The subsidiaries belong to Lembaga Tabung Haji (LTH), the Employees Provident Fund (EPF), the Federal Land Development Authority (Felda), the Retirement Fund (Incorporated) (KWAP), and the Armed Forces Fund Board (LTAT).
EPF’s 34 subsidiaries recorded profits totalling RM2.754 billion, followed by 11 LTH subsidiaries (RM240 million), nine Felda subsidiaries (RM411 million), nine KWAP subsidiaries (RM130 million), and six LTAT subsidiaries (RM163 million).
The report also noted that 40 subsidiaries from the same agencies incurred total losses of RM2.656 billion in 2023.
These included 21 EPF subsidiaries that recorded losses of RM941 million, eight KWAP subsidiaries (RM138 million), five LTAT subsidiaries (RM722 million), four LTH subsidiaries (RM690 million), and two Felda subsidiaries (RM165 million).
21 subsidiaries of the five Federal agencies suffered losses for three consecutive years, from 2021 to 2023.
“In 2023, a total of 21 subsidiaries suffered losses totalling RM970.55 million consisting of nine companies operating domestically, while 12 were based abroad,” it said.
The subsidiary companies that suffered losses for three consecutive years involved nine under EPF, seven under KWAP, two each under LTAT and LTH, and one under Felda.
According to the report, in 2023, 59 Federal agencies owned 217 subsidiaries, of which 131, or 60.4 per cent, recorded a profit of RM4.087 billion. Another 86, or 39.6 per cent, suffered losses of RM2.810 billion.
It also highlighted that 81 of the 217 subsidiaries paid out RM2.829 billion in dividends to 32 federal agencies in 2023.
“Audit analysis found that 43 subsidiaries had paid the highest dividends to five federal agencies totalling RM2.761 billion, with EPF being the highest recipient of dividends at RM1,819.32 million, LTAT (RM383.23 million), Felda (RM346.54 million), KWAP (RM172.35 million) and LTH (RM39.54 million)," said the report.
— Bernama
