We refer to Bursa Securities Berhad's ("Bursa Securities") letter to Euro Holdings Berhad ("the Company" or "EURO") dated 24 December 2007 in relation to the above news article appearing in New Straits Times, Biz News section, page 34, on 22 December 2007, in particular to the following statements:
(i) "The company is on target to achieving 25 per cent growth in pre-tax profit for the financial year ending December 31, 2007, Teh said in an interview."
(ii) "It expects to see a growth rate of about 20 per cent in pre-tax profit next year......"
(a) During an interview with the press, the Company was asked about its financial result expectation for the financial year ending 31 December 2007 in which our Director, Mr. Teh mentioned that EURO had achieved a revenue growth rate exceeding 25% for the nine month period ended 30 September 2007. As such, the Company hopes to be able to achieve at least 25% revenue growth rate on a full year basis.
(b) In response to the press's query on the financial result expectation for the year ending December 2008, the Company hopes to achieve an annual revenue growth rate of 20% barring any unforeseen circumstances such as a global slowdown in economy. The Company had in the past achieved an annual revenue growth rate of at least 20% except for 2006. As such, the Company hopes that the past revenue growth trend will continue in line with our efforts to further expand on our existing export markets.
In this respect, the above statements should not be construed as an estimate and forecast of results for the financial year ending 31 December 2007 and 31 December 2008.
Query Letter content :
We refer to the above news article appearing in New Straits Times, Biz News
section,page 34, on Saturday, 22 December 2007, a copy of which is enclosed
for your reference.
In particular, we would like to draw your attention to the underlined
sentences, which are reproduced as follows:-
"The company is on target to achieving 25 per cent growth in pre-tax profit for
the financial year ending December 31 2007, Teh said in an interview."
"It expects to see a growth rate of about 20 per cent in pre-tax profit next
year ..."
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 sentences after due and diligent enquiry with all the directors,
major 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 sentences or any other part of the above reported article,
you are required to set forth facts sufficient to clarify any misleading
aspects of the same. In the event you confirm the above sentences or any other
part of the above reported article, you are required to set forth facts
sufficient to support the same, including the relevant bases and assumptions
in arriving at the above forecast.
Please furnish the Exchange with your reply within one (1) market day from the
date hereof.
Yours faithfully
JOHAN ABDULLAH
Head
Listing Division
Group Regulations
WCY/ZOOS
c.c. En. Chung Tin Fah, Securities Commission (via fax)