WHO'S THE MOST CHARITABLE?

How Malaysia's Biggest Public Companies Give Back To Society?

Kuala Lumpur Kepong Berhad

Originally established as a plantation enterprise, Kuala Lumpur Kepong Berhad (KLK) primarily engages in the cultivation of oil palm and rubber. While these activities remain at the core of its operations, KLK has expanded its interests to encompass resource-based manufacturing and property development through its subsidiary KLK Land. Its operations now extend across 4 continents. KLK has a comprehensive Sustainability Policy that directs the company’s sustainability initiatives, centered around 4 core areas; Marketplace, Environment, Workplace and Community.

Fiscal Year-End: 30 September 2022

Industry: Plantation

Net Profit: RM2.16 billion

The net profit of Kuala Lumpur Kepong Berhad decreased in FY2022 to RM2.16 billion from RM2.25 billion during the previous financial year.

Profit Growth (YoY): -4.06%

Kuala Lumpur Kepong Berhad reported a negative net profit growth year on year of -4.06%.

Dividend Payout: RM1.07 billion

The Group’s dividend payout ratio for the FY2022 is 49.80% which amounts to RM1.07 billion.

Zakat Fund: N/A

Cash Giving: RM0.64 million

Total cash contributions made by KLK during FY2022, was approximately RM640,000 based on their annual and sustainability report.

In-kind Giving: RM6.20 million

Total cash contributions made by KLK during FY2022, was approximately RM640,000 based on their annual and sustainability report.

Employee Volunteer Hours: N/A

The total employee volunteer hours by Kuala Lumpur Kepong Berhad was not specified in their annual and sustainability report.

Kuala Lumpur Kepong Berhad:
Cash, In-Kind and Employee Volunteer Hours

No.	Contribution	Based on Previous Year	Cash Giving	In-kind Giving	Employee Volunteer Hours	Beneficiaries
1	Konservasi Hutan Desa	⬆️	N/A	Job and business opportunities	N/A	Community	This project is a collaboration between KLK, Aksenta, Belantara and Lembaga Pengelolaan Hutan Desa (“LPHD”) covering an area of 9,940 hectares. This programme has developed 5 Kelompok Usaha Perhutanan Sosial (“KUPS”), with total income of about Rp400 million as at second quarter of 2022. It has positively impacted the socio-economic status of the communities in this area through creation of “new jobs and business opportunities.
2	Konservasi Hutan Desa		N/A	N/A	N/A	Environment	This project contributes to maintaining forest land cover through activities, such as: participatory environmental service monitoring and land cover change monitoring with drones.
3	KLK Community Schools	⬆️	N/A	Learning centres worth RM5.60M	N/A	25,000 students	KLK has spent conservatively RM5.6 million annually to manage 140 childcare and learning facilities in our plantations and thus far, more than 25,000 students have received education from these learning facilities annually. Also set up Community Learning Centres (“CLCs”) – alternative or non-formal education institutions which are managed by Indonesian teachers. CLCs have given the Indonesian children in our oil palm plantations the opportunity to continue their studies to secondary level when they return to their homeland.
4	Supporting IT Education		N/A	Computer equipments	N/A	1,100 students	KLK has equipped the computer laboratory of Sekolah Menengah Kebangsaan Simpang Pulai (“SMKSP”) with new laptops, refurbished computers, laser printers, air conditioning units and television sets to help make learning more conducive for the students. Located in Taman Pulai Jaya in Ipoh, SMKSP has an enrolment of 1,100 students, most of whom come from B40 families.
5	Yayasan KLK scholarships	⬆️	N/A	Scholarships worth RM0.60M	N/A	Youth	This year, Yayasan KLK is awarding more than RM600,000 in scholarships to deserving Malaysian students, especially from marginalised families.
6	Provision of Food Supplies		N/A	Food supplies	N/A	260 indigenous families	In continuing with KLK's community outreach programme, KLK donated food supplies to 260 indigenous families in Belum State Park, Perak.
7	Flood Relief		N/A	Basic necessities, house clean ups	Volunteer	Disaster Victims	KLK provided assistance to the flood victims in the form of food and basic necessities. KLK also deployed its employees to evacuate local villagers and help in the clearing and cleaning up of roads and homes of flood victims.
8	Back to School Programme		N/A	School necessities	N/A	1,000 students	Organised Back-To-School programmes to improve access to education through the provision of school necessities which benefitted more than 1,000 students in various locations throughout FY2022.
9	Spreading Biodiversity & Conservation Awareness		RM0.14M	N/A	N/A	RIMAU	KLK has donated RM140,000 to Persatuan Pelindung Harimau Malaysia (“RIMAU”) for them to put “boots on the ground” with a specialised patrol team called the Menraq
10	Save our earth initiatives		N/A	Hydroponic farms	N/A	2 schools	KLK has partnered with SMK Kampung Pasir Putih and SMK Dato’ Haji Mohd Taib in Ipoh to set up hydroponic farming facilities as a means of educating the children about responsible agriculture.
11	Developing the Nation’s Sporting Talents		RM0.50M	N/A	N/A	4 athletes	KLK has invested RM500,000 this financial year to sponsor: • Malaysia’s Mixed Badminton Doubles Players – Chan Peng Soon & Cheah Yee See and Tan Kian Meng & Lai Pei Jing • International Tennis Federation (“ITF”) Junior Players – Mitsuki Leong and Shihomi Leong

⬆️– shows an increase monetarily or the number of beneficiaries from 2021 report

⬇️ – shows a decrease monetarily or the number of beneficiaries from 2021 report

1. The numerical value for total cash and in-kind giving was calculated based on individual monetary mentions in the Annual and Sustainability report.

2. The information above is derived from Kuala Lumpur Kepong Berhad’s 2022 Annual and Sustainability Report. Email correspondence was made between between 20 April – 3 July 2023 to seek further clarification, however, no reply was received.

Focus Areas of KLK Berhad

Beneficiaries of KLK Berhad

In FY2022, Kuala Lumpur Kepong Berhad reported a cash giving to profit ratio of 0.04% and in-kind giving to profit ratio of 0.38%. The top focus area from KLK’s giving is in Education at 44.4% where multiple initiatives were made to supply students with education facilities needed such as computer equipments and school necessities. The largest portion of beneficiaries that were positively impacted by KLK’s giving initiatives were the Youth at 50%, as it coincides with their large focus on Education initiatives where many Malaysian students benefited from them.