|
* Adopted abbreviations : SC - Subject Company (the company enquired by
you)
N/A - Not
Applicable
EXECUTIVE SUMMARY
|
REGISTRATION NO.
|
:
|
499486-U
|
|
COMPANY NAME
|
:
|
MARDEC PROCESSING SDN BHD
|
|
FORMER NAME
|
:
|
N/A
|
|
INCORPORATION DATE
|
:
|
22/11/1999
|
|
COMPANY STATUS
|
:
|
EXIST
|
|
LEGAL STATUS
|
:
|
PRIVATE LIMITED
|
|
LISTED STATUS
|
:
|
NO
|
|
REGISTERED ADDRESS
|
:
|
BANGUNAN
MARDEC, JALAN KERJA AIR LAMA, AMPANG JAYA, 68000 AMPANG, SELANGOR, MALAYSIA.
|
|
BUSINESS ADDRESS
|
:
|
BANGUNAN
MARDEC, JALAN KERJA AYER LAMA, AMPANG, 68000 AMPANG, SELANGOR, MALAYSIA.
|
|
TEL.NO.
|
:
|
03-42567055
|
|
FAX.NO.
|
:
|
03-42528430
|
|
EMAIL
|
:
|
csmardec@mardec.com.my
|
|
WEB SITE
|
:
|
www.mardec.com.my
|
|
CONTACT PERSON
|
:
|
WIRA SYED
ABDUL JABBAR SHAHABUDIN ( CHAIRMAN )
|
|
INDUSTRY CODE
|
:
|
25191
|
|
PRINCIPAL ACTIVITY
|
:
|
PROCESSING & PURCHASING OF NATURAL RUBBER
|
|
AUTHORISED CAPITAL
|
:
|
MYR
50,000,000.00 DIVIDED INTO
ORDINARY SHARE 20,000,000.00 OF MYR 1.00 EACH.
PREFERENCE SHARE 30,000,000.00 OF MYR 1.00 EACH.
|
|
ISSUED AND PAID UP CAPITAL
|
:
|
MYR 30,000,000.00
DIVIDED INTO
ORDINARY SHARES 2 CASH AND 9,999,998 OTHERWISE OF MYR 1.00 EACH.
PREFERENCE SHARES 20,000,000 OTHERWISE OF MYR 1.00 EACH.
|
|
SALES
|
:
|
MYR 607,799,561 [2009]
|
|
NET WORTH
|
:
|
MYR 32,415,959 [2009]
|
|
M1000 OVERALL RANKING
|
:
|
312[2008]
|
|
M1000 INDUSTRY
RANKING
|
:
|
3[2008]
|
|
STAFF STRENGTH
|
:
|
600 [2011]
|
|
BANKER (S)
|
|
BANK MUAMALAT
MALAYSIA BHD
CIMB BANK BHD
HSBC BANK MALAYSIA
BHD
|
|
LITIGATION
|
:
|
CLEAR
|
|
DEFAULTER CHECK
|
:
|
CLEAR
|
|
FINANCIAL CONDITION
|
:
|
LIMITED
|
|
PAYMENT
|
:
|
AVERAGE
|
|
MANAGEMENT CAPABILITY
|
:
|
AVERAGE
|
|
COMMERCIAL RISK
|
:
|
LOW
|
|
CURRENCY EXPOSURE
|
:
|
MODERATE
|
|
GENERAL REPUTATION
|
:
|
SATISFACTORY
|
|
INDUSTRY OUTLOOK
|
:
|
AVERAGE GROWTH
|
|
PROPOSED
CREDIT LIMIT
|
:
|
USD1,423,108.00
|
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) processing &
purchasing of natural rubber.
The SC is not listed on Bursa Malaysia
(Malaysia Stock Exchange).
|
According to the Malaysia
1000 publication, the SC's ranking are as follows:
|
|
|
|
|
|
|
YEAR
|
2008
|
2005
|
2004
|
|
|
OVERALL RANKING
|
312
|
482
|
558
|
|
|
INDUSTRY RANKING
|
3
|
5
|
8
|
|
The immediate holding company of the SC is
MARDEC BERHAD, a company incorporated in MALAYSIA.
The ultimate holding company of the SC is SEMI BAYU SDN BHD, a company
incorporated in MALAYSIA.
The major shareholder(s) of the SC are
shown as follows :
Name
|
Address
|
IC/PP/Loc No
|
Shareholding
|
|
MARDEC BHD
[ORD 10,000,000 & PREF 20,000,000]
|
BANGUNAN MARDEC, JALAN KERJA AIR LAMA, AMPANG JAYA, 68000 AMPANG, SELANGOR, MALAYSIA.
|
8922
|
30,000,000.00
|
|
|
|
|
---------------
|
|
|
|
|
30,000,000.00
|
|
|
|
|
============
|
+ Also Director
DIRECTORS
DIRECTOR 1
|
Name Of Subject
|
:
|
HJ MOHAMAD RAMZAN BIN MOHD DALI
|
|
Address
|
:
|
LOT 102, SRI TANJUNG 10, 68000 AMPANG, SELANGOR, MALAYSIA.
|
|
IC / PP No
|
:
|
4358802
|
|
New IC No
|
:
|
520604-02-5399
|
|
Date of Birth
|
:
|
04/06/1952
|
|
|
|
|
|
Nationality
|
:
|
MALAYSIAN MALAY
|
|
Date of Appointment
|
:
|
01/11/2006
|
DIRECTOR 2
|
Name Of Subject
|
:
|
MR. HASSIM BIN K.C. AHAMMU
|
|
Address
|
:
|
341, JALAN B7, TAMAN MELAWATI, ULU KLANG, 53100 KUALA
LUMPUR, WILAYAH PERSEKUTUAN,
MALAYSIA.
|
|
IC / PP No
|
:
|
3107374
|
|
New IC No
|
:
|
490531-06-5001
|
|
Date of Birth
|
:
|
31/05/1949
|
|
|
|
|
|
Nationality
|
:
|
MALAYSIAN MALAY
|
|
Date of Appointment
|
:
|
30/09/2005
|
DIRECTOR 3
|
Name Of Subject
|
:
|
MR. OOI JING TING
|
|
Address
|
:
|
437, KAMPUNG JERING, 32400 AYER TAWAR, PERAK, MALAYSIA.
|
|
IC / PP No
|
:
|
5016756
|
|
New IC No
|
:
|
560620-08-6681
|
|
Date of Birth
|
:
|
20/06/1956
|
|
|
|
|
|
Nationality
|
:
|
MALAYSIAN CHINESE
|
|
Date of Appointment
|
:
|
15/01/2004
|
|
Other Info
|
:
|
PPN
|
DIRECTOR 4
|
Name Of Subject
|
:
|
DATO' WIRA SYED ABDUL JABBAR BIN SYED HASSAN
|
|
Address
|
:
|
23, JALAN 7, KEMANSAH HEIGHTS, ULU KELANG, 68000 AMPANG, SELANGOR, MALAYSIA.
|
|
IC / PP No
|
:
|
4176920
|
|
New IC No
|
:
|
391208-02-5153
|
|
Date of Birth
|
:
|
08/12/1939
|
|
|
|
|
|
Nationality
|
:
|
MALAYSIAN MALAY
|
|
Date of Appointment
|
:
|
15/01/2004
|
|
|
|
|
|
Qualification
|
:
|
BACHELOR OF ECONOMICS DEGREE FROM THE UNIVERSITY OF WESTERN
AUSTRALIA. MASTER OF SCIENCE DEGREE IN
MARKETING FROM THE UNIVERSITY OF NEWCASTLE-UPON TYNE, UNITED KINGDOM.
|
|
Working Experience
|
:
|
HE WAS FORMER EXECUTIVE CHAIRMAN OF THE MALAYSIA MONETRY EXCHANGE FROM
1996 TO 1998. HE WAS CHIEF EXECUTIVE OFFICER OF THE KUALA LUMPUR COMMODITY EXCHAGE FROM 1980
TO 1996
|
DIRECTOR 5
|
Name Of Subject
|
:
|
DATUK DR MAHMOOD BIN ABD KADIR
|
|
Address
|
:
|
1, JALAN 12/2, TAMAN TUN ABDUL RAZAK, AMPANG JAYA, 68000 AMPANG, SELANGOR, MALAYSIA.
|
|
IC / PP No
|
:
|
2238193
|
|
New IC No
|
:
|
480330-01-5447
|
|
Date of Birth
|
:
|
30/03/1948
|
|
|
|
|
|
Nationality
|
:
|
MALAYSIAN MALAY
|
|
Date of Appointment
|
:
|
22/11/1999
|
DIRECTOR 6
|
Name Of Subject
|
:
|
MR. KHALID BAHSOON
|
|
Address
|
:
|
83A, JALAN MERANTI, BUKIT SIERRAMAS WEST, 47000 SUNGAI BULOH, SELANGOR, MALAYSIA.
|
|
|
|
|
|
New IC No
|
:
|
690908-87-5079
|
|
Date of Birth
|
:
|
08/09/1969
|
|
|
|
|
|
Nationality
|
:
|
MALAYSIAN MALAY
|
|
Date of Appointment
|
:
|
27/07/2010
|
MANAGEMENT
|
1)
|
Name of Subject
|
:
|
WIRA SYED ABDUL JABBAR SHAHABUDIN
|
|
|
Position
|
:
|
CHAIRMAN
|
|
|
|
|
|
|
2)
|
Name of Subject
|
:
|
KAMARULBAHRIN MOHD SUKI
|
|
|
Position
|
:
|
GENERAL MANAGER
|
|
|
|
|
|
|
3)
|
Name of Subject
|
:
|
GAN BOON KOO @ GAN BOON KIU
|
|
|
Position
|
:
|
FINANCE MANAGER
|
|
|
|
|
|
|
4)
|
Name of Subject
|
:
|
ROSNA PAINUDY
|
|
|
Position
|
:
|
SENIOR HUMAN RESOURCE MANAGER
|
AUDITOR
|
Auditor
|
:
|
ERNST & YOUNG
|
|
Auditor' Address
|
:
|
MENARA MILENIUM, JALAN DAMANLELA, PUSAT BANDAR DAMANSARA, LEVEL 23A,
50490 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.
|
COMPANY SECRETARIES
|
1)
|
Company Secretary
|
:
|
MS. SHARIFAH LAILA FARINA BTE SY MOHD
|
|
|
IC / PP No
|
:
|
A0378439
|
|
|
New IC No
|
:
|
660411-01-6466
|
|
|
Address
|
:
|
13, LORONG SS7/17E, KELANA JAYA, 47301 PETALING JAYA, SELANGOR, MALAYSIA.
|
BANKING
Banking relations are maintained principally with :
|
1)
|
Name
|
:
|
BANK MUAMALAT MALAYSIA
BHD
|
|
|
|
|
|
|
3)
|
Name
|
:
|
HSBC 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
|
:
|
23/11/2008
|
|
Description Of Charge
|
:
|
|
TRADE FINANCING GENERAL AGREEMENT
|
|
|
Amount Secured
|
:
|
N/A
|
|
Description Of Property Affected
|
:
|
|
THE DOCUMENTS & GOODS AND/OR PRODUCE TO WHICH THE DOCUMENTS
RELATE.
|
|
|
Name & Address Of Chargee
|
:
|
|
HSBC BANK MALAYSIA
BHD
|
|
2 LEBOH AMPANG, 50100 KUALA LUMPUR,
WILAYAH PERSEKUTUAN, MALAYSIA.
|
|
|
Form 40 Dated 20/01/2009
|
|
Registered and Numbered 1 In The Register of Charges
|
ENCUMBRANCE 2
|
Date of Creation
|
:
|
28/01/2010
|
|
Description Of Charge
|
:
|
|
AL-IJARAH FACILITY AGREEMENT
|
|
|
Amount Secured
|
:
|
RM11,600,000.00
|
|
Description Of Property Affected
|
:
|
|
|
Name & Address Of Chargee
|
:
|
|
BANK MUAMALAT MALAYSIA
BHD
|
|
21, JALAN MELAKA, P O BOX
10407, 50913 KUALA LUMPUR,
WILAYAH PERSEKUTUAN, MALAYSIA.
|
|
|
Form 40 Dated 19/03/2010
|
|
Registered and Numbered 2 In The Register of Charges
|
ENCUMBRANCE 3
|
Date of Creation
|
:
|
01/04/2010
|
|
Description Of Charge
|
:
|
|
ASSIGNMENT OF SALES PROCEEDS
|
|
|
Amount Secured
|
:
|
RM15,000,000.00
|
|
Description Of Property Affected
|
:
|
|
|
Name & Address Of Chargee
|
:
|
|
CIMB BANK BHD
|
|
JALAN SEMANTAN, DAMANSARA
HEIGHTS, 5TH FLOOR, 50490 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.
|
|
|
Form 40 Dated 04/05/2010
|
|
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
|
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
|
:
|
SOUTHEAST ASIA, EUROPE
|
|
Credit Term
|
:
|
30 - 60 DAYS
|
|
|
|
|
|
|
|
|
Payment Mode
|
:
|
CHEQUES,TELEGRAPHIC TRANSFER (TT)
|
OPERATIONS
|
Products manufactured
|
:
|
|
|
|
|
|
|
Award
|
:
|
|
1 ) MS ISO 9001 : 2000 Year :2004
|
|
2 ) MS ISO 9001 : 2000 Year :2002
|
|
3 ) MS ISO 9001 : 2000 Year :1999
|
|
|
|
|
|
|
Competitor(s)
|
:
|
|
GETAHINDUS (M) SDN BHD
|
|
SYNTHOMER SDN BHD
|
|
TIONG HUAT RUBBER FACTORY SDN BHD
|
|
TITI LATEX SDN BHD
|
|
|
|
|
|
|
Ownership of premises
|
:
|
|
|
Total Number of Employees:
|
|
YEAR
|
2011
|
|
|
|
|
GROUP
|
N/A
|
|
|
|
|
|
|
|
|
|
COMPANY
|
600
|
|
|
|
|
|
|
|
|
Other Information:
The SC is principally engaged in the (as a / as an) processing &
purchasing of natural rubber.
The SC is under the MARDEC Group of Companies, MARDEC is an investment
holding company involved in processing and trading of rubber, and
manufacturing value-added rubber and polymer products.
The SC buys cup lump-based raw rubber and processes this material into
technically specified rubber and compounded rubber products (SMR 5, 10, 20,
CV).
The NR products are mostly supplied to major tyre manufacturing companies
such as Continental, Goodyear, Kumho, Hankook and Michelin and other clients
in more than 90 countires worldwide.
MARDEC has a few factories which produce various grades of natural rubber,
located in Pahang, Kedah, Perak and Terengganu.
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
|
:
|
03-42567055
|
|
Match
|
:
|
N/A
|
|
|
|
|
|
Address Provided by Client
|
:
|
BANGUNAN MARDEC, JALAN KERJA AYER LAMA, AMPANG, 68000 AMPANG,
SELANGOR.
|
|
Current Address
|
:
|
BANGUNAN MARDEC, JALAN KERJA AYER LAMA, AMPANG, 68000 AMPANG, SELANGOR, MALAYSIA.
|
|
Match
|
:
|
YES
|
|
|
|
|
|
Latest Financial Accounts
|
:
|
YES
|
Other Investigations
we conducted an
interview with Ms Rohayati from the SC's Admin Department. She revealed some
information pertaining to the SC
FINANCIAL COMMENTS
Profitability:
|
Turnover
|
:
|
Erratic
|
[
|
2007 - 2009
|
]
|
|
Profit/(Loss) Before Tax
|
:
|
Decreased
|
[
|
2007 - 2009
|
]
|
|
Return on Shareholder Funds
|
:
|
Acceptable
|
[
|
24.12%
|
]
|
|
Return on Net Assets
|
:
|
Favourable
|
[
|
50.59%
|
]
|
The fluctuating turnover reflects the fierce competition among the existing
and new market players. The management had succeeded in turning the SC into a
profit making company. The profit could be due to better control of its
operating costs and efficiency in utilising its resources. The SC's
management had generated acceptable return for its shareholders using its
assets.
Working Capital Control:
|
Stock Ratio
|
:
|
Favourable
|
[
|
46 Days
|
]
|
|
Debtors Ratio
|
:
|
Favourable
|
[
|
20 Days
|
]
|
|
Creditors
Ratio
|
:
|
Favourable
|
[
|
4 Days
|
]
|
The SC's stocks were moving fast thus reducing its holding cost. This had
reduced funds being tied up in stocks. The favourable debtors' days could be
due to the good credit control measures implemented by the SC. The SC had a
favourable creditors' ratio as evidenced by its favourable collection days.
The SC could be taking advantage of the cash discounts and also wanting to
maintain goodwill with its creditors.
Liquidity:
|
Liquid Ratio
|
:
|
Unfavourable
|
[
|
0.68 Times
|
]
|
|
Current Ratio
|
:
|
Unfavourable
|
[
|
1.09 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
|
[
|
2.61 Times
|
]
|
|
Gearing Ratio
|
:
|
Favourable
|
[
|
0.32 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 Assessment:
The SC's
turnover showed a volatile trend but its losses were lower when compared to
the previous corresponding period. This could suggest that the SC was more
efficient in its operating cost control and was more competitive. 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 : 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
|
|
25191 : Rubber remilling and latex processing
|
|
|
|
|
INDUSTRY :
|
RUBBER PRODUCTS
|
|
|
|
|
|
|
Malaysia's
export of rubber products is expected to touch RM30 billion in 10 years,
driven primarily by strong demand for rubber gloves as the world becomes
more health-conscious and also given the aging population and increasing
number of nursing homes and more stringent regulations.
|
|
Malaysia
is the world's biggest glove manufacturer. Last year, it exported RM7.2
billion worth of gloves, supplying more than 65 per cent of global demand.
Global demand last year was 150 billion pieces or RM12 billion. This is
expected to grow by 10 per cent per annum, giving local players an
opportunity to increase their supply. Consequently, RM25 billion will come
from the export of latex-based products, and about RM5 billion from dry
rubber goods.
|
|
In the view of strong demand, growth to glove makers boosting exports to
emerging markets like India, China, South America, Latin America and the
Middle East. Local players are investing some RM1 billion up to 2015 to
improve production and upgrade existing plants.
|
|
Moreover, rubber gloves industry have been prevailed to be part of the key
economic areas, similar to palm oil and this issue has been agreed by
Cabinet. Commodity laboratories are being set up.
|
|
To move the industry forward, challenges like high operating cost including
raw material price, rising technical demand and labour shortage must be
addressed. It is timely to revitalise and confront the various challenges
brought about by globalisation.
|
|
|
|
|
OVERALL INDUSTRY OUTLOOK : Average Growth
|
COMMENTS & RECOMMENDATION
|
Incorporated in 1999, the SC is a private limited company, focusing
on purchasing and processing of natural rubber. Having been in the industry
for a decade, the SC should have built up its reputation and image in the
market. With a large issued and paid up capital of RM30 million and strong
backing from its well-established holding company, the SC enjoys timely
financial assistance should the needs arise. With these favourable
conditions, the SC has minimised its risk in the industry compared to other
players.
|
|
Over the years, the SC has established an extensive clientele base in the
market. Besides catering to the local market, the SC has penetrated into
other countries such as Southeast Asia and Europe.
With the contribution of both local and overseas customers, the SC is
likely to be exposed to lower commercial risk. Hence, we believe that the
SC has better business expansion opportunities in the future. The Group is
a large entity with a work force of 600. Overall the management capability
of the SC is average.
|
|
For the financial year ended 2009, the SC's turnover decreased from
RM967.82 million to RM607.79 million. Despite the lower turnover, the SC's
pre-tax profit grew to RM11.19 million. Return on shareholders' funds of
the SC was at an acceptable range which indicated that the management was
efficient in utilising its funds to generate income. 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. However, the SC
possesses a weak liquidity position and we believe that the SC may face
some difficulties in meeting its short term financial obligations. Given a
positive net worth standing at RM32.41 million, the SC should be able to
maintain its business in the near terms.
|
|
The SC sources its raw materials locally and internationally. Being
involved in import and export activities, the SC is subjected to the
foreign currency exchange 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 industry shows an upward trend and this trend is very likely to sustain
in the near terms. With the promising outlook of the industry performance,
the SC business potential should be favourable.
|
|
Based on the above condition, we recommend a fairly large amount of credit
be granted to the SC promptly.
|
PROFIT AND LOSS ACCOUNT
|
THE FINANCIAL
STATEMENTS WERE PREPARED IN ACCORDANCE WITH MALAYSIA ACCOUNTING STANDARD.
|
|
MARDEC
PROCESSING SDN BHD
|
|
For The Year
Ended 30-09-2009
|
|
|
2009
|
2008
|
2007
|
|
|
MYR
|
MYR
|
MYR
|
|
TURNOVER
|
607,799,561
|
967,820,344
|
768,269,840
|
|
|
==========
|
==========
|
==========
|
|
PROFIT/(LOSS) FROM OPERATIONS
|
11,196,295
|
<8,237,964>
|
2,898,882
|
|
|
|
|
|
|
|
------------
|
------------
|
------------
|
|
PROFIT/(LOSS) BEFORE TAXATION
|
11,196,295
|
<8,237,964>
|
2,898,882
|
|
Taxation
|
<3,378,746>
|
2,402,255
|
<1,260,461>
|
|
PROFIT/(LOSS) AFTER TAXATION
|
------------
7,817,549
|
------------
<5,835,709>
|
------------
1,638,421
|
|
PROFIT/(LOSS) BEFORE EXTRAORDINARY ITEMS
|
------------
7,817,549
|
------------
<5,835,709>
|
------------
1,638,421
|
|
|
|
|
|
|
PROFIT/(LOSS) ATTRIBUTABLE TO SHAREHOLDERS
RETAINED PROFIT/(ACCUMULATED LOSS) BROUGHT FORWARD
|
------------
7,817,549
|
------------
<5,835,709>
|
------------
1,638,421
|
|
As previous reported
|
<3,128,336>
|
2,707,373
|
1,068,952
|
|
Prior year adjustment
|
<23,254>
|
-
|
-
|
|
As restated
|
------------
<3,151,590>
|
------------
2,707,373
|
------------
1,068,952
|
|
|
------------
|
------------
|
------------
|
|
PROFIT AVAILABLE FOR APPROPRIATIONS
|
4,665,959
|
<3,128,336>
|
2,707,373
|
|
DIVIDENDS - Ordinary (paid & proposed)
|
<2,250,000>
|
-
|
-
|
|
RETAINED PROFIT/(ACCUMULATED LOSS) CARRIED FORWAD
|
------------
2,415,959
==========
|
------------
<3,128,336>
==========
|
------------
2,707,373
==========
|
|
RETAINED BY: The Company
|
2,415,959
|
<3,128,336>
|
2,707,373
|
|
|
------------
2,415,959
==========
|
------------
<3,128,336>
==========
|
------------
2,707,373
==========
|
|
INTEREST EXPENSE (as per notes to PL)
|
|
|
|
|
Term loan
|
151,009
|
242,127
|
305,275
|
|
Bank overdraft
|
140,224
|
29,329
|
20,234
|
|
Revolving loans
|
136,803
|
98,099
|
12,416
|
|
bankers acceptance
|
6,517,030
|
8,533,817
|
6,525,601
|
|
Others (Please specify)
|
-
|
-
|
88,044
|
|
|
------------
6,945,066
==========
|
------------
8,903,372
==========
|
------------
6,951,570
==========
|
BALANCE SHEET
|
MARDEC
PROCESSING SDN BHD
|
|
As At
30-09-2009
|
|
|
2009
|
2008
|
2007
|
|
|
MYR
|
MYR
|
MYR
|
|
ASSET EMPLOYED:
|
|
|
|
|
FIXED ASSETS
|
18,561,563
|
17,894,901
|
17,210,290
|
|
LONG TERM INVESTMENTS/OTHER ASSETS
|
|
|
|
|
Deffered assets
|
-
|
1,350,183
|
-
|
|
TOTAL LONG TERM INVESTMENTS/OTHER ASSETS
|
------------
-
|
------------
1,350,183
|
------------
-
|
|
TOTAL LONG TERM ASSETS
|
------------
18,561,563
|
------------
19,245,084
|
------------
17,210,290
|
|
CURRENT ASSETS
|
|
|
|
|
|
Stocks
|
77,269,491
|
118,277,407
|
71,220,915
|
|
|
Trade debtors
|
33,271,678
|
71,644,981
|
60,695,698
|
|
|
Other debtors, deposits & prepayments
|
5,275,134
|
6,116,821
|
2,463,438
|
|
|
Amount due from related companies
|
37,829,610
|
16,629,528
|
31,245,367
|
|
|
Cash & bank balances
|
12,152,033
|
10,203,257
|
7,643,759
|
|
|
due from affiliates
|
37,705,242
|
55,371,771
|
25,303,464
|
|
|
tax recoverable
|
1,250,927
|
5,342,553
|
3,321,126
|
|
|
Derivatives
|
606,550
|
-
|
-
|
|
TOTAL CURRENT ASSETS
|
------------
205,360,665
|
------------
283,586,318
|
------------
201,893,767
|
|
CURRENT LIABILITIES
|
|
|
|
|
|
Trade creditors
|
6,356,174
|
6,271,093
|
6,539,497
|
|
|
Other creditors & accruals
|
3,936,537
|
3,960,030
|
3,909,569
|
|
|
Short term borrowings/Term loans
|
4,611,342
|
1,176,471
|
170,176,471
|
|
|
Other borrowings
|
5,000,000
|
5,000,000
|
-
|
|
|
Bill & acceptances payable
|
167,300,437
|
256,000,000
|
-
|
|
|
Amounts owing to related companies
|
663,579
|
-
|
-
|
|
|
Retirement benefits
|
113,317
|
102,292
|
171,461
|
|
|
Derivatives
|
81,267
|
-
|
-
|
|
TOTAL CURRENT LIABILITIES
|
------------
188,062,653
|
------------
272,509,886
|
------------
180,796,998
|
|
NET CURRENT ASSETS/(LIABILITIES)
|
------------
17,298,012
|
------------
11,076,432
|
------------
21,096,769
|
|
TOTAL NET ASSETS
|
------------
35,859,575
==========
|
------------
30,321,516
==========
|
------------
38,307,059
==========
|
|
FINANCED BY:
|
|
|
|
|
SHARE CAPITAL
|
|
|
|
|
|
Ordinary share capital
|
30,000,000
|
30,000,000
|
30,000,000
|
|
TOTAL SHARE CAPITAL
|
------------
30,000,000
|
------------
30,000,000
|
------------
30,000,000
|
|
|
|
|
|
|
|
RESERVES
|
|
|
|
|
|
Retain profit/(Accumulated loss) carried forward
|
2,415,959
|
<3,128,336>
|
2,707,373
|
|
TOTAL RESERVES
|
------------
2,415,959
|
------------
<3,128,336>
|
------------
2,707,373
|
|
SHAREHOLDERS' FUNDS/EQUITY
|
------------
32,415,959
|
------------
26,871,664
|
------------
32,707,373
|
|
LONG TERM & DEFERRED LIABILITIES & PROVISIONS
|
|
|
|
|
|
|
|
|
|
|
|
Long term loans
|
882,352
|
2,058,823
|
3,235,293
|
|
|
Deferred taxation
|
1,064,758
|
-
|
713,645
|
|
|
|
|
|
|
|
|
Retirement benefits provision
|
1,496,506
|
1,391,029
|
1,650,748
|
|
TOTAL LONG TERM & DEFERRED LIABILITIES & PROVISIONS
|
------------
3,443,616
|
------------
3,449,852
|
------------
5,599,686
|
|
|
------------
|
------------
|
------------
|
|
|
35,859,575
|
30,321,516
|
38,307,059
|
|
|
==========
|
==========
|
==========
|
FINANCIAL RATIOS
|
MARDEC
PROCESSING SDN BHD
|
|
As At
30-09-2009
|
|
|
2009
|
2008
|
2007
|
|
|
MYR
|
MYR
|
MYR
|
|
TYPES OF FUNDS
|
|
|
|
|
|
Cash
|
12,152,033
|
10,203,257
|
7,643,759
|
|
|
Net Liquid Funds
|
7,540,691
|
9,026,786
|
<162,532,712>
|
|
|
Net Liquid Assets
|
<59,971,479>
|
<107,200,975>
|
<50,124,146>
|
|
|
Net Current Assets/(Liabilities)
|
17,298,012
|
11,076,432
|
21,096,769
|
|
|
Net Tangible Assets
|
35,859,575
|
30,321,516
|
38,307,059
|
|
|
Net Monetary Assets
|
<63,415,095>
|
<110,650,827>
|
<55,723,832>
|
|
|
|
|
|
|
|
BALANCE SHEET ITEMS
|
|
|
|
|
|
Total Borrowings
|
10,493,694
|
8,235,294
|
173,411,764
|
|
|
Total Liabilities
|
191,506,269
|
275,959,738
|
186,396,684
|
|
|
Total Assets
|
223,922,228
|
302,831,402
|
219,104,057
|
|
|
Net Assets
|
35,859,575
|
30,321,516
|
38,307,059
|
|
|
Net Assets Backing
|
32,415,959
|
26,871,664
|
32,707,373
|
|
|
Shareholders" Funds
|
32,415,959
|
26,871,664
|
32,707,373
|
|
|
Total Share Capital
|
30,000,000
|
30,000,000
|
30,000,000
|
|
|
Total Reserves
|
2,415,959
|
<3,128,336>
|
2,707,373
|
|
|
|
|
|
|
|
LIQUIDITY(Times)
|
|
|
|
|
|
Cash Ratio
|
0.06
|
0.04
|
0.04
|
|
|
Liquid Ratio
|
0.68
|
0.61
|
0.72
|
|
|
Current Ratio
|
1.09
|
1.04
|
1.12
|
|
|
|
|
|
|
|
WORKING CAPITAL CONTROL (Days)
|
|
|
|
|
|
Stock Ratio
|
46
|
45
|
34
|
|
|
Debtors Ratio
|
20
|
27
|
29
|
|
|
Creditors Ratio
|
4
|
2
|
3
|
|
|
|
|
|
|
|
SOLVENCY RATIOS (Times)
|
|
|
|
|
|
Gearing Ratio
|
0.32
|
0.31
|
5.30
|
|
|
Liabilities Ratio
|
5.91
|
10.27
|
5.70
|
|
|
Times Interest Earned Ratio
|
2.61
|
0.07
|
1.42
|
|
|
|
|
|
|
|
PERFORMANCE RATIO (%)
|
|
|
|
|
|
Operating Profit Margin
|
1.84
|
<0.85>
|
0.38
|
|
|
Net Profit Margin
|
1.29
|
<0.60>
|
0.21
|
|
|
Return On Net Assets
|
50.59
|
2.19
|
25.71
|
|
|
Return On Capital Employed
|
44.83
|
2.11
|
4.72
|
|
|
Return On Shareholders' Funds/Equity
|
24.12
|
<21.72>
|
5.01
|
|
|
Dividend Pay Out Ratio (Times)
|
0.29
|
0
|
0
|
|
|
|
|
|
|
|
NOTES TO ACCOUNTS
|
|
|
|
|
|
Contingent Liabilities
|
0.00
|
0.00
|
0.00
|
|
|
|
|
|
|
|
