|
* Adopted abbreviations :
|
SC - Subject Company (the company enquired by you)
|
|
|
|
|
N/A - Not Applicable
|
|
|
|
|
|
EXECUTIVE SUMMARY
|
REGISTRATION NO.
|
:
|
543176-K
|
|
COMPANY NAME
|
:
|
SYMBIOTICA SPECIALITY INGREDIENTS SDN BHD
|
|
FORMER NAME
|
:
|
N/A
|
|
INCORPORATION DATE
|
:
|
28/03/2001
|
|
COMPANY STATUS
|
:
|
EXIST
|
|
LEGAL STATUS
|
:
|
PRIVATE LIMITED
|
|
LISTED STATUS
|
:
|
NO
|
|
REGISTERED ADDRESS
|
:
|
63, JALAN SELAT, TAMAN SELAT, LEVEL 1, 12000 BUTTERWORTH, PULAU PINANG, MALAYSIA.
|
|
BUSINESS ADDRESS
|
:
|
PLAZA NB, LOT 3-9-B, NO 3000, JALAN BARU, 13700 PERAI, PULAU PINANG, MALAYSIA.
|
|
TEL.NO.
|
:
|
04-3979799
|
|
FAX.NO.
|
:
|
04-3973979
|
|
EMAIL
|
:
|
symbioti@streamyx.com.my
|
|
WEB SITE
|
:
|
www.symbiotica.com.my
|
|
CONTACT PERSON
|
:
|
AJOY GOPINATH PRABHU ( MANAGING DIRECTOR )
|
|
INDUSTRY CODE
|
:
|
24230
|
|
PRINCIPAL ACTIVITY
|
:
|
MANUFACTURING OF PHARMACEUTICAL INGREDIENTS
|
|
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
2,000,000.00 DIVIDED INTO
ORDINARY SHARES 1,000,000 CASH AND 1,000,000 OTHERWISE OF MYR 1.00 EACH.
|
|
SALES
|
:
|
MYR 30,682,822 [2010]
|
|
NET WORTH
|
:
|
MYR 8,428,397 [2010]
|
|
STAFF STRENGTH
|
:
|
50 [2011]
|
|
BANKER (S)
|
|
|
EON BANK BHD
MALAYAN BANKING BHD
PUBLIC BANK BHD
RHB BANK BHD
UNITED OVERSEAS BANK (MALAYSIA)
BHD
|
|
|
LITIGATION
|
:
|
CLEAR
|
|
DEFAULTER CHECK
|
:
|
CLEAR
|
|
FINANCIAL CONDITION
|
:
|
FAIR
|
|
PAYMENT
|
:
|
AVERAGE
|
|
MANAGEMENT CAPABILITY
|
:
|
AVERAGE
|
|
|
|
|
|
COMMERCIAL RISK
|
:
|
LOW
|
|
CURRENCY EXPOSURE
|
:
|
MODERATE
|
|
GENERAL REPUTATION
|
:
|
SATISFACTORY
|
|
INDUSTRY OUTLOOK
|
:
|
STRONG GROWTH
|
|
PROPOSED CREDIT LIMIT
|
:
|
USD131,051
|
HISTORY
/ BACKGROUND
The SC is a private limited company and is
allowed to have a minimum of one and a maximum of forty-nine shareholders. As
a private limited company, the SC must have at least two directors. A private
limited company is a separate legal entity from its shareholders. As a
separate legal entity, the SC is capable of owning assets, entering into
contracts, sue or be sued by other companies. The liabilities of the
shareholders are to the extent of the equity they have taken up and the
creditors cannot claim on shareholders' personal assets even if the SC is
insolvent. The SC is governed by the Companies Act, 1965 and the company must
file its annual returns, together with its financial statements with the
Registrar of Companies.
The SC is principally engaged in the (as a / as an) manufacturing of
pharmaceutical ingredients.
The SC is not listed on Bursa Malaysia
(Malaysia Stock Exchange).
The major shareholder(s) of the SC are
shown as follows :
Name
|
Address
|
IC/PP/Loc No
|
Shareholding
|
|
MS. TUNG AI LING +
|
14K, TAMAN PERPADUAN, 08000 SUNGAI PETANI, KEDAH, MALAYSIA.
|
660516-02-5000
A0394718
|
1,400,000.00
|
|
AJOY GOPINATH PRABHU +
[OLD PP: Z1690220 & F4774559]
|
14K, TAMAN PERPADUAN, 08000 SUNGAI PETANI, KEDAH, MALAYSIA.
|
Z1808128
|
600,000.00
|
|
|
|
|
---------------
|
|
|
|
|
2,000,000.00
|
|
|
|
|
============
|
+ Also Director
DIRECTORS
DIRECTOR 1
|
Name Of Subject
|
:
|
AJOY GOPINATH PRABHU
|
|
Address
|
:
|
14K, TAMAN PERPADUAN, 08000 SUNGAI PETANI, KEDAH, MALAYSIA.
|
|
IC / PP No
|
:
|
Z1808128
|
|
Nationality
|
:
|
INDIAN
|
|
Date of Appointment
|
:
|
29/03/2001
|
|
Remark
|
:
|
OLD PP: Z1690220 & F4774559
|
|
|
|
|
|
|
|
|
|
|
|
|
DIRECTOR 2
|
Name Of Subject
|
:
|
MS. TUNG AI LING
|
|
Address
|
:
|
14K, TAMAN PERPADUAN, 08000 SUNGAI PETANI, KEDAH, MALAYSIA.
|
|
IC / PP No
|
:
|
A0394718
|
|
New IC No
|
:
|
660516-02-5000
|
|
Date of Birth
|
:
|
16/05/1966
|
|
|
|
|
|
Nationality
|
:
|
MALAYSIAN CHINESE
|
|
Date of Appointment
|
:
|
29/03/2001
|
MANAGEMENT
|
1)
|
Name of Subject
|
:
|
AJOY GOPINATH PRABHU
|
|
|
Position
|
:
|
MANAGING DIRECTOR
|
|
|
|
|
|
|
2)
|
Name of Subject
|
:
|
TUNG AI LING
|
|
|
Position
|
:
|
FINANCE DIRECTOR
|
|
|
|
|
|
|
3)
|
Name of Subject
|
:
|
RAVINDRA A/L KRISHNAN
|
|
|
Position
|
:
|
MARKETING MANAGER
|
|
|
|
|
|
AUDITOR
|
Auditor
|
:
|
OOI & ASSOCIATES
|
|
Auditor' Address
|
:
|
47, JALAN SELAT,TAMAN SELAT, 1ST FLOOR, 12000 BUTTERWORTH, PULAU PINANG, MALAYSIA.
|
COMPANY SECRETARIES
|
1)
|
Company Secretary
|
:
|
MS. OOI WAN KUAN
|
|
|
IC / PP No
|
:
|
6374934
|
|
|
New IC No
|
:
|
620115-07-5182
|
|
|
Address
|
:
|
1 JALAN RAJA GOPAL, 10350 PULAU PINANG, PULAU PINANG, MALAYSIA.
|
BANKING
Banking relations are maintained principally with :
|
2)
|
Name
|
:
|
MALAYAN BANKING BHD
|
|
|
|
|
|
|
3)
|
Name
|
:
|
PUBLIC BANK BHD
|
|
|
|
|
|
|
5)
|
Name
|
:
|
UNITED OVERSEAS 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
|
:
|
07/10/2002
|
|
Description Of Charge
|
:
|
N/A
|
|
Amount Secured
|
:
|
RM1,500,000.00
|
|
Description Of Property Affected
|
:
|
N/A
|
|
Name & Address Of Chargee
|
:
|
UNITED OVERSEAS BANK (MALAYSIA) BHD
|
|
|
|
|
|
|
|
|
|
Form 40 Dated
|
|
Registered and Numbered 3 In The Register of Charges
|
ENCUMBRANCE 2
|
Date of Creation
|
:
|
16/04/2007
|
|
Description Of Charge
|
:
|
ALL MONIES SPECIFIC DEBENTURE & OPEN CHARGE
|
|
Amount Secured
|
:
|
N/A
|
|
Description Of Property Affected
|
:
|
A FIXED CHARGE CREATED ON THE MACHINERY AND EQUIPMENT OF THE COMPANY
|
|
Name & Address Of Chargee
|
:
|
UNITED
OVERSEAS BANK (MALAYSIA)
BHD
177 & 178, JALAN KELAB CINTA SAYANG, TAMAN RIA JAYA, 08000 SUNGAI
PETANI, KEDAH, MALAYSIA.
|
|
|
|
|
|
|
|
|
|
Form 40 Dated 24/04/2007
|
|
Registered and Numbered 8 In The Register of Charges
|
ENCUMBRANCE 3
|
Date of Creation
|
:
|
01/08/2008
|
|
Description Of Charge
|
:
|
OPEN CHARGE
|
|
Amount Secured
|
:
|
O/D
|
|
Description Of Property Affected
|
:
|
N/A
|
|
Name & Address Of Chargee
|
:
|
RHB BANK BHD
|
|
|
|
|
|
|
|
|
|
Form 40 Dated
|
|
Registered and Numbered 9 In The Register of Charges
|
ENCUMBRANCE 4
|
Date of Creation
|
:
|
06/07/2010
|
|
Description Of Charge
|
:
|
OPEN CHARGE
|
|
Amount Secured
|
:
|
N/A
|
|
Description Of Property Affected
|
:
|
N/A
|
|
Name & Address Of Chargee
|
:
|
PUBLIC BANK BHD
|
|
|
|
|
|
|
|
|
|
Form 40 Dated
|
|
Registered and Numbered 12 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.
No legal action was found in our databank.
No winding up petition was found in our databank.
DEFAULTER CHECK AGAINST SC
* We have checked through the SC in our defaulters' database which comprised
of debtors that have been blacklisted by our customers and debtors that have
been placed or assigned to us for collection since 1990. Information was
provided by third party where the debt amount can be disputed. Please check
with creditors for confirmation as alleged debts may have been paid since
recorded or are being disputed.
No blacklisted record & debt collection case was found in our defaulters'
databank.
PAYMENT
RECORD
|
SOURCES OF RAW MATERIALS:
|
|
Local
|
:
|
YES
|
|
Overseas
|
:
|
YES
|
|
Import Countries
|
:
|
UNITED STATES,BELGIUM,INDIA
|
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 0-30 Days
|
[
|
|
]
|
|
Good 31-60 Days
|
[
|
|
]
|
|
Average 61-90 Days
|
[
|
X
|
]
|
|
|
Fair 91-120 Days
|
[
|
|
]
|
|
Poor >120 Days
|
[
|
|
]
|
|
|
|
|
|
|
CLIENTELE
|
Local
|
:
|
YES
|
|
Domestic Markets
|
:
|
MALAYSIA
|
|
Overseas
|
:
|
YES
|
|
|
|
|
Export Market
|
:
|
INDIA, CHINA, SWITZERLAND,
THAILAND, KOREA, UNITED STATES, EUROPE, MIDDLE EAST, TAIWAN
|
|
Credit Term
|
:
|
30 - 60 DAYS
|
|
|
|
|
|
|
|
|
Payment Mode
|
:
|
CHEQUES,LETTER OF CREDIT (LC),TELEGRAPHIC TRANSFER (TT)
|
|
Type of Customer
|
:
|
DEALERS,PHARMACIES,PHARMACEUTICAL INDUSTRIES
|
|
|
|
|
|
|
|
|
CUSTOMER(S)
|
:
|
|
OPERATIONS
|
Products manufactured
|
:
|
|
PRE-FORMULATED INGREDIETS, NON STEROIDAL ACTIVE PHARMACEUTICAL
INGREDIENTS AND STEROIDAL ACTIVE PHARMACEUTICAL INGREDIENTS
|
|
|
|
|
|
|
Brand Name
|
:
|
SYMBIOTICA
|
|
|
|
|
|
Award
|
:
|
1 ) ENTERPRISE 50 AWARD
Year :2009
2 ) EXPORT EXCELLENCE AWARD (MERCHANDISE) BY MINISTRY OF INTERNATIONAL
TRADE AND INDUSTRY (MITI) Year :2006
|
|
|
|
|
|
Competitor(s)
|
:
|
ALPHA
BIOLOGICS SDN BHD
APEX HEALTHCARE BHD
IDAMAN PHARMA MANUFACTURING SDN BHD
SM BIOMED SDN BHD
Y.S.P. INDUSTRIES (M) SDN BHD
|
|
|
|
|
|
Member(s) / Affiliate(s)
|
:
|
MALAYSIA EXTERNAL TRADE DEVELOPMENT CORPORATION (MATRADE)CHEMICAL
INDUSTRIES COUNCIL OF MALAYSIA
(CICM)
|
|
|
|
|
|
Ownership of premises
|
:
|
OWNED
|
|
Factory / Premises
|
:
|
NO 518 JALAN
WAJA 4, TAMAN INDUSTRIAL WAJA, 09000 KULIM, KEDAH, MALAYSIA.
Tel No: 04-4892799
Fax No: 04-4892599
|
|
Production Line
|
:
|
4
|
|
Total Number of Employees:
|
|
|
YEAR
|
2011
|
2010
|
2009
|
2008
|
2007
|
2006
|
|
|
|
|
GROUP
|
N/A
|
N/A
|
N/A
|
N/A
|
N/A
|
N/A
|
|
|
|
|
COMPANY
|
50
|
41
|
44
|
45
|
40
|
38
|
|
|
|
Other Information:
The SC is principally engaged in the (as a / as an) manufacturing of
pharmaceutical ingredients.
The SC is mainly focuses on the Active Pharmaceutical Ingredients (API).
The SC products range includes Bethasone Valerate, Mometasone Furoate,
Bethasone Divropionate and others.
The SC produces three types of ingredients as follows :
* Steroidal active pharmaceutical ingredients
* Non steroidal active pharmaceutical ingredients
* Pre-formulated ingredients
According to the SC, it produces the API in powder forms.
The SC utilizes advanced automated and semi-automated machineries at its
factory.
We were informed that the SC also has R&D Department to ensure production
of API that meet the standard of quality that customers' demand.
The SC's production workers are from Nepal.
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
|
:
|
04-3979799
|
|
Match
|
:
|
N/A
|
|
|
|
|
|
Address Provided by Client
|
:
|
NO. 518, JALAN-WAJA 4, TAMAN
INDUSTRIES, WAJA 09000 KULIM KEDAH
|
|
Current Address
|
:
|
PLAZA NB, LOT 3-9-B, NO 3000, JALAN BARU, 13700 PERAI, PULAU PINANG, MALAYSIA.
|
|
Match
|
:
|
NO
|
|
|
|
|
|
Latest Financial Accounts
|
:
|
YES
|
Other Investigations
We contacted one of the staff from the Accounts Department. She provided some
information on the SC.
The address provided belongs to the SC's factory.
FINANCIAL
COMMENTS
Profitability:
|
Turnover
|
:
|
Erratic
|
[
|
2008 - 2010
|
]
|
|
Profit/(Loss) Before Tax
|
:
|
Increased
|
[
|
2008 - 2010
|
]
|
|
Return on Shareholder Funds
|
:
|
Unfavourable
|
[
|
9.89%
|
]
|
|
Return on Net Assets
|
:
|
Acceptable
|
[
|
13.07%
|
]
|
The fluctuating turnover reflects the fierce competition among the existing
and new market players. The higher profit could be attributed to the increase
in turnover. 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
|
[
|
48 Days
|
]
|
|
Debtors Ratio
|
:
|
Unfavourable
|
[
|
73 Days
|
]
|
|
Creditors Ratio
|
:
|
Favourable
|
[
|
55 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
|
[
|
1.29 Times
|
]
|
|
Current Ratio
|
:
|
Unfavourable
|
[
|
1.73 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
|
[
|
8.41 Times
|
]
|
|
Gearing Ratio
|
:
|
Favourable
|
[
|
0.19 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
ECONOMIC
/ INDUSTRY OUTLOOK
|
Major Economic Indicators:
|
2007
|
2008
|
2009
|
2010*
|
2011**
|
|
|
|
|
|
|
|
|
Population ( Million)
|
27.17
|
27.73
|
28.31
|
28.88
|
29.13
|
|
Gross Domestic Products ( % )
|
6.3
|
4.6
|
<0.5>
|
6.9
|
5.8
|
|
Domestic Demand ( % )
|
9.0
|
6.9
|
2.9
|
4.6
|
4.8
|
|
Private Expenditure ( % )
|
8.6
|
7.1
|
<2.7>
|
8.1
|
7.0
|
|
Consumption ( % )
|
9.0
|
8.4
|
0.7
|
6.7
|
6.3
|
|
Investment ( % )
|
7.1
|
1.5
|
<17.2>
|
15.2
|
10.2
|
|
Public Expenditure ( % )
|
10.1
|
6.5
|
5.2
|
3.8
|
2.8
|
|
Consumption ( % )
|
10.8
|
11.6
|
3.1
|
0.2
|
4.6
|
|
Investment ( % )
|
9.3
|
0.7
|
8.0
|
8.3
|
0.6
|
|
|
|
|
|
|
|
|
Balance of Trade ( MYR Million )
|
100,340
|
129,563
|
89,650
|
118,356
|
116,058
|
|
Government Finance ( MYR Million )
|
<19,948>
|
<34,462>
|
<28,450>
|
<40,482>
|
-
|
|
Government Finance to GDP / Fiscal Deficit ( % )
|
<3.2>
|
<4.8>
|
<4.8>
|
<5.6>
|
<5.4>
|
|
Inflation ( % Change in Composite CPI)
|
2.0
|
<3.3>
|
<5.2>
|
5.1
|
-
|
|
Unemployment Rate
|
3.2
|
3.7
|
4.5
|
3.9
|
-
|
|
|
|
|
|
|
|
|
Net International Reserves ( MYR Billion )
|
336
|
388
|
331
|
394
|
-
|
|
Average Risk-Weighted Capital Adequacy Ratio ( % )
|
3.04
|
1.91
|
2.87
|
2.20
|
-
|
|
Average 3 Months of Non-performing Loans ( % )
|
13.30
|
13.24
|
11.08
|
15.30
|
-
|
|
Average Base Lending Rate ( % )
|
6.72
|
6.72
|
5.53
|
5.70
|
-
|
|
Business Loans Disbursed( % )
|
9.1
|
11.6
|
10.5
|
14.7
|
-
|
|
Foreign Investment ( MYR Million )
|
33,426.0
|
23,261.4
|
22,156.8
|
22,517.9
|
-
|
|
Consumer Loans ( % )
|
-
|
-
|
-
|
-
|
-
|
|
|
|
|
|
|
|
|
Registration of New Companies ( No. )
|
43,337
|
41,599
|
41,578
|
-
|
-
|
|
Registration of New Companies ( % )
|
13.2
|
<4.0>
|
<0.1>
|
-
|
-
|
|
Liquidation of Companies ( No. )
|
22,629
|
27,992
|
39,075
|
-
|
-
|
|
Liquidation of Companies ( % )
|
161.5
|
23.7
|
39.6
|
-
|
-
|
|
|
|
|
|
|
|
|
Registration of New Business ( No. )
|
227,410
|
269,866
|
312,581
|
-
|
-
|
|
Registration of New Business ( % )
|
-
|
-
|
-
|
-
|
-
|
|
Business Dissolved ( No. )
|
20,431
|
18,885
|
19,345
|
-
|
-
|
|
Business Dissolved ( % )
|
<61.4>
|
<7.6>
|
2.4
|
-
|
-
|
|
|
|
|
|
|
|
|
Sales of New Passenger Cars (' 000 Unit )
|
442.9
|
497.5
|
319.4
|
369.7
|
-
|
|
Cellular Phone Subscribers ( Million )
|
23.3
|
25.1
|
30.1
|
32.8
|
-
|
|
Tourist Arrival ( Million Persons )
|
20.9
|
21.5
|
23.6
|
24.0
|
25.0
|
|
Hotel Occupancy Rate ( % )
|
70
|
68
|
58
|
63
|
-
|
|
|
|
|
|
|
|
|
Credit Cards Spending ( % )
|
20.1
|
17.1
|
12.8
|
15.1
|
-
|
|
Bad Cheque Offenders (No.)
|
30,004
|
34,834
|
-
|
-
|
-
|
|
Individual Bankruptcy ( No.)
|
13,238
|
13,907
|
-
|
-
|
-
|
|
Individual Bankruptcy ( % )
|
<2.6>
|
5.1
|
-
|
-
|
-
|
|
|
|
|
|
|
|
|
INDUSTRIES ( % of Growth ):
|
2007
|
2008
|
2009
|
2010*
|
2011**
|
|
|
|
|
|
|
|
|
Agriculture
|
3.1
|
3.6
|
0.4
|
3.4
|
4.5
|
|
Palm Oil
|
<0.6>
|
7.0
|
<1.1>
|
1.3
|
-
|
|
Rubber
|
1.0
|
<1.1>
|
<19.8>
|
9.9
|
-
|
|
Forestry & Logging
|
2.8
|
<1.5>
|
<5.9>
|
<1.3>
|
-
|
|
Fishing
|
5.2
|
4.0
|
5.5
|
4.1
|
-
|
|
Other Agriculture
|
7.0
|
5.9
|
9.0
|
6.6
|
-
|
|
Industry Non-Performing Loans ( MYR Million )
|
487.3
|
393.0
|
413.7
|
508.4
|
-
|
|
% of Industry Non-Performing Loans
|
1.1
|
<2.0>
|
1.3
|
2.1
|
-
|
|
|
|
|
|
|
|
|
Mining
|
3.3
|
<0.8>
|
<3.8>
|
1.0
|
2.9
|
|
Oil & Gas
|
2.2
|
12.7
|
2.1
|
4.9
|
-
|
|
Other Mining
|
-
|
-
|
-
|
-
|
-
|
|
Industry Non-performing Loans ( MYR Million )
|
42.2
|
36.0
|
44.2
|
49.7
|
-
|
|
% of Industry Non-performing Loans
|
0.1
|
0.1
|
0.1
|
0.1
|
-
|
|
|
|
|
|
|
|
|
Manufacturing #
|
3.1
|
1.3
|
<9.4>
|
10.8
|
6.7
|
|
Exported-oriented Industries
|
<1.9>
|
2.7
|
<19.0>
|
12.1
|
-
|
|
Electrical & Electronics
|
3.0
|
2.4
|
<30.3>
|
27.4
|
-
|
|
Rubber Products
|
8.0
|
4.2
|
<10.1>
|
25.3
|
-
|
|
Wood Products
|
3.3
|
<6.0>
|
<24.1>
|
19.7
|
-
|
|
Textiles & Apparel
|
<10.1>
|
1.9
|
<19.5>
|
<1.3>
|
-
|
|
Domestic-oriented Industries
|
5.3
|
9.9
|
<9.8>
|
16.3
|
-
|
|
Food, Beverages & Tobacco
|
5.6
|
9.5
|
0.2
|
3.0
|
-
|
|
Chemical & Chemical Products
|
9.2
|
1.4
|
<7.7>
|
20.4
|
-
|
|
Plastic Products
|
<3.6>
|
6.5
|
<9.1>
|
2.4
|
-
|
|
Iron & Steel
|
17.5
|
16.8
|
<32.7>
|
30.0
|
-
|
|
Fabricated Metal Products
|
26.2
|
14.7
|
<2.5>
|
14.9
|
-
|
|
Non-metallic Mineral
|
6.6
|
8.3
|
<15.5>
|
20.2
|
-
|
|
Transport Equipment
|
<19.0>
|
27.1
|
<13.5>
|
36.5
|
-
|
|
Paper & Paper Products
|
14.9
|
8.6
|
<5.0>
|
20.5
|
-
|
|
Crude Oil Refineries
|
8.6
|
7.8
|
0.2
|
<11.4>
|
-
|
|
Industry Non-Performing Loans ( MYR Million )
|
6,366.2
|
5,729.4
|
6,007.3
|
6,217.5
|
-
|
|
% of Industry Non-Performing Loans
|
14.1
|
16.8
|
18.3
|
23.8
|
-
|
|
|
|
|
|
|
|
|
Construction
|
4.6
|
2.1
|
5.8
|
4.9
|
4.4
|
|
Industry Non-Performing Loans ( MYR Million )
|
5,116.7
|
4,149.8
|
3,241.8
|
4,038.5
|
-
|
|
% of Industry Non-Performing Loans
|
11.3
|
12.2
|
9.9
|
10.7
|
-
|
|
|
|
|
|
|
|
|
Services
|
9.7
|
7.3
|
2.6
|
6.5
|
5.3
|
|
Electric, Gas & Water
|
4.6
|
5.0
|
0.4
|
8.5
|
5.6
|
|
Transport, Storage & Communication
|
7.60
|
7.80
|
1.60
|
7.15
|
7.55
|
|
Wholesale, Retail, Hotel & Restaurant
|
11.6
|
10.0
|
2.8
|
4.7
|
5.2
|
|
Finance, Insurance & Real Estate
|
10.7
|
9.2
|
3.8
|
6.0
|
5.2
|
|
Government Services
|
4.6
|
8.6
|
2.0
|
6.7
|
1.9
|
|
Other Services
|
5.0
|
5.9
|
4.4
|
4.2
|
5.4
|
|
Industry Non-Performing Loans ( MYR Million )
|
10,207.8
|
8,281.4
|
6,631.3
|
7,384.6
|
-
|
|
% of Industry Non-Performing Loans
|
22.6
|
24.3
|
20.2
|
25.7
|
-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
* Estimate /
Preliminary
|
|
|
|
|
|
|
** Forecast
|
|
|
|
|
|
|
# Based On
Manufacturing Production Index
(Source : Department of Statistics / Economic Report / Bank Negara Report)
|
INDUSTRY
COMMENTS
|
MSIC CODE
|
|
24230 : Manufacture of pharmaceuticals, medicinal chemicals and
botanical products
|
|
|
|
|
INDUSTRY :
|
PHARMACEUTICAL
|
|
Malaysia's
pharmaceutical industry has become increasingly reputable. Along the years,
there was a significant transformation of the Malaysian pharmaceutical
industry; especially gaining momentum from the implementation of
regulations. Besides, the vast development in various aspects such as
management, hospital, marketing, community, manufacturing, academia,
research, regulatory and enforcement has changed the entire landscape of
the local pharmaceutical sector.
|
|
Valued at RM3.5 billion in 2007, the pharmaceutical market grew to RM3.8
billion in 2008 and jumped to RM4.2 billion in year 2009, on the back of
the US
subprime crisis. Driven by the changing demographics, with a growing
middle-class, as well as the rising expectations, the domestic industry is
projected to grow at a compound annual rate of 10 per cent. Currently,
domestic manufacturers dominate the scene for generics and OTC (over the
counter) products while MNCs (multi-national companies) reign strong in
branded/ethical drugs.
|
|
Nonetheless, efforts to provide healthcare including pharmaceutical care
are facing new challenges. Rising costs, constraints in financial budget,
inefficient health systems, huge disease burden, and the changing social,
technological, economic and political environment currently confront many
countries, including Malaysia.
The Ministry of Health has no option but to embrace change and ICT
(information and communication technology). Its pharmaceutical services
division has responded to this challenge by effectively applying innovative
and creative ideas to further improve the drug delivery system.
|
|
Regarding medicines access, the number of medicines on the market has
increased dramatically over the last two decades, bringing some novel
innovations but also considerable challenges in regulating the quality and
monitoring the rational use of medicines. On the regulatory front, up to
2009, the Drug Control Authority (DCA) had approved 12,626 prescription
medicines, 9,683 OTC items and 20,193 traditional products. The DCA had
also licensed 250 manufacturers, 374 importers and 962 wholesalers.
|
|
The pharmaceutical authority is mindful of creating a business-friendly
environment which in turn will stimulate the economy and to achieve high
income status in line with the prime minister's Government Transformation
Programme (GTP). On this, it is taking steps to reduce the processing time
for new licences from 21 to 10 days. With enhancement in IT system, licence
applications are now more efficient. In an era of speed, the division must
facilitate and be more responsive. Competitive edge is the driving force.
While enforcement is important to ensure that the laws are complied to
safeguard public interests but not over-regulation which can be burdensome
to the business community.
|
|
Anyway, audits and monitors will be conducted on suspiciously fast movement
and high sale of selected brands. Last year, 79 pharmacies were raided with
1,297 items valued at RM389,900 confiscated. The pharmacy enforcement also
took part in operations to reduce street crimes linked to drugs abuse and
diversion of psychotropics, ATS stimulants and narcotic derivatives sourced
from clinics and pharmacies.
|
|
|
|
|
OVERALL INDUSTRY OUTLOOK : Strong Growth
|
COMMENTS & RECOMMENDATION
|
Incorporated in 2001, the SC is principally engaged in the
manufacturing of pharmaceutical ingredients. Having been in the industry
for one decade, the SC has built up its reputation in the market. A paid up
capital of RM2 million allows the SC to expand its business more
comfortably. We considered that the SC's business position in the market is
much dependent on the efforts of its directors.
|
|
With its continuous expansion, the SC has slowly been expanding its
business operations to overseas countries such as China, Europe,
middle East countries and etc. This global move should have benefited the
SC in term of higher earnings and lower its business risk. Hence, we
believe that the SC has better business expansion opportunities in the
future. Headed by its Managing Director, the SC currently has about 50
staff in its business operations. The overall management capability of the
SC is average.
|
|
During the financial year under review, the SC's turnover showed on an
upward momentum, reaching RM30.68 million compared to RM29.38 million
previously. Correspondingly, its pre-tax profit rose to RM1.04 million.
This was achieved on the back of stronger performance of higher turnover.
Return on shareholders' funds of the SC is relatively low, indicating that
the SC did not generate an acceptable amount of profits based on its
existing shareholders' funds. However, the SC managed to maintain an
adequate liquidity level, indicating that the SC has the ability to meet
its financial obligations. Being a lowly geared company, the SC is exposed
to low financial risk as it is mainly dependent on its internal funds to
finance its business needs. Given a positive net worth standing at RM8.42
million, the SC should be able to maintain its business in the near terms.
|
|
To reduce the risk of component shortages, the SC sources its raw materials
locally and imported from overseas countries. Thus, it is subjected to the
currency fluctuation risk.
|
|
Based on the historical financial data, we concluded that the SC's payment
habit is average. The SC is capable to meet small and medium commitments.
|
|
The market for the pharmaceutical industry is growing due to increase
public awareness about health matters, resulting in greater spending on
healthcare. This has created ample business opportunities for the SC to
expand and stabilise its business. Therefore, we are quite confident with
the SC's performance in the near future.
|
|
Based on the above condition, we recommend a moderate amount of credit be
granted to the SC normally.
|
PROFIT AND LOSS ACCOUNT
|
THE FINANCIAL
STATEMENTS WERE PREPARED IN ACCORDANCE WITH MALAYSIA ACCOUNTING STANDARD.
|
|
SYMBIOTICA
SPECIALITY INGREDIENTS SDN BHD
|
|
For The Year
Ended 31-January-2010
|
|
|
2010
|
2009
|
2008
|
|
|
MYR
|
MYR
|
MYR
|
|
TURNOVER
|
30,682,822
|
29,385,829
|
31,506,125
|
|
|
==========
|
==========
|
==========
|
|
PROFIT/(LOSS) FROM OPERATIONS
|
1,041,825
|
568,306
|
2,281,049
|
|
|
|
|
|
|
|
------------
|
------------
|
------------
|
|
PROFIT/(LOSS) BEFORE TAXATION
|
1,041,825
|
568,306
|
2,281,049
|
|
Taxation
|
<208,091>
|
<208,833>
|
<82,157>
|
|
PROFIT/(LOSS) AFTER TAXATION
|
------------
833,734
|
------------
359,473
|
------------
2,198,892
|
|
PROFIT/(LOSS) BEFORE EXTRAORDINARY ITEMS
|
------------
833,734
|
------------
359,473
|
------------
2,198,892
|
|
|
|
|
|
|
PROFIT/(LOSS) ATTRIBUTABLE TO SHAREHOLDERS
RETAINED PROFIT/(ACCUMULATED LOSS) BROUGHT FORWARD
|
------------
833,734
|
------------
359,473
|
------------
2,198,892
|
|
As previous reported
|
5,594,663
|
5,235,190
|
3,036,298
|
|
|
|
|
|
|
As restated
|
------------
5,594,663
|
------------
5,235,190
|
------------
3,036,298
|
|
|
------------
|
------------
|
------------
|
|
PROFIT AVAILABLE FOR APPROPRIATIONS
|
6,428,397
|
5,594,663
|
5,235,190
|
|
RETAINED PROFIT/(ACCUMULATED LOSS) CARRIED FORWAD
|
------------
6,428,397
==========
|
------------
5,594,663
==========
|
------------
5,235,190
==========
|
|
RETAINED BY: The Company
|
6,428,397
|
5,594,663
|
5,235,190
|
|
|
|
|
|
|
|
|
|
|
|
|
------------
6,428,397
==========
|
------------
5,594,663
==========
|
------------
5,235,190
==========
|
|
INTEREST EXPENSE (as per notes to PL)
|
|
|
|
|
Term loan
|
23,237
|
27,718
|
30,243
|
|
Bank overdraft
|
46,491
|
54,322
|
57,017
|
|
Hire purchase
|
4,728
|
8,069
|
13,537
|
|
Interest on trust receipts
|
3,003
|
4,541
|
3,055
|
|
Bills
|
-
|
-
|
9,159
|
|
Bankers' acceptance
|
63,095
|
103,929
|
101,376
|
|
|
------------
140,554
==========
|
------------
198,579
==========
|
------------
214,387
==========
|
BALANCE SHEET
|
SYMBIOTICA
SPECIALITY INGREDIENTS SDN BHD
|
|
As At
31-January-2010
|
|
|
|
|
|
|
|
2010
|
2009
|
2008
|
|
|
MYR
|
MYR
|
MYR
|
|
ASSET EMPLOYED:
|
|
|
|
|
FIXED ASSETS
|
2,332,588
|
2,149,552
|
2,309,157
|
|
TOTAL LONG TERM ASSETS
|
------------
2,332,588
|
------------
2,149,552
|
------------
2,309,157
|
|
|
|
|
|
|
|
CURRENT ASSETS
|
|
|
|
|
|
Stocks
|
4,012,014
|
5,560,089
|
4,705,483
|
|
|
Trade debtors
|
6,152,355
|
5,536,463
|
5,757,223
|
|
|
Other debtors, deposits & prepayments
|
159,739
|
284,828
|
64,067
|
|
|
Short term deposits
|
2,239,010
|
1,939,191
|
1,679,168
|
|
|
Amount due from related companies
|
446,064
|
443,543
|
441,211
|
|
|
Cash & bank balances
|
2,912,597
|
1,343,329
|
2,396,232
|
|
|
Tax recoverable
|
-
|
-
|
7,600
|
|
TOTAL CURRENT ASSETS
|
------------
15,921,779
|
------------
15,107,443
|
------------
15,050,984
|
|
CURRENT LIABILITIES
|
|
|
|
|
|
Trade creditors
|
4,585,043
|
4,603,137
|
5,925,243
|
|
|
Other creditors & accruals
|
1,891,977
|
1,229,447
|
660,726
|
|
|
Hire purchase & lease creditors
|
22,609
|
33,566
|
37,043
|
|
|
Bank overdraft
|
987,096
|
705,478
|
804,338
|
|
|
Short term borrowings/Term loans
|
105,106
|
66,690
|
22,396
|
|
|
Other borrowings
|
-
|
-
|
38,077
|
|
|
Bill & acceptances payable
|
1,510,000
|
2,267,000
|
2,062,000
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Amounts owing to director
|
31,564
|
30,726
|
1,221
|
|
|
Provision for taxation
|
22,163
|
85,555
|
-
|
|
|
Trust receipts
|
48,958
|
64,257
|
-
|
|
TOTAL CURRENT LIABILITIES
|
------------
9,204,516
|
------------
9,085,856
|
------------
9,551,044
|
|
NET CURRENT ASSETS/(LIABILITIES)
|
------------
6,717,263
|
------------
6,021,587
|
------------
5,499,940
|
|
TOTAL NET ASSETS
|
------------
9,049,851
==========
|
------------
8,171,139
==========
|
------------
7,809,097
==========
|
|
|
|
|
|
|
|
FINANCED BY:
|
|
|
|
|
SHARE CAPITAL
|
|
|
|
|
|
Ordinary share capital
|
2,000,000
|
2,000,000
|
2,000,000
|
|
TOTAL SHARE CAPITAL
|
------------
2,000,000
|
------------
2,000,000
|
------------
2,000,000
|
|
RESERVES
|
|
|
|
|
|
Retain profit/(Accumulated loss) carried forward
|
6,428,397
|
5,594,663
|
5,235,190
|
|
TOTAL RESERVES
|
------------
6,428,397
|
------------
5,594,663
|
------------
5,235,190
|
|
SHAREHOLDERS' FUNDS/EQUITY
|
------------
8,428,397
|
------------
7,594,663
|
------------
7,235,190
|
|
LONG TERM & DEFERRED LIABILITIES & PROVISIONS
|
|
|
|
|
|
|
|
|
|
|
|
Long term loans
|
474,409
|
407,492
|
394,451
|
|
|
Hire purchase creditors
|
53,360
|
75,969
|
109,461
|
|
|
Deferred taxation
|
93,685
|
93,015
|
69,995
|
|
|
------------
|
------------
|
------------
|
|
|
9,049,851
|
8,171,139
|
7,809,097
|
|
|
==========
|
==========
|
==========
|
|
|
|
|
|
|
FINANCIAL RATIOS
|
SYMBIOTICA
SPECIALITY INGREDIENTS SDN BHD
|
|
As At
31-January-2010
|
|
|
|
|
|
|
|
2010
|
2009
|
2008
|
|
|
MYR
|
MYR
|
MYR
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TYPES OF FUNDS
|
|
|
|
|
|
Cash
|
5,151,607
|
3,282,520
|
4,075,400
|
|
|
Net Liquid Funds
|
4,059,405
|
2,510,352
|
3,248,666
|
|
|
Net Liquid Assets
|
2,705,249
|
461,498
|
794,457
|
|
|
Net Current Assets/(Liabilities)
|
6,717,263
|
6,021,587
|
5,499,940
|
|
|
Net Tangible Assets
|
9,049,851
|
8,171,139
|
7,809,097
|
|
|
Net Monetary Assets
|
2,083,795
|
<114,978>
|
220,550
|
|
|
|
|
|
|
|
BALANCE SHEET ITEMS
|
|
|
|
|
|
Total Borrowings
|
1,642,580
|
1,289,195
|
1,405,766
|
|
|
Total Liabilities
|
9,825,970
|
9,662,332
|
10,124,951
|
|
|
Total Assets
|
18,254,367
|
17,256,995
|
17,360,141
|
|
|
Net Assets
|
9,049,851
|
8,171,139
|
7,809,097
|
|
|
Net Assets Backing
|
8,428,397
|
7,594,663
|
7,235,190
|
|
|
Shareholders" Funds
|
8,428,397
|
7,594,663
|
7,235,190
|
|
|
Total Share Capital
|
2,000,000
|
2,000,000
|
2,000,000
|
|
|
Total Reserves
|
6,428,397
|
5,594,663
|
5,235,190
|
|
|
|
|
|
|
|
LIQUIDITY(Times)
|
|
|
|
|
|
Cash Ratio
|
0.56
|
0.36
|
0.43
|
|
|
Liquid Ratio
|
1.29
|
1.05
|
1.08
|
|
|
Current Ratio
|
1.73
|
1.66
|
1.58
|
|
|
|
|
|
|
|
WORKING CAPITAL CONTROL (Days)
|
|
|
|
|
|
Stock Ratio
|
48
|
69
|
55
|
|
|
Debtors Ratio
|
73
|
69
|
67
|
|
|
Creditors Ratio
|
55
|
57
|
69
|
|
|
|
|
|
|
|
SOLVENCY RATIOS (Times)
|
|
|
|
|
|
Gearing Ratio
|
0.19
|
0.17
|
0.19
|
|
|
Liabilities Ratio
|
1.17
|
1.27
|
1.40
|
|
|
Times Interest Earned Ratio
|
8.41
|
3.86
|
11.64
|
|
|
|
|
|
|
|
PERFORMANCE RATIO (%)
|
|
|
|
|
|
Operating Profit Margin
|
3.40
|
1.93
|
7.24
|
|
|
Net Profit Margin
|
2.72
|
1.22
|
6.98
|
|
|
Return On Net Assets
|
13.07
|
9.39
|
31.96
|
|
|
Return On Capital Employed
|
11.63
|
8.54
|
28.77
|
|
|
Return On Shareholders' Funds/Equity
|
9.89
|
4.73
|
30.39
|
|
|
Dividend Pay Out Ratio (Times)
|
0
|
0
|
0
|
|
|
|
|
|
|
|
NOTES TO ACCOUNTS
|
|
|
|
|
|
Contingent Liabilities
|
0.00
|
0.00
|
0.00
|
|
|
|
|
|
|
|
|
|
|
|
