PCB 06 Q4 Qtr Rpt Notes by 9NtCySy

VIEWS: 3 PAGES: 20

									                               PRINSIPTEK CORPORATION BERHAD
                                      (Company No. 595000-H)
                                     (Incorporated in Malaysia)

            QUARTERLY REPORT ON UNAUDITED CONSOLIDATED RESULTS
     FOR THE FOURTHTHIRD FINANCIAL QUARTER ENDED 301 DECEMBERSEPTEMBER
                                    2006
                                                                                                              Formatted: Footer distance from edge: 0.24"

PART A: EXPLANATORY NOTES IN COMPLIANCE WITH FINANCIAL REPORTING
         STANDARDS ("FRS") 134


1.   BASIS OF PREPARATION

     The interim financial report is ununaudited and has been prepared in accordance with the
     requirements of FRS 134 "Interim Financial Reporting" and Paragraph 9.22 and Appendix 9B of the
     Listing Requirements of Bursa Malaysia Securities Berhad ("Bursa Securities").

     The interim financial report should be read in conjunction with the annual audited financial
     statements of the Prinsiptek Corporation Berhad Group ("the Group") for the year ended 31
     December 20055.

     These explanatory notes attached to the interim financial report provide an explanation of events and
     transactions that are significant to an understanding of the changes in the financial position and
     performance of the Group since the year ended 31 December 20055.


2.   CHANGES IN ACCOUNTING STANDARDS

     The significant accounting policies adopted are consistent with those of the audited financial
     statements for year ended 31 December 200556 except for the adoption of the following
     new/revised FRSs effective for the financial periodyear beginning 1 January 2006:-

     FRS 2      Share-based Payment
     FRS 3      Business Combinations
     FRS 5      Non-current Assets Held for Sale and Discontinued Operations
     FRS 101    Presentation of Financial Statements
     FRS 102    Inventories
     FRS 108    Accounting Policies, Changes in Estimates and Errors
     FRS 110    Events after the Balance Sheet Date
     FRS 116    Property, Plant and Equipment
     FRS 121    The Effects of Changes in Foreign Exchange Rates
     FRS 127    Consolidated and Separate Financial Statements
     FRS 128    Investments in Associates
     FRS 131    Interests in Joint Ventures
     FRS 132    Financial Instruments: Disclosure and Presentation
     FRS 133    Earnings Per Share
     FRS 136    Impairment of Assets
     FRS 138    Intangible Assets
     FRS 140    Investment Property

     The adoption of FRS 5, 102, 108, 110, 116, 121, 127, 128, 131, 132, 133 and 140 does not have
     significant financial impact on the Group. The principal effects of the changes in accounting policies
     resulting from the adoption of the other new/revised FRSs are discussed below:-




PCB Interim Financial Report For FourthThird Quarter Ended 31.120.09..2006                     Page 5 of 15
                               PRINSIPTEK CORPORATION BERHAD
                                      (Company No. 595000-H)
                                     (Incorporated in Malaysia)

            QUARTERLY REPORT ON UNAUDITED CONSOLIDATED RESULTS
     FOR THE FOURTHTHIRD FINANCIAL QUARTER ENDED 301 DECEMBERSEPTEMBER
                                    2006

2.   CHANGES IN ACCOUNTING STANDARDS (CONT’D)

     a) FRS 2: Share-based Payment
        This FRS requires an entity to recognise share-based payment transactions in its financial
        statements, including transactions with employees or other parties to be settled in cash, other
        assets, or equity instruments of the entity.

        Prinsiptek Corporation Berhad ("the Company") operates an equity-settled, share-based
        compensation plan for the employees of the Group, the Company’s Employees Share Option
        Scheme ("ESOS"). Prior to 1 January 2006, no compensation expense was recognised in income
        statement for share options granted. With the adoption of FRS 2, the compensation expense
        relating to share options is recognised in income statement over the vesting periods of the grants
        with a corresponding increase in equity. The total amount to be recognised as compensation
        expense is determined by reference to the fair value of the share options at the date of the grant
        and the number of share options to be vested by vesting date. The fair value of the share options
        is computed using a binomial model. At every balance sheet date, the Group revises its estimates
        of the number of share options that are expected to vest by the vesting date. Any revision of this
        estimate is included in income statement and a corresponding adjustment to equity over the
        remaining vesting period.

        Under the transitional provisions of FRS 2, this FRS must be applied to share options that were
        granted after 31 December 2004 and had not yet vested on 1 January 2006.

        As the existing share options were granted by the Company before 31 December 2004, no                   Formatted: Font color: Auto
        adjustment is made in the Group’s financial statements pursuant to the transitional provisions as
        set out in FRS 2.
        The application is retrospective and accordingly, the comparative amounts as at 31 December
        2005 2006 are restated and the opening balance of retained earnings as at 1 January 2006 has
        been adjusted. The financial impact to the Group arising from this change in accounting policy is
        as follows:-

                                                                                Year To Date
                                                                       301.1209.2006 310.1209.2005
                                                                          RM'000         RM'000
                                                                                                                Formatted: Highlight
        Decrease in profit for the yearperiod                                39924           683534             Formatted: Not Highlight
                                                                                                                Formatted: Not Highlight
     b) FRS 3: Business Combinations, FRS 136: Impairment of Assets and FRS 138: Intangible Assets
        For adoption of these new/revised FRSs, the useful lives of intangible assets are now assessed at
        the individual asset level as having either a finite or indefinite life. Under the new FRS 138, the
        intangible assets are regarded to have an indefinite useful life when, based on an analysis of all of
        the relevant factors, there is no foreseeable limit to the period over which the asset is expected to
        generate net cash inflows for the Group. Intangible assets with indefinite useful lives are not
        amortised but, instead, are tested for impairment annually.

        Prior to 1 January 2006, the Group amortised its intangible assets with finite useful lives ((i.e.,
        development rights) through the consolidated income statement. As at 1 JanuaryJanuary 2006, the         Formatted: Not Highlight


PCB Interim Financial Report For FourthThird Quarter Ended 31.120.09..2006                       Page 6 of 15
                               PRINSIPTEK CORPORATION BERHAD
                                      (Company No. 595000-H)
                                     (Incorporated in Malaysia)

             QUARTERLY REPORT ON UNAUDITED CONSOLIDATED RESULTS
    FOR THE FOURTHTHIRD FINANCIAL QUARTER ENDED 301 DECEMBERSEPTEMBER
                                                  2006
      Group has intangible assets with indefinite useful lives of RM45,849,6985,849,698. Other          Formatted: Not Highlight
      intangible assets of the Group as at 1 January 2006 of RM1,324,0421,324,042 with finite useful    Formatted: Not Highlight
      lives continue to be stated at cost less amortisation and impairment losses.




PCB Interim Financial Report For FourthThird Quarter Ended 31.120.09..2006               Page 7 of 15
                                PRINSIPTEK CORPORATION BERHAD
                                       (Company No. 595000-H)
                                      (Incorporated in Malaysia)

            QUARTERLY REPORT ON UNAUDITED CONSOLIDATED RESULTS
     FOR THE FOURTHTHIRD FINANCIAL QUARTER ENDED 301 DECEMBERSEPTEMBER
                                    2006

2.   CHANGES IN ACCOUNTING STANDARDS (CONT’D)

     c) FRS 101: Presentation of Financial Statement
        The adoption of the revised FRS 101 has affected the presentation of minority interest, share of
        net after-tax results of associates and other disclosures. In the consolidated balance sheet,
        minority interests are now presented within total equity. In the consolidated income statement,
        minority interests are presented as an allocation of the total profit or loss for the period. A similar
        requirement is also applicable to the statement of changes of equity. FRS 101 also requires
        disclosure, on the face of the statement of changes in equity, total recognised income and
        expenses for the period, showing separately the amounts attributable to equity holders of the
        parent and to minority interest.

        The current period’s presentation of the Group’s financial statements is based on the revised
        requirements of FRS 101, with the comparatives restated to conform with the current period’s
        presentation.


3.   COMPARATIVES

     The following comparative amounts have been restated due to the adoption of new FRSs:-

                                                                             Adjustments
                                                           Previously           FRS 2
                                                             stated           (Note 2(a))     Restated
                                                            RM'000             RM'000         RM'000

      As At 301 DecemberSeptember 2005
      Retained earnings                                  448,807107          (1,,601448)    472,206659            Formatted: Not Highlight
      Other reserves                                              -          1,6011,448     1,6011,448            Formatted: Not Highlight
                                                                                                                  Formatted: Not Highlight
                                                                                                                  Formatted: Not Highlight
      As At 31 December 2005
      Retained earnings                                        48,807           (1,592)         47,215            Formatted: Highlight
      Other reserves                                                -            1,592           1,592            Formatted: Highlight



      As At 31 December 2004
      Retained earnings                                        30,492           (9148)          29,578
      Other reserves                                                -            9148           914918


34. AUDITORS' REPORT ON PRECEDING ANNUAL FINANCIAL STATEMENTS

     The auditors' report on the preceding audited financial statements of the Group was not subjected to
     any audit qualifications.



PCB Interim Financial Report For FourthThird Quarter Ended 31.120.09..2006                        Page 8 of 15
                               PRINSIPTEK CORPORATION BERHAD
                                      (Company No. 595000-H)
                                     (Incorporated in Malaysia)

           QUARTERLY REPORT ON UNAUDITED CONSOLIDATED RESULTS
    FOR THE FOURTHTHIRD FINANCIAL QUARTER ENDED 301 DECEMBERSEPTEMBER
                                   2006


45. SEASONAL OR CYCLICAL FACTORS

     The Group's performance for the current financial quarterquarter ended 301 DecemberSeptember              Formatted: Not Highlight
     2006 was not affected by unusual seasonal or cyclical fluctuations.


56. UNUSUAL ITEMS DUE TO THEIR NATURE, SIZE OR INCIDENCE

     There were no unusual items affecting assets, liabilities, equity, net income, or cash flows during the
     financial quarter under review.


67. CHANGES IN ESTIMATES

     TThere were no material changes in estimates of the amounts reported in prior financial year/quarter
     /quarter which have a material effect in the current financial quarter.                                   Formatted: Not Highlight




PCB Interim Financial Report For FourthThird Quarter Ended 31.120.09..2006                      Page 9 of 15
                               PRINSIPTEK CORPORATION BERHAD
                                      (Company No. 595000-H)
                                     (Incorporated in Malaysia)

           QUARTERLY REPORT ON UNAUDITED CONSOLIDATED RESULTS
    FOR THE FOURTHTHIRD FINANCIAL QUARTER ENDED 301 DECEMBERSEPTEMBER
                                   2006

78. DEBT AND EQUITY SECURITIES

     During the current financial quarter ended 31 December March 2006, the issued and paid up capital of   Formatted: Indent: Left: 0.33"
     the Company was increased from 126,777,644 126,777,544 ordinary shares of RM0.50 each to
     126,78277,7644 ordinary shares of RM0.50 each arising from the conversion of the balance
     RM5,1100.00 nominal value of Irredeemable Convertible Loan Stocks 2003/2006 ("ICULS"). As at 31
     March 2006, a total of RM5,100.00 nominal value of ICULS was still outstanding.

     Save for the above, Tthere were no cancellation, repurchases, resale and repayments of debt and
     equity securities by the Company during the current financial quarter/periodyear to date.


89. DIVIDEND PAID

                                                                                Year To Date
                                                                       301.1209.2006    301.1209.2005
                                                                          RM'000           RM'000

     A final dividend of 6.00% (2005: 5.00%) less tax at 28% in
       respect of the previous financial year was paid during the
       financial periodyear under review                                     2,738          2,282




PCB Interim Financial Report For FourthThird Quarter Ended 31.120.09..2006                  Page 10 of 15
                               PRINSIPTEK CORPORATION BERHAD
                                      (Company No. 595000-H)
                                     (Incorporated in Malaysia)

           QUARTERLY REPORT ON UNAUDITED CONSOLIDATED RESULTS
    FOR THE FOURTHTHIRD FINANCIAL QUARTER ENDED 301 DECEMBERSEPTEMBER
                                   2006

910. SEGMENTAL INFORMATION                                                                                           Formatted: Tab stops: 0.68", Decimal aligned
                                                                                                                     + Not at 0.59"

     Segmental information for the cumulative financial periodyearperiod is presented in respect of the              Formatted: Tab stops: 0.68", Decimal aligned
                                                                                                                     + Not at 0.59"
     Group's business segments as follows:-
                                                                                                                     Formatted: Tab stops: 0.68", Decimal aligned
                                                                                                                     + Not at 0.59"
                                                    Property           Trading
                                                                                                                     Formatted: Tab stops: 0.68", Decimal aligned
                                 Construction      Development        and Others      Elimination             Total + Not at 0.59"
                                   RM'000            RM'000            RM'000           RM'000               RM'000Formatted: Tab stops:    0.68", Decimal aligned
     Revenue                                                                                                         + Not at 0.59"

     External sales                268,328            26,774           20,820               -          315,922       Formatted: Tab stops: 0.68", Decimal aligned
                                                                                                                     + Not at 0.59"
     Inter-segment sales            28,375                 -           18,247         (46,622)               -
                                                                                                                     Formatted: Tab stops: 0.68", Decimal aligned
     Total revenue                 296,703            26,774           39,067         (46,622)         315,922       + Not at 0.59"
                                                                                                                     Formatted: Tab stops: 0.68", Decimal aligned
                                                                                                                     + Not at 0.59"
     Results
                                                                                                                     Formatted: Tab stops: 0.68", Decimal aligned
     Segment results                26,877               946              116                -           27,939      + Not at 0.59"
     Interest expense               (2,806)                -             (333)               -           (3,139)     Formatted: Not Highlight
     Interest income                 1,609                98                -                -            1,706      Formatted: Not Highlight
     Total results                  25,680             1,044             (217)               -           26,507      Formatted: Not Highlight

                                                    Property           Trading                                       Formatted: Not Highlight

                                 Construction      Development        and Others      Elimination             Total Formatted: Not Highlight
                                   RM'000            RM'000            RM'000           RM'000               RM'000Formatted: Not Highlight
     Revenue                                                                                                         Formatted: Not Highlight

     External sales             268,327218,349 26,77515,922         20,82016,805             -                Formatted: Not Highlight
                                                                                                    315,922251,076
     Inter-segment sales        28,3752,808            -            18,2478,692      (46,62211,500)         - Formatted: Not Highlight
     Total revenue              296,702221,157 26,77515,922         39,06725,497                              Formatted: Not Highlight
                                                                                     (46,62211,500) 315,922251,076
                                                                                                                     Formatted: Not Highlight
                                                                                                                     Formatted: Not Highlight
     Results
                                                                                                                     Formatted: Not Highlight
     Segment results            26,50920,389         884268             (290)(583)          --        27,10320,074
                                                                                                                 Formatted: Not Highlight
     Interest expense           (2,8061,996)              -          (333254)               --        (3,1392,250)
                                                                                                                 Formatted: Not Highlight
     Interest income            2,0351,052            19691              -15                 -        2,2311,158
                                                                                                                 Formatted: Not Highlight
     Total result               25,73819,445       1,080359             (623)(822)          --        26,19518,982
                                                                                                                     Formatted: Not Highlight
                                                                                                                     Formatted: Not Highlight
                                                                                                                     Formatted: Not Highlight
                                                                                                                     Formatted: Not Highlight
                                                                                                                     Formatted: Not Highlight
                                                                                                                     Formatted: Highlight
                                                                                                                     Formatted: Not Highlight
                                                                                                                     Formatted: Not Highlight
                                                                                                                     Formatted: Not Highlight
                                                                                                                     Formatted: Not Highlight
                                                                                                                     Formatted: Not Highlight

PCB Interim Financial Report For FourthThird Quarter Ended 31.120.09..2006                   Page 11 of 15
                               PRINSIPTEK CORPORATION BERHAD
                                      (Company No. 595000-H)
                                     (Incorporated in Malaysia)

           QUARTERLY REPORT ON UNAUDITED CONSOLIDATED RESULTS
    FOR THE FOURTHTHIRD FINANCIAL QUARTER ENDED 301 DECEMBERSEPTEMBER
                                   2006

                                                                                                              Formatted: Indent: Left: 0.33"
101. VALUATIONS OF PROPERTY, PLANT AND EQUIPMENT

     The Group states its property, plant and equipment at cost less accumulated depreciation and
     accumulated impairment losses. The Group does not adopt a policy to revalue its property, plant and
     equipment.


112. MATERIAL EVENTS SUBSEQUENT                          TO     THE      END    OF     THE     INTERIM
     PERIODINTERIM PERIOD                                                                                     Formatted: Highlight


     There were no material subsequent events from the end of the current interim financial                   Formatted: Not Highlight
     periodinterim financial period to the date of this report that have not been reflected in this report.


123. CHANGES IN COMPOSITION OF THE GROUP

     There were no changes in the composition of the Group during the current quarterperiod under
     review. other than as disclosed in the previous quarters during the current yearperiod to date.
                                                                                                              Formatted: Tab stops: Not at 0.5"



134. DISCONTINUED OPERATIONS

     There was no discontinued operations event during the current financial quarter / yearyearquarter /
     period to date under review.




PCB Interim Financial Report For FourthThird Quarter Ended 31.120.09..2006                    Page 12 of 15
                               PRINSIPTEK CORPORATION BERHAD
                                      (Company No. 595000-H)
                                     (Incorporated in Malaysia)

           QUARTERLY REPORT ON UNAUDITED CONSOLIDATED RESULTS
    FOR THE FOURTHTHIRD FINANCIAL QUARTER ENDED 301 DECEMBERSEPTEMBER
                                   2006

145. CAPITAL COMMITMENT

     The amount of commitments for the purchase of property, plant and equipment not provided for in
     the interim financial statement as at 301 DecemberSeptember 2006 is as follows:-

                                                                             RM'000

     Approved and contracted for:-
        Property, plant and equipment                                   10,3142,472                     Formatted Table
                                                                                                        Formatted: Not Highlight
                                                                                                        Formatted: Highlight




PCB Interim Financial Report For FourthThird Quarter Ended 31.120.09..2006              Page 13 of 15
                               PRINSIPTEK CORPORATION BERHAD
                                      (Company No. 595000-H)
                                     (Incorporated in Malaysia)

           QUARTERLY REPORT ON UNAUDITED CONSOLIDATED RESULTS
    FOR THE FOURTHTHIRD FINANCIAL QUARTER ENDED 301 DECEMBERSEPTEMBER
                                   2006

16.15. CHANGES IN CONTINGENT ASSETS AND CONTINGENT LIABILITIES                                                 Formatted: Bullets and Numbering


                                                                                  As At 301.1209.2006
                                                                             RM'000           RM'000
     Unsecured corporate guarantees given by the Company                                                       Formatted: Highlight

          and the Group to trade suppliers                                                       5,1066,833    Formatted: Not Highlight
     Unsecured corporate guarantees given by the Company to                                                    Formatted: Centered
          financial institutions for banking and hire purchase                                                 Formatted: Highlight
          facilities granted to subsidiary companies                                           35,13441,816    Formatted: Highlight
     Secured bank guarantees given by the Group in the ordinary                                                Formatted: Highlight
          course of business to:-
                                                                                                               Formatted: Highlight
            - trade suppliers                                                  4,1343,594
                                                                                                               Formatted: Highlight
            - authorities                                                        1,270382
                                                                                                               Formatted: Highlight
            - customers                                                      57,51929,085     62,38334,601
                                                                                                               Formatted: Highlight
                                                                                             109,30576,568
                                                                                                               Formatted: Not Highlight
                                                                                                               Formatted: Highlight
                                                                                                               Formatted: Not Highlight
                                                                                                               Formatted: Highlight
PART B:         ADDITIONAL INFORMATION AS REQUIRED BY LISTING REQUIREMENTS
                OF BURSA MALAYSIA SECURITIES BERHAD ("BURSA SECURITIES")                                       Formatted: Not Highlight
                                                                                                               Formatted: Not Highlight
                                                                                                               Formatted: Not Highlight
167. REVIEW OF PERFORMANCE

     For the financial yearperiod to date, the Group recorded a total revenue and net profit after tax and
     minority interests of RM3155.9292251.08 million and RM18.011413.17 million respectively.                  Formatted: Not Highlight
                                                                                                               Formatted: Not Highlight
     For the current financial quarterquarter, the Group achieved total revenue and net profit after tax and
                                                                                                               Formatted: Not Highlight
     minority interests of RM64.854.85103.26 million and RM45.991524 million respectively. The
                                                                                                               Formatted: Not Highlight
     construction division continues to be the main contributor toin the Group’s overall performance.
                                                                                                               Formatted: Not Highlight
                                                                                                               Formatted: Not Highlight
                                                                                                               Formatted: Not Highlight
                                                                                                               Formatted: Not Highlight




PCB Interim Financial Report For FourthThird Quarter Ended 31.120.09..2006                     Page 14 of 15
                               PRINSIPTEK CORPORATION BERHAD
                                      (Company No. 595000-H)
                                     (Incorporated in Malaysia)

           QUARTERLY REPORT ON UNAUDITED CONSOLIDATED RESULTS
    FOR THE FOURTHTHIRD FINANCIAL QUARTER ENDED 301 DECEMBERSEPTEMBER
                                   2006

178. COMPARISON WITH PRECEDING QUARTER'S RESULTS

     The Group’s total revenue and profit for the quarter and profit before tax has has deincreased by
     37.207.2052.13% and 2.70% respectively and 4.20% respectively asas compared to preceding
     quarterquarter’s results. This is. This is due toin conjunction with the the lower level of construction
     activities affected by the year end festive season.Net profit before tax has improved by only 26.52%
     as a result of higher operating expenses.




PCB Interim Financial Report For FourthThird Quarter Ended 31.120.09..2006                     Page 15 of 15
                                PRINSIPTEK CORPORATION BERHAD
                                       (Company No. 595000-H)
                                      (Incorporated in Malaysia)

           QUARTERLY REPORT ON UNAUDITED CONSOLIDATED RESULTS
    FOR THE FOURTHTHIRD FINANCIAL QUARTER ENDED 301 DECEMBERSEPTEMBER
                                   2006

1819.   PROSPECTS

     The cConstruction division continues to be the main contributor to is expected to contribute to the
     Group’s earnings for the coming financial yearremaindering of the year with its existing balance of
     order book. The Group’s performance is expected to be further enhanced in the near future by new
     projects to be secured by the construction division and the expected new contributions from the the
     property division.
      as well as the results from its oversea subsidiary companies.

     Barring unforeseen circumstances, Tthe Group will continue to focus on its core activities to further
     enhance and strengthen the synergy among its group of companies.

     Barring unforeseen circumstances, the Directors are confident that the performance of the Group for
     the coming financial year will be satisfactory.


1920. VARIANCE OF ACTUAL PROFIT FROM FORECAST PROFIT AND SHORTFALL IN
     PROFIT GUARANTEE

     This disclosure requirement for explanatory notes for the variance of actual and forecast profit after
     tax and minority interest and for the shortfall in profit guarantee is not applicable.


201. TAXATION

                                                             Current Year             Current Year To
                                                            To DateQuarter                  Date
                                                             301.1209.2006             301.1209.20065
                                                               RM’000                     RM’000

     Malaysia tax in respect of current year results       7,9147062,195            8,0037,9455,746           Formatted: Highlight
                                                                                                              Formatted: Not Highlight
     Under/ ( over) provision in prior years                    1968241                 (44487)141            Formatted Table
                                                                   8,110                       7,959          Formatted: Not Highlight
     Deferred tax liabilities                                        249                      (501)           Formatted: Not Highlight
                                                         8,3597,8882,336                  7,4585,887          Formatted: Highlight
                                                                                                              Formatted: Centered, Right: 0.18"
     The effective tax rate for the Group for the current quarter/yearperiod to date was higher than the      Formatted: Not Highlight
     statutory tax rate mainly due to certain expenses were not tax deductible and no group relief was
                                                                                                              Formatted: Not Highlight
     available with respect to losses incurred by companies within the Group.
                                                                                                              Formatted: Centered, Right: 0.18"
                                                                                                              Formatted: Highlight
                                                                                                              Formatted: Not Highlight
                                                                                                              Formatted: Not Highlight




PCB Interim Financial Report For FourthThird Quarter Ended 31.120.09..2006                    Page 16 of 15
                               PRINSIPTEK CORPORATION BERHAD
                                      (Company No. 595000-H)
                                     (Incorporated in Malaysia)

           QUARTERLY REPORT ON UNAUDITED CONSOLIDATED RESULTS
    FOR THE FOURTHTHIRD FINANCIAL QUARTER ENDED 301 DECEMBERSEPTEMBER
                                   2006

212. SALES OF UNQUOTED INVESTMENTS / PROPERTIES

     There were no disposals of unquoted investments or properties during the current financial
     quarter/periodyear under review.




PCB Interim Financial Report For FourthThird Quarter Ended 31.120.09..2006         Page 17 of 15
                               PRINSIPTEK CORPORATION BERHAD
                                      (Company No. 595000-H)
                                     (Incorporated in Malaysia)

           QUARTERLY REPORT ON UNAUDITED CONSOLIDATED RESULTS
    FOR THE FOURTHTHIRD FINANCIAL QUARTER ENDED 301 DECEMBERSEPTEMBER
                                   2006

223. QUOTED SECURITIES

     a)     There were no purchases and disposals of quoted securities during the current financial
            quarter / periodyear to date under review.

     b)     Investment in quoted securities as at 301 DecemberSeptember 2006:-

                                                     RM'000
             i)   At cost                              11
             ii) At carrying value                     11
             iii) At market value                       65                                                           Formatted: Not Highlight



234. STATUS OF THE CORPORATE PROPOSALS

     The Company announced on 10 February 2006 that the Securities Commission ("SC") had vide its
     letter dated 27 January 2006 approved the Proposed Issuance of RM80.00 million Nominal Value
     Murabahah Commercial Papers Programme ("MCPs Programme") and Murabahah Medium Term
     Notes Programme ("MMTNs Programme") to be issued by the Company.

     As at the date of this report, the Company has issued MCPs amounting to RM30.00 million nominal
     value under the MCPs Programme. The MCPs proceeds were used for repayment and/or refinancing
     of existing bank borrowings.

     The Company announced on 1 December 2006 that the Company had aborted the Private Placement
     (the details of which have been disclosed in previous quarters) as the approval by the Securities
     Commission for the Private Placement expired on the same date.

     Save for the above and the Proposed Private Placement disclosed in the previous quarterly reports,
     there were no other corporate proposals announced but not completed as at the date of this report.


245. GROUP BORROWINGS

                                                                                      As At 301.1209.2006
                                                                        Secured         Unsecured          Total
                                                                        RM'000           RM'000           RM'000

      Short term borrowings                                          87,888112,338        -30,000                  Formatted:
                                                                                                        87,888112,338117,888 Not Highlight
      Long term borrowings                                                   18938         50,000                   50,18938
                                                                                                                   Formatted: Not Highlight
                                                                   88,077112,52726        850,000                  Formatted:
                                                                                                       138,077162,527168,026 Not Highlight
                                                                                                                     Formatted: Not Highlight
                                                                                                                     Formatted: Not Highlight
256. OFF BALANCE SHEET FINANCIAL INSTRUMENTS                                                                         Formatted: Not Highlight
                                                                                                                     Formatted: Not Highlight
     There were no financial instruments with off balance sheet risk as at the date of this report.
                                                                                                                     Formatted: Not Highlight


PCB Interim Financial Report For FourthThird Quarter Ended 31.120.09..2006                      Page 18 of 15
                               PRINSIPTEK CORPORATION BERHAD
                                      (Company No. 595000-H)
                                     (Incorporated in Malaysia)

           QUARTERLY REPORT ON UNAUDITED CONSOLIDATED RESULTS
    FOR THE FOURTHTHIRD FINANCIAL QUARTER ENDED 301 DECEMBERSEPTEMBER
                                   2006




PCB Interim Financial Report For FourthThird Quarter Ended 31.120.09..2006   Page 19 of 15
                               PRINSIPTEK CORPORATION BERHAD
                                      (Company No. 595000-H)
                                     (Incorporated in Malaysia)

           QUARTERLY REPORT ON UNAUDITED CONSOLIDATED RESULTS
    FOR THE FOURTHTHIRD FINANCIAL QUARTER ENDED 301 DECEMBERSEPTEMBER
                                   2006

267. MATERIAL LITIGATIONS

     Save as disclosed below, the Company and its subsidiary companies are not engaged in any material
     litigation, claims or arbitration, either as plaintiff or defendant as at the date of this report:-

     a) In respect of the High Court of Kuala Lumpur Suit No. S1-22-171-2001, WEA Engineers &
        Associates Sdn Bhd ("WEA") is claiming against PST, vide writ of summons dated 23 May
        2000 for a sum of RM157,837 being the balan+ce of professional fees for civil and structural
        engineering consulting services rendered by WEA to PST. PST has filed a counter-claim dated
        25 July 2000 for the sum of RM820,766 against WEA being losses suffered by PST to rectify
        bored piling works that could be due to defective drawings and specifications of bored pile
        prepared by WEA. An application to consolidate this action with the suit in item (b) below i.e.
        from the High Court of Kuala Lumpur to the High Court of Shah Alam, was filed in court on 27
        November 2003 and is fixed for case management on 30 April 2004 for parties to file in their
        written submissions. Parties have filed in their respective written submissions and the matter
        was fixed for hearing on 5 July 2004. On the hearing date, the Order for consolidation was
        granted by the Court. Since this action has been consolidated with item (b) below, the High
        Court of Shah Alam has given a new suit number for this matter namely Civil Suit No.MT4-22-
        584-2004. On the recent case management on 19 October 2006, the case was not listed on the
        Court’s list and the file also could not be located. The solicitors for the Plaintiff had on 20
        October 2006 written to the Court and requested for a date to be fixed for next case
        management. As at the date of this report, the court has yet to fixed the date for the next case
        management.

     b) In respect of the High Court of Shah Alam Commercial Suite No. MT4-22-203-2002, Nikmat                Formatted: Bullets and Numbering
        Jasa Piling (M) Sdn Bhd ("Nikmat") is claiming against PST vide writ of summons dated 22
        March 2002 a liquidated sum of RM919,639.59 being special damages and general damages to
        be assessed in respect of piling works done by Nikmat for PST. PST has filed a counter-claim
        dated 31 July 2002 for the sum of RM1,459,967.70 against Nikmat being special damages and
        rectification costs incurred by PST. Nikmat has filled the Reply to the Defence and Defence to
        the Counter-Claim. In additions, Nikmat has filled the notice to attend the pre-trial case
        management. On the recent case management on 19 October 2006, the case was not listed on the
        Court’s list and the file also could not be located. The solicitors for the Plaintiff had on 20
        October 2006 written to the Court and requested for a date to be fixed for next case
        management. As at the date of this report, the court has yet to fixfixed the date for the next case
        management.
                                                                                                              Formatted: Indent: Left: 0.33"
                                                                                                              Formatted: Bullets and Numbering




PCB Interim Financial Report For FourthThird Quarter Ended 31.120.09..2006                    Page 20 of 15
                               PRINSIPTEK CORPORATION BERHAD
                                      (Company No. 595000-H)
                                     (Incorporated in Malaysia)

          QUARTERLY REPORT ON UNAUDITED CONSOLIDATED RESULTS
   FOR THE FOURTHTHIRD FINANCIAL QUARTER ENDED 301 DECEMBERSEPTEMBER
                                  2006
    b)
26. MATERIAL LITIGATIONS (CONT’D)
                                                                                                         Formatted: Indent: Left: 0.33"


     c) In respect of a writ of summons filed by PST on 1 November 2002 against Juru Bena Tenaga
        Sdn Bhd ("JBT") at the Kuala Lumpur High Court vide Suit No. 22-1778-2002, PST claimed
        against JBT a sum of RM510,938 for services rendered to JBT by PST. The case was fixed for
        case management on 5 January 2004 which was subsequent vacated by the Court and transferred
        to the Civil Division under a new suit number. Upon making enquiries at the Court Registry we
        have been informed that the case was fixed for case management on 19 August 2004. The case
        management was then postponed by the Court to 2 December 2004. The Court had given certain
        directions for parties to file in bundle of pleadings and a common bundle of documents. On the
        recent case management on 6 November 2006, the Court had fixed for further case management
        on 17 April 2007 and the trial on 23 January 2012.




PCB Interim Financial Report For FourthThird Quarter Ended 31.120.09..2006               Page 21 of 15
                               PRINSIPTEK CORPORATION BERHAD
                                      (Company No. 595000-H)
                                     (Incorporated in Malaysia)

           QUARTERLY REPORT ON UNAUDITED CONSOLIDATED RESULTS
    FOR THE FOURTHTHIRD FINANCIAL QUARTER ENDED 301 DECEMBERSEPTEMBER
                                   2006


278. EARNINGS PER SHARE

     a) Basic earnings per share

         The basic earnings per share has been calculated by dividing the Group's net profit attributable
         to the shareholders for the current financial quarter / periodyear to date by the weighted average
         number of ordinary shares in issue during the financial quarter / periodyear to date under review
         as follows:-

                                                 Individual Quarter                          Cumulative Quarter
                                                               (Restated)                                            Formatted: Centered
                                                                                                                (Restated)
                                                               Preceding                                       PPreceding
                                           Current               Year                 Current                      Year
                                             Year            Corresponding              Year                  Corresponding
                                           Quarter              Quarter                to date                    Period
                                         301.1209.2006       301.1209.2005          301.1209.2006             301.1209.2005
         Net profit attributable to
          the shareholders
          (RM'000)                      4,9925,151238       5,2355,4805,281       18,01444113,168      20,59720,84115,364

         Weighted average number
          of ordinary shares in
          issue ('000)                       126,78378               126,778             126,77883                   Formatted: Not Highlight
                                                                                                                      126,778
                                                                                                                     Formatted: Not Highlight
         Basic earnings per share
          (sen)                             3.944.0613            4.134.3217            104.215539                   Formatted:
                                                                                                                 16.2526.4312 Not Highlight
                                                                                                                     Formatted: Not Highlight
                                                                                                                     Formatted: Not Highlight
                                                                                                                     Formatted: Not Highlight
                                                                                                                     Formatted: Not Highlight
                                                                                                                     Formatted: Not Highlight




PCB Interim Financial Report For FourthThird Quarter Ended 31.120.09..2006                    Page 22 of 15
                               PRINSIPTEK CORPORATION BERHAD
                                      (Company No. 595000-H)
                                     (Incorporated in Malaysia)

           QUARTERLY REPORT ON UNAUDITED CONSOLIDATED RESULTS
    FOR THE FOURTHTHIRD FINANCIAL QUARTER ENDED 301 DECEMBERSEPTEMBER
                                   2006

27. EARNINGS PER SHARE (CONT’D)

     c) Diluted earnings per share

         The diluted earnings per share has been calculated by dividing the Group's net profit attributable
         to the shareholders for the current financial quarter / periodyear to date by the weighted average
         number of ordinary shares, after adjusted for the effects of dilutive potential ordinary shares
         from the assumed conversion of Irredeemable Convertible Loan Stocks 2003/2006 ("ICULS")
         of the Company as follows:-




PCB Interim Financial Report For FourthThird Quarter Ended 31.120.09..2006                    Page 23 of 15
                               PRINSIPTEK CORPORATION BERHAD
                                      (Company No. 595000-H)
                                     (Incorporated in Malaysia)

             QUARTERLY REPORT ON UNAUDITED CONSOLIDATED RESULTS
      FOR THE FOURTHTHIRD FINANCIAL QUARTER ENDED 301 DECEMBERSEPTEMBER
                                     2006

29.     EARNINGS PER SHARE (CONT’D)

                                                   Individual Quarter                           Cumulative Quarter
                                                                 (Restated)                               Preceding (Restated)
                                                                 Preceding                                     Preceding
                                            Current                Year                  Current                 Year
                                              Year             Corresponding               Year             Corresponding
                                            Quarter               Quarter                 to date               Period
                                          301.1209.2006        301.1209.2005           301.1209.2006         310.1209.2005
        Net profit attributable to the
          shareholders (RM'000)           4,9925,27338       5,2355,480281         18,01418,44113,168       20,59720,84115,364
        Adjustment for after tax
         effect of interest on ICULS
         (RM'000)                                      -                     -                        -                         -
        Adjusted profit attributable to
          the shareholders (RM'000)       5,4,99227338         5,2355,42810          138,18,014441168       20,59720,84115,364
        Weighted average number of
         ordinary share in issue
         ('000)                              126,77883              126,778                  126,78378         Formatted: Not Highlight
                                                                                                                       126,778
        Adjustment for the assumed
         conversion of ICULS and
         exercise of options under
         ESOS* ('000)                                 -5                     5                       -5        Formatted: Not Highlight
                                                                                                                              5
        Adjusted weighted average                                                                              Formatted: Not Highlight
         number of ordinary shares
         in issue and issuable ('000)           126,783             126,783                    126,783                 126,783

        Diluted earnings per share
         (sen)                               3.944.136           4.134.3217             14.21140.5539          Formatted: Not Highlight
                                                                                                                16.25126.4412
                                                                                                               Formatted: Not Highlight
                                                                                                               Formatted: Not Highlight
        * -     No adjustment is made for the assumed exercise of options under the ESOS of the                Formatted: Not Highlight
                Company as during the current year quarter /year period to date, any potential conversion      Formatted: Not Highlight
                of the Company’s ESOS would be anti-dilutive as the exercise price of the options under
                                                                                                               Formatted: Not Highlight
                ESOS is higher than the average market value per share then.




PCB Interim Financial Report For FourthThird Quarter Ended 31.120.09..2006                  Page 24 of 15

								
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