End of Day Price

MBSB (1171)

Newsroom

News

Economic Profit and Loss Statement for 2nd Quarter 2009

BackAug 11, 2009
General Announcement
Reference No MB-090811-55405

 

Company Name
:
 MALAYSIA BUILDING SOCIETY BERHAD  
Stock Name
:
 MBSB  
Date Announced
:
 11/08/2009  


Type
:
 Announcement
Subject
:
Economic Profit and Loss Statement for 2nd Quarter 2009

Contents
:
Malaysia Building Society Berhad (“MBSB” or “the Company”) would like to announce its Economic Profit and Loss Statement for 2nd Quarter 2009.

Announcement Details :

ECONOMIC PROFIT AND LOSS STATEMENT FOR THE 2ND QUARTER 2009

Economic profit or loss is an amount earned for a period by a business after deducting the operating expenses and a charge of opportunity cost of capital employed. The economic profit and loss statement set out in Table 1 is disclosed on a voluntary basis.

The assumptions used in computing the economic profit/loss are set out below:

(i) The cost of equity is calculated based on the following formula:

Cost of equity = (Beta x Market Risk Premium) + Risk Free Rate

(ii) The Beta used in the calculation is the 5 years adjusted Bloomberg Rate:

Quarterly Period Beta
2nd Quarter 2009=1.441
1st Quarter 2009=1.383
4th Quarter 2008=1.373

(iii)The risk free rate is the rate of return of a 10-year Malaysian Government Securities at the closing of the reporting period:

Risk Free Rate
At 30 June 2009=4.340%
At 31 March 2009=3.850%
At 31 December 2008=3.170%

(iv) The market risk premium is assumed at 5.2%, which represents the market return in excess of the return earned on risk free asset.
TABLE 1
30 June 2009

(Unaudited) RM’000
Group profit after taxation
14,233
Adjustments
- Deferred tax assets
8,000
Adjusted Group profit after taxation
22,233
Less: Cost of capital employed
(29,440)
Economic loss
(7,207)

IR Contact

Email Alerts

Sustainability Contact