127 KENANGA INVESTMENT BANK BERHAD Annual Report 2022 KENANGA GROUP EMPLOYEES’ SHARE SCHEME (“ESS” OR “SCHEME”) The Kenanga Group ESS is governed by the by-laws approved by the shareholders of the Bank at an Extraordinary General Meeting held on 25 May 2017. The ESS was implemented on 21 September 2017. It is valid for a period of five (5) years from its commencement date, and is administered by the ESS Committee. The ESS has been extended for another five (5) years from 21 September 2022 to 20 September 2027 in accordance with the provisions of the By-Laws of the ESS. The aggregate maximum number of the shares which may be made available by the Bank under the Scheme shall not in aggregate exceed 10% of the issued share capital of the Bank (excluding treasury shares) at any point in time during the duration of the Scheme. Other principal features of the ESS are as follows: (i) The employees eligible to participate in the ESS must be at least eighteen (18) years of age on the Award date and are employed by, and are on the payroll of the Kenanga Group and are confirmed in service. The ESS applies to the Bank and its non-dormant subsidiary companies. (ii) The entitlement under the ESS for the Executive Directors are subject to the approval of the shareholders in a general meeting and are not prohibited or disallowed by the relevant authorities or laws from participation in the Scheme. The ESS encompasses two (2) primary schemes in the form of ESOS and Employee Share Grant Plan (“ESGP”). The actual allocation of share options to senior management of the Group over the maximum ESS shares was 37.38% as at 31 December 2022. The actual allocation of share grant to senior management of the Group over the maximum ESS shares was 3.32% as at 31 December 2022. More details of the ESS are as disclosed in Note 54 to the financial statements. ISSUANCE OF SHARES There were no new ordinary shares or debentures issued during the financial year. BUSINESS REVIEW FOR 2022 The profit before tax (“PBT”) of the Group and of the Bank for the financial year ended 31 December 2022 (“FYE22”) were RM74.2 million and RM58.3 million, compared to PBT of RM148.2 million and RM120.4 million respectively in the previous financial year (“FYE21”). The performance of the Group’s respective business segments are analysed below: STOCKBROKING Stockbroking division reported a lower PBT of RM2.5 million for FYE22 (FYE21: PBT of RM86.4 million) mainly due to lower net brokerage income as a consequence of lower trading volume and trading and investment income. DIRECTOR’S REPORT
RkJQdWJsaXNoZXIy NDgzMzc=