MIRA
INFORM REPORT
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Report Date : |
29.10.2007 |
IDENTIFICATION
DETAILS
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Name : |
SPM METAL RECYCLING SDN BHD |
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Registered Office : |
Suite 1.00a, Wisma Yakin, Jalan Masjid India, 6th Floor, 50100 Kuala Lumpur, Wilayah Persekutuan |
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Country : |
Malaysia |
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Financials (as on) : |
31.12.2006 |
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Date of Incorporation : |
18/02/1993 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Metal Recycling |
RATING &
COMMENTS
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MIRA’s Rating : |
A |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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 |
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Status : |
Good |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Exists |
* Adopted abbreviations : SC - Subject Company ( the company enquired by you)
N/A - Not Applicable
EXECUTIVE SUMMARY
LOCAL NO : 258207-D
COMPANY NAME : SPM METAL RECYCLING SDN BHD
FORMER NAME : SUBRAMANIAM PLASTIC & METAL SDN BHD (31-03-2003)
INCORPORATION DATE : 18/02/1993
COMPANY STATUS : EXIST
LEGAL STATUS : PRIVATE LIMITED COMPANY
LISTED STATUS : NO
REGISTERED ADDRESS : SUITE 1.00A, WISMA YAKIN, JALAN MASJID INDIA, 6TH
FLOOR, 50100 KUALA LUMPUR, WILAYAH PERSEKUTUAN,
MALAYSIA.
BUSINESS ADDRESS : NO 29, JALAN BESI, OFF BATU 3 1/2, JALAN SUNGAI BESI,
57100 KUALA LUMPUR, WILAYAH PERSEKUTUAN,
MALAYSIA.
TEL NO : 03 - 79824673
FAX NO : 03 - 79804320
CONTACT PERSON : RAMANATHAN (CEO)
INDUSTRY CODE : 37109
PRINCIPAL ACTIVITY : METAL RECYCLING
AUTHORISED CAPITAL : MYR25,000,000.00 DIVIDED INTO ORDINARY SHARE
25,000,000 OF MYR1.00 EACH.
ISSUED AND PAID UP CAPITAL : MYR12,000,000.00 DIVIDED INTO ORDINARY SHARE
12,000,000 CASH OF MYR1.00 EACH.
SALES : MYR480,284,965 [2006]
NET WORTH : MYR50,315,057 [2006]
M1000 OVERALL RANKING : 862 [2005]
M1000 INDUSTRY RANKING : 15 [2005]
STAFF STRENGTH : 150 [2007]
BANKER (S) : AFFIN BANK BERHAD
: BANK ISLAM MALAYSIA BHD
: BANK MUAMALAT MALAYSIA BHD
: CIMB BANK BHD
: EXPORT-IMPORT BANK OF MALAYSIA BHD
: HSBC BANK MALAYSIA BHD
: MALAYAN BANKING BHD
: RHB BANK BHD
LITIGATION : TRACED
FINANCIAL CONDITION : STABLE
PAYMENT : N/A
MANAGEMENT CAPABILITY : GOOD
COMMERCIAL RISK : LOW
CURRENCY EXPOSURE : MODERATE
GENERAL REPUTATION : SATISFACTORY
INDUSTRY OUTLOOK : MATURE
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) metal recycling.
The SC is not listed on Bursa Malaysia (Malaysia Stock Exchange).
The SC is 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.
According to the Malaysia 1000 publication, the SC's ranking are as follows :
YEAR 2005 2004
OVERALL RANKING 862 873
INDUSTRY RANKING 15 12
The major shareholder(s) of the SC are shown as follows :
Name Address IC/PP/Loc
No: Shareholding
SPM HOLDINGS SDN BHD 29 JALAN BESI, OFF BATU 3 1/2, JALAN SG 459907 6,120,000
BESI,
57100 KUALA LUMPUR, WILAYAH
PERSEKUTUAN,
MALAYSIA.
SELADANG GRAND MENARA MILLENIUM, 8 JALAN DAMANLELA, 428299 3,953,600
CORPORATION SDN BHD DAMANSARA HEIGHTS, LEVEL 13, 50490
KUALA
LUMPUR, WILAYAH PERSEKUTUAN,
MALAYSIA.
LANDAS ALAF SDN BHD 605415 1,080,000
WASIAT
ALAM SDN BHD W1-112, KAMPUNG
PENGKALAN PASIR, 17000 584846 846,400
PASIR
MAS, KELANTAN, MALAYSIA.
--------------------
12,000,000
===========
+
Also Director
DIRECTORS
DIRECTOR 1
Name of Subject : MR. SUBRAMANIAM S/O KUPPUSAMY
Address : 26-3-2, JALAN 1/108C, TAMAN SUNGAI BESI, 57100 KUALA
LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.
IC / PP No. : 7332948
New IC No : 610609-02-5549
Date of Birth : 09/06/1961
Nationality : MALAYSIAN INDIAN
Date of Appointment : 18/02/1993
DIRECTOR 2
Name of Subject : MR. POOBALAN A/L KUPPUSAMY
Address : 3, JALAN 10, TAMAN MEGAH, 43000 KAJANG, SELANGOR, MALAYSIA.
IC / PP No. : 7332947
New IC No : 621127-02-5179
Date of Birth : 27/11/1962
Nationality : MALAYSIAN INDIAN
Date of Appointment : 25/01/1995
DIRECTOR 3
Name of Subject : MR. RAMANATHAN A/L KUPPUSAMY
Address : 42, JALAN MERAK 7, PUCHONG JAYA, SELANGOR, MALAYSIA.
IC / PP No. : 6034363
New IC No : 590403-07-5705
Date of Birth : 03/04/1959
Nationality : MALAYSIAN INDIAN
Date of Appointment : 15/10/1999
MANAGEMENT
1) Name of Subject : RAMANATHAN
Position : CEO
2) Name of Subject : A. TANGARAJAH
Position : GENERAL MANAGER
3) Name of Subject : SUBRAMANIAM S/O KUPPUSAMY
Position : MANAGING DIRECTOR
4) Name of Subject : K NARAYANAN
Position : ACCOUNT DIRECTOR
5) Name of Subject : MURUGESH
Position : CHIEF FINANCE OFFICER
6) Name of Subject : NANDAKUMAR
Position : MARKETING MANAGER
7) Name of Subject : DAYAPARAN
Position : HUMAN RESOURCE MANAGER
AUDITOR
Auditor : YEE CHOON KONG & CO
Auditors' Address : 30, JALAN 6A/91, TAMAN SHAMELIN PERKASA, 56100 KUALA
LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.
COMPANY SECRETARY
1) Company Secretary : MR. MANOHUR S/O K KUMARAN
IC / PP No. : 5857769
New IC No. : 600424-01-5847
Address : 12, JALAN 31/74A, KOTA KEMUNING, SELANGOR, MALAYSIA.
Date of Appointment : 18/02/1993
BANKING
Banking relations are maintained principally with :
1) Banker Name : AFFIN BANK BERHAD
2) Banker Name : BANK ISLAM MALAYSIA BHD
3) Banker Name : BANK MUAMALAT MALAYSIA BHD
4) Banker Name : CIMB BANK BHD
5) Banker Name : EXPORT-IMPORT BANK OF MALAYSIA BHD
6) Banker Name : HSBC BANK MALAYSIA BHD
7) Banker Name : MALAYAN BANKING BHD
8) 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 : 12 Dec 1997
Description of Charge : MEMO OF DEPOSIT & LETTER OF SET-OFF
Amount Secured : RM 7,300,000.00
Description of Property Affected : FDR 040283, 038808, 045426 & 045425 FOR RM1,750,000.00
Name & Address of Chargee : MALAYAN BANKING BHD
MENARA MAYBANK, JLN TUN PERAK, 50050 KUALA LUMPUR.
Form 40 Dated 27 Dec 1997
Registered and Numbered 7 In The Register of Charges
ENCUMBRANCE 2
Date of Creation : 15 Dec 1997
Description of Charge : CHARGE
Amount Secured : RM 220,500.00
Description of Property Affected : HS(M) 12694, PT 17034, MK KAPAR, SELANGOR
Name & Address of Chargee : MBF FINANCE BHD
LOT 46, WISMA BAN GUAN HUAT, JLN KAPAR, GRD FLR,
41400 KELANG, SELANGOR.
Form 40 Dated 06 Jan 1998
Registered and Numbered 8 In The Register of Charges
ENCUMBRANCE 3
Date of Creation : 05 Oct 1998
Description of Charge : N/A
Amount Secured : RM 3,000,000.00
Description of Property Affected : N/A
Name & Address of Chargee : EXPORT-IMPORT BANK OF MALAYSIA BHD
Form 40 Dated
Registered and Numbered 10 In The Register of Charges
ENCUMBRANCE 4
Date of Creation : 07 Oct 1999
Description of Charge : N/A
Amount Secured : RM 7,500,000.00
Description of Property Affected : N/A
Name & Address of Chargee : MALAYAN BANKING BHD
Form 40 Dated
Registered and Numbered 11 In The Register of Charges
ENCUMBRANCE 5
Date of Creation : 21 Aug 2000
Description of Charge : N/A
Amount Secured : RM 13,000,000.00
Description of Property Affected : N/A
Name & Address of Chargee : BANK MUAMALAT MALAYSIA BHD
Form 40 Dated
Registered and Numbered 12 In The Register of Charges
ENCUMBRANCE 6
Date of Creation : 17 May 2000
Description of Charge : N/A
Amount Secured : RM 6,000,000.00
Description of Property Affected : N/A
Name & Address of Chargee : OVERSEAS UNION BANK (MALAYSIA) BHD
Form 40 Dated
Registered and Numbered 13 In The Register of Charges
ENCUMBRANCE 7
Date of Creation : 19 Oct 2000
Description of Charge : N/A
Amount Secured : RM 6,000,000.00
Description of Property Affected : N/A
Name & Address of Chargee : BANK ISLAM MALAYSIA BHD
Form 40 Dated
Registered and Numbered 14 In The Register of Charges
ENCUMBRANCE 8
Date of Creation : 08 Nov 2000
Description of Charge : N/A
Amount Secured : RM 1,000,000.00
Description of Property Affected : N/A
Name & Address of Chargee : BANK ISLAM MALAYSIA BHD
Form 40 Dated
Registered and Numbered 15 In The Register of Charges
ENCUMBRANCE 9
Date of Creation : 02 Jul 2001
Description of Charge : N/A
Amount Secured : RM 2,000,000.00
Description of Property Affected : N/A
Name & Address of Chargee : OVERSEAS UNION BANK (MALAYSIA) BHD
Form 40 Dated
Registered and Numbered 16 In The Register of Charges
ENCUMBRANCE 10
Date of Creation : 08 Mar 2002
Description of Charge : OPEN CHARGE
Amount Secured : O/D
Description of Property Affected : N/A
Name & Address of Chargee : BANK MUAMALAT MALAYSIA BHD
Form 40 Dated
Registered and Numbered 17 In The Register of Charges
ENCUMBRANCE 11
Date of Creation : 22 Sep 2002
Description of Charge : N/A
Amount Secured : RM 1,500,000.00
Description of Property Affected : N/A
Name & Address of Chargee : MALAYAN BANKING BHD
Form 40 Dated
Registered and Numbered 18 In The Register of Charges
ENCUMBRANCE 12
Date of Creation : 24 Oct 2002
Description of Charge : N/A
Amount Secured : RM 1,600,000.00
Description of Property Affected : N/A
Name & Address of Chargee : HSBC BANK MALAYSIA BHD
Form 40 Dated
Registered and Numbered 19 In The Register of Charges
ENCUMBRANCE 13
Date of Creation : 14 Oct 2002
Description of Charge : N/A
Amount Secured : RM 3,031,000.00
Description of Property Affected : N/A
Name & Address of Chargee : MALAYAN BANKING BHD
Form 40 Dated
Registered and Numbered 20 In The Register of Charges
ENCUMBRANCE 14
Date of Creation : 25 Jun 2002
Description of Charge : N/A
Amount Secured : RM 1,500,000.00
Description of Property Affected : N/A
Name & Address of Chargee : RHB BANK BHD
Form 40 Dated
Registered and Numbered 21 In The Register of Charges
ENCUMBRANCE 15
Date of Creation : 04 Dec 2002
Description of Charge : N/A
Amount Secured : RM 3,500,000.00
Description of Property Affected : N/A
Name & Address of Chargee : BANK UTAMA (MALAYSIA) BHD
Form 40 Dated
Registered and Numbered 22 In The Register of Charges
ENCUMBRANCE 16
Date of Creation : 24 Apr 2001
Description of Charge : MEMO OF DEPOSIT & LETTER OF SET-OFF
Amount Secured : RM 5,000,000.00
Description of Property Affected : FDR 040283, 038808, 045426 & 045425 FOR RM1,750,000.00
Name & Address of Chargee : BANK UTAMA (MALAYSIA) BHD
Form 40 Dated
Registered and Numbered 23 In The Register of Charges
ENCUMBRANCE 17
Date of Creation : 11 Sep 2003
Description of Charge : MEMO OF DEPOSIT & LETTER OF SET-OFF
Amount Secured : RM 3,400,000.00
Description of Property Affected : FDR 040283, 038808, 045426 & 045425 FOR RM1,750,000.00
Name & Address of Chargee : HSBC BANK MALAYSIA BHD
Form 40 Dated
Registered and Numbered 24 In The Register of Charges
ENCUMBRANCE 18
Date of Creation : 17 Feb 2005
Description of Charge : N/A
Amount Secured : RM 4,000,000.00
Description of Property Affected : N/A
Name & Address of Chargee : CIMB BANK BHD
Form 40 Dated
Registered and Numbered 25 In The Register of Charges
ENCUMBRANCE 19
Date of Creation : 09 Aug 2007
Description of Charge : N/A
Amount Secured : RM 62,000,000.00
Description of Property Affected : N/A
Name & Address of Chargee : MALAYAN BANKING BHD
Form 40 Dated
Registered and Numbered 26 In The Register of Charges
ENCUMBRANCE 20
Date of Creation : 09 Aug 2007
Description of Charge : N/A
Amount Secured : RM 62,000,000.00
Description of Property Affected : N/A
Name & Address of Chargee : MALAYAN BANKING BHD
Form 40 Dated
Registered and Numbered 27 In The Register of Charges
ENCUMBRANCE 21
Date of Creation : 14 Aug 2007
Description of Charge : N/A
Amount Secured : RM 10,000,000.00
Description of Property Affected : N/A
Name & Address of Chargee : AFFIN BANK BERHAD
Form 40 Dated
Registered and Numbered 28 In The Register of Charges
ENCUMBRANCE 22
Date of Creation : 09 Aug 2007
Description of Charge : N/A
Amount Secured : RM 62,000,000.00
Description of Property Affected : N/A
Name & Address of Chargee : MALAYAN BANKING BHD
Form 40 Dated
Registered and Numbered 29 In The Register of Charges
ENCUMBRANCE 23
Date of Creation : 17 Aug 2007
Description of Charge : N/A
Amount Secured : RM 10,000,000.00
Description of Property Affected : N/A
Name & Address of Chargee : AFFIN BANK BERHAD
Form 40 Dated
Registered and Numbered 30 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.
LEGAL ACTION
Code No : 22 Case No : 1396
Year : 2004 Place : KUALA LUMPUR
Court : HIGH COURT
Solicitor : LEONG YENG KIT & CO
Plaintiff : PREMIUM CAPITAL
Defendants : SPM METAL RECYCLING SDN BHD (258207)
SUITE 1.00A, WISMA YAKIN, JLN MASJID INDIA, 6TH FLR,
50100 KUALA LUMPUR.
SUBRAMANIAM S/O KUPPUSAMY (7332948/610609-02-5549)
26-3-2 JLN 1/108C, TMN SG BESI, 57100 KUALA LUMPUR.
BALAKRISHNAN S/O RAMAN (8274274/570126-08-6503)
22-4-16 TMN SG BESI, 57000 KUALA LUMPUR.
POOBALAN S/O KUPPUSAMY (7332947/621127-02-5179)
3 JLN 10, TMN MEGAN, 43000 KAJANG, SELANGOR.
ANDREWSON S/O MICHAEL (A1925922/701213-10-5677)
4 JLN TASIK SELATAN, 57000 KUALA LUMPUR.
Amount Claimed : 700,000.00
Remarks : LIST
Code No : 22 Case No : 3080
Year : 1998 Place : KUALA LUMPUR
Court : HIGH COURT
Solicitor : LEE ONG & KANDIAH
Plaintiff : STANDARD CHARTERED BANK BHD
Defendants : SUBRAMANIAM PLASTIC & METAL SDN BHD (258207)
29 JLN SG BESI, KM 3 1/2, JLN SG BESI, 57100 KUALA LUMPUR.
& 4 ORS
Amount Claimed : 2,830,000.00
Nature of Claim : LOAN
Remarks : LIST
Code No : 22(2) Case No : 452
Year : 2000 Place : KUALA LUMPUR
Court : HIGH COURT
Solicitor : AMIN-TAN & CO
Solicitor Ref : THP-15107-00-CFBPJ-FL(25)(SHA)
Plaintiff : CEMPAKA FINANCE BHD
Defendants : P H METAL SDN BHD
SUBRAMANIAM PLASTIC & METAL SDN BHD (258207)
29 JLN BESI, OFF BT 3 1/2, JLN SG BESI, 57100 KUALA LUMPUR.
POOBALAN S/O KUPPUSAMY (7332947/621127-02-5179)
87 JLN MAHOGANI SD 1/4, TMN SRI DAMANSARA, 52100
KUALA LUMPUR.
NANTHAKUMAR S/O KANIDAH (A1496742/700104-02-5673)
1002 JLN PERHENTIAN SENTUL, 51100 KUALA LUMPUR.
ANDREWSON S/O MICHAEL (A1925922/701213-10-5677)
49 KG UDARA, BT 3 1/2, LEBUH RAYA SEREMBAN, 57100
KUALA LUMPUR.
Amount Claimed : 469,372.34
Nature of Claim : LOAN
Remarks : STAR 7/6/2001
Code No : 22 Case No : 468
Year : 2000 Place : KUALA LUMPUR
Court : HIGH COURT
Solicitor : CHE MOKHTAR & LING
Plaintiff : HONG LEONG BANK BHD
Defendants : SUBRAMANIAM PLASTIC & METAL SDN BHD (258207)
29 JLN BESI, OFF BT 3 1/2, JLN SG BESI, 57100 KUALA LUMPUR.
SUBRAMANIAM S/O KUPPUSAMY (7332948/610609-02-5549)
87 JLN MAHOGANI SD 1/4, BDR SRI D'SARA, KEPONG, 52100
KUALA LUMPUR.
POOBALAN S/O KUPPUSAMY (7332947/621127-02-5179)
3 JLN 10, TMN MEGAH, 43000 KAJANG, SELANGOR.
ANDREWSON S/O MICHAEL (A1925922/701213-10-5677)
29 JLN BESI, OFF BT 3 1/2, JLN SG BESI, 57100 KUALA LUMPUR.
Amount Claimed : 737,828.10
Nature of Claim : LOAN
Remarks : LIST
Code No : 22 Case No : 71
Year : 2005 Place : KUALA LUMPUR
Court : HIGH COURT
Solicitor : LEONG YENG KIT & CO
Plaintiff : PREMIUM CAPITAL
Defendants : SPM METAL RECYCLING SDN BHD (258207)
SUITE 1.00A, WISMA YAKIN, JLN MASJID INDIA, 6TH FLR,
50100 KUALA LUMPUR.
SUBRAMANIAM S/O KUPPUSAMY (7332948/610609-02-5549)
8A KG UDARA, BT 3 1/2 LEBUHRAYA SEREMBAN-KL, 58200
KUALA LUMPUR.
BALAKRISHNAN S/O RAMAN (8274274/570126-08-6503)
22-4-16 TMN SG BESI, 57000 KUALA LUMPUR.
POOBALAN S/O KUPPUSAMY (7332947/621127-02-5179)
3 JLN 10, TMN MEGAH, 43000 KAJANG, SELANGOR.
ANDREWSON S/O MICHAEL (A1925922/701213-10-5677)
4 JLN TASIK SELATAN, 57000 KUALA LUMPUR.
Amount Claimed : 641,747.13
Nature of Claim : LOAN
Remarks : LIST
NOTE: Please check with creditors for confirmation as alleged debts may have been paid since recorded or are being disputed. The person who has been sued has the same name as the subject. However, we are unable to determine whether the person sued is the one and the same person.
No winding up petition was found in our data bank
PAYMENT RECORD
SOURCES OF RAW MATERIALS :
Local : YES Percentage : 100%
Overseas : NO Percentage : 0 %
CLIENTELE
Local : YES
Domestic Markets : MALAYSIA.
Overseas : YES
Export Market : INDIA , THAILAND , MIDDLE EAST.
Credit Term : AS AGREED.
Payment Mode : CHEQUES , TELEGRAPHIC TRANSFER (TT) , LETTER OF CREDIT (LC).
Type of Customer : FACTORIES .
CUSTOMER (S) : 1) ALUMINIUM CO OF MALAYSIA BHD
OPERATIONS
Services : METAL RECYCLING
Total Number of Employees :
YEAR 2007
GROUP N/A
COMPANY 150
Branch : NO
Other Information :
The SC is principally engaged in the (as a / as an) metal recycling.
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 : 03-79824673
Match : N/A
Address Provided By Client : N/A
Current Address : NO 29, JALAN BESI, OFF BATU 3 1/2, JALAN SUNGAI
BESI, 57100 KUALA LUMPUR, WILAYAH
PERSEKUTUAN, MALAYSIA.
Match : N/A
Latest Financial Accounts : YES
Other Investigations
We conducted an interview with Ms Anu from the SC's Admin Department. She revealed some information pertaining to the SC.
FINANCIAL COMMENTS
The financial summary of the SC in Year 2006 showed that it was financially STABLE. The SC has striven to achieve a favourable turnover and profitability. Return on shareholders' funds of the SC was high indicating that the SC was efficient in utilising its shareholders' funds to generate favourable returns. Besides that, he SC was in good liquidity position with its current liabilities well covered by its current assets. With its net current assets, the SC should be able to repay its short term obligations.
Although the SC's liability ratio is high, it is mainly due to high current liabilities rather than long term debt. However, the high current liabilities are well covered by its large current assets, indicating that the SC does not face any shortage in short term working capital.
Overall financial condition of the SC: STABLE
COMMENTS
Established in 1993, as a private limited company, the SC is principally involved in metal recycling. With over a decade of business experience, it should have enabled the SC to build up its business reputation in the market. Having a large paid up capital of RM12 million, the SC has greater opportunities to expand its business when the needs arise. Under the SPM Group of Companies, the SC's business position in the market is quite stable. It has potential to keep its business going.
Besides catering to the local market, the SC also exports to overseas countries such as India, Thailand, Middle East and etc. As it concentrates in both local and overseas markets, we believe that the SC has the ability to lower its business risk to meet any uncertainties in the local economy. Presently, the SC has a staff strength of 150 employees in the operations. We noticed that the SC's business operation is well control by its management team. Overall, the SC's management capability is good.
In 2006, the SC reported turnover and pre-tax profit of RM480.28 million and RM11.70 million respectively. Due to its higher profitability, the SC has generated a favourable return on shareholders' funds, indicating that the SC was efficient in utilizing its funds to generate return. Moreover, with its current liabilities well covered by its current assets, the SC is able to meet its short term obligations. A high liabilities ratio may placed the SC at high financial risk. The overall financial performance of the SC is stable.
Our investigation revealed that all of the SC's raw materials are sourced locally. However, being involved in export activities, the SC is exposed to foreign exchange risk.
Based on our database, there are a few legal cases against the SC.
The industry is generally stable. With this normal outlook of the industry, the SC should remain competitive to retain its business position in the market. We believe that the SC's future prospect is bright as it has a large networth of RM50.32 million.
In view of the above, we recommend credit be granted to the SC normally.
THE FINANCIAL STATEMENTS WERE
PREPARED IN ACCORDANCE WITH MALAYSIA ACCOUNTING STANDARD.
PROFIT AND LOSS ACCOUNT
SPM
METAL RECYCLING SDN BHD
31-December-2006
Consolidated Accounts : No
UnQualified
Reports : Yes
RM
Turnover 480,284,965.00
Operating
Revenue 0.00
----------------------------
Profit
/ (Loss) Before Tax 11,703,218.00
----------------------------
Profit
/ (Loss) After Tax 8,067,483.00
Extraordinary
Item 0.00
Minority
Interest 0.00
----------------------------
Profit/(Loss)
Attributable to Shareholders 8,067,483.00
----------------------------
Prior
Period Adjustment 0.00
Net
Dividend 0.00
Transferred
To/From Reserved 0.00
Others 0.00
----------------------------
Unappropriated
Profit/(Loss) Brought Forward 30,247,574.00
----------------------------
Unappropriated
Profit/(Loss) Carried Forward 38,315,057.00
================
BALANCE SHEET
31-December-2006
Consolidated Accounts : No
UnQualified
Reports : Yes
RM
Fixed
Assets 5,196,864.00
Total
Investment 4,560,000.00
Amount
Owing By 0.00
Current
Assets 209,588,379.00
Intangible
Assets 0.00
Other
Assets <
70,345,666.00 >
----------------------------
Total
Assets 148,999,577.00
================
Working
Capital 110,903,859.00
Issued Capital 12,000,000.00
Paid
Up Capital 12,000,000.00
Share
Premium & Reserved 0.00
Unappropriated
Profit/(Loss) 38,315,057.00
----------------------------
Shareholder's
Fund/Equity 50,315,057.00
----------------------------
Current
Liabilities 98,684,520.00
Amount
Owing To 0.00
Long-term
and Deferred Liabilities 0.00
Share
Application Account 0.00
Minority
Interest 0.00
----------------------------
Total
Equity Liability 148,999,577.00
================
Contingent
Liabilities 0.00
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. |
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%)