After the 49th Annual General Meeting, Texchem Executive Chairman Tan Sri Dato’ Seri Fumihiko Konishi said the organisation delivered a top-line improvement and performed better operationally as demonstrated by the rise in their profit before tax. This was credited to the solid fundamentals built across their core business divisions coupled with the dedication of the entire team.
“Our strength through diversity was evident in our success as having a diversified business and revenue streams provide us with the flexibility to weather through different business cycles and overcome various obstacles. Looking ahead, there are pockets of growth across our key divisions that we can seize to further expand our business. Overall, while we are excited by the strategic plans we have in place for long term growth, we are also cautious on the outlook as market conditions are expected to remain highly uncertain,” he said.
Texchem’s focus for its industrial division will remain on the transformation into a specialty chemical distributor by expanding into higher margin product segments. As for the polymer engineering division, it will expand its medical/life sciences business.
Meanwhile, the food division will be growing its value-added product portfolio to mitigate the slowdown arising from weaker consumer sentiment. On the other hand, for its restaurant division, the team is driving cost efficiencies and will continue to leverage on Sushi King’s strong membership base of more than 1 million to stimulate sales.
For the financial year 2022, Texchem declared a total dividend of 13 sen per share, amounting to RM15.4 million. This represented a dividend of 49% based on financial year 2022 adjusted net profit attributable to shareholders of RM31.3 million, which is in-line with its dividend policy and higher than the 46% payout in financial year 2021.
On the environmental, social and governance front, Texchem made new breakthroughs for its TEXa project. TEXa is a patented and United States Department of Agriculture certified durable bio-based polymer that is used to make products that can be reused multiple times, which promotes a circular economy. TEXa was successfully tested for use for consumer goods and secured new customers. More importantly, greenhouse gas emissions are reduced by using TEXa.
