KUALA LUMPUR, Jan 14 – Khazanah Nasional Bhd has reported a steady performance in 2014, with its net worth adjusted (NWA) up 9.2 per cent to RM110.8 billion as at Dec 31, 2014 compared with RM101.5 billion a year ago. Its managing director, Tan Sri Azman Mokhtar, said since the start of Khazanah revamp in May 2004, the NWA had increased to RM77.5 billion, or 233 per cent, from RM33.3 billion.
“This translates into a 12 per cent per annum compounded annual growth rate over the period concerned. “2014 has been a challenging and volatile year which has seen Khazanah’s NWA ranging from RM95 billion to RM116 billion, ending the year at the upper end of the range,” he told reporters at the 11th Khazanah Nasional Annual Review, here today.
Azman said the NWA recorded has outperformed the FBMKLCI and the MSCI Emerging Markets Index. Last year, the government’s strategic investment fund registered an unaudited pre-tax profit of RM3.2 billion. He said last year Khazanah made 12 investments totalling RM7.2 billion and six divestments with a gain on divestment of RM3 billion.
He said it (2014) was a busy and eventful year with several of Khazanah’s investee companies posting robust operating performances, including Tenaga Nasional Bhd, which contributed RM4.9 billion, Alibaba Group’s initial public offering (RM3.9 billion) and IHH Healthcare Bhd (RM3.6 billion).
“There was also progress in the catalytic projects in Iskandar Malaysia, notably the launch of Pinewood Iskandar Malaysia Studio. “In addition, Khazanah’s investments in the theme parks — Legoland and Puteri Harbour Family Theme Park in Iskandar, Johor and Kidzania Kuala Lumpur — have collectively recorded attendances of approximately 6.6 million since their establishment.
“Our core portfolio companies also delivered on several critical national projects last year, namely the Penang Second Bridge by UEM Group Bhd, klia2 by Malaysia Airports Holdings Bhd and the National High Speed Broadband project by Telekom Malaysia Bhd,” he said.
Azman said significant milestones were also achieved in the restructuring of Malaysian Airline System Bhd (MAS) with the unveiling of the 12-point MAS Recovery Plan to rebuild the national carrier and restore it to sustained profitability. The regionalisation and internationalisation of the companies continued to move forward, including the acquisition of MAHB to take its holdings to 100 per cent of Turkey’s Istanbul Sabiha Gokcen International Airport, he said.
Azman said the company has since 2004 declared dividends of RM7.4 billion. For 2014, it declared a dividend of RM900 million, he said. He said Khazanah would continue to build sustainable progress, entering the year from a position of relative strength amid the in the midst of challenging outlook.
“This year will see several milestones which will have an impact on Khazanah, namely the ‘graduation’ of the government-linked company Transformation Programme, launch of the 11th Malaysia Plan and Malaysia assuming the chair of the Association of South-East Asian Nations,” he said.