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MIRA
INFORM REPORT
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Report Date : |
14.01.2008 |
IDENTIFICATION
DETAILS
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Name : |
COGNIS
OLEOCHEMICALS (M) SDN BHD |
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Formerly Known as : |
HENKEL OLEOCHEMICALS (MALAYSIA) SDN BHD |
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Registered Office : |
Lot 4, Jalan Perak, Kawasan Perindustrian, Batu 9, Teluk Panglima
Garang, 42500 Kuala Langat, Selangor |
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Country : |
Malaysia |
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Financials (as on) : |
31.12.2006 |
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Date of Incorporation : |
06.10.1980 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Production, Sale Of Fatty/ Acids, Fatty
Alcohols, Refined Glycerine Oil Field, Chemicals, Ozone Acids, Plastic
Additives, Methyesters & OTHER Oleochemicals Derivatives |
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 : |
Clear |
EXECUTIVE SUMMARY
LOCAL NO : 63112-D
COMPANY NAME : COGNIS OLEOCHEMICALS (M) SDN BHD
FORMER NAME : HENKEL OLEOCHEMICALS (MALAYSIA) SDN BHD (16-09-1999)
INCORPORATION DATE : 06/10/1980
COMPANY STATUS : EXIST
LEGAL STATUS : PRIVATE LIMITED COMPANY
LISTED STATUS : NO
REGISTERED ADDRESS : LOT 4, JALAN PERAK, KAWASAN PERINDUSTRIAN,
BATU 9,
TELUK
PANGLIMA GARANG, 42500 KUALA LANGAT,
SELANGOR,
MALAYSIA.
BUSINESS ADDRESS : LOT 4, JALAN PERAK, KAWASAN PERUSAHAAN BATU 9,
JALAN
KLANG
BANTING,TELUK PANGLIMA GARANG, 42500 KUALA
LANGAT,
SELANGOR, MALAYSIA.
TEL NO : 03 - 31221000/31232104
FAX NO : 03 - 31222626/31220966
EMAIL : hr.department@cognis-oleochemicals.com
WEB SITE : www.my.cognis.com
CONTACT PERSON : MOHD AZUDDIN (GENERAL MANAGER)
INDUSTRY CODE : 1514
24290
PRINCIPAL ACTIVITY : PRODUCTION, SALE OF FATTY/ ACIDS, FATTY
ALCOHOLS,
REFINED
GLYCERINE OIL FIELD, CHEMICALS, OZONE ACIDS,
PLASTIC
ADDITIVES, METHYESTERS & OTHER
OLEOCHEMICALS
DERIVATIVES
AUTHORISED CAPITAL : MYR500,000,000.00 DIVIDED INTO
ORDINARY
SHARE 500,000,000 OF MYR1.00 EACH.
ISSUED AND PAID UP CAPITAL : MYR400,000,000.00 DIVIDED INTO
ORDINARY
SHARE 400,000,000 CASH OF MYR1.00 EACH.
SALES : MYR2,847,713,000 [2006]
NET WORTH : MYR819,646,000 [2006]
M1000 OVERALL RANKING : 321 [2005]
M1000 INDUSTRY RANKING : 15 [2005]
STAFF STRENGTH : 350
[2008]
BANKER (S) : MALAYAN BANKING BHD
LITIGATION : CLEAR
FINANCIAL CONDITION : FAIR
PAYMENT : AVERAGE
MANAGEMENT CAPABILITY : GOOD
COMMERCIAL RISK : LOW
CURRENCY EXPOSURE : HIGH
GENERAL REPUTATION : GOOD
INDUSTRY OUTLOOK : STRONG GROWTH
HISTORY / BACKGROUND
The SC is a private limited company and is allowed to have a minimum of one and a maximum of forty-nine shareholders. As a private limited company, the SC must have at least two directors. A private limited company is a separate legal entity from its shareholders. As a separate legal entity, the SC is capable of owning assets, entering into contracts, sue or be sued by other companies. The liabilities of the shareholders are to the extent of the equity they have taken up and the creditors cannot claim on shareholders' personal assets even if the SC is insolvent. The SC is governed by the Companies Act,
1965 and the company must file its annual returns, together with its financial statements with the Registrar of Companies.
The SC is principally engaged in the (as a / as an) production, sale of fatty/ acids, fatty alcohols, refined
glycerine oil field, chemicals, ozone acids, plastic additives, methyesters & other oleochemicals derivatives.
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 321 387
INDUSTRY RANKING 15 12
The major shareholder(s) of the
SC are shown as follows
Name Address IC/PP/Loc
No: Shareholding
COGNIS B.V. BEGINHOFSTRAAT 37-39, NL 6041, ROEMOND, 200,000,000
NETHERLANDS.
GOLDEN HOPE PLANTATIONS MENARA PNB, 201A JALAN TUN RAZAK, 13TH 29992 200,000,000
BHD
FLOOR, 50400 KUALA LUMPUR, WILAYAH
PERSEKUTUAN, MALAYSIA.
--------------------
400,000,000
===========
+
Also Director
The SC interest in other companies (Subsidiaries/Associates)
are shown as follows:
Local No Name (%) As At
93282 COGNIS
RIKA (M) SDN BHD 55.00 31/12/06
DIRECTORS
DIRECTOR 1
Name of Subject : MR. RAZIDAN BIN GHAZALLI
Address : LOT 51453, JALAN 4/71B, PINGGIR TAMAN TUN DR ISMAIL, 60000
KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.
IC / PP No. : 6936799
New IC No : 621207-06-5269
Date of Birth : 07/12/1962
Nationality : MALAYSIAN MALAY
Date of Appointment : 23/02/2005
DIRECTOR 2
Name of Subject : HJ SABRI BIN AHMAD
Address : 108 JALAN ATHINAHAPAN 2, TAMAN TUN DR ISMAIL, 60000
KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.
IC / PP No. : 1690635
New IC No : 470520-08-5519
Date of Birth : 20/05/1947
Nationality : MALAYSIAN MALAY
Date of Appointment : 19/01/2004
DIRECTOR 3
Name of Subject : MR. RAYMOND YAP CHING CHWAN
Address : 2 JALAN KELAB GOLF 13/2, 40000 SHAH ALAM, SELANGOR, MALAYSIA.
IC / PP No. : 8140262
New IC No : 540719-10-5821
Date of Birth : 19/07/1954
Nationality : MALAYSIAN CHINESE
Date of Appointment : 01/01/1998
DIRECTOR 4
Name of Subject : ANTONIO TRIUS OLIVA
Address : HOHENSTAUFENSTRASSE 11, 40545 DUESSELDORF, GERMANY.
IC / PP No. : P9800523
Nationality : GERMAN
Date of Appointment : 08/10/2002
DIRECTOR 5
Name of Subject : HANS-HELMUT HEYMANN
Address : SANDSTR 2, MONHEIM AM RHEIN, 40789, GERMANY.
IC / PP No. : P5139181138
Nationality : GERMAN
Date of Appointment : 02/09/2005
MANAGEMENT
1) Name of Subject : MOHD AZUDDIN
Position : GENERAL MANAGER
2) Name of Subject : RAYMOND YAP CHING CHWAN
Position : MANAGING DIRECTOR
3) Name of Subject : LEONG YOKE LIM
Position : ACCOUNTANT
4) Name of Subject : JONATHAN YIP
Position : MARKETING MANAGER
5) Name of Subject : MOHD NAJIB
Position : HUMAN RESOURCE MANAGER
6) Name of Subject : JACKY CHAN YEE PANG
Position : PRODUCT MANAGER
AUDITOR
Auditor : KPMG
Auditors' Address : WISMA KPMG, JALAN DUNGUN, DAMANSARA HEIGHTS, 50490 KUALA
LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.
COMPANY SECRETARY
1) Company Secretary : MR. DAVID LOO KEAN BENG
IC / PP No. : 7020334
New IC No. : 630501-07-5905
Address : 57 JALAN SEMPILAI, TAMAN TENAGA, BATU 4, JALAN
CHERAS, 56100 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.
Date of Appointment : 07/06/2006
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 Malaysia back dated since 1900.
No legal action was found in our databank.
No
winding up petition was found in our data bank
PAYMENT RECORD
SOURCES OF RAW MATERIALS :
Local : YES Percentage : 50%
Overseas : YES Percentage : 50%
Import Countries : INDONESIA , GERMANY , SINGAPORE.
A
trade enquiry conducted with SC's suppliers revealed the following:
Supplier 1
Type of Supplies : PALM KERNEL OIL
Time Known : N/A
Credit Term : NO CREDIT TERMS
Mode of Payment : CASH ON DELIVERY
AND CHEQUES
Credit Limit : N/A
Mthly Avg Trx. : DEPENDS ON MARKET PRICE
Outstanding amount : N/A
Payment Record : AVERAGE
Besides
that the SC also purchases some of the crude palm oil from the Felda Group.
According
to our trade survey and the historical financial accounts, we are of the
opinion that :
OVERALL
PAYMENT HABIT
Prompt [ ] Good [ ] Average [ X ]
Fair [ ] Poor [ ]
CLIENTELE
Local : YES Percentage : 30%
Domestic Markets : MALAYSIA.
Overseas : YES Percentage : 70%
Export Market : AUSTRALIA , BANGLADESH , BRUNEI DARUSSALAM , EGYPT , UNITED STATES , ETHIOPIA , FIJI , FRANCE , GERMANY , HONG KONG , INDIA , INDONESIA , IRAN , JAPAN , KUWAIT , NEPAL , NEW ZEALAND , PHILIPPINES , QATAR , SAUDI ARABIA, ARGENTINA , BRAZIL , CAMEROON , CANADA , CHINA , GHANA , GREECE , GUATEMALA , HONDURAS , ITALY , IVORY COAST , KENYA , MEXICO , MOROCCO ,NETHERLANDS , NIGERIA , PAKISTAN , SENEGAL , SINGAPORE , SOUTH KOREA , SPAIN , SRI LANKA , TAIWAN , THAILAND , TURKEY , UNITEDARAB EMIRATES , UNITED KINGDOM , VENEZUELA , VIETNAM.
Credit Term :
30 DAYS.
Payment Mode :
CHEQUES , TELEGRAPHIC TRANSFER (TT) , LETTER OF CREDIT (LC).
Type of Customer :
MANUFACTURING INDUSTRIES .
The SC
concentrates on overseas market. The SC's products are used ina variety of
industries.
CUSTOME(S) :1) COLGATE-PALMOLIVE
(MALAYSIA) SDN
BHD
OPERATIONS
Products Manufactured :
DISTILLED PALM KERNEL, CAPRYLIC-CAPRIC ACIDS, GLYCERINE PH EUR (REFINED - 99.8%), STEARIC ACIDS, FATTY ACID METHYLESTERS, FRACTIONAL FATTY ACID METHYLESTERS,
FRACTIONAL FATTY
ACIDS (C6 TO C18 PURE), PALM FATTY ACIDS, SATURATED FATTY ALCOHOLS (BROAD CUT),
SATURATED FATTY ALCOHOLS (NARROW CUT), SATURATED FATTY ALCOHOLS (PURE CUT)
Brand Name
EDENOR, HYDRENOL, LOROL, STENOL
Award
HACCP Year
: 2005
MS ISO 14001 Year : 2001
MS ISO 9001 :
2000 Year : 1997
Competitor(s)
BP CHEMICALS (MALAYSIA) SDN BHD
COGNIS RIKA (M)
SDN BHD
NATURAL
OLEOCHEMICALS SDN BHD
SOUTHERN ACIDS (M)
BHD
TITAN PETCHEM (M)
SDN BHD
Member(s) / Affiliate(s)
MALAYSIAN CROP CARE AND PUBLIC
HEALTH ASSOCIATION (MCPA)
FEDERATION OF
MALAYSIAN MANUFACTURERS (FMM)
Ownership of premises
OWNED
Production lines
4
Production capacity
120,000 TO 130,000 TONNES PER MONTH
Shifts
3
Total Number of Employees
EAR 2008 2007 2006 2005 2004
GROUP N/A N/A N/A N/A N/A
COMPANY 350 348 390 338 342
Branch
NO
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 : 03-31221000/31232104
Match : N/A
Address Provided By Client : LOT 4, JALAN PERAK, KAWASAN PERUSAHAAN
BATU
9, JALAN KLANG BANTING,TELUK PANGLIMA
GARANG,
42500 KUALA LANGAT, SELANGOR
Current
Address : LOT 4, JALAN PERAK, KAWASAN PERUSAHAAN
BATU
9, JALAN KLANG BANTING,TELUK PANGLIMA
GARANG,
42500 KUALA LANGAT, SELANGOR,
MALAYSIA.
Match : YES
Latest
Financial Accounts : YES
Other Investigations
On 8th January 2008, we conducted an
interview with the SC's staff from Account Dept, Ms Ina. She furnished us some
information on the SC
FINANCIAL COMMENTS
Profitability :
Turnover : Erratic [ 2004-2006 ]
Profit
/ ( Loss ) before tax : Increased [ 2004-2006 ]
Return
on Shareholder Funds : Unfavourable [ 5.42% ]
Return
on Net Assets : Unfavourable [ 6.51% ]
The fluctuating turnover reflects the fierce
competition among the existing and new market players. The SC's management have
been efficient in controlling its operating costs. The unfavourable return on
shareholders' funds and net assets could indicate that the SC's management was
inefficient in utilizing its assets to generate returns.
Working Capital Control
Stocks
Ratio : Favourable [ 51 Days ]
Debtors
Ratio : Favourable [ 47 Days ]
Creditors
Ratio : Favourable [ 33 Days ]
The SC's stocks were moving fast thus reducing its holding cost. This had reduced funds being tied up in stocks. The favourable debtors' days could be due to the good credit control measures implemented by the SC. 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 [ 1.41 Times ]
Current
Ratio : Favourable [ 2.15 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 : Acceptable [ 6.45 Times ]
Gearing
Ratio : Favourable [ 0.40 Times ]
The SC's interest cover was slightly low. If
there is no sharp fall in its profit or sudden increase in the interest rates,
we believe the SC is able to generate sufficient income to service its interest
and repay the loans. The SC was lowly geared thus it had a low financial risk.
The SC was mainly financed by its shareholders' funds and internally generated
funds. In times of economic slowdown / downturn, the SC being a lowly geared
company, will be able to compete better than those companies which are highly
geared in the same industry.
Overall Assessment
Although the turnover was erratic, the SC
had maintained a steady growth in its profit. This indicate the management's
efficiency in controlling its costs and profitability.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 had an acceptable interest cover. If there is no
sudden sharp increase in interest rate or fall in the SC's profit, we do
believe the SC is able to generate sufficient cash flow to service its interest
payment.The SC as a lowly geared company, will be more secured compared to
those highly geared companies. It has the ability to meet all its long term
obligations.
Overall financial condition of
the SC
FAIR
COMMENTS
Established in 1980, the SC is principally engaged in the production, sale of fatty/ acids, fatty alcohols,
refuned glycerine oil field, chemicals, ozone acids, plastic additives, metyesters and other oleochemical
derivatives. With its long presence in the industry coupled with its vast experiences in the business, the
SC should have built up a certain goodwill with its clients over times. With a huge issued and paid up
capital of RM400 million the SC has the potential of capturing a higher market shares as it is competing
aggressively in the market. Good reputation build up over the years has given the SC an edge when
competing in the industry.
In order to further grow the business, the SC has broaden its reach and penetrated into the global
market. At present, about 70% of the SC's revenue is derived from overseas markets such as Australia,
Bangladesh, Brunei and etc. The wider range of its market segments has benefited the SC in terms of
higher earnings and minimised its business risk. Over the years, the SC has achieved several award
which has sharpen its competitiveness. Operating on a large scale, the SC has approximately 350
employees in its operation. The SC's management team is overseen by Managing Director Raymond
Yap Ching Chwan and overall the management capability of the SC is good.
Based on the latest financial year 2007 the group posted pre-tax profit of RM67.84 million and its
turnover stood at RM2.84 billion. The group was in good liquidity position with its current liabilities well
covered by its current assets. With its current net assets, the SC should be able to repay its short term
obligations. The group posted a low gearing ratio indicating that the group faces low financial risk.
However the group posted relatively low return on shareholders' funds indicating that the group did not
generate an acceptable amount of profits based on its existing shareholders' funds. Nonetheless with
the comfortable networth standing at RM819.64 million, the group is able to sustain its business
performance in the near terms.
Investigation revealed that the SC sources its raw materials from both local and overseas countries. As
a result, the SC is exposed to foreign currency fluctuation risk.
Based on our trade survey we concluded that the payment habit of the SC is average.
The industry shows an upward trend and this trend is very likely to sustain in the near future. With the
promising outlook of the industry performance, the business potential of the SC should be favourable.
Moreover, with the SC's strong background, the SC has a competitive edge against other players in the
same fields.
In view of the above we recommend a fairly large amount of credit be granted to the SC promptly.
THE
FINANCIAL STATEMENTS WERE PREPARED IN ACCORDANCE WITH MALAYSIA ACCOUNTING
STANDARD.
CONSOLIDATED
PROFIT AND LOSS ACCOUNT
For
The Year Ended 31-December-2006
COGNIS
OLEOCHEMICALS (M) SDN BHD
2006 2005 2004
MYR MYR MYR
TURNOVER 2,847,713,000 842,166,000 915,000,945
=========== =========== ===========
PROFIT/(LOSS)
FROM OPERATIONS 67,849,000 67,493,000 72,835,345
SHARE OF PROFITS/(LOSSES) OF
ASSOCIATED
------------------- ------------------- -------------------
PROFIT/(LOSS)
BEFORE TAXATION 67,849,000 67,493,000 72,835,345
Taxation <17,027,000> <12,235,000> <16,904,856>
------------------- ------------------- -------------------
PROFIT/(LOSS)
AFTER TAXATION 50,822,000 55,258,000 55,930,489
Minority
interests <6,386,000> <2,433,000> <5,090,264>
------------------- ------------------- -------------------
PROFIT/(LOSS)
BEFORE EXTRAORDINARY ITEMS 44,436,000 52,825,000 50,840,225
------------------- ------------------- -------------------
PROFIT/(LOSS)
ATTRIBUTABLE TO SHAREHOLDERS 44,436,000 52,825,000 50,840,225
RETAINED PROFIT/(ACCUMULATED LOSS)
BROUGHT
FORWARD
As
previously reported 332,781,000 231,475,000 180,635,162
------------------- ------------------- -------------------
As
restated 332,781,000 231,475,000 180,635,162
------------------- ------------------- -------------------
PROFIT
AVAILABLE FOR APPROPRIATIONS 377,217,000 284,300,000 231,475,387
TRANSFER
TO RESERVES - Statutory - 48,481,000 -
------------------- ------------------- -------------------
RETAINED PROFIT/(ACCUMULATED LOSS)
CARRIED
FORWARD 377,217,000 332,781,000 231,475,387
=========== =========== ===========
RETAINED
BY: The Company 377,217,000 332,781,000 231,475,387
------------------- ------------------- -------------------
377,217,000 332,781,000 231,475,387
=========== =========== ===========
INTEREST
EXPENSE (as per notes to P&L)
Other
interest expenses 12,452,000 20,000 554,188
------------------- ------------------- -------------------
12,452,000 20,000 554,188
=========== =========== ===========
CONSOLIDATED BALANCE SHEET
As At
31-December-2006
COGNIS
OLEOCHEMICALS (M) SDN BHD
2006 2005 2004
MYR MYR MYR
ASSETS EMPLOYED:
FIXED
ASSETS 517,810,000 186,896,000 173,226,286
LONG
TERM INVESTMENTS/OTHER ASSETS
Deferred
assets 22,754,000 6,210,000 9,867,000
Prepaid
lease payments 16,734,000 17,198,000 -
------------------- ------------------- -------------------
TOTAL
LONG TERM INVESTMENTS/OTHER ASSETS 39,488,000 23,408,000 9,867,000
INTANGIBLE
ASSETS
Deferred/Expenditure
carried forward 54,853,000 90,000 -
------------------- ------------------- -------------------
TOTAL
INTANGIBLE ASSETS 54,853,000 90,000 -
------------------- ------------------- -------------------
TOTAL
LONG TERM ASSETS 612,151,000 210,394,000 183,093,286
CURRENT
ASSETS
Stocks 401,335,000 98,439,000 104,039,427
Trade
debtors 368,484,000 114,092,000 95,613,909
Other
debtors, deposits & prepayments 30,363,000 9,172,000 10,611,716
Short
term deposits 183,373,000 64,982,000 26,500,000
Items in transit between head
office & branches
Cash
& bank balances 60,620,000 3,043,000 767,036
Amount
due from an affiliated company 109,224,000 58,165,000 1,287,723
Current
tax assets 2,532,000 3,414,000 100,573,723
Derivative
assets 6,252,000 - -
------------------- ------------------- -------------------
TOTAL
CURRENT ASSETS 1,162,183,000 351,307,000 339,393,534
CURRENT
LIABILITIES
Trade
creditors 257,367,000 52,311,000 69,381,545
Other
creditors & accruals 37,021,000 7,884,000 6,185,415
Short
term borrowings/Term loans 8,887,000 - 12,475,000
Other
borrowings 125,522,000 - -
Provision
for taxation - - 1,024,064
Amount
due to affiliated company 108,298,000 21,909,000 20,208,302
Current
tax liabilities 4,034,000 - -
Derivative
liabilities 36,000 - -
------------------- ------------------- -------------------
TOTAL
CURRENT LIABILITIES 541,165,000 82,104,000 109,274,326
------------------- ------------------- -------------------
NET
CURRENT ASSETS/(LIABILITIES) 621,018,000 269,203,000 230,119,208
------------------- ------------------- -------------------
TOTAL
NET ASSETS 1,233,169,000 479,597,000 413,212,494
=========== =========== ===========
FINANCED
BY:
SHARE
CAPITAL
Ordinary
share capital 400,000,000 74,750,000 74,750,000
------------------- ------------------- -------------------
TOTAL
SHARE CAPITAL 400,000,000 74,750,000 74,750,000
RESERVES
Share
premium 28,578,000 - -
Revaluation
reserve 7,755,000 7,708,000 -
General
reserve - 1,816,000 -
Retained profit/(Accumulated loss)
carried
forward 377,217,000 332,781,000 231,475,387
translation
reserve 6,096,000 - 50,297,296
------------------- ------------------- -------------------
TOTAL
RESERVES 419,646,000 342,305,000 281,772,683
------------------- ------------------- -------------------
SHAREHOLDERS'
FUNDS/EQUITY 819,646,000 417,055,000 356,522,683
MINORITY
INTEREST 53,501,000 53,400,000 55,890,811
LONG
TERM & DEFERRED LIABILITIES & PROVISIONS
Long
term loans 194,113,000 - -
Deferred
taxation 30,848,000 9,142,000 799,000
Retirement
benefits provision 135,061,000 - -
------------------- ------------------- -------------------
TOTAL LONG TERM & DEFERRED LIABILITIES
&
PROVISIONS 360,022,000 9,142,000 799,000
------------------- ------------------- -------------------
1,233,169,000 479,597,000 413,212,494
=========== =========== ===========
CONSOLIDATED FINANCIAL RATIOS
As At
31-December-2006
COGNIS
OLEOCHEMICALS (M) SDN BHD
2006 2005 2004
MYR MYR MYR
TYPES OF FUNDS
Cash 243,993,000 68,025,000 27,267,036
Net
Liquid Funds 235,106,000 68,025,000 14,792,036
Net
Liquid Assets 219,683,000 170,764,000 126,079,781
Net
Current Assets/(Liabilities) 621,018,000 269,203,000 230,119,208
Net
Tangible Assets 1,178,316,000 479,507,000 413,212,494
Net
Monetary Assets <140,339,000> 161,622,000 125,280,781
BALANCE
SHEET ITEMS
Total
Borrowings 328,522,000 0 12,475,000
Total
Liabilities 901,187,000 91,246,000 110,073,326
Total
Assets 1,774,334,000 561,701,000 522,486,820
Net
Assets 1,233,169,000 479,597,000 413,212,494
Net
Assets Backing 873,147,000 470,455,000 412,413,494
Shareholders''
Funds 819,646,000 417,055,000 356,522,683
Total
Share Capital 400,000,000 74,750,000 74,750,000
Total
Reserves 419,646,000 342,305,000 281,772,683
LIQUIDITY
(Times)
Cash
Ratio 0.45 0.83 0.25
Liquid
Ratio 1.41 3.08 2.15
Current
Ratio 2.15 4.28 3.11
WORKING
CAPITAL CONTROL (Days)
Stock
Ratio 51 43 42
Debtors
Ratio 47 49 38
Creditors
Ratio 33 23 28
SOLVENCY
RATIOS (Times)
Gearing
Ratio 0.40 0 0.03
Liabilities
Ratio 1.10 0.22 0.31
Times
Interest Earned Ratio 6.45 3,375.65 132.43
PERFORMANCE
RATIO (%)
Operating
Profit Margin 2.38 8.01 7.96
Net
Profit Margin 1.56 6.27 5.56
Return
On Net Assets 6.51 14.08 17.76
Return
On Capital Employed 6.76 14.08 17.24
Return
On Shareholders'' Funds/Equity 5.42 12.67 14.26
Dividend
Pay Out Ratio (Times) 0 0 0
NOTES
TO ACCOUNTS
Contingent
Liabilities 0 0 0
RATING
EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit transaction.
It has above average (strong) capability for payment of interest and
principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit consideration.
Capability to overcome financial difficulties seems comparatively below
average. |
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%)