|
* Adopted
abbreviations : SC - Subject Company (the
company enquired by you)
N/A
- Not Applicable
EXECUTIVE SUMMARY
|
REGISTRATION NO.
|
:
|
367312-K
|
|
COMPANY NAME
|
:
|
HEIDELBERG MALAYSIA
SDN BHD
|
|
FORMER NAME
|
:
|
DIAMOND RETURNS SDN BHD (01/12/1998)
|
|
INCORPORATION DATE
|
:
|
15/11/1995
|
|
COMPANY STATUS
|
:
|
EXIST
|
|
LEGAL STATUS
|
:
|
PRIVATE LIMITED
|
|
LISTED STATUS
|
:
|
NO
|
|
REGISTERED ADDRESS
|
:
|
1A, JALAN 205, OFF JALAN TANDANG, 46050 PETALING JAYA, SELANGOR, MALAYSIA.
|
|
BUSINESS ADDRESS
|
:
|
NO 1A, JALAN 205, 46050 PETALING JAYA, SELANGOR, MALAYSIA.
|
|
TEL.NO.
|
:
|
03-79533288
|
|
FAX.NO.
|
:
|
03-79533299
|
|
WEB SITE
|
:
|
www.my.heidelberg.com
|
|
CONTACT PERSON
|
:
|
BENT SERRITSLEV ( DIRECTOR )
|
|
INDUSTRY CODE
|
:
|
51520
|
|
PRINCIPAL ACTIVITY
|
:
|
SALE OF PRINTING
MACHINES
|
|
AUTHORISED CAPITAL
|
:
|
MYR
10,000,000.00 DIVIDED INTO
ORDINARY SHARE 10,000,000.00 OF MYR 1.00 EACH.
|
|
ISSUED AND PAID UP CAPITAL
|
:
|
MYR
10,000,000.00 DIVIDED INTO
ORDINARY SHARES 10,000,000 CASH OF MYR 1.00 EACH.
|
|
SALES
|
:
|
MYR 105,311,737 [2009]
|
|
NET WORTH
|
:
|
MYR 7,541,013 [2009]
|
|
M1000 OVERALL
RANKING
|
:
|
939[2004]
|
|
M1000 INDUSTRY
RANKING
|
:
|
27[2004]
|
|
STAFF STRENGTH
|
:
|
150 [2010]
|
|
BANKER (S)
|
|
MALAYAN BANKING BHD
|
|
LITIGATION
|
:
|
CLEAR
|
|
DEFAULTER CHECK
|
:
|
CLEAR
|
|
FINANCIAL CONDITION
|
:
|
POOR
|
|
PAYMENT
|
:
|
AVERAGE
|
|
MANAGEMENT CAPABILITY
|
:
|
AVERAGE
|
|
COMMERCIAL RISK
|
:
|
MODERATE
|
|
CURRENCY EXPOSURE
|
:
|
HIGH
|
|
GENERAL REPUTATION
|
:
|
SATISFACTORY
|
|
INDUSTRY OUTLOOK
|
:
|
MARGINAL GROWTH
|
|
PROPOSED CREDIT LIMIT
|
:
|
USD108,719.00
|
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) sale of printing
machines.
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
|
2004
|
|
|
|
OVERALL RANKING
|
939
|
|
|
|
INDUSTRY RANKING
|
27
|
|
|
The ultimate holding company of the SC is
HEIDELBERGER DRUCKMASCHINEN AKTIENGESELLSCHAFT, a company incorporated in GERMANY.
The major shareholder(s) of the SC are
shown as follows :
Name
|
Address
|
IC/PP/Loc No
|
Shareholding
|
|
HEIDELBERGER DRUCKMASCHINEN AKTIENGESELLSCHAFT
|
KURFUERSTEN-ANLAGE 52-60, 69115, HEIDELBERG, GERMANY.
|
|
10,000,000.00
|
|
|
|
|
---------------
|
|
|
|
|
10,000,000.00
|
|
|
|
|
============
|
+ Also Director
DIRECTORS
DIRECTOR 1
|
Name Of Subject
|
:
|
MR.RAYMOND HOR FOOK WENG
|
|
Address
|
:
|
27, JALAN BU 7/5, BANDAR UTAMA DAMANSARA, 47800 PETALING JAYA, SELANGOR, MALAYSIA.
|
|
IC / PP No
|
:
|
A0944139
|
|
New IC No
|
:
|
680429-06-5029
|
|
Date of Birth
|
:
|
29/04/1968
|
|
|
|
|
|
Nationality
|
:
|
MALAYSIAN CHINESE
|
|
Date of Appointment
|
:
|
30/11/2000
|
DIRECTOR 2
|
Name Of Subject
|
:
|
BENT SERRITSLEV
|
|
Address
|
:
|
12, JALAN TR 9/7, TROPICANA GOLF RESORT, 47410 PETALING JAYA, SELANGOR, MALAYSIA.
|
|
IC / PP No
|
:
|
P204195240
|
|
Nationality
|
:
|
GERMAN
|
|
Date of Appointment
|
:
|
08/06/2000
|
|
Remark
|
:
|
OLD PP: 100221088 & 100229992
|
MANAGEMENT
|
1)
|
Name of Subject
|
:
|
BENT SERRITSLEV
|
|
|
Position
|
:
|
DIRECTOR
|
|
|
|
|
|
|
2)
|
Name of Subject
|
:
|
RAYMOND HOR FOOK WENG
|
|
|
Position
|
:
|
FINANCE DIRECTOR
|
AUDITOR
|
Auditor
|
:
|
PRICEWATERHOUSECOOPERS
|
|
Auditor' Address
|
:
|
1 SENTRAL, JALAN TRAVERS, KUALA LUMPUR SECTRAL, P O BOX 10192, LEVEL
15, 50706 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.
|
COMPANY SECRETARIES
|
1)
|
Company Secretary
|
:
|
MS. SEE SIEW CHENG
|
|
|
IC / PP No
|
:
|
A0735809
|
|
|
New IC No
|
:
|
670505-10-5880
|
|
|
Address
|
:
|
17, JALAN ARA SD7/4G, BANDAR SRI DAMANSARA, 52200 KUALA
LUMPUR, WILAYAH PERSEKUTUAN,
MALAYSIA.
|
|
|
|
|
|
|
2)
|
Company Secretary
|
:
|
MS. LEONG SHIAK WAN
|
|
|
IC / PP No
|
:
|
A1393261
|
|
|
New IC No
|
:
|
691117-10-5486
|
|
|
Address
|
:
|
14, JALAN 2/39, TAMAN PETALING, KEPONG, 52100 KUALA
LUMPUR, WILAYAH PERSEKUTUAN,
MALAYSIA.
|
BANKING
Banking relations are maintained principally with :
|
1)
|
Name
|
:
|
MALAYAN BANKING BHD
|
|
The SC enjoys normal banking routine with above mentioned banker(s).
No adverse record was found during our investigation.
|
ENCUMBRANCE (S)
No encumbrance was found in our databank at the time of investigation.
LEGAL CHECK AGAINST 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 : NO Percentage : 0%
Overseas : YES Percentage : 100%
Import Countries : EUROPE
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
|
Percentage
|
:
|
100%
|
|
Domestic Markets
|
:
|
MALAYSIA
|
|
Overseas
|
:
|
NO
|
Percentage
|
:
|
0%
|
|
|
|
|
|
|
|
|
Credit Term
|
:
|
30 - 60 DAYS
|
|
|
|
|
|
|
|
|
Payment Mode
|
:
|
CHEQUES, LETTER OF CREIDT (LC)
|
The SC is currently focusing on the local
markets.
The SC sells the products mainly to the end users.
OPERATIONS
|
Goods Traded
|
:
|
|
|
|
|
|
|
Competitor(s)
|
:
|
|
DATA COLLECTION SYSTEMS (M) SDN BHD
|
|
FERROSTAAL EQUIPMENT SOLUTIONS SDN BHD
|
|
GALAXY COMMUNICATION & OFFICE AUTOMATION SDN BHD
|
|
LYRECO OFFICE SUPPLIES (MALAYSIA) SDN BHD
|
|
SATO AUTO-ID MALAYSIA SDN BHD
|
|
|
|
|
|
|
Ownership of
premises
|
:
|
|
|
Total Number of Employees:
|
|
|
YEAR
|
2010
|
2009
|
2008
|
|
|
|
|
GROUP
|
N/A
|
N/A
|
N/A
|
|
|
|
|
|
|
|
COMPANY
|
150
|
153
|
159
|
|
|
|
|
|
|
Other Information:
The SC is principally engaged in the (as a / as an) sale of printing
machines.
The SC is principally engaged in trading of printing equipments, spare parts
and its related accessories.
Heidelberg is the market and technology leader
in sheetfed offset printing
The SC has three branches located in Johore, Sarawak and Penang.
The SC's sells the products mainly to the print media industry.
The SC is also involved in providing after sales maintenance services.
The SC's products are sold under the brand name "Heidelberg".
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
|
:
|
03-79533288
|
|
Match
|
:
|
N/A
|
|
|
|
|
|
Address Provided by Client
|
:
|
NO 1A, JALAN 205, 46050, PETALING JAYA, SELANGOR.
|
|
Current Address
|
:
|
NO 1A, JALAN 205, 46050 PETALING JAYA, SELANGOR, MALAYSIA.
|
|
Match
|
:
|
YES
|
|
|
|
|
|
Latest Financial Accounts
|
:
|
YES
|
Other Investigations
We contacted one of the staff from the Accounts Department. She provided some
information on the SC.
The SC refused to comment on the economic downturn and its effects to the SC.
FINANCIAL COMMENTS
Profitability:
|
Turnover
|
:
|
Decreased
|
[
|
31.18%
|
]
|
|
Profit/(Loss) Before Tax
|
:
|
Increased
|
[
|
<71.24%>
|
]
|
|
Return on Shareholder Funds
|
:
|
Unfavourable
|
[
|
<56.24%>
|
]
|
|
Return on Net Assets
|
:
|
Unfavourable
|
[
|
<28.42%>
|
]
|
The shrinking turnover could be the result of more entrants into the market
which eroded the SC's market share. Higher losses before tax during the year
could be due to the higher 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
|
:
|
Unfavourable
|
[
|
159 Days
|
]
|
|
Debtors Ratio
|
:
|
Unfavourable
|
[
|
118 Days
|
]
|
|
Creditors
Ratio
|
:
|
Favourable
|
[
|
13 Days
|
]
|
The SC could be incurring higher holding cost. As its capital was tied up in
stocks, it could face liquidity problems. The SC's debtors ratio was high.
The SC should tighten its credit control and improve its collection period.
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
|
[
|
0.52 Times
|
]
|
|
Current Ratio
|
:
|
Unfavourable
|
[
|
1.08 Times
|
]
|
A low liquid ratio means that the SC may be facing working capital
deficiency. If the SC cannot obtain additional financing or injection of
fresh capital, it may face difficulties in meeting its short term
obligations.
Solvency
|
Interest Cover
|
:
|
Unfavourable
|
[
|
<1.06
Times>
|
]
|
|
Gearing Ratio
|
:
|
Favourable
|
[
|
0.66 Times
|
]
|
The SC incurred losses in the year. It did not generate sufficient income to
service its interest. If the situation does not improve, the SC may be
vulnerable to default in servicing the interest. 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 losses could be attributed to the lower turnover
which in turn could be the result of unfavourable market conditions. 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. The SC's interest cover was
negative, indicating that it did not generate sufficient income to service
its interest. If its result does not show impressive improvements or succeed
obtaining short term financing or capital injection, it may not be able to
service its interest and repay the loans. The SC as a lowly geared company,
will be more secured compared to those highly geared companies. It has the
ability to meet all its long term obligations.
Overall financial condition of the SC : POOR
ECONOMIC / INDUSTRY OUTLOOK
|
Major Economic Indicators:
|
2006
|
2007
|
2008
|
2009*
|
2010**
|
|
|
|
|
|
|
|
|
Population ( Million)
|
26.64
|
27.17
|
27.73
|
28.31
|
28.88
|
|
Gross Domestic Products ( % )
|
5.8
|
6.3
|
4.6
|
<3.5>
|
4.5
|
|
Domestic Demand ( % )
|
7.0
|
9.0
|
6.9
|
2.9
|
4.6
|
|
Private Expenditure ( % )
|
7.0
|
8.6
|
7.1
|
<0.3>
|
-
|
|
Consumption ( % )
|
7.1
|
9.0
|
8.4
|
3.5
|
-
|
|
Investment ( % )
|
7.0
|
7.1
|
1.5
|
<17.7>
|
-
|
|
Public Expenditure ( % )
|
6.8
|
10.1
|
6.5
|
11.4
|
-
|
|
Consumption ( % )
|
5.0
|
10.8
|
11.6
|
7.3
|
-
|
|
Investment ( % )
|
8.9
|
9.3
|
0.7
|
16.6
|
-
|
|
|
|
|
|
|
|
|
Balance of Trade ( MYR Million )
|
108,192
|
100,340
|
129,563
|
89,650
|
90,960
|
|
Government Finance ( MYR Million )
|
<19,109>
|
<19,948>
|
<34,462>
|
<28,450>
|
<40,482>
|
|
Government Finance to GDP / Fiscal Deficit ( % )
|
<3.3>
|
<3.2>
|
<4.8>
|
<4.8>
|
<5.6>
|
|
Inflation ( % Change in Composite CPI)
|
3.9
|
2.0
|
<3.3>
|
<5.2>
|
5.1
|
|
Unemployment Rate
|
3.4
|
3.2
|
3.7
|
4.5
|
3.9
|
|
|
|
|
|
|
|
|
Net International Reserves ( MYR Billion )
|
290
|
336
|
388
|
331
|
-
|
|
Average Risk-Weighted Capital Adequacy Ratio ( % )
|
4.21
|
3.04
|
1.91
|
2.87
|
-
|
|
Average 3 Months of Non-performing Loans ( % )
|
12.91
|
13.30
|
13.24
|
11.08
|
-
|
|
Average Base Lending Rate ( % )
|
6.61
|
6.72
|
6.72
|
5.53
|
-
|
|
Business Loans Disbursed( % )
|
<2.5>
|
9.1
|
11.6
|
13.7
|
-
|
|
Foreign Investment ( MYR Million )
|
20,228.0
|
33,426.0
|
23,261.4
|
22,156.8
|
-
|
|
Consumer Loans ( % )
|
-
|
-
|
-
|
-
|
-
|
|
|
|
|
|
|
|
|
Registration of New Companies ( No. )
|
38,293
|
43,337
|
41,599
|
41,578
|
-
|
|
Registration of New Companies ( % )
|
2.2
|
13.2
|
<4.0>
|
<0.1>
|
-
|
|
Liquidation of Companies ( No. )
|
8,647
|
22,629
|
27,992
|
-
|
-
|
|
Liquidation of Companies ( % )
|
181.8
|
161.5
|
23.7
|
-
|
-
|
|
|
|
|
|
|
|
|
Registration of New Business ( No. )
|
216,147
|
227,410
|
269,866
|
312,581
|
-
|
|
Registration of New Business ( % )
|
-
|
-
|
-
|
-
|
-
|
|
Business Dissolved ( No. )
|
52,879
|
20,431
|
18,885
|
-
|
-
|
|
Business Dissolved ( % )
|
<27.9>
|
<61.4>
|
<7.6>
|
-
|
-
|
|
|
|
|
|
|
|
|
Sales of New Passenger Cars (' 000 Unit )
|
446.2
|
442.9
|
497.5
|
319.4
|
-
|
|
Cellular Phone Subscribers ( Million )
|
19.5
|
23.3
|
25.1
|
-
|
-
|
|
Tourist Arrival ( Million Persons )
|
17.5
|
20.9
|
21.5
|
-
|
-
|
|
Hotel Occupancy Rate ( % )
|
64.8
|
70.0
|
68.0
|
-
|
-
|
|
|
|
|
|
|
|
|
Credit Cards Spending ( % )
|
15.4
|
20.1
|
17.1
|
-
|
-
|
|
Bad Cheque Offenders (No.)
|
36,555
|
30,004
|
34,834
|
-
|
-
|
|
Individual Bankruptcy ( No.)
|
13,596
|
13,238
|
13,907
|
-
|
-
|
|
Individual Bankruptcy ( % )
|
<14.3>
|
<2.6>
|
5.1
|
-
|
-
|
|
INDUSTRIES ( % of Growth ):
|
2006
|
2007
|
2008
|
2009*
|
2010**
|
|
|
|
|
|
|
|
|
Agriculture
|
5.3
|
3.1
|
3.6
|
<2.0>
|
2.5
|
|
Palm Oil
|
5.8
|
<0.6>
|
7.0
|
<3.5>
|
-
|
|
Rubber
|
12.6
|
1.0
|
<1.1>
|
<23.0>
|
-
|
|
Forestry & Logging
|
<0.4>
|
2.8
|
<1.5>
|
<14.3>
|
-
|
|
Fishing
|
9.3
|
5.2
|
4.0
|
7.9
|
-
|
|
Other Agriculture
|
5.3
|
7.0
|
5.9
|
5.3
|
-
|
|
Industry Non-Performing Loans ( MYR Million )
|
516.5
|
487.3
|
393.0
|
413.7
|
-
|
|
% of Industry Non-Performing Loans
|
1.1
|
1.1
|
<2.0>
|
1.3
|
-
|
|
|
|
|
|
|
|
|
Mining
|
<0.4>
|
3.3
|
<0.8>
|
<0.4>
|
1.1
|
|
Oil & Gas
|
4.6
|
2.2
|
12.7
|
2.1
|
-
|
|
Other Mining
|
5.1
|
-
|
-
|
-
|
-
|
|
Industry Non-performing Loans ( MYR Million )
|
55.4
|
42.2
|
36.0
|
44.2
|
-
|
|
% of Industry Non-performing Loans
|
0.1
|
0.1
|
0.1
|
0.1
|
-
|
|
|
|
|
|
|
|
|
Manufacturing #
|
7.3
|
3.1
|
1.3
|
<8.0>
|
1.7
|
|
Exported-oriented Industries
|
11.1
|
<1.9>
|
2.7
|
<19.0>
|
-
|
|
Electrical & Electronics
|
13.4
|
3.0
|
2.4
|
<30.3>
|
-
|
|
Rubber Products
|
0.4
|
8.0
|
4.2
|
<10.1>
|
-
|
|
Wood Products
|
0.7
|
3.3
|
<6.0>
|
-
|
-
|
|
Textiles & Apparel
|
12.6
|
<10.1>
|
1.9
|
<19.5>
|
-
|
|
Domestic-oriented Industries
|
5.0
|
5.3
|
9.9
|
<9.8>
|
-
|
|
Food, Beverages & Tobacco
|
4.8
|
5.6
|
9.5
|
0.2
|
-
|
|
Chemical & Chemical Products
|
1.7
|
9.2
|
1.4
|
<7.7>
|
-
|
|
Plastic Products
|
21.3
|
<3.6>
|
6.5
|
<9.1>
|
-
|
|
Iron & Steel
|
<6.9>
|
17.5
|
16.8
|
<32.7>
|
-
|
|
Fabricated Metal Products
|
20.0
|
26.2
|
14.7
|
<2.5>
|
-
|
|
Non-metallic Mineral
|
<1.9>
|
6.6
|
8.3
|
<15.5>
|
-
|
|
Transport Equipment
|
5.3
|
<19.0>
|
27.1
|
<13.5>
|
-
|
|
Paper & Paper Products
|
4.1
|
14.9
|
8.6
|
<5.0>
|
-
|
|
Crude Oil Refineries
|
12.1
|
8.6
|
7.8
|
0.2
|
-
|
|
Industry Non-Performing Loans ( MYR Million )
|
6,181.3
|
6,366.2
|
5,729.4
|
6,007.3
|
-
|
|
% of Industry Non-Performing Loans
|
12.7
|
14.1
|
16.8
|
18.3
|
-
|
|
|
|
|
|
|
|
|
Construction
|
<0.5>
|
4.6
|
2.1
|
3.0
|
3.2
|
|
Industry Non-Performing Loans ( MYR Million )
|
5,527.3
|
5,116.7
|
4,149.8
|
3,241.8
|
-
|
|
% of Industry Non-Performing Loans
|
11.4
|
11.3
|
12.2
|
9.9
|
-
|
|
|
|
|
|
|
|
|
Services
|
7.2
|
9.7
|
7.3
|
4.5
|
3.6
|
|
Electric, Gas & Water
|
5.2
|
4.6
|
5.0
|
<1.4>
|
1.8
|
|
Transport, Storage & Communication
|
5.2
|
7.6
|
7.8
|
7.3
|
8.7
|
|
Wholesale, Retail, Hotel & Restaurant
|
7.1
|
11.6
|
10.0
|
7.4
|
3.5
|
|
Finance, Insurance & Real Estate
|
7.7
|
10.7
|
9.2
|
8.1
|
7.1
|
|
Government Services
|
9.8
|
4.6
|
8.6
|
4.0
|
2.8
|
|
Other Services
|
4.7
|
5.0
|
5.9
|
5.4
|
5.0
|
|
Industry Non-Performing Loans ( MYR Million )
|
11,593.2
|
10,207.8
|
8,281.4
|
6,631.3
|
-
|
|
% of Industry Non-Performing Loans
|
23.9
|
22.6
|
24.3
|
20.2
|
-
|
|
* Estimate /
Preliminary
|
|
|
|
|
|
|
** Forecast
|
|
|
|
|
|
|
# Based On
Manufacturing Production Index
(Source : Department of Statistics / Economic Report / Bank Negara Report)
|
INDUSTRY COMMENTS
|
MSIC CODE
|
|
51520 : Wholesale of office machinery and business equipment e.g.
cash register
|
|
|
|
|
INDUSTRY :
|
MACHINERY
|
|
During the Ninth Malaysia Plan, greater efforts will be undertaken in the
machinery and equipment (M&E) industry to enhance domestic capability
to design and fabricate machines and tools for the mechanisation and
automation needs of the economy through the provision of incentives and
financing schemes. Promotional efforts will be intensified to attract foreign
high-technology and specialised M&E manufacturers to set up base in Malaysia.
Existing incentives for regional establishments will be improved while, new
incentive packages will be considered, including the setting up of
machinery parks within free zone facilities, with a view to making Malaysia a
centre for M&E activities in the region.
|
|
The successful establishment of the M&E industry will depend mainly on
the ability of the local engineering industry to supply parts, components
and modules as well as the availability of highly qualified technical human
resource. M&E manufacturers worldwide are turning to global outsourcing
for machinery components and modules. Thus, increased efforts will be made
to encourage local companies in the engineering support industry to upgrade
their technology and production capabilities especially to participate in
extensive outsourcing activities.
|
|
Note : The Ninth Malaysia Plan (9MP) was tabled in Parliament on March 31,
2006, is the five-year blueprints within the new National Mission policy
and implementation framework from now until 2010. Malaysia is
expected to see some structural changes and improved performance in the
economy.
|
|
|
|
|
OVERALL INDUSTRY OUTLOOK : Marginal Growth
|
COMMENTS & RECOMMENDATION
|
Incorporated in 1995 as a private limited company, the SC is
principally engaged in the selling of printing machines. 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. With a large issued
and paid up capital of RM10 million and strong backing from its
well-established holding company, the SC enjoys timely financial assistance
when the needs arise.
|
|
Information revealed that the SC solely focuses on domestic market rather
than overseas market. We believe that this narrow market segment would
limit the SC's business opportunities and the SC is likely to be affected
by the uncertainties in local economy. However, its long presence in the
market has enabled the SC to gain certain market shares and established
good rapport with its clients. Thus, its business risk is diversified.
Headed by its Director, the SC currently has about 150 staff in its
business operations. The overall management capability of the SC is
average.
|
|
Due to the challenging market conditions, the SC's business performance
showed a reverse trend. The SC incurred losses of RM4.24 million based on
its turnover of RM105.31 million. The SC has generated an unfavourable
return on its shareholders' funds, indicating that the SC did not generate
an acceptable amount of profits based on its existing shareholders' funds.
Besides, the SC possesses a weak liquidity position and we believe that the
SC may face some difficulties in meeting its short term financial obligations.
Being a lowly geared company, the SC is mainly dependent on its internal
funds to finance its business needs. Overall, the SC's financial standing
is poor.
|
|
Our check revealed that the SC's supplies are 100% sourced from Europe countries. As an imported oriented company,
its forex exposure is high. A small movement in currency exchange rates
would result in a change in operating profit or costs.
|
|
Based on the historical financial data, we concluded that the SC's payment
habit is average.
|
|
The industry expects to enjoy a marginal growth in the near term. As the
market competition is tight, the SC should adopt more marketing strategies
in order to retain its market position as well as compete with other well
established players in the same field.
|
|
Despite of having a large share capital, we noted that the SC posted a poor
financial standing. In view of this, we recommend that credit be granted to
the SC with close monitoring.
|
PROFIT AND LOSS ACCOUNT
|
THE FINANCIAL
STATEMENTS WERE PREPARED IN ACCORDANCE WITH MALAYSIA ACCOUNTING STANDARD.
|
|
HEIDELBERG MALAYSIA
SDN BHD
|
|
For The Year
Ended 31-March-2009
|
|
|
2009
|
2008
|
|
|
MYR
|
MYR
|
|
TURNOVER
|
105,311,737
|
153,029,533
|
|
|
==========
|
==========
|
|
PROFIT/(LOSS) FROM OPERATIONS
|
<4,241,421>
|
<2,476,900>
|
|
|
------------
|
------------
|
|
PROFIT/(LOSS) BEFORE TAXATION
|
<4,241,421>
|
<2,476,900>
|
|
Taxation
|
-
|
737,613
|
|
PROFIT/(LOSS) AFTER TAXATION
|
------------
<4,241,421>
|
------------
<1,739,287>
|
|
PROFIT/(LOSS) BEFORE EXTRAORDINARY ITEMS
|
------------
<4,241,421>
|
------------
<1,739,287>
|
|
|
|
|
|
PROFIT/(LOSS) ATTRIBUTABLE TO SHAREHOLDERS
RETAINED PROFIT/(ACCUMULATED LOSS) BROUGHT FORWARD
|
------------
<4,241,421>
|
------------
<1,739,287>
|
|
As previous reported
|
1,782,434
|
3,521,721
|
|
|
|
|
|
As restated
|
------------
1,782,434
|
------------
3,521,721
|
|
|
------------
|
------------
|
|
PROFIT AVAILABLE FOR APPROPRIATIONS
|
<2,458,987>
|
1,782,434
|
|
RETAINED PROFIT/(ACCUMULATED LOSS) CARRIED FORWAD
|
------------
<2,458,987>
==========
|
------------
1,782,434
==========
|
|
RETAINED BY: The Company
|
<2,458,987>
|
1,782,434
|
|
|
------------
<2,458,987>
==========
|
------------
1,782,434
==========
|
|
INTEREST EXPENSE (as per notes to PL)
|
|
|
|
Term loan
|
637,349
|
570,795
|
|
Bank overdraft
|
64,070
|
33,729
|
|
|
|
|
|
Hire purchase
|
23,438
|
10,644
|
|
Other interest expenses
|
33,751
|
25,726
|
|
Intercompany credit facilities
|
1,299,135
|
1,643,639
|
|
|
------------
2,057,743
==========
|
------------
2,284,533
==========
|
BALANCE SHEET
|
HEIDELBERG MALAYSIA
SDN BHD
|
|
As At
31-March-2009
|
|
|
|
|
|
|
2009
|
2008
|
|
|
MYR
|
MYR
|
|
ASSET EMPLOYED:
|
|
|
|
FIXED ASSETS
|
1,257,686
|
1,910,270
|
|
TOTAL LONG TERM ASSETS
|
------------
1,257,686
|
------------
1,910,270
|
|
CURRENT ASSETS
|
|
|
|
|
Stocks
|
45,759,860
|
34,031,617
|
|
|
Trade debtors
|
34,071,324
|
48,304,370
|
|
|
Other debtors, deposits & prepayments
|
1,773,476
|
2,394,355
|
|
|
Short term deposits
|
1,820,000
|
-
|
|
|
Amount due from holding company
|
-
|
532,418
|
|
|
Amount due from subsidiary companies
|
347,627
|
5,134,624
|
|
|
Cash & bank balances
|
4,325,982
|
14,464,205
|
|
|
Tax recoverable
|
361,250
|
879,019
|
|
TOTAL CURRENT ASSETS
|
------------
88,459,519
|
------------
105,740,608
|
|
CURRENT LIABILITIES
|
|
|
|
|
Trade creditors
|
3,740,874
|
5,444,801
|
|
|
Other creditors & accruals
|
6,751,145
|
10,651,960
|
|
|
Hire purchase & lease creditors
|
151,818
|
199,975
|
|
|
Bank overdraft
|
5,286
|
2,524,076
|
|
|
Other borrowings
|
4,650,122
|
6,387,380
|
|
|
Bill & acceptances payable
|
13,000,000
|
7,003,000
|
|
|
Amounts owing to subsidiary companies
|
6,433,015
|
10,274,003
|
|
|
Amount due to ultimate holding company
|
44,955,489
|
49,834,700
|
|
|
Advances payment from customers
|
783,167
|
640,634
|
|
|
Provision for warranty
|
1,561,531
|
2,644,924
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL CURRENT LIABILITIES
|
------------
82,032,447
|
------------
95,605,453
|
|
NET CURRENT ASSETS/(LIABILITIES)
|
------------
6,427,072
|
------------
10,135,155
|
|
TOTAL NET ASSETS
|
------------
7,684,758
==========
|
------------
12,045,425
==========
|
|
FINANCED BY:
|
|
|
|
SHARE CAPITAL
|
|
|
|
|
Ordinary share capital
|
10,000,000
|
10,000,000
|
|
TOTAL SHARE CAPITAL
|
------------
10,000,000
|
------------
10,000,000
|
|
RESERVES
|
|
|
|
|
Retain profit/(Accumulated loss) carried forward
|
<2,458,987>
|
1,782,434
|
|
TOTAL RESERVES
|
------------
<2,458,987>
|
------------
1,782,434
|
|
SHAREHOLDERS' FUNDS/EQUITY
|
------------
7,541,013
|
------------
11,782,434
|
|
LONG TERM & DEFERRED LIABILITIES & PROVISIONS
|
|
|
|
|
Hire purchase creditors
|
143,745
|
262,991
|
|
TOTAL LONG TERM & DEFERRED LIABILITIES & PROVISIONS
|
------------
143,745
|
------------
262,991
|
|
|
------------
|
------------
|
|
|
7,684,758
|
12,045,425
|
|
|
==========
|
==========
|
|
|
|
|
|
FINANCIAL RATIOS
|
HEIDELBERG MALAYSIA
SDN BHD
|
|
As At
31-March-2009
|
|
|
2009
|
2008
|
|
|
MYR
|
MYR
|
|
TYPES OF FUNDS
|
|
|
|
|
Cash
|
6,145,982
|
14,464,205
|
|
|
Net Liquid Funds
|
6,140,696
|
11,940,129
|
|
|
Net Liquid Assets
|
<39,332,788>
|
<23,896,462>
|
|
|
Net Current Assets/(Liabilities)
|
6,427,072
|
10,135,155
|
|
|
Net Tangible Assets
|
7,684,758
|
12,045,425
|
|
|
Net Monetary Assets
|
<39,476,533>
|
<24,159,453>
|
|
|
|
|
|
|
BALANCE SHEET ITEMS
|
|
|
|
|
Total Borrowings
|
4,950,971
|
9,374,422
|
|
|
Total Liabilities
|
82,176,192
|
95,868,444
|
|
|
Total Assets
|
89,717,205
|
107,650,878
|
|
|
Net Assets
|
7,684,758
|
12,045,425
|
|
|
Net Assets Backing
|
7,541,013
|
11,782,434
|
|
|
Shareholders" Funds
|
7,541,013
|
11,782,434
|
|
|
Total Share Capital
|
10,000,000
|
10,000,000
|
|
|
Total Reserves
|
<2,458,987>
|
1,782,434
|
|
|
|
|
|
|
LIQUIDITY(Times)
|
|
|
|
|
Cash Ratio
|
0.07
|
0.15
|
|
|
Liquid Ratio
|
0.52
|
0.75
|
|
|
Current Ratio
|
1.08
|
1.11
|
|
|
|
|
|
|
WORKING CAPITAL CONTROL (Days)
|
|
|
|
|
Stock Ratio
|
159
|
81
|
|
|
Debtors Ratio
|
118
|
115
|
|
|
Creditors Ratio
|
13
|
13
|
|
|
|
|
|
|
SOLVENCY RATIOS (Times)
|
|
|
|
|
Gearing Ratio
|
0.66
|
0.80
|
|
|
Liabilities Ratio
|
10.90
|
8.14
|
|
|
Times Interest Earned Ratio
|
<1.06>
|
<0.08>
|
|
|
|
|
|
|
PERFORMANCE RATIO (%)
|
|
|
|
|
Operating Profit Margin
|
<4.03>
|
<1.62>
|
|
|
Net Profit Margin
|
<4.03>
|
<1.14>
|
|
|
Return On Net Assets
|
<28.42>
|
<1.60>
|
|
|
Return On Capital Employed
|
<27.85>
|
<1.30>
|
|
|
Return On Shareholders' Funds/Equity
|
<56.24>
|
<14.76>
|
|
|
Dividend Pay Out Ratio (Times)
|
0
|
0
|
|
|
|
|
|
|
NOTES TO ACCOUNTS
|
|
|
|
|
Contingent Liabilities
|
0.00
|
0.00
|
|
