Annual Report 2005 - Leeden Limited

2ACE DYNAMICS LIMITEDMessage fromChairman & CEODear Shareholders,On behalf of the Board of Directors, I am pleased to present this Annual Report of AceDynamics Limited for the year ended 31 December 2005. The year has been a remarkableone for the Group as it turned around to profi tability. Group’s turnover increased 84%from $39.9 million to $73.3 million and at the bottom line, profi t before tax registered$1.8 million compared to a loss of $3.6 million last year.The good performance was attributed to management’s efforts to expand the operations of the industrialdivision. The division benefi ted from management’s efforts to reposition itself in the markets where itoperates and introducing a wider range of products as well as increasing sales activities to gain marketshare. The credible performance was aided by the buoyant oil and gas and marine markets.ANNUAL REPORT 2005The Group’s industrial gas business is operated by its associated companies. As such sales are notincluded in the Group’s accounts. Contribution is refl ected in the Group’s share of profi t in associatedcompanies. The expansion into the Malaysian market has progressed smoothly and we have opened anew plant and new offi ce premises on a 2.6 acre site located in Shah Alam to house our operations inWest Malaysia. This will give the Malaysian operations a strong foundation to contribute profi ts in theyears ahead.