|
* Adopted abbreviations : SC - Subject Company (the company enquired by you)
N/A
- Not Applicable
EXECUTIVE SUMMARY
|
REGISTRATION NO.
|
:
|
590864-H
|
|
COMPANY NAME
|
:
|
FARM TRACK SUPPLIERS SDN BHD
|
|
FORMER NAME
|
:
|
N/A
|
|
INCORPORATION DATE
|
:
|
27/08/2002
|
|
|
|
|
|
|
|
|
|
COMPANY STATUS
|
:
|
EXIST
|
|
LEGAL STATUS
|
:
|
PRIVATE LIMITED
|
|
LISTED STATUS
|
:
|
NO
|
|
|
|
|
|
|
|
|
|
REGISTERED ADDRESS
|
:
|
38, JALAN CHE WAN, 30250 IPOH, PERAK, MALAYSIA.
|
|
BUSINESS ADDRESS
|
:
|
131-133, JALAN BENDAHARA, 31650 IPOH, PERAK, MALAYSIA.
|
|
TEL.NO.
|
:
|
05-2542131
|
|
FAX.NO.
|
:
|
05-2542132
|
|
CONTACT PERSON
|
:
|
HO CHIANG KEEN ( DIRECTOR )
|
|
|
|
|
|
INDUSTRY CODE
|
:
|
50302
|
|
PRINCIPAL ACTIVITY
|
:
|
TRADING IN TRACTOR SPARE PARTS
|
|
AUTHORISED
CAPITAL
|
:
|
MYR 100,000.00
DIVIDED INTO
ORDINARY SHARE 100,000.00 OF MYR 1.00 EACH.
|
|
ISSUED AND
PAID UP CAPITAL
|
:
|
MYR 100,000.00
DIVIDED INTO
ORDINARY SHARES 100,000 CASH OF MYR 1.00 EACH.
|
|
|
|
|
|
SALES
|
:
|
MYR 7,374,962
[2009]
|
|
NET WORTH
|
:
|
MYR 595,594
[2009]
|
|
|
|
|
|
STAFF STRENGTH
|
:
|
15 [2011]
|
|
|
|
LITIGATION
|
:
|
CLEAR
|
|
DEFAULTER
CHECK
|
:
|
CLEAR
|
|
FINANCIAL
CONDITION
|
:
|
FAIR
|
|
PAYMENT
|
:
|
FAIR
|
|
MANAGEMENT
CAPABILITY
|
:
|
AVERAGE
|
|
|
|
|
|
COMMERCIAL RISK
|
:
|
MODERATE
|
|
CURRENCY EXPOSURE
|
:
|
MODERATE
|
|
GENERAL REPUTATION
|
:
|
SATISFACTORY
|
|
INDUSTRY OUTLOOK
|
:
|
MARGINAL GROWTH
|
|
PROPOSED CREDIT LIMIT
|
:
|
USD22,633.00
|
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) trading in tractor spare
parts.
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
|
|
MR. HO CHIANG KEEN +
|
6, JALAN HOR HOCK LUNG, CAMY PARK, 31650 IPOH, PERAK, MALAYSIA.
|
591020-08-5409
5697766
|
60,000.00
|
|
MS. LEE SIEW ENG +
|
6, JALAN HOR HOCK LUNG, CAMY PARK, 31650 IPOH, PERAK, MALAYSIA.
|
640717-04-5528
7441270
|
20,000.00
|
|
MR. THONG KOK HOONG +
|
12, JALAN LALUAN LAPANGAN 7, TAMAN SRI PERKASA, 31650 IPOH, PERAK,
MALAYSIA.
|
760102-08-5423
A3293980
|
20,000.00
|
|
|
|
|
---------------
|
|
|
|
|
100,000.00
|
|
|
|
|
============
|
+ Also Director
DIRECTORS
DIRECTOR 1
|
Name Of Subject
|
:
|
MS. LEE SIEW ENG
|
|
Address
|
:
|
6, JALAN HOR HOCK LUNG, CAMY PARK, 31650 IPOH, PERAK, MALAYSIA.
|
|
IC / PP No
|
:
|
7441270
|
|
New IC No
|
:
|
640717-04-5528
|
|
Date of Birth
|
:
|
17/07/1964
|
|
|
|
|
|
Nationality
|
:
|
MALAYSIAN CHINESE
|
|
Date of Appointment
|
:
|
27/08/2002
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
DIRECTOR 2
|
Name Of Subject
|
:
|
MR. THONG KOK HOONG
|
|
Address
|
:
|
12, JALAN LALUAN LAPANGAN 7, TAMAN SRI PERKASA, 31650 IPOH, PERAK,
MALAYSIA.
|
|
IC / PP No
|
:
|
A3293980
|
|
New IC No
|
:
|
760102-08-5423
|
|
Date of Birth
|
:
|
02/01/1976
|
|
|
|
|
|
Nationality
|
:
|
MALAYSIAN CHINESE
|
|
Date of Appointment
|
:
|
27/08/2002
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
DIRECTOR 3
|
Name Of Subject
|
:
|
MR. HO CHIANG KEEN
|
|
Address
|
:
|
6, JALAN HOR HOCK LUNG, CAMY PARK, 31650 IPOH, PERAK, MALAYSIA.
|
|
IC / PP No
|
:
|
5697766
|
|
New IC No
|
:
|
591020-08-5409
|
|
Date of Birth
|
:
|
20/10/1959
|
|
|
|
|
|
Nationality
|
:
|
MALAYSIAN CHINESE
|
|
Date of Appointment
|
:
|
27/08/2002
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
MANAGEMENT
|
1)
|
Name of Subject
|
:
|
HO CHIANG KEEN
|
|
|
Position
|
:
|
DIRECTOR
|
|
|
|
|
|
AUDITOR
|
Auditor
|
:
|
LLTC
|
|
Auditor' Address
|
:
|
37, LINTASAN PERAJURIT 6, TAMAN PERAK, 31400 IPOH, PERAK, MALAYSIA.
|
|
|
|
|
|
|
|
|
COMPANY SECRETARIES
|
1)
|
Company Secretary
|
:
|
MR. AU KENG ONN
|
|
|
IC / PP No
|
:
|
A3349380
|
|
|
New IC No
|
:
|
760409-08-6105
|
|
|
Address
|
:
|
2, DATARAN RAPAT BARU 16, TAMAN LAPANGAN MELODI, 31350 IPOH, PERAK,
MALAYSIA.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
BANKING
Banking relations are maintained principally with :
|
1)
|
Name
|
:
|
PUBLIC BANK 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
|
:
|
15/01/2010
|
|
Description Of Charge
|
:
|
FACILITIES AGREEMENT
|
|
Amount Secured
|
:
|
N/A
|
|
Description Of
Property Affected
|
:
|
1 UNIT SINGLE STOREY
SHOP TERRACE HOUSE KNOWN 7, SELASAR BENDAHARA IPOH PERAK HELD UNDER TITLE
DEED PJAKAN NEGERI 52204 LOT 1654S, BANDAR IPOH(S), KINTA, PERAK
|
|
Name &
Address Of Chargee
|
:
|
PUBLIC BANK
BHD
76, JALAN SULTAN IDRIS SHAH, 30000 IPOH, PERAK, MALAYSIA.
|
|
|
|
|
|
|
|
|
|
Form 40 Dated
18/01/2010
|
|
Registered and
Numbered 1 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
|
Percentage
|
:
|
60%
|
|
Overseas
|
:
|
YES
|
Percentage
|
:
|
40%
|
|
Import Countries
|
:
|
INDIA,TURKEY
|
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
|
:
|
100%
|
|
Domestic Markets
|
:
|
MALAYSIA
|
|
Overseas
|
:
|
NO
|
Percentage
|
:
|
0%
|
|
|
|
|
|
|
|
|
Credit Term
|
:
|
30 DAYS
|
|
|
|
|
|
|
|
|
Payment Mode
|
:
|
CHEQUES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
OPERATIONS
|
Goods Traded
|
:
|
TRACTOR SPARE PARTS & FITTINGS
|
|
|
|
|
|
Competitor(s)
|
:
|
CORIDA SDN BHD
FUNG KEONG RUBBER MANUFACTORY (MALAYA) SDN BHD
TRW AUTOMOTIVE SERVICES SDN BHD
YAP SWEE LEONG SDN BHD
YL TYRES SUPPLIES SDN BHD
|
|
|
|
|
|
Ownership of premises
|
:
|
LEASED/RENTED
|
|
Total Number of Employees:
|
|
|
YEAR
|
2011
|
2010
|
2009
|
2008
|
2007
|
|
|
|
|
|
|
|
GROUP
|
N/A
|
N/A
|
N/A
|
N/A
|
N/A
|
|
|
|
|
|
COMPANY
|
15
|
15
|
10
|
9
|
8
|
|
|
|
|
Other Information:
The SC is principally engaged in the (as a / as an) trading in tractor spare
parts.
Besides that the SC also provides products based on the customers'
requirements.
We were informed that the SC provides after sale services to its customers.
The SC has a warehouse located at thes ame premises to keep stocks.
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
|
:
|
052542131
|
|
Current Telephone Number
|
:
|
05-2542131
|
|
Match
|
:
|
YES
|
|
|
|
|
|
Address Provided by Client
|
:
|
131-133, JALAN BENDAHARA, 31650, IPOH, PERAK.
|
|
Current Address
|
:
|
131-133, JALAN BENDAHARA, 31650 IPOH, PERAK, MALAYSIA.
|
|
Match
|
:
|
YES
|
|
|
|
|
|
Latest Financial Accounts
|
:
|
YES
|
Other Investigations
We conducted an interview with Ms Lee from the SC's Admin Department and she
provided some information regarding to the SC.
FINANCIAL COMMENTS
Profitability:
|
Turnover
|
:
|
Increased
|
[
|
2007 - 2009
|
]
|
|
Profit/(Loss) Before Tax
|
:
|
Increased
|
[
|
2007 - 2009
|
]
|
|
Return on Shareholder Funds
|
:
|
Acceptable
|
[
|
24.20%
|
]
|
|
Return on Net Assets
|
:
|
Acceptable
|
[
|
27.11%
|
]
|
The SC's turnover increased steadily as the demand for its products /
services increased due to the goodwill built up over the years. The higher
profit could be attributed to the increase in turnover. The SC's management
had generated acceptable return for its shareholders using its assets.
Working Capital Control:
|
Stock Ratio
|
:
|
Favourable
|
[
|
53 Days
|
]
|
|
Debtors Ratio
|
:
|
Unfavourable
|
[
|
90 Days
|
]
|
|
Creditors Ratio
|
:
|
Unfavourable
|
[
|
150 Days
|
]
|
The SC's stocks were moving fast thus reducing its holding cost. This had
reduced funds being tied up in 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
|
:
|
Unfavourable
|
[
|
0.80 Times
|
]
|
|
Current Ratio
|
:
|
Unfavourable
|
[
|
1.07 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
|
:
|
Favourable
|
[
|
20.72 Times
|
]
|
|
Gearing Ratio
|
:
|
Favourable
|
[
|
0.22 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 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:
Generally, the
SC's performance has improved with higher turnover and profit. 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. With the favourable interest cover, the SC could be
able to service all the accrued interest without facing any difficulties. 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
|
|
50302 : Wholesale of parts and accessories for industrial and
commercial vehicle
|
|
|
|
|
INDUSTRY :
|
MOTOR VECHICLE
|
|
|
|
|
|
|
Local sales of new vehicles in March 2011 surged 56.6 per cent, or 22,878 units,
to an all-time high of 63,265 units over the February figure.
|
|
According to the Malaysian Automotive Association (MAA), the figure was
12.7 per cent more than March 2010. However, the sales volume for April
2011 would moderate and was expected to be lower than March.
|
|
The strong sales seen in March 2011 was unusual and the adjustments of
production from the impact of the catastrophe in Japan might start to
affect supply. The sales volume for the first three months of the year 2011
increased by 7.5 per cent over the same period of year 2010.
|
|
The longer working month in March and rush for deliveries or invoicing by
companies having financial year ending on March 31 caused the higher sales
growth. Beside that, fear and anticipation of a possible short supply and
higher prices of motor vehicles caused by the catastrophe in Japan could
have also resulted in consumers buying forward.
|
|
The vehicle production in March 2011 increased to 53,124 units from the 51,579
units registered in March 2010. The passenger vehicle production in March
2011 moved up to 49,118 units from the 47,729 units seen in the same period
of 2010 while commercial vehicle production increased to 4,006 units from
3,850 units.
|
|
|
|
|
OVERALL INDUSTRY OUTLOOK : Marginal Growth
|
COMMENTS & RECOMMENDATION
|
The SC was established in year 2002 and principally engaged in
trading of tractor spare parts. Over its years of establishment, the SC has
been building up contacts with its clients and competing in the industry.
Being a small company with a share capital of RM100,000 contributed from
individual shareholders, the SC does not have strong shareholders' backing.
The SC should put more efforts on its business to gain higher market share
while competing aggressively in the market.
|
|
At present, the local market remains the SC's biggest market. It depends
solely on the sales in the domestic market to achieve its profitability.
With the only concentration in the local market, the SC is vulnerable to
the changes in the local events. However, we noted that the demand for the
SC's products is on the rise due to the continuing growth of its sales
volume and profitability. Hence, the SC's business potential remains
favourable. Headed by its Director, Ho Chiang Keen, the SC's business
operation is supported by 15 employees. Overall, we regard that the SC's
management capability is average.
|
|
During the financial year under review, the SC's turnover continued on an
upward momentum, reaching RM7.37 million compared to RM6.87 million
previously. Correspondingly, its pre-tax profit rose by 33.24% to
RM182,990. This was achieved on the back of stronger performance of higher
turnover. Based on the higher profitability, the SC has generated a
favourable return based on its existing shareholders' funds which indicated
that the management was efficient in utilising its funds to generate
income. 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. A lowgearing ratio has
minimised the SC's financial risk. Overall, the SC is financially fair.
|
|
Investigation revealed that the SC sources its raw materials from both
local and overseas countries. About 40% of the SC's products are imported
from India and Turkey. As a result, the SC is exposed to foreign currency
fluctuation risk.
|
|
Based on the historical financial data, we concluded that the SC's payment
habit is FAIR due to its high creditor ratio.
|
|
The potential growth for the industry is marginal and it is quite
competitive. It very much depends on the SC's capability in sustaining its performance
in the market. The rising in its sales volume and profitability implied
that the SC is able to adapt the ever-changing in the market.
|
|
Based on the above condition, we recommend credit be granted to the SC
normally.
|
PROFIT AND LOSS ACCOUNT
|
THE FINANCIAL
STATEMENTS WERE PREPARED IN ACCORDANCE WITH MALAYSIA ACCOUNTING STANDARD.
|
|
FARM TRACK
SUPPLIERS SDN BHD
|
|
For The Year
Ended 31-December-2009
|
|
|
|
|
|
|
|
2009
|
2008
|
2007
|
|
|
MYR
|
MYR
|
MYR
|
|
|
|
|
|
|
|
|
|
|
|
TURNOVER
|
7,374,962
|
6,877,961
|
6,491,073
|
|
|
==========
|
==========
|
==========
|
|
PROFIT/(LOSS) FROM OPERATIONS
|
182,990
|
137,333
|
123,040
|
|
|
|
|
|
|
|
------------
|
------------
|
------------
|
|
PROFIT/(LOSS) BEFORE TAXATION
|
182,990
|
137,333
|
123,040
|
|
Taxation
|
<38,840>
|
<34,699>
|
<34,515>
|
|
PROFIT/(LOSS) AFTER TAXATION
|
------------
144,150
|
------------
102,634
|
------------
88,525
|
|
|
|
|
|
|
|
|
|
|
|
PROFIT/(LOSS) BEFORE EXTRAORDINARY ITEMS
|
------------
144,150
|
------------
102,634
|
------------
88,525
|
|
|
|
|
|
|
PROFIT/(LOSS) ATTRIBUTABLE TO SHAREHOLDERS
RETAINED PROFIT/(ACCUMULATED LOSS) BROUGHT FORWARD
|
------------
144,150
|
------------
102,634
|
------------
88,525
|
|
As previous reported
|
351,444
|
248,810
|
160,285
|
|
|
|
|
|
|
As restated
|
------------
351,444
|
------------
248,810
|
------------
160,285
|
|
|
------------
|
------------
|
------------
|
|
PROFIT AVAILABLE FOR APPROPRIATIONS
|
495,594
|
351,444
|
248,810
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
RETAINED PROFIT/(ACCUMULATED LOSS) CARRIED FORWAD
|
------------
495,594
==========
|
------------
351,444
==========
|
------------
248,810
==========
|
|
RETAINED BY: The Company
|
495,594
|
351,444
|
248,810
|
|
|
|
|
|
|
|
|
|
|
|
|
------------
495,594
==========
|
------------
351,444
==========
|
------------
248,810
==========
|
|
INTEREST EXPENSE (as per notes to PL)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Hire purchase
|
9,280
|
10,740
|
14,249
|
|
|
------------
9,280
==========
|
------------
10,740
==========
|
------------
14,249
==========
|
|
|
|
|
|
BALANCE SHEET
|
FARM TRACK
SUPPLIERS SDN BHD
|
|
As At
31-December-2009
|
|
|
|
|
|
|
|
2009
|
2008
|
2007
|
|
|
MYR
|
MYR
|
MYR
|
|
|
|
|
|
|
|
ASSET EMPLOYED:
|
|
|
|
|
FIXED ASSETS
|
442,444
|
324,160
|
378,990
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL LONG TERM ASSETS
|
------------
442,444
|
------------
324,160
|
------------
378,990
|
|
|
|
|
|
|
|
CURRENT ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stocks
|
1,067,538
|
889,529
|
635,457
|
|
|
|
|
|
|
|
|
Trade debtors
|
1,816,552
|
1,680,641
|
1,849,530
|
|
|
Other debtors, deposits & prepayments
|
15,409
|
11,250
|
12,656
|
|
|
Short term deposits
|
118,961
|
116,366
|
112,911
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash & bank balances
|
1,215,668
|
347,752
|
865,474
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL CURRENT ASSETS
|
------------
4,234,128
|
------------
3,045,538
|
------------
3,476,028
|
|
|
|
|
|
|
|
CURRENT LIABILITIES
|
|
|
|
|
|
Trade creditors
|
3,025,955
|
1,840,309
|
2,297,278
|
|
|
Other creditors & accruals
|
52,649
|
42,882
|
58,800
|
|
|
Hire purchase & lease creditors
|
28,015
|
47,106
|
45,925
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Amounts owing to director
|
847,019
|
797,880
|
886,264
|
|
|
Provision for taxation
|
13,800
|
13,499
|
11,515
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL CURRENT LIABILITIES
|
------------
3,967,438
|
------------
2,741,676
|
------------
3,299,782
|
|
NET CURRENT ASSETS/(LIABILITIES)
|
------------
266,690
|
------------
303,862
|
------------
176,246
|
|
TOTAL NET ASSETS
|
------------
709,134
==========
|
------------
628,022
==========
|
------------
555,236
==========
|
|
|
|
|
|
|
|
FINANCED BY:
|
|
|
|
|
|
|
|
|
|
|
SHARE CAPITAL
|
|
|
|
|
|
Ordinary share capital
|
100,000
|
100,000
|
100,000
|
|
|
|
|
|
|
|
TOTAL SHARE CAPITAL
|
------------
100,000
|
------------
100,000
|
------------
100,000
|
|
|
|
|
|
|
|
RESERVES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Retain profit/(Accumulated loss) carried forward
|
495,594
|
351,444
|
248,810
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL RESERVES
|
------------
495,594
|
------------
351,444
|
------------
248,810
|
|
SHAREHOLDERS' FUNDS/EQUITY
|
------------
595,594
|
------------
451,444
|
------------
348,810
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LONG TERM & DEFERRED LIABILITIES & PROVISIONS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Hire purchase creditors
|
101,540
|
160,578
|
187,426
|
|
|
Deferred taxation
|
12,000
|
16,000
|
19,000
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL LONG TERM & DEFERRED LIABILITIES & PROVISIONS
|
------------
113,540
|
------------
176,578
|
------------
206,426
|
|
|
------------
|
------------
|
------------
|
|
|
709,134
|
628,022
|
555,236
|
|
|
==========
|
==========
|
==========
|
|
|
|
|
|
|
FINANCIAL RATIOS
|
FARM TRACK
SUPPLIERS SDN BHD
|
|
As At
31-December-2009
|
|
|
|
|
|
|
|
2009
|
2008
|
2007
|
|
|
MYR
|
MYR
|
MYR
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TYPES OF FUNDS
|
|
|
|
|
|
Cash
|
1,334,629
|
464,118
|
978,385
|
|
|
Net Liquid Funds
|
1,334,629
|
464,118
|
978,385
|
|
|
Net Liquid Assets
|
<800,848>
|
<585,667>
|
<459,211>
|
|
|
Net Current Assets/(Liabilities)
|
266,690
|
303,862
|
176,246
|
|
|
Net Tangible Assets
|
709,134
|
628,022
|
555,236
|
|
|
Net Monetary Assets
|
<914,388>
|
<762,245>
|
<665,637>
|
|
|
|
|
|
|
|
BALANCE SHEET ITEMS
|
|
|
|
|
|
Total Borrowings
|
129,555
|
207,684
|
233,351
|
|
|
Total Liabilities
|
4,080,978
|
2,918,254
|
3,506,208
|
|
|
Total Assets
|
4,676,572
|
3,369,698
|
3,855,018
|
|
|
Net Assets
|
709,134
|
628,022
|
555,236
|
|
|
Net Assets Backing
|
595,594
|
451,444
|
348,810
|
|
|
Shareholders" Funds
|
595,594
|
451,444
|
348,810
|
|
|
Total Share Capital
|
100,000
|
100,000
|
100,000
|
|
|
Total Reserves
|
495,594
|
351,444
|
248,810
|
|
|
|
|
|
|
|
LIQUIDITY(Times)
|
|
|
|
|
|
Cash Ratio
|
0.34
|
0.17
|
0.30
|
|
|
Liquid Ratio
|
0.80
|
0.79
|
0.86
|
|
|
Current Ratio
|
1.07
|
1.11
|
1.05
|
|
|
|
|
|
|
|
WORKING CAPITAL CONTROL (Days)
|
|
|
|
|
|
Stock Ratio
|
53
|
47
|
36
|
|
|
Debtors Ratio
|
90
|
89
|
104
|
|
|
Creditors Ratio
|
150
|
98
|
129
|
|
|
|
|
|
|
|
SOLVENCY RATIOS (Times)
|
|
|
|
|
|
Gearing Ratio
|
0.22
|
0.46
|
0.67
|
|
|
Liabilities Ratio
|
6.85
|
6.46
|
10.05
|
|
|
Times Interest Earned Ratio
|
20.72
|
13.79
|
9.63
|
|
|
|
|
|
|
|
PERFORMANCE RATIO (%)
|
|
|
|
|
|
Operating Profit Margin
|
2.48
|
2.00
|
1.90
|
|
|
Net Profit Margin
|
1.95
|
1.49
|
1.36
|
|
|
Return On Net Assets
|
27.11
|
23.58
|
24.73
|
|
|
Return On Capital Employed
|
26.08
|
21.93
|
22.84
|
|
|
Return On Shareholders' Funds/Equity
|
24.20
|
22.73
|
25.38
|
|
|
Dividend Pay Out Ratio (Times)
|
0
|
0
|
0
|
|
|
|
|
|
|
|
NOTES TO ACCOUNTS
|
|
|
|
|
|
Contingent Liabilities
|
0.00
|
0.00
|
0.00
|
|
|
|
|
|
|
|
|
|
