|
* Adopted abbreviations : SC - Subject Company (the company enquired by you)
N/A
- Not Applicable
EXECUTIVE SUMMARY
|
REGISTRATION NO.
|
:
|
491580-W
|
|
COMPANY NAME
|
:
|
SYNERGIC INDUSTRIAL MARKETING SERVICES SDN BHD
|
|
FORMER NAME
|
:
|
N/A
|
|
INCORPORATION DATE
|
:
|
16/08/1999
|
|
COMPANY STATUS
|
:
|
EXIST
|
|
LEGAL STATUS
|
:
|
PRIVATE LIMITED
|
|
LISTED STATUS
|
:
|
NO
|
|
REGISTERED ADDRESS
|
:
|
79-1A, JALAN BANDAR 1, PUSAT BANDAR PUCHONG, 47100 PUCHONG,
SELANGOR, MALAYSIA.
|
|
BUSINESS ADDRESS
|
:
|
B3-3A-13 & B3-5-13, SOLARIS DUTAMAS, 1 JALAN DUTAMAS 1, 50480
KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.
|
|
TEL.NO.
|
:
|
03-62054588
|
|
FAX.NO.
|
:
|
03-62054688
|
|
EMAIL
|
:
|
admin@simsmalaysia.com
|
|
WEB SITE
|
:
|
www.simsmalaysia.com
|
|
CONTACT PERSON
|
:
|
DEEPANJALI SINGH ( DIRECTOR )
|
|
INDUSTRY CODE
|
:
|
5142
|
|
PRINCIPAL ACTIVITY
|
:
|
TRADING OF NON FERROUS METAL PRODUCTS
|
|
AUTHORISED CAPITAL
|
:
|
MYR
1,000,000.00 DIVIDED INTO
ORDINARY SHARE 1,000,000.00 OF MYR 1.00 EACH.
|
|
ISSUED AND
PAID UP CAPITAL
|
:
|
MYR 600,000.00
DIVIDED INTO
ORDINARY SHARES 540,000 CASH AND 60,000 OTHERWISE OF MYR 1.00 EACH.
|
|
SALES
|
:
|
MYR 42,039,411
[2010]
|
|
NET WORTH
|
:
|
MYR 1,221,571 [2010]
|
|
STAFF STRENGTH
|
:
|
15 [2011]
|
|
BANKER (S)
|
:
|
|
UNITED OVERSEAS BANK (MALAYSIA) BHD
|
|
|
|
LITIGATION
|
:
|
CLEAR
|
|
DEFAULTER CHECK
|
:
|
CLEAR
|
|
FINANCIAL CONDITION
|
:
|
LIMITED
|
|
PAYMENT
|
:
|
FAIR
|
|
MANAGEMENT CAPABILITY
|
:
|
AVERAGE
|
|
COMMERCIAL RISK
|
:
|
MODERATE
|
|
CURRENCY EXPOSURE
|
:
|
MODERATE
|
|
GENERAL REPUTATION
|
:
|
SATISFACTORY
|
|
INDUSTRY OUTLOOK
|
:
|
AVERAGE GROWTH
|
|
PROPOSED CREDIT LIMIT
|
:
|
USD3,608
|
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) trading of non ferrous
metal products.
The SC is not listed on Bursa Malaysia (Malaysia Stock Exchange).
The immediate holding company of the SC is SYNERGIC INDUSTRIAL MATERIALS
& SERVICES PTE LTD, a company incorporated in SINGAPORE.
The major shareholder(s) of the SC are
shown as follows :
Name
|
Address
|
IC/PP/Loc No
|
Shareholding
|
|
SYNERGIC INDUSTRIAL MATERIALS & SERVICES PTE LTD
|
10 ANSON ROAD, 27-8 INTERNATIONAL PLAZA, 079903, SINGAPORE.
|
200306100
|
600,000.00
|
|
|
|
|
---------------
|
|
|
|
|
600,000.00
|
|
|
|
|
============
|
+ Also Director
DIRECTORS
DIRECTOR 1
|
Name Of Subject
|
:
|
RAJIV SINGH
|
|
Address
|
:
|
A-16-5 MONT KIARA CONDOMINIUM, JALAN KIARA 2, 50480 KUALA LUMPUR,
WILAYAH PERSEKUTUAN, MALAYSIA.
|
|
IC / PP No
|
:
|
E1324621N
|
|
|
|
|
|
Date of Birth
|
:
|
11/07/1965
|
|
|
|
|
|
Nationality
|
:
|
INDIAN
|
|
Date of Appointment
|
:
|
16/08/1999
|
|
Remark
|
:
|
OLD PP: Z1620829, A9139495 & Z1358297
|
DIRECTOR 2
|
Name Of Subject
|
:
|
SATISH GURLHOSUR
|
|
Address
|
:
|
A-16-5, MONT KIARA CONDOMINIUM, JALAN KIARA 2, 50480 KUALA LUMPUR,
WILAYAH PERSEKUTUAN, MALAYSIA.
|
|
IC / PP No
|
:
|
Z1800423
|
|
|
|
|
|
Date of Birth
|
:
|
10/08/1970
|
|
|
|
|
|
Nationality
|
:
|
INDIAN
|
|
Date of Appointment
|
:
|
30/08/2002
|
|
Remark
|
:
|
OLD PP: E1542317
|
DIRECTOR 3
|
Name Of Subject
|
:
|
DEEPANJALI SINGH
|
|
Address
|
:
|
A-16-5 MONT KIARA CONDOMINIUM, JALAN KIARA 2, 50480 KUALA LUMPUR,
WILAYAH PERSEKUTUAN, MALAYSIA.
|
|
IC / PP No
|
:
|
Z1620830
|
|
|
|
|
|
Date of Birth
|
:
|
22/08/1971
|
|
|
|
|
|
Nationality
|
:
|
INDIAN
|
|
Date of Appointment
|
:
|
15/02/2001
|
DIRECTOR 4
|
Name Of Subject
|
:
|
MS.CATHERINE TAN YEN YEN
|
|
Address
|
:
|
18, LORONG NILAM 13F, BANDAR BUKIT TINGGI, 41200 KLANG, SELANGOR,
MALAYSIA.
|
|
IC / PP No
|
:
|
7422577
|
|
New IC No
|
:
|
640821-08-5802
|
|
Date of Birth
|
:
|
21/08/1964
|
|
|
|
|
|
Nationality
|
:
|
MALAYSIAN CHINESE
|
|
Date of Appointment
|
:
|
11/12/2003
|
DIRECTOR 5
|
Name Of Subject
|
:
|
DATO' YONG LI CHIAN
|
|
Address
|
:
|
1A-3-1 (PG-3), PERSIRAN GURNEY, GEORGETOWN, 10250 GEORGETOWN, PULAU
PINANG, MALAYSIA.
|
|
IC / PP No
|
:
|
7566981
|
|
New IC No
|
:
|
470426-71-5078
|
|
Date of Birth
|
:
|
26/04/1947
|
|
|
|
|
|
Nationality
|
:
|
MALAYSIAN CHINESE
|
|
Date of Appointment
|
:
|
19/02/2010
|
|
|
|
|
MANAGEMENT
|
1)
|
Name of Subject
|
:
|
DEEPANJALI SINGH
|
|
|
Position
|
:
|
DIRECTOR
|
|
|
|
|
|
|
2)
|
Name of Subject
|
:
|
RAJIV SINGH
|
|
|
Position
|
:
|
MANAGING DIRECTOR
|
|
|
|
|
|
|
3)
|
Name of Subject
|
:
|
NORA
|
|
|
Position
|
:
|
ADMIN MANAGER
|
|
|
|
|
|
AUDITOR
|
Auditor
|
:
|
N KRISHNAN & CO
|
|
Auditor' Address
|
:
|
77-1A, JALAN BANDAR 1, PUSAT BANDAR PUCHONG, 1ST FLOOR, 47100
PUCHONG, SELANGOR, MALAYSIA.
|
COMPANY SECRETARIES
|
1)
|
Company Secretary
|
:
|
MR. JYAKUMARAN A/L MUNIANDY
|
|
|
|
|
|
|
|
New IC No
|
:
|
551108-08-6063
|
|
|
Address
|
:
|
9, JALAN SS 14/6G, 47500 SUBANG JAYA, SELANGOR, MALAYSIA.
|
BANKING
Banking relations are maintained principally with :
|
1)
|
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
|
:
|
04/09/2007
|
|
Description Of Charge
|
:
|
MONEY LOAN AGREEMENT
|
|
Amount Secured
|
:
|
N/A
|
|
Description Of Property Affected
|
:
|
HSD 101564 PT 17439, MK BATU, KUALA LUMPUR
|
|
Name & Address Of Chargee
|
:
|
UNITED
OVERSEAS BANK (MALAYSIA) BHD
197-199, JALAN IMBI, 55100 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.
|
|
|
|
|
|
|
|
|
|
Form 40 Dated 11/09/2007
|
|
Registered and Numbered 2 In The Register of Charges
|
ENCUMBRANCE 2
|
Date of Creation
|
:
|
04/09/2007
|
|
Description Of Charge
|
:
|
MONIES LOAN
|
|
Amount Secured
|
:
|
N/A
|
|
Description Of Property Affected
|
:
|
HSD 101564 PT 17439, MK BATU, KUALA LUMPUR
|
|
Name & Address Of Chargee
|
:
|
UNITED
OVERSEAS BANK (MALAYSIA) BHD
197-199, JALAN IMBI, 55100 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.
|
|
|
|
|
|
|
|
|
|
Form 40 Dated 11/09/2007
|
|
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.
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
|
:
|
ASIA
|
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
|
[
|
|
]
|
|
|
Fair 91-120 Days
|
[
|
X
|
]
|
|
Poor >120 Days
|
[
|
|
]
|
|
|
|
|
|
|
CLIENTELE
|
Local
|
:
|
YES
|
Percentage
|
:
|
80%
|
|
Domestic Markets
|
:
|
MALAYSIA
|
|
Overseas
|
:
|
YES
|
Percentage
|
:
|
20%
|
|
Export Market
|
:
|
BRUNEI DARUSSALAM, INDIA, INDONESIA,
SINGAPORE
|
|
Credit Term
|
:
|
30 - 60 DAYS
|
|
|
|
|
|
|
|
|
Payment Mode
|
:
|
CHEQUES,LETTER OF CREDIT (LC),TELEGRAPHIC TRANSFER (TT)
|
|
Type of Customer
|
:
|
DEALERS
|
OPERATIONS
|
Goods Traded
|
:
|
NON FERROROUS METAL PRODUCTS
|
|
|
|
|
|
Competitor(s)
|
:
|
CHAIN CHON
STAINLESS STEEL SDN BHD
ENGTEX SDN BHD
JAKS RESOURCES BHD
K3 METAL SERVICE CENTRE SDN BHD
KIN KEE HARDWARE SDN BHD
|
|
|
|
|
|
Ownership of premises
|
:
|
LEASED/RENTED
|
|
Total Number of Employees:
|
|
|
YEAR
|
2011
|
2010
|
2009
|
2008
|
|
|
|
|
|
|
|
|
GROUP
|
N/A
|
N/A
|
N/A
|
N/A
|
|
|
|
|
|
|
COMPANY
|
15
|
15
|
9
|
9
|
|
|
|
|
|
Other Information:
The SC is principally engaged in the (as a / as an) trading of non ferrous
metal products.
The SC is a international trading company for non ferrorous metal products.
The SC provides services based on the customer's requirements.
The SC also provides total supply chain cum risk management services for the
following products:
* EC GRADE COPPER ROD
* EC GRADE HARD DRAWN
* TINNED COPPER WIRE
* ENAMELLED COPPER WIRE
* WELDING WIRE
We were informed that, the SC does not keep stocks as it delivers the
products directly to customers upon orders.
According to the SC, it does not has any branch at this moment.
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
|
:
|
603 62054588
|
|
Current Telephone Number
|
:
|
03-62054588
|
|
Match
|
:
|
YES
|
|
|
|
|
|
Address Provided by Client
|
:
|
UNIT NO. B3-3A-13 & B3-5-13, KUALA LUMPUR, JALAN DUTAMAS 1,
50480
|
|
Current Address
|
:
|
B3-3A-13 & B3-5-13, SOLARIS DUTAMAS, 1 JALAN DUTAMAS 1, 50480
KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.
|
|
Match
|
:
|
NO
|
|
|
|
|
|
Latest Financial Accounts
|
:
|
YES
|
Other Investigations
We contacted one of the staff from the SC and she provided some information
on the SC.
The address provided is incomplete.
FINANCIAL COMMENTS
Profitability:
|
Turnover
|
:
|
Erratic
|
[
|
2008 - 2010
|
]
|
|
Profit/(Loss) Before Tax
|
:
|
Decreased
|
[
|
2008 - 2010
|
]
|
|
Return on Shareholder Funds
|
:
|
Unfavourable
|
[
|
<2.49%>
|
]
|
|
Return on Net Assets
|
:
|
Unfavourable
|
[
|
3.24%
|
]
|
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 SC's unfavourable returns on shareholders'
funds indicate the management's inefficiency in utilising its assets to
generate returns.
Working Capital Control:
|
Stock Ratio
|
:
|
Nil
|
[
|
0 Days
|
]
|
|
Debtors Ratio
|
:
|
Unfavourable
|
[
|
123 Days
|
]
|
|
Creditors Ratio
|
:
|
Unfavourable
|
[
|
118 Days
|
]
|
As the SC is a service oriented company, the SC does not need to keep stocks.
The SC's debtors ratio was high. The SC should tighten its credit control and
improve its collection period. The unfavourable creditors' ratio could be due
to the SC taking advantage of the credit granted by its suppliers. However
this may affect the goodwill between the SC and its suppliers and the SC may
inadvertently have to pay more for its future supplies.
Liquidity:
|
Liquid Ratio
|
:
|
Favourable
|
[
|
1.04 Times
|
]
|
|
Current Ratio
|
:
|
Unfavourable
|
[
|
1.04 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
|
:
|
Favourable
|
[
|
23.73 Times
|
]
|
|
Gearing Ratio
|
:
|
Unfavourable
|
[
|
1.17 Times
|
]
|
The interest cover showed that the SC was able to service the interest. The
favourable interest cover could indicate that the SC was making enough profit
to pay for the interest accrued. The SC was highly geared, thus it had a high
financial risk. The SC was dependent on loans to finance its business needs.
In times of economic downturn and / or high interest rate, the SC will become
less profitable and competitive than other firms in the same industry, which
are lowly geared. This is because the SC has to service the interest and to
repay the loan, which will erode part of its profits. The profits will
fluctuate depending on the SC's turnover and the interest it needs to pay.
Overall
Assessment:
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. 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. With the
favourable interest cover, the SC could be able to service all the accrued
interest without facing any difficulties. The SC's gearing level was high and
its going concern will be in doubt if there is no injection of additional
shareholders' funds in times of economic downturn and / or high interest
rates.
Overall financial condition of the SC : LIMITED
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
|
|
5142 : Wholesale of metals and metal ores
|
|
|
|
|
INDUSTRY :
|
METAL
|
|
|
|
|
|
|
The metal industry is bullish in its outlook for 2011 with the
implementation of projects under the Economic Transformation Programme (ETP).
The local industry players were poised to benefit in the long term from
projects such as the MRT (Mass Rapid Transit).
|
|
Even though the metal industry was not identified as one of the National
Key Economic Areas (NKEAs), it has given huge contribution to various
sectors under the NKEAs. The development of this industry would directly
influence the performance and success of those NKEAs especially in the
construction sector.
|
|
There would be a lot of infrastructure projects under the NKEAs and 10th
Malaysia Plan which will create opportunities for the metal industry to
expand production to cater for the upcoming demand in the implementation of
projects.
|
|
By imposing an export duty on iron ore, then more will be available in the
country and the prices will be lower than global prices but the imposing an
export duty must be on special circumstances.
|
|
|
|
|
OVERALL INDUSTRY OUTLOOK : Average Growth
|
COMMENTS & RECOMMENDATION
|
Incorporated in 1999 as a private limited company, the SC is
principally engaged in the trading of non ferrorous metal products. Having
been in the industry for over a decade, the SC has achieved a certain
market share and has built up a satisfactory reputation in the market.
Presently, the issued and paid up capital of the SC standing at RM600,000.
Strongly supported by its well-established holding company from Singapore,
the SC is expected to enjoy timely financial and technical support should
the needs arise.
|
|
With its continuous expansion, the SC has slowly been expanding its
business operations to overseas countries such as Brunei, India and etc.
This global move should have benefited the SC in term of higher earnings
and lower its business risk. However, with around 80% of its income are
generated from the local market, the SC is vulnerable to the changes in the
local market. With staff strength of 15 employees, the SC's daily business
operations are overseen by its Director. The SC's management capability is
considered average.
|
|
For the financial year ended 2010, the SC has recorded a pre-tax profit of
RM82,106 on the backed of RM42.03 million in its turnover. The SC has
generated an unfavourable return on shareholders' funds indicating that the
management was inefficient in utilising its funds to generate return. The
high gearing ratio clearly implied that the SC was supported by more debt
than equity. Thus, the SC is exposed to high financial risk. Nevertheless,
the SC managed to maintain an adequate liquidity level, indicating that the
SC has the ability to meet its financial obligations. Given a positive net
worth standing at RM1.22 million, the SC should be able to maintain its
business in the near terms.
|
|
The SC's supplier are from both the local and overseas countries. This will
eliminates the risk of dependency on deliveries from a number of key
suppliers and insufficient quantities of its raw materials.
|
|
The SC's overall payment habit is fair and this clearly implied a weak
credit control of the SC.
|
|
The industry shows an upward trend and this trend is likely to sustain in
the near future. With the promising outlook of the industry performance,
the SC business potential should be favourable. The SC however faces
moderate business risk as it has to compete with many well established
players in the same field.
|
|
Based on the above condition, we recommend that credit be granted to the SC
normally.
|
PROFIT AND LOSS ACCOUNT
|
THE FINANCIAL STATEMENTS
WERE PREPARED IN ACCORDANCE WITH MALAYSIA ACCOUNTING STANDARD.
|
|
SYNERGIC
INDUSTRIAL MARKETING SERVICES SDN BHD
|
|
For The Year
Ended 31-March-2010
|
|
|
3 month
|
|
|
|
|
2010
|
2009
|
2008
|
|
|
MYR
|
MYR
|
MYR
|
|
|
|
|
|
|
|
|
|
|
|
TURNOVER
|
42,039,411
|
112,955,672
|
99,326,274
|
|
|
==========
|
==========
|
==========
|
|
PROFIT/(LOSS) FROM OPERATIONS
|
82,106
|
141,492
|
139,591
|
|
|
|
|
|
|
|
------------
|
------------
|
------------
|
|
PROFIT/(LOSS) BEFORE TAXATION
|
82,106
|
141,492
|
139,591
|
|
Taxation
|
<112,526>
|
<15,816>
|
<56,900>
|
|
PROFIT/(LOSS) AFTER TAXATION
|
------------
<30,420>
|
------------
125,676
|
------------
82,691
|
|
|
|
|
|
|
|
|
|
|
|
PROFIT/(LOSS) BEFORE EXTRAORDINARY ITEMS
|
------------
<30,420>
|
------------
125,676
|
------------
82,691
|
|
|
|
|
|
|
PROFIT/(LOSS) ATTRIBUTABLE TO SHAREHOLDERS
RETAINED PROFIT/(ACCUMULATED LOSS) BROUGHT FORWARD
|
------------
<30,420>
|
------------
125,676
|
------------
82,691
|
|
As previous reported
|
651,991
|
526,315
|
443,624
|
|
|
|
|
|
|
As restated
|
------------
651,991
|
------------
526,315
|
------------
443,624
|
|
|
------------
|
------------
|
------------
|
|
PROFIT AVAILABLE FOR APPROPRIATIONS
|
621,571
|
651,991
|
526,315
|
|
RETAINED PROFIT/(ACCUMULATED LOSS) CARRIED FORWAD
|
------------
621,571
==========
|
------------
651,991
==========
|
------------
526,315
==========
|
|
RETAINED BY: The Company
|
621,571
|
651,991
|
526,315
|
|
|
|
|
|
|
|
|
|
|
|
|
------------
621,571
==========
|
------------
651,991
==========
|
------------
526,315
==========
|
|
INTEREST EXPENSE (as per notes to PL)
|
|
|
|
|
Hire purchase
|
3,612
|
8,538
|
16,441
|
|
|
------------
3,612
==========
|
------------
8,538
==========
|
------------
16,441
==========
|
BALANCE SHEET
|
SYNERGIC
INDUSTRIAL MARKETING SERVICES SDN BHD
|
|
As At
31-March-2010
|
|
|
3 month
|
|
|
|
|
2010
|
2009
|
2008
|
|
|
MYR
|
MYR
|
MYR
|
|
|
|
|
|
|
|
ASSET EMPLOYED:
|
|
|
|
|
FIXED ASSETS
|
2,074,103
|
1,653,222
|
1,150,386
|
|
LONG TERM INVESTMENTS/OTHER ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Future income tax benefits
|
-
|
-
|
3,100
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL LONG TERM INVESTMENTS/OTHER ASSETS
|
------------
-
|
------------
-
|
------------
3,100
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL LONG TERM ASSETS
|
------------
2,074,103
|
------------
1,653,222
|
------------
1,153,486
|
|
|
|
|
|
|
|
CURRENT ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stocks
|
-
|
2,053,764
|
-
|
|
|
|
|
|
|
|
|
Trade debtors
|
14,161,953
|
11,035,653
|
9,574,672
|
|
|
Other debtors, deposits & prepayments
|
102,870
|
2,798,091
|
537,664
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Amount due from related companies
|
102,744
|
3,332,178
|
-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash & bank balances
|
-
|
134,493
|
370,038
|
|
|
|
|
|
|
|
|
Tax recoverable
|
398,028
|
43,627
|
-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL CURRENT ASSETS
|
------------
14,765,595
|
------------
19,397,806
|
------------
10,482,374
|
|
|
|
|
|
|
|
CURRENT LIABILITIES
|
|
|
|
|
|
Trade creditors
|
13,534,295
|
9,558,049
|
8,327,853
|
|
|
Other creditors & accruals
|
118,824
|
190,834
|
1,431,842
|
|
|
Hire purchase & lease creditors
|
40,964
|
75,623
|
127,976
|
|
|
|
|
|
|
|
|
Short term borrowings/Term loans
|
13,056
|
52,222
|
108,936
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Amounts owing to holding companies
|
325,025
|
-
|
-
|
|
|
|
|
|
|
|
|
Amounts owing to related companies
|
152,748
|
8,899,460
|
-
|
|
|
|
|
|
|
|
|
Amounts owing to director
|
-
|
45,408
|
70,718
|
|
|
Provision for taxation
|
6,487
|
-
|
20,562
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL CURRENT LIABILITIES
|
------------
14,191,399
|
------------
18,821,596
|
------------
10,087,887
|
|
NET CURRENT ASSETS/(LIABILITIES)
|
------------
574,196
|
------------
576,210
|
------------
394,487
|
|
TOTAL NET ASSETS
|
------------
2,648,299
==========
|
------------
2,229,432
==========
|
------------
1,547,973
==========
|
|
|
|
|
|
|
|
FINANCED BY:
|
|
|
|
|
|
|
|
|
|
|
SHARE CAPITAL
|
|
|
|
|
|
Ordinary share capital
|
600,000
|
600,000
|
600,000
|
|
|
|
|
|
|
|
TOTAL SHARE CAPITAL
|
------------
600,000
|
------------
600,000
|
------------
600,000
|
|
|
|
|
|
|
|
RESERVES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Retain profit/(Accumulated loss) carried forward
|
621,571
|
651,991
|
526,315
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL RESERVES
|
------------
621,571
|
------------
651,991
|
------------
526,315
|
|
SHAREHOLDERS' FUNDS/EQUITY
|
------------
1,221,571
|
------------
1,251,991
|
------------
1,126,315
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LONG TERM & DEFERRED LIABILITIES & PROVISIONS
|
|
|
|
|
|
|
|
|
|
|
|
Long term loans
|
1,085,757
|
944,255
|
316,164
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Hire purchase creditors
|
288,565
|
20,470
|
105,494
|
|
|
Deferred taxation
|
52,406
|
12,716
|
-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL LONG TERM & DEFERRED LIABILITIES & PROVISIONS
|
------------
1,426,728
|
------------
977,441
|
------------
421,658
|
|
|
------------
|
------------
|
------------
|
|
|
2,648,299
|
2,229,432
|
1,547,973
|
|
|
==========
|
==========
|
==========
|
|
|
|
|
|
|
FINANCIAL RATIOS
|
SYNERGIC
INDUSTRIAL MARKETING SERVICES SDN BHD
|
|
As At
31-March-2010
|
|
|
3 month
|
|
|
|
|
2010
|
2009
|
2008
|
|
|
MYR
|
MYR
|
MYR
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TYPES OF FUNDS
|
|
|
|
|
|
Cash
|
0
|
134,493
|
370,038
|
|
|
Net Liquid Funds
|
<13,056>
|
82,271
|
261,102
|
|
|
Net Liquid Assets
|
574,196
|
<1,477,554>
|
394,487
|
|
|
Net Current Assets/(Liabilities)
|
574,196
|
576,210
|
394,487
|
|
|
Net Tangible Assets
|
2,648,299
|
2,229,432
|
1,547,973
|
|
|
Net Monetary Assets
|
<852,532>
|
<2,454,995>
|
<27,171>
|
|
|
|
|
|
|
|
BALANCE SHEET ITEMS
|
|
|
|
|
|
Total Borrowings
|
1,428,342
|
1,092,570
|
658,570
|
|
|
Total Liabilities
|
15,618,127
|
19,799,037
|
10,509,545
|
|
|
Total Assets
|
16,839,698
|
21,051,028
|
11,635,860
|
|
|
Net Assets
|
2,648,299
|
2,229,432
|
1,547,973
|
|
|
Net Assets Backing
|
1,221,571
|
1,251,991
|
1,126,315
|
|
|
Shareholders" Funds
|
1,221,571
|
1,251,991
|
1,126,315
|
|
|
Total Share Capital
|
600,000
|
600,000
|
600,000
|
|
|
Total Reserves
|
621,571
|
651,991
|
526,315
|
|
|
|
|
|
|
|
LIQUIDITY(Times)
|
|
|
|
|
|
Cash Ratio
|
0
|
0.01
|
0.04
|
|
|
Liquid Ratio
|
1.04
|
0.92
|
1.04
|
|
|
Current Ratio
|
1.04
|
1.03
|
1.04
|
|
|
|
|
|
|
|
WORKING CAPITAL CONTROL (Days)
|
|
|
|
|
|
Stock Ratio
|
0
|
7
|
0
|
|
|
Debtors Ratio
|
123
|
36
|
35
|
|
|
Creditors Ratio
|
118
|
31
|
31
|
|
|
|
|
|
|
|
SOLVENCY RATIOS (Times)
|
|
|
|
|
|
Gearing Ratio
|
1.17
|
0.87
|
0.58
|
|
|
Liabilities Ratio
|
12.79
|
15.81
|
9.33
|
|
|
Times Interest Earned Ratio
|
23.73
|
17.57
|
9.49
|
|
|
|
|
|
|
|
PERFORMANCE RATIO (%)
|
|
|
|
|
|
Operating Profit Margin
|
0.20
|
0.13
|
0.14
|
|
|
Net Profit Margin
|
<0.07>
|
0.11
|
0.08
|
|
|
Return On Net Assets
|
3.24
|
6.73
|
10.08
|
|
|
Return On Capital Employed
|
3.17
|
6.36
|
8.74
|
|
|
Return On Shareholders' Funds/Equity
|
<2.49>
|
10.04
|
7.34
|
|
|
Dividend Pay Out Ratio (Times)
|
0
|
0
|
0
|
|
|
|
|
|
|
|
NOTES TO ACCOUNTS
|
|
|
|
|
|
Contingent Liabilities
|
0.00
|
0.00
|
0.00
|
|
|
|
|
|
|
|
|
|
