MIRA
INFORM REPORT
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Report Date : |
22.03.2007 |
IDENTIFICATION
DETAILS
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Name : |
NATION TECH SDN
BHD |
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Registered Office : |
Wisma Maba, 6 Jalan Hang Jebat, 5th Floor, 50150 Kuala Lumpur, Wilayah Persekutuan |
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Country : |
Malaysia |
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Financials (as on) : |
31.07.2005 |
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Date of Incorporation : |
05/07/1988 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Design, Assembly and Marketing of Computer, Computer Peripheral and Accessories. |
RATING &
COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit consideration.
Capability to overcome financial difficulties seems comparatively below
average/normal. |
Small |
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Status : |
Satisfactory |
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Payment Behaviour : |
Usually correct |
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Litigation : |
Clear |
* Adopted abbreviations : SC - Subject Company ( the company enquired by you)
N/A - Not Applicable
EXECUTIVE SUMMARY
LOCAL NO : 171725-W
COMPANY NAME : NATION-TECH SDN BHD
FORMER NAME : NATIONGOLD SDN BHD (12-08-1988)
INCORPORATION DATE : 05/07/1988
COMPANY STATUS : EXIST
LEGAL STATUS : PRIVATE LIMITED COMPANY
LISTED STATUS : NO
REGISTERED ADDRESS : WISMA MABA, 6 JALAN HANG JEBAT, 5TH FLOOR, 50150
KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.
BUSINESS ADDRESS : LOT 16556, JLN 20, TAMAN KENCANA, CHERAS, 56100
KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.
TEL NO : 03 - 42806636
FAX NO : 03 - 42807595/5595
CONTACT PERSON : CHON YIN SIAN (GENERAL MANAGER)
INDUSTRY CODE : 30002
PRINCIPAL ACTIVITY : DESIGN, ASSEMBLY AND MARKETING OF COMPUTER,
COMPUTER PERIPHERAL AND ACCESSORIES
AUTHORISED CAPITAL : MYR5,000,000.00 DIVIDED INTO ORDINARY SHARE
5,000,000 OF MYR1.00 EACH.
ISSUED AND PAID UP CAPITAL : MYR3,000,000.00 DIVIDED INTO ORDINARY SHARE
2,900,000 CASH AND 100,000 OTHERWISE OF MYR1.00
EACH.
SALES : MYR64,788,783 [2005]
NET WORTH : MYR8,361,591 [2005]
STAFF STRENGTH : 80 [2007]
BANKER (S) : MALAYAN BANKING BHD
: RHB BANK BHD
LITIGATION : CLEAR
FINANCIAL CONDITION : LIMITED
PAYMENT : AVERAGE
MANAGEMENT CAPABILITY : AVERAGE
COMMERCIAL RISK : MODERATE
CURRENCY EXPOSURE : MODERATE
GENERAL REPUTATION : SATISFACTORY
INDUSTRY OUTLOOK : STRONG 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) design, assembly and marketing of computer, computer peripheral and accessories.
The SC is not listed on Bursa Malaysia (Malaysia Stock Exchange).
The SC is not qualified to be one of the Top Corporate Performers in the Malaysia 1000 (M1000) publication, a directory jointly published by Companies Commission of Malaysia (The Registrar Office), Minister of Domestic Trade and Consumer Affairs and our publication arm, BASIS Publications House Sdn Bhd.
The major shareholder(s) of the SC are shown as follows :
Name Address IC/PP/Loc No: Shareholding
CHENG HENG SWEE + 3-3
BLOCK E, PUTRA INDAH CONDO, JALAN 5572654 360,000.00
SR
8/6, SECTION 8, JALAN SERDANG RAYA, 590102-10-7371
43300
SERI KEMBANGAN, SELANGOR,
MALAYSIA.
CHON YIN SIAN + C10-6
BLOCK C, ABADI VILLA, 4 JALAN 2/109C, 5352117 360,000.00
OFF
JALAN KELANG LAMA, 58100 KUALA 580111-10-5993
LUMPUR,
WILAYAH PERSEKUTUAN,
MALAYSIA.
LEE TING PONG + 23
JALAN SL 7/21, BANDAR SUNGAI LONG, 5690863 240,000.00
43200
CHERAS, SELANGOR, MALAYSIA. 590512-10-6697
YEE PONG PIN + 42A-9-2
BAM VILLA, JALAN PRIA, TAMAN 5704600 240,000.00
MALURI,
55100 KUALA LUMPUR, WILAYAH 590814-06-5173
PERSEKUTUAN,
MALAYSIA.
LIU WIN-YIN 151
MINCHUAN RD, HSINTIEN CITY, TAIPEI M6317480 480,000.00
HSINE,
5TH FLOOR, TAIWAN.
ONG SO LIN 3-3
BLOCK E, PUTRA INDAH CONDO, JALAN 5953740 360,000.00
SR
8/6, SECTION 8, JALAN SERDANG RAYA,
43300
SERI KEMBANGAN, SELANGOR, MALAYSIA.
MEOW SAU WAN C10-6,
BLOCK C, ABADI VILLA, 4 JALAN 2/109C, 5751297 360,000.00
OFF
JALAN KELANG LAMA, 58100 KUALA
LUMPUR,
WILAYAH PERSEKUTUAN,
MALAYSIA.
FIRST INTERNATIONAL 6F
FORMOSA PLASTICS REAR BUILDING, 201 600,000.00
COMPUTER INC TUNG
HWA N ROAD TAIPEI, TAIWAN.
--------------------
3,000,000
===========
+ Also Director
The SC interest in other companies (Subsidiaries/Associates) are shown as follows:
Local No Name (%) As At
452923 NATION-TECH
(BATU PAHAT) SDN BHD 100.00 31/07/05
453370 NATION-TECH
(PAHANG) SDN BHD 100.00 31/07/05
NATION-TECH
(SABAH) SDN BHD 99.80 31/07/05
NATION-TECH
HYUNDAI SDN BHD 100.00 31/07/05
DIRECTORS
DIRECTOR 1
Name of Subject : CHENG HENG SWEE
Address : 3-3 BLOCK E, PUTRA INDAH CONDO, JALAN SR 8/6, SECTION 8,
JALAN SERDANG RAYA, 43300 SERI KEMBANGAN, SELANGOR,
MALAYSIA.
IC / PP No : 5572654
New IC No : 590102-10-7371
Date of Birth : 02/01/1959
Nationality : MALAYSIAN CHINESE
Date of Appointment : 18/07/1988
DIRECTOR 2
Name of Subject : CHON YIN SIAN
Address : C10-6 BLOCK C, ABADI VILLA, 4 JALAN 2/109C, OFF JALAN
KELANG LAMA, 58100 KUALA LUMPUR, WILAYAH
PERSEKUTUAN, MALAYSIA.
IC / PP No : 5352117
New IC No : 580111-10-5993
Date of Birth : 11/01/1958
Nationality : MALAYSIAN CHINESE
Date of Appointment : 09/02/1989
DIRECTOR 3
Name of Subject : LEE TING PONG
Address : 23 JALAN SL 7/21, BANDAR SUNGAI LONG, 43200 CHERAS,
SELANGOR, MALAYSIA.
IC / PP No : 5690863
New IC No : 590512-10-6697
Date of Birth : 12/05/1959
Nationality : MALAYSIAN CHINESE
Date of Appointment : 10/12/1996
DIRECTOR 4
Name of Subject : YEE PONG PIN
Address : 42A-9-2 BAM VILLA, JALAN PRIA, TAMAN MALURI, 55100 KUALA
LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.
IC / PP No : 5704600
New IC No : 590814-06-5173
Date of Birth : 14/08/1959
Nationality : MALAYSIAN CHINESE
Date of Appointment : 10/12/1996
MANAGEMENT
1) Name of Subject : CHON YIN SIAN
Position : GENERAL MANAGER
2) Name of Subject : CHENG HENG SWEE
Position : MANAGING DIRECTOR
3) Name of Subject : CHAN YUKE FEN
Position : ACCOUNTANT
4) Name of Subject : YAP KIM HING
Position : MARKETING MANAGER
5) Name of Subject : LEE WAI KEAT
Position : HUMAN RESOURCE MANAGER
AUDITOR
Auditor : K C CHIA & NOOR
Auditors' Address : 229-1 & 2, JALAN PERKASA SATU, TAMAN MALURI , CHERAS, 55100,
WILAYAH PERSEKUTUAN, MALAYSIA.
COMPANY SECRETARY
1) Company Secretary : PUSPA DAS S/O MARIA SANJIVI
IC / PP No. : 3677496
New IC No. : 400626-10-5449
Address : 142 JALAN BUKIT DESA 5, TAMAN BUKIT DESA, KEPONG,
52100 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.
Date of Appointment : 18/07/1988
BANKING
Banking relations are maintained principally with :
1) Banker Name : MALAYAN BANKING BHD
2) Banker Name : RHB BANK 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 : 26 Feb 1996
Description of Charge : MEMO OF DEPOSIT & LETTER OF SET OFF
Amount Secured : RM 500,000.00
Description of Property Affected : FD OF RM300,000.00 WITH AN ADDITIONAL FD OF MINIMUM
RM15,000.00TO BE PLEDGED ON QUARTERLY BASIS
UNTIL REARCHES RM500,000.00
Name & Address of Chargee : MALAYAN BANKING BHD
LOT F1/26 & 1/27, KOMPLEKS DAYABUMI, JLN SULTAN
HISHAMMUDDIN, 1ST FLR, 50050 KUALA LUMPUR.
Form 40 Dated 29 Mar 1996
Registered and Numbered 13 In The Register of Charges
ENCUMBRANCE 2
Date of Creation : 15 May 1996
Description of Charge : 1ST PARTY 1ST CHARGE
Amount Secured : RM 4,950,000.00
Description of Property Affected : 7A JLN CEMPAKA 15, TMN CEMPAKA, AMPANG,
SELANGOR\r\n9 & 11 JLN AWANA 15, TMN CHERAS AWANA,
43200 CHERAS, SELANGOR
Name & Address of Chargee : MALAYAN BANKING BHD
LOT F1/26 & 1/27, KOMPLEKS DAYABUMI, JLN SULTAN
HISHAMMUDDIN, 1ST FLR, 50050 KUALA LUMPUR.
Form 40 Dated 23 May 1996
Registered and Numbered 14 In The Register of Charges
ENCUMBRANCE 3
Date of Creation : 15 May 1996
Description of Charge : 1ST PARTY 1ST DEBENTURE
Amount Secured : RM 4,950,000.00
Description of Property Affected : 1ST FIXED & FLOATING CHARGE
Name & Address of Chargee : MALAYAN BANKING BHD
LOT F1/26 & 1/27, KOMPLEKS DAYABUMI, JLN SULTAN
HISHAMMUDDIN, 1ST FLR, 50050 KUALA LUMPUR.
Form 40 Dated 23 May 1996
Registered and Numbered 15 In The Register of Charges
ENCUMBRANCE 4
Date of Creation : 22 Sep 1997
Description of Charge : LOAN AGREEMENT, ASSIGNMENT & SUPPLEMENTAL O/D
AGREEMENT FL OF RM123,000.00 O/D OF RM123,000.00
Amount Secured : RM 246,000.00
Description of Property Affected : SHOPLOT 13A, COMPLEX CN GALLERY, LEVEL 4
Name & Address of Chargee : SIME BANK BHD
BGN LEE YAN LIAN, JLN TUN PERAK, 50050 KUALA
LUMPUR.
Form 40 Dated 26 Sep 1997
Registered and Numbered 16 In The Register of Charges
ENCUMBRANCE 5
Date of Creation : 22 Sep 1997
Description of Charge : LOAN AGREEMENT, ASSIGNMENT & SUPPLEMENTAL O/D
AGREEMENT FL OF RM123,000.00 O/D OF RM123,000.00
Amount Secured : RM 246,000.00
Description of Property Affected : SHOPLOT 13, COMPLEX CN GALLERY, LEVEL 4
Name & Address of Chargee : SIME BANK BHD
BGN LEE YAN LIAN, JLN TUN PERAK, 50050 KUALA LUMPUR.
Form 40 Dated 26 Sep 1997
Registered and Numbered 17 In The Register of Charges
ENCUMBRANCE 6
Date of Creation : 13 Nov 1997
Description of Charge : 1ST CHARGE FL OF RM1,100,000.00 O/D OF RM1,100,000.00
TRADE FACILITIES OF RM1,000,000.00
Amount Secured : RM 3,200,000.00
Description of Property Affected : LM 7, LOT 16556, MK AMPANG, TEMPAT KAMPONG CHERAS
BARU, SELANGOR
Name & Address of Chargee : SIME BANK BHD
BGN LEE YAN LIAN, JLN TUN PERAK, 50050 KUALA LUMPUR.
Form 40 Dated 31 Dec 1997
Registered and Numbered 18 In The Register of Charges
ENCUMBRANCE 7
Date of Creation : 16 Jan 2001
Description of Charge : 2ND CHARGE
Amount Secured : RM 2,000,000.00
Description of Property Affected : PMK LM7, LOT 16556, MK AMPANG
Name & Address of Chargee : RHB BANK BHD
BGN LEE YAN LIAN, JLN TUN PERAK, 50050 KUALA LUMPUR.
Form 40 Dated 08 Feb 2001
Registered and Numbered 19 In The Register of Charges
ENCUMBRANCE 8
Date of Creation : 03 Jul 2003
Description of Charge : MEMO OF DEPOSIT
Amount Secured : RM 600,000.00
Description of Property Affected : FD
Name & Address of Chargee : MALAYAN BANKING BHD
JLN TUN PERAK BUSS CTR, FT REGION, MENARA
MAYBANK, 100 JLN TUN PERAK, 50050 KUALA LUMPUR.
Form 40 Dated 09 Jul 2003
Registered and Numbered 20 In The Register of Charges
ENCUMBRANCE 9
Date of Creation : 14 Aug 2004
Description of Charge : DEBENTURE, AGREEMENT, MEMO OF DEPOSIT, LETTER
OF SET-OFF & LETTER OF GUARANTEE
Amount Secured : RM 3,000,000.00
Description of Property Affected : FIXED & FLOATING CHARGE
Name & Address of Chargee : MALAYAN BANKING BHD
JLN TUN PERAK BUSS CTR, FT REGION, MENARA
MAYBANK, 100 JLN TUN PERAK, 50050 KUALA LUMPUR.
Form 40 Dated 06 Jul 2004
Registered and Numbered 21 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 Malaysia 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
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 [ ] Average [ X ]
Fair [ ] Poor [ ]
CLIENTELE
Local : YES Percentage : 90%
Domestic Markets : MALAYSIA.
Overseas : YES Percentage : 10%
Export Market : ASIA.
Credit Term : 30 - 60 DAYS.
Payment Mode : CHEQUES.
Type of Customer : RETAILERS, END USERS.
OPERATIONS
Products Manufactured : PERSONAL COMPUTER, NOTEBOOK, REFILL INK FOR CANON, HP, EPSON
& LEXMARK INKJET PRINTER AND REPLACEMENT CARTRIDGE FOR
CANON, HP, EPSON & LEXMARK INKJET PRINTER
Brand Name : ARTEC, KWORLD, FIC, GIGABYTE, KINGMAX, LIKOM, HYUNDAI, SEPOMS,
ELSA,I-DIGITAL AND ETC
Competitor(s) : JCY HDD TECHNOLOGY SDN BHD
FUJI ELECTRIC (MALAYSIA) SDN BHD
PENANG SEAGATE INDUSTRIES (M) SDN BHD
FTEC RESOURCES BHD
HOYA GLASS DISK MALAYSIA SDN BHD
Ownership of premises : OWNED
Total Number of Employees :
YEAR 2007 2006 2005 2004
GROUP 80 85 82 78
COMPANY 65 70 60 57
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 : 42806636
Current Telephone Number : 03-42806636
Match : YES
Address Provided By Client : LOT 16556, JLN 20, TAMAN KENCANA, CHERAS, 56100
KUALA LUMPUR.
Current Address : LOT 16556, JLN 20, TAMAN KENCANA, CHERAS,
56100 KUALA LUMPUR, WILAYAH PERSEKUTUAN,
MALAYSIA.
Match : YES
Latest Financial Accounts : YES
Other Investigations
On 21st March 2007, we conducted an interview with the SC's
staff from Account Dept. She furnished us some
information on the SC.
FINANCIAL COMMENTS
Profitability :
Turnover : Increased [ 2003-2005 ]
Profit / ( Loss ) before tax : Increased [ 2003-2005 ]
Return on Shareholder Funds : Unfavourable [ 4.62% ]
Return on Net Assets : Acceptable [ 15.28% ]
The SC's turnover increased steadily as the demand for its products / services increased due to the goodwill built up over the years. The higher profit could be attributed to the increase in turnover. The unfavourable return on shareholders' funds and net assets could indicate that the SC's management was inefficient in utilising its assets to generate returns.
Working Capital Control :
Stocks Ratio : Favourable [ 29 Days ]
Debtors Ratio : Unfavourable [ 82 Days ]
Creditors Ratio : Favourable [ 42 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 : Acceptable [ 0.91 Times ]
Current Ratio : Unfavourable [ 1.19 Times ]
The SC's liquid ratio was slightly low. This could indicate that the SC's working capital was slightly deficient. The SC will have to improve its liquidity position either by obtaining short term financing or increase its paid up capital so that it can meet all its short term obligations as and when they fall due.
Solvency :
Interest Cover : Unfavourable [ 1.83 Times ]
Gearing Ratio : Favourable [ 0.30 Times ]
The SC's interest cover was low. If its profits fall or when interest rate rises, it may not be able to meet all its interest payment. 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's liquidity was at an acceptable range. If the SC is able to obtain further short term financing, it should be able to meet all its short term obligations. If there is a fall in the SC's profit or any increase in interest rate, the SC may not be able to generate sufficient cash-flow to service its interest. 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: LIMITED
COMMENTS
Established in 1988, the SC is principally engaged in the designing, assembly and marketing of computer, computer peripheral and accessories. Its long presence in the industry coupled with its vast experiences in the business, the SC should have built up a certain goodwill with its client over times. The SC is a private limited company and the paid up capital of the SC stands at RM3 million.
Apart from supplying its products to local market, the SC also exports to overseas markets. However, the SC is still vulnerable to the changes in the local market as 90% of the SC's incomes are generated from the local market. At present the workforce of the SC is 80 and the SC's business activities are overseen by its Managing Director, Cheng Heng Swee and its management capability is average.
During the financial year 2005, the SC's turnover increased from RM63,200,949 to RM64,788,783. Its pre-tax profit jumped by 212,42%to RM615,817 compared to RM197,112. The SC's liquidity position was at an acceptable range and it should be able to meet its short term obligations. Beside this the SC posted a low gearing ratio indicating that the SC faces low financial risk. However the SC posted low return on shareholders' funds indicating that the SC did not generate an acceptable amount of profits based on its existing shareholders' funds. Nevertheless, given a healthy net worth exceeding RM8 million, the SC has the ability to further expand its business.
Investigation revealed that the SC's supplies are sourced locally and imported from overseas countries. Thus, it is subjected to currency fluctuation risk which in turn may impair its operating results.
Based on the historical financial data, we concluded that the SC's payment record is average. The SC is clear of litigation.
The ICT industry in Malaysia is one of the sectors that is registering the fastest growth rate. In view of the long term potential of this dynamic market, we believe that the SC should be able to further enhance its business. However, the competition within the industry is intense. Hence, the SC should improve its management capability and increase its capacity as well as explore more new market segments in order to have a stable standing in the industry.
In view of the above and based on our assessment we recommend credit be granted to the SC with close monitoring.
THE FINANCIAL STATEMENTS
WERE PREPARED IN ACCORDANCE WITH MALAYSIA ACCOUNTING STANDARD.
CONSOLIDATED PROFIT AND LOSS ACCOUNT
For The Year Ended 31-July-2005
NATION-TECH SDN BHD
2005 2004 2003
MYR MYR MYR
TURNOVER 64,788,783 63,200,949 47,028,793
=========== =========== ===========
PROFIT/(LOSS)
FROM OPERATIONS 615,817 197,112 629,956
SHARE OF PROFITS/(LOSSES) OF
ASSOCIATED
------------------- ------------------- -------------------
PROFIT/(LOSS)
BEFORE TAXATION 615,817 197,112 629,956
Taxation <229,345> <307,999> <364,633>
------------------- ------------------- -------------------
PROFIT/(LOSS)
AFTER TAXATION 386,472 <110,887> 265,323
Minority
interests 1 6 17
------------------- ------------------- -------------------
PROFIT/(LOSS)
BEFORE EXTRAORDINARY ITEMS 386,473 <110,881> 265,340
------------------- ------------------- -------------------
PROFIT/(LOSS)
ATTRIBUTABLE TO SHAREHOLDERS 386,473 <110,881> 265,340
RETAINED PROFIT/(ACCUMULATED LOSS)
BROUGHT
FORWARD
As previously
reported 4,975,118 5,085,999 4,820,659
------------------- ------------------- -------------------
As restated 4,975,118 5,085,999 4,820,659
------------------- ------------------- -------------------
PROFIT
AVAILABLE FOR APPROPRIATIONS 5,361,591 4,975,118 5,085,999
------------------- ------------------- -------------------
RETAINED PROFIT/(ACCUMULATED LOSS)
CARRIED
FORWARD 5,361,591 4,975,118 5,085,999
=========== =========== ===========
RETAINED
BY: The Company 5,361,591 4,975,118 5,085,999
------------------- ------------------- -------------------
5,361,591 4,975,118 5,085,999
=========== =========== ===========
INTEREST
EXPENSE (as per notes to P&L)
Term loan 34,251 45,044 62,479
Bank
overdraft 88,294 94,931 95,691
Hire purchase 39,010 52,753 81,470
Interest on
trust receipts 147,996 141,886 46,053
Banker's
acceptances 425,329 303,787 289,891
Factoring 6,237 - -
factoring - 4,593 -
------------------- ------------------- -------------------
741,117 642,994 575,584
=========== =========== ===========
CONSOLIDATED BALANCE SHEET
As At 31-July-2005
NATION-TECH SDN BHD
2005 2004 2003
MYR MYR MYR
ASSETS EMPLOYED:
FIXED ASSETS 5,366,989 5,626,113 5,976,283
LONG TERM
INVESTMENTS/OTHER ASSETS
Investments 32,000 32,000 32,000
------------------- ------------------- -------------------
TOTAL LONG
TERM INVESTMENTS/OTHER ASSETS 32,000 32,000 32,000
INTANGIBLE
ASSETS
Goodwill on
consolidation - 18,046 34,732
------------------- ------------------- -------------------
TOTAL
INTANGIBLE ASSETS - 18,046 34,732
------------------- ------------------- -------------------
TOTAL LONG
TERM ASSETS 5,398,989 5,676,159 6,043,015
CURRENT
ASSETS
Stocks 5,139,478 6,980,867 5,847,255
Trade debtors 14,562,991 14,477,387 10,646,971
Other
debtors, deposits & prepayments 123,226 298,992 150,655
Short term
deposits 1,872,186 1,231,235 981,953
Items in transit between head
office & branches
Cash &
bank balances 259,292 163,293 142,721
Tax
recoverable 71,772 117,100 381,735
------------------- ------------------- -------------------
TOTAL CURRENT
ASSETS 22,028,945 23,268,874 18,151,290
CURRENT
LIABILITIES
Trade
creditors 7,518,337 9,838,456 6,004,144
Other
creditors & accruals 664,740 1,024,899 680,804
Hire purchase
& lease creditors 160,990 280,093 243,717
Bank
overdraft 1,776,794 1,572,842 1,720,782
Short term
borrowings/Term loans 142,823 132,407 139,685
Bill &
acceptances payable 7,925,000 7,031,000 6,201,000
Amounts owing
to director 289,141 51,069 52,071
Provision for
taxation 67,909 265 1,928
Others
(please specify) - 317,074 -
Others
(please specify) - 1,931 -
------------------- ------------------- -------------------
TOTAL CURRENT
LIABILITIES 18,545,734 20,250,036 15,044,131
------------------- ------------------- -------------------
NET CURRENT
ASSETS/(LIABILITIES) 3,483,211 3,018,838 3,107,159
------------------- ------------------- -------------------
TOTAL NET
ASSETS 8,882,200 8,694,997 9,150,174
========== =========== ===========
FINANCED BY:
SHARE CAPITAL
Ordinary
share capital 3,000,000 3,000,000 3,000,000
------------------- ------------------- -------------------
TOTAL SHARE
CAPITAL 3,000,000 3,000,000 3,000,000
RESERVES
Retained profit/(Accumulated loss)
carried
forward 5,361,591 4,975,118 5,085,999
------------------- ------------------- -------------------
TOTAL
RESERVES 5,361,591 4,975,118 5,085,999
------------------- ------------------- -------------------
SHAREHOLDERS'
FUNDS/EQUITY 8,361,591 7,975,118 8,085,999
MINORITY
INTEREST 40 41 47
LONG TERM
& DEFERRED LIABILITIES & PROVISIONS
Long term
loans 212,567 360,739 494,331
Hire purchase
creditors 227,002 265,099 461,797
Deferred
taxation 81,000 94,000 108,000
------------------- ------------------- -------------------
TOTAL LONG TERM & DEFERRED
LIABILITIES &
PROVISIONS 520,569 719,838 1,064,128
------------------- ------------------- -------------------
8,882,200 8,694,997 9,150,174
=========== =========== ===========
CONSOLIDATED FINANCIAL RATIOS
As At 31-July-2005
NATION-TECH SDN BHD
2005 2004 2003
MYR MYR MYR
TYPES OF FUNDS
Cash 2,131,478 1,394,528 1,124,674
Net Liquid
Funds 211,861 <310,721> <735,793>
Net Liquid
Assets <1,656,267> <3,962,029> <2,740,096>
Net Current
Assets/(Liabilities) 3,483,211 3,018,838 3,107,159
Net Tangible
Assets 8,882,200 8,676,951 9,115,442
Net Monetary
Assets <2,176,836> <4,681,867> <3,804,224>
BALANCE SHEET
ITEMS
Total
Borrowings 2,520,176 2,611,180 3,060,312
Total
Liabilities 19,066,303 20,969,874 16,108,259
Total Assets 27,427,934 28,945,033 24,194,305
Net Assets 8,882,200 8,694,997 9,150,174
Net Assets
Backing 8,361,631 7,975,159 8,086,046
Shareholders''
Funds 8,361,591 7,975,118 8,085,999
Total Share
Capital 3,000,000 3,000,000 3,000,000
Total
Reserves 5,361,591 4,975,118 5,085,999
LIQUIDITY
(Times)
Cash Ratio 0.11 0.07 0.07
Liquid Ratio 0.91 0.80 0.82
Current Ratio 1.19 1.15 1.21
WORKING
CAPITAL CONTROL (Days)
Stock Ratio 29 40 45
Debtors Ratio 82 84 83
Creditors
Ratio 42 57 47
SOLVENCY
RATIOS (Times)
Gearing Ratio 0.30 0.33 0.38
Liabilities
Ratio 2.28 2.63 1.99
Times Interest
Earned Ratio 1.83 1.31 2.09
PERFORMANCE
RATIO (%)
Operating
Profit Margin 0.95 0.31 1.34
Net Profit
Margin 0.60 <0.18> 0.56
Return On Net
Assets 15.28 9.66 13.18
Return On
Capital Employed 12.38 7.88 10.74
Return On
Shareholders'' Funds/Equity 4.62 <1.39> 3.28
Dividend Pay
Out Ratio (Times) 0 0 0
NOTES TO
ACCOUNTS
Contingent
Liabilities 0 0 0
RATING
EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>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%)