MIRA INFORM REPORT

 

 

 

Report Date :

11.11.2008

 

IDENTIFICATION DETAILS

 

Name :

CHANG SHENG HAU SDN BHD

 

 

Registered Office :

68-3A, Jalan Pasar, 41400 Klang, Selangor

 

 

Country :

Malaysia

 

 

Financials (as on) :

31.12.2007

 

 

Date of Incorporation :

02.12.1995

 

 

Com. Reg. No.:

369240-K

 

 

Legal Form :

Private Limited

 

 

Line of Business :

General Merchants

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Unfavourable & favourable factors carry similar weight in credit consideration. Capability to overcome financial difficulties seems comparatively below average.

Small

 

Status :

Moderate

 

 

Payment Behaviour :

No Complaints

 

 

Litigation :

Clear

 

 

* Adopted abbreviations :          SC - Subject Company (the company enquired by you)

                                              N/A - Not Applicable

 

 

EXECUTIVE SUMMARY

 

 

REGISTRATION NO.

:

369240-K

COMPANY NAME

:

CHANG SHENG HAU SDN BHD

FORMER NAME

:

N/A

INCORPORATION DATE

:

02/12/1995

 

 

 

COMPANY STATUS

:

EXIST

LEGAL STATUS

:

PRIVATE LIMITED

LISTED STATUS

:

NO

 

 

 

REGISTERED ADDRESS

:

68-3A, JALAN PASAR, 41400 KLANG, SELANGOR, MALAYSIA.

BUSINESS ADDRESS

:

LOT PT 101844, JALAN SERULING 59K/02, TAMAN KLANG JAYA, 42000 PELABUHAN KLANG, SELANGOR, MALAYSIA.

TEL.NO.

:

03-33243757

FAX.NO.

:

03-33249757

CONTACT PERSON

:

KHOR LEAN HANG ( MANAGING DIRECTOR )

 

 

 

INDUSTRY CODE

:

51239

PRINCIPAL ACTIVITY

:

GENERAL MERCHANTS

AUTHORISED CAPITAL

:

MYR 5,000,000.00 DIVIDED INTO
ORDINARY SHARE 5,000,000.00 OF MYR 1.00 EACH.

ISSUED AND PAID UP CAPITAL

:

MYR 1,200,000.00 DIVIDED INTO
ORDINARY SHARES 1,200,000 CASH OF MYR 1.00 EACH.

 

 

 

SALES

:

MYR 26,467,529 [2007]

NET WORTH

:

MYR 1,996,818 [2007]

 

 

 

STAFF STRENGTH

:

6 [2008]

BANKER (S)

:

MALAYAN BANKING BHD

LITIGATION

:

CLEAR

FINANCIAL CONDITION

:

POOR

PAYMENT

:

AVERAGE

MANAGEMENT CAPABILITY

:

AVERAGE

 

 

 

COMMERCIAL RISK

:

MODERATE

CURRENCY EXPOSURE

:

MODERATE

GENERAL REPUTATION

:

SATISFACTORY

INDUSTRY OUTLOOK

:

AVERAGE 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) general merchants.

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. KHOR LEAN HANG +

1 LENGKONGAN GAMBUS 4, TAMAN DESAWAN, 41200 KLANG, SELANGOR, MALAYSIA.

530925-08-6757 8043846

1,024,999.00

MS. OOI SAW LIAN +

1 LENGKONGAN GAMBUS 4, TAMAN DESAWAN, 41200 KLANG, SELANGOR, MALAYSIA.

550830-07-5148 4851202

175,001.00

 

 

 

---------------

 

 

 

1,200,000.00

 

 

 

============

 

+ Also Director

DIRECTORS



DIRECTOR 1

 

Name Of Subject

:

MS. OOI SAW LIAN

Address

:

1 LENGKONGAN GAMBUS 4, TAMAN DESAWAN, 41200 KLANG, SELANGOR, MALAYSIA.

IC / PP No

:

4851202

New IC No

:

550830-07-5148

Date of Birth

:

30/08/1955

Nationality

:

MALAYSIAN CHINESE

Date of Appointment

:

02/12/1995

 

DIRECTOR 2

 

Name Of Subject

:

MR. KHOR LEAN HANG

Address

:

1 LENGKONGAN GAMBUS 4, TAMAN DESAWAN, 41200 KLANG, SELANGOR, MALAYSIA.

IC / PP No

:

8043846

New IC No

:

530925-08-6757

Date of Birth

:

25/09/1953

Nationality

:

MALAYSIAN CHINESE

Date of Appointment

:

02/12/1995




MANAGEMENT

 

 

 

1)

Name of Subject

:

KHOR LEAN HANG

 

Position

:

MANAGING DIRECTOR

 

 

 

 

 

 

AUDITOR

 

Auditor

:

SHAISTRI & CO

Auditor' Address

:

306A, BATU 2 1/2, JALAN KAPAR, 41400 KLANG, SELANGOR, MALAYSIA.

 

 

 

 

 

 

 

COMPANY SECRETARIES

 

1)

Company Secretary

:

MR. LIM AH HUAT

 

IC / PP No

:

7083258

 

New IC No

:

630627-10-7239

 

Address

:

44 LINTANG SUNGAI KERAMAT 9D, TAMAN KELANG UTAMA, 42100 KLANG, SELANGOR, MALAYSIA.

 

 

 

 

 

 

BANKING


Banking relations are maintained principally with :

1)

Name

:

MALAYAN BANKING 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

:

12/04/2002

Description Of Charge

:

N/A

Amount Secured

:

RM2,800,000.00

Description Of Property Affected

:

N/A

Name & Address Of Chargee

:

MALAYAN BANKING BHD

 

Form 40 Dated

Registered and Numbered 1 In The Register of Charges



ENCUMBRANCE 2

Date of Creation

:

05/06/2003

Description Of Charge

:

N/A

Amount Secured

:

RM2,200,000.00

Description Of Property Affected

:

N/A

Name & Address Of Chargee

:

MALAYAN BANKING BHD

 

Form 40 Dated

Registered and Numbered 2 In The Register of Charges



ENCUMBRANCE 3

Date of Creation

:

22/02/2005

Description Of Charge

:

N/A

Amount Secured

:

RM3,700,000.00

Description Of Property Affected

:

N/A

Name & Address Of Chargee

:

MALAYAN BANKING BHD

 

Form 40 Dated

Registered and Numbered 3 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

 

Import Countries

:

INDIA,CHINA



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

[

 

]

 

Average

[

X

]

 

Fair

[

 

]

 

Poor

[

 

]

 

 

 

 

 

 

 

CLIENTELE

 

Local

:

YES

Percentage

:

100%

Domestic Markets

:

MALAYSIA

Overseas

:

NO

Percentage

:

0%

 

 

 

 

 

 

Credit Term

:

AS AGREED

 

 

 

 

 

 

Payment Mode

:

CHEQUES,CASH

Type of Customer

:

RETAIL

 

 

 

 

 

 

 

OPERATIONS

 

Goods Traded

:

SUNDRY GOODS

 

 

 

Competitor(s)

:

AURIC CHUN YIP SDN BHD

HARPERS TRADING (MALAYSIA) SDN BHD

LUN HENG SDN BHD

PGEO GROUP SDN BHD

UNILEVER (MALAYSIA) HOLDINGS SDN BHD

 

 

 

Ownership of premises

:

LEASED/RENTED

 

Total Number of Employees:

YEAR

2008

2007

 

 

GROUP

N/A

N/A

 

 

 

 

 

 

 

COMPANY

6

7

 

 

 

 

 

 

 

 

Branch

:

NO

Other Information:


The SC is principally engaged in the (as a / as an) general merchants.

The SC offers a wide range of sundry goods includes onion, dries chillies, garlics, beans and others.

Besides that the SC also provides products based on the customers' requirements.

We were informed that the SC has a warehouse located at the same premises.

 

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

:

N/A

Current Telephone Number

:

03-33243757

Match

:

N/A

 

 

 

Address Provided by Client

:

LOT PT 10-1844, JALAN SERULING 59K/02, TAMAN KLANG JAYA, 42000 PELABUHAN KLANG, SELANGOR.

Current Address

:

LOT PT 101844, JALAN SERULING 59K/02, TAMAN KLANG JAYA, 42000 PELABUHAN KLANG, SELANGOR, MALAYSIA.

Match

:

YES

 

 

 

Latest Financial Accounts

:

YES

 

Other Investigations


We conducted an interview with Ms Chia from the SC's Admin Department. She revealed someinformation pertaining to the SC.



FINANCIAL COMMENTS

 

Profitability:

Turnover

:

Erratic

[

2005 - 2007

]

Profit/(Loss) Before Tax

:

Decreased

[

2005 - 2007

]

Return on Shareholder Funds

:

Unfavourable

[

0.62%

]

Return on Net Assets

:

Unfavourable

[

3.22%

]


The fluctuating turnover reflects the fierce competition among the existing and new market players. The SC's profit fell sharply because of the high operating costs incurred. The unfavourable return on shareholders' funds and net assets could indicate that the SC's management was inefficient in utilising its assets to generate returns.

Working Capital Control:

Stock Ratio

:

Favourable

[

5 Days

]

Debtors Ratio

:

Unfavourable

[

69 Days

]

Creditors Ratio

:

Favourable

[

20 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

:

Unfavourable

[

0.79 Times

]

Current Ratio

:

Unfavourable

[

0.83 Times

]


A low liquid ratio means that the SC may be facing working capital deficiency. If the SC cannot obtain additional financing or injection of fresh capital, it may face difficulties in meeting its short term obligations.

Solvency

Interest Cover

:

Unfavourable

[

1.05 Times

]

Gearing Ratio

:

Favourable

[

0.63 Times

]


The SC's interest cover was low. If its profits fall or when interest rate rises, it may not be able to meet all its interest payment. 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 Accessment:

The SC recorded lower profits as its turnover showed a erratic trend. The SC's management was unable to control its costs efficiently as its profit showed a downward trend. Due to its weak liquidity position, the SC will be faced with problems in meeting all its short term obligations if no short term loan is obtained or additional capital injected into the SC. If there is a fall in the SC's profit or any increase in interest rate, the SC may not be able to generate sufficient cash-flow to service its interest. 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 : POOR

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

51239 : Wholesale of other foodstuffs e.g mee,kueh teow, wantan skin and related products,cooking oil, tinned food, etc

 

 

INDUSTRY :

FOOD & BEVERAGES


Agricultural output will be further boosted by the projected increase in food production resulting from the various incentives and development programmes mounted by the government to reduce the high food import bill as well as to raise farmers' income through diversification into high value food crops and farming, including aquaculture, floriculture and cultivation of medicinal plants.


During the January to November 2007, domestic food manufacturing surged by 7.9%. The food and beverage sector remains dynamic with the opening of new international and local food chains and outlets throughout the country. The industry's potential has also attracted the interest of investors in hospitality-linked companies including the introduction of a new budget hotel chain patterned after the concept of budget airlines.


Agricultural produces for food is one of the main thrusts of the Government towards country's self-sufficiency, and also as a major contributor to the country's development. The objective is expected to be achieved through concerted efforts to reduce food imports and fully utilise the nation's resources. Imports of meat products currently stand at about RM2 billion annually.


In addition, turning Malaysia into a halal food hub is still on the agenda, which partly supports the positive outlook on the domestic food industry; this is a niche market that is not seen to be vulnerable to the effects of an economic slowdown in the US. Meanwhile, another area that has experienced growth and is poised to expand further this year is the processing and preservation of fish and fish products.

The Government has identified the processed food industry as one of the major growth sectors of the economy under the Ninth Malaysia Plan (9MP). Under the 9MP, the food commodities subsector is expected to grow at an average rate of 7.6% per annum through improvements in efficiency and productivity as well as expansion in hectarage. Exports of food commodities will be increased to achieve a positive food trade balance. The production of 'padi' will be increased to meet the target of self-sufficiency level of 90%. The production of fruits will be undertaken on a large-scale in the fruit production zones using the cluster development approach and concentrating on nine fruit species which have export potential. The production of vegetables will focus on high value varieties for local consumption and selected export markets. The Green Book Programme to promote cultivation of food crops at the community level will be reactivated.


The Government has approved an allocation of RM11.4 billion representing an increase of 70% compared with the Eighth Plan allocation for the sector. Among the objectives of the plan are large-scale commercial farming and greater application of modern technology and ICT to produce higher value-added processed food and food products.


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 : Average Growth


COMMENTS

 


Incorporated in 1995, the SC is principally engaged in the trading of sundry goods. Being a private limited company, the SC's paid up capital stands at RM1.2million. Having been in the market for over a decade, the SC should have gained certain market shares and built up its own image over times. With a paid up capital of RM1.2million. the SC has the abilities to expand its business when the needs arise.


Information revealed that the SC's major income is derived from the domestic market. With the full concentration in the local market, the SC is likely to be affected by the uncertainties in the local events. However, with the SC's vast business experience and stable clientele base, the risk of exposure of the SC is minimised. Presently, the SC is headed by Managing Director, Khor Lean Hang supported by 6 employees in its business operations. The SC's overall management capability is considered average.


For the latest financial year 2007, the SC's turnover dropped from RM44.27million to RM26.46million, which led to lower pre-tax profit of RM4,480. Due to its low profitability, return on shareholders' funds was low, indicating that the management was inefficient in utilising its funds to generate returns. Besides, the SC's liquidity ratio was slightly low at 0.79 times as it failed to meet its current obligations. Fortunately, a low gearing ratio has minimised the SC's financial risk.


We noted that the SC's supplies are sourced locally and imported from overseas countries such as India and China. Thus, it eliminates the risk of dependency on deliveries from a number of key suppliers and insufficient quantities of its resources.


Based on our historical financial data, the SC's overall payment habit is average. The SC is clear of any litigation.


The country has seen a steady increase in both standard of living and the consumers' purchasing power. Lifestyle changes have led to an increase in the demand for convenience food and health food. With the promising outlook of the industry performance, this will present more business opportunities for the SC.


In view of the above, we only recommend credit be granted to the SC with monitoring.

 

 

PROFIT AND LOSS ACCOUNT

 

 

THE FINANCIAL STATEMENTS WERE PREPARED IN ACCORDANCE WITH MALAYSIA ACCOUNTING STANDARD.

CHANG SHENG HAU SDN BHD

For The Year Ended 31-December-2007

 

 

2007

2006

2005

 

MYR

MYR

MYR

 

 

 

 

TURNOVER

26,467,529

44,272,123

33,835,715

 

==========

==========

==========

PROFIT/(LOSS) FROM OPERATIONS

4,480

146,615

33,542

 

 

 

 

 

------------

------------

------------

PROFIT/(LOSS) BEFORE TAXATION

4,480

146,615

33,542

Taxation

7,857

<14,697>

<6,491>


PROFIT/(LOSS) AFTER TAXATION

------------
12,337

------------
131,918

------------
27,051

 

 

 

 


PROFIT/(LOSS) BEFORE EXTRAORDINARY ITEMS

------------
12,337

------------
131,918

------------
27,051

 

 

 

 


PROFIT/(LOSS) ATTRIBUTABLE TO SHAREHOLDERS
RETAINED PROFIT/(ACCUMULATED LOSS) BROUGHT FORWARD

------------
12,337

------------
131,918

------------
27,051

As previous reported

784,481

652,563

625,512


As restated

------------
784,481

------------
652,563

------------
625,512

 

------------

------------

------------

PROFIT AVAILABLE FOR APPROPRIATIONS

796,818

784,481

652,563


RETAINED PROFIT/(ACCUMULATED LOSS) CARRIED FORWAD

------------
796,818
==========

------------
784,481
==========

------------
652,563
==========

RETAINED BY: The Company

796,818

784,481

652,563

 

------------
796,818
==========

------------
784,481
==========

------------
652,563
==========

INTEREST EXPENSE (as per notes to PL)

 

 

 

Term loan

82,984

76,156

59,556

Bank overdraft

-

-

164,648

Hire purchase

5,548

4,674

3,768

 

------------
88,532
==========

------------
80,830
==========

------------
227,972
==========

 

BALANCE SHEET

 

 

CHANG SHENG HAU SDN BHD

As At 31-December-2007

 

 

 

 

 

 

2007

2006

2005

 

MYR

MYR

MYR

 

 

 

 

 

ASSET EMPLOYED:

 

 

 

FIXED ASSETS

4,090,369

3,996,371

4,045,542

LONG TERM INVESTMENTS/OTHER ASSETS

 

 

 

 

 

 

 

 

Deffered assets

50,978

15,167

-

 

 

 

 

 

TOTAL LONG TERM INVESTMENTS/OTHER ASSETS

------------
50,978

------------
15,167

------------
-

TOTAL LONG TERM ASSETS

------------
4,141,347

------------
4,011,538

------------
4,045,542

 

 

 

 

 

CURRENT ASSETS

 

 

 

 

 

 

 

 

 

Stocks

349,520

636,705

895,639

 

 

 

 

 

 

Trade debtors

4,994,378

8,270,351

3,746,956

 

Other debtors, deposits & prepayments

120,874

155,467

557,548

 

 

 

 

 

 

Amount due from director

805,431

900,266

-

 

Cash & bank balances

51,493

123,869

35,926

TOTAL CURRENT ASSETS


------------
6,321,696


------------
10,086,658


------------
5,236,069

 

 

 

 

 

CURRENT LIABILITIES

 

 

 

 

Trade creditors

1,465,725

1,249,124

1,034,322

 

Other creditors & accruals

191,957

173,694

350,995

 

Hire purchase & lease creditors

47,707

18,005

37,441

 

Bank overdraft

-

221,119

228,066

 

Short term borrowings/Term loans

311,652

311,652

311,652

 

 

 

 

 

 

Bill & acceptances payable

5,526,000

9,060,000

4,374,000

 

 

 

 

 

 

Amounts owing to director

-

-

<240,492>

 

Provision for taxation

30,497

38,784

28,576

TOTAL CURRENT LIABILITIES

------------
7,573,538

------------
11,072,378

------------
6,124,560

NET CURRENT ASSETS/(LIABILITIES)

------------
<1,251,842>

------------
<985,720>

------------
<888,491>

TOTAL NET ASSETS

------------
2,889,505
==========

------------
3,025,818
==========

------------
3,157,051
==========

 

 

 

 

 

FINANCED BY:

 

 

 

 

 

 

 

 

SHARE CAPITAL

 

 

 

 

Ordinary share capital

1,200,000

1,200,000

1,200,000

 

 

 

 

 

TOTAL SHARE CAPITAL

------------
1,200,000

------------
1,200,000

------------
1,200,000

 

 

 

 

 

RESERVES

 

 

 

 

 

 

 

 

 

Retain profit/(Accumulated loss) carried forward

796,818

784,481

652,563

 

 

 

 

 


TOTAL RESERVES

------------
796,818

------------
784,481

------------
652,563


SHAREHOLDERS' FUNDS/EQUITY


------------
1,996,818


------------
1,984,481


------------
1,852,563


LONG TERM & DEFERRED LIABILITIES & PROVISIONS

 

 

 

 

 

 

 

 

 

Long term loans

892,687

1,041,337

-

 

 

 

 

 

 

Deferred taxation

-

-

1,304,488

 

 

 

 

 


TOTAL LONG TERM & DEFERRED LIABILITIES & PROVISIONS

------------
892,687

------------
1,041,337

------------
1,304,488

 

------------

------------

------------

 

2,889,505

3,025,818

3,157,051

 

==========

==========

==========

 

 

 

 

 

 

FINANCIAL RATIOS

 

 

CHANG SHENG HAU SDN BHD

As At 31-December-2007

 

 

2007

2006

2005

 

MYR

MYR

MYR

 

 

 

 

 

TYPES OF FUNDS

 

 

 

 

Cash

51,493

123,869

35,926

 

Net Liquid Funds

<260,159>

<408,902>

<503,792>

 

Net Liquid Assets

<1,601,362>

<1,622,425>

<1,784,130>

 

Net Current Assets/(Liabilities)

<1,251,842>

<985,720>

<888,491>

 

Net Tangible Assets

2,889,505

3,025,818

3,157,051

 

Net Monetary Assets

<2,494,049>

<2,663,762>

<3,088,618>

 

 

 

 

 

BALANCE SHEET ITEMS

 

 

 

 

Total Borrowings

1,252,046

1,592,113

577,159

 

Total Liabilities

8,466,225

12,113,715

7,429,048

 

Total Assets

10,463,043

14,098,196

9,281,611

 

Net Assets

2,889,505

3,025,818

3,157,051

 

Net Assets Backing

1,996,818

1,984,481

1,852,563

 

Shareholders" Funds

1,996,818

1,984,481

1,852,563

 

Total Share Capital

1,200,000

1,200,000

1,200,000

 

Total Reserves

796,818

784,481

652,563

 

 

 

 

 

WORKING CAPITAL CONTROL (Days)

 

 

 

 

Stock Ratio

5

5

10

 

Debtors Ratio

69

68

40

 

Creditors Ratio

20

10

11

 

 

 

 

 

SOLVENCY RATIOS (Times)

 

 

 

 

Gearing Ratio

0.63

0.80

0.31

 

Liabilities Ratio

4.24

6.10

4.01

 

Times Interest Earned Ratio

1.05

2.81

1.15

 

 

 

 

 

PERFORMANCE RATIO (%)

 

 

 

 

Operating Profit Margin

0.02

0.33

0.10

 

Net Profit Margin

0.05

0.30

0.08

 

Return On Net Assets

3.22

7.52

8.28

 

Return On Capital Employed

2.86

6.36

7.00

 

Return On Shareholders' Funds/Equity

0.62

6.65

1.46

 

Dividend Pay Out Ratio (Times)

0

0

0

 

 

 

 

 

NOTES TO ACCOUNTS

 

 

 

 

Contingent Liabilities

0.00

0.00

0.00

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.47.59

UK Pound

1

Rs.74.55

Euro

1

Rs.60.57

 

 

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%)

 

 

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions