|
|
REGISTRATION NO.
|
:
|
434687-D
|
|
COMPANY NAME
|
:
|
FUCHITEX (MALAYSIA) SDN BHD
|
|
FORMER NAME
|
:
|
N/A
|
|
INCORPORATION DATE
|
:
|
12/06/1997
|
|
COMPANY STATUS
|
:
|
EXIST
|
|
LEGAL STATUS
|
:
|
PRIVATE LIMITED
|
|
LISTED STATUS
|
:
|
NO
|
|
|
|
|
|
REGISTERED ADDRESS
|
:
|
917, BLOCK A, KELANA CENTRE POINT, 3 JALAN SS 7/19, KELANA JAYA,
47301 PETALING JAYA, SELANGOR, MALAYSIA.
|
|
BUSINESS ADDRESS
|
:
|
3, JALAN WAWASAN 9, KAWASAN PERINDUSTRIAN SRI GADING, 83000 BATU
PAHAT, JOHOR, MALAYSIA.
|
|
TEL.NO.
|
:
|
07-4556188
|
|
FAX.NO.
|
:
|
07-4556189
|
|
EMAIL
|
:
|
funchitex@tm.net.my
|
|
CONTACT PERSON
|
:
|
TENG HOCK GUAN ( GENERAL MANAGER )
|
|
|
|
|
|
INDUSTRY CODE
|
:
|
17299
|
|
PRINCIPAL ACTIVITY
|
:
|
MANUFACTURER OF WOVEN AUTOMOTIVES SEAT & UPHOLSTERY FABRICS
|
|
AUTHORISED CAPITAL
|
:
|
MYR 10,000,000.00 DIVIDED INTO
ORDINARY SHARE 10,000,000.00 OF MYR 1.00 EACH.
|
|
ISSUED AND PAID UP CAPITAL
|
:
|
MYR 10,000,000.00 DIVIDED INTO
ORDINARY SHARES 3,217,622 CASH AND 6,782,378 OTHERWISE OF MYR 1.00 EACH.
|
|
|
|
|
|
SALES
|
:
|
MYR 29,202,499 [2006]
|
|
NET WORTH
|
:
|
MYR 20,185,132 [2006]
|
|
|
|
|
|
STAFF STRENGTH
|
:
|
80 [2007]
|
|
BANKER (S)
|
:
|
EON BANK BHD
|
|
|
|
LITIGATION
|
:
|
CLEAR
|
|
FINANCIAL CONDITION
|
:
|
STRONG
|
|
PAYMENT
|
:
|
PROMPT
|
|
MANAGEMENT CAPABILITY
|
:
|
AVERAGE
|
|
|
|
|
|
COMMERCIAL RISK
|
:
|
MODERATE
|
|
CURRENCY EXPOSURE
|
:
|
MODERATE
|
|
GENERAL REPUTATION
|
:
|
SATISFACTORY
|
|
INDUSTRY OUTLOOK
|
:
|
DECLINING
|
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) manufacturer of
woven automotives seat & upholstery fabrics.
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 immediate holding company of the SC is FU-CHI TEXTILE CO. LTD, a company
incorporated in TAIWAN.
The major shareholder(s) of the SC are shown as follows :
|
Name
|
Address
|
IC/PP/Loc No
|
Shareholding
|
|
MR. LIM CHOON KOOK +
|
30 JALAN ORCHARD HEIGHTS 3, TAMAN ORCHARD HEIGHTS, 83000 BATU PAHAT,
JOHOR, MALAYSIA.
|
560823-01-5701 8235932
|
1,500,000.00
|
|
MR. TENG HOCK GUAN +
|
5 JALAN BM 5, TAMAN BUKIT MUTIARA, 83000 BATU PAHAT, JOHOR,
MALAYSIA.
|
591230-01-5943 5812134
|
1,500,000.00
|
|
FU-CHI TEXTILE CO LTD
|
56.58, SEC 2, HUAN SHAN ROAD, NEI-HU, TAIPEI, 114.08 REPUBLIC OF
CHINA, TAIWAN.
|
|
7,000,000.00
|
|
|
|
|
---------------
|
|
|
|
|
10,000,000.00
|
|
|
|
|
============
|
+ Also Director
DIRECTOR 1
|
Name Of Subject
|
:
|
CHEN MING-TSONG
|
|
Address
|
:
|
15 LANE 68, SEC 2, HUANG SHAH ROAD, 114-08 REPUBLIC OF CHINA,
TAIPEI, TAIWAN.
|
|
IC / PP No
|
:
|
M20139331
|
|
Nationality
|
:
|
TAIWANESE
|
|
Remark
|
:
|
OLD P/P: M11043144
|
|
|
|
|
|
|
|
|
DIRECTOR 2
|
Name Of Subject
|
:
|
SHIH HAI-HSIUNG
|
|
Address
|
:
|
3, 4FL, ALLEY 159, LANE 189, SEC 3, KANG NING ROAD, NEI HU, TAIPEI,
REPUBLIC OF CHINA, TAIWAN.
|
|
IC / PP No
|
:
|
M20037203
|
|
Nationality
|
:
|
TAIWANESE
|
|
Remark
|
:
|
OLD P/P: P132045874
|
DIRECTOR 3
|
Name Of Subject
|
:
|
MR. LIM CHOON KOOK
|
|
Address
|
:
|
30 JALAN ORCHARD HEIGHTS 3, TAMAN ORCHARD HEIGHTS, 83000 BATU PAHAT,
JOHOR, MALAYSIA.
|
|
IC / PP No
|
:
|
8235932
|
|
New IC No
|
:
|
560823-01-5701
|
|
Date of Birth
|
:
|
23/08/1956
|
|
Nationality
|
:
|
MALAYSIAN CHINESE
|
|
Date of Appointment
|
:
|
01/06/2005
|
DIRECTOR 4
|
Name Of Subject
|
:
|
MR. TENG HOCK GUAN
|
|
Address
|
:
|
5 JALAN BM 5, TAMAN BUKIT MUTIARA, 83000 BATU PAHAT, JOHOR, MALAYSIA.
|
|
IC / PP No
|
:
|
5812134
|
|
New IC No
|
:
|
591230-01-5943
|
|
Date of Birth
|
:
|
30/12/1959
|
|
Nationality
|
:
|
MALAYSIAN CHINESE
|
|
Date of Appointment
|
:
|
01/06/2005
|
|
1)
|
Name of Subject
|
:
|
TENG HOCK GUAN
|
|
|
Position
|
:
|
GENERAL MANAGER
|
|
|
|
|
|
|
Auditor
|
:
|
CHING & ASSOCIATES
|
|
Auditor' Address
|
:
|
915, BLOCK A, KELANA CENTRE POINT, 3, JALAN SS 7/19, KELANA JAYA,
47400 PETALING JAYA, SELANGOR, MALAYSIA.
|
|
|
|
|
|
|
|
|
|
1)
|
Company Secretary
|
:
|
MS. KOH MUI CHEE
|
|
|
IC / PP No
|
:
|
A1791890
|
|
|
New IC No
|
:
|
710512-05-5248
|
|
|
Address
|
:
|
682, JALAN J, LORONG 21, KAMPUNG TASIK AMPANG, 68000 AMPANG,
SELANGOR, MALAYSIA.
|
|
|
Date of Appointment
|
:
|
13/09/2004
|
Banking relations are maintained principally with :
|
The SC enjoys normal banking routine with above mentioned banker(s).
The SC has bank charges with above mentioned banker(s).
|
ENCUMBRANCE 1
|
Date of Creation
|
:
|
06/09/2001
|
|
Description Of Charge
|
:
|
|
|
Amount Secured
|
:
|
478000000
|
|
Description Of Property Affected
|
:
|
|
|
Name & Address Of Chargee
|
:
|
|
EON BANK BHD
|
|
10 & 11 JLN KUNDANG, TMN BKT PASIR, 83000 BATU PAHAT, JOHOR,
MALAYSIA.
|
|
|
|
|
|
|
Form 40 Dated 17/09/2001
|
|
Registered and Numbered 2 In The Register of Charges
|
ENCUMBRANCE 2
|
Date of Creation
|
:
|
24/06/2002
|
|
Description Of Charge
|
:
|
|
|
Amount Secured
|
:
|
452000000
|
|
Description Of Property Affected
|
:
|
|
|
Name & Address Of Chargee
|
:
|
|
|
|
|
|
|
Form 40 Dated
|
|
Registered and Numbered 3 In The Register of Charges
|
ENCUMBRANCE 3
|
Date of Creation
|
:
|
12/11/2002
|
|
Description Of Charge
|
:
|
|
|
Amount Secured
|
:
|
260000000
|
|
Description Of Property Affected
|
:
|
|
|
Name & Address Of Chargee
|
:
|
|
|
|
|
|
|
Form 40 Dated
|
|
Registered and Numbered 4 In The Register of Charges
|
ENCUMBRANCE 4
|
Date of Creation
|
:
|
11/01/2004
|
|
Description Of Charge
|
:
|
|
|
Amount Secured
|
:
|
165000000
|
|
Description Of Property Affected
|
:
|
|
|
Name & Address Of Chargee
|
:
|
|
|
|
|
|
|
Form 40 Dated
|
|
Registered and Numbered 5 In The Register of Charges
|
* 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
|
SOURCES OF RAW MATERIALS:
|
|
|
Local
|
:
|
YES
|
Percentage
|
:
|
40%
|
|
Overseas
|
:
|
YES
|
Percentage
|
:
|
60%
|
|
Import Countries
|
:
|
EUROPE
|
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
|
[
|
X
|
]
|
|
Good
|
[
|
|
]
|
|
Average
|
[
|
|
]
|
|
|
Fair
|
[
|
|
]
|
|
Poor
|
[
|
|
]
|
|
|
|
|
|
|
|
Local
|
:
|
YES
|
Percentage
|
:
|
60%
|
|
Domestic Markets
|
:
|
MALAYSIA
|
|
Overseas
|
:
|
YES
|
Percentage
|
:
|
40%
|
|
Export Market
|
:
|
ASIA, EUROPE
|
|
Credit Term
|
:
|
30 DAYS
|
|
|
|
|
|
|
|
|
Payment Mode
|
:
|
CHEQUES,LETTER OF CREDIT (LC)
|
|
Type of Customer
|
:
|
END USERS
|
|
Products manufactured
|
:
|
|
WOVEN AUTOMOTIVES SEAT & UPHOLSTERY FABRICS
|
|
|
|
|
|
|
Ownership of premises
|
:
|
|
|
Factory / Premises
|
:
|
|
NO 11A, JALAN USJ 21/8, UEP, 47630 SUBANG JAYA, SELANGOR,
MALAYSIA.
|
|
Tel No: 03-80248793
|
|
Fax No: 03-80248798
|
|
|
|
|
Total Number of Employees:
|
|
|
YEAR
|
2007
|
2006
|
2005
|
|
|
|
|
|
|
|
|
|
GROUP
|
N/A
|
N/A
|
N/A
|
|
|
|
|
|
|
|
COMPANY
|
80
|
86
|
87
|
|
|
|
|
|
|
Other Information:
The SC is principally engaged in the (as a / as an) manufacturer of woven
automotives seat & upholstery fabrics.
We have checked with the Malaysian National News Agency's (BERNAMA)database, but
no latest development was noted in our investigation
Latest fresh investigations carried out on the SC indicated that :
|
Telephone Number Provided By Client
|
:
|
0380248793
|
|
Current Telephone Number
|
:
|
07-4556188
|
|
Match
|
:
|
NO
|
|
|
|
|
|
Address Provided by Client
|
:
|
NO 11A, JALAN USJ 21/8, 47360 UEP SUBANG JAYA,SELANGOR
|
|
Current Address
|
:
|
3, JALAN WAWASAN 9, KAWASAN PERINDUSTRIAN SRI GADING, 83000 BATU
PAHAT, JOHOR, MALAYSIA.
|
|
Match
|
:
|
NO
|
|
|
|
|
|
Latest Financial Accounts
|
:
|
YES
|
Other Investigations
We conducted an interview with the SC's staff from Account Dept. She
furnished us some information on the SC.
We have verified and confirmed that the address provided belongs to its
another factory address
Profitability:
|
Turnover
|
:
|
Increased
|
[
|
56.28%
|
]
|
|
Profit/(Loss) Before Tax
|
:
|
Decreased
|
[
|
<1,045.46%>
|
]
|
|
Return on Shareholder Funds
|
:
|
Acceptable
|
[
|
14.44%
|
]
|
|
Return on Net Assets
|
:
|
Acceptable
|
[
|
20.03%
|
]
|
The increase in turnover could be due to the SC adopting an aggressive marketing
strategy. The management had succeeded in turning the SC into a profit making
company. The profit could be due to better control of its operating costs and
efficiency in utilising its resources. The SC's management had generated
acceptable return for its shareholders using its assets.
Working Capital Control:
|
Stock Ratio
|
:
|
Favourable
|
[
|
48 Days
|
]
|
|
Debtors Ratio
|
:
|
Unfavourable
|
[
|
79 Days
|
]
|
|
Creditors Ratio
|
:
|
Favourable
|
[
|
25 Days
|
]
|
The SC's stocks were moving fast thus reducing its holding cost. This had
reduced funds being tied up in stocks. The high debtors' ratio could indicate
that the SC was weak in its credit control. However, the SC could also giving
longer credit periods to its customers in order to boost its sales or to
capture / retain its market share. The SC had a favourable creditors' ratio
as evidenced by its favourable collection days. The SC could be taking
advantage of the cash discounts and also wanting to maintain goodwill with
its creditors.
Liquidity:
|
Liquid Ratio
|
:
|
Favourable
|
[
|
1.98 Times
|
]
|
|
Current Ratio
|
:
|
Favourable
|
[
|
2.82 Times
|
]
|
A minimum liquid ratio of 1 should be maintained by the SC in order to assure
its creditors of its ability to meet short term obligations and the SC was in
a good liquidity position. Thus, we believe the SC is able to meet all its
short term obligations as and when they fall due.
Solvency
|
Interest Cover
|
:
|
Nil
|
[
|
0.00 Times
|
]
|
|
Gearing Ratio
|
:
|
Favourable
|
[
|
0.00 Times
|
]
|
The SC's interest cover was nil as it did not pay any interest during the
year. The SC had no gearing and hence it had virtually no financial risk. The
SC was financed by its shareholders' funds and internally generated fund.
During the economic downturn, the SC, having a zero gearing, will be able to
compete better than those which are highly geared in the same industry.
Overall Accessment:
The higher turnover had helped to reduce the SC's losses. The SC was
in good liquidity position with its total current liabilities well covered by
its total current assets. With its current net assets, the SC should be able
to repay its short term obligations. The SC did not make any interest payment
during the year. The SC was dependent on its shareholders' funds to finance
its business needs. The SC was a zero gearing company, it was solely
dependant on its shareholders to provide funds to finance its business. The SC
has good chance of getting loans, if the needs arises.
Overall financial condition of the SC : STRONG
ECONOMIC / INDUSTRY OUTLOOK
|
|
Major Economic Indicators:
|
2004
|
2005
|
2006
|
2007*
|
2008**
|
|
|
|
|
|
|
|
|
Population ( Million)
|
25.58
|
26.13
|
26.64
|
27.17
|
27.73
|
|
Gross Domestic Products ( % )
|
7.1
|
5.3
|
5.8
|
6.0
|
6.5
|
|
Domestic Demand ( % )
|
7.5
|
7.3
|
7.0
|
9.0
|
6.8
|
|
Private Expenditure ( % )
|
13.1
|
9.5
|
7.0
|
8.6
|
8.2
|
|
Consumption ( % )
|
10.5
|
9.2
|
7.1
|
9.0
|
7.9
|
|
Investment ( % )
|
25.8
|
8.5
|
7.0
|
7.1
|
9.5
|
|
Public Expenditure ( % )
|
<2.1>
|
3.6
|
6.8
|
10.1
|
3.2
|
|
Consumption ( % )
|
6.0
|
5.4
|
5.0
|
10.8
|
5.5
|
|
Investment ( % )
|
<8.7>
|
1.9
|
8.9
|
9.3
|
0.5
|
|
|
|
|
|
|
|
|
Balance of Trade ( MYR Million )
|
80,663
|
99,760
|
108,192
|
99,965
|
99,599
|
|
Government Finance ( MYR Million )
|
<19,419>
|
<18,684>
|
<19,109>
|
<19,948>
|
<20,933>
|
|
Government Finance to GDP / Fiscal Deficit ( % )
|
<4.3>
|
<3.8>
|
<3.3>
|
<3.2>
|
<3.1>
|
|
Inflation ( % Change in Composite CPI)
|
1.4
|
3.1
|
3.9
|
4.0
|
4.0
|
|
Unemployment Rate
|
3.5
|
3.5
|
3.4
|
3.5
|
3.3
|
|
|
|
|
|
|
|
|
Net International Reserves ( MYR Billion )
|
254
|
266
|
290
|
-
|
-
|
|
Average Risk-Weighted Capital Adequacy Ratio ( % )
|
13.84
|
13.63
|
12.91
|
-
|
-
|
|
Average 3 Months of Non-performing Loans ( % )
|
8.46
|
6.74
|
5.41
|
-
|
-
|
|
Average Base Lending Rate ( % )
|
5.99
|
6.00
|
6.61
|
-
|
-
|
|
Business Loans Disbursed( % )
|
10.5
|
8.7
|
<2.5>
|
-
|
-
|
|
Foreign Investment ( MYR Million )
|
13,143.9
|
17,882.9
|
20,228.0
|
-
|
-
|
|
Consumer Loans ( % )
|
-
|
-
|
-
|
-
|
-
|
|
|
|
|
|
|
|
|
Registration of New Companies ( No. )
|
38,580
|
37,474
|
38,293
|
-
|
-
|
|
Registration of New Companies ( % )
|
6.8
|
<2.9>
|
2.2
|
-
|
-
|
|
Liquidation of Companies ( No. )
|
3,334
|
3,069
|
8,647
|
-
|
-
|
|
Liquidation of Companies ( % )
|
<15.8>
|
<7.9>
|
181.8
|
-
|
-
|
|
|
|
|
|
|
|
|
Registration of New Business ( No. )
|
189,206
|
193,095
|
216,147
|
-
|
-
|
|
Registration of New Business ( % )
|
4.6
|
2.1
|
11.9
|
-
|
-
|
|
Business Dissolved ( No. )
|
51,301
|
73,355
|
52,879
|
-
|
-
|
|
Business Dissolved ( % )
|
7.0
|
43.0
|
<27.9>
|
-
|
-
|
|
|
|
|
|
|
|
|
Sales of New Passenger Cars (' 000 Unit )
|
380.6
|
400.8
|
374.1
|
-
|
-
|
|
Cellular Phone Subscribers ( Million )
|
14.6
|
18.5
|
19.5
|
21.3
|
-
|
|
Tourist Arrival ( Million Persons )
|
15.7
|
16.7
|
17.5
|
20.1
|
-
|
|
Hotel Occupancy Rate ( % )
|
60.8
|
63.6
|
64.8
|
-
|
-
|
|
|
|
|
|
|
|
|
Credit Cards Spending ( % )
|
19.3
|
13.9
|
15.4
|
-
|
-
|
|
Bad Cheque Offenders (No.)
|
70,465
|
57,316
|
36,555
|
-
|
-
|
|
Individual Bankruptcy ( No.)
|
16,251
|
15,868
|
13,596
|
-
|
-
|
|
Individual Bankruptcy ( % )
|
31.6
|
<2.4>
|
<14.3>
|
-
|
-
|
|
INDUSTRIES ( % of Growth ):
|
2004
|
2005
|
2006
|
2007*
|
2008**
|
|
|
|
|
|
|
|
|
Agriculture
|
5.0
|
2.5
|
5.3
|
3.1
|
3.5
|
|
Palm Oil
|
3.9
|
7.1
|
5.8
|
<0.6>
|
-
|
|
Rubber
|
16.5
|
<2.9>
|
12.6
|
1.0
|
-
|
|
Forestry & Logging
|
4.3
|
2.0
|
<0.4>
|
2.8
|
-
|
|
Fishing
|
5.5
|
<0.4>
|
9.3
|
5.2
|
-
|
|
Other Agriculture
|
2.4
|
3.2
|
5.3
|
7.0
|
-
|
|
Industry Non-Performing Loans ( MYR Million )
|
620.3
|
563.7
|
516.5
|
487.3
|
0
|
|
% of Industry Non-Performing Loans
|
1.38
|
1.19
|
1.06
|
1.08
|
0
|
|
|
|
|
|
|
|
|
Mining
|
3.9
|
0.8
|
<0.4>
|
3.3
|
4.0
|
|
Oil & Gas
|
4.5
|
1.6
|
4.6
|
-
|
-
|
|
Other Mining
|
<8.0>
|
<1.0>
|
5.1
|
-
|
-
|
|
Industry Non-performing Loans ( MYR Million )
|
62.6
|
68.8
|
55.4
|
42.2
|
-
|
|
% of Industry Non-performing Loans
|
0.1
|
0.1
|
0.1
|
0.1
|
-
|
|
|
|
|
|
|
|
|
Manufacturing #
|
9.8
|
5.1
|
7.3
|
3.1
|
3.8
|
|
Exported-oriented Industries
|
15.5
|
3.0
|
11.1
|
<1.9>
|
-
|
|
Electrical & Electronics
|
17.8
|
3.6
|
13.4
|
3.0
|
-
|
|
Rubber Products
|
14.8
|
2.4
|
0.4
|
8.0
|
-
|
|
Wood Products
|
12.7
|
0.9
|
0.7
|
3.3
|
-
|
|
Textiles & Apparel
|
<11.7>
|
<4.4>
|
12.6
|
<10.1>
|
-
|
|
Domestic-oriented Industries
|
9.7
|
6.9
|
5.0
|
5.3
|
-
|
|
Food, Beverages & Tobacco
|
3.8
|
7.7
|
4.8
|
5.6
|
-
|
|
Chemical & Chemical Products
|
14.6
|
6.9
|
1.7
|
9.2
|
-
|
|
Plastic Products
|
13.5
|
18.6
|
21.3
|
<3.6>
|
-
|
|
Iron & Steel
|
2.7
|
<6.7>
|
<6.9>
|
17.5
|
-
|
|
Fabricated Metal Products
|
29.2
|
<7.5>
|
20.0
|
26.2
|
-
|
|
Non-metallic Mineral
|
<4.8>
|
<6.0>
|
<1.9>
|
6.6
|
-
|
|
Transport Equipment
|
8.6
|
10.4
|
5.3
|
<19.0>
|
-
|
|
Paper & Paper Products
|
2.3
|
4.6
|
4.1
|
14.9
|
-
|
|
Crude Oil Refineries
|
<2.4>
|
8.2
|
12.1
|
8.6
|
-
|
|
Industry Non-Performing Loans ( MYR Million )
|
7,765.4
|
6,035.6
|
6,181.3
|
6,366.2
|
-
|
|
% of Industry Non-Performing Loans
|
17.3
|
12.7
|
12.7
|
14.1
|
-
|
|
|
|
|
|
|
|
|
Construction
|
<1.5>
|
<1.6>
|
<0.5>
|
5.2
|
6.3
|
|
Industry Non-Performing Loans ( MYR Million )
|
5,547.7
|
5,172.7
|
5,527.3
|
5,116.7
|
-
|
|
% of Industry Non-Performing Loans
|
12.4
|
10.9
|
11.4
|
11.3
|
-
|
|
|
|
|
|
|
|
|
Services
|
6.8
|
6.6
|
7.2
|
9.0
|
8.6
|
|
Electric, Gas & Water
|
8.1
|
5.5
|
5.2
|
4.6
|
5.0
|
|
Transport, Storage & Communication
|
8.5
|
6.3
|
5.2
|
7.6
|
7.8
|
|
Wholesale, Retail, Hotel & Restaurant
|
7.1
|
8.0
|
7.1
|
11.6
|
10.0
|
|
Finance, Insurance & Real Estate
|
6.3
|
7.0
|
7.7
|
10.7
|
9.2
|
|
Government Services
|
6.5
|
7.6
|
9.8
|
4.6
|
8.6
|
|
Other Services
|
4.9
|
5.0
|
4.7
|
5.0
|
5.9
|
|
Industry Non-Performing Loans ( MYR Million )
|
8,913.7
|
8,716.8
|
11,593.2
|
10,207.8
|
-
|
|
% of Industry Non-Performing Loans
|
19.9
|
18.4
|
23.9
|
22.6
|
-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
* Estimate / Preliminary
|
|
|
|
|
|
|
** Forecast
|
|
|
|
|
|
|
# Based On
Manufacturing Production Index
(Source : Department of Statistics / Economic Report / Bank Negara Report)
|
|
MSIC CODE
|
|
17299 : Manufacture of other textiles n.e.c.
|
|
|
|
|
INDUSTRY :
|
TEXTILE
|
|
The textiles and textiles products industry comprises four sub-sectors,
namely primary textiles which cover activities such as polymerization,
spinning, weaving, knitting and wet processing; made-up garments; made-up
textiles; and textile accessories.
|
|
The production of textiles, apparels and footwear industry declined by
10.1% in the first six months of 2007 (January-June 2006: 12.6%). The
decline was due to 21.4% contraction in output of textiles and 2.5% in
apparels (January- June 2006: 9.8%; 31.4%), as a result of stiff
competition from low-cost producing countries, in particular China, India,
Thailand and Vietnam. In an effort to improve profit margins, the textile
and apparels manufacturers are engaging in outsourcing and cross-border
investments.
|
|
The textiles industry continues to make significant contributions to
exports and employment. In 2006 (January-November), the textiles and
textile products industry was the seventh largest export earner, contributing
RM9.7 billion or approximately two per cent of total exports of
manufactured goods. Malaysia's major export destination for textiles and
textile products in 2006 was USA, accounting for 27.8 per cent of the total
exports. Other major export destinations were ASEAN countries (16.1%),
Turkey (6.3%), Japan (4.8%) and People's Republic of China (3.8%).
|
|
Most Malaysian manufacturers act as sub-contractors and supply their
products to well-known global brands, besides developing their own. Demand
for better designs as well as quality clothing and footwear has enabled
manufacturers to focus on higher value-added production. Some producers
have embarked on investments in high-tech equipment and improving product
quality and productivity as well as brand building, undertaken during the
economic downturn three years ago. Consequently, they are in a better
position to compete with the recovery in external demand and better global
economic performance.
|
|
In 2006, the International Trade and Industry Ministry's effort to launch a
free trade agreement (FTA) with the US have propel the local textile and
apparel industry into the global market place and assist the industry
players to gain market shares in US. FTA could pave the way for import
duties for Malaysian textile and apparel products entering US to be reduced
or abolished and thus bring down the prices of the products.
|
|
There are over 1,000 factories involved in the textile and apparel industry
and the competitiveness are highly dependent on their ability to deliver
good quality products on time with competitive pricing. Malaysia is
dependent on imports for the basic natural raw materials for the textile
and apparel industry. There is increasing competition from low-cost
producing countries like China, Thailand, Indonesia and Vietnam.
|
|
|
|
|
OVERALL INDUSTRY OUTLOOK : Decline
|
|
Incorporated in 1997 as a private limited company, the SC is
principally engaged in manufacturing of woven automotives seat and upholstery
fabrics. With a large paid up capital of RM10million, the SC has the
potential of capturing higher market shares as it is competing aggressively
in the market. Under the control of Fu-Chi Textile Co. Ltd, it allows the
SC to enjoy timely assistance when the needs arise.
|
|
Having been in the market for over a decade, the SC has established a wide
and stable clientele base. Apart from serving to the domestic market, 40%
of its products are exported to Europe and Asia countries. This global
approach has benefited the SC in terms of higher earnings and market
shares. Hence, better growth prospect can be expected from the SC.
Presently, the SC is led by General Manager, Teng Hock Guan assisted by 80
staff in its business operations.
|
|
Referring to the financial year ended 2006, the Group's turnover has
increased 56.28% to RM29.2million, which led to higher pre-tax profit of
RM4.12million. Return on shareholders' funds was at an acceptable range,
indicating that the Group was efficient in utilising its funds to generate
returns. Besides, the Group was in a good liquidity position as well. This
shows that the Group does not face any difficulties in meeting its short
term obligations. Being a zero geared company, the SC virtually has no financial
risk as it is mainly dependent on its internal funds to finance its
business.
|
|
We noted that the SC's raw materials are sourced locally and
internationally. Being involved in import and export activities, the SC is
subjected to currency fluctuation risk.
|
|
Based on our databank, the SC's overall payment habit is prompt and there
is no legal suit against the SC.
|
|
The industry demonstrates a downward trend in the near term. The immediate
outlook of the industry is unfavourable and it might pressure down the
business performance of the SC.
|
|
Given a strong financial performance and positive net worth of
RM20.18million, we recommend credit be granted to the SC normally.
|
CONSOLIDATED PROFIT AND LOSS
ACCOUNT
|
|
THE FINANCIAL STATEMENTS
WERE PREPARED IN ACCORDANCE WITH MALAYSIA ACCOUNTING STANDARD.
|
|
FUCHITEX
(MALAYSIA) SDN BHD
|
|
For The Year
Ended 31-December-2006
|
|
|
2006
|
2005
|
|
|
MYR
|
MYR
|
|
TURNOVER
|
29,202,499
|
18,685,883
|
|
|
=========
|
=========
|
|
PROFIT/(LOSS) FROM OPERATIONS
|
4,120,950
|
<435,866>
|
|
|
|
|
|
PROFIT/(LOSS) BEFORE TAXATION
|
4,120,950
|
<435,866>
|
|
Taxation
|
<1,206,476>
|
<87,299>
|
|
PROFIT/(LOSS) AFTER TAXATION
|
-------------
2,914,474
|
-------------
<523,165>
|
|
|
|
|
|
PROFIT/(LOSS) BEFORE EXTRAORDINARY ITEMS
|
-------------
2,914,474
|
-------------
<523,165>
|
|
|
|
|
|
PROFIT/(LOSS) ATTRIBUTABLE TO SHAREHOLDERS
RETAINED PROFIT/(ACCUMULATED LOSS) BROUGHT FORWARD
|
-------------
2,914,474
|
-------------
<523,165>
|
|
As previous reported
|
7,270,658
|
12,293,823
|
|
|
|
|
|
As restated
|
-------------
7,270,658
|
-------------
12,293,823
|
|
|
-------------
|
-------------
|
|
PROFIT AVAILABLE FOR APPROPRIATIONS
|
10,185,132
|
11,770,658
|
|
|
|
|
|
DIVIDENDS - Ordinary (paid & proposed)
|
-
|
<4,500,000>
|
|
|
|
|
|
RETAINED PROFIT/(ACCUMULATED LOSS) CARRIED FORWAD
|
-------------
10,185,132
==========
|
-------------
7,270,658
==========
|
|
RETAINED BY: The Company
|
10,185,132
|
7,270,658
|
|
|
|
|
|
|
-------------
10,185,132
==========
|
-------------
7,270,658
==========
|
|
INTEREST EXPENSE (as per notes to PL)
|
|
|
CONSOLIDATED BALANCE SHEET
|
FUCHITEX
(MALAYSIA) SDN BHD
|
|
As At
31-December-2006
|
|
|
|
|
|
|
2006
|
2005
|
|
|
MYR
|
MYR
|
|
ASSET EMPLOYED:
|
|
|
|
FIXED ASSETS
|
8,153,883
|
7,472,634
|
|
LONG TERM INVESTMENTS/OTHER ASSETS
|
|
|
|
Associated companies
|
4,016,279
|
2,638,418
|
|
Investments
|
51,000
|
51,000
|
|
TOTAL LONG TERM INVESTMENTS/OTHER ASSETS
|
------------
4,067,279
|
------------
2,689,418
|
|
TOTAL LONG TERM ASSETS
|
------------
12,221,162
|
------------
10,162,052
|
|
|
|
|
|
CURRENT ASSETS
|
|
|
|
Stocks
|
3,852,002
|
3,528,308
|
|
Trade debtors
|
6,352,620
|
4,933,593
|
|
Other debtors, deposits & prepayments
|
123,939
|
152,674
|
|
Amount due from associated company
|
141,260
|
-
|
|
Cash & bank balances
|
2,471,106
|
2,678,521
|
|
tax recoverable
|
-
|
55,903
|
|
TOTAL CURRENT ASSETS
|
------------
12,940,927
|
------------
11,348,999
|
|
|
|
|
|
CURRENT LIABILITIES
|
|
|
|
Trade creditors
|
2,004,567
|
1,360,327
|
|
Other creditors & accruals
|
356,375
|
348,134
|
|
Amounts owing to holding companies
|
1,947,938
|
668,526
|
|
Provision for taxation
|
276,227
|
-
|
|
Dividends payable/proposed
|
-
|
1,500,000
|
|
|
|
|
|
TOTAL CURRENT LIABILITIES
|
------------
4,585,107
|
------------
3,876,987
|
|
NET CURRENT ASSETS/(LIABILITIES)
|
------------
8,355,820
|
------------
7,472,012
|
|
TOTAL NET ASSETS
|
------------
20,576,982
==========
|
------------
17,634,064
==========
|
|
|
|
|
|
FINANCED BY:
|
|
|
|
|
|
|
|
SHARE CAPITAL
|
|
|
|
Ordinary share capital
|
10,000,000
|
10,000,000
|
|
|
|
|
|
TOTAL SHARE CAPITAL
|
10,000,000
------------
|
10,000,000
------------
|
|
RESERVES
|
|
|
|
Retain profit/(Accumulated loss) carried forward
|
10,185,132
|
7,270,658
|
|
TOTAL RESERVES
|
------------
10,185,132
|
------------
7,270,658
|
|
SHAREHOLDERS' FUNDS/EQUITY
|
------------
20,185,132
|
------------
17,270,658
|
|
LONG TERM & DEFERRED LIABILITIES & PROVISIONS
|
|
|
|
|
|
|
|
Deferred taxation
|
391,850
|
363,406
|
|
TOTAL LONG TERM & DEFERRED LIABILITIES & PROVISIONS
|
------------
391,850
|
------------
363,406
|
|
|
------------
|
------------
|
|
|
20,576,982
|
17,634,064
|
|
|
==========
|
==========
|
CONSOLIDATED FINANCIAL RATIOS
|
|
FUCHITEX
(MALAYSIA) SDN BHD
|
|
As At
31-December-2006
|
|
|
2006
|
2005
|
|
|
MYR
|
MYR
|
|
TYPES OF FUNDS
|
|
|
|
Cash
|
2,471,106
|
2,678,521
|
|
Net Liquid Funds
|
2,471,106
|
2,678,521
|
|
Net Liquid Assets
|
4,503,818
|
3,943,704
|
|
Net Current Assets/(Liabilities)
|
8,355,820
|
7,472,012
|
|
Net Tangible Assets
|
20,576,982
|
17,634,064
|
|
Net Monetary Assets
|
4,111,968
|
3,580,298
|
|
|
|
|
|
BALANCE SHEET ITEMS
|
|
|
|
Total Borrowings
|
0
|
0
|
|
Total Liabilities
|
4,976,957
|
4,240,393
|
|
Total Assets
|
25,162,089
|
21,511,051
|
|
Net Assets
|
20,576,982
|
17,634,064
|
|
Net Assets Backing
|
20,185,132
|
17,270,658
|
|
Shareholders" Funds
|
20,185,132
|
17,270,658
|
|
Total Share Capital
|
10,000,000
|
10,000,000
|
|
Total Reserves
|
10,185,132
|
7,270,658
|
|
|
|
|
|
LIQUIDITY(Times)
|
|
|
|
Cash Ratio
|
0.54
|
0.69
|
|
Liquid Ratio
|
1.98
|
2.02
|
|
Current Ratio
|
2.82
|
2.93
|
|
|
|
|
|
WORKING CAPITAL CONTROL (Days)
|
|
|
|
Stock Ratio
|
48
|
69
|
|
Debtors Ratio
|
79
|
96
|
|
Creditors Ratio
|
25
|
27
|
|
|
|
|
|
SOLVENCY RATIOS (Times)
|
|
|
|
Gearing Ratio
|
0
|
0
|
|
Liabilities Ratio
|
0.25
|
0.25
|
|
Times Interest Earned Ratio
|
0
|
0
|
|
|
|
|
|
PERFORMANCE RATIO (%)
|
|
|
|
Operating Profit Margin
|
14.11
|
<2.33>
|
|
Net Profit Margin
|
9.98
|
<2.80>
|
|
Return On Net Assets
|
20.03
|
<2.47>
|
|
Return On Capital Employed
|
20.03
|
<2.47>
|
|
Return On Shareholders'
Funds/Equity
|
14.44
|
<3.03>
|
|
Dividend Pay Out Ratio (Times)
|
0
|
<8.60>
|
|
|
|
|
|
NOTES TO ACCOUNTS
|
|
|
|
Contingent Liabilities
|
0.00
|
0.00
|
|
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