various factors. Other stories in the series will be on UMW's oil & gas division, Rail-Tech Industries, UMW Toyota Motor, UMW Auto Parts (Thailand) and UMW's industrial and heavy equipment divisions.
    The books in the UMW Management Series are written by Zuraidah Omar whose other notable works include Performance in Malaysian Organisations published by McGraw-Hill and Of People and Principles - The Commerce Asset Story. Zuraidah Omar was also the writer of Turning Points: The UMW Story.
    The UMW Management Series launch was also attended by students and lecturers of various institutions of higher learning in the country.

  • UMW Reports A 138.4% Increase In 2Q PBT
    UMW Reports A 138.4% Increase In 2Q PBT

    Shah Alam, 20 Aug 2010 - The UMW Group announced today that its profit before taxation for the second quarter ended 30 June 2010 of RM442.3 million exceeded the RM185.5 million registered in the same quarter of 2009 by 138.4%, an increase of RM256.8 million. Higher sales of Toyota and Perodua vehicles, favourable model mix, improved performance from the Equipment and Manufacturing & Engineering segments, coupled with favourable foreign exchange rates, accounted for the significant improvement in profit for the current quarter ended 30 June 2010.

    UMW's overseas associate, WSP Holdings Limited, has reported an overall improvement in both domestic and international sales and a lower loss for the second quarter of 2010. The company has successfully secured new overseas customers in Russia, Uzbekistan and South America although sales to North America has not improved due to countervailing duties on seamless pipes made in China.

    The net profit attributable to the owners of the Company for the second quarter of 2010 jumped from the RM79.4 million registered in the same quarter of 2009 to RM211.7 million, an increase of RM132.3 million or 166.6%.

    Group revenue of RM3,282.1 million for the second quarter ended 30 June 2010 improved over the RM2,581.1 million achieved in the preceding year's corresponding quarter by RM701.0 million or 27.2%. Overall, the progressive strengthening of consumer and business confidence continued to generate strong demand for Toyota vehicles, heavy and industrial equipment as well as automotive parts. However, the performance of the Oil & Gas segment remained adversely affected by the slow recovery in the exploration and production sector. The finalisation of contractual terms for the NAGA 2 rig took longer time than expected. NAGA 2 will be income-generating in September 2010 instead of in April 2010, as originally anticipated.

    Group revenue of RM6,315.2 million for the six months ended 30 June 2010 was higher than the RM4,930.9 million registered in the same period of 2009 by RM1,384.3 million or 28.1%. Strong economic recovery in the first half of 2010 resulted in higher demand for Toyota vehicles, industrial and heavy equipment as well as automotive parts. However, slow and weak rebound in the Oil & Gas industry has affected demand for some of UMW's pipes and services.

    Group profit before taxation for the six months ended 30 June 2010 of RM747.4 million was higher than the RM309.2 million recorded in the same period of 2009 by 141.7%, an increase of RM438.2 million. Generally, higher revenue recorded by all core business segments other than the Oil & Gas segment, improved margins from favourable model mix and lower cost of imports contributed to the surge in profit. However, weak demand for some of UMW's products and services due to slow recovery in the Oil & Gas industry, negative contribution from NAGA 2 and the continued imposition of duties by the United States, resulted in a loss for the Oil & Gas segment.

    Net profit attributable to the owners of the Company for the six months ended 30 June 2010 increased to RM344.6 million from the RM145.4 million achieved in the same period of 2009, an increase of RM199.2 million.

    Total Toyota and Perodua vehicle sales of 143,721 units represented 47.7% of the total industry volume of 301,077 units reported by the Malaysian Automotive Association for the six months ended 30 June 2010.

    Group revenue of RM3,282.1 million for the second quarter ended 30 June 2010 was higher than the RM3,033.2 million registered for the first quarter of 2010 by RM248.9 million or 8.2%. Stronger demand for Toyota vehicles as well as the industrial and heavy equipment mainly accounted for the revenue improvement.

    Group profit before taxation of RM442.3 million for the second quarter ended 30 June 2010 was RM137.2 million or 45.0% above the RM305.1 million recorded in the first quarter of 2010. Higher sales volume, improved margins from favourable foreign exchange rates and lower loss incurred by its overseas associate resulted in the higher profit.

    The Board has declared an interim single-tier dividend of 20% or 10.0 sen (2009 - 12% or 6.0 sen) per share of RM0.50 each, amounting to a net dividend payable of approximately RM114.5 million (2009 - RM66.6 million) for the year ending 31 December 2010, to be paid on 7 October 2010.

    Moving forward

    The global economy is expected to grow at a modest pace in the second half of 2010 with European countries on austerity drive to address fiscal deficits and the waning of stimulus spending worldwide.

    The Malaysian economy recorded a gross domestic product (GDP) growth of 8.9% in the second quarter of 2010 against the first quarter's 10.1%, a sign that the economy is due for a slower but positive second-half this year. In line with regional performance, Malaysian Institute of Economic Research has revised the country's GDP growth forecast for the year 2010 upwards for the second time, from 5.2% to 6.5%, in view of the strong first half GDP growth and the continuing robust consumer and business confidence.

    Dato' Abdul Halim Harun, President & Group CEO of UMW Holdings Berhad said, "Aided by economic recovery and rising consumer and business confidence, Malaysian automotive sales this year is expected to hit a new high of 570,000 units, approximately 3.4% above the pre-crisis high of 551,042 units achieved in the year of 2005. Based on sales and bookings achieved so far, Perodua is confident that sales this year will reach 185,000 units, surpassing its forecast of 176,000 units. Similarly, UMW Toyota Motor is expected to exceed its internal target of 88,000 units set for the year 2010. The strengthening of Ringgit Malaysia against the United States Dollar is also expected to contribute positively to the earnings of UMW Toyota Motor".

    Strong recovery in the Malaysian Automotive industry has resulted in a surge of demand for automotive parts in the first half of 2010. This trend is expected to continue into the second half of 2010. In light of this, its Manufacturing & Engineering segment is expected to continue to do well in the remaining part of the year.

    He added, "Our premium jack-up rig, NAGA 2, has been awarded a contract for the provision of drilling services with an estimated value of USD183 million, by HESS (Indonesia - Pangkah) Limited. NAGA 2 is scheduled to be mobilised and commence production in late August and early September of 2010, respectively. UMW is in the process of working on contracts for our premium jack-up rig, NAGA 3, construction of which is in the final stages with delivery expected in the last quarter of the year. Our overseas associate, WSP Holdings Limited, expects both sales volume and prices to improve further in the second half of 2010 due to increased global oil and gas drilling activity levels. However, the antidumping and countervailing duties imposed by the United States continue to have an adverse effect on its exports to North America".

    The implementation of the various stimulus packages by the Malaysian Government has resulted in a high level of activities in the construction, quarry and mining sectors in the first half of 2010. Similarly, the economies of the countries where UMW has presence reported strong growth in the first half of 2010. Consequently, demand for some of its heavy equipment exceeded supply. UMW expects the current momentum to be sustained in the second half of 2010. As such, the Equipment segment is poised to outperform its internal targets set for 2010.

    Based on the current positive economic outlook, the Board is confident that the financial performance of the Group is likely to exceed its internal revenue and profit targets set for the financial year ending 31 December 2010.

  • Datuk Syed Hisham To Head UMW As The New President & Group CEO
    Datuk Syed Hisham To Head UMW As The New President & Group CEO

    Shah Alam, 20 August 2010 - The UMW Group announced today the appointment of Y Bhg Datuk Syed Hisham bin Syed Wazir as the new President & Group CEO of UMW, with effect from 1 October 2010, in place of Y Bhg Dato' Abdul Halim bin Harun who will be retiring on 30 September 2010.

    Y Bhg Dato' Abdul Halim had served as Non-Executive Director of UMW from 1990 to 2001 and subsequently, as President & Group CEO since 2001. Y Bhg Dato' Abdul Halim had intimated his desire to retire after the expiry of his contract in April 2009 but, at the request of the Board, had agreed to stay on for a 1 + 1 year term. In April 2010, he agreed to continue his service until a suitable candidate is identified.

    Y Bhg Dato' Abdul Halim has agreed to remain as Advisor to the new President & Group CEO until 15 November 2010, to ensure a proper familiarisation and handover process to Y Bhg Datuk Syed Hisham.

    Y Bhg Datuk Syed Hisham graduated from Plymouth University, England with a BSc in Mechanical Engineering in 1979 and earned his Master of Business Administration from the Ohio State University of USA in 1996, where he received the Beta Gamma Sigma award of the University.   Y Bhg Datuk Syed Hisham is a Fellow Member of the Institute of Motor Industry, UK, and a member of Beta Gamma Sigma of Ohio University as well as a member of the Ohio University Alumni Society in Malaysia. He has had a distinguished career in senior management positions spanning over 27 years.

    With UMW's long history and good track record, and with the support of the management and staff, the Board is confident that the new President & Group CEO will continue to take UMW to greater heights.


  • UMW'S NAGA 2 Received Letter Of Award From HESS Limited Of Jakarta, Indonesia
    UMW'S NAGA 2 Received Letter Of Award From HESS Limited Of Jakarta, Indonesia

    Shah Alam, 17 Aug 2010 - The UMW Group announced today that a Letter of Award has been received from HESS (Indonesia-Pangkah) Limited of Jakarta, Indonesia, for the provision of UMW's Jack-Up Drilling Rig "NAGA 2" and drilling services at a total contract value of approximately USD183.12 million. The contract shall consist of 7 firm wells and 13 option wells. The Group is confident that the contract will contribute positively to the earnings and net assets of UMW for the financial year ending 31 December 2010 and beyond.

    NAGA 2 is expected to commence work in the first week of September 2010 for the Pangkah WHP-B Development Drilling Programme in the Ujung Pangkah Field which is located in the Pangkah PSC - Offshore, East Java, for an estimated period of 1,355 days, equivalent to 3.7 years. NAGA 2 is a premium independent-leg cantilever jack-up rig that has drilling depth capability of 30,000 feet and has a rated operating water depth of 350 feet, resulting in more efficient drilling compared to older jack-ups, with better safety features.

    The contract agreement in respect of the above is expected to be signed before the end of August 2010.

    UMW's premium jack-up rig, NAGA 3, is in the final stages of construction and delivery is expected in the 4th quarter of this year. We are currently working on contracts with regard to the provision of this rig and drilling services.

  • UMW Toyota Motor Is Commited To Deliver High Quality Vehicles
    UMW Toyota Motor Is Commited To Deliver High Quality Vehicles

    Shah Alam, 14 Jul  2010 - UMW Toyota Motor Sdn. Bhd. (UMW Toyota Motor), distributor of Toyota vehicles in Malaysia, held a media visit to its manufacturing facility to give an insight of the company's initiatives to deliver quality vehicles.

    Commenting on the company's commitment, Mr. Kuah Kock Heng, President of UMW Toyota Motor Sdn. Bhd., said, "Stringent quality measures, procedures coupled with comprehensive quality inspection are being implemented throughout the operation processes. From the manufacturing process such as logistic, welding, painting, assembly, to the stockyard and Toyota Sales and After-sales outlets are required to abide by the strict Toyota guidelines."

    "Following the spirit of Kaizen - Continuous Improvement, we are constantly improving our quality standards and we will raise the quality bar. We will continue to ensure that the high quality aspects are adhered to, and it is extended beyond the assembly plant to our business partners, such as our suppliers and authorized dealers," said Mr. Kuah.

    The media was taken on a tour around the plant to witness how Toyota vehicles were assembled. They also learnt about the "Quality in the process" in making the vehicles. Accompanying the media were Mr. Takashi Hibi, Deputy Chairman, UMW Toyota Motor Sdn. Bhd.; Mr. Kuah Kock Heng, President of UMW Toyota Motor Sdn. Bhd.; and Hideki Omae, Plant Director, Assembly Services Sdn. Bhd.

    UMW Toyota Motor has invested close to RM290 million in the past 5 years to develop its manufacturing facilities. The investments were channeled to improve vehicle quality, productivity, cost efficiency and delivery, which contribute towards customer satisfaction.

    "To live up to our customers' expectation and deliver high standards, we will invest more than RM170 million to further develop ASSB for the next 3 years. We will channel it to enhance Toyota quality, further improve automation and productivity," added Mr.Kuah.

    UMW Toyota Motor also gives great precedence to vendor development, as they do not compromise on the quality of the parts that are produced.

    "We also encourage our local vendors to acquire technical collaboration with Toyota's Global suppliers to enhance their products and expand their export business. Hence, this will spur on the automotive industry and contribute to the Malaysian economy," commented Mr. Kuah.

    With the development of local vendors, we can ensure consistency in quality that is expected and at the same time to be cost-efficient. Currently, UMW Toyota Motor has 65 vendors, which are the highest among the non-national car makes. This is also in response to the government's call for automotive players to use more local contents to produce vehicles in the country.

    Mr Kuah continued to say, "Our most popular model, Toyota Vios is being assembled with 40% local content and for the next generation, we intend to increase the content to 50%. As for the other models, we will gradually increase the local content as our vendors are further developed to meet the higher quality standards."

    To further ensure consistency in Toyota brand quality, great emphasis is placed in the stockyard that houses the new vehicles prior to the delivery to Toyota outlets.

    A further investment of about RM200 million has been allocated to build a new centralized stockyard in Bukit Raja, which will also accommodate other facilities such as the accessory centre, test track, and a body and paint centre. The facility is scheduled to be in operation by mid 2011.

    The company is committed to create a better driving experience for its customers. "We place great pride as we always listen to our customers' feedback and suggestions to ensure we could produce better products in the future. This will enable us to deliver only the best quality vehicles and live up to customers' expectations of the Toyota brand quality," concluded Mr. Kuah.

    • http://www.toyota.com.my
  • Toyota Camry Will Be Produce In Malaysia
    Toyota Camry Will Be Produce In Malaysia

    Shah Alam, 14 Jul 2010 - UMW Toyota Motor Sdn. Bhd. (UMW Toyota Motor), the distributor of Toyota vehicles in Malaysia announced today that its Principal, Toyota Motor Corporation, Japan has decided to locally produce Toyota Camry at the Assembly Services Sdn. Bhd. (ASSB) in Shah Alam.

    The company also said it would be investing an initial amount of about RM100 million to start the local production at its manufacturing plant in Shah Alam.  The local production will start in 2 years time, with a volume of more than 10,000 units per year.

    This project reflects UMW Toyota Motor and Toyota Motor Corporation support to the Malaysian National Automotive Policy (NAP) to promote localization. It is hoped that the project will benefit local vendor and contribute to the Malaysian auto industry in the future.

    • http://www.toyota.com.my
  • Lexus LS 460 Sport Wins Asian Auto VCA Industry Award
    Lexus LS 460 Sport Wins Asian Auto VCA Industry Award

    Shah Alam, 12 Jul 2010 - UMW Toyota Motor Sdn Bhd, the authorised distributor of Toyota and Lexus models in Malaysia, was nominated for multiple awards at the recent Asian Auto - VCA Industry Awards 2010.

    In the category of ‘Best Performance Luxury Executive Sedan', the Lexus LS 460 Sport was the winner. The new LS 460 Sport which was launch in January this year, has a dynamic and sporty façade installed with aerodynamic sport to give it the added version that is fuelled with the passion of true craftsmanship. It also offers the added experience of having race-inspired shifters fitted steering wheel paddle with a 19" forged-aluminum alloy wheel design.

    The annual Asian Auto - VCA Industry Awards, which started in 2008 is the biggest automotive industry awards in Malaysia. The Asian Auto - VCA Auto Industry awards mostly focus on real value propositions of each vehicle category and the true intrinsic value of each vehicle judged, which complements the various categories available in the local price sensitive motoring market.

    • http://www.toyota.com.my
  • Lexus Malaysia To Conduct Special Service Campaign For LS460
    Lexus Malaysia To Conduct Special Service Campaign For LS460

    Shah Alam, 02 Jul 2010 - In reference to the news coverage regarding Lexus LS models engine stalling problem, UMW Toyota Motor, the exclusive distributor of Lexus vehicles in Malaysia would like to announce that it would conduct a Special Service Campaign for its LS customers. This is to address the improper functioning of valve springs that have been found in some V8 (4.6L) and (3.5L) engines manufactured between Aug 2006 to July 2008. A small possibility of abnormal engine noise or unstable idling may occur. In very rare instances, there is a chance that the engine may stop while driving. No other Lexus or Toyota models in Malaysia are involved in this issue.

    There are about 100 units of Lexus LS460 affected and Lexus Malaysia is taking proactive measures to contact all its owners.

    As soon as the improved parts are available, Lexus Malaysia will notify its customers and make appointments to carry out the necessary corrective measures.

    Customers may also contact Lexus Malaysia's free phone line 1-800-88-LEXUS (53987) for further information or assistance.

    • http://www.toyota.com.my
  • UMW Clarifies Report On Its Oil & Gas Unit
    UMW Clarifies Report On Its Oil & Gas Unit

    Shah Alam, 29 June 2010 - We refer to the statement in The Edge (June 28 2010 edition) in their article entitled "Losses at UMW's oil and gas unit?" and in particular the second paragraph therein, which alludes to large losses or provisions for losses being required in our Oil & Gas unit, as per "a source."

    UMW wishes to state categorically that the above statement by The Edge is not only inaccurate and baseless, it is also misleading to investors.

    Our Oil & Gas Division suffered a loss of RM19.234 million in the first quarter and this was duly disclosed in our first quarter results announcement on 20th May 2010. The reasons for this loss have been clearly explained over the last few months and at various platforms, as follows:-

    1) Our 2009 fourth quarter results announcement on 23rd February 2010 states as follows:-
    "Decreased drilling activities worldwide resulted in a significant drop in demand for Oil Country Tubular Goods (OCTG) and drilling services from the international markets, and consequently, there was excess supply in the domestic markets. The imposition of countervailing and anti-dumping duties on seamless pipes made in China by the United States further took a toll on the profitability of our associated company in China. As a result thereof, margins were adversely affected and profits reduced."

    2) In our Investor Relations Quarterly Update which is published on our website immediately after every quarterly announcement to Bursa, we stated as follows, after our first quarter results announcement on 20th May 2010:-

    "The countervailing and anti-dumping duties imposed by USA on WSP's seamless pipes are still adversely affecting its overall profitability. We are expecting a turnaround in the second quarter of 2010 as the domestic Chinese market would have adjusted to the increase in domestic supply. WSP continued its focus on enhancing its domestic market penetration and expanding to new export markets."

    3) At our Annual General Meeting held on 17th June 2010 and at the press conference held immediately thereafter, our President/Group CEO, Y Bhg Dato' Abdul Halim, elaborated on the reasons in more detail.
    We view the losses in our Oil & Gas Division as a temporary set-back. We have a number of greenfield projects which are expected to generate income and show positive results upon commencement of operations in the second half of this year. The main such project is our new Indian OCTG plant which is located in Hyderabad, Andhra Pradesh, India, which is expected to commence production and sales of seamless tubular green pipes in the second half of this year.

    We are now in the final stages of negotiations with potential clients for the leasing of our jack-up drilling rigs, NAGA 2 and NAGA 3. An announcement will be duly made after the terms are finalised and agreed upon.
    In view of all of the above, we fail to understand the rationale behind the above-stated paragraph of the article in The Edge. UMW, as a responsible public-listed company, is proud of its good corporate governance standards as well as its transparent reporting methods. We are also in compliance with all applicable financial reporting standards in Malaysia.

    Our annual accounts are duly audited by Ernst & Young and they have thus far given us unqualified reports. As such, any profits or losses which are incurred, are properly and accurately reflected in our accounts in the relevant reporting period, i.e., in the period of occurrence. The article in The Edge implies that we have huge losses which have not been accounted for and which need provisions in the next few years. We view this as a baseless allegation and irresponsible, as we were not able to provide our perspective or input on the matter. We categorically deny the contents of the above-stated paragraph.

  • Special Service Campaign For Lexus LS Models
    Special Service Campaign For Lexus LS Models

    Shah Alam, 24 May, 2010 - In reference to the news coverage regarding Lexus LS models steering issue, UMW Toyota Motor, the exclusive distributor of Lexus vehicles in Malaysia would like to announce that it would conduct a Special Service Campaign for its LS customers to address the temporary steering wheel off-centre condition that may develop under a specific driving manoeuvre. No other Lexus models are involved in this issue.

    There are less than 10 units of Lexus LS460L and LS460 Sport affected and Lexus Malaysia has taken proactive measures to contact all its owners.

    The VGRS system enables easier handling during low-speed driving and provides better stability during high-speed driving than conventional steering by changing the gear ratio.

    The VGRS system may exhibit a temporary steering wheel off-centre condition after driving away quickly from a very tight turn where the steering was at full lock position. The steering wheel off-centre position will automatically be corrected in approximately five seconds by the VGRS system as the vehicle is driven. The driver may notice the system auto correcting as the steering wheel slowly moves to the centre position while driving straight during the VGRS correction. Due to the specific driving circumstances, this condition will not occur during normal driving such as changing lanes or turning at intersections.

    As soon as the improved parts are available, Lexus Malaysia will notify its customers and make appointment to carry out the necessary corrective measures. The replacement process is expected to take less than one hour.

    For customers who have booked their LS460L or LS460 Sport or are interested to purchase them, Lexus Malaysia would like to assure you that all LS460L or LS460 Sport models will go through the corrective measures before delivery.

    Customers may also contact Lexus Malaysia's free phone line 1-800-8-LEXUS (53987) for further information or assistance.

    • http://www.toyota.com.my
  • UMW Announces More Than 100% Increase in Group PBT
    UMW Announces More Than 100% Increase in Group PBT

    Shah Alam, 20 May 2010 - The UMW Group announced today that its Group profit before taxation for the first quarter ended 31 March 2010 of RM305.1 million improved over the RM123.7 million registered in the same quarter of 2009 by more than 100% or an increase of RM181.4 million. The significant profit increase was due to higher sales volume and improved margins from favourable model mix achieved by our Automotive segment.

    As a result, the net profit attributable to the owners of the Company for the first quarter of 2010 surged from the RM66.0 million registered in the same quarter of 2009 to RM132.9 million, an increase of RM66.9 million.

    Group revenue of RM3,033.2 million for the first quarter ended 31 March 2010 was RM683.4 million or 29.1% higher than the RM2,349.8 million achieved in the preceding year's corresponding quarter. The increase was due to the strong economic growth and improved consumer and business confidence which resulted in higher demand for our Toyota vehicles, industrial and heavy equipment as well as automotive parts.

    Total Toyota and Perodua vehicle sales of 70,550 units represented 47.9% of the total industry volume of 147,415 units reported by the Malaysian Automotive Association for the quarter ended 31 March 2010.

    Group revenue of RM3,033.2 million for the first quarter ended 31 March 2010 was higher than the RM2,969.4 million registered for the fourth quarter of 2009 by RM63.8 million or 2.1%. Greater demand for UMW's heavy and industrial equipment mainly accounted for the revenue improvement.

    Group profit before taxation of RM305.1 million for the first quarter ended 31 March 2010 was RM67.9 million or 28.6% above the RM237.2 million recorded in the fourth quarter of 2009. This significant increase was the result of improved margins achieved by its Automotive segment.

    Moving forward.
    The recent trade data indicated that economic growth for the year 2010 could be much stronger than expected. All major sectors recorded robust expansion and both exports and imports had shown steady gains in the first quarter of 2010, a definite sign that the economy is on the path to a strong recovery. In view of the regional economic recovery and higher commodity prices, the Malaysian Institute of Economic Research has revised its GDP growth forecast for the year 2010 from 3.7% to 5.2%.

    Dato' Abdul Halim Harun, President & Group CEO of UMW Holdings Berhad said, "Our Automotive segment is poised for a strong growth for the year 2010 based on a progressively stronger momentum of recovery since the second half of 2009. We are confident of achieving the 2010 sales target of our Automotive segment, which aims to sell a total of 264,000 Toyota and Perodua cars in 2010, or 48% of the forecasted total industry volume of 550,000 cars".

    Both the Equipment and Manufacturing & Engineering segments are expected to benefit from the strengthening domestic and external demand, supported by improving regional economic conditions, particularly in the Asian region where UMW has presence.

    Dato' Abdul Halim also added that the Oil & Gas segment is expected to turn around and make positive contributions to Group profits in the second half of the year when some of its greenfield investments commence operations and generate income.

    Based on the current positive economic outlook, the Board is optimistic that the financial performance of the Group may exceed its internal revenue and profit targets set for the financial year ending 31 December 2010.

  • UMW Petrodril Achieves 1m Manhours With Zero LTI
    UMW Petrodril Achieves 1m Manhours With Zero LTI

    Kuala Lumpur, 12 May 2010 - UMW Petrodril (Malaysia) Sdn. Bhd. (UPSB), a member of the UMW Oil & Gas Group (a wholly-owned subsidiary of UMW Corporation Sdn. Bhd. and a Permodalan Nasional Berhad affiliate) has recently achieved the remarkable safety record of 1 million manhours with Zero Lost Time Incident (LTI) through its hydraulic workover units UP Gait II & UP Gait III.

    UMW Petrodril, whose primary business is the provision of hydraulic workover units and related services, has been undertaking this business since 2000. As the first company to be acquired by UMW Oil & Gas division in 2002, UPSB has come a long way to becoming a strong contributor to UMW Oil & Gas Group. Their expertise in providing Hydraulic Workover Units (HWU) makes them a highly coveted organization in the field. The workover units provided by UPSB are highly capable of performing a wide range of workover activities, suited for working over wells located on small satellite jackets or large integrated platforms. To keep pace with market requirements, UPSB is constantly upgrading their Hydraulic Workover Units to ensure their efficiency, versatility and effectiveness in tackling the challenges of the evolving workover operations. UPSB is also the only Petronas-licensed HWU service provider.

    In his speech during the ceremony, UMW Oil & Gas President En. Zulkifly Zakaria said that the achievement of this one million safe-man-hour is the result of both Petronas Carigali's guidance and encouragement, and UMW Petrodril's serious involvement in promoting Health, Safety and Environment in the workover rig operations. The commitment undertaken by both parties to pursue HSE awareness and various safety campaigns in the place of work has proven to be very successful. "I believe with the strong commitment from the top management, we will continue to improve on our HSE performance and ensure that we maintain the target for Zero LTI and Zero TRCF in near future," he added.

  • UMW Expands Threading Plant in East Malaysia
    UMW Expands Threading Plant in East Malaysia

    Labuan, 10 May 2010 - The UMW Group, through its Oil & Gas Division, officially opened its new West plant here, this morning. The West plant is an expansion to its East plant, which is Malaysia's premium threading plant for Oil Country Tubular Goods. This new plant was completed late last year with an initial investment of RM 15 million, under the management and operations of its subsidiary, UMW Oilpipe Services Sdn. Bhd..

    According to En Zulkifly Zakaria, President of UMW Oil & Gas Berhad, "UMW Oilpipe Services or UOS was established in 1988 to support the operations of the oil majors operating in East Malaysia. We are Malaysia's premium threading plant for Oil Country Tubular Goods, with a total production capacity of 80,000 metric tonnes per annum (East and West Plant). Our East Plant, where we started more than 20 years ago is located just 1km away from here. Both plants stand on 7 acres of land and house facilities that enable us to effectively meet the needs of drilling companies and contractors. The strategic location of our plants at the Asian Supply Base in the Federal Territory of Labuan has enabled us to play a significant role in the support sector for the oil & gas industry."

    The opening of West plant will further increase the annual production capacity as well as to fulfill the market demand of OCTG offerings. The plant is equipped with 4 latest CNC threading lathe capable to thread from 2-3/8" to 10" OD and expected annual capacity of 20,000 metric tonnes.

    UOS's OCTG offering compasses threading of casing and tubing, manufacture of couplings, and fabrication of pup joints and crossovers. Other services include make-up of accessories including carbon and high alloy materials, offshore running inspection and OCTG one-stop shop integrated services.

    "We utilise only approved thread patterns at our plants, among others, VAM TOP Connection, JFE FOX Connection and Tenaris Connections. Our plants are also accorded with API Q1, ISO 9001 and ISO 14001 certifications. We have a total of 150 staff to support our operations, with 50 of them operating at this West Plant," added En Zulkifly Zakaria.

    The official opening ceremony of UMW Oilpipe Services Sdn. Bhd.'s West Plant was graced by Tan Sri Datuk Asmat Kamaludin, Group Chairman of UMW Holdings Berhad.

  • New Toyota Vios Made More Desirable
    New Toyota Vios Made More Desirable

    Petaling Jaya - April 15, 2010: The new Toyota Vios, which has been enhanced and improved was unveiled today. The new range reinforces the product concept through refreshment in the design.

    The Toyota Vios, which incorporates minor changes, will be able to maintain its position as the leading ‘global small stylish sedan'. Apart from the changes, Vios will still be recognized and appreciated for its design, optimum performance, advanced versatility and safety.

    The new range is equipped with updated features, and is enhanced to have a refreshing look and appeal on both the interior and exterior. These changes were fueled by the need to make the Vios more desirable and they are in response to the feedback received from our valuable Vios owners. The new Toyota Vios illustrates Toyota's continuous commitment to constantly explore ways to accommodate to their customers' needs and likes.

    "The new Toyota Vios, which captures a youthful design, with advanced versatility and safety, coupled with enhanced Sporty design for the TRD Sportivo offers a new experience for potential customers. We aim to capture more than 32,000 units of Vios this year," said Mr. Kuah.

    "We are confident that the new enhanced Vios will be well received and it will continue to grow, making Toyota the top-selling vehicle in the non-national category."

    "Since it was first introduced in May 2003 until end of March this year, we have over 159,000 Toyota Vios on Malaysian roads.  Throughout the years, Toyota has been able to successfully grow the Vios to match the needs and desires of Malaysians. We have a broad range of Vios models to meet a wide range of customers," commented Mr. Kuah.

    Last year, with the valuable support of its customers, Toyota was able to record an impressive sale of over 29,000 units of Vios models with Toyota Vios 1.5 E being the most favourable model. Up till March 2010, more than 7,600 units have been sold so far. When compared to the same period last year, only 6,000 units were sold and this shows that there is a 27% increase in Vios sales. To date, (up till 13 April 2010), there are 2,600 confirmed bookings for the new Vios. This has made Toyota Vios the most desirable Toyota model in Malaysia.

    Commenting on the expected sales volume and the new improved Toyota Vios range, "Mr. Kuah Kock Heng, said, "With the upturn in the economic climate, we aim to sell 2,700 units of the new Toyota Vios per month.

    The new Toyota Vios was launched by Mr. Kuah Kock Heng, President, UMW Toyota Motor Sdn. Bhd. and Mr. Takashi Hibi, Deputy Chairman, UMW Toyota Motor Sdn. Bhd.. In conjunction with the launch, a new 30-second TV commercial was introduced.

    The new Toyota Vios will be available in five variants -- Vios 1.5J Manual, which is priced at RM71, 990; the Vios 1.5J Automatic at RM76, 090; the Vios 1.5E is at RM81,500 while the Vios 1.5G is at RM87,300 and the Vios 1.5 TRD Sportivo is at RM92,000 (on the road price in Peninsular Malaysia inclusive of insurance). 

    Emphasising on the changes, Mr. Kuah said, "Safety, performance and affordability are some of the essential elements, and this is reflected in the Vios 1.5J, which is now equipped with a driver air bag. The Vios 1.5J (M) was recently proclaimed winner in the small family car category by Asian Auto - mudah.my fuel efficiency awards 2009 for the Best Fuel Economy in its class."

    All the new Toyota Vios will be available at all Toyota showrooms throughout Peninsular Malaysia with effect from 16th April, 2010 and 23rd April, 2010 in Sabah and Sarawak.

    • http://www.toyota.com.my
  • UMW Achieves Pretax Profit Of RM237m In 4Q09
    UMW Achieves Pretax Profit Of RM237m In 4Q09


    EXECUTIVE SUMMARY

    4Q09 financial highlights

    • Group PBT reduced by 18% QoQ to RM237 million
    • Much higher QoQ profits at Automotive and M&E Divisions
    • Balance sheet remained strong, cash at RM1.7 billion
    • Positive net cash generated from operating activities

    4Q09 highlights

    • Automotive Division's YTD market share at 46%
    • Toyota achieved another QoQ unit sales increase of 2
    • Launched facelifted Toyota Camry in September 2009. Its sales improved 33% QoQ in 4Q
    • Perodua launched its MPV, Alza. Received very favourable response
    • Oil & Gas Division took delivery of the newly completed NAGA 2 jack-up rig

    Prospects for 2010

    • Automotive Division aiming to maintain its market share
    • New Perodua Alza benefits from the first full year of sales
    • Toyota/Perodua to have new/facelift/variant models
    • Oil & Gas Division to increase contribution to Group's profits
    • United Seamless Tubulaar to commence production at new plant in 2Q10
    • To take delivery of newly completed NAGA 3 by 2Q10
    • Manufacturing & Engineering Division to see fruits of new ventures

    Dividend policy

    • Dividend payout of 60.5% of our 2009's net profit
    • Recommended final single-tier dividend of 9.0 sen per share of RM0.50 each

    Please click here to download the full report

     

  • UMW Announces Improved 4Q Results Over Preceding Quarter
    UMW Announces Improved 4Q Results Over Preceding Quarter

    Shah Alam, 23 February 2010 - The UMW Group announced higher Group revenue of RM2,969.4 million for the fourth quarter ended 31 December 2009, which was an increase over the RM2,797.7 million recorded in the third quarter of 2009 by RM171.7 million or 6.1%.  Most core business segments of the Group reported higher revenue for the fourth quarter of 2009.

    This revenue of RM2,969.4 million was RM79.3 million or 2.7% higher than the RM2,890.1 million registered in the preceding year's corresponding quarter. Higher sales of Toyota vehicles and automotive parts contributed to the improved revenue. Continued economic recovery and improvedconsumer confidence resulted in the higher vehicle sales by the Automotive segment.

    Group profit before taxation of RM237.2 million for the fourth quarter ended 31 December 2009 was lower than the RM275.0 million recorded in the same quarter of 2008 by RM37.8 million or 13.7%. A drop in profit contributions from overseas associated companies due to weak demand for oil and gas pipes primarily resulted in the profit reduction for the current quarter ended 31 December 2009.

    Consequently, net profit attributable to the equity holders of the Company for the fourth quarter ended 31 December 2009 was RM99.8 million compared to the RM119.7 million recorded in the preceding year's corresponding quarter, a reduction of RM19.9 million or 16.6%.

    12-month performance

    Total Group revenue of RM10,698.0 million for the year ended 31 December 2009 was lower than the RM12,769.6 million registered in 2008 by RM2,071.6 million or 16.2%.  Generally, the global recession had adversely affected demand for the Group's products and services,m although sales had gradually picked up during the second half of 2009.

    As a result thereof, Group profit before taxation for the year ended 31 December 2009 of RM834.6 million was lower than the RM1,276.7 million recorded in 2008 by RM442.1 million or 34.6%.  In addition, unfavourable foreign exchange rates and pre-production expenses from the Group's new investments in the Oil & Gas and Manufacturing & Engineering segments also contributed to the profit reduction.

    Group profit before taxation of RM237.2 million for the fourth quarter ended 31 December 2009 declined by RM51.0 million or 17.7%, from the RM288.2 million recorded in the third quarter of 2009.  Lower profit contributions from the Oil & Gas segment resulted in the profit reduction. Decreased drilling activities worldwide resulted in a significant drop in demand for Oil Country Tubular Goods (OCTG) and drilling services from the international markets, and consequently, there was excess supply in the domestic markets. The imposition of countervailing and anti-dumping duties on seamless pipes made in China by the United States further took a toll on the profitability of the Group's associated company in China.  As a result thereof, margins were adversely affected and profits reduced.

    Net profit attributable to the equity holders of the Company for the year ended 31 December 2009 reduced from 2008's RM565.8 million to RM371.1 million, a decrease of RM194.7 million or 34.4%.

    Total Toyota and Perodua vehicle sales of 244,569 units represented 45.5% of the total industry volume of 536,905 units reported by the Malaysian Automotive Association for the year ended 31 December 2009.

    The Board has recommended a final single-tier dividend of 9.0 sen per share of RM0.50 each (2008 - a franked dividend of 3.25 sen less 25% tax and a single-tier dividend of 8.75 sen for each share of RM0.50) for the year ended 31 December 2009. The amount of net dividend payable is approximately RM101.6 million (2008 - RM123.4 million). The proposed final dividend, if approved by shareholders, will be paid on 10 August 2010.

    The annual dividend per share of RM0.50 each for the year ended 31 December 2009 would be 20.0 sen or a gross dividend of 40%, amounting to approximately RM224.6 million of net dividend (2008 - 37.0 sen or a gross dividend of 74% per share of RM0.50 each, amounting to a net dividend of RM326.3million). This payout represents approximately 60.5% of the 2009 net profit attributable to shareholders of UMW against the Group's target Headline KPI for dividends of at least 50%.

    Moving forward

    The Malaysian economy continues to show signs of recovery with the progressive implementation of the two economic stimulus packages totalling RM67 billion together with other fiscal measures.

    Dato' Abdul Halim Harun, President & Group CEO of UMW Holdings Berhad said, "Sales of Toyota vehicles in Malaysia are not expected to be materially affected by the recent recall issue.  This is because the relevant components used in the Toyota and Lexus models sold in Malaysia by our subsidiary, UMW Toyota Motor Sdn. Bhd.., are manufactured by different suppliers from those in the USA markets.  As for Toyota Prius, we have initiated a special service campaign on 12 February 2010 to carry out the necessary corrective measures on the units sold in Malaysia. All new Prius models will go through the corrective measures before delivery to customers.  We expect to meet the 2010 sales target for Toyota vehicles."

    Contributions from the Oil & Gas segment are expected to improve significantly in 2010 as the Group begins to enjoy the fruits of the following greenfield investments:

    Zhongyou BSS, currently supplying to the 2nd West-East Gas Pipeline from Khazakhstan to Shanghai, will have its first full-year production of Spiral Submerged Arc Welded and Longitudinal Submerged Arc Welded pipes;

    The new OCTG plant in India is expected to commence production in the second quarter of 2010;

    The Group's new land rigs (Sher 3, 5 and 6) in India and workover rig Gait V, are expected to be income-generating in 2010 whilst land rigs Sher 1 and 2  and  workover rigs Gait l, ll and lll are already operational ; and

    The Group's 100%-owned ultra-premium jack-up rigs Naga 2 and 3 are also expected to be income-generating in 2010.

    In general, demand for the Group's industrial and heavy equipment is expected to be strong as the economies of the countries where UMW has a presence are forecasted to improve in 2010. Domestically, the Construction sector is expecting another positive growth for 2010 in view of the progressive implementation of projects under the two economic stimulus packages, Ninth Malaysia Plan, Iskandar Development Region, East Coast Economic Region and North Corridor Economic Region.  The Quarry and Mining sectors are likely to grow in tandem with the Construction sector. With the projected economic recovery in Japan and the higher growth expected in the economies of China and India, the Logging sector is forecasted to show improvement in 2010. However, product pricing competitiveness and profitability of the segment may be affected by the USD and Japanese Yen foreign exchange rate fluctuations.

    The Group's new automotive component plants in India and advanced micro electronics plant in Penang are scheduled to commence commercial production in 2010. This new income stream should enhance the 2010 financial performance of the Manufacturing & Engineering segment. Other medium to long term plans for this Segment are currently being finalised. Details will be announced in the near future.

    Barring unforeseen circumstances, the Board expects the Group's profit for 2010 to be at satisfactory levels.

  • UMW Toyota Motor To Conduct Special Service Campaign To Prius
    UMW Toyota Motor To Conduct Special Service Campaign To Prius

    Shah Alam, 9th February 2010 - Toyota Motor Corporation, Japan has announced on 9 February 2010, they will conduct a recall campaign related to the software program that controls the antilock braking system (ABS) in the Toyota Prius. TMC has undertaken a recall campaign in the interest of ensuring customers' confidence and peace of mind. The corrective ABS software programming will resolve the problem.

    UMW Toyota Motor, the exclusive distributor of Toyota vehicles in Malaysia would like to announce that it would initiate a special service campaign to address the brake issue of Prius.

    Mr. Kuah Kock Heng, President of UMW Toyota Motor said, "To date there are over 60 units of the third generation Toyota Prius sold by the company since it was launched in October 2009."

    He also said, "At this moment our technicians are being trained to carry out the necessary corrective measures."

    "UMW Toyota Motor will contact our Prius owners regarding the special service campaign that will be available starting from Friday, 12 February 2010. Owners of the Prius will be given first priority," he added.

    Mr Kuah continued to say, "For customers who have booked their Prius or are interested to purchase a Prius, we would like to assure you that all Prius models will go through the corrective measures before delivery."

    "We would like to apologize to our customers for the inconvenience caused by this predicament," he concluded.

    Customers may also contact UMW Toyota Motor free phone line 1-800-8-69682   (1-800-8-TOYOTA) for further information or assistance.

    • http://www.toyota.com.my
  • Toyota Voluntary Safety Recalls In U.S.
    Toyota Voluntary Safety Recalls In U.S.

    Shah Alam, 3rd February 2010 - Our principal, Toyota Motor Corporation has released a media statement dated 1st February 2010, that they have found a remedy for the accelerator pedal recall issue.

    Further to that, UMW Toyota Motor Sdn. Bhd. would like to reiterate that all Toyota and Lexus models sold by UMW Toyota Motor Sdn. Bhd. are not affected by the recall exercise as announced in a media statement issued on 29 January 2010.

    This is because the accelerator pedal components of the affected models used in the US markets are different from the Toyota and Lexus models sold in Malaysia by UMW Toyota Motor.

    We would like to advise the public and the Toyota and Lexus customers in Malaysia that there is no cause for concern on this matter.

    • http://www.toyota.com.my
  • Lexus Presents The Latest LS 460L And LS 460 Sport Models
    Lexus Presents The Latest LS 460L And LS 460 Sport Models

    Petaling Jaya, 12th January 2010 - Lexus Malaysia, a division of UMW Toyota Motor Sdn. Bhd. today lived up to its expectations to continue to offer luxury-refinement, safety and comfort by introducing the new facelift model of the LS 460L and the new LS 460 Sport models. Both the vehicles are the ‘ultimate in luxury' which are in a class of its own and it goes in tandem with very prestigious and exclusive lifestyle of the affluent buyers.

    The LS 460L luxury sedan, which was first introduced in December 2006 illustrates Lexus commitment, and with the continued research and development to improve the prestigious vehicles has led to making available the new facelift version that is fuelled with the passion of true craftsmanship.

    The LS 460L was specially given a facelift to respond to the desire of the affluent and discerning customers who are constantly looking to upgrade their vehicles while still maintaining the luxury and prestigious feel of the models. The new LS 460L range has become the epitome of prestige, exclusivity and premium brand.



    At the official launch event, Mr Harry Loo Chee Yan, Director of Lexus Malaysia, said, "The new Lexus 460 triumphs in safety, comfort and convenience against its competitors with enhanced features. Lexus Malaysia will now introduce the new LS 460L 5-seater, as it is the preference of the Malaysian market.

    "We also have transformed the LS 460 with a standard sport package for an enjoyable drive. It is designed for those who want to experience an exhilarating drive that is performance orientated' with race-inspired design that offers luxury and yet maintains the comfort while driving under challenging road conditions," he added.

    The new LS 460L boasts of strong characteristics that augurs in well with Lexus strong brand which reflects the exclusivity in ultimate luxury and prestigious vehicle. The model is now fitted with a new grille design, complemented with new headlamp and tail light on the exterior. It also has the Adaptive Variable Air Suspension (AVS) and the Intelligent Parking Assist.

    On the interior, it has a new instrument panel design, rear left Ottoman seat with butterfly headrest and lumbar massager that offers the ultimate in luxury, comfort and relaxation. To add more luxurious feel, the car also comes with the Mark Levinson surround audio system.

    The new LS 460 Sport has a dynamic and sporty façade installed with aerodynamic sport kit that has sports grille, front and rear sport bodykit to give it the added feel of power. It offers the added experience of having race-inspired shifters fitted steering wheel paddle with a 19" forged-aluminum alloy wheel design.

    Mr Harry Loo said "We believe both these premium models will be well-received by our key customers who are very particular about the cars they drive.They are very affluent and emphasise on quality, safety, performance and luxury."

    The 4.6 litre LS 460L is priced at RM829,448 while the LS 460 Sport is valued at RM719,448 (on the road price without insurance) for Individual Private registration while for company registration, it is priced at RM848,000 and RM738,000 respectively.These premium models can be ordered at Lexus Centers starting today.

    Lexus began to establish its brand name in Malaysia in December 2006 with the introduction of the LS 460L and GS 300, offering prestigious, high-performance with premium high quality vehicle.

    Since its presence it Malaysia, Lexus has constantly increased its sales. For the year ended 2009, it recorded a total sales volume of above 300 units.

    Commenting about the plans for 2010, Mr. Kuah Kock Heng, President of Lexus Malaysia said, "We are expanding Lexus 3S centers in Penang and later part of the year in Johor."

    "With the expansion plans set-out, we hope to achieve our target of around 400 units, hence grow our market share in the premium market segment.

    "As we usher in the new decade, Lexus Malaysia will continue to strengthen its brand presence in the country. The economy is on the mend and this bodes well for the auto industry," concluded Mr. Kuah.

    • http://www.toyota.com.my

2009's News


  • UMW Reports A 55.4% Increase In 3Q PBT Over Preceding Quarter
    UMW Reports A 55.4% Increase In 3Q PBT Over Preceding Quarter

    Shah Alam, 20 November 2009 – The UMW Group announced higher Group profit before taxation of RM288.2 million for the third quarter ended 30 September 2009, which was a significant improvement over the RM185.5 million recorded in the second quarter of 2009, an increase of RM102.7 million or 55.4%. Higher revenue coupled with enhanced profit contributions from some associated companies resulted in the increased profit.

    The Group also achieved higher revenue of RM2,797.7 million for the third quarter ended 30 September 2009, which was an increase of RM216.6 million or 8.4%, over the RM2,581.1 million recorded in the second quarter of 2009. Improved consumer confidence had resulted in higher demand for Toyota vehicles in the third quarter of 2009.

    The Group’s revenue of RM2,797.7 million for the third quarter ended 30 September 2009 was RM528.5 million or 15.9% lower than the RM3,326.2 million registered in the preceding year’s corresponding quarter. The progressive recovery in the Malaysian economy this year has had a positive impact on demand for Toyota vehicles although not up to the 2008 levels.

    The Group recorded a profit before taxation of RM288.2 million in the third quarter ended 30 September 2009 compared to the RM353.8 million registered in the same quarter of 2008.  Unfavourable foreign currency exchange rates coupled with lower revenue and profit contributions from some associated companies resulted in the 18.5% or RM65.6 million profit reduction.

    Consequently, net profit attributable to the equity holders of the Company for the third quarter ended 30 September 2009 of RM125.9 million was lower than the RM152.7 million recorded in the preceding year’s corresponding quarter by RM26.8 million or 17.6%.

    9-month performance

    Group revenue of RM7,728.5 million for the nine months ended 30 September 2009 was RM2,151.0 million or 21.8% lower than the RM9,879.5 million registered in the same period of 2008.

    In line with the lower revenue, group profit before taxation for the nine months ended 30 September 2009 of RM597.4 million was lower than the RM1,001.7 million recorded in the same period of 2008 by RM404.3 million or 40.4%.

    Net profit attributable to the equity holders of the Company for the nine months ended 30 September 2009 decreased to RM271.3 million from the RM446.2 million achieved in the same period of 2008, a reduction of RM174.9 million or 39.2%.

    By and large, the global downturn has had some impact on the Malaysian economy, thereby resulting in a generally lower demand for the Group’s industrial and consumer products.  In addition, profit margins of the Group were affected by the foreign currency exchange factor as cost of importation rose.

    Despite the challenging economic environment, the Oil and Gas segment registered improvements in both revenue and profit before taxation for the nine months ended 30 September 2009 compared to the same period in 2008. Optimal utilisation of the Group’s semi-submersible rig, Naga 1, and maiden profit contributions from the Group’s new local and overseas investments resulted in the positive variances.

    Total Toyota and Perodua vehicle sales of 180,490 units represented 45.4% of the total industry volume of 397,619 units for the nine months ended 30 September 2009, as reported by the Malaysian Automotive Association.

    Moving forward

    The economies of some developed nations like USA, Japan and Europe are showing signs of recovery as a result of various financial stimuli. Similarly, the Malaysian economy has shown signs of recovery since the second quarter of 2009 with the progressive implementation of two economic stimulus packages totalling RM67 billion. MIER had projected real GDP to have a smaller contraction of 4.2% in 2009 before growing by 2.8% next year.

    Dato’ Abdul Halim Harun, President & Group CEO of UMW Holdings Berhad said, “Improved overall sentiment on the back of government stimulus measures and a gradual economic recovery is expected to support vehicle sales. With more projects being implemented under the economic stimulus packages, demand for our industrial and heavy equipment is expected to improve.“

    He added, “Oil prices have improved to about USD75 per barrel with no visible downward pressure. Capital expenditure by oil majors is expected to increase from the fourth quarter of 2009 in view of stable and sustained levels of oil prices, coupled with growing demand for oil from China and India. This should benefit our Oil & Gas Division."

    With a brighter economic outlook for the remaining period to 31 December 2009, the Board is of the view that the Group is likely to achieve satisfactory financial results for the year 2009, albeit lower than the record 2008 performance.  The Board expects the Group’s ROSF and dividend payout targets for 2009 to be achievable.

  • UMW Announces Improved Second Quarter Results Over 1st Quarter
    UMW Announces Improved Second Quarter Results Over 1st Quarter

    Shah Alam, 21 August 2009 – The UMW Group announced improved revenue of RM2,581.1 million for the second quarter ended 30 June 2009, which was an increase of RM231.3 million or 9.8%, over the RM2,349.8 million recorded in the first quarter of 2009. 

    In line with the higher revenue, Group profit before taxation of RM185.5 million for the second quarter exceeded the RM123.7 million recorded in the first quarter of 2009 by RM61.8 million or 50.0%.

    Group revenue of RM2,581.1 million for the second quarter ended 30 June 2009 was RM987.1 million or 27.7% lower than the RM3,568.2 million registered in the preceding year’s corresponding quarter.  Decline in spending by consumers and industrial sectors due to the global economic downturn resulted in the lower revenue recorded by the Automotive, Equipment and Manufacturing & Engineering segments.

    In tandem with the reduced revenue, Group profit before taxation for the second quarter ended 30 June 2009 of RM185.5 million was lower than the RM355.0 million recorded in the same quarter of 2008 by RM169.5 million or 47.7%.  The weakening of Ringgit Malaysia against the US Dollar and Japanese Yen also affected profit margins.

    Despite the challenging economic environment, the Oil & Gas segment registered a positive variance for both revenue and profit before taxation for the second quarter as contributions from the segment’s new local and overseas investments started to flow in.

    Overall, the UMW Group net profit attributable to the equity holders of the Company for the second quarter ended 30 June 2009 of RM79.4 million was less than the RM151.7 million recorded in the preceding year’s corresponding quarter by RM72.3 million or 47.6%. 

    6-month performance
    Total Group revenue of RM4,930.9 million for the six months ended 30 June 2009 was lower than the RM6,553.3 million registered in the same period of 2008 by RM1,622.4 million or 24.8%.  Generally, lower demand for industrial and consumer products resulting from the global economic slow-down impacted the performance of the Group. Correspondingly, Group profit before taxation for the six months ended 30 June 2009 of RM309.2 million was lower than the RM647.9 million recorded in the same period of 2008 by RM338.7 million or 52.3%.

    Net profit attributable to the equity holders of the Company for the six months ended 30 June 2009 decreased to RM145.4 million from the RM293.5 million achieved in the same period of 2008, a reduction of RM148.1 million or 50.5%.

    Total Toyota and Perodua vehicle sales of 113,580 units represented 45.2% of the total industry volume (“TIV") of 251,092 units for the six months ended 30 June 2009, as reported by the Malaysian Automotive Association.


    Moving forward
    The higher level of vehicle sales for the second quarter ended 30 June 2009 versus the first quarter is expected to continue into the second half of 2009 as reflected in the increase in new orders for Toyota and Perodua vehicles. The Malaysian Automotive Association has also revised its 2009 full year TIV forecast upwards, from 480,000 units to 500,000 units, in view of the improved consumer sentiment.

    Dato’ Abdul Halim Harun, President & CEO of UMW Holdings Berhad said, “Demand for our industrial and heavy equipment is expected to improve further with the roll-out of some projects from the Iskandar Development Corridor, Pahang-Selangor Interstate Raw Water Transfer (IRWT) and Klang Valley LRT extension/upgrading under the Ninth Malaysia Plan."

    He added, “Some of our recent investments in the Oil & Gas segment have started to contribute positively to Group profits in the second quarter.  The new income-generating investments include the Zhongyou BSS plant, which is a joint venture with a subsidiary in the China National Petroleum Corporation group, the three land rigs in Assam, India as well as our investment in the business of power generator design and application through Synergistic Generation Sdn. Bhd.."

    Based on the better economic outlook for the second half of 2009 and with the strengthening of Ringgit Malaysia against the US Dollar, the Board is of the view that the Group’s performance for the year 2009 will be satisfactory, albeit lower than the record 2008 performance. The Board expects the Group’s internal KPI targets for 2009 to be achievable with the various proactive promotional programmes to increase sales volume and cost-saving measures to improve margins.

  • World’s Most Popular And Advanced Hybrid Launched In Malaysia
    World’s Most Popular And Advanced Hybrid Launched In Malaysia

    Subang Jaya, 3 August –The world’s popular and advanced Hybrid car, the Toyota Prius made its debut in Malaysia, at a media preview held at UMW Toyota Motor’s showroom in Subang Jaya today.

    The all new third generation Prius, which was first launched in the United States and recently in Japan and Australia where it received tremendous response.  In Japan, in spite of the soft economic conditions, the all new Toyota Prius has become the top seller with more than 31,000 units sold and more than 180,000 units booked.

    Speaking at the function, Mr Kuah Kock Heng, President of UMW Toyota Motor said, “Today marks a significant milestone for UMW Toyota Motor with the introduction of the PRIUS, a vehicle that symbolizes Toyota’s commitment in using innovative technology to preserve and minimize the impact on the environment.."

    He also said, “The Prius has proven that hybrid technology is viable, durable, and one of the best ways to preserve the environment while at the same time maximizing our natural resources.  As a result, hybrid technology is now a mainstream option being adopted by auto-makers. “

    Toyota Prius marks a new era for the Malaysian auto industry. Pleased with the government’s move to support Hybrid vehicles, Mr. Kuah said, “I would like to take the opportunity to thank the government for their support towards Hybrid technology vehicles. Without their support and incentives given to manufacturers, we would not be able to bring in the Prius to this country."

    Although this is the first time UMW Toyota Motor is selling the Prius, the hybrid technology has been infact introduced to Malaysians much earlier. In 2003 UMW Toyota donated the 1st Generation Prius to the National Science Centre to educate Malaysians about Toyota’s Hybrid Technology. Since then, the company has participated in various exhibitions to showcase the Toyota Hybrid Synergy Drive (HSD) system including the 2008 International Petroleum Technology Convention and most recently at the Eco Green Week Event exhibition at 1-Utama shopping centre.

    The development of the new 3rd generation Prius has taken four and a half years and countless man-hours. The team was challenged to uphold the “Spirit of Innovation" and based on the concept of ‘Human Technology’, the new Prius has a point-two-five coefficient of drag making it the world’s most aerodynamic production vehicle.

    The new Prius will feature a powertrain that’s 90 percent newly developed with significant improvements over the previous generation. The Prius adopts a new beltless 1.8-liter, four cylinder petrol engine with 98 horsepower. It runs at lower RPMs at highway speeds for more relaxed driving, better fuel efficiency and improved uphill performance.

    What lies underneath the hood continues to set Prius apart from the rest of the hybrids on the market. The new Prius, unlike most of its competitors, is an uncompromised hybrid, utilizing Hybrid Synergy Drive that is intelligent enough to run independently on either gas or electric power or a combination of both.

    The Prius is priced at RM 175,000 in Peninsular Malaysia, inclusive of insurance for private registration.

    UMW Toyota Motor targets to sell 100 units of Prius this year. According to Mr. Kuah, “Due to its overwhelming popularity since launch, there has been a bottleneck in supply. However, with much thanks to Toyota Motor Corporation (TMC),  we managed to proceed with the launch although we did not get as many units as we would have wanted.

    The order taking and the public launch start on 7th August 2009 at all Toyota outlets nationwide.

    • http://www.toyota.com.my

    Prius by UMW Toyota

  • UMW JDC Drilling’s NAGA 1 Achieves 9 Years & 3 Million Manhours No LTI
    UMW JDC Drilling’s NAGA 1 Achieves 9 Years & 3 Million Manhours No LTI

    KUALA LUMPUR, 15 July 2009 – The semi-submersible rig “NAGA 1", operated by UMW JDC Drilling Sdn. Bhd., a subsidiary of the UMW Group, achieved a remarkable safety record of 9 years and 3 million manhours No Lost Time Incident (LTI) since 6 June 2000.

    A special ceremony was held in association with Petronas Carigali Sdn. Bhd. at The Malaysian Petroleum Club to celebrate the significant achievement. Present at the event were En Zulkifly Zakaria, Chairman of UMW JDC Drilling Sdn. Bhd., Mr Minoru Murata, President and Representative Director of Japan Drilling Co., Ltd. and En Azhar Noordin, Senior General Manager, Group Corporate HSE of PETRONAS.

    In his speech during the event, En Zulkifly Zakaria, Chairman, UMW JDC Drilling Sdn Bhd said, “The success of NAGA 1 achieving the 9 years and 3 million manhours with no LTI is the result of both Petronas Carigali’s guidance and encouragement, and UMW JDC Drilling’s serious involvement in promoting Health, Safety and Environment (HSE) in our rig operations.  The commitment undertaken by both parties to pursue HSE awareness and to implement HSE programmes, and various safety campaigns in the work place has proven to be very successful".

    UMW’s venture into the oil & gas exploration operations started in 2005 through a joint venture with Japan Drilling Company Ltd. for the ownership and operations of a semi-submersible drilling rig, NAGA 1.  Last year, NAGA 1 was successfully refurbished and upgraded.  This enhanced its competitiveness and extended its lifespan so as to maintain its excellent safety track record. 

  • UMW Will Secure Another Contract for NAGA 2
    UMW Will Secure Another Contract for NAGA 2

    Shah Alam – UMW is positive on securing another contract for NAGA 2 jack-up drilling rig despite the termination of an existing contract with PCPP Operating Company Sdn. Bhd. (“PCPP").

    Dato’ Abdul Halim Harun, President & Group CEO indicated that a few reasons have contributed to the non-implementation of the contract by PCPP. He said, “The rig builder did not deliver the rig on schedule, while global oil prices and charter rates for jack-up rigs in general have eased since the contract was first signed and therefore lower charter rates were sought by PCPP which we could not meet".

    As NAGA 2 is a new ultra-premium jack-up rig, UMW believes it would be utilised. “We are already talking to other parties – local and foreign oil majors, and we are confident that a contract would be secured soon", Dato’ Abdul Halim Harun added.

  • Contract for the Provision of Jack-Up Drilling Rig “NAGA 2" for PCPP’S Block SK 305 Exploration and Development Drilling Programmes, Offshore Sarawak
    Contract for the Provision of Jack-Up Drilling Rig “NAGA 2" for PCPP’S Block SK 305 Exploration and Development Drilling Programmes, Offshore Sarawak

    We refer to our announcement dated 12th August 2008 in respect of the award of a contract by PCPP Operating Company Sdn. Bhd. (“PCPP"), a joint venture between Petronas Carigali (Malaysia), Petrovietnam (Vietnam) and Pertamina (Indonesia), to UMW Standard Drilling Sdn. Bhd., an 85%-owned subsidiary of UMW Corporation Sdn. Bhd., which is in turn wholly-owned by UMW, for the provision of Jack-Up Drilling Rig “NAGA 2" for PCPP’s Block SK 305 Exploration and Development Drilling Programmes, Offshore Sarawak, for a total contract value of approximately USD170 million (“the Contract").

    UMW wishes to announce that it has received notification to the effect that the abovementioned Contract will not be implemented by PCPP and has been terminated.  

    However, pursuant to new scope of works being drawn up under new contracts for drilling activities, UMW is in discussions and negotiations with other PSC Operators in Malaysia in respect of NAGA 2. UMW expects NAGA 2 to be in operation by September 2009.

  • 2009 Annual General Meeting
    2009 Annual General Meeting

    At the 27th Annual General Meeting (“AGM") held on 25 June 2009, all resolutions, including Ordinary Resolutions under Special Business, were carried out by shareholders.

    • A final dividend comprising a franked dividend of 3.25 sen per share less 25% income tax and a single-tier dividend of 8.75 sen per share for the year ended 31 December 2008, giving a total gross dividend of 37.0 sen per share for the year.
    • Re-election of Directors Tan Sri Dato’ Mohamed Nordin bin Hassan, Dato’ Dr. Nik Norzrul Thani bin N.Hassan Thani, En Mohd Nizam Zainordin and Tan Sri Datuk Mohamed Khatib bin Abdul Hamid.
    • Directors’ fees for 2008.
    • Re-appointment of our auditors, Messrs. Ernst & Young.
    • Renewal of Shareholders’ Mandate for Recurrent Related Party transactions; and
    • Renewal of Authority for the Company to Purchase Its Own Shares.

      Dato' Abdul Halim bin Harun, President & Group CEO, also gave a presentation to shareholders during the AGM.

      Click here to download the full presentation.
  • Malaysian PM Opens UMW’s Largest JV Plant in China
    Malaysian PM Opens UMW’s Largest JV Plant in China

    Qianghuangdao, China 5th June 2009 – The Prime Minister of Malaysia, Yang Amat Berhormat Dato’ Seri Mohd Najib bin Tun Haji Abdul Razak  today officiated the opening ceremony of UMW Holdings Berhad’s joint venture plant, Zhongyou BSS (Qinhuangdao) Petropipe Co., Ltd. in Qinhuangdao, China.  The joint venture is between UMW and Baoji Petroleum Steel Pipe Co., Ltd., a subsidiary in the China National Petroleum Corporation Group. It is involved in the production of oil and gas transmission pipes for a part of the 9,100-kilometre Second China West-East Gas Pipeline Project from Khazakhstan to Shanghai.

    he opening ceremony, which coincided with the official visit of  Yang Amat Berhormat Dato’ Seri Mohd Najib bin Tun Haji Abdul Razak to the People’s Republic of China from 2 – 5 June, 2009 was also graced by the presence of YB Dato’ Mustapa Mohamed, Minister of International Trade and Industry, His Excellency Liu Jian, Chinese Ambassador to Malaysia, Mr Li Xin Hua, Vice- President of China National Petroleum Corporation, Dato’ Syed Norulzaman Syed Kamarulzaman, Malaysian Ambassador to China, Tan Sri Asmat Kamaludin, Group Chairman, Dato’ Abdul Halim Harun, President & Group CEO, UMW Holdings Berhad and a host of other Chinese and Malaysian dignitaries.

    Tan Sri Asmat Kamaludin, in his speech said, “While the UMW Group is very proud of this project, we are also humbled by the opportunity to be significantly involved in this massive project undertaken by CNPC."

    "A joint venture of this magnitude would not have been possible if not for the excellent relationships that we have cultivated over the years with our Chinese partners, business associates and our diplomatic offices in China.  And of course, the friendly diplomatic ties between both the People’s Republic of China and Malaysia, have made it much easier for us to set up various business ventures in China."

    Zhongyou BSS (Qinhuangdao) Petropipe is UMW’s sixth plant and its biggest venture in China to date. The RMB1.3 billion plant which covers 165 acres, produces large-diameter S-SAW or Spiral Submerged Arc Welded steel pipes and L-SAW or Longitudinal Submerged Arc Welded transmission steel pipes.  These pipes will be used in the Gas Pipeline Project.  The current production capacity of the plant is 480,000 metric tones.

  • KYB-UMW Malaysia Sdn. Bhd. Launches Motorsports Performance Suspension Technology- KYB RS PRO
    KYB-UMW Malaysia Sdn. Bhd. Launches
    Motorsports Performance Suspension Technology- KYB RS PRO

    Bandar Sunway, 5 June 2009 – KYB-UMW Malaysia Sdn. Bhd. (“KYB-UMW"), the leading manufacturer for automotive and motorcycle shock absorbers in Malaysia, launched its latest technology in motorsports suspension product called RS PRO.  The KYB RS PRO, with the tagline ‘Total Control with Precision’, offers the ultimate in driving pleasure and it satisfies the requirements of motorsports enthusiasts in this country.

    The new KYB RS PRO Performance Suspension was officially launched by Mr Chan Seng Yoke, Managing Director, KYB-UMW at Kakimotor Sdn. Bhd. in Bandar Sunway.

    " KYB-UMW has spent about a year to develop the RS Pro product.  With inputs from racing professionals and KYB Japan’s years of experience in performance suspension, we have come out with a product that is affordable and of high quality to suit the Malaysian market.  The product has undergone stringent testing for safety, handling and performance", said Mr Chan Seng Yoke in his speech.

    He added, “Motorsports suspension is getting popular in developing countries such as Japan, Taiwan and Hong Kong, as the end-users look for more demanding performance parts other than the factory specifications for their cars".

    The KYB RS PRO is engineered to the characteristic of the cheetah.  Its high-tech features ensure safe driving and security in whatever driving conditions. The superb engineered performance is built to drive one’s passion for speed, leisure and comfort.

    In product distribution, KYB-UMW only appoints exclusive partners in major cities to distribute the KYB RS PRO. In Klang Valley, KYB-UMW has appointed Kakimotor Sdn. Bhd. as an exclusive authorised dealer due to their strong presence in strategic locations and vast experience in the marketing of motorsports products.

    The KYB RS PRO is available at Kakimotor Sdn. Bhd. branches located at Bandar Sunway, Mid-Valley Megamall and Taman Sri Muda, Shah Alam, respectively.

     

  • UMW’s Dato’ Abdul Halim Harun is Now President & Group CEO In line With Global Trends, the Position of Dato’ Abdul Halim Harun of UMW Will Be Re-designated from Group Managing Director & Chief Executive Officer to that of President & Group CEO of UMW Holdings Berhad.
    UMW’s Dato’ Abdul Halim Harun is Now President & Group CEO
    In line With Global Trends, the Position of Dato’ Abdul Halim Harun of UMW Will Be Re-designated from Group Managing Director & Chief Executive Officer to that of President & Group CEO of UMW Holdings Berhad.

    Shah Alam, 29 May 2009 – UMW Holdings Berhad is pleased to announce the change of designation of Dato’ Abdul Halim Harun from Group Managing Director & Chief Executive Officer of UMW Holdings Berhad to President & Group CEO of UMW Holdings Berhad, effective 1st June  2009.

    Tan Sri Asmat Kamaludin, Group Chairman of UMW Holdings Berhad said, “The re-designation is in line with global trends and will allow Dato’ Abdul Halim’s position to be recognized in all parts of the world."

    Dato’ Abdul Halim Harun was appointed Group Managing Director & Chief Executive Officer of UMW Holdings Berhad on 5th April 2001.

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses – Automotive, Equipment, Manufacturing and Engineering, and Oil and Gas.

  • UMW & MERCY Malaysia in Community Service Programme UMW Hands Over Three Toyota Vehicles As Part of its Joint Community Service Programme with MERCY Malaysia. UMW also Launches the UMW Community Champions Programme.
    UMW & MERCY Malaysia in Community Service Programme
    UMW Hands Over Three Toyota Vehicles As Part of its Joint Community Service Programme with MERCY Malaysia. UMW also Launches the UMW Community Champions Programme. 

    Shah Alam – UMW handed over three Toyota Vehicles to MERCY Malaysia, as part of a Community Service grant worth RM 798, 400 to assist vulnerable communities in Peninsular Malaysia, Sabah and Sarawak.  The vehicle handover ceremony was held on 26th May 2009 and is a follow up to a Corporate Social Responsibility partnership agreement signed between UMW and MERCY Malaysia in December 2008. Present at the ceremony were Dato’ Abdul Halim Harun, UMW Group Managing Director & CEO; Ms. Suseela Menon, Executive Director, UMW Corporation and Datuk Dr Jemilah Mahmood, President, MERCY Malaysia.

    Apart from the vehicles – 2 units of Toyota Hilux and one unit of Toyota Hiace, the UMW Community Service grant will cover the operational costs of community programmes on reproductive health, personal hygiene, dental care, eye care as well as talks and demonstrations on long-house fire reduction.  The programmes will reach out to remote and vulnerable communities in Sabah and Sarawak and will be managed by MERCY Malaysia.

    At the event, UMW also launched its Community Champions Programme, a volunteer programme that gives UMW employees the opportunity to be a real part of the Group’s Corporate Social Responsibility efforts. This includes UMW’s environmental education programmes, neighbourhood gotong-royong projects, as well as other social and charitable activities. Selected volunteers will also undergo training programmes with MERCY Malaysia and be deployed to assist on relief missions in times of need. 

    Ms. Suseela Menon, Executive Director, UMW Corporation said in her welcome remarks, “Over the years, we have seen MERCY overcome obstacles and barriers, crossing rivers and borders, to help a fellow Man in need, regardless of race, religion or creed. Despite the economic times we live in, we are glad to have the financial resources to support the worthy causes that organisations like MERCY Malaysia are involved in, and go Beyond Boundaries in our own CSR efforts. We also believe that such causes cannot be championed from a distance.  Financial contributions can provide a spark of hope but it is our personal involvement which will keep the fire burning. It is for this very reason that we have set up the UMW Community Champions Programme."

    Datuk Dr Jemilah Mahmood said, “These three UMW vehicles will be such important assets for our Sabah and Sarawak Chapters as well as for use in Peninsular Malaysia. These Toyota vehicles from UMW will come in very handy when we are sending volunteers to mobile clinics and delivering medicine and medical equipment into the jungles of Sarawak. It is a service that goes beyond race and religion. One of the most important aspects of humanitarian work is logistics, thus we are grateful that UMW recognises that the value of what these vehicles are going to do, is far greater than their financial worth."

    In August 2008, UMW officially launched its CSR report detailing its activities and initiatives over the period spanning 2001 to 2007 related to the marketplace, the workplace, the environment and the community. The report, independently audited by Bureau Veritas --- the world’s leading certification body --- has the distinction of being awarded the prestigious Global Reporting Initiative (GRI) Application Level A (+) Certification for CSR reporting. UMW is officially the first Malaysian corporation to comply with the stringent GRI-G3 sustainability reporting guidelines.

     

  • It’s Lights Out at UMWUMW switches off non-essential lights and joins nation in support of Earth Hour 2009

    It’s Lights Out at UMW
    UMW switches off non-essential lights and joins nation in support of Earth Hour 2009


    Shah Alam, 30 March 2009 – The UMW Group demonstrated its concern for Mother Earth by becoming a registered supporter of Earth Hour 2009 which took place on 28 March from 8.30 pm – 9.30 pm.   It was switching-off time for all non-essential lights at its office buildings and plants across the country.  The Group’s 11,000-strong employees were similarly encouraged to support Earth Hour in their respective homes.

    Group Managing Director & CEO, Dato’ Abdul Halim Harun said, “I decided to take my family for a drive past the UMW complex in Shah Alam during Earth Hour.  The entire place was shrouded in darkness.  Only small spots of essential lights could be seen sporadically. As a safety measure, our security guards patrolled the area with torch-lights."

    “We reminded our employees to do their share for Earth Hour, too.  They were even given tips on how to live the one hour in the dark."

    Suseela Menon, Executive Director, UMW Corporation took part in Earth Hour by sitting out in her patio at home with her dog, who was baffled at the total darkness.

    Farida Mohd Salleh, Assistant General Manager, Group Public Affairs Division of UMW had a vantage view of the KL Tower & KLCC from her home in Kampung Baru.  She and her family enjoyed cheese cake in their garden while watching these two iconic buildings plunged into total darkness. 

    Dato’ Abdul Halim added, “Supporting Earth Hour is a natural extension of the UMW Group’s commitment to environmental preservation and conservation.  We recently launched the UMW Green Challenge programme.  It is an environment education and conservation programme for secondary school children, which has the support and cooperation of the Ministry of Education, local municipal councils and relevant government agencies.  The Toyota Eco-Youth Programme is another environmental awareness programme which we introduced in 2001 for school children.  We also actively advocate environmental awareness to our employees.  We have recently started a series of talks by environmentalists to educate our employees on climate change and other environmental issues.  This is the prelude to our “Green Workplace" programme which will be launched soon.

    The Group also collaborates with the Department of Environment to ensure environmental guidelines are adhered to at its plants.

     

  • UMW Claims another Record Year 2008
    UMW Claims another Record Year 2008

    Kuala Lumpur, 25 FEBRUARY 2009 – UMW today announced Group revenue of RM12,797.8 million for the year ended 31st December 2008, an increase of RM2,821.6 million or 28.3% over the RM9,976.2 million registered in 2007. Higher revenue achieved by all business segments of the Group, particularly the Automotive segment, resulted in the revenue growth.

    This significant revenue growth resulted in a record Group profit before taxation of RM1,271.6 million for 2008 compared to the RM856.3 million registered in 2007, an increase of RM415.3 million or 48.5%. The Automotive and Equipment segments were the main contributors to this profit growth. Record sales of Toyota and Perodua vehicles and improved equipment sales resulted in the higher Group profit before taxation..

    As a result, net profit of RM562.3 million attributable to the equity holders of the Company for 2008 was RM93.1 million or 19.8% higher than the RM469.2 million registered in 2007.

    Total Toyota and Perodua vehicle sales of 268,713 units represented 49% of the total industry volume (“TIV") of 548,115 units for the year ended 31st December 2008, as reported by the Malaysian Automotive Association (“MAA").

    On the UMW Group’s current prospects, Dato’ Abdul Halim Harun, Group Managing Director & CEO said, “In view of the current uncertain economic conditions, MAA has forecast that total new vehicle sales for 2009 will decline by 12.4% to 480,000 units from 2008’s 548,115 units. We forecast sales of Perodua and Toyota vehicles to be proportionately lower in tandem with the 2009 TIV. However, we expect to retain our market share of 30% and 18% of TIV for Perodua and Toyota vehicles, respectively."

    Growth in the construction, logging and mining sectors is expected to slow down due to the overall lower export demand. However, the implementation of various projects under the Ninth Malaysia Plan, the first RM7 billion stimulus package and the likely subsequent stimulus packages are expected to cushion an expected decline in the above sectors. “We expect sales and margins of our industrial and heavy equipment to be affected by the economic slowdown and the unfavourable foreign exchange rates", he said.

    He further added, “The investments made by the UMW Group in the Oil & Gas sector will stand us in good stead in 2009, as some of our major projects begin to contribute to Group profits. For example, our Zhongyou BSS plant, a joint venture with a subsidiary of China National Petroleum Corporation, has, in January 2009, commenced production and supply of Spiral Submerged Arc Welded (“SSAW") pipes for a part of the 2,400km eastern section of the 2nd West-East Gas Pipeline Project from Zhongwei to Guangzhou. The Company is also a contracted supplier of Longitudinal Submerged Arc Welded (“LSAW") pipes for the 7,000km Khazakhstan to Shanghai gas pipeline project."

    The challenging business environment resulting from the global economic crisis and the volatility of foreign exchange rates will impact the profitability of the companies in the Group. Nevertheless, the Board expects the Group’s profit for 2009 to be at acceptable levels, albeit lower than the record 2008 performance.

    The Board has recommended a final dividend comprising a franked dividend of 6.5% or 3.25 sen per share of RM0.50 each less 25% income tax and a single-tier dividend of 8.75 sen per share of RM0.50 each for the year ended 31st December 2008. The amount of net dividend payable is approximately RM123.0 million (2007 - 14.0 sen per share of RM0.50 each less 26% income tax, amounting to a net dividend of RM112.1 million). The proposed total final dividend of 12 sen per RM0.50 share, if approved by shareholders, will be paid on 10th August 2009.

    The annual dividend per share of RM0.50 each for the year ended 31st December 2008 would be 37.0 sen or a gross dividend of 74.0%, amounting to approximately RM325.9 million of net dividend (2007 - 30.0 sen or a gross dividend of 60.0% per share of RM0.50 each), amounting to a net dividend of RM238.2 million.

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses – Automotive, Equipment, Manufacturing and Engineering, and Oil and Gas.

    Last year UMW unveiled its new brand which was aimed at amplifying its leading position at home and organising itself for greater global expansion. It will now focus on building on the strengths of its core businesses as well as enhancing those strengths in the global arena to further tap international opportunities.

    In adopting its new rallying call – Beyond Boundaries – UMW is set to play a leading role in shaping the future of its industries globally. The Company will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of all its stakeholders.

  • UMW Quarterly IR Updates 4Q08
    UMW Quarterly IR Updates 4Q08

    Kuala Lumpur, 27 February 2009 – For the financial year ended 31 December 2008, the UMW Group achieved a record in its 91-year history – the Group attained a profit before taxation of RM1,271.6 million, which was a 49% increase over the RM856.3 million registered in 2007. This record-breaking performance was attributable to the strong contribution by the Automotive and Equipment Divisions, while other segments performed satisfactorily.

    2009 is expected to be a challenging year. We expect lower unit sales from our Automotive Division as the Malaysian Automotive Association (MAA) has projected a 12% decline in Total Industry Volume. Nevertheless, we are confident that we can maintain our overall market share with our broad model line-up, which ranges from affordable Perodua to mid-market Toyota to the premium Lexus vehicles.

    Oil & Gas Division is expected to step up its contribution to Group profits in 2009 and beyond. The manufacturing plant in Qinhuangdao has already commenced production and supply for the Khazakhstan to Shanghai 9,100-kilometre gas pipeline project.

    Fulfilling our commitment of paying out 50% of our net profit as dividend, we are recommending a final dividend of 12 sen. Our total dividend for 2008 is approximately RM325.9 million (37 sen), representing about 58% of net profit (up from 2007’s total of RM238.2 million or 30 sen per share of RM0.50 each).

    Please refer to UMW's second quarterly IR report for more details of our performance and prospects.

  • Toyota Celebrates Chinese New Year with Charity Homes
    Toyota Celebrates Chinese New Year with Charity Homes

    Shah Alam, Tuesday, 5 February 2009 – UMW Toyota Motor organised a Festive Gathering at their Headquarters for the children from Good Samaritan Home, Klang and Precious Children Home, Petaling Jaya. This annual Festive Gathering was organised as part of the company’s commitment to Corporate Social Responsibility.

    60 children, with ages ranging from 7-18 years old, enjoyed a full Chinese New Year spread and were presented with Angpow  and school bags containing goodies. These gifts were intended to give these children some form of assurance that they are not alone in this world and that there are people who care.

    According to Mr. Kuah Kock Heng, President of UMW Toyota Motor Sdn. Bhd. (UMW Toyota Motor), “This is the essence of the Chinese New Year celebration - spreading cheer and embracing the spirit of sharing and caring. Let us not forget that while we enjoy a whirlwind of feasting and merry-making, there are others who have little to cheer about. Most of us have families and loved ones to celebrate the festivals with, but this is not a privilege for the less fortunate and orphans who feel their deprivation the most during this time. “

    He also said, “This little get together does not only spread a little cheer but also to let them know that there are people who still care for their well-being and that they are not alone in this world."

    Presence at the festive gathering was Mr. Takashi Hibi, Deputy Chairman, UMW Toyota Motor and other senior management of the company.
     
    UMW Toyota Motor’s commitment to CSR has been an integral part of its corporate culture since it was established in 1982. Its CSR approach is consonant with its philosophy of ‘A history of service to society’, where UMW Toyota Motor continuously seeks opportunities to contribute to the communities where they operate their business.

    • http://www.toyota.com.my
  • RFC Hilux – Returns Home
    RFC Hilux – Returns Home

    Shah Alam, 22 January 2009 - After the marathon ten-day driving and recovery action through the rugged wilderness under the constant hammering from the monsoon rain in the recently concluded Rainforest Challenge (RFC) in Dec, the four Toyota Hilux have made it safely back to civilization and the modern world, to UMW Toyota Motor headquarters in Shah Alam.

    The handing over ceremony of the RFC flag to Mr. Kuah Kock Heng, President of UMW Toyota Motor by Mr. Luis J.A. Wee, the Founder & Event Director of RFC, is indeed of great significance as it symbolizes a victorious ending of the four Toyota Hilux experience in the event.  They have survived the true spirit of adventure as well as proven themselves as extraordinary machines in the face-off with the awesome might of Mother Nature.

    The battered weary RFC flag was flown proudly with the Toyota Hilux through the thick and thins of endurance in the rain-soaked jungle. They have passed the extreme test with flying colours as the official support car of the event. These Toyota Hilux were there in every hot spot trouble area, pulling the scout team and official support team through major obstacles. They also played a crucial role in keeping the logistics of the event moving from day to day. All these hard work demands only the best from man and machine, and the Toyota Hilux rose up to the challenge.

    For making it through the rough and tumble without any major breakdown in the world’s most internationally represented 4x4 off-road event and one of the toughest; these Toyota Hilux have earned their RFC badge of honour with distinction. That’s a well deserved WELL DONE!

    All the four RFC Toyota Hilux will be displayed at selected Toyota showrooms in Peninsula Malaysia for all to see at first hand and at close range what the Toyota Hilux has always been known for – tough, durability and reliability.

    • http://www.toyota.com.my
  • RM36, 900 Donated To Pusat Kanak Kanak Harian Spastik
    RM36, 900 Donated To Pusat Kanak Kanak Harian Spastik

    Ipoh, Wednesday, 21 January 2009 â€“ UMW Toyota Motor Sdn. Bhd. (UMW Toyota Motor), the assembler, marketer and distributor of Toyota automobile passenger cars and commercial vehicles, today presented a total of RM 36,900 to Pusat Harian Kanak-kanak Spastik (PHKS) during a cheque presentation ceremony.

    The fund totaling RM444, 900, were raised from ticket sales and corporate donations from the Toyota Classics concert, held on 1st November 2008.  PHKS was the final recipient of the fund raising effort by UMW Toyota Motor. Three other charity organisations; Yayasan Raja Muda Selangor, Montfort Youth Centre Malacca and the Malaysian Leprosy Relief Association Sarawak has received their allocation on December last year.

    Tuan Haji Aminar Rashid Salleh, Executive Director, UMW Toyota Motor in his speech said, “Toyota Classics is a major component of our Corporate Social Responsibility (CSR) programme. Each year, the funds collected will be channelled to three or more pre-selected charity organisations such as orphanages, drug rehabilitation centres, cancer societies, old folk homes, welfare homes, hospices and cultural foundations. Since its inception, we are delighted to announce that we have raised and donated over RM5 million to 39 charity organisation nationwide. This is our way of giving back to the society and community where we are doing our business".

    Tuan Haji Aminar Rashid Salleh, added that the donation amount of RM36, 900 given to PHKS will support the expansion project of their building and study hall.  The project will provide comfort and convenience for these special kids to study, carry out special activities as well as conducting therapy sessions. He also mentioned that the donation to the centre can only cover part of their project cost but he believed, they could use the sum of money to start the project.
     
    The cheque was presented to the Chairman of PHKS, Puan Hasmah Haji Hamzah. Also presence at the ceremony was PHKS lifetime patron, Datin Seri Hajjah Maria Binti Mahmud.

    The Toyota Classics concerts – which are performances by world-renowned orchestras – was conceptualised under the Philanthropic pillar of UMW Toyota Motors’ three pillars of CSR to raise funds for charitable organisations and Non-Governmental Organisations (NGOs). The other two pillars are Road Safety and Environment. 

    UMW Toyota Motor’s commitment to CSR has been an integral part of its corporate culture since it was established in 1982. Its CSR approach is consistent with its philosophy of ‘A history of service to society’ whereby UMW Toyota Motor continually seeks opportunities to contribute to the communities in which they operate their business.

    • http://www.toyota.com.my
  • Refreshed Look of Toyota Showroom in Klang
    Refreshed Look of Toyota Showroom in Klang

    Klang, 08 January 2009 - UMW Toyota Motor Sdn. Bhd. announce today that it has upgraded the Klang sales outlet to its latest showroom standard to serve customers better.

    The newly renovated showroom, located at Jalan Kepayang, in the heart of  Klang town was first opened in year 1990 and have gone through many changes before it was upgraded to the current standard.

    “Our move to enhance the existing Klang showroom is to incorporate our latest ideas on how we can best deliver to customers our brand promise and to give them the Toyota Quality Experience (TQE) that we are known for," said Mr Kuah Kock Heng, Managing Director of UMW Toyota Motor.

    In his speech, Mr Kuah shared UMW Toyota Motor performance in year 2008.  “We are indeed very happy to mark a new sales record of more than 101,600 units of vehicle sold, which is slightly above 18% percent of the Total Industry Volume compared to 2007, sales of 82,000 or 17.1% market share.“

    He also said that the company’s efforts to expand and enhance its sales and after sales network for the past few years to give customers the best sales experience and after sales support has paid off when UMW Toyota Motor achieved the No.1 position in both JD Power CSI and SSI 2008 survey.

    Mr. Kuah further added that the accomplishments are indeed very significant achievements to UMW Toyota Motor.  He said, “We could have not achieved this without the support from our customers. I would like to take this opportunity to thank all our customers who have been supporting us all these years.

    “We will continue to put more focus on our customers and at the same time, train our staff to be customer centric. In doing this, we would more responsive and flexible in our dealings with our valued customer and adjust to our customers requirement due to market changes," he said ending his speech.   

    Also present at the opening ceremony were Tan Sri Asmat Kamaludin, Chairman of UMW Toyota Motor,  Mr. Takashi Hibi, Deputy Chairman of UMW Toyota Motor, and  Dato’ Dr. Abdul Halim Harun, Group Managing Director and CEO, UMW Holdings Berhad.
     
    UMW Toyota Motor had invested RM2 million for the reconstruction of the Klang outlet, which has a total built up area of 11,375 square feet. The branch is well equipped with the latest showroom facilities, including a spacious showroom area that can display 7 vehicles at any one time, a delivery bay and a customer lounge for our customers’ comfort.

    The Klang showroom has a team of 27 dedicated staff to serve our customers and provide service such as insurance renewal.

    • http://www.toyota.com.my

2008's News


  • UMW Quarterly IR Updates 3Q08
    UMW Quarterly IR Updates 3Q08

    Kuala Lumpur, 19 December 2008 – The UMW Group achieved yet another record – Group profit before taxation of RM1,001.7 million for the nine months ended 30th September 2008, was an 85.3% increase over the RM540.7 million registered in the same period of 2007.

    This outstanding performance was attributable to the strong showing of the Automotive and Equipment segments. All other segments performed satisfactorily.

    Going forward, we expect the Oil & Gas division to substantially increase its contribution to Group profits in 2009 and beyond. Our investments in the major Longitudinal Submerged Arc Welded (LSAW) manufacturing plant in Qinhuangdao (a joint-venture with the CNPC subsidiary), our ultra-premium jack-up rigs, and our seamless tubular manufacturing plant in India will have a significant, positive impact on Oil & Gas Division’s profits.

    We have a policy of paying out 50% of our net profit as dividend. This year, we have already declared interim dividends of RM203.8 million (25 sen).

    The UMW CSR Report brings together the company’s CSR initiatives related to the marketplace, the workplace, the environment and the community to provide a record of what it has achieved as well as to give focus for its CSR programme in the future.

    Please refer to UMW's first quarterly IR report for more details of our performance and prospects.

  • UMW Goes Beyond Boundaries® - Achieves RM1 Billion PBT
    UMW Goes Beyond Boundaries® - Achieves RM1 Billion PBT

    Kuala Lumpur, 24 November 2008 – The UMW Group achieved yet another record Group profit before taxation of RM1,001.7 million for the nine months ended 30th September 2008, an 85.3% increase over the RM540.7 million registered in the same period of 2007. This achievement was on the back of a 35.6% increase in Group revenue to RM9,879.5 million for the nine months ended 30th September 2008.

    This outstanding performance was attributable to the strong showing of the Automotive and Equipment segments.

    Group revenue of RM3,326.2 million for the third quarter ended 30th September 2008 was RM556.5 million or 20.1% more than the RM2,769.7 million registered in the preceding year’s corresponding quarter. The improved sales registered by all business segments of the Group, predominantly the Automotive segment, resulted in the revenue growth.

    Group profit before taxation for the third quarter ended 30th September 2008 of RM353.8 million outperformed the RM232.6 million achieved in the same quarter of 2007 by RM121.2 million, or 52.1%. Higher sales of Toyota vehicles coupled with favourable mix and improved performance of the Equipment segment accounted for the higher Group profit before taxation.

    The RM152.7 million net profit attributable to the equity holders of the Company for the third quarter showed an increase of RM13.6 million or 9.8% from the RM139.1 million recorded in the preceding year’s corresponding quarter.

    “I am extremely pleased with the third quarter performance which overall has seen tremendous growth over last year. This is yet another record performance for the Group,” said Dato’ Abdul Halim Harun, Group Managing Director and Chief Executive Officer of UMW Holdings Berhad.

    Total Toyota and Perodua vehicle sales of 209,270 units represented 48.7% of the TIV of 429,913 units for the nine months ended 30th September 2008, as reported by the Malaysian Automotive Association.

    Although total demand for motor vehicles in the fourth quarter of 2008 is expected to slow down in view of the weaker economic outlook, the Group does not anticipate sales of Toyota and Perodua vehicles to be substantially affected. This is mainly due to the quality of fuel-efficient vehicles in the wide range of models the Group offers.

    Meanwhile, the Group expects the oil and gas companies to perform well as it believes that the prevailing lower crude oil prices will not significantly affect exploration and production activities, as investment and capital expenditure by major oil corporations are long term in nature in their effort to increase total reserves.

    Under the current economic scenario, overall demand for heavy and industrial equipment for the rest of the year may be affected by lower commodity prices and export of manufactured goods.

    The Group has achieved better-than-expected performance in the first three quarters of 2008. The Board is confident that this, together with the various proactive measures taken by the companies in the Group to maintain market share and to mitigate the effects of the slower economic growth, will enable the Group to post a record performance for the financial year ending 2008.

  • UMW Industries USB Kit Contest Winners
    UMW Industries USB Kit Contest Winners

    15 November 2008, Shah Alam Malaysia

    1. En. Idrus Bin Osman, Coschem Sdn. Bhd.

    2. Ms. Lai Soon Kwan, Jinhui Industries Sdn. Bhd.

    3. Mr. Nagendran A/L Lelchumanan, KL-Kepong Edible Oils Sdn. Bhd.

    4. Mr. Tan Gaik Hong, Batamas Sdn. Bhd.

    5. En. Mohamad Ariffin Ismail, Kilang Hevea Bukit Perak

    6. Mr. Su Kuok Miew, Rimex Sdn. Bhd.

    7. Mr. Hanson Tan Hsien-Hu, Coremax (M) Sdn. Bhd.

    8. Ms. Chan Yoke Mun, Philip Morris (M) Sdn. Bhd.

    9. Ms. Jennifer Soo Get Fong, Sabajuta Industries Sdn. Bhd.

    10. Mr. Chiau Chao Shee, Premier Milk (Malaya) Sdn. Bhd.

  • UMW Announces Outstanding Second Quarter 2008 Results
    UMW Announces Outstanding Second Quarter 2008 Results

    Kuala Lumpur, 20 August 2008 – The UMW Group has announced group revenue of RM3,568.2 million for the second quarter ended 30th June 2008. This was RM1,063.5 million or 42.5 per cent more than the RM2,504.7 million registered in the preceding year’s corresponding quarter. Higher sales recorded by all business segments of the Group -- particularly the Automotive segment resulted in the improved revenue.

    Group profit before taxation for the second quarter of RM355.0 million outperformed the RM167.8 million registered in the same quarter of 2007 by RM187.2 million, or more than 100%. Higher Toyota and Perodua vehicle sales, robust performance from the Equipment segment and favourable foreign exchange rates -- accounted for the higher Group profit before taxation.

    The RM151.7 million net profit attributable to the equity holders of the Company for
    the second quarter showed an increase of RM44.9 million or 42.0% from the
    RM106.8 million recorded in the preceding year’s corresponding quarter.

    “I am pleased with the second quarter performance which overall has seen
    tremendous growth from last year,” said Dato’ Abdul Halim Harun, Group Managing
    Director and Chief Executive Officer of UMW Holdings Berhad. “As in the previous
    quarter, our Automotive Division remains the star performer. That being said, our
    traditional businesses like Equipment and Manufacturing & Engineering Divisions
    have also shown positive signs with double digit growth.”


    6-month performance
    Group revenue of RM6,553.3 million for the six months ended 30th June 2008
    improved over the RM4,516.7 million registered in the same period of 2007 by
    RM2,036.6 million or 45.1%. In line with higher revenue, Group profit before taxation for the six months ended 30th June 2008 of RM647.9 million exceeded the RM308.1 million registered in the same period of 2007 by RM339.8 million or more than 100%.

    Consequently, the net profit attributable to the equity holders of the Company for
    the six months ended 30th June 2008 increased to RM293.5 million from the RM187.1 million registered in the same period of 2007, an increase of RM106.4 million or 56.9%.

    Improved performance from the Automotive and Equipment segments resulted in the higher net profit. Total Toyota and Perodua vehicle sales of 138,501 units
    represented 49.8% of the TIV of 277,974 units for the six months ended 30th June
    2008, as reported by the Malaysian Automotive Association.


    Going Forward
    The increase in fuel prices and electricity tariffs has resulted in rising inflation, lower GDP growth and, an anticipated reduction in private consumption in the second half of 2008. Total Industry Volume (“TIV”) for motor vehicles is also expected to taper following the hire purchase interest rates hike and fuel price increase.

    Going forward, the UMW Group is well-positioned to meet consumers' preference for more fuel-efficient vehicles with its range of models in the medium and small
    passenger car categories.

    Under the current economic scenario, demand for heavy and industrial equipment
    from the agricultural, logging, mining and construction sectors is expected to remain stable.

    Furthermore, current high crude oil prices provide incentive for global oil companies to increase their exploration and production activities as well as upgrading their
    existing facilities. Thus, demand for products and services related to the upstream Oil & Gas sector is expected to continue to be strong. This augurs well for our Oil & Gas Division.

    In the light of the above, the Board is of the view that the Group’s performance for the financial year 2008 will continue to be satisfactory.

    Background of the New UMW
    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses - Automotive, Equipment, Manufacturing and Engineering, and Oil and Gas.

    Earlier this year UMW unveiled its new brand which is aimed at amplifying its leading position at home and organising itself for greater global expansion. It will now focus on building on the strengths of its core businesses as well as enhancing those strengths in the global arena to further tap international opportunities.

    In adopting its new rallying call - Beyond Boundaries – UMW is set to play a leading role in shaping the future of its industries globally. The Company will do this by
    inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering
    excellence in everything it does; the rewards of which will contribute to the progress and well-being of all its stakeholders.

  • A+ for UMW CSR ReportUMW's A+ CSR Rating is Malaysia's First
    A+ for UMW CSR Report
    UMW's A+ CSR Rating is Malaysia's First

    Kuala Lumpur, 18 August 2008 – UMW Holdings Berhad today renewed its Corporate Social Responsibility (CSR) commitment to the marketplace, the workplace, the environment and the community in conjunction with the official launch of the UMW CSR Report detailing its CSR activities and initiatives over the period spanning 2001 to part of 2007.

    The report, independently audited in January 2008 by Bureau Veritas -- the world’s leading certification body -- has the distinction of being awarded the prestigious Global Reporting Initiative (GRI) Application Level A (+) Certification for CSR reporting, the highest of their ratings.

    UMW is officially the first Malaysian corporation to comply with the stringent GRI-G3 sustainability reporting guidelines.

    Dato’ Abdul Halim Harun, Group Managing Director and Chief Executive Officer of UMW Holdings Berhad, said: “At UMW, we have always practised CSR – not because we have to, but because we want to – and with our recent rebranding exercise, we decided that we wanted to formalise our CSR process and take it to the next level.”

    The UMW CSR Report brings together the company’s CSR initiatives related to the marketplace, the workplace, the environment and the community to provide a record of what it has achieved as well as to give focus for its CSR programme in the future.

    “We are proud to be the very first Malaysian corporation to achieve GRI-G3 rating. Our next step is to benchmark ourselves against international best practices, and then to address our gaps gradually, across all our operating units. These efforts are in line with our rebranding objective of becoming a truly world-class organisation – in every sphere, not just financially,” said Dato’ Halim.

    “In all our CSR activities, we constantly employ our four core values of being honourable, vibrant, unshakeable and pioneering. These tenets will guide us forward as we continue to develop and execute our CSR initiatives,” he further added.

    The UMW CSR report is intended to be useful to all of UMW’s direct stakeholders – customers, employees, shareholders and the communities in which UMW operations are located – as well as to anyone who wants to find out more about how UMW approaches its social, economic and environmental responsibilities.

    In today’s more transparent business climate, business organisations are expected to provide complete and reliable information for capital markets and societal stakeholders concerning their CSR activities and impact. Consequently, many companies are already broadening their horizons beyond setting financial reporting standards as they understand the importance of engaging globally with other stakeholders in shaping the future of CSR reporting.

    UMW now joins this global movement towards verified sustainability reporting by becoming Malaysia’s first corporate citizen to do so.

    Compared to financial reporting, sustainability reporting is still in its infancy. The first version of the GRI guidelines was released in 2000, followed by revisions in 2002 and 2006. In 2007, there was a total of 1,200 and growing GRI reporting organisations globally, with the majority of companies coming from first world countries such as USA, UK, Japan, Canada, France and Germany.

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses - Automotive, Equipment, Manufacturing and Engineering, and Oil and Gas.

    UMW recently unveiled its new brand which is aimed at amplifying its leading position at home and organising itself for greater global expansion. It will now focus on building on the strengths of its core businesses as well as enhancing those strengths in the global arena to further tap international opportunities.

    In adopting its new rallying call - Beyond Boundaries® – UMW is set to play a leading role in shaping the future of its industries globally. The Company will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of all its stakeholders.

    About GRI
    The Global Reporting Initiative (GRI) is a multi-stakeholder process and independent institution based in Amsterdam, The Netherlands whose mission is to develop and disseminate globally-applicable sustainability reporting. It is also a collaborating centre of the United Nations Environment Programme.

    GRI’s mission is to make sustainability reporting by all organisations as routine and comparable as financial reporting. The GRI Guidelines are the most common framework used in the world for reporting. More than 1,000 organisations from 60 countries use the Guidelines to produce their sustainability reports.

    The performance indicators under the GRI-G3 reporting guidelines are broadly categorised under Economic Performance, Environmental Performance, Labour Practices, Human Rights, Society and Product Responsibility. The A (+) level of certification requires externally-assured reporting and disclosures involving 50 plus core sectors of performance indicators.

    Note: GRI Application Level check does not represent GRI's view on the value or quality of the report and its content. It is a statement about the extent to which the GRI Reporting Framework was applied. Therefore, GRI does not certify Application Level claims nor professionally assures the quality and the contents of the report.

  • UMW Subsidiary Signs Jack-up Rig Contract Worth USD170 Million With PCPP
    UMW Subsidiary Signs Jack-up Rig Contract Worth USD170 Million With PCPP

    Batam, Indonesia, 12 August 2008  – UMW Standard Drilling Sdn. Bhd., a joint-venture between UMW Corporation Sdn. Bhd. and Standard Drilling ASA of Norway, today signed a contract worth USD170 million with PCPP Operating Co Sdn. Bhd. (PCPP) for the services related to the new high-spec-high-efficiency, jack-up drilling rig NAGA 2.

    PCPP is a joint venture between Petronas Carigali of Malaysia, Petrovietnam (Vietnam) and Pertamina (Indonesia).

    “We are delighted to be working with PCPP and tapping on their unique set of industry expertise backed by three of the regional heavyweights in Oil & Gas,” said Mr. Zulkifly bin Zakaria, Executive Director, Head of Oil & Gas Division, UMW Corporation Sdn Bhd.

    “The addition of NAGA 2 to our operations is well-timed, as we aspire to be the leading drilling contractor and expand our fleet of drilling rigs to cater to the increasing exploration and production activities in the region.”

    “We are very excited with the awarding of this contract and have already started preparations for the operations of NAGA 2 such as recruitment and training processes,” added Mr. Zulkifly.

    Mr. Zulkifli signed the contract on behalf of UMW Oil and Gas while PCPP Operating Company was represented by its General Manager, Mr. Foo Wah Yang.

    NAGA 2 is a high-spec-high-efficiency newly built rig that will be mobilised to Block SK 305 at Offshore Bintulu, Sarawak in December this year to spud the first exploration well in January 2009 for warming up and then it will be assigned to the D30 oilfield to drill seven development wells until 2010.

    NAGA 2 is a symbol of how well UMW’s Oil & Gas business has been progressing recently, backed by global oil prices and an aggressive expansion strategy in the face of increased exploration and drilling activities globally.

    The Oil & Gas Division of the UMW Group was established in 2002 and was designed to complement the upstream sector of the oil & gas industry, through five main activities – Manufacturing of OCTG and Line Pipes, Exploration Operations, Fabrications, Provision of Oilfield Services and Supply of Oilfield Products.

    UMW’s Oil & Gas division started venturing into exploration operations in 2005 via a joint-venture with Japan Drilling Company to co-own and operate NAGA 1, a semi-submersible rig. NAGA 1 is currently leased to Petronas Carigali for twenty firm wells, with a further option for another twenty wells which will keep it fully utilized until 2010.

  • UMW is First Malaysian Company to be Awarded A+ Rating for its Corporate Social Responsibility Reporting for Complying with Stringent GRI-G3 Sustainability Reporting Guidelines
    UMW is First Malaysian Company to be Awarded A+ Rating for its Corporate Social Responsibility Reporting for Complying with Stringent GRI-G3 Sustainability Reporting Guidelines

    Shah Alam, Selangor 25 July 2008 – UMW Holdings Berhad was recently awarded the prestigious Global Reporting Initiative (GRI) Application Level A (+) Certification for its Corporate Social Responsibility (CSR) reporting. The report was independently audited by Bureau Veritas, the world’s leading certification body. With the award, UMW is the first Malaysian corporation to comply with the stringent GRI-G3 sustainability reporting guidelines.

    GRI, a collaborating centre of the United Nations Environment Programme, is a multi-stakeholder independent institution based in Amsterdam, The Netherlands, that develops and disseminates globally-applicable sustainability reporting standards. Its mission is to make sustainability reporting by all organisations as routine and comparable to financial reporting.

    Upon receiving the A+ rating, Dato’ Abdul Halim Harun, Group Managing Director and Chief Executive Officer of UMW Holdings Berhad, said: “At UMW, our focus has never been purely on financial performance. We have always endeavoured to benefit all industries and the communities in which we operate.

    “Therefore, giving back to society has always been a priority and now – with this recognition - we are proud to set the standard yet again as the nation’s very first to report the impact of our CSR activities using the highest standard of reporting available.”

    In today’s more transparent business climate, business organisations are now being asked to provide complete and reliable information for capital markets and societal stakeholders concerning their CSR activities and impact. Consequently, forward-looking companies are already broadening their horizons beyond setting financial reporting standards as they understand the importance of engaging globally with other stakeholders in shaping the future of CSR reporting.

    Compared to financial reporting, sustainability reporting is still in its infancy. The first version of the GRI guidelines was released in 2000, followed by revisions in 2002 and 2006.

    In 2007, there was a total of 1,200 and growing GRI reporting organisations globally, with the majority of companies coming from first world countries such as USA, UK, Japan, Canada, France and Germany.

    UMW now joins this global movement towards verified sustainability reporting by becoming Malaysia’s first corporate citizen to do so.

    “We have taken CSR a step further by pracitising CR – that is, Corporate Responsibility – throughout the UMW Group as well as in the societies and businesses in which we have interests,” added Dato’ Halim.

    “We realise that it is not charitable and social acts alone that constitute Corporate Responsibility and therefore, our approach is multi-dimensional. Our CR focus is on four main segments – the community, the environment, the marketplace and of course, in our very own workplace.

    “As a result, these initiatives are now an imperative since they are pivotal to realising The New UMW’s goal of becoming truly world class as it goes Beyond Boundaries®.”

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses - Automotive, Equipment, Manufacturing and Engineering, and Oil and Gas.

    UMW recently unveiled its new brand which is aimed at amplifying its leading position at home and organising itself for greater global expansion. It will now focus on building on the strengths of its core businesses as well as enhancing those strengths in the global arena to further tap international opportunities.

    In adopting its new rallying call - Beyond Boundaries® – UMW is set to play a leading role in shaping the future of its industries globally. The Company will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of all its stakeholders.

    About GRI
    The Global Reporting Initiative or GRI is a multi-stakeholder process and independent institution whose mission is to develop and disseminate globally-applicable sustainability reporting. The GRI’s mission is to make sustainability reporting by all organisations as routine and comparable as financial reporting. The GRI Guidelines are the most common framework used in the world for reporting. More than 1000 organisations from 60 countries use the Guidelines to produce their sustainability reports.

    The performance indicators under the GRI-G3 reporting guidelines are broadly categorised under Economic Performance, Environmental Performance, Labour Practices, Human Rights, Society and Product Responsibility. The A (+) level of certification requires externally-assured reporting and disclosures involving 50 plus core sectors of performance indicators.

    Note: GRI Application Level check does not represent GRI's view on the value or quality of the report and its content. It is a statement about the extent to which the GRI Reporting Framework was applied. Therefore, GRI does not certify Application Level claims nor professionally assure the quality and the contents of the report.

  • UMW In Proposed Lubricants Joint Venture in CHINA
    UMW In Proposed Lubricants Joint Venture in CHINA

    Shah Alam, 25 July 2008 – UMW Corporation Sdn. Bhd., a wholly-owned subsidiary of UMW Holdings Berhad, today signed a Letter of Intent (“LOI”) with Hong Kong-based Dah Chong Hong (Motor Service Centre) Limited (“DCHMSC”) for the proposed setting up of a joint venture company to manufacture and process lubricants in China.

    The proposed joint venture company is to be established in Xinhui, Guangdong Province China with a planned output capacity of 50 million litres, with the potential to expand to 100 million litres of lubricants to tap into the high growth China market.

    DCHMSC is a wholly-owned subsidiary of Dah Chong Hong Holdings Ltd, a company listed on the Hong Kong Stock Exchange. The company is principally involved in motor and motor-related businesses, food and consumer products, as well as logistics services in Hong Kong, Macau, China, Japan, Singapore and Canada.

    “UMW is excited about this venture as it is in line with our positioning of UMW as a truly diversified company to enhance our strengths in the global arena and further tap into international opportunities” said Dato’ Abdul Halim bin Harun, Group Managing Director and Chief Executive Officer UMW Holdings Berhad.

    “Both UMW and DCHMSC can leverage on our respective areas of competency, strength and competitiveness to gain long term advantage in the growing lubricant business in China. With regard to the smart-partnership with DCHMSC, we are confident that it can be further developed to explore other business opportunities that China can offer,” he added.

    UMW has vast expertise and experience in the lubricants business through 18 years of joint venture manufacturing and marketing major lubricant brands in Malaysia.

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses - Automotive, Equipment, Manufacturing and Engineering, and Oil and Gas.

    UMW recently unveiled its new brand which is aimed at amplifying its leading position at home and organising itself for greater global expansion. It will now focus on building on the strengths of its core businesses as well as enhancing those strengths in the global arena to further tap international opportunities.

    In adopting its new rallying call - Beyond Boundaries® – UMW is set to play a leading role in shaping the future of its industries globally. The Company will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of all its stakeholders.

  • UMW to Supply Diesel Engines for NGV Tech’s Anchor Handling Tug Supply Vessels
    UMW to Supply Diesel Engines for NGV Tech’s Anchor Handling Tug Supply Vessels

    Shah Alam, 2 July 2008 – UMW Industrial Power Sdn. Bhd., a wholly owned subsidiary of UMW CORPORATION Sdn. Bhd. has signed a Memorandum of Understanding (MoU) with NGV Tech Sdn. Bhd. for the supply of ten (10) units of GE Marine Engines Model 12V228 medium-speed engines for a total value of RM 50 million.

    These engines will be used to power four units of 60 meters Anchor Handling Tug Supply (AHTS) vessels to be built at NGV Tech’s shipyard. These new vessels have been earmarked to service the Middle East region -- a demanding market in terms of weather, geography and workload, which requires especially reliable and efficient engines.

    “We are delighted to be working with NGV Tech, one of Malaysia’s foremost shipbuilders to supply these cutting edge new engines,” said Mr. Chew Chee Loon, Executive Director – Equipment Division of UMW at the MoU signing ceremony. “GE’s diesel engines provides our customers with increased power output, high reliability, fuel-efficiency and are designed for the most demanding applications. It meets the toughest emissions requirement in the world including United States Environment Protection Agency Tier II certification.” he explained.

    GE engines serve the power range from 1753bhp – 5685bhp and all GE diesels feature a high capacity turbocharger, efficient combustion system and an electronic fuel injection system.

    Established in 1992, NGV Tech owns one of the largest shipyards in Malaysia, located in Sijangkang, Selangor Darul Ehsan. Every year, NGV Tech constructs a minimum of twelve vessels and currently its order book has already reached RM 2.1 billion till year 2011.

    “When we set out to find the best fit for our 60 meters AHTS, we considered several key points to be critical to our operation. Any engine manufacturer we selected absolutely had to satisfy these requirements, and that’s why we chose GE’s reliable engines and renowned fast delivery time to meet our needs. NGV Tech is confident the GE engines will meet owner and design requirements,” said NGV Tech Sdn. Bhd. Chairman, Encik Zulkifli Shariff.”

    UMW Industrial Power forms strategic alliances with renowned multinational manufacturers and specialists in industrial compressors, marine engines and portable power products. The company partners with leading multinational corporations like GE, CompAir, Cameron, Mitsubishi and Honda. In Malaysia, it has offices in Butterworth, Ipoh, Johor Baru, Kuantan, Kuching, Sibu and Miri.

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses - Automotive, Equipment, Manufacturing and Engineering, and Oil and Gas. It has operations overseas in Singapore, Thailand, Vietnam. Myanmar, Papua New Guinea, China, Australia, India, Turkmenistan, Indonesia, Taiwan and the Middle East.

    UMW recently unveiled its new brand which is aimed at amplifying its leading position at home and organising itself for greater global expansion. It will now focus on building on the strengths of its core businesses as well as enhancing those strengths in the global arena to further tap international opportunities.

    Malaysian Rating Corporation Bhd. has assigned a Corporate Credit Rating (CCR) of ‘AAA’ to UMW,the highest of its ratings levels.

    In adopting its new rallying call - Beyond Boundaries® – UMW is set to play a leading role in shaping the future of its industries globally. The company will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of all its stakeholders.

  • UMW Invests in Oil and Gas Fabrication Yard in Lumut, Perak
    UMW Invests in Oil and Gas Fabrication Yard in Lumut, Perak

    Lumut, Perak 28 June 2008 – The UMW Group, through its Oil & Gas Division, will participate in a 70% joint venture with DKLS Oil & Gas Sdn. Bhd. (formerly known as DKLS Homefields Sdn. Bhd.), a wholly-owned subsidiary of DKLS Industries Berhad, for the setting up of an oil and gas fabrication yard in Lumut, Perak.

    The waterfront yard, located at the Lumut port, is expected to be completed before the end of the year at a total initial cost of approximately RM100 million. The development of the yard will be carried out in phases, and should be fully set up in 3 to 4 years’ time. The project will involve the construction and fabrication of key oil and gas industry structures in support of UMW Oil & Gas’ operational expansion into the global market.

    The total land area for the facility, including the load-out wharf, is approximately 42 acres. When fully operational, the yard is expected to provide employment for up to 800 people.

    “Our new construction and fabrication facility in Lumut will further strengthen UMW’s global position and growing reputation as a leading provider of the oil and gas industry’s ancillary products and services,” said Tan Sri Asmat Kamaludin, Group Chairman, UMW Holdings Berhad at the groundbreaking ceremony for the fabrication yard today. “As our business involves fabrication of large structures, these structures cannot be transported by road or rail upon completion. They will be loaded onto barges and transported by sea. The close proximity of Lumut to the Straits of Melaka is a great advantage for us.”

    The UMW Oil & Gas’ fabrication yard’s groundbreaking ceremony was officiated by the Menteri Besar of Perak, YAB Dato’ Seri Ir. Hj Mohammad Nizar Jamaluddin.

    UMW’s oil and gas business has been progressing extremely well, backed by the higher oil prices and an aggressive expansion strategy in the face of increased exploration and drilling activities globally.

    UMW Oil & Gas’ support services for the industry complements the robust upstream activities through five main business activities: the manufacture of Oil Country Tubular Goods (OCTG) and line pipes, exploration operations, fabrication, provision of oilfields services, and supply of oilfield products.

    “Since its inception in 2002, our Oil and Gas Division has forged ahead with a number of exciting new ventures, and has become an important contributor to the UMW Group’s earnings, with operations in 11 countries in the Asia-Pacific region.”

    UMW’s venture into fabrication operations started in 2006 when it acquired VINA Offshore Holdings Pte Ltd, which has operations in Singapore and Vietnam. VINA’s fabrication and engineering complex in Vung Tau, Vietnam, is strategically located at the water edge, with 1,000 ton skid way for loading-out purposes.

    This was followed by the acquisition of Helmsion Engineering Pte Ltd of Singapore in 2007. Helmsion specialises in the design, procurement, fabrication, modification, installation and marketing of a wide range of cranes, hoist and other lifting equipment for the industrial automation and control markets in the Asia-Pacific region.

    To further strengthen its fabrication business, UMW acquired Offshore Construction Services Pte Ltd of Singapore (OCS), earlier this year. OCS has established a strong presence in the fabrication business and has extensive experience in a wide variety of fabrication works.

    In Malaysia, aside from the soon-to-be-completed fabrication yard in Lumut, UMW Oil & Gas has established a fabrication and coating plant in Kemaman, Terengganu.

    The UMW Group is an international conglomerate that develops industries, manages partnerships and facilitates growth. It is involved in four core businesses - Automotive, Equipment, Manufacturing and Engineering, and Oil and Gas.

    UMW recently unveiled its new brand which is aimed at amplifying its leading position at home and organising itself for greater global expansion. It will now focus on building on the strengths of its core businesses as well as enhancing those strengths in the global arena to further tap international opportunities.

    Malaysian Rating Corporation Bhd. has assigned a Corporate Credit Rating (CCR) of ‘AAA’ to UMW, the highest of its ratings levels.

    In adopting its new rallying call - Beyond Boundaries® – UMW is set to play a leading role in shaping the future of its industries globally. The company will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything it does; the rewards of which will contribute to the progress and well-being of all its stakeholders.

  • UMW Announces Excellent First Quarter 2008 Results
    UMW Announces Excellent First Quarter 2008 Results

    Shah Alam, 23 May 2008 – The UMW Group today announced a 109% increase in group profit before tax to RM292.9 million for the first quarter ended 31 March 2008. Improved margins from volume and sales mix, favourable foreign exchange rates and higher contributions from associated companies, resulted in the higher Group profit before taxation.

    Group revenue of RM2,985.1 million for the first quarter ended 31 March 2008 was higher than the RM2,012.0 million registered in the preceding year’s corresponding quarter by 48.4% or RM973.1 million. Higher sales of Toyota vehicles resulted in the increase in revenue for the quarter.

    Net profit attributable to the equity holders of the Company for the first quarter ended 31 March 2008 increased from the RM80.3 million recorded in the preceding year’s corresponding quarter to RM141.8 million, an increase of RM61.5 million or 76.6%. Combined Toyota and Perodua vehicle sales of 68,654 units represented 52.5% of the total industry volume of 130,851 units for the quarter ended 31 March 2008, as
    reported by the Malaysian Automotive Association.

    “I am pleased with the first quarter performance which overall has seen tremendous growth from last year’s first quarter”, said Dato’ Abdul Halim Harun, UMW Group Managing Director & Chief Executive Officer. “Our Automotive Division was the star performer this quarter. That being said, our traditional businesses like Equipment and Manufacturing & Engineering have also shown positive signs with double digit growth”.

    The UMW Board expects the performance of the group for the rest of 2008 to continue to be satisfactory. Although the automotive sector is very competitive, demand for Toyota and Perodua vehicles is expected to be maintained at current levels due to positive consumer response to our recently-launched models.

    Rising crude oil prices provide a favourable platform for global oil majors to increase their exploration and production activities as well as to upgrade their existing facilities. Thus, demand for products and services related to the Oil & Gas industry, particularly from the exploration and production sectors, is expected to be positive. Demand for heavy and industrial equipment is expected to be sustained, particularly from the ongoing construction, mining and logging activities.

    Concerns on inflation and escalating cost of consumer goods may affect customer sentiment in the second half of this year. However, the Group’s strategy to enhance revenue and profit from overseas investments is expected to mitigate any shortfall that may arise from domestic profitability.

  • UMW Exercises Option to Co-Own another Jack-Up Rig

    UMW Exercises Option to Co-Own another Jack-Up Rig


    Shah Alam, 18 April 2008 – UMW today announced that its wholly-owned subsidiary, UMW Naga Two (L) Ltd has exercised the call option granted by Standard Drilling Far East Pte Ltd (“SDFE”) on 31 January 2007 to jointly own a jack-up drilling rig with Standard 3 Pte Ltd (“SD3”) which is scheduled to be completed by July 2009.  SD3 is a wholly-owned subsidiary of SDFE, and is incorporated in Singapore.  UMW Naga Two has nominated UMW Naga Three to purchase 51% equity interest in SD3 at an option price of USD40,785,000.

    With this acquisition, UMW will now co-own two jack-up drilling rigs, one semi-submersible drilling rig and three hydraulic workover rigs. These rigs are expected to command favourable day rates and utilisation levels, given the growing demand for offshore exploration and development activities in Malaysia and the region. UMW also reinforces its position as the largest owner of drilling rigs in Malaysia.

    The co-ownership of this second jack-up drilling rig is expected to enhance UMW’s oil and gas profitability as it becomes fully operational in the latter part of 2009. The oil and gas division which started only 5 years ago, now contributes almost a quarter of the Group’s net profits.

  • UMW’S PBT Jumps 52% To Rm300.9 Million – Another Record (Updated)
    UMW’S PBT Jumps 52% To Rm300.9 Million – Another Record (Updated)

    Shah Alam, 28 February 2008 – The UMW Group today announced  that its Group profit before taxation for the fourth quarter ended 31st December 2007 was RM300.9 million.  This was RM102.9 million or 52.0% higher than the RM198.0 million registered in the same quarter of 2006, and resulted from improved margins and favourable foreign exchange rates, coupled with higher contributions from associated companies.

    As a result of the above, net profit attributable to equity holders of the Company for the fourth quarter ended 31st December 2007 increased from the RM91.8 million recorded in the preceding year’s corresponding quarter to RM137.2 million, an increase of RM45.4 million or 49.5%.  

    Group revenue of RM2,678.4 million for the fourth quarter ended 31st December 2007 was slightly higher than the RM2,582.9 million achieved in the preceding year’s corresponding quarter by RM95.5 million. The higher revenue was the net result of improved sales from both the Automotive and Equipment segments.

    Group revenue of RM9,964.8 million for the year ended 31st December 2007 was marginally higher than the RM9,950.5 million registered in 2006 by RM14.3 million.  The Automotive and Equipment segments contributed to the increase in Group revenue for the year.  

    Group profit before taxation of RM841.6 million for the year ended 31st December 2007 was higher than the RM754.3 million registered in 2006 by RM87.3 million or 11.6%. Favourable foreign exchange rates, improved margins from volume and sales mix and higher contribution from associated companies also contributed to the higher Group profit before taxation.

    Net profit attributable to equity holders of the Company for the year ended 31st December 2007 increased to RM463.4 million from the RM305.9 million registered in 2006, an increase of RM157.5 million or 51.5%.  The improved performance came from the Equipment and Automotive segments, and higher net profit contributions from the overseas oil and gas associated companies.

    Total Toyota and Perodua vehicle sales of 242,568 units represented 49.8% of the total industry volume (“TIV”) of 487,176 units for the year ended 31st December 2007, as reported by the Malaysian Automotive Association (“MAA”).

    On the UMW Group’s current prospects, Dato’ Abdul Halim Harun, Group Managing Director & CEO said,  “The Malaysian Government has forecasted the economy to grow by about 6% in 2008 through anticipated private and government-initiated economic activities. MAA has also forecasted the TIV for motor vehicles for the year 2008 to be 510,000 units, an increase of 4.7% over the 487,176 units registered in 2007. The introduction of new models and current competitive pricing are factors expected to sustain the current strong buying interest.”

    He further stated that demand for heavy and industrial equipment is anticipated to continue to be strong, particularly from the construction sector, due to activities in the various development corridors as announced by the Government.  The plantation sector is expected to perform well in view of the continued favourable palm oil prices.

    As the current high crude oil prices are expected to continue in the foreseeable future, demand for products and services related to the Oil and Gas industry, particularly to the exploration and production sectors, is likely to be positive.

    Barring unforeseen circumstances, the Group is expected to achieve a favourable performance level for the year 2008,” he added.

    The Board has recommended a final gross dividend of 28.0 sen per share of nominal value RM1.00 each (equivalent to 14.0 sen per share of nominal value RM0.50 each after the share split) less 26% income tax, amounting to approximately RM111.5 million net dividend, for the year ended 31st December 2007 (2006 - 13.5 sen per share less 27% income tax, amounting to RM51.9 million net dividend), to be paid on 5th August 2008.  The annual gross dividend based on per share of RM1.00 each for the year ended 31st December 2007 would be 60.0 sen per share less 27% or 26% income tax, amounting to approximately RM237.5 million of net dividend (2006 - 41.0 sen per share less 28% or 27% income tax, amounting to a net dividend of RM153.9 million).  This is in line with the Group’s announcement of its dividend policy of an annual dividend payout ratio of 50% of net profit attributable to shareholders.

    Two changes in the composition of the Group took place during the quarter ended 31 December 2007.  Firstly, on 9th November 2007, PFP Singapore Pte. Ltd., a 75%-owned subsidiary of PFP (Aust) Holdings Pty. Ltd., which is in turn wholly-owned by PFP Holdings Proprietary Limited, a 60%-owned subsidiary of UMW, received the certificate for the establishment of a new company known as PFP (Shenzhen) Piping Materials Co., Ltd. (“PFP Shenzhen”) in Shenzhen, the People’s Republic of China. The intended principal activity of PFP Shenzhen is pipe cladding*. The initial issued and paid-up capital is USD200,000.

    Secondly, on 4th December 2007, UMW India Ventures (L) Ltd., a 65%-owned subsidiary of UMW Petropipe, which is in turn wholly-owned by UMW, incorporated a wholly-owned subsidiary known as UMW Sher (L) Ltd. (“UMW Sher”) in Wilayah Persekutuan Labuan. The intended principal activity of UMW Sher is to provide contract drilling and engineering services for the oil and gas industry and leasing of drilling rigs and vessels. The initial issued and paid-up capital is USD1.00.

    On 13th November 2007, WSP Holdings Limited (“WSP Holdings”), a 30.6%-owned associated company of UMW, made a public filing of its registration statement on Form F-1 with the U.S. Securities and Exchange Commission, relating to an initial public offering of American Depositary Shares (“ADS”) representing ordinary shares. The ADS were listed on the New York Stock Exchange on 6th December 2007 (New York Time). The effective shareholding of UMW in WSP Holdings was diluted from the original 30.60% to 22.95% on 11th December 2007 and was further diluted to 22.30% on 9th January 2008 due to the issuance of new WSP Holdings shares, pursuant to the listing of ADS and the exercise of the over-allotment option by the underwriters, respectively. The above listing was ratified by UMW shareholders at an Extraordinary General Meeting (“EGM”) held on 4th February 2008.

    *The intended principal activity of PFP Shenzhen is the import and export of piping materials.

  • UMW To List O&G DivisionUMW Shareholders To Benefit From Capital Distribution of 138.4 Million Share

    UMW To List O&G Division
    UMW Shareholders To Benefit From Capital Distribution of 138.4 Million Share


    Shah Alam, 28 February 2008 - UMW today announced the proposed listing of its Oil and Gas Division on the Main Board of Bursa Malaysia Securities Berhad via a newly incorporated investment holding company, UMW Oil & Gas Berhad (“UMW O&G”), upon the completion of an internal restructuring.   This re-structuring involves the proposed acquisition by UMW O&G of selected oil and gas companies held by the UMW Group and other vendors and also a proposed renounceable rights issue.

    UMW’s shareholders will benefit from a Capital Distribution exercise of 138,385,167 UMW O&G shares which will be distributed on the basis of one UMW O&G share for every eight existing ordinary shares of 50 sen each in UMW. 

    Upon completion of the Internal Restructuring, UMW O&G proposes to undertake a public issue of 250 million new UMW O&G shares at an issue price to be determined later.  The enlarged issued and paid-up share capital of UMW O&G will be 1.2 billion shares, with an expected market capitalisation of more than RM1.5 billion.

    UMW Group Managing Director & Chief Executive Officer, Dato’ Abdul Halim Harun said, “Our Proposed Public and Renounceable Rights Issues are expected to raise approximately RM425 million in gross proceeds which shall accrue entirely to UMW O&G.  The proceeds will be utilised for the settlement of inter-company balances, repayment of bank borrowings, working capital purposes as well as to defray the listing expenses.  From the total proceeds raised, UMW is expected to receive RM99.4 million arising from the settlement of the inter-company balances by the UMW O&G Group. ”

    Most of the companies in UMW’s Oil & Gas Division are currently held under two of the Group’s wholly-owned subsidiaries, UMW Corporation Sdn. Bhd. and UMW Petropipe (L) Ltd.  The Oil and Division was established in 2002 to diversify the Group’s earnings reliance on motor related and industrial equipment activities. 

    Dato’ Abdul Halim said, “Since its inception, our Oil and Gas Division has forged ahead with a number of exciting new ventures, and has become an important contributor to the UMW Group’s earnings.   Revenue from the Oil and Gas Division has experienced a robust growth, from RM42.1 million in 2004 to RM1.5 billion in 2006.”

    He added, “The Proposed Listing is expected to raise the profile of UMW O&G in the oil and gas industry and hence, further strengthen its global position.  This will enhance UMW O&G’s reputation as a leading provider of supporting specialised products and services regionally and globally with its enhanced capabilities.  Moreover, the Proposed Listing is timely so as to provide direct access to the capital market for funds to finance UMW O&G’s future expansions and continued growth.”

  • New UMW to Enhance Core Businesses, Set For Greater Global Expansion
    New UMW to Enhance Core Businesses, Set For Greater Global Expansion

    Kuala Lumpur, 29 January 2008 - Bursa Malaysia main board listed UMW Holdings Berhad (UMW) today unveiled its new brand which is aimed at amplifying its leading position at home and organizing itself for greater global expansion.

    UMW, which has just completed a comprehensive re-branding exercise, will now focus on building on the strengths of its core businesses - automotive, equipment, manufacturing and engineering and oil and gas – as well as enhancing those strengths in the global arena to further tap international opportunities.

    At a media briefing to announce The New UMW today, Group Managing Director and CEO, Dato’ Dr Abdul Halim Harun said:

    “UMW has a proud and vibrant history. We are an international conglomerate that develops industries, manages partnerships and facilitates growth in the automotive, equipment, manufacturing and engineering, and oil and gas industries.”

    “We are re-branding because we feel that our growth in recent years has been quite spectacular not only in terms of financial growth but also in our core businesses and in the many countries in which we have operations.”

    “We need to reflect this position in our brand as we believe this is the right time to amplify our pole position at home while organizing ourselves for even greater global expansion. We want to reflect a truly world class brand”.

    Dato’ Dr Halim also emphasised that The New UMW will continue to be guided by the four beliefs that have served the conglomerate well over the years i.e. being honourable, vibrant, unshakeable and pioneering.

    One of the significant features of The New UMW is the new vibrant logo. The design of the new logo is dynamic, symbolising fluid movement, the vibrant character of UMW and its people who can respond quickly and positively to ever-changing market conditions. The capital letters signify UMW's stability and leading status.

    Commenting on the “Beyond Boundaries” theme of The New UMW, Dato’ Dr Halim said:

    “Going Beyond Boundaries® is not only about crossing geographical or physical borders. It is also about redefining the boundaries in our minds and doing new things in a better way. It is about eliminating all barriers and achieving new heights.”

    “We will go Beyond Boundaries® by playing a leading role in shaping the future of our industries globally. We will do this by inspiring vibrant ideas, nurturing potential, pioneering partnerships and delivering excellence in everything we do; the rewards of which will contribute to the progress and well-being of all our stake holders”.

2007's News


  • UMW’S Rolling Mill in India to Produce 300,000 Metric Tones Tubular Pipes
    UMW’S Rolling Mill in India to Produce 300,000 Metric Tones Tubular Pipes

    Andhra Pradesh, India, 16 November 2007 - The UMW Group has been actively expanding its geographical market in recent times, especially in the oil and gas industry. Having left its mark in China where it has been extremely successful in its oil and gas ventures, UMW is now strengthening its base in India.

    Shri S. Jaipal Reddy, Honourable Union Minister for Urban Development, Government of India today officiated the ground-breaking ceremony (or ‘bhoomi puja’) of a rolling mill, a joint venture between UMW and the widely diversified Kamineni Group. The ceremony was witnessed by distinguished senior Indian Government Ministers and the UMW Holdings Board.

    In July this year UMW invested in the public-listed Oil Country Tubular Limited. UMW also signed an agreement with United Steel Allied Industries Pvt. Ltd., to set up United Seamless Tubulaar Ptv. Ltd. (USTPL). Upon completion in June 2009, the mill would be capable of producing 300,000 metric tones of tubular pipes annually. The Indian petro-chemical sector, which has one of the largest refinery capacities in the world, promises a lucrative market for UMW.

    Steeped in Indian tradition and amidst a myriad of vibrant colours, the ground-breaking ceremony was performed to commemorate the setting up of USTPL rolling mill in India. The mill will manufacture seamless tubular pipes for both OCTG and industrial applications by USTPL, which is a joint venture company between UMW and United Steel Allied Industries Pvt. Ltd.

    UMW Group Chairman, Tan Sri Asmat Kamaludin, in his speech at the ground-breaking ceremony said, “With our strategic business alliances and an aggressive expansion plan, within a short period of time, we have become a recognized player in the oil & gas industry in Malaysia. Internationally, we have expanded our business operations to 11 countries, establishing 5 pipe manufacturing and coating facilities in China. We hope to replicate our China success in India.”

    UMW marked its venture into India in 2006 by investing in Multicoat Coating Technologies Pvt. Ltd., a coating company in Kolkata.

    UMW has already established its regional office in Mumbai.

    The Kamineni Group is well established in India. It has diversified interests in engineering, healthcare, education, life sciences, manufacturing and infrastructure. Its founder and Managing Director of Oil Country Tubular Limited, Mr Suryanarayana Kamineni is a well-known philanthropist in India.

    UMW has been extremely successful in its overseas ventures, largely due to its strategic partnerships with global companies. 

  • UMW Announced A 57% Jump in 3Q Net Profit Attributable To Shareholders
    UMW Announced A 57% Jump in 3Q Net Profit Attributable To Shareholders

    Shah Alam, 15 November, 2007 – The UMW Group today announced a higher group revenue of RM2,769.7 million for the third quarter ended 30 September 2007, an increase of RM241.4 million over the RM2,528.3 million achieved in the preceding year’s corresponding quarter. The higher revenue was the result of improved sales from both the Automotive and Equipment segments.

    In line with the higher Group revenue, Group profit before taxation for the quarter ended 30 September 2007 increased to RM232.6 million from the RM203.3 million registered in the same quarter of 2006 by RM29.3 million or 14.4%.

    Net profit attributable to equity holders of the Company for the quarter ended 30 September 2007 improved from the RM88.6 million recorded in the preceding year’s corresponding quarter to RM139.1 million, an increase of RM50.5 million or 57.0%.

    Group revenue of RM7,286.4 million for the nine months ended 30 September 2007 was marginally lower than the RM7,367.6 million registered in the same period of 2006 by RM81.2 million or 1.1%. Whilst higher revenue was recorded by both the Automotive and Equipment segments, the non-consolidation of the revenue of Wuxi Seamless Oil Pipe Co., Ltd., which became an associated company of UMW effective 16 November 2006, resulted in lower Group revenue for the current period.

    For the same reason, Group profit before taxation for the nine months ended 30 September 2007 of RM540.7 million was marginally lower than the RM556.3 million registered in the same period of 2006 by RM15.6 million or 2.8% despite higher profit contributions from the Automotive and Equipment segments.

    However, net profit attributable to equity holders of the Company for the nine months ended 30 September 2007 increased to RM326.2 million from the RM214.1 million registered in the same period of 2006, an increase of RM112.1 million or 52.4%. Improved performance of the Equipment and Automotive segments coupled with higher profit contributions from our Oil & Gas companies resulted in the higher net profit.

    Total Toyota and Perodua vehicle sales of 182,274 units represented 50.9% of the Total Industry Volume of 358,234 units for the nine-month period ended 30 September 2007, as reported by the Malaysian Automotive Association.

    With the introduction of new models by Toyota and Perodua, demand for our motor vehicles for the fourth quarter is expected to stay at a level similar to the third quarter, although total industry volume is forecasted to be lower this year versus the preceding year. The Oil &Gas sector remains strong with the escalating crude oil prices, resulting in more new investments undertaken by major oil companies. The Industrial and Heavy Equipment sectors continue to be robust with the increased industrial, construction, logging and mining activities. In addition, the favourable exchange rates have lowered our importation cost of products and components.

    Based on the above outlook, the Board expects the financial performance of the Group to be better than that of the previous year and to exceed the Group internal revenue and profit targets for the financial year ending 31 December 2007. 

  • The Power of Quietness
    The Power of Quietness

    Shah Alam, 21 August 2007 - UMW Industrial Power Sdn. Bhd. , a wholly-owned subsidiary of UMW Holdings Berhad and the sole distributor of Honda Power Products and Outboards since 1969 today launched its range of inverter EU series of silent generators, specially featuring the All-New EU65is 6.5kVA generator.

    The launching was officiated by Executive Director, UMW Industrial Equipment Group, Mr Kuah Kock Heng and Mr Tomohiro Okada, representative from Honda Motor Co., Ltd. , Japan.

    With Honda’s cutting edge design and technology, Honda EU series are the new generation of generators that are Environmentally Friendly, Compact, Lightweight, Portable and Quiet. The uniquely designed “Eco-Throttle” ensures longer continuous operation with superior fuel economy.

    Its range starts from the lightest space-age designed EU10i, a 1kVA generator weighing at just 13kg. The EU20i is a 2kVA generator weighing at just 21kg and the EU30is, a 3kVA generator, weighs at just 59kg. The flexibility of it all is that these generators (of same model) can be easily parallel linked to double up the power output requirement.

    The EU65is is designed for high quality electricity output with a clean waveform that is less than 2.5% distortion, which is suitable even for highly sensitive electronic equipment. It operates at an impressive noise level of only 60dB(A), much lower than the conventional types which operates at more than 70dB(A). In terms of weight, the EU65is is 35% lighter than its predecessor and comes with user friendly feature, i-Monitor, for quick display operation status and provides easy diagnosis.

    UMW Industrial Power forms strategic alliances with renowned multinational manufacturers and specialists to provide power solutions to its customers.

    Apart from Honda power products and Marine Outboard engines, UMW Industrial Power also represents CompAir Industrial Compressors, Cameron Turbocompressors, Mitsubishi and GE Industrial and Marine Engines. It has branches throughout West and East Malaysia.

  • UMW Records 71.2% Jump in Profit Attributable To Equity Holders
    UMW Records 71.2% Jump in Profit Attributable To Equity Holders

    Shah Alam, 17 August 2007 – The UMW Group today announced a net profit attributable to equity holders of the Company of RM106.8 million for the 2nd quarter ended 30 June 2007, a significant 71.2% or RM44.4 million higher than the RM62.4 million achieved in the preceding year’s corresponding quarter. Improved performance in the Automotive and Equipment segments, and higher contributions from associated companies resulted in the net profit growth.

    Group profit before taxation of RM167.8 million for the quarter ended 30 June 2007 was RM24.2 million or 12.6% lower than the RM192.0 million recorded in the preceding corresponding quarter. This was because Wuxi Seamless Oil Pipe Co., Ltd. (WUXI) became an associate company of the Group in the last quarter of 2006, where previously it was a subsidiary, pursuant to a pre-listing restructuring exercise. Accordingly, WUXI’s profit before taxation was not consolidated.

    Group revenue of RM2,504.7 million for the second quarter ended 30 June 2007 improved over the 2007 first quarter revenue of RM2,012.0 million by RM492.7 million or 24.5%. Similarly, the second quarter Group net profit attributable to equity holders of RM106.8 million was higher than the RM80.3 million recorded in the first quarter of 2007. Higher revenue and profit achieved by all the core business segments of the Group accounted for the increase in both Group revenue and net profit.

    Net profit attributable to equity holders of the Company for the six months ended 30 June 2007 improved to RM187.1 million from the RM125.5 million registered in the same period of 2006, an increase of RM61.6 million or 49.1%. Group profit before taxation for the six months ended 30 June 2007 of RM308.1 million was lower by RM44.9 million or 12.7% from the RM353.0 million registered in the same period of 2006. Improved performance of the Equipment segment and the increase in profit contributions from associated companies resulted in the higher net profit.

    Total Toyota and Perodua vehicle sales of 112,479 units represented 51.0% of the Total Industry Volume of 220,739 units for the six-month period ended 30 June 2007, as reported by the Malaysian Automotive Association.

    The Board expects the performance of the Group to continue to be satisfactory. The Oil & Gas sector remains strong with active exploration and development drilling activities undertaken by major oil companies. The Industrial and Heavy Equipment sectors continue to be robust with the increased industrial, construction, logging and mining activities. In addition, the favourable exchange rates have lowered the Group’s importation costs of products and components. The demand for motor vehicles is expected to improve in the second half of the year with the introduction of new models although Total Industry Volume is forecasted to be lower this year versus the preceding year.

  • UMW Announces Acquisition Of 14.9% Equity Interest in Indian Listed Company
    UMW Announces Acquisition Of 14.9% Equity Interest in Indian Listed Company

    Shah Alam, 24 July 2007 – UMW today announced that its subsidiary, UMW India Ventures (L) Ltd. (UMW India), has completed a transaction with ICICI Securities Ltd., for the acquisition of 6,599,100 ordinary shares of INR10 each, which represents approximately 14.9% of the total issued and paid-up share capital of Oil Country Tubular Limited (OCTL) for a total cash consideration of INR493,612,680 or approximately RM41.96 million.

    OCTL is a public company listed on the Bombay Stock Exchange and the National Stock Exchange (India), with a registered office located in Hyderabad. It is the only finishing mill in India producing a wide range of Oil Country Tubular Goods, including casings, tubings, drill pipes, drill collars and rotary subs and cross overs.

    Currently, OCTL purchases its green pipes locally in India as well as imports from overseas to meet its operational needs. However, upon completion of the construction of a seamless tubular plant at Andhra Pradesh, India by United Seamless Tubular Private Limited (USTPL), OCTL is expected to be a major customer of USTPL. As announced recently, USTPL will eventually be a 50% jointly-controlled entity owned by UMW India and United Steel Allied Industries Private Limited, and will be involved in the manufacture of seamless tubular green pipes for both Oil & Gas and industrial applications. Strategic location and close proximity of both OCTL and USTPL will contribute synergistic benefits to both companies.

  • UMW Compensates Serendah Ex-Estate Workers With
    UMW Compensates Serendah Ex-Estate Workers With

    Shah Alam, 18 July 2007 - Dato’ G. Palanivel, Deputy Minister, Ministry of Women, Family & Community Development today witnessed the signing of the transfer of 8-acres of UMW land in Serendah, valued at RM2.0 million, as compensation to ex-workers of the New Serendah Estate, through RV Global Sdn. Bhd., which acts as a legal entity to represent the ex-workers.

    The Transfer Agreement was signed by Dato’ Dr Abdul Halim Harun, UMW Group Managing Director & CEO and En Meor Mohar Azhar Abd Ghani, Executive Director, on behalf of UMW Corporation Sdn. Bhd., whilst Mr A Ramarao and Mr A Kohilan Pillay, Managing Director and Director, respectively, signed on behalf of RV Global Sdn. Bhd..

    Also present at the ceremony were Tan Sri Asmat Kamaludin, UMW Group Chairman, senior MIC officials, representatives of New Serendah Estate and senior management of UMW Group.

    When UMW acquired the New Serendah Estate Land from the Selangor State Government in 1992, there were 136 ex-estate workers occupying the workers’ quarters on UMW’s land. On compassionate grounds, UMW allowed them to continue staying at the quarters with free water supply and subsidized electricity.

    Over the years, UMW went through numerous discussions and negotiations with representatives of the New Serendah Estate and other related parties, on how best to compensate the 136 ex-estate workers who were affected by UMW’s purchase of the Serendah land.

    In August 2006, the UMW Holdings Board of Directors approved a proposal to transfer the 8-acres of land to RV Global Sdn. Bhd., which will act for the interest of the 136 ex-estate workers. RV Global will undertake to further sub-divide the land for the construction of houses, as well as build a community hall and a playground for the ex-estate workers and their families.

    In his speech on behalf of UMW Corporation, En Meor Mohar Azhar Abd Ghani said, “YB Dato’ Palanivel, in his capacity as the Hulu Selangor Member of Parliament, has been instrumental in enabling UMW Corporation and the ex-workers of Syarikat Ladang New Serendah Estate to reach a mutually agreeable solution to resolve this particular issue. In spite of his tight work schedule, as a Deputy Minister and a member of Parliament, he has made the time to ensure that this amicable settlement is made possible.”

    He added, “On UMW’s part, the transfer of the land to RV Global signifies the fulfillment of our social responsibility to the Serendah ex-estate workers community. We are glad that the parties concerned have been able to resolve all related issues amicably.”

  • UMW Employees to Graduate from SEGi College & University Of Sunderland, UK
    UMW Employees to Graduate from SEGi College & University Of Sunderland, UK

    Shah Alam, 21 June 2007 – YB Datuk Ong Tee Keat, Deputy Minister of Higher Education today witnessed the signing of agreement between UMW & SEG International Berhad (SEGi) and officially launched the UMW Executive Diploma In General Management (EDGM) Programme in Shah Alam for UMW employees.

    The collaboration between UMW & SEGi will focus on the development of potential rank and file UMW employees who do not have tertiary education but now holding a Supervisor or Executive position. This programme is also developed for those who possess tertiary education but not in line with their current job functions. Successful participants of the programme will receive a diploma from UMW, SEGi College and the University of Sunderland, UK, an articulation partner of SEGi’s. A total of 24 employees have registered for the 9-12 month programme which commences in June 2007. Classes will be conducted once every 2 months at the college or off-campus venue for the residential programme and the duration of each session is between 5-6 days. Employees from Sabah and Sarawak will be flown-in to attend the programme at SEGi campus in Petaling Jaya.

    The 8-modules programme will cover topics such as International Business, Business Management, Principles of Marketing, Human Resource Management, Financial Management, Negotiation and Decision Making, Business Research and a Graduation Project. Participants are required to complete the Graduation Project by the end of the modules by submitting a dissertation of between 5,000 and 7,000 words. The UMW employees pursuing the EDGM will graduate in March-April next year and will be bonded to UMW for 3 years.

    Dato’ Dr. Abdul Halim Harun, UMW Group Managing Director and Chief Executive Officer in his welcoming remarks said “The EDGM Programme is the latest manifestation of UMW’s strategic, structured and continuous development programme that aims to enhance the skills and knowledge of our workforce. At the same time, it serves to promote life-long learning amongst UMW employees, something that is fully supported by the UMW management.”

    YB Datuk Ong in his speech praised UMW for taking positive measures to promote and support adult learning and the acquisition of skills and knowledge amongst its employees. He added the step taken by UMW is in line with the Government’s resolve to enhance the human capital quality.

    SEGi College is one of the largest higher education and training providers in the country. It currently serves more than 13,500 students at its six campuses in Subang Jaya, Kuala Lumpur, Petaling Jaya, Penang and Kucing. It offers a wide range of programmes of certificate, diploma and degree levels. Students at SEGi have the opportunity to pursue their studies in various disciplines from business and accountancy, engineering and IT, creative arts and design, early childhood education to nursing, American Degree Programmes to Hotel & Tourism management, life sciences and professional courses. SEGi also offers the popular Master of Business Administration (MBA) programme in collaboration with the University of Southern Queensland Australia.

  • Financials: UMW Announces Higher Profit Attributable To Equity Holders
    Financials: UMW Announces Higher Profit Attributable To Equity Holders

    Shah Alam, 16 May 2007 – The UMW Group today announced an increase in net profit attributable to the equity holders of the Company for the first quarter ended 31 March 2007. The increase from RM63.1 million to RM80.3 million, an increase of 27.3%, was due to improved performance of and contributions from the Equipment and Oil & Gas segments.

    Group revenue of RM2,012.0 million for the first quarter ended 31 March 2007 was lower than the RM2,346.6 million registered in the preceding year’s corresponding quarter by 14.3% or RM334.6 million. This was mainly due to lower vehicle sales and the deconsolidation of the financial statements of Wuxi Seamless Oil Pipe Co., Ltd. from 15 November 2006, when it became a 30.6%-owned associated company of the Group. Correspondingly, the Group recorded a lower profit before taxation of RM140.3 million compared to RM161.0 million achieved in the preceding corresponding quarter, reflecting a decrease of RM20.7 million or 12.9%.

    Combined Toyota and Perodua vehicle sales of 51,483 units represented 49.0% of the total industry volume of 104,950 units for the first quarter of 2007, as reported by the Malaysian Automotive Association.

    The Board expects the performance of the Group for 2007 to be satisfactory with the anticipated improvement in net profit contributions from the Oil & Gas and Equipment segments. In addition, the contribution from the Automotive segment is forecasted to be higher in the second half of the year, with the anticipated increase in motor vehicle sales.

  • UMW Industries Introduces “Green Cleaning” New Tennant M20 Single-System Scrubber- Sweeper with FloorSmart
    UMW Industries Introduces “Green Cleaning” New Tennant M20 Single-System Scrubber- Sweeper with FloorSmart

    Shah Alam, 30 March 2007 – UMW Industries (1985) Sdn. Bhd. (“UMW Industries”) a wholly-owned subsidiary of UMW Holdings Berhad has introduced Tennant’s revolutionary M20 Scrubber-Sweeper, the cleaning industry’s first-ever integrated, single-system scrubber-sweeper. The newest addition to the company’s impressive portfolio of industrial products was unveiled during a “Green Cleaning” Seminar organised at UMW’s corporate office in Shah Alam on 29 March 2007.

    The M20 is the only industrial floor cleaning machine that eliminates the complexity of traditional sweeper-scrubbers by combining a scrubber and a sweeper into a single system called FloorSmart™ with a high-capacity, high-dump hopper and dry dust control, allowing the M20 to deliver superior cleaning results at a dramatically lower total cost of ownership. The M20 is an easy-to-use, simple-to-maintain integrated scrubber-sweeper with dramatically fewer moving parts resulting in more uptime, less downtime, and the maximum in long-life productivity.

    “Tennant Company has a proud history of developing new cleaning technologies that meet our industrial customer's needs. The Tennant M20 continues this legacy,” said Lee Chong Kuan, Assistant General Manager of UMW Industries. “The M20 comes with outstanding cleaning performance that lowers our customer's total cost of ownership. It is a perfect choice for food & beverage factories, automotive plants, warehouses and also the building service contractors that need easy-to-use and hygienic machines. With the launch of the Tennant M20, we aim to increase our current share to 50% in Malaysian industrial cleaning equipment market ".

    The new Tennant M20 innovations includes among others the FaST® (Foam-activated Scrubbing Technology)— a patented system that is safer for the environment as it uses 70% less water and 90% less detergent. It increases productivity by running up to 3 times longer than conventional scrubbing.

    Mr Ian Holt, Area Manager / Trainer of Tennant Company, USA was the speaker for the Green Cleaning seminar. He shared the latest trends and insights on “Green Cleaning”, the importance of “Green Cleaning” especially with global warming, rising energy prices and environmental degradation causing worldwide concern.

    UMW Industries also distributes Toyota material handing equipment, BT and Raymond warehouse trucks, Aichi and Tokai industrial tyres, Fulmen and Dynamic industrial batteries, as well as offers services such as comprehensive forklift operators & safety training programmes, fleet management and warehouse consultancy. Minneapolis-based Tennant Company is a world leader in designing, manufacturing and marketing solutions under the TennantÂŽ and NoblesÂŽ brands. Tennant Company products include equipment for maintaining surfaces in industrial, commercial and outdoor environments and coatings for protecting, repairing and upgrading concrete floors 

  • UMW Industrial Power Introduces Hassle-Free Compressed Air Management (UMW CAM)
    UMW Industrial Power Introduces Hassle-Free Compressed Air Management (UMW CAM)

    Shah Alam, 29 March 2007 - UMW Industrial Power Sdn. Bhd., a wholly-owned subsidiary of UMW Holdings Berhad offers a wide and diversified fleet of COMPAIR and COOPER brands of air compressors ranging from 30 – 5000 horsepower, to meet its customers’ individual requirements. Recognizing customers’ need for a convenient and hassle free solution for quality compressed air, UMW Industrial Power introduced the UMW CAM at a Compressed Air Management seminar held on 28 March 2007 at the UMW Corporate office in Shah Alam.

    The seminar was attended by senior managers, financial managers and accountants from the semiconductors, electronic and electrical, food and beverages and tobacco sectors.

    UMW CAM is a partnership agreement package where UMW Industrial Power undertakes the total management and responsibility of a customer’s compressed air system after a systematic evaluation process is done and is based on merit.

    Mr Peter Chin, Sales and Marketing Manager of UMW Industrial Power Sdn. Bhd. said, “The trend of many organizations is not owning an equipment but moving towards leasing, renting, outsourcing, etc, thus freeing customers from having to incur capital expenditure. Examples are real estate investments (REITS), air crafts, company vehicles, photocopying machines.”

    Under this package, UMW CAM personnel will first visit a customer’s facility or plant to assess the customer’s compressed air system, its needs and wastage level. Next, an in-depth air audit of the system will be carried out, taking into consideration aspects such as energy conservation, compressed air system configurations, air use and leakage, air quality, as well as air flow and pressure. Upon identification of current air system performance, UMW Industrial Power will then analyze and propose an innovative alternative using the CAM approach. Thus, the introduction of CAM will enhance system performance, and allows customers to focus on their core businesses.

    UMW Industrial Power forms strategic alliances with renowned multinational manufacturers and specialists in Industrial Compressors, Industrial Marine Engines and Portable Power Products. It partners with leading multinational corporations like COMPAIR, COOPER, MITSUBISHI, GE and HONDA. It has branches throughout Malaysia in Butterworth, Ipoh, Johor Bahru, Kuantan, Kuching, Sibu and Miri. In Kota Kinabalu, it is represented by its authorized dealer, UMW Industries (1985) Sdn. Bhd..

  • UMW Claims Another Record Year For 2006
    UMW Claims Another Record Year For 2006

    Shah Alam, 27 February 2007 – The UMW Group today announced a profit before taxation of RM756.9 million for 2006, an increase of RM99.4 million or 15.1% higher than the RM657.5 million registered in 2005. The higher profit before taxation for the Group was attributed to higher profit from the Oil & Gas and Equipment business segments coupled with improved profit contributions from associated companies in the Group.

    Group revenue of RM9,938.9 million for the year ended 31 December 2006 was marginally higher than the RM9,868.8 million registered in the same period of 2005 by RM70.1 million or 0.7%. Lower total sales volume of Toyota vehicles resulted in lower revenue for the Automotive segment which was offset by the higher revenue from the Oil & Gas business segment.

    Total Toyota and Perodua vehicle sales of 237,227 units for the year ended 31 December 2006 was 2.8% higher than the 230,683 units registered in the year 2005. The twelve months’ sales volume represented 48.3% of the total industry vehicle sales volume of 490,768 units, as reported by the Malaysian Automotive Association.

    Group revenue of RM2,571.3 million for the fourth quarter ended 31 December 2006 was marginally higher than the third quarter revenue of RM2,528.3 million, the overall net increase of RM43.0 million coming from the higher revenue of the Automotive segment. However, the Group recorded a marginally lower profit before taxation of RM200.6 million for the fourth quarter ended 31 December 2006 compared to RM203.3 million registered in the preceding quarter ended 30 September 2006.

    Although there was a higher profit contribution from the Oil & Gas business segment, overall group profit before taxation of RM200.6 million was lower than the RM218.1 million achieved in the preceding year’s corresponding quarter by RM17.5 million or 8.0%, due to lower sales of Toyota and Perodua vehicles in the fourth quarter of 2006.

    The Group expects the economy of the country to be robust and consumer sentiment positive with the implementation of the Ninth Malaysia Plan. The Automotive sector will continue to be competitive with new models coming from the ASEAN Region. However, total industry volume for motor vehicles is forecasted to increase marginally. The Oil & Gas sector remains strong with active exploration and development drilling activities undertaken by major oil companies. Increased logging and mining activities should result in greater demand for heavy equipment and services. The anticipated strengthening of Ringgit Malaysia coupled with the weakening of the Japanese Yen against the US Dollar should lower the importation cost of products for the Group. Based on the above factors, the Group is expected to achieve a satisfactory level of profitability for the year 2007.  

  • Official Opening of UMW Galeriku by YB Tan Sri Senator Nor Mohamed Yakcop
    Official Opening of UMW Galeriku by YB Tan Sri Senator Nor Mohamed Yakcop

    Shah Alam, 25 February 2007 – YB Tan Sri Senator Nor Mohamed Yakcop, Second Finance Minister, today officiated the opening of UMW GaleriKu in Shah Alam. UMW GaleriKu showcases UMW’s long and colourful history from its beginnings which can be traced back to 1917, to the present day, where it has expanded across the globe, with varied and diversified businesses.

    Also present were local and foreign dignitaries, senior government officials, UMW’s business partners, principals, UMW board members and senior management.

    Dato’ Dr. Abdul Halim Harun, UMW Group Managing Director & Chief Executive Officer, said in his welcoming remarks “GaleriKu encapsulates UMW. It is a pictorial depiction of what UMW is all about – from a family-owned business to the present corporate entity whose businesses are diverse and varied. It tells the story of the UMW Group, its current profile, its history, its growth and achievements, its people, and its corporate heritage.. It pays tribute to the founder and to the leaders who have served the UMW Group with distinction. UMW GaleriKu also acknowledges the long-standing and greatly valued relationships that we have nurtured with our many principals, partners and associates, from the early years to the present time. In short, the gallery takes us on a short journey through the UMW Road.”

    Occupying a space of 4,521sq ft, UMW GaleriKu is located at the Ground Floor of UMW’s Corporate Building, Shah Alam. Many interesting items are displayed at the gallery, which include a Toyota Corolla – KE 10, which was the first Corolla series assembled in 1968 by Assembly Services Sdn. Bhd., an oil rig scale model, insights into car assembly and rig operations, innovative interactive screens and displays of UMW Group’s business and community activities.

    In addition to the Group’s previous contributions to the Johor flood victims, UMW pledged RM25,000 in kind, to assist school going children who were affected by the floods. This sum will be used to purchase school items such as books, stationery, shoes, uniforms and bags. Before this, the UMW Group had contributed 5 units of power generators to overcome the power shortage problems that the flood victims were experiencing at the Johor relief centers. UMW Toyota Motor had also donated RM50,000 in cash to the Malaysian Red Crescent Society to help flood victims and offered special packages to service Toyota vehicles that were damaged by the floods.

    In addition to UMW’s contributions, its associate company. Perusahaan Otomobil Kedua Sdn. Bhd. (PERODUA), also donated 4 units of Perodua Rusa to the Malaysian Red Crescent Society at the same ceremony. YBhg Tan Sri Asmat Kamaludin, who is the UMW and Perodua Chairman, presented the mock Rusa key to the Honourable Minister who later handed the same over to the Malaysian Red Crescent Society for their use to help ease the burden of flood victims.

  • UMW Niugini Ltd. Secures Contracts Worth USD135 Million from Morobe Consolidated Goldfields Limited
    UMW Niugini Ltd. Secures Contracts Worth USD135 Million from Morobe Consolidated Goldfields Limited

    Shah Alam, 18 January 2007 – UMW Niugini Limited, a wholly-owned subsidiary of UMW Corporation Sdn. Bhd. based in Papua New Guinea (PNG) recently signed two major mining contracts with Morobe Consolidated Goldfields Limited, a company based in Papua New Guinea and wholly-owned by Harmony Gold Mining Company Limited. The contracts, worth approximately USD136 million, were signed on 22nd November 2006 by Mr Peter Leece, General Manager, UMW Niugini Limited on behalf of UMW while Mr Johannes van Heerden, the Chief Financial Officer, Harmony Gold Australia, signed for Morobe Consolidated Goldfields Limited.

    The first contract, valued at USD35.1 million is for the supply of 37 units of Komatsu Mining Equipment and 8 units of Atlas Copco Blasthole Drills for the Hidden Valley Gold project, which is located on the main mountain range of PNG, approximately 280 km north of the capital, Port Moresby. The equipment will be supplied in five fleets, the first to be delivered in March 2007 and the last, in March 2008. The contract also provides for an option for additional 10 units of Komatsu Mining Equipment with a value of approximately USD 8.5 million for 2008 delivery.

    The second contract is for the maintenance of the mining and construction equipment for a 10-year period with an estimated annual value of USD10 million. This will cover maintenance and repairs, including labour, spare parts and logistics.

    Says Mr Chew Chee Loon, Executive Director, Heavy Equipment Group, UMW Corporation Sdn. Bhd., “Harmony Gold Mining Company Limited, a public listed company based in South Africa is the fifth largest gold producer in the world with operations in South Africa, Australia and Papua New Guinea. It acquired Morobe Consolidated Goldfields Limited in 2004.” He added, “The Hidden Valley project is a major investment for Harmony Gold in PNG. The mine development and construction has commenced operations and will be completed by end of fourth quarter of 2008. The mine will produce approximately 285 000 ounces of gold annually. The company is a major employer in the Morobe Province.”

Did you know?

UMW is the first Malaysian company to be awarded the prestigious Global Reporting Initiative (GRI) Application Level A (+) Certification for its Corporate Social Responsibility (CSR) reporting.

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