|
* Adopted abbreviations : SC
- Subject Company (the company enquired by you)
N/A
- Not Applicable
EXECUTIVE
SUMMARY
|
REGISTRATION NO.
|
:
|
542612-K
|
|
COMPANY NAME
|
:
|
MVANCE ENGINEERING SDN BHD
|
|
FORMER NAME
|
:
|
MUAR ADVANCE TECH ENGINEERING SDN BHD (06/02/2007)
|
|
INCORPORATION DATE
|
:
|
22/03/2001
|
|
|
|
|
|
COMPANY STATUS
|
:
|
EXIST
|
|
LEGAL STATUS
|
:
|
PRIVATE LIMITED
|
|
LISTED STATUS
|
:
|
NO
|
|
|
|
|
|
REGISTERED ADDRESS
|
:
|
ROOM B, 1-1 JALAN MARIN, TAMAN MARIN, JALAN HAJI ABDULLAH, 1ST
FLOOR, 84000 MUAR, JOHOR, MALAYSIA.
|
|
BUSINESS ADDRESS
|
:
|
JA 2531, KAWASAN PERINDUSTRIAN MERLIMAU, 77300 MERLIMAU, MELAKA,
MALAYSIA.
|
|
TEL.NO.
|
:
|
06-2633339
|
|
FAX.NO.
|
:
|
06-2633113
|
|
WEB SITE
|
:
|
www.m-vance.com
|
|
CONTACT PERSON
|
:
|
DESMUND CHUA CHZE CHIANG ( ENGINEERING DIRECTOR )
|
|
|
|
|
|
INDUSTRY CODE
|
:
|
74219
|
|
PRINCIPAL ACTIVITY
|
:
|
MACHINE CONSTRUCTION AND ENGINEERING WORKS
|
|
AUTHORISED
CAPITAL
|
:
|
MYR 500,000.00
DIVIDED INTO
ORDINARY SHARE 500,000.00 OF MYR 1.00 EACH.
|
|
ISSUED AND
PAID UP CAPITAL
|
:
|
MYR 300,000.00
DIVIDED INTO
ORDINARY SHARES 300,000 CASH OF MYR 1.00 EACH.
|
|
|
|
|
|
SALES
|
:
|
MYR 1,849,335 [2005]
|
|
NET WORTH
|
:
|
MYR <267,715> [2005]
|
|
|
|
|
|
STAFF STRENGTH
|
:
|
80 [2008]
|
|
|
|
LITIGATION
|
:
|
CLEAR
|
|
FINANCIAL CONDITION
|
:
|
N/A
|
|
PAYMENT
|
:
|
N/A
|
|
MANAGEMENT CAPABILITY
|
:
|
WEAK
|
|
|
|
|
|
COMMERCIAL RISK
|
:
|
MODERATE
|
|
CURRENCY EXPOSURE
|
:
|
MODERATE
|
|
GENERAL REPUTATION
|
:
|
SATISFACTORY
|
|
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) machine construction and
engineering works.
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
|
|
MR. YEO KHOON KOOI +
|
19, JALAN HAJI ABDULLAH, BATU 2, JALAN BAKRI, 84000 MUAR, JOHOR,
MALAYSIA.
|
560520-01-5325
8208636
|
150,000.00
|
|
MS. TOH AH MOI +
|
19, JALAN HAJI ABDULLAH, BATU 2, JALAN BAKRI, 84000 MUAR, JOHOR,
MALAYSIA.
|
591011-01-6188
5757148
|
100,000.00
|
|
MR. CHUA CHZE CHIANG +
|
149, JALAN BUKIT GONTANG, 84900 TANGKAK, JOHOR, MALAYSIA.
|
691013-01-5419
A1419617
|
50,000.00
|
|
|
|
|
---------------
|
|
|
|
|
300,000.00
|
|
|
|
|
============
|
+ Also Director
DIRECTORS
DIRECTOR 1
|
Name Of Subject
|
:
|
MR. CHUA CHZE CHIANG
|
|
Address
|
:
|
149, JALAN BUKIT GONTANG, 84900 TANGKAK, JOHOR, MALAYSIA.
|
|
IC / PP No
|
:
|
A1419617
|
|
New IC No
|
:
|
691013-01-5419
|
|
Date of Birth
|
:
|
13/10/1969
|
|
Nationality
|
:
|
MALAYSIAN CHINESE
|
|
Date of Appointment
|
:
|
22/03/2001
|
DIRECTOR 2
|
Name Of Subject
|
:
|
MS. TOH AH MOI
|
|
Address
|
:
|
19, JALAN HAJI ABDULLAH, BATU 2, JALAN BAKRI, 84000 MUAR, JOHOR,
MALAYSIA.
|
|
IC / PP No
|
:
|
5757148
|
|
New IC No
|
:
|
591011-01-6188
|
|
Date of Birth
|
:
|
11/10/1959
|
|
Nationality
|
:
|
MALAYSIAN CHINESE
|
|
Date of Appointment
|
:
|
12/12/2006
|
DIRECTOR 3
|
Name Of Subject
|
:
|
MR. YEO KHOON KOOI
|
|
Address
|
:
|
19, JALAN HAJI ABDULLAH, BATU 2, JALAN BAKRI, 84000 MUAR, JOHOR,
MALAYSIA.
|
|
IC / PP No
|
:
|
8208636
|
|
New IC No
|
:
|
560520-01-5325
|
|
Date of Birth
|
:
|
20/05/1956
|
|
Nationality
|
:
|
MALAYSIAN CHINESE
|
|
Date of Appointment
|
:
|
15/03/2003
|
MANAGEMENT
|
1)
|
Name of Subject
|
:
|
DESMUND CHUA CHZE CHIANG
|
|
|
Position
|
:
|
ENGINEERING DIRECTOR
|
|
|
|
|
|
|
2)
|
Name of Subject
|
:
|
YEO KHOON KOOI
|
|
|
Position
|
:
|
MANAGING DIRECTOR
|
|
|
|
|
|
|
3)
|
Name of Subject
|
:
|
TOH AH MIO
|
|
|
Position
|
:
|
FINANCE DIRECTOR
|
|
|
|
|
|
AUDITOR
|
Auditor
|
:
|
SEE HOCK CHUAN & CO
|
|
Auditor' Address
|
:
|
ROOM C, 10 JALAN 1A, TAMAN MAHARANI, JALAN BAKRI, 2ND FLOOR, 84000
MUAR, JOHOR, MALAYSIA.
|
|
|
|
|
|
|
|
|
COMPANY
SECRETARIES
|
1)
|
Company Secretary
|
:
|
MR. PANG CHONG SENG
|
|
|
IC / PP No
|
:
|
A2112069
|
|
|
New IC No
|
:
|
711231-01-5113
|
|
|
Address
|
:
|
144-9, JALAN SALLEH, 84000 MUAR, JOHOR, MALAYSIA.
|
|
|
|
|
|
|
|
|
|
|
BANKING
Banking relations are maintained principally with :
|
1)
|
Name
|
:
|
HSBC BANK MALAYSIA 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
|
:
|
12/04/2007
|
|
Description Of Charge
|
:
|
|
|
Amount Secured
|
:
|
RM700,000.00
|
|
Description Of Property Affected
|
:
|
|
|
Name & Address Of Chargee
|
:
|
|
|
|
|
|
|
Form 40 Dated
|
|
Registered and Numbered 1 In The Register of Charges
|
ENCUMBRANCE 2
|
Date of Creation
|
:
|
24/12/2007
|
|
Description Of Charge
|
:
|
|
|
Amount Secured
|
:
|
RM675,000.00
|
|
Description Of Property Affected
|
:
|
|
|
Name & Address Of Chargee
|
:
|
|
|
|
|
|
|
Form 40 Dated
|
|
Registered and Numbered 2 In The Register of Charges
|
LEGAL
CHECK AGAINST SC
* A check has been conducted in our databank againt 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 databank.
PAYMENT
RECORD
|
|
|
|
SOURCES OF RAW MATERIALS:
|
|
Local
|
:
|
YES
|
|
Overseas
|
:
|
YES
|
|
|
|
|
The SC refused to furnish us with the suppliers' names. Without the financial
accounts, we are not able to comment on the SC's payment habit.
CLIENTELE
|
Local
|
:
|
YES
|
|
Domestic Markets
|
:
|
MALAYSIA
|
|
Overseas
|
:
|
YES
|
|
|
|
|
Export Market
|
:
|
INDONESIA, SOUTH AMERICA, THAILAND
|
|
Credit Term
|
:
|
AS AGREED
|
|
|
|
|
|
|
|
|
Payment Mode
|
:
|
CHEQUES,LETTER OF CREDIT (LC),TELEGRAPHIC TRANSFER (TT)
|
OPERATIONS
|
Services
|
:
|
|
MACHINE CONSTRUCTION AND ENGINEERING WORKS
|
|
|
|
|
|
|
Competitor(s)
|
:
|
|
ISHI POWER SDN BHD
|
|
SAPURA TECHNOLOGY BHD
|
|
SUMATEC RESOURCES BHD
|
|
TANJUNG OFFSHORE BHD
|
|
ZELAN BHD
|
|
|
|
|
|
|
Ownership of
premises
|
:
|
|
|
Total Number of Employees:
|
|
YEAR
|
2008
|
2007
|
|
|
|
|
GROUP
|
N/A
|
N/A
|
|
|
|
|
|
|
|
|
COMPANY
|
80
|
68
|
|
|
|
|
|
|
|
|
Branch
|
:
|
|
|
No of Branches
|
:
|
|
|
|
|
|
Other Information:
The SC is principally engaged in the (as a / as an) machine construction and
engineering works.
The SC specializes in mechanical, structural steel and its related
machineries construction.
We were informed that the SC involved in the supply of material ,
fabrication, installation and commissioning of various plants such as Kernel
Crushing Plant, Palm Oil Mill, Coconut Oil Mill and etc.
Besides that the SC also extended its field of general contracting and
engineering for material and bulk handling system for various industries such
as :
* Palm Oil Mill Industries
* Kernel Crushing Plant
* Coconut Oil Mill Industries
* Structural Steel Works and Storage Tanks
* Timber and Plywood Industries
* Paper Mill Industries
* Effluent Treatment Plant
According to the SC, it has a branch located in Lahat Datu, Sabah.
PROJECTS
No projects found in our databank
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
|
:
|
6 06 2633339
|
|
Current Telephone Number
|
:
|
06-2633339
|
|
Match
|
:
|
YES
|
|
|
|
|
|
Address Provided by Client
|
:
|
JA 2531
KAWASAN PERIDUSTRIAN MERLIMAU MERLIMAU MELAKA 77300
|
|
Current Address
|
:
|
JA 2531,
KAWASAN PERINDUSTRIAN MERLIMAU, 77300 MERLIMAU, MELAKA, MALAYSIA.
|
|
Match
|
:
|
YES
|
|
|
|
|
|
Latest Financial Accounts
|
:
|
NO
|
|
We have contacted the SC's Accountant and its Company Secretary for the
latest financial accounts. However they have rejected our request in view
of the confidentiality of the documents.
|
Other Investigations
We conducted an interview with Ms Yeoh from the SC's Sales Department. She
revealed some information pertaining to the SC.
FINANCIAL
COMMENTS
The SC's latest
financial accounts are up to 2005 which is out dated in our opinion.
Therefore, our comment on the SC financial performance is restricted thereto.
Overall financial condition of the SC : N/A
ECONOMIC
/ INDUSTRY OUTLOOK
|
Major Economic Indicators:
|
2005
|
2006
|
2007
|
2008*
|
2009**
|
|
|
|
|
|
|
|
|
Population ( Million)
|
26.13
|
26.64
|
27.17
|
27.73
|
28.31
|
|
Gross Domestic Products ( % )
|
5.3
|
5.8
|
6.3
|
5.0
|
3.5
|
|
Domestic Demand ( % )
|
7.3
|
7.0
|
9.0
|
6.1
|
6.0
|
|
Private Expenditure ( % )
|
9.5
|
7.0
|
8.6
|
6.6
|
6.4
|
|
Consumption ( % )
|
9.2
|
7.1
|
9.0
|
6.8
|
6.5
|
|
Investment ( % )
|
8.5
|
7.0
|
7.1
|
6.2
|
5.8
|
|
Public Expenditure ( % )
|
3.6
|
6.8
|
10.1
|
4.7
|
5.1
|
|
Consumption ( % )
|
5.4
|
5.0
|
10.8
|
5.7
|
4.0
|
|
Investment ( % )
|
1.9
|
8.9
|
9.3
|
3.6
|
6.4
|
|
|
|
|
|
|
|
|
Balance of Trade ( MYR Million )
|
99,760
|
108,192
|
100,340
|
115,563
|
126,650
|
|
Government Finance ( MYR Million )
|
<18,684>
|
<19,109>
|
<19,948>
|
<34,462>
|
<28,450>
|
|
Government Finance to GDP / Fiscal Deficit ( % )
|
<3.8>
|
<3.3>
|
<3.2>
|
<4.8>
|
<4.8>
|
|
Inflation ( % Change in Composite CPI)
|
3.1
|
3.9
|
2.0
|
4.4
|
5.0
|
|
Unemployment Rate
|
3.5
|
3.4
|
3.2
|
3.3
|
3.2
|
|
|
|
|
|
|
|
|
Net International Reserves ( MYR Billion )
|
266
|
290
|
336
|
388
|
-
|
|
Average Risk-Weighted Capital Adequacy Ratio ( % )
|
5.13
|
4.21
|
3.04
|
1.91
|
-
|
|
Average 3 Months of Non-performing Loans ( % )
|
13.63
|
12.91
|
13.30
|
13.24
|
-
|
|
Average Base Lending Rate ( % )
|
6.00
|
6.61
|
6.72
|
6.72
|
-
|
|
Business Loans Disbursed( % )
|
8.7
|
<2.5>
|
9.1
|
-
|
-
|
|
Foreign Investment ( MYR Million )
|
17,882.9
|
20,228.0
|
33,426.0
|
23,261.4
|
-
|
|
Consumer Loans ( % )
|
-
|
-
|
-
|
-
|
-
|
|
|
|
|
|
|
|
|
Registration of New Companies ( No. )
|
37,474
|
38,293
|
43,337
|
-
|
-
|
|
Registration of New Companies ( % )
|
<2.9>
|
2.2
|
13.2
|
-
|
-
|
|
Liquidation of Companies ( No. )
|
3,069
|
8,647
|
22,629
|
-
|
-
|
|
Liquidation of Companies ( % )
|
<7.9>
|
181.8
|
161.5
|
-
|
-
|
|
|
|
|
|
|
|
|
Registration of New Business ( No. )
|
193,095
|
216,147
|
227,410
|
-
|
-
|
|
Registration of New Business ( % )
|
2.1
|
11.9
|
5.2
|
-
|
-
|
|
Business Dissolved ( No. )
|
73,355
|
52,879
|
20,431
|
-
|
-
|
|
Business Dissolved ( % )
|
43.0
|
<27.9>
|
<61.4>
|
-
|
-
|
|
|
|
|
|
|
|
|
Sales of New Passenger Cars (' 000 Unit )
|
400.8
|
446.2
|
442.9
|
-
|
-
|
|
Cellular Phone Subscribers ( Million )
|
18.5
|
19.5
|
23.3
|
25.1
|
-
|
|
Tourist Arrival ( Million Persons )
|
16.7
|
17.5
|
20.9
|
21.5
|
-
|
|
Hotel Occupancy Rate ( % )
|
63.6
|
64.8
|
70.0
|
68.0
|
-
|
|
|
|
|
|
|
|
|
Credit Cards Spending ( % )
|
13.9
|
15.4
|
20.1
|
-
|
-
|
|
Bad Cheque Offenders (No.)
|
57,316
|
36,555
|
30,004
|
-
|
-
|
|
Individual Bankruptcy ( No.)
|
15,868
|
13,596
|
13,238
|
-
|
-
|
|
Individual Bankruptcy ( % )
|
<2.4>
|
<14.3>
|
<2.6>
|
-
|
-
|
|
INDUSTRIES ( % of Growth ):
|
2005
|
2006
|
2007
|
2008*
|
2009**
|
|
|
|
|
|
|
|
|
Agriculture
|
2.5
|
5.3
|
3.1
|
3.6
|
3.7
|
|
Palm Oil
|
7.1
|
5.8
|
<0.6>
|
7.0
|
-
|
|
Rubber
|
<2.9>
|
12.6
|
1.0
|
<1.1>
|
-
|
|
Forestry & Logging
|
2.0
|
<0.4>
|
2.8
|
<1.5>
|
-
|
|
Fishing
|
<0.4>
|
9.3
|
5.2
|
4.0
|
-
|
|
Other Agriculture
|
3.2
|
5.3
|
7.0
|
5.9
|
-
|
|
Industry Non-Performing Loans ( MYR Million )
|
563.7
|
516.5
|
487.3
|
393
|
0
|
|
% of Industry Non-Performing Loans
|
1.19
|
1.06
|
1.08
|
0
|
0
|
|
|
|
|
|
|
|
|
Mining
|
0.8
|
<0.4>
|
3.3
|
2.8
|
3.4
|
|
Oil & Gas
|
1.6
|
4.6
|
2.2
|
12.7
|
-
|
|
Other Mining
|
<1.0>
|
5.1
|
-
|
-
|
-
|
|
Industry Non-performing Loans ( MYR Million )
|
68.8
|
55.4
|
42.2
|
36.0
|
-
|
|
% of Industry Non-performing Loans
|
0.1
|
0.1
|
0.1
|
-
|
-
|
|
|
|
|
|
|
|
|
Manufacturing #
|
5.1
|
7.3
|
3.1
|
4.7
|
4.3
|
|
Exported-oriented Industries
|
3.0
|
11.1
|
<1.9>
|
2.7
|
-
|
|
Electrical & Electronics
|
3.6
|
13.4
|
3.0
|
2.4
|
-
|
|
Rubber Products
|
2.4
|
0.4
|
8.0
|
4.2
|
-
|
|
Wood Products
|
0.9
|
0.7
|
3.3
|
<6.0>
|
-
|
|
Textiles & Apparel
|
<4.4>
|
12.6
|
<10.1>
|
1.9
|
-
|
|
Domestic-oriented Industries
|
6.9
|
5.0
|
5.3
|
9.9
|
-
|
|
Food, Beverages & Tobacco
|
7.7
|
4.8
|
5.6
|
9.5
|
-
|
|
Chemical & Chemical Products
|
6.9
|
1.7
|
9.2
|
1.4
|
-
|
|
Plastic Products
|
18.6
|
21.3
|
<3.6>
|
6.5
|
-
|
|
Iron & Steel
|
<6.7>
|
<6.9>
|
17.5
|
16.8
|
-
|
|
Fabricated Metal Products
|
<7.5>
|
20.0
|
26.2
|
14.7
|
-
|
|
Non-metallic Mineral
|
<6.0>
|
<1.9>
|
6.6
|
8.3
|
-
|
|
Transport Equipment
|
10.4
|
5.3
|
<19.0>
|
27.1
|
-
|
|
Paper & Paper Products
|
4.6
|
4.1
|
14.9
|
8.6
|
-
|
|
Crude Oil Refineries
|
8.2
|
12.1
|
8.6
|
7.8
|
-
|
|
Industry Non-Performing Loans ( MYR Million )
|
6,035.6
|
6,181.3
|
6,366.2
|
5,729.4
|
-
|
|
% of Industry Non-Performing Loans
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Construction
|
<1.6>
|
<0.5>
|
4.6
|
4.0
|
3.1
|
|
Industry Non-Performing Loans ( MYR Million )
|
5,172.7
|
5,527.3
|
5,116.7
|
4,149.8
|
-
|
|
% of Industry Non-Performing Loans
|
10.9
|
11.4
|
11.3
|
-
|
-
|
|
|
|
|
|
|
|
|
Services
|
6.6
|
7.2
|
9.7
|
7.7
|
6.9
|
|
Electric, Gas & Water
|
5.5
|
5.2
|
4.6
|
5.0
|
4.3
|
|
Transport, Storage & Communication
|
6.3
|
5.2
|
7.6
|
7.8
|
7.3
|
|
Wholesale, Retail, Hotel & Restaurant
|
8.0
|
7.1
|
11.6
|
10.0
|
7.4
|
|
Finance, Insurance & Real Estate
|
7.0
|
7.7
|
10.7
|
9.2
|
8.1
|
|
Government Services
|
7.6
|
9.8
|
4.6
|
8.6
|
4.0
|
|
Other Services
|
5.0
|
4.7
|
5.0
|
5.9
|
5.4
|
|
Industry Non-Performing Loans ( MYR Million )
|
8,716.8
|
11,593.2
|
10,207.8
|
8,281.4
|
-
|
|
% of Industry Non-Performing Loans
|
18.4
|
23.9
|
22.6
|
-
|
-
|
|
|
|
|
|
|
|
|
* Estimate / Preliminary
|
|
|
|
|
|
|
** Forecast
|
|
|
|
|
|
|
# Based On
Manufacturing Production Index
(Source : Department of Statistics / Economic Report / Bank Negara Report)
|
INDUSTRY COMMENTS
|
MSIC CODE
|
|
74219 : Other architectural and engineering activities and related
technical consultancy service n.e.c.
|
|
|
|
|
INDUSTRY :
|
ENGINEERING
|
|
In 2008, the civil engineering sub-sector would be supported by higher
construction activity in the oil and gas inudstry as well as in public
projects with the commencement of new projects under the Ninth Malaysia
Plan (9MP). Ongoing construction in the civil engineering sub-sector was
largely for power generation plants, roads, ports and water and sewerage
projects. Twenty-six development projects originally slotted for the Ninth
Malaysia Plan (9MP) have been brought forward to revitalise the sluggish construction
industry. The projects, which will cost the Government RM2.4 billion was
commerced from the middle of 2005. The move would stimulate the industry
that had contracted by 1.9% in 2004 and 2005. All these projects were
implemented through open tender to ensure competitive pricing. To benefit
more contractors, the bigger projects that involve very high costs were
divided into packages and tendered separately. The Government would strive
for a balance between being prudent to ensure a sustainable deficit and
ensuring a robust economic growth, as evidenced by this latest move to
bring forward future projects. Besides, the Government had also allocated
RM500 million to finance maintenance works on existing infrastructures
nationwide. These involved 8,471 projects and 2,567 contractors had been
awarded tenders to carry them out.
|
|
Note : The Ninth Malaysia Plan (9MP) was tabled in Parliament on March 31,
2006, is the five-year blueprints within the new National Mission policy
and implementation framework from now until 2010. Malaysia is expected to
see some structural changes and improved performance in the economy.
|
|
|
|
|
OVERALL INDUSTRY OUTLOOK : Marginal Growth
|
COMMENTS
|
Incorporated in 2001, the SC is principally engaged in machine construction
and engineering works. Throughout its years of establishment, the SC has
slowly been building up contacts with its clients and competing in the
industry. With a small paid up capital of RM300,000, the SC should put more
efforts on its business to gain higher market share while competing
aggressively in the market.
|
|
Our investigation revealed that the SC serves both local and overseas
clients. Penetrating into the overseas countries such as Indonesia, South
America and Thailand has well diversified its business risk and at the same
time added strength to its capabilities in capturing higher market shares.
The SC's commercial risk is moderate. Supported by 80 employees in the operation,
the SC however does not have a strong management team. The red
shareholders' funds shows that its management capability is weak.
|
|
The SC's latest financial statements is only up to year 2005 which is
outdated. As such, we are unable to give further comments on the SC's
financial health.
|
|
Investigation revealed that the SC's raw materials are sourced from both
local and overseas suppliers. Hence, the SC is subjected to currency
fluctuation risk and high operating costs.
|
|
The industry expects to enjoy a marginal growth in the near term. As the
market competition is tight, the SC should adopt more marketing strategies
in order to retain its market position as well as compete with other well
established players in the same field.
|
|
We noted that the SC has deficit in its shareholders' funds of RM267,715 in
year 2005. Moreover, the bank charges in year 2007 is exceeding its current
paid up capital. In view of this, we do not recommend credit be granted to
the SC.
|
PROFIT AND LOSS ACCOUNT
|
THE FINANCIAL
STATEMENTS WERE PREPARED IN ACCORDANCE WITH MALAYSIA ACCOUNTING STANDARD.
|
|
MVANCE
ENGINEERING SDN BHD
|
|
For The Year
Ended 31-March-2005
|
|
|
2005
|
2004
|
|
|
MYR
|
MYR
|
|
|
|
|
|
TURNOVER
|
1,849,335
|
834,013
|
|
|
==========
|
==========
|
|
PROFIT/(LOSS) FROM OPERATIONS
|
186,079
|
13,275
|
|
|
|
|
|
|
------------
|
------------
|
|
PROFIT/(LOSS) BEFORE TAXATION
|
186,079
|
13,275
|
|
|
|
|
|
PROFIT/(LOSS) AFTER TAXATION
|
------------
186,079
|
------------
13,275
|
|
|
|
|
|
PROFIT/(LOSS) BEFORE EXTRAORDINARY ITEMS
|
------------
186,079
|
------------
13,275
|
|
|
|
|
|
PROFIT/(LOSS) ATTRIBUTABLE TO SHAREHOLDERS
RETAINED PROFIT/(ACCUMULATED LOSS) BROUGHT FORWARD
|
------------
186,079
|
------------
13,275
|
|
As previous reported
|
<553,794>
|
<567,069>
|
|
|
|
|
|
As restated
|
------------
<553,794>
|
------------
<567,069>
|
|
|
------------
|
------------
|
|
PROFIT AVAILABLE FOR APPROPRIATIONS
|
<367,715>
|
<553,794>
|
|
|
|
|
|
RETAINED PROFIT/(ACCUMULATED LOSS) CARRIED FORWAD
|
------------
<367,715>
==========
|
------------
<553,794>
==========
|
|
RETAINED BY: The Company
|
<367,715>
|
<553,794>
|
|
|
|
|
|
|
------------
<367,715>
==========
|
------------
<553,794>
==========
|
|
|
|
|
BALANCE SHEET
|
MVANCE
ENGINEERING SDN BHD
|
|
As At
31-March-2005
|
|
|
|
|
|
|
2005
|
2004
|
|
|
MYR
|
MYR
|
|
|
|
|
|
|
ASSET EMPLOYED:
|
|
|
|
FIXED ASSETS
|
362,146
|
405,763
|
|
|
|
|
|
|
TOTAL LONG TERM ASSETS
|
------------
362,146
|
------------
405,763
|
|
|
|
|
|
|
CURRENT ASSETS
|
|
|
|
|
|
|
|
|
|
Stocks
|
54,561
|
62,799
|
|
|
|
|
|
|
|
Trade debtors
|
405,288
|
146,621
|
|
|
Other debtors, deposits & prepayments
|
28,500
|
26,300
|
|
|
|
|
|
|
|
Amount due from director
|
3,257
|
70,420
|
|
|
Cash & bank balances
|
5,336
|
12,990
|
|
|
|
|
|
|
|
Amount due from affiliated company
|
244,271
|
179,771
|
|
TOTAL CURRENT ASSETS
|
------------
741,213
|
------------
498,901
|
|
CURRENT LIABILITIES
|
|
|
|
|
Trade creditors
|
266,612
|
209,506
|
|
|
Other creditors & accruals
|
1,011,419
|
1,139,444
|
|
|
|
|
|
|
|
Bank overdraft
|
5,985
|
9,508
|
|
|
Amounts owing to director
|
87,058
|
-
|
|
TOTAL CURRENT LIABILITIES
|
------------
1,371,074
|
------------
1,358,458
|
|
NET CURRENT ASSETS/(LIABILITIES)
|
------------
<629,861>
|
------------
<859,557>
|
|
TOTAL NET ASSETS
|
------------
<267,715>
==========
|
------------
<453,794>
==========
|
|
|
|
|
|
|
FINANCED BY:
|
|
|
|
|
|
|
|
|
SHARE CAPITAL
|
|
|
|
|
Ordinary share capital
|
100,000
|
100,000
|
|
|
|
|
|
|
TOTAL SHARE CAPITAL
|
------------
100,000
|
------------
100,000
|
|
|
|
|
|
|
RESERVES
|
|
|
|
|
|
|
|
|
|
Retain profit/(Accumulated loss) carried forward
|
<367,715>
|
<553,794>
|
|
TOTAL RESERVES
|
------------
<367,715>
|
------------
<553,794>
|
|
SHAREHOLDERS' FUNDS/EQUITY
|
------------
<267,715>
|
------------
<453,794>
|
|
|
|
|
|
|
|
------------
|
------------
|
|
|
<267,715>
|
<453,794>
|
|
|
==========
|
==========
|
FINANCIAL RATIOS
|
MVANCE
ENGINEERING SDN BHD
|
|
As At
31-March-2005
|
|
|
2005
|
2004
|
|
|
MYR
|
MYR
|
|
|
|
|
|
|
|
|
|
|
|
TYPES OF FUNDS
|
|
|
|
|
Cash
|
5,336
|
12,990
|
|
|
Net Liquid Funds
|
<649>
|
3,482
|
|
|
Net Liquid Assets
|
<684,422>
|
<922,356>
|
|
|
Net Current Assets/(Liabilities)
|
<629,861>
|
<859,557>
|
|
|
Net Tangible Assets
|
<267,715>
|
<453,794>
|
|
|
Net Monetary Assets
|
<684,422>
|
<922,356>
|
|
|
|
|
|
|
BALANCE SHEET ITEMS
|
|
|
|
|
Total Borrowings
|
5,985
|
9,508
|
|
|
Total Liabilities
|
1,371,074
|
1,358,458
|
|
|
Total Assets
|
1,103,359
|
904,664
|
|
|
Net Assets
|
<267,715>
|
<453,794>
|
|
|
Net Assets Backing
|
<267,715>
|
<453,794>
|
|
|
Shareholders" Funds
|
<267,715>
|
<453,794>
|
|
|
Total Share Capital
|
100,000
|
100,000
|
|
|
Total Reserves
|
<367,715>
|
<553,794>
|
|
|
|
|
|
|
LIQUIDITY(Times)
|
|
|
|
|
Cash Ratio
|
0
|
0.01
|
|
|
Liquid Ratio
|
0.50
|
0.32
|
|
|
Current Ratio
|
0.54
|
0.37
|
|
|
|
|
|
|
WORKING CAPITAL CONTROL (Days)
|
|
|
|
|
Stock Ratio
|
11
|
27
|
|
|
Debtors Ratio
|
80
|
64
|
|
|
Creditors Ratio
|
53
|
92
|
|
|
|
|
|
|
SOLVENCY RATIOS (Times)
|
|
|
|
|
Gearing Ratio
|
<0.02>
|
<0.02>
|
|
|
Liabilities Ratio
|
<5.12>
|
<2.99>
|
|
|
Times Interest Earned Ratio
|
0
|
0
|
|
|
|
|
|
|
PERFORMANCE RATIO (%)
|
|
|
|
|
Operating Profit Margin
|
10.06
|
1.59
|
|
|
Net Profit Margin
|
10.06
|
1.59
|
|
|
Return On Net Assets
|
<69.51>
|
<2.93>
|
|
|
Return On Capital Employed
|
<71.10>
|
<2.99>
|
|
|
Return On Shareholders' Funds/Equity
|
<69.51>
|
<2.93>
|
|
|
Dividend Pay Out Ratio (Times)
|
0
|
0
|
|
|
|
|
|
|
NOTES TO ACCOUNTS
|
|
|
|
|
Contingent Liabilities
|
0.00
|
0.00
|
|
|
|
|
|
|
