Home News Archives for February 2022

Month: February 2022

Censof Acquires 51% Equity Stake in GW Intech

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KUALA LUMPUR, Feb 23 (Bernama) — Censof Holdings Berhad (“Censof” or the “Group”), a technology holdings company specialising in financial management software solutions, is delighted to announce that its wholly-owned subsidiary, Century Software (Malaysia) Sdn Bhd (“CSM”) has entered into a Share Subscription Agreement (“SSA”) with GW Intech Sdn Bhd (“GW Intech”) on 22 February 2022.

The SSA entails the acquisition of a 51% equity stake in GW Intech through the share subscription of 100,000 new GW Intech shares for the subscription consideration of RM500,000.

GW Intech, established in 2001 as an information technology (“IT”) solution provider, specialises in analysing, designing, developing and implementing IT solutions. GW Intech is the first company to be awarded the ePBT 1.0 contract in 2005 by the Kementerian Perumahan dan Kerajaan Tempatan. Subsequently in 2014, GW Intech secured the ePBT 2.0 redevelopment project to convert the client server based ePBT system to a web-based version of the ePBT 2.0. GW Intech currently has several maintenance contracts with Majlis Bandaraya Alor Setar, Majlis Perbandaran Kuala Kangsar, Majlis Perbandaran Manjung, Majlis Perbandaran Langkawi Bandaraya Pelancongan and Majlis Daerah Kerian, to name a few.

The ePBT system is a financial application system developed for local authorities to collect and make payments for local services accounts such as assessment tax, rental of business premises and compounds. Today, the ePBT 2.0 system is deployed by over 50 local authorities, mainly in Perak, Negeri Sembilan, Kelantan, Kedah and Pahang.

Ameer Shaik Mydin, group managing director of Censof said, “We are pleased to welcome GW Intech as part of Censof’s group of companies. GW Intech is a growing company and we recognised the prospects GW Intech will bring to our Group. This acquisition will essentially strengthen Censof’s dominant position in the local government front by providing innovative and digital financial management solutions to the ‘rakyat’. With Censof’s strengths in digitising the government services, I believe we can grow this business to provide smart government solutions to the local government. This acquisition is a win-win for Censof and GW Intech where we will be able to capitalise on each other’s expertise, in addition to increase the number of government agencies in compliance with the SAGA system application criteria provided under Censof’s financial management solutions, from our current clientele of over 90 agencies to over 140 agencies. This acquisition will undoubtedly improve our earnings in the near future.”

He further added, “Conforming with the 12th Malaysia Plan and the MyDigital blueprint focusing on digitalisation of the public sector and the micro, small and medium enterprises, we are committed to fuel digital transformation through innovative technologies. As one of the market leaders of the digital-driven industry, we have continuously collaborated with the home-grown companies to expedite the transformation, which is also in tandem with the government’s initiative. We look forward to work closely with GW Intech’s team who shares our vision and aspiration to further innovate and digitalise our solutions to create a significant impact to the industry and the nation.”

Censof Further Strengthens its Position in the Digital Technology Space

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Kuala Lumpur, 10 February 2022 – Censof Holdings Berhad (“Censof” or the “Group”), a technology holdings company specialising in financial management software solutions, is pleased to announce that the Group has received the Letter of Award from SME Corporation Malaysia (“SME Corp”) for the “Perkhidmatan Projek Pembangunan Platform SME Rating & Accreditation Fasa I SME Corp Malaysia” contract through its wholly-owned subsidiary, Century Software (Malaysia) Sdn Bhd.

The contract, valued at RM7.3 million, involves the building of an integrated application system for Small and Medium Enterprises (“SME”) Rating and Accreditation phase 1 for SME Corp (“the Project”). This includes the project management services, change management services, training services, development of application system leveraging blockchain and eKYC, development of mobile application, development of application-programming interface and the provision of database software, report and analysis software and cloud server services. This application system will be integrated with Companies Commission of Malaysia, SME Corp’s internal system, namely the SME Integrated Plan of Action System (SMEIPA), SME Central Incentives System (SCenic) and MyAssist System, as well as payment gateway providers in Malaysia.

The objective of the Project is to streamline the delivery system and increase the efficiency and productivity of SME Corp. All work processes will be automated, for instance, digital submission of documents. Payment processing can also be performed through this application system platform. Essentially, this Project will create a comprehensive integrated system with a centralised database that is equipped with the latest security features and technologies, such as blockchain and artificial intelligence and reduce manpower reliance in its scoring and accreditation process.

The contract is for a tenure of 45 months, commencing from 15 February 2022 to 14 November 2025.

“In this era of the fourth industrial revolution, it is imperative for us to accelerate the adoption of digitalisation, automating processes and transitioning to cloud platform. As such, we are extremely delighted to be given the avenue through this contract to further strengthen and expand our digital technology space within the rapidly growing Malaysian SME industry. Over the past few years, Censof has demonstrated its ability to provide innovative financial management solutions to the SME segment with its rapidly growing annual subscribers,” said group managing director of Censof, Ameer Shaik Mydin.

He further added, “This marks Censof’s position and role as a rating and accreditation system provider to SME Corp, providing the entire process from front to back end digitally that will benefit Malaysia’s SME industry in line with RMK-12 Plans that was laid out by the government. We foresee this contract will enhance and improve the SME space that Censof is heavily embedded in by churning and providing accurate digitalised SME ratings and scores efficiently and timely to determine the competitiveness and capabilities of the SMEs. With this said, we hope that this Project will encourage more SMEs to venture into high-technology and innovative driven industries. The prospects and potential of this contract are endless and beyond its contract value for Censof as there are ample opportunities and ideas that can be explored upon its implementation.”

Censof Posts Another Set of Commendable Q3FY2022 Earnings!

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Key Highlights

• Year-on-year, PBT increased by 12.1% to RM3.4 million.
• Year-on-year, PATAMI grew by 31.0% to RM2.6 million.
• Quarter-on-quarter PBT up by 13.5%.
• Quarter-on-quarter, PATAMI rose by 25.1%.
• 9MFY2022 revenue surged by 18.7%.
• Contribution from new business segment, Digital Technology accounted for almost 18% of Censof’s PBT.

KUALA LUMPUR, Feb 8 (Bernama) — Censof Holdings Berhad (“Censof” or the “Group”), a technology holdings company specialising in financial management software solutions, reported its third quarter results for the financial year ending 31 March 2022 (“Q3FY2022”) on 7 February 2022.

Censof recorded a profit before tax (“PBT”) and profit after tax and minority interest (“PATAMI”) of RM3.4 million and RM2.6 million respectively, an improvement of 12.1% and 31.0%, against the RM3.0 million and RM2.0 million generated a year ago. These were achieved on the back of a revenue of RM21.3 million.

The improvement in PBT primarily came from higher profits from the Financial Management Solutions – Government segment with a PBT of RM2.4 million, up by 70.6% year-on-year and the contribution from Digital Technology, being the Group’s new business segment, with a PBT of RM0.6 million. Correspondingly, earnings per share worked out to 0.48 sen.

Quarter-on-quarter, PBT was up 13.5%, as compared to the preceding quarter’s RM3.0 million. Similarly, PATAMI rose 25.1%, in comparison to last quarter’s RM2.1 million.

For the cumulative nine months’ period (“9MFY2022”), revenue increased by 18.7% to RM65.2 million from RM55.0 million in previous year’s corresponding period (“9MFY2021”). Despite the higher revenue, PBT was lower at RM9.0 million against 9MFY2021’s RM16.2 million. This was mainly due to the recognition of non-recurring gain on disposal and gain on fair value adjustment of short-term investment of RM2.1 million and RM9.4 million respectively in 9MFY2021. Stripping out the two extraordinary items, 9MFY2022’s PBT would have been 87.5% higher, in contrast to the 9MFY2021’s adjusted PBT of RM4.8 million.

Censof’s financial position as at 31 December 2021 remained healthy with cash and bank balances, including fixed deposit and money market funds of RM27.3 million. Net assets per share attributable to ordinary equity holders of the company was 16.26 sen.

“Censof’s third quarter financial performance has demonstrated a great momentum as we continue to stride till the end of our financial year. We have been making significant progress in our plans to capitalise on the industry’s appetite in the adoption of digitalisation by the government and commercial sectors. We have been making progress by laying out the foundation to enhance the digital technology market though our joint venture with Cloocus Co. Ltd to develop and operate Microsoft’s cloud management in Malaysia. During the quarter, we successfully secured an ‘iPayment’ contract worth RM13.5 million to facilitate cashless payments and collections for all government services by 2022.

Over the past few months, the Group has undergone various exciting and positive developments. Our recent acquisition of the 51% equity stake in Cognitive Consulting Sdn Bhd has proven our commitment to grow our Digital Technology segment. As such, I am extremely optimistic of the Group’s prospects with our list of upcoming plans and developments at hand, while we continue to explore other investment opportunities and our innovation in digital technologies and solutions via strategic alliances and to expand on our technical competencies and supply chain capabilities,” said group managing director of Censof, Ameer Shaik Mydin.