Wah Seong Corporation Berhad Annual Report 2020

75 ANNUAL REPORT 2020 DIRECTORS’ REPORT The Directors hereby submit their report and the audited financial statements of the Group and of the Company for the financial year ended 31 December 2020. PRINCIPAL ACTIVITIES The principal activities of the Company are investment holding and provision of management services to its subsidiaries. The principal activities of the Group consist of specialised pipe coating and corrosion protection services; Engineering, Procurement and Construction (“EPC”) of gas compressors and process equipment; renewable energy and infrastructure materials and services. There have been no significant changes in the nature of these activities during the financial year. FINANCIAL RESULTS Group Company RM’000 RM’000 Net loss for the financial year attributable to: - Owners of the Company 295,149 98,670 - Non-controlling interests 11,553 - Net loss for the financial year 306,702 98,670 DIVIDENDS The dividends paid or declared since the end of previous financial year were as follows: In respect of financial year ended 31 December 2020: On 18 February 2020, the Directors declared a first interim dividend of 1.00 sen per share comprising: a) Single tier cash dividend of 0.40 sen per share amounting to RM3,081,845; and b) Single tier share dividend of 3,849,884 treasury shares distributed to the shareholders of Wah Seong Corporation Berhad (“WSC”) on the basis of one (1) WSC treasury share for every two hundred (200) existing WSC ordinary shares held at the entitlement date on 12 March 2020. Based on the share price of WSC shares of RM1.20 each as at 31 December 2019, the value of the share dividend per WSC share was equivalent to a gross cash dividend of 0.60 sen per share. The first interim dividend was paid/credited into the entitled shareholders’ securities accounts on 8 April 2020. The Directors did not recommend the payment of any final dividend in respect of the financial year ended 31 December 2019 and 31 December 2020. RESERVES AND PROVISIONS All material transfers to or from reserves and provisions during the financial year are shown in the financial statements. ISSUE OF SHARES AND DEBENTURES The Company did not issue any shares and debentures during the financial year.