Suria Capital Holdings Berhad

1. Overview Company

Suria Capital Holdings Berhad (SURIA) has risen steadily into a diversified entity, Listed on the Main
Market of Bursa Malaysia Securities Berhad since 1996 (Stock Code: 6521), today SURIA and its
subsidiaries collectively known as SuriaGroup work in synergy to deliver world-class services in the
areas of Port Operations; Logistics and Bunkering Services; Property, Seaport Passenger Gateway and
Construction. Through Sabah Ports Sdn Bhd (Sabah Ports), Suria Capital has invested a
significant amount of capital, enabling Sabah Ports to become one of Malaysia’s premier port
operators, providing efficient port services and facilities for the 8 major ports in the State of
Sabah. Shariah Compliant Stock

2. Risk Analysis

a. Good Financial Position ( x )

Debt Level: SURIA's debt to equity ratio (0%) is considered satisfactory. Debt level is low
and not considered a risk. Reducing Debt: SURIA's debt to equity ratio has reduced from
13.7% to 0% over the past 5 years. Debt Coverage: SURIA's debt is well covered by
operating cash flow (2764150%). Interest Coverage: SURIA earns more interest than it pays,
so coverage of interest payments is not a concern.

B. Meaningful Levels Of Revenue & Market Capitalization ( / )

Revenue is meaningful (MYR235M) & Market cap is meaningful (MYR425M).

C. Is Their Share Price Liquid And Stable?

Share price has been stable over the past 3 months ,

D. Quality Earnings

SURIA has high quality earnings. Growing Profit Margin: SURIA's current net profit
margins (18%) are higher than last year (16%), Accelerating Growth: SURIA's earnings
growth over the past year (10.3%) exceeds its 5-year average (-9.3% per year).
2. RECENT NEWS & UPDATES

a. Executive & Board Change: New Appointment of Non Executive Member of Risk
Committee , Non Executive Chairman, Remuneration Committee

b. Awarded : Most Improved CG Disclosure 2020 (MSWG-ASEAN Corporate Governance

Award) & Green Initiative Award 2020 (Asia Corporate & Sustainability Award)

Suria Capital was announced as the sole winner for the “Merit Award for Most Improved
Corporate Governance Disclosure” category in the MSWG-ASEAN Corporate Governance
Award 2020. Minority Shareholder Watchdog Group (MSWG) was established as a
government initiative to protect the interests of minority shareholders through shareholder
activism. It is one avenue of market discipline that will encourage good governance
amongst public listed companies with the objective of raising shareholder value over time.

c. Suria Capital Holdings Berhad Announces Successful Sub-Division of the Master Land
Title of 23.25 Acres of Kota Kinabalu Port Land.

d. The company reported a strong full year result with improved earnings, revenues and
profit margins. Full year 2021 results: Revenue: RM430.5m, Net income: RM26.1m, Profit
margin: 6.1%

e. Port Expansion Plans

f. STRATEGIC ALLIANCE : Mutual Termination Of Joint Venture Agreement ("Jva")

Entered Into By Suria Capital Holdings Berhad ("Suria Capital") And Gabungan Aqrs Berhad
("Gbg Aqrs")

g. NET PROFIT for the second quarter (2Q) ended June 30, 2021 jumped to RM16.76
million compared with RM5.76 million recorded in the same period last year. Revenue rose
to RM62.36 million from RM46.53 million previously, the group said in a stock exchange
filing with Bursa Malaysia today."The increase in revenue was mainly due to higher
contribution from the core business of port operations while the higher net profit was mainly
due to higher revenue and lower operational costs for the the quarter under review

3. CONSIDERABLE FACTOR
a. Dividend Yield : Lagi tinggi dividend menunjukkan prestasi company lebih baik ( x )

Unstable dividend track record

Notable Dividend Yield : SURIA's dividend (2.68%) is higher than the bottom 25% of
dividend payers in the MY market (1.54%).

High Dividend: SURIA's dividend (2.68%) is low compared to the top 25% of dividend
payers in the MY market (4.17%).

b. Price Earnings Ratio (P/E Ratio) ->Lagi rendah nilai ini, lagi bagus syarikat tersebut[ / ]

PE vs Industry: SURIA is good value based on its PE Ratio (10x) compared to the MY
Infrastructure industry average (11.2x). PE vs Market: SURIA is good value based on its PE
Ratio (10x) compared to the MY market (15.9x). PB vs Industry: SURIA is good value based
on its PB Ratio (0.4x) compared to the MY Infrastructure industry average (1.4x).

c. Returns on Equity

Market Cap: 425 Million

Selected company :
SURIADSURIA CAPITAL HOLDINGS BHD due to its
Gross profit, Net margin, EPS, P/E, and ROE is
higher than sector average.

Sector average
Gross margin 20%
Net margin 10%
EPS(MYR) 0.070
Price/Earning ratio 20.37
Return on Equity -8.81