MIRA
INFORM REPORT
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Report Date : |
20.06.2007 |
IDENTIFICATION DETAILS
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Name : |
SYMBIOTICA SPECIALITY INGREDIENTS SDN BHD |
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Registered Office : |
47 Jalan Selat, |
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Country : |
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Financials (as on) : |
31.01.2005 |
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Date of Incorporation : |
28/03/2001 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Manufacturing of Pharmaceutical Ingredient |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
* Adopted abbreviations : SC - Subject Company ( the company enquired by you)
N/A - Not Applicable
EXECUTIVE SUMMARY
LOCAL NO : 543176-K
COMPANY NAME : SYMBIOTICA SPECIALITY INGREDIENTS SDN BHD
FORMER NAME : N/A
INCORPORATION DATE : 28/03/2001
COMPANY STATUS : EXIST
LEGAL STATUS : PRIVATE LIMITED COMPANY
LISTED STATUS : NO
REGISTERED ADDRESS : 47 JALAN SELAT,
BUTTERWORTH,
PULAU
BUSINESS ADDRESS : 25, TINGKAT 2, JALAN KELISA EMAS 1, 13700
BUTTERWORTH,
PULAU
TEL NO : 04 - 3979799
FAX NO : 04 - 3973979
CONTACT PERSON : TUNG AI LING (DIRECTOR)
INDUSTRY CODE : 24230
PRINCIPAL ACTIVITY : MANUFACTURING OF PHARMACEUTICAL INGREDIENT
AUTHORISED CAPITAL : MYR5,000,000.00 DIVIDED INTO ORDINARY SHARE
5,000,000 OF MYR1.00 EACH.
ISSUED AND PAID UP CAPITAL : MYR1,000,000.00 DIVIDED INTO ORDINARY SHARE
1,000,000 CASH OF MYR1.00 EACH.
SALES : MYR20,993,973 [2005]
NET WORTH : MYR4,047,438 [2005]
STAFF STRENGTH : 50 [2007]
BANKER (S) : UNITED OVERSEAS BANK (
: MALAYAN BANKING BHD
LITIGATION : CLEAR
FINANCIAL CONDITION : STABLE
PAYMENT : GOOD
MANAGEMENT CAPABILITY : AVERAGE
COMMERCIAL RISK : MODERATE
CURRENCY EXPOSURE : HIGH
GENERAL REPUTATION : SATISFACTORY
INDUSTRY OUTLOOK : AVERAGE GROWTH
HISTORY / BACKGROUND
The SC is a private limited company and is allowed to have a minimum of one and a maximum of forty-nine shareholders. As a private limited company, the SC must have at least two directors. A private limited company is a separate legal entity from its shareholders. As a separate legal entity, the SC is capable of owning assets, entering into contracts, sue or be sued by other companies. The liabilities of the shareholders are to the extent of the equity they have taken up and the creditors cannot claim on shareholders' personal assets even if the SC is insolvent. The SC is governed by the Companies Act, 1965 and the company must file its annual returns, together with its financial statements with the Registrar of Companies.
The SC is principally engaged in the (as a / as an) manufacturing of pharmaceutical ingredient.
The SC is not listed on
The SC is not qualified to be one of the Top Corporate
Performers in the
The major shareholder(s) of the SC are shown as follows :
Name Address IC/PP/Loc
No:
Shareholding
MS. TUNG AI LING + 14K,
PETANI,
AJOY GOPINATH PRABHU + 14K,
[OLD P/P:Z1690220] PETANI,
--------------------
1,000,000
===========
+
Also Director
DIRECTORS
DIRECTOR 1
Name of Subject : MS. TUNG AI LING
Address : 14K,TAMAN PERPADUAN, 08000 SUNGAI
PETANI,
IC / PP No. : A0394718
New IC No : 660516-02-5000
Date of Birth : 16/05/1966
Nationality : MALAYSIAN CHINESE
Date of Appointment : 29/03/2001
DIRECTOR 2
Name of Subject : AJOY GOPINATH PRABHU
Address : 14K, TAMAN PERPADUAN, 08000 SUNGAI
PETANI,
IC / PP No. : F4774559
Nationality : N/A
Remark : OLD P/P:Z1690220
MANAGEMENT
1) Name of Subject : TUNG AI LING
Position : DIRECTOR
2) Name of Subject : AJOY GOPINATH PRABHU
Position : DIRECTOR
AUDITOR
Auditor : OOI & ASSOCIATES
Auditors' Address : 47 JALAN SELAT,
PULAU
COMPANY SECRETARY
1) Company Secretary : MS. OOI WAN KUAN
IC / PP No. : 6374934
New IC No. : 620115-07-5182
Address : 1, JALAN RAJA GOPAL, 10350 PULAU
Date of Appointment : 20/08/2002
BANKING
Banking relations are maintained principally with :
1) Banker Name : UNITED
OVERSEAS BANK (
2) Banker Name : MALAYAN BANKING BHD
The SC enjoys normal banking routine with above mentioned banker(s).
The SC has bank charges with above mentioned banker(s).
ENCUMBRANCE (S)
ENCUMBRANCE 1
Date of Creation : 07 Oct 2002
Description of Charge : N/A
Amount Secured : RM 1,500,000.00
Description of Property Affected : N/A
Name & Address of Chargee : UNITED
OVERSEAS BANK (
Form 40 Dated
Registered and Numbered 3 In The Register of Charges
ENCUMBRANCE 2
Date of Creation : 29 Jun 2004
Description of Charge : N/A
Amount Secured : RM 306,000.00
Description of Property Affected : N/A
Name & Address of Chargee : MALAYAN BANKING BHD
Form 40 Dated
Registered and Numbered 4 In The Register of Charges
ENCUMBRANCE 3
Date of Creation : 29 Jun 2004
Description of Charge : N/A
Amount Secured : RM 250,000.00
Description of Property Affected : N/A
Name & Address of Chargee : MALAYAN BANKING BHD
Form 40 Dated
Registered and Numbered 5 In The Register of Charges
ENCUMBRANCE 4
Date of Creation : 29 Jun 2004
Description of Charge : N/A
Amount Secured : RM 550,000.00
Description of Property Affected : N/A
Name & Address of Chargee : MALAYAN BANKING BHD
Form 40 Dated
Registered and Numbered 6 In The Register of Charges
ENCUMBRANCE 5
Date of Creation : 20 Dec 2005
Description of Charge : N/A
Amount Secured : RM 60,000.00
Description of Property Affected : N/A
Name & Address of Chargee : MALAYAN BANKING BHD
Form 40 Dated
Registered and Numbered 7 In The Register of Charges
ENCUMBRANCE 6
Date of Creation : 16 Apr 2007
Description of Charge : ALL MONIES SPECIFIC DEBENTURE
Amount Secured : N/A
Description of Property Affected : A FIXED CHARGE CREATED ON THE MACHINERY AND
EQUIPMENT OF THE COMPANY
Name & Address of Chargee : UNITED
OVERSEAS BANK (
177
& 178, JALAN KELAB CINTA SAYANG,
08000
SUNGAI PETANI,
Form 40 Dated 24 Apr 2007
Registered and Numbered 8 In The Register of Charges
LEGAL CHECK AGAINST THE SC
* A check has been conducted in our databank against the SC whether the subject has been
involved in
any litigation. Our databank consists of 99% of the wound up companies in
back dated since 1900.
No legal action was found in our databank.
No winding up petition was found in our data bank
PAYMENT RECORD
SOURCES OF RAW MATERIALS :
Local : YES
Overseas : YES
Import Countries : UNITED
The SC refused to provide any name of trade/service supplier and we are unable to conduct any trade enquiry. However, from financial historical data we conclude that :
OVERALL PAYMENT HABIT
Prompt [ ] Good [ X ] Average [ ]
Fair [ ] Poor [ ]
CLIENTELE
Local : YES Percentage : 30%
Domestic Markets :
Overseas : YES Percentage : 70%
Export Market :
Credit Term : 30 DAYS.
Payment Mode : CHEQUES , LETTER OF CREDIT (LC) , TELEGRAPHIC TRANSFER (TT).
Type of Customer : DEALERS , PHARMACIES , PHARMACEUTICAL INDUSTRIES .
CUSTOMER (S) : 1) PHARMANIAGA BHD
OPERATIONS
Products Manufactured : PHARMACEUTICAL INGREDIENTS
Award : EXPORT EXCELLENCE AWARD (MERCHANDISE) BY MINISTRY OF
INTERNATIONAL TRADE AND INDUSTRY (MITI) Year : 2006
Competitor(s) : ADVENTA BHD
HOVID BHD
APEX HEALTHCARE BHD
GLAXOSMITHKLINE PHARMACEUTICAL SDN BHD
SAFIRE PHARMACEUTICALS (M) SDN BHD
Factory/Premises : 518 JLN WAJA 4, TMN INDUSTRIAL WAJA, 09000 KULIM, KEDAH.
Tel No : 04 - 4892799
Fax No : 04 – 4892599
Production lines : 4
Total Number of Employees :
YEAR 2007 2006 2005 2004
GROUP N/A N/A N/A N/A
COMPANY 50 40 29 21
Branch : NO
RECENT DEVELOPMENT
We have checked with the Malaysian National News Agency's (BERNAMA) database, but no latest development was noted in our investigation.
CURRENT INVESTIGATION
Latest fresh investigations carried out on the SC indicated that :
Telephone Number Provided By Client : N/A
Current Telephone Number : 04-3979799
Match : N/A
Address Provided By Client : 25 JALAN KELISA EMAS 1, 13700 SEBERANG JAYA,
Current Address : 25, TINGKAT 2, JALAN KELISA EMAS 1, 13700
BUTTERWORTH,
PULAU
Match : YES
Latest Financial Accounts : YES
Other Investigations
On 19th June 2007, we conducted an interview with one of the SC's staff from Human Resource Department. She provided some information on the SC.
Besides that, we conducted an interview with one of the SC's staff from Marketing Department. She revealed some relevant information on the SC.
FINANCIAL COMMENTS
Profitability :
Turnover : Increased [ 2003-2005 ]
Profit / ( Loss ) before tax : Increased [ 2003-2005 ]
Return on Shareholder Funds : Favourable [ 38.67% ]
Return on Net Assets : Favourable [ 38.37% ]
The SC's turnover increased steadily as the demand for its products / services increased due to the goodwill built up over the years. The SC's management have been efficient in controlling its operating costs. Generally the SC was profitable. The favourable return on shareholders' funds and return on net assets indicate that the SC's management was efficient in utilising the assets to generate returns.
Working Capital Control :
Stocks Ratio : Favourable [ 45 Days ]
Debtors Ratio : Unfavourable [ 66 Days ]
Creditors Ratio : Favourable [ 41 Days ]
The SC's stocks were moving fast thus reducing its holding cost. This had reduced funds being tied up in stocks. The high debtors' ratio could indicate that the SC was weak in its credit control. However, the SC could also giving longer credit periods to its customers in order to boost its sales or to capture / retain its market share. The SC had a favourable creditors' ratio as evidenced by its favourable collection days. The SC could be taking advantage of the cash discounts and also wanting to maintain goodwill with its creditors.
Liquidity :
Liquid Ratio : Favourable [ 1.07 Times ]
Current Ratio : Unfavourable [ 1.55 Times ]
A minimum liquid ratio of 1 should be maintained by the SC in order to assure its creditors of its ability to meet short term obligations and the SC was in a good liquidity position. Thus, we believe the SC is able to meet all its short term obligations as and when they fall due.
Solvency :
Interest Cover : Favourable [ 13.26 Times ]
Gearing Ratio : Favourable [ 0.28 Times ]
The interest cover showed that the SC was able to service the interest. The favourable interest cover could indicate that the SC was making enough profit to pay for the interest accrued. The SC was lowly geared thus it had a low financial risk. The SC was mainly financed by its shareholders' funds and internally generated funds. In times of economic slowdown / downturn, the SC being a lowly geared company, will be able to compete better than those companies which are highly geared in the same industry.
Overall Assessment :
Generally, the SC's performance has improved with higher turnover and profit. The SC was in good liquidity position with its total current liabilities well covered by its total current assets. With its current net assets, the SC should be able to repay its short term obligations. With the favourable interest cover, the SC could be able to service all the accrued interest without facing any difficulties.The SC as a lowly geared company, will be more secured compared to those highly geared companies. It has the ability to meet all its long term obligations.
Overall financial condition of the SC: STABLE
COMMENTS
Incorporated in 2001, the SC is principally engaged in the manufacturing of Active Pharmaceutical ingredients (API). The SC produces about 15 types of API including Bethasone Valerate, Mometasone Furoate, Bethasone Divropianate and etc. The SC has maintained contacts with its clients and is competing with others players in the same industry. Presently, the SC's paid up capital stands at RM1million.
Besides the local market, the SC has penetrated into
overseas markets such as
During the financial year 2005, the SC recorded a turnover of RM20.9miilion which is increased from RM11.04million in year 2004. At the same time, its pre-tax profit also increased to RM1.58million compared to RM1.40million in the previous year. Based on the high profitability, the SC has generated a favourable return on its shareholders' funds which indicated that the management was efficient in utilising its shareholder's funds to generate an acceptable income. Due to its good liquidity position, the SC does not face significant risk in meeting its short term financial obligations. The SC has low financial risk as it is mainly dependent on its internal funds to finance its business needs. Overall, the SC's financial standing is stable.
Investigation revealed that the SC's supplies are sourced from both local and overseas. Hence, the SC is subjected to currency fluctuation risk and high operating costs.
Based on our historical financial data, the SC's pattern of payment is good. The SC is clear of litigation.
The industry shows an upward trend and the trend is very likely to sustain in the near future. With the promising outlook of the industry performance, the business potential of the SC should be favourable.
In view of the above, we recommend credit be granted to the SC normally.
THE FINANCIAL
STATEMENTS WERE PREPARED IN ACCORDANCE WITH
PROFIT
AND LOSS ACCOUNT
For
The Year Ended 31-January-2005
SYMBIOTICA
SPECIALITY INGREDIENTS SDN BHD
2005 2004 2003
MYR MYR MYR
TURNOVER 20,993,973 11,043,964 9,917,182
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PROFIT/(LOSS) FROM OPERATIONS 1,582,555 1,405,177 174,775
SHARE OF
PROFITS/(LOSSES) OF ASSOCIATED
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PROFIT/(LOSS)
BEFORE TAXATION 1,582,555 1,405,177 174,775
Taxation <17,515> <26,800> <21,300>
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PROFIT/(LOSS)
AFTER TAXATION 1,565,040 1,378,377 153,475
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PROFIT/(LOSS)
BEFORE EXTRAORDINARY ITEMS 1,565,040 1,378,377 153,475
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PROFIT/(LOSS)
ATTRIBUTABLE TO SHAREHOLDERS 1,565,040 1,378,377 153,475
RETAINED
PROFIT/(ACCUMULATED LOSS) BROUGHT
FORWARD
As previously
reported 1,482,398 104,021 <49,454>
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As restated 1,482,398 104,021 <49,454>
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PROFIT
AVAILABLE FOR APPROPRIATIONS 3,047,438 1,482,398 104,021
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RETAINED
PROFIT/(ACCUMULATED LOSS) CARRIED
FORWARD 3,047,438 1,482,398 104,021
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RETAINED BY:
The Company 3,047,438 1,482,398 104,021
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3,047,438 1,482,398 104,021
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INTEREST
EXPENSE (as per notes to P&L)
Term loan 6,974 - 9,033
Bank
overdraft 39,700 42,511 10,129
Hire purchase 10,837 11,574 2,244
Interest on
trust receipts 8,485 3,154 4,173
Other
interest expenses 1,961 420 29
bankers'acceptance 55,956 45,514 21,823
bills 5,205 3,039 -
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129,118 106,212 47,431
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BALANCE SHEET
As At 31-January-2005
SYMBIOTICA SPECIALITY INGREDIENTS SDN BHD
2005 2004 2003
MYR MYR MYR
ASSETS
EMPLOYED:
FIXED ASSETS 1,504,305 1,079,236 884,366
LONG
TERM INVESTMENTS/OTHER ASSETS
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INTANGIBLE
ASSETS
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TOTAL LONG
TERM ASSETS 1,504,305 1,079,236 884,366
CURRENT
ASSETS
Stocks 2,591,617 1,185,100 411,227
Trade debtors 3,820,904 2,667,531 2,274,497
Other
debtors, deposits & prepayments 770,150 476,319 35,946
Short term
deposits 880,000 790,000 550,000
Items in
transit between head office & branches
Cash &
bank balances 291,049 159,456 420,873
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TOTAL CURRENT
ASSETS 8,353,720 5,278,406 3,692,543
CURRENT
LIABILITIES
Trade
creditors 2,342,224 1,933,222 1,607,605
Other
creditors & accruals 332,708 171,715 420,093
Hire purchase
& lease creditors 27,112 25,787 5,988
Bank
overdraft 709,892 535,423 550,078
Short term
borrowings/Term loans 18,131 - -
Bill &
acceptances payable 1,752,000 927,000 954,000
Amounts owing
to director 3,708 70,155 34,816
Provision for
taxation - - 21,300
trust receipt 211,313 70,961 102,078
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TOTAL CURRENT
LIABILITIES 5,397,088 3,734,263 3,695,958
------------------- ------------------- -------------------
NET CURRENT
ASSETS/(LIABILITIES) 2,956,632 1,544,143 <3,415>
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TOTAL NET
ASSETS 4,460,937 2,623,379 880,951
=========== =========== ===========
FINANCED
BY:
SHARE CAPITAL
Ordinary
share capital 1,000,000 1,000,000 750,000
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TOTAL SHARE
CAPITAL 1,000,000 1,000,000 750,000
RESERVES
Retained
profit/(Accumulated loss) carried
forward 3,047,438 1,482,398 104,021
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TOTAL
RESERVES 3,047,438 1,482,398 104,021
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SHAREHOLDERS'
FUNDS/EQUITY 4,047,438 2,482,398 854,021
LONG TERM
& DEFERRED LIABILITIES & PROVISIONS
Long term
loans 282,505 - -
Hire purchase
creditors 87,079 114,181 26,930
Deferred
taxation 43,915 26,800 -
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TOTAL LONG TERM & DEFERRED
LIABILITIES &
PROVISIONS 413,499 140,981 26,930
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4,460,937 2,623,379 880,951
=========== =========== ===========
FINANCIAL RATIOS
As At 31-January-2005
SYMBIOTICA SPECIALITY INGREDIENTS SDN BHD
2005 2004 2003
MYR MYR MYR
TYPES OF
FUNDS
Cash 1,171,049 949,456 970,873
Net Liquid
Funds 443,026 414,033 420,795
Net Liquid
Assets 365,015 359,043 <414,642>
Net Current
Assets/(Liabilities) 2,956,632 1,544,143 <3,415>
Net Tangible
Assets 4,460,937 2,623,379 880,951
Net Monetary
Assets <48,484> 218,062 <441,572>
BALANCE
SHEET ITEMS
Total
Borrowings 1,124,719 675,391 582,996
Total
Liabilities 5,810,587 3,875,244 3,722,888
Total Assets 9,858,025 6,357,642 4,576,909
Net Assets 4,460,937 2,623,379 880,951
Net Assets
Backing 4,047,438 2,482,398 854,021
Shareholders''
Funds 4,047,438 2,482,398 854,021
Total Share
Capital 1,000,000 1,000,000 750,000
Total
Reserves 3,047,438 1,482,398 104,021
LIQUIDITY
(Times)
Cash Ratio 0.22 0.25 0.26
Liquid Ratio 1.07 1.10 0.89
Current Ratio 1.55 1.41 1.00
WORKING
CAPITAL CONTROL (Days)
Stock Ratio 45 39 15
Debtors Ratio 66 88 84
Creditors
Ratio 41 64 59
SOLVENCY
RATIOS (Times)
Gearing Ratio 0.28 0.27 0.68
Liabilities
Ratio 1.44 1.56 4.36
Times
Interest Earned Ratio 13.26 14.23 4.68
PERFORMANCE
RATIO (%)
Operating
Profit Margin 7.54 12.72 1.76
Net Profit
Margin 7.45 12.48 1.55
Return On Net
Assets 38.37 57.61 25.22
Return On
Capital Employed 32.82 47.46 15.46
Return On
Shareholders'' Funds/Equity 38.67 55.53 17.97
Dividend Pay
Out Ratio (Times) 0 0 0
NOTES
TO ACCOUNTS
Contingent
Liabilities 0 0 0
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General unfavourable
factors will not cause fatal effect. Satisfactory capability for payment of
interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit
consideration. Capability to overcome financial difficulties seems
comparatively below average/normal. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
|
This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a
composite of weighted scores obtained from each of the major sections of this
report. The assessed factors and their relative weights (as indicated through
%) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)