Friday 29 Mar 2024
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KUALA LUMPUR (May 6): Felda Global Ventures Bhd’s (FGV) CEO Dr Mohd Emir Mavani Abdullah's answer was vague when asked whether his employment contract, which will end in July, will be renewed.

“It is in the process,” Emir said cryptically when asked if he would continue to helm the plantation group, whose share price has come under heavy pressure as a result of the poor earnings performance.

He was speaking to reporters after FGV's signing ceremony to establish the Rafflesia Centre for Research and Interpretation and Sun Bear Conservation Centre today.

Hence, it is still unclear whether FGV will see change in leadership when Emir's ends in two months.

There have been questions over Emir's future at FGV (fundamental: 1.55; valuation: 1.4) of late as the company's earnings have not fared well since its listing in 2012, no thanks to the soft crude palm oil prices.

FGV saw a nearly 69% drop in net profit to RM306.37 million for financial year 2014 ended Dec 31, 2014 (FY14) from RM982.25 million in FY13, while revenue climbed 30.8% to RM16.43 billion from RM12.57 billion.

For FY14, the company's earnings per share was down at 8.4 sen per share for FY14 compared with 26.9 sen in FY13.

The company's share price and market capitalisation value has also been halved from its initial public offering price of RM4.55 a share. Today, FGV's share price closed at RM2.09, giving it a market capitalisation of RM7.55 billion.

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