Over the decades, we have developed an agility to adapt to ever-changing conditions. This, together with a diverse product portfolio, balanced geographical footprint and strategies outlined for our three business pillars – Food & Beverages Malaysia (F&B Malaysia), Food & Beverages Thailand (F&B Thailand) and Exports – enabled us to deliver another solid financial scorecard for FY2019.
Focus on our growth drivers of Innovation, Cost Competitiveness and Excellence in Execution has led to an overall improvement in sales performance for the Group. F&NHB’s revenue for the year increased by 5.3 per cent to RM4.08 billion. Supported by favourable commodity prices and internal efficiencies, Group profit before tax rose 25.7 per cent, crossing the half billion Ringgit mark for the first time (excluding divestment gains) to reach RM533.0 million.
VALUE CREATION FOR OUR STAKEHOLDERS
We are driven to perform well to support our business objectives as well as to create sustainable value for our key stakeholders including our shareholders, consumers, customers, trade partners, employees and the communities where we operate in.
I am pleased to share that, for FY2019, we are declaring a total dividend of 60.0 sen per share (2018: 57.5 sen per share). This comprises an interim single tier dividend of 27.0 sen per share amounting to approximately RM99.0 million, which was paid on 13 June 2019; and a final dividend of 33.0 sen per share, if approved at our Annual General Meeting. Our share price, meanwhile, has continued to perform steadily.
We exist for our consumers and place the highest priority on delighting them with our products as we stay true to our brand promise of ‘Pure Enjoyment, Pure Goodness’. This year, we focused more intently on catering to demand for healthier choices and successfully reformulated a large portion of our ready-to-drink (RTD) beverages to below 5g sugar per 100ml, representing 90 per cent of the ready-to-drink beverages volume we sold today. The key achievement is maintaining the great taste that our consumers love.
Our trade partners are important to our success, serving as a conduit to our consumers. Striving to be a partner of choice, we made a conscious decision to deal with more customers directly to ensure the best quality service and build loyalty along with strengthened relationships. Many of our distributors and customers have been serving F&NHB for generations. We truly cherish these business partners and seek to ensure their continuous growth with the Group.
The Board and management are in complete unison when we say that our people are the most important driver of the company’s growth. To become the leading total beverages player in the region, we rely on the capabilities, creativity and collaboration of our people. Accordingly, we nurture our talent and provide development opportunities that support their professional ambition.
Placing top priority on our employees’ well-being, F&NHB enhanced our health, safety and environment (HSE) framework this year by setting up Safety and Health Committees at all our administrative and sales offices. We have also incorporated HSE indicators as shared key performance indicators (KPIs) for all executives to further reinforce the HSE culture in our organisation.