Announcements

Date : 02 November 2000

ARTICLE ENTITLED: "Apollo Eyes 26 Million Ringgit Profit in Fiscal 2001, Paper Says"

Amended Announcements
Please refer to the earlier announcement reference number: CU-001030-58303

APOLLO FOOD HOLDINGS BERHAD

TypeReply to query
Reply to Query Letter by KLSE reference IDME-001030-30819
SubjectARTICLE ENTITLED: "Apollo Eyes 26 Million Ringgit Profit in Fiscal 2001, Paper Says"

Contents :

Further to the announcement on 31 October 2000, Apollo writes to clarify the following:


a. Sales of RM114 million for the financial year ending 30 April 2001

      i. The anticipated increase in the demand for Apollo’s products is based on the recorded increase in sales for the financial years ended 30 April 1998, 1999 and 2000 by 15.4%, 19.3% and 41.1% respectively. Furthermore, the reported sales for the first quarter ended 31 July 2000 of RM24.257 million represents an increase of 12.0% over that of the preceding quarter ended 31 July 1999 of RM21.654 million.

      ii. Apollo acquired additional new plant, machinery and equipment with a total cost of approximately RM18 million during the financial years ended 30 April 1997 to 2000. These additions enabled Apollo to increase its production capacity by producing new products such as layer cakes, waffles and wafer balls and also increase the production of existing products such as chocolate wafers, nougat and chocolate peanuts, which led to the increase in sales as explained above.

      iii. Apollo had incurred RM0.4 million, RM0.7 million, RM0.9 million and RM2.7 million for the financial years ended 30 April 1997, 1998, 1999 and 2000 respectively for advertisements in local and foreign media. These advertisements have enabled Apollo to further expose its products and expand market base, contributing to the increased sales as reported above and expected to contribute towards the increase in future sales.


b. Profit before tax of RM26 million for the financial year ending 30 April 2001
      With the improved turnover as explained above and Apollo expecting to maintain its current margin of profits, Apollo would be in a position to achieve the pre-tax profit of RM26 million. The forecasted pre-tax profit of RM26 million for the financial year ending 30 April 2001 was based on the pre-tax profit margins posted for the past two (2) financial years ended 30 April 1999 and 2000 of 23.2% and 22.8% respectively.

Query Letter Contents :

We refer to the above article appearing on Bloomberg, on Saturday, 28 October
2000, a copy of which is enclosed for your reference.
In particular, we would like to draw your attention to the underlined sentence,
which is reproduced as follows:-
"... has projected a 26 million ringgit ($6.8 million) profit before tax on 114
million ringgit of sales for the year to April 30, ..."


In accordance with the Exchange's Corporate Disclosure Policy, you are
requested to furnish the Exchange with an announcement for public release
confirming or denying the above reported article and in particular the
underlined sentence after due and diligent enquiry with all the directors,
substantial shareholders and all such other persons reasonably familiar with
the matters about which the disclosure is to be made in this respect. In the
event you deny the above sentence or any other part of the above article, you
are required to set forth facts sufficient to clarify any misleading aspects of
the same. In the event you confirm the above sentence or any other part of the
above article, you are required to set forth facts sufficient to support the
same.
Please furnish the Exchange with your reply within one (1) market day from the
date hereof.
Yours faithfully
KUALA LUMPUR STOCK EXCHANGE

Chong Fui Tzy
Manager, Listing Operations
ASL/MEM



Announcement Info

Company NameAPOLLO FOOD HOLDINGS BERHAD  
Stock Name APOLLO    
Date Announced2 Nov 2000  
CategoryGeneral Announcement
Reference NoCU-001102-55752

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