Presented by Koh Mei Lee

1
PPB GROUP BERHAD
FINAL RESULTS YEAR ENDED 31 DEC 2004

• Presented by Koh Mei Lee

2
Agenda
1. Group Financial Highlights
2. Dividend Record
3. Share Information
4. Groups Major Activities in Year 2004
5. Corporate Development
6. Expansion/ Future Plans
3
Financial results
4
Segmental information 2004
Grains trading, flour feed milling 7
Edible oils refining trading 73
Sugar cane 6
Others 6
Revenue Total RM11 billion
Oil palm plantations 5
Property 1
Waste management utilities 1
Film exhibition1
5
Segmental information 2004
Grains trading, flour feed milling 7
Sugar cane 23.2
Edible oils refining trading 19
Others 8.6
Operating Profits Total RM602 million
Oil palm plantations 36
Property 4
Waste management utilities 0.2
Film exhibition2
6
Major contributors to group operating profit
8

• Sugar refining and cane plantations
• Contributed by MSM(100 subsidiary) and PPB
  Chuping.
• Lower profits due to
• Higher raw material prices.
• Grain trading, flour and feed milling
• Held under FFM Berhad (100 subsidiary).
• Lower profits due to
• Higher raw material prices.
• Higher ocean freight rates.

156
143
52
89
Yr 2003
Yr 2004
43
Yr 2003
Yr 2004
7
Major contributors to group operating profit

• Edible oils refining
• Held through PGEO Group Sdn Bhd (100
  subsidiary).
• Achieved significantly better results due to
• Higher edible oils prices and refining margin.
• Higher sales volume.
• Oil palm plantations
• Held through PPBOP (55.6 subsidiary).
• Recorded higher profits due to
• Higher crop production.
• Higher palm product prices.

33
224
168
29
115
89
Yr 2003
Yr 2004
Yr 2003
Yr 2004
8
Major contributors to group operating profit

• Waste management and utilities
• Undertaken by Chemquest Group (55 subsidiary).
• Lower profits due to
• Preliminary expenses incurred for its projects in
  China.
• Chemquests share of its associates results
  was RM14.1 million.
• Film exhibition
• Undertaken by GSC (54.2 subsidiary).
• Increase in profits due to
• Consistent supply of quality films.

16
12
10
53
3
1
Yr 2003
Yr 2004
Yr 2003
Yr 2004
9
Major contributors to group operating profit

• Property
• Mainly undertaken by PPB Hartabina S/B (100
  subsidiary).
• Marginally lower profits due to lower unit sales
  of the Phase II Bukit Segar Residential project.
• However, profit margins for Phase II is higher
  compared with Phase I due to increase in selling
  prices.
• Others
• Mainly include livestock farming, packaging,
  shipping, manufacturing and trading.
• Main increase in profits due to -
• Manufacturing and trading (up RM17 million)
• Shipping (up RM12 million)

117
54
6
30
28
25
Yr 2003
Yr 2004
Yr 2003
Yr 2004
10
Share of associates/ JVs results
47

• Reason for lower profits contribution -
• Commodity trading division experienced difficult
  trading conditions.
• Listing of MBC in Dec 2003 has changed its status
  from an associate company to Other Investment of
  the group.

Y2003
Y2004
11
PBT for 5 years
80 growth
12
Cash and borrowings
13
Dividend
14
Share performance
907
RM6.80
RM6.45
RM6.80
872
788
Year 2004
Year 2003 increase Average Daily Volume
286,222 218,533 31
Yr2004
Yr2005
15
Major activities in year 2004
Flour milling

• Expansion into Thailand
• Acquired 43.35 equity interest in Kerry-Glory
  Flour Mills Co.Ltd at Baht 329,454,414
  (equivalent to RM30.7 million).
• Principally involved in wheat flour milling and
  distribution and owns a 250mt/day flour mill in
  Samutprakarn, Thailand.
• This investment will enable FFM Group to further
  enjoy the benefits of bulk purchasing of raw
  materials as well as synergies in freight
  arrangements of wheat flour shipment in the ASEAN
  region.
• Enhance the Groups operational efficiency in
  wheat flour milling activities by upgrading
  current mills and building new mills.

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Major activities in year 2004
Edible oils refining

• Entered into a joint venture to construct and
  operate an edible oils and fats processing
  facility in Rotterdam, Netherlands.
• PGEO Group Sdn Bhd and KOG Investments Pte Ltd
  hold 35 and 65 respectively in KOG Edible Oils
  BV (KOGBV).
• Strengthen the groups presence in European
  market on palm oil products.
• KOGBVs issued and paid up capital is Euro 12
  million and total capital investment for the
  project is estimated at Euro 27.7 million.
• Processing capacity about 300,000MT per annum.
• Expected to commence operations in September 2005.

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Major activities in year 2004
Oil palm plantations

• Commissioned its eighth CPO mill (40tph) in
  Suburmas estate, Sarawak.
• PPBOP expanded its land bank in Indonesia by
  50,322ha with the acquisition of three companies
  in Central Kalimantan.

In early 2005, PPBOP acquired another 16,867 ha
of land in Kalimantan, bringing PPBOPs landbank
to 210,788 ha.
18
Major activities in year 2004
Waste management and utilities

• CWM completed three projects with a combined
  contract value RM84.8 million.
• The projects were -
• Bayan Baru Sewage Treatment Works
• Wangsa Maju Booster Pumping Station and Ancillary
  Works
• Contruction of Sludge Treatment Plant at Sungei
  Semenyih
• Chemquest Group as part of a consortium, secured
  a 30-year concession to process and deliver
  treated water to Hohhot, the capital city of
  Inner Mongolia, China.

19
Major activities in year 2004
Film exhibition

• Opened GSC, Gurney Plaza a 12-screen multiplex in
  January 2004.
• Launched its E-Cinema at Mid-Valley and Gurney
  Plaza.

Property

• Handed over to the homeowners the following -
• Bukit Segar Phase II development
• Taman Sinar Mentari Phase I
• Launched Segar Courts apartment project in July
  2004 which is expected to generate sales of RM17
  million.
• Refurbished Cheras LeisureMall at total cost of
  RM13 million and launched its new look in
  December 2004.

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Corporate development

• Bonus issue
• Proposed 1 for 1 bonus issue.
• Approval is required from shareholders and Bursa
  securities.
• Expected completion by end-June 2005.

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Capital commitments as at 31 Dec 2004
Capital Commitments
RM350.8 million
RM243.8m
RM68.6m
RM17.6m
RM11.5m
RM9.3m
PPBOP
FFM
PPB Leisure
PPB Hartabina
MSM, Chemquest and others
In addition to the above, FFM has further
increased its capital commitment by RM60 million
for the upgrading and expansion of the processing
plants in PGEO Group of companies.
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Capital commitments as at 31 Dec 2004
Main Capital Commitments
PPB HARTABINA
PPB LEISURE
FFM
PPBOP
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Expansion/ future plans

• Sugar
• Further enhance its operating efficiency.
• Focus on energy savings projects.
• Flour milling
• Construction of 2nd flour mill in Pulau Indah
  which is scheduled for completion by mid-2005.
• To continually seek for new flour milling
  business opportunities in the ASEAN region.
• Animal feed milling
• Construction of the sixth feed mill in Pulau
  Indah which is scheduled for completion in April
  2005.

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Expansion/ future plans

• Oil palm plantations
• Focus on developing its sizeable landbank in
  Indonesia.
• Waste management and utilities
• Continue to work with strategic partners and
  participate in open tenders for new projects.

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Expansion/ future plans

• Film exhibition
• Opened Berjaya-GSC a 9-screen multiplex in
  January 2005.
• Secured new cinemas sites at -
• Bandar Utama Phase II (13 screens) targeted to
  open in mid 2005.
• KL Pavillion (13 screens) targeted to open in
  mid 2007.

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Expansion/ future plans

• Property
• Development projects at -
• Penangs New World Park retail and F B
  kiosks concept.
• Bukit Segar, Cheras high-end residential
  project and currently pending approvals from
  relevant authorities.
• Bukit Tengah, Seberang Prai residential
  development.
• Bedong, Kedah residential and commercial
  development.

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The End