Kimlun Corporation Berhad Annual Report 2020

MANAGEMENT DISCUSSION AND ANALYSIS Property Development Division 5IF (SPVQ QMBOT UP MBVODI UIF GPMMPXJOH QSPQFSUZ EFWFMPQNFOU QSPKFDUT BSPVOE NJE PG J VOJUT PG CVOHBMPXT JO #VLJU #BZV 4FLTZFO 6 4IBI "MBN 4FMBOHPS XJUI FTUJNBUFE HSPTT EFWFMPQNFOU WBMVF i(%7w PG approximately RM37 million; and JJ VOJUT PG TFNJ EFUBDIFE IPVTFT JO #BOEBS 4FSJ "MBN +PIPS XJUI FTUJNBUFE (%7 PG BQQSPYJNBUFMZ 3. NJMMJPO 5IF (SPVQ XJMM DPOUJOVF UP GPMMPX VQ DMPTFMZ PO UIF DPODMVTJPO PG UIF TBMF PG JUT VOJUT PG SFGVSCJTIFE CVOHBMPXT JO #VLJU #BZV 4FLTZFO U10, Shah Alam, Selangor, which was launched in mid of 2020, at unit selling price of RM2.15 million and above. As at 31 March 2021, sales and purchase agreements have been executed for 20 units of the bungalows, while booking for another 3 units have been received. We have entered into agreements to acquire the following properties (collectively “New Lands”) to increase our land bank to ensure the availability of land for future development: NEW LAND BANK IN THE PIPE LINE Location Purchase Price (RM) Expected Completion of Acquisition Land Area, Tenure and Land Use On Completion of the Acquisition Within Meridin East township which is about 2.5km away from the Senai-Desaru Highway, and approximately 28km from Johor Bahru City Centre 22 million Last quarter of 2023 17.90 acres freehold commercial land/ commercial development Situated next to Alam Damai, Cheras, Kuala Lumpur, about 12 kilometers south-east of Kuala Lumpur City Centre 95 million Last quarter of 2021 9 pieces of freehold agriculture land with aggregate land area of 43.46 acres/mixed development Within Bandar Seri Alam, Johor 40.5 million Third quarter of 2021 2 plots of freehold commercial land with aggregate land area of 11.12 acres/ commercial development The purchase consideration of the New Lands is expected to be satisfied by internally generated funds and bank borrowings. For illustrative QVSQPTF BTTVNJOH PG UIF QVSDIBTF DPOTJEFSBUJPO JT GJOBODFE UISPVHI CBOL CPSSPXJOHT BOE GVMMZ ESBXO EPXO BT BU %FDFNCFS UIF (SPVQ T OFU HFBSJOH SBUJP JT FYQFDUFE UP JODSFBTF GSPN UIF BVEJUFE SBUJP PG UJNFT BT BU %FDFNCFS UP UJNFT 6QPO UIF DPNQMFUJPO PG UIF BDRVJTJUJPOT UIF UPUBM MBOE CBOL PG UIF (SPVQ XJMM JODSFBTF UP BDSFT DIVIDEND POLICY While we do not adopt a formal dividend policy, our Company has been declaring dividends every year since its listing on the Main Market of Bursa Malaysia Securities Berhad in 2010. In respect of FY2020, the Board recommends a final single tier dividend of 1.0 sen per share. 5IF SFDPNNFOEFE GJOBM EJWJEFOE SFQSFTFOUT B QBZ PVU SBUJP PG BQQSPYJNBUFMZ PG ': T QSPGJU BUUSJCVUBCMF UP PXOFST PG UIF $PNQBOZ Our Company is always mindful to reward our loyal shareholders who have supported our growth over the years while trying to strike a balance with the funding needs at our different development phases. Kimlun Corporation Berhad Registration No. 200901023978 (867077-X) 025