With billions wiped out in markets globally across asset classes as investors recalibrate their portfolio in a rising interest rate environment, the sea of red — in terms of price performance as well as total returns — among 13 companies that have been named The Edge Billion Ringgit Club (BRC) Company of the Year, from 2009 to 2022, should come as no surprise.
Although only four of the 13 — Supermax Corp Bhd, QL Resources Bhd, Nestlé (Malaysia) Bhd and Press Metal Aluminium Holdings Bhd...
Membership in this elite group is automatic and complimentary for all companies listed on Bursa Malaysia as at March 31, 2022, that have at least RM1 billion in market capitalisation. There are 178 members in the club this year.
As recognition is the best reward for accomplishments, it is the hope of The Edge that the awards continue to encourage more companies to strive even harder for excellence.
The sectoral awards are:
The 17 categories are:
THE EDGE BRC SECTORAL CORPORATE AWARDS
To be eligible for the corporate awards, a BRC member must have been listed at least four calendar years before the end-March cut-off date of the current year, as companies are evaluated on their financial performance over three years.
The methodology for the corporate awards is both stringent and transparent, with the results audited by Deloitte Malaysia. The data used to determine the companies that qualify for The Edge BRC membership and winners of The Edge BRC Corporate Awards is provided by Asia Analytica Data Sdn Bhd.
Members eligible for the Highest Return on Equity over Three Years and Highest Growth in Profit after Tax over Three Years awards must be profitable every year throughout the evaluation period. For this year, the evaluation period is from FY2018 to FY2021. Calculation for PAT growth is also subject to a risk-weight factor component to recognise the importance of consistency in profit delivery throughout the evaluation period.
Winners of The Edge BRC Highest Returns to Shareholders award are judged based purely on total return, consisting of share price gains and dividends over a three-year period. The cut-off date this year was March 31.
The annual end-March cut-off date for BRC membership was unchanged, owing to the need to source CR information for the judges’ consideration.
In determining the winner, companies with scores within 0.5 percentage point of each other are deemed to be of the same rank. There could, therefore, be cases of joint winners for the awards.
THE EDGE BRC BEST CR INITIATIVES AWARD
The CR initiatives of eligible companies are evaluated by a panel of judges. The Edge BRC Best CR Initiatives award is presented to companies with the top average scores in three categories:
THE EDGE BRC COMPANY OF THE YEAR AWARD
The Company of the Year award recognises the year’s best company based on the following factors:
Evaluation component weightage to overall score
|Returns to shareholders over three years||20%|
|Growth in profit after tax over three years||30%|
|Return on equity over three years||20%|
|Corporate responsibility initiatives||30%|
VALUE CREATOR: OUTSTANDING CEO OF MALAYSIA
The winner of this award — of whom there may be more than one — is determined by The Edge based on an assessment of the person’s contribution to value creation for his/her company. Here, value creation is reflected in the company’s market valuation, return to shareholders and stakeholders, revenue and profit growth as well as employment creation. To be chosen, the CEO must have achieved outstanding success in all these areas. Assessment starts from when the person became CEO of the company.
The Edge has absolute discretion in deciding on this exclusive award and can choose not to name a winner — as was the case in 2011, 2015 and 2020.
In 2010, the award went to Tan Sri Teh Hong Piow and Datuk Seri Nazir Razak for their outstanding contribution to their respective banking groups, Public Bank Bhd and CIMB Group Holdings Bhd.
In 2012, the recipients were AmBank Group founder and chairman Tan Sri Azman Hashim and AirAsia Bhd co-founder and group CEO Tan Sri Tony Fernandes. Azman remains a financier for all seasons, whereas Fernandes won for his role in transforming Asia’s aviation industry.
In 2013, the award went to Tan Sri Abdul Wahid Omar and Tan Sri Liew Kee Sin, former president and CEO of S P Setia Bhd. Abdul Wahid was recognised for his leadership during his tenure as CEO of Renong Bhd (2001 to 2004), Telekom Malaysia Bhd (2004 to 2008) and Malayan Banking Bhd (2008 to 2013). Liew won for his contribution at S P Setia, which he left in April 2015 (after about 18 years) for niche developer Eco World Development Holdings Bhd.
In 2014, the award went to Sunway Group founder and executive chairman Tan Sri Jeffrey Cheah and Axiata Group Bhd president and group CEO Tan Sri Jamaludin Ibrahim for having shown exemplary leadership in building businesses and creating value for all stakeholders.
In 2016, the award went to Khazanah Nasional Bhd managing director Tan Sri Azman Mokhtar, who was instrumental in not only transforming the institution but also the collective transformation of 20 government-linked companies across varied industries.
In 2017, the award went to self-made billionaire Tan Sri G Gnanalingam, executive chairman and co-founder of Westports Holdings Bhd. Regarded as Malaysia’s first home-grown marketing guru, “Tan Sri G” transformed backwater Pulau Indah into a transshipment hub that has also changed the livelihood of the locals.
In 2018, the award went to Tan Sri Ngau Boon Keat, executive chairman and co-founder of Dialog Group Bhd. The passionate engineer, who helped negotiate Malaysia’s first production-sharing contract (PSC) with foreign oil companies in 1974, steered Dialog from strength to strength in the past decade while most oil and gas companies were ravaged as oil prices fell.
In 2019, the award went to Chia Song Kun, executive chairman of QL Resources Bhd, which was transformed from a local feedstock trader into a multinational agro-food corporation under his watch in less than four decades. A true rags-to-riches story, his inspiring tale of a seashell seller from the swampy, backwater coastal village of Sungai Burong in Selangor proves that education and ingenuity can help lift more than one’s own family out of poverty.
In 2021, the award went to Maybank group president and CEO Tan Sri Abdul Farid Alias, who was at the helm of the country’s largest listed company as it crossed the RM100 billion market cap level in 2017 and had returned more than RM30 billion in dividends to shareholders over five years at that point.