Datasonic Group Berhad Annual Report 2021

2021 ANNUAL REPORT 23 Dear Valued Shareholders, The financial year under review was a demanding and challenging year for all of us at Datasonic as we navigated through unprecedented market challenges stemming from the Coronavirus Disease 2019 (“COVID-19”). It was a testing time but nevertheless, we dug deep and prevailed by leveraging on our vast experience, established track record and strong balance sheet as a prominent security-related information and communications technology (“ICT”) solutions provider. Datasonic achieved a commendable set of results for the financial year ended 31 March 2021 (“FY2021”), as we posted a revenue and profit attributable to the owners of the Company (“net profit”) of RM138.4 million and RM7.3 million respectively. OPERATIONAL REVIEW Going into FY2021, the Group was looking forward to an exciting year premised upon the opportunities ahead of us. However, these were all put on hold when the COVID-19 pandemic hit our shores and the resultant imposition of the first movement control order (“MCO”). While this was a critical and necessary measure, it had put our country on the back foot. In adherence to this, we had also temporarily halted our operations on 18 March 2020 and swiftly implemented our business continuity plan (“BCP”) to ensure all our business activities continue to function accordingly. As part of our BCP, we implemented flexible working arrangement such as work from home and split team working, to protect the health and welfare of our employees while ensuring smooth operations of our business. Additionally, we have been fully complying with the stringent StandardOperatingProcedures (“SOP”) imposed by Majlis Keselamatan Negara (“MKN”) at our head office, project / site offices as well as our manufacturing plants since we resumed operations. Concurrently, the Group established an emergency response team to closely monitor and manage the situation at Datasonic. We also conducted COVID-19 screenings for all our employees across all offices and manufacturing plants. Credit goes to our Management team and employees for their joint effort in strengthening our operational flexibility, which was especially vital during this restraining time. Construction of our new identity document (“ID”) and financial card manufacturing plant in Meru, Klang was completed in early 2020. Subsequently, it was certified by Malaysia’s Chief Government Security Office (“CGSO”) as a Government gazetted area, which is designated as a highly secured area. This has boosted our production capacity for Malaysia National ID (“MyKad”) and other cards for all of our clients. MANAGEMENT DISCUSSION & ANALYSIS Figure 1 - Datasonic’s new manufacturing facility in Meru, Klang, Selangor