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MTQ Corporation Limited
Chairman’s Statement /
Dear Shareholders,
For the year ended 31 March 2012, the
Group managed to continue to grow both
our revenue and proft before taxation by
40% and 4% to S$128.4 million and S$13.9
million respectively. This year also saw the
acquisition of the Premier/Pemac companies
as well as the commencement of operations
for our Bahrain facility.
The overall prospects for our oilfeld
services business remain positive and
encouraging. We have signifcantly widened
our footprint both in terms of products and
range of services, as well as geographically
with the addition of our Bahrain facility and
the Premier/Pemac facilities in Loyang,
Singapore.
While market demand of our services in
Singapore and Bahrain is likely to be stronger
with more intensifed drilling activities in
both regions, the single biggest challenge for
both our Singapore and Bahrain operations
lies in the area of manpower. With the latest
Singapore government policy on reducing
foreign worker quotas, we are likely to
experience a shortage of manpower to
execute the anticipated workload and to
meet customers’ delivery expectations. The
Group has and will embrace the productivity
initiatives launched by the government.
However, skill upgrading will take some time
to see fruition. In Bahrain, while there are
no similar regulatory restrictions relative to
recruitment of foreign labour, the current
political atmosphere has led to difculties
in atracting competent foreign senior
management executives to relocate there.
Although our Australian operations remained
steady and proftable, it regretably achieved
litle growth. More eforts are needed to
bring up its performance, especially to
penetrate further into the resources sector.
Overall, the Group’s fnancial position
remains healthy which will allow us to
continue to look out for new investment
opportunities, to further enhance our overall
proftability and to expand our service
ofering.
The Board is recommending tax-exempt
(one tier) fnal dividend of 2.0 Singapore
cents per ordinary share, which is subject to
shareholders’ approval at the forthcoming
Annual General Meeting. This will bring the
total full year tax-exempt dividend to 4.0
Singapore cents per share.
Leadership renewal is an important aspect
of any company, particularly long established
companies like MTQ and is a theme that I
have mentioned in recent years. On this note,
I am delighted to welcome Mr. Chew Soo Lin
who has joined our Board of Directors and
the Audit Commitee. Mr. Chew, a qualifed
chartered accountant, has been active in a
leadership role in the food business for many
years. He also has years of non-executive
board experience, having served as a director
of various listed companies. We welcome
Mr. Chew to our board and look forward
to his positive contribution. Moves to
further renew leadership at both board and
management levels will continue.
I would like to thank all our customers,
business partners and shareholders for
their continuous support and my heartfelt
gratitude to all our directors, management
team and staf for their hard work and
dedication. We are optimistically confdent
about the prospects for the Group in the new
fnancial year and will continue to focus on
delivering shareholder value while growing
our businesses.
CHAIRMAN’S
STATEMENT
“I would like to thank all our
customers, business partners
and shareholders for their
continuous support and my
heartfelt gratitude to all
our directors, management
team and staf for their hard
work and dedication. We are
optimistically confdent about
the prospects for the Group in
the new fnancial year and will
continue to focus on delivering
shareholder value while growing
our businesses.”
Kuah Kok Kim
Chairman