MIRA
INFORM REPORT
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Report Date : |
30.08.2007 |
IDENTIFICATION DETAILS
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Name : |
PENFABRIC SDN BHD |
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Registered Office : |
Plot 117-119 & 200-202, Block B, Prai Free Trade Zone,
13600 Perai, Pulau Pinang |
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Country : |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
12/04/1973 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Manufacturing of Yarn, Fabric, Dyeing, Printing and Finishing |
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 : |
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 : 14240-M
COMPANY NAME : PENFABRIC SDN BHD
FORMER NAME :
INCORPORATION DATE : 12/04/1973
COMPANY STATUS : EXIST
LEGAL STATUS : PRIVATE LIMITED COMPANY
LISTED STATUS : NO
REGISTERED ADDRESS : PLOT 117-119 & 200-202, BLOCK B, PRAI FREE TRADE
ZONE,
13600 PERAI, PULAU
BUSINESS ADDRESS : BLOCK B, PLOT 117-119 & 200-202, PRAI FREE INDUSTRIAL
ZONE,
13600 PERAI, PULAU
TEL NO : 04 - 3907000
FAX NO : 04 - 3908260
WEB SITE : www.penfabric.com
CONTACT PERSON : KATSUMASA NAKANO (MANAGING DIRECTOR)
INDUSTRY CODE : 17121
PRINCIPAL ACTIVITY : MANUFACTURING OF YARN, FABRIC, DYEING, PRINTING
AND FINISHING
AUTHORISED CAPITAL : MYR120,000,000.00 DIVIDED INTO ORDINARY SHARE
120,000,000 OF MYR1.00 EACH.
ISSUED AND PAID UP CAPITAL : MYR86,000,000.00 DIVIDED INTO ORDINARY SHARE
86,000,000 CASH OF MYR1.00 EACH.
SALES : MYR622,805,000 [2006]
NET WORTH : MYR370,277,000 [2006]
STAFF STRENGTH : 2,300 [2007]
BANKER (S) : MALAYAN BANKING BHD
LITIGATION : CLEAR
FINANCIAL CONDITION : STABLE
PAYMENT : GOOD
MANAGEMENT CAPABILITY : AVERAGE
COMMERCIAL RISK : MODERATE
CURRENCY EXPOSURE : HIGH
GENERAL REPUTATION : GOOD
INDUSTRY OUTLOOK : MARGINAL 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 yarn, fabric, dyeing, printing and finishing.
The SC is not listed on
The SC is not qualified to be one of the Top Corporate
Performers in the
The immediate holding company of the SC is TORAY INDUSTRIES
INC, a company in incorporated in
The major shareholder(s) of the SC are shown as follows :
Name Address IC/PP/Loc
No: Shareholding
TORAY INDUSTRIES INC 1-1 NIHONBASHI-MUROMACHI, CHUO-KU, 86,000,000
2-CHOME,
103-8666
--------------------
86,000,000
===========
+ Also Director
* Remark:
SSM - 27/04/2007
The SC interest in other companies (Subsidiaries/Associates) are shown as follows:
Local No Name (%) As At
353676 PENOVATE SDN BHD 70.00 31/03/05
DIRECTORS
DIRECTOR 1
Name of Subject : MAKOTO MITSUHASHI
Address : 35-23-3, MUTIARA VILLA, JALAN BAGAN JERMAL, 10250 PULAU
PINANG,
PULAU
IC / PP No. : TF3723992
Nationality : JAPANESE
Date of Appointment : 21/06/2005
DIRECTOR 2
Name of Subject : AKIRA MIMURA
Address : 25-2-3 SRI YORK CONDOMINIUM, 23 HALAMAN YORK, 10450
PULAU
PINANG, PULAU
IC / PP No. : TH0265658
Nationality : JAPANESE
Date of Appointment : 20/06/2006
DIRECTOR 3
Name of Subject : HAJIME ISHII
Address : 82-04-06, DESA MAS, JALAN KELAWEI,
10250 PULAU
PULAU
IC / PP No. : TZ0113718
Nationality : JAPANESE
Date of Appointment : 01/01/2005
DIRECTOR 4
Name of Subject : MR. QUAH CHIN KOOI
Address : 2Y, LORONG DELIMA 14, 11700 GELUGOR,
PULAU
IC / PP No. : 4834313
New IC No : 550711-07-5321
Nationality : MALAYSIAN CHINESE
Date of Appointment : 01/10/2004
DIRECTOR 5
Name of Subject : MR. HO SOO BOON
Address : 11, JALAN KEDIDI 1, SUNGAI ARA, 11900 BAYAN LEPAS, PULAU
IC / PP No. : 4669910
New IC No : 540907-07-5383
Nationality : MALAYSIAN CHINESE
Date of Appointment : 01/10/2004
DIRECTOR 6
Name of Subject : MR. GOH SENG SEOK
Address : 16, LENGKOK MUHIBBAH,
MERTAJAM,
PULAU
IC / PP No. : 4105383
New IC No : 510918-07-5357
Nationality : MALAYSIAN CHINESE
Date of Appointment : 25/04/1997
DIRECTOR 7
Name of Subject : MR. TEH HOCK SOON
Address : 5 LINTANG INDAH 2,
MERTAJAM,
PULAU
IC / PP No. : 4206259
New IC No : 511231-07-5101
Nationality : MALAYSIAN CHINESE
Date of Appointment : 01/11/1995
DIRECTOR 8
Name of Subject : DATO' SAW ENG HUAT
Address : 2,
IC / PP No. : 0962301
New IC No : 390404-07-5241
Nationality : MALAYSIAN CHINESE
Date of Appointment : 28/07/1987
DIRECTOR 9
Name of Subject : MR. MOHD ASRI BIN ABDUL GHAFAR
Address : 47, JALAN SETIAKASIH,
LUMPUR,
WILAYAH
IC / PP No. : 4941615
New IC No : 560322-04-5267
Nationality : MALAYSIAN MALAY
Date of Appointment : 12/09/1986
DIRECTOR 10
Name of Subject : RYUJI HIRAI
Address :
HARBOUR
CITY
IC / PP No. : TH0265193
Nationality : CHINESE
Date of Appointment : 14/08/2006
DIRECTOR 11
Name of Subject : KATSUMASA NAKANO
Address : 8-L5-4A
PULAU
IC / PP No. : MZ02155553
Nationality : JAPANESE
Date of Appointment : 02/07/2005
DIRECTOR 12
Name of Subject : MUNEHIRO SE
Address : 19, JALAN TUNKU ABDUL RAHMAN, 10350
PULAU
PULAU
IC / PP No. : TH0762056
Nationality : N/A
Date of Appointment : 28/06/2006
DIRECTOR 13
Name of Subject : KENJI UENO
Address : 1-24-20-209 ASAHIGA-OKA, OTHSU SHIGA,
520-0052,
IC / PP No. : TZ0063866
Nationality : JAPANESE
Date of Appointment : 11/08/2005
DIRECTOR 14
Name of Subject : AKITO MIYOSHI
Address : 31A-19-3
TOKONG,
10470 PULAU PINANG, PULAU
IC / PP No. : TG7618327
Nationality : JAPANESE
Date of Appointment : 07/10/2005
MANAGEMENT
1) Name of Subject : KATSUMASA NAKANO
Position : MANAGING DIRECTOR
2) Name of Subject : K K HUN
Position : CORPORATE AFFAIRS MANAGER
3) Name of Subject : A C QUAH
Position : SHIPPING MANAGER
AUDITOR
Auditor : KPMG
Auditors' Address : WISMA KPMG, JALAN DUNGUN,
LUMPUR,
WILAYAH
COMPANY SECRETARY
1) Company Secretary : MS. YONG HOOI WEN
IC / PP No. : A2061836
New IC No. : 720121-07-5232
Address : 19, LORONG MACHANG BUBOK 22,
BUBOK,
14020 BUKIT MERTAJAM, PULAU
2) Company Secretary : DATO' LEE AH CHIEN@LEE OW KIM
IC / PP No. : 0422253
New IC No. : 440716-08-5345
Address : 18-12A-08, MENARA GREENVIEW, 18 HALAMAN TEMBAGA,
11600
PULAU PINANG, PULAU
Date of Appointment : 23/03/1984
BANKING
Banking relations are maintained principally with :
1) Banker Name : MALAYAN BANKING BHD
The SC enjoys normal banking routine with above mentioned banker(s).
No adverse record was found during our investigation.
ENCUMBRANCE (S)
No encumbrance was found in our databank at the time of investigation.
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 Percentage : 10%
Overseas : YES Percentage : 90%
Import Countries :
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 : 10%
Domestic Markets :
Overseas : YES Percentage : 90%
Export Market : UNITED
Credit Term : 30 - 60 DAYS.
Payment Mode : LETTER OF CREDIT (LC) , TELEGRAPHIC TRANSFER (TT) , CHEQUES.
Type of Customer : TEXTILES AND GARMENT INDUSTRIES .
CUSTOMER (S) : 1) DOSHI KESAR GROUP
: 2) MAJUTEX
OPERATIONS
Products Manufactured : YARNS (100% POLYESTER), YARNS FABRIC (DYED), FABRICS
(DYED), FABRICS (GREY), FABRICS (PRINTED)
Brand Name : AIRO, DEER FAMILY, FASTWICK, MISS DEER, MR DEER, MY
DEER, PENFABRIC
Award : MS ISO 14001 Year : 2005
Member(s) / Affiliate(s) : FEDERATION OF MALAYSIAN MANUFACTURERS (FMM)
Ownership of premises : OWNED
Factory Size : 266,000SQ.FT METERS
Production lines : > 5
Shifts : 2
Total Number of Employees :
YEAR 2007 2006
GROUP N/A N/A
COMPANY 2,300 2,000
Branch : YES
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 : 04-3907000
Match : N/A
Address Provided By Client : 13600 PARI
Current Address : BLOCK B, PLOT 117-119 & 200-202, PRAI FREE
INDUSTRIAL
ZONE, 13600 PERAI, PULAU
Match : NO
Latest Financial Accounts : YES
Other Investigations
We conducted an interview with one of the staff 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. Return on shareholders' funds of the SC is relatively low, indicating that the SC did not generate an acceptable amount of profits based on its existing shareholders' funds. The 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. A low liabilities ratio has minimised the SC's financial risk.
Overall financial condition of the SC: STABLE
COMMENTS
Established in 1973, the SC is principally engaged in
manufacturing of yarn, fabric, dyeing, printing and finishing. Being a private
limited company with a large paid up capital of RM86million, the SC has the
potential to further enhance its business in the near term. The immediate
holding company is Toray Industries Inc which is incorporated in
Information revealed that the SC's major income is generated
via overseas market. About 90% of its products are exported to other countries
such as
During the financial year, there was a high turnover of RM622.8million, which led to a favourable pre-tax profit of RM29.57million. Return on shareholders' funds was low, indicating that the management was inefficient in utilising its funds to generate return. However, the SC has a good liquidity position. This shows that the SC would be able to repay all its short term obligations. A low gearing ratio places the SC at low financial risk. As at 31st March 2006, the SC had a stable financial performance.
Investigation revealed that 90% of the SC's raw materials are imported from overseas suppliers and the remaining 10% are sourced locally. Being highly involved in import and export activities, the SC is subjected to currency fluctuation risk.
Based on our historical financial data, the SC's overall payment habit is good. The SC is clear of any litigation.
The industry has reached its maturity stage and only a marginal growth is expected. With the normal outlook of the industry performance, the SC should adopt more competitive strategies in order to retain its market position.
In view of the above condition and based on our assessment, we recommend credit be granted to the SC promptly.
THE FINANCIAL
STATEMENTS WERE PREPARED IN ACCORDANCE WITH
PROFIT AND LOSS ACCOUNT
PENFABRIC
SDN BHD
31-March-2006
Consolidated Accounts : Yes
UnQualified
Reports : Yes
RM
Turnover 622,805,000.00
Operating
Revenue 0.00
----------------------------
Profit
/ (Loss) Before Tax 29,579,000.00
----------------------------
Profit
/ (Loss) After Tax 27,291,000.00
Extraordinary
Item 0.00
Minority
Interest 0.00
----------------------------
Profit/(Loss)
Attributable to Shareholders 27,291,000.00
----------------------------
Prior
Period Adjustment 0.00
Net
Dividend 0.00
Transferred
To/From Reserved 0.00
Others 0.00
----------------------------
Unappropriated
Profit/(Loss) Brought Forward 256,986,000.00
----------------------------
Unappropriated
Profit/(Loss) Carried Forward 284,277,000.00
================
BALANCE SHEET
PENFABRIC
SDN BHD
31-March-2006
Consolidated Accounts : Yes
UnQualified
Reports : Yes
RM
Fixed
Assets 252,060,000.00
Total
Investment 10,729,000.00
Amount
Owing By 0.00
Current
Assets 240,316,000.00
Intangible
Assets 0.00
Other
Assets 603,000.00
----------------------------
Total
Assets 503,708,000.00
================
Working
Capital 159,162,000.00
Issued Capital 0.00
Paid
Up Capital 0.00
Share
Premium & Reserved 86,000,000.00
Unappropriated
Profit/(Loss) 284,277,000.00
----------------------------
Shareholder's
Fund/Equity 370,277,000.00
----------------------------
Current
Liabilities 81,154,000.00
Amount
Owing To 0.00
Long-term
and Deferred Liabilities 51,793,000.00
Share
Application Account 0.00
Minority
Interest 484,000.00
----------------------------
Total
Equity Liability 503,708,000.00
================
Contingent
Liabilities 0.00
THE FINANCIAL
STATEMENTS WERE PREPARED IN ACCORDANCE WITH
CONSOLIDATED
PROFIT AND LOSS ACCOUNT
For
The Year Ended 31-March-2005
2005
MYR
TURNOVER 590,714,000
===========
PROFIT/(LOSS) FROM OPERATIONS 40,987,000
SHARE OF
PROFITS/(LOSSES) OF ASSOCIATED
COMPANIES 256,000
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PROFIT/(LOSS)
BEFORE TAXATION 41,243,000
Taxation <1,892,000>
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PROFIT/(LOSS)
AFTER TAXATION 39,351,000
Minority
interests <16,000>
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PROFIT/(LOSS)
BEFORE EXTRAORDINARY ITEMS 39,335,000
-------------------
PROFIT/(LOSS)
ATTRIBUTABLE TO SHAREHOLDERS 39,335,000
RETAINED
PROFIT/(ACCUMULATED LOSS) BROUGHT
FORWARD
As previously
reported 217,651,000
-------------------
As restated 217,651,000
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PROFIT
AVAILABLE FOR APPROPRIATIONS 256,986,000
-------------------
RETAINED
PROFIT/(ACCUMULATED LOSS) CARRIED
FORWARD 256,986,000
===========
RETAINED BY: The Company 256,986,000
-------------------
256,986,000
===========
INTEREST
EXPENSE (as per notes to P&L)
Bank
overdraft 32,000
Other
interest expenses 706,000
-------------------
738,000
===========
CONSOLIDATED BALANCE
SHEET
As
At 31-March-2005
2005
MYR
ASSETS
EMPLOYED:
FIXED ASSETS 225,909,000
LONG
TERM INVESTMENTS/OTHER ASSETS
Investments 1,666,000
investment in
related companies 10,000,000
long term
receivables 620,000
-------------------
TOTAL LONG
TERM INVESTMENTS/OTHER ASSETS 12,286,000
INTANGIBLE
ASSETS
-------------------
-------------------
TOTAL LONG
TERM ASSETS 238,195,000
CURRENT
ASSETS
Stocks 137,783,000
Trade debtors 82,507,000
Other
debtors, deposits & prepayments 4,217,000
Items in
transit between head office & branches
Amount due
from holding company 29,000
Amount due
from related companies 3,393,000
Cash &
bank balances 5,064,000
tax
recoverable 60,000
-------------------
TOTAL CURRENT
ASSETS 233,053,000
CURRENT
LIABILITIES
Trade
creditors 50,589,000
Other
creditors & accruals 20,325,000
Other
borrowings 650,000
Bill &
acceptances payable 84,000
Amounts owing
to related companies 844,000
Provision for
taxation 2,807,000
-------------------
TOTAL CURRENT
LIABILITIES 75,299,000
-------------------
NET CURRENT
ASSETS/(LIABILITIES) 157,754,000
-------------------
TOTAL NET
ASSETS 395,949,000
===========
FINANCED
BY:
SHARE CAPITAL
Ordinary
share capital 86,000,000
-------------------
TOTAL SHARE
CAPITAL 86,000,000
RESERVES
Retained
profit/(Accumulated loss) carried
forward 256,986,000
-------------------
TOTAL
RESERVES 256,986,000
-------------------
SHAREHOLDERS'
FUNDS/EQUITY 342,986,000
MINORITY
INTEREST 302,000
LONG TERM
& DEFERRED LIABILITIES & PROVISIONS
Deferred
taxation 17,455,000
Retirement
benefits provision 35,206,000
-------------------
TOTAL LONG TERM & DEFERRED LIABILITIES
&
PROVISIONS 52,661,000
-------------------
395,949,000
===========
CONSOLIDATED
FINANCIAL RATIOS
As
At 31-March-2005
PENFABRIC
SDN BHD
2005
MYR
TYPES OF
FUNDS
Cash 5,064,000
Net Liquid
Funds 5,064,000
Net Liquid
Assets 19,971,000
Net Current
Assets/(Liabilities) 157,754,000
Net Tangible
Assets 395,949,000
Net Monetary
Assets <32,690,000>
BALANCE
SHEET ITEMS
Total
Borrowings 650,000
Total
Liabilities 127,960,000
Total Assets 471,248,000
Net Assets 395,949,000
Net Assets
Backing 343,288,000
Shareholders''
Funds 342,986,000
Total Share
Capital 86,000,000
Total
Reserves 256,986,000
LIQUIDITY
(Times)
Cash Ratio 0.07
Liquid Ratio 1.27
Current Ratio 3.10
WORKING
CAPITAL CONTROL (Days)
Stock Ratio 85
Debtors Ratio 51
Creditors
Ratio 31
SOLVENCY
RATIOS (Times)
Gearing Ratio 0.00
Liabilities
Ratio 0.37
Times
Interest Earned Ratio 56.88
PERFORMANCE
RATIO (%)
Operating
Profit Margin 6.98
Net Profit
Margin 6.66
Return On Net
Assets 10.60
Return On
Capital Employed 10.60
Return On
Shareholders'' Funds/Equity 11.47
Dividend Pay
Out Ratio (Times) 0
NOTES
TO ACCOUNTS
Contingent
Liabilities 5,765,000
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%)