|
* Adopted abbreviations : SC
- Subject Company (the company enquired by you)
N/A
- Not Applicable
EXECUTIVE SUMMARY
|
REGISTRATION NO.
|
:
|
149575-T
|
|
COMPANY NAME
|
:
|
KALMART SYSTEMS (M) SDN BHD
|
|
FORMER NAME
|
:
|
MALPALM PRODUCTS SDN BHD (13/08/1990)
|
|
INCORPORATION DATE
|
:
|
15/01/1986
|
|
|
|
|
|
|
|
|
|
COMPANY STATUS
|
:
|
EXIST
|
|
LEGAL STATUS
|
:
|
PRIVATE LIMITED
|
|
LISTED STATUS
|
:
|
NO
|
|
|
|
|
|
|
|
|
|
REGISTERED ADDRESS
|
:
|
SHERATON IMPERIAL COURT, JALAN SULTAN ISMAIL, LEVEL 15-2, 50250
KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.
|
|
BUSINESS ADDRESS
|
:
|
7, JALAN TERASEK 8, BANGSAR BARU, 59100 KUALA LUMPUR, WILAYAH PERSEKUTUAN,
MALAYSIA.
|
|
TEL.NO.
|
:
|
03-22844776
|
|
FAX.NO.
|
:
|
03-22849059
|
|
CONTACT PERSON
|
:
|
NAVNITALAL S/O VRAJILAL ( MANAGING DIRECTOR )
|
|
|
|
|
|
INDUSTRY CODE
|
:
|
51212
|
|
PRINCIPAL ACTIVITY
|
:
|
TRADING IN OIL PALM PRODUCT AND RELATED ACTIVITIES
|
|
AUTHORISED CAPITAL
|
:
|
MYR
5,000,000.00 DIVIDED INTO
ORDINARY SHARE 5,000,000.00 OF MYR 1.00 EACH.
|
|
ISSUED AND PAID UP CAPITAL
|
:
|
MYR
2,000,000.00 DIVIDED INTO
ORDINARY SHARES 555,000 CASH AND 1,445,000 OTHERWISE OF MYR 1.00 EACH.
|
|
|
|
|
|
SALES
|
:
|
MYR
230,945,724 [2009]
|
|
NET WORTH
|
:
|
MYR 4,114,413 [2009]
|
|
|
|
|
|
STAFF STRENGTH
|
:
|
5 [2011]
|
|
|
|
LITIGATION
|
:
|
CLEAR
|
|
DEFAULTER CHECK
|
:
|
CLEAR
|
|
FINANCIAL CONDITION
|
:
|
FAIR
|
|
PAYMENT
|
:
|
GOOD
|
|
MANAGEMENT CAPABILITY
|
:
|
AVERAGE
|
|
|
|
|
|
COMMERCIAL RISK
|
:
|
MODERATE
|
|
CURRENCY EXPOSURE
|
:
|
MODERATE
|
|
GENERAL REPUTATION
|
:
|
SATISFACTORY
|
|
INDUSTRY OUTLOOK
|
:
|
STRONG GROWTH
|
|
PROPOSED CREDIT LIMIT
|
:
|
USD56,912
|
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 oil palm product
and related activities.
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. NAVNITALAL S/O VRAJILAL +
|
16, JALAN TERASEK 7, BANGSAR BARU, 59100 KUALA LUMPUR, WILAYAH
PERSEKUTUAN, MALAYSIA.
|
560901-04-5085
5008847
|
1,694,950.00
|
|
MS. MADHU BALA D/O GANDALAL +
|
16, JALAN TERASEK 7, BANGSAR BARU, 59100 KUALA LUMPUR, WILAYAH
PERSEKUTUAN, MALAYSIA.
|
630308-08-6506
7011042
|
305,050.00
|
|
|
|
|
---------------
|
|
|
|
|
2,000,000.00
|
|
|
|
|
============
|
+ Also Director
DIRECTORS
DIRECTOR 1
|
Name Of Subject
|
:
|
MS. MADHU BALA D/O GANDALAL
|
|
Address
|
:
|
16, JALAN TERASEK 7, BANGSAR BARU, 59100 KUALA LUMPUR, WILAYAH
PERSEKUTUAN, MALAYSIA.
|
|
IC / PP No
|
:
|
7011042
|
|
New IC No
|
:
|
630308-08-6506
|
|
Date of Birth
|
:
|
08/03/1963
|
|
|
|
|
|
Nationality
|
:
|
MALAYSIAN INDIAN
|
|
Date of Appointment
|
:
|
24/05/1993
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
DIRECTOR 2
|
Name Of Subject
|
:
|
MR. NAVNITALAL S/O VRAJILAL
|
|
Address
|
:
|
16, JALAN TERASEK 7, BANGSAR BARU, 59100 KUALA LUMPUR, WILAYAH
PERSEKUTUAN, MALAYSIA.
|
|
IC / PP No
|
:
|
5008847
|
|
New IC No
|
:
|
560901-04-5085
|
|
Date of Birth
|
:
|
01/09/1956
|
|
|
|
|
|
Nationality
|
:
|
MALAYSIAN INDIAN
|
|
Date of Appointment
|
:
|
19/02/1992
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
MANAGEMENT
|
1)
|
Name of Subject
|
:
|
NAVNITALAL S/O VRAJILAL
|
|
|
Position
|
:
|
MANAGING DIRECTOR
|
|
|
|
|
|
AUDITOR
|
Auditor
|
:
|
SJ GRANT THORNTON
|
|
Auditor' Address
|
:
|
FABER IMPERIAL COURT, JALAN SULTAN ISMAIL, LEVEL 11-1, 50774 KUALA LUMPUR,
WILAYAH PERSEKUTUAN, MALAYSIA.
|
|
|
|
|
|
|
|
|
COMPANY SECRETARIES
|
1)
|
Company Secretary
|
:
|
MS. LIM SECK WAH
|
|
|
IC / PP No
|
:
|
5878183
|
|
|
New IC No
|
:
|
591223-02-5430
|
|
|
Address
|
:
|
41, JALAN TAMING INDAH 2, TAMAN TAMING INDAH, BANDAR SUNGAI LONG,
43000 KAJANG, SELANGOR, MALAYSIA.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2)
|
Company Secretary
|
:
|
MR. M CHANDRASEGARAN S/O S MURUGASU
|
|
|
IC / PP No
|
:
|
5573205
|
|
|
New IC No
|
:
|
581020-06-5169
|
|
|
Address
|
:
|
1, JALAN SS 18/1, 47500 SUBANG JAYA, SELANGOR, MALAYSIA.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
BANKING
Banking relations are maintained principally with :
|
1)
|
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
|
:
|
02/10/2003
|
|
Description Of Charge
|
:
|
N/A
|
|
Amount Secured
|
:
|
O/D
|
|
Description Of Property Affected
|
:
|
N/A
|
|
Name & Address Of Chargee
|
:
|
HSBC BANK MALAYSIA BHD
|
|
|
|
|
|
|
|
|
|
Form 40 Dated
|
|
Registered and Numbered 1 In The Register of Charges
|
ENCUMBRANCE 2
|
Date of Creation
|
:
|
22/04/2005
|
|
Description Of Charge
|
:
|
N/A
|
|
Amount Secured
|
:
|
RM4,350,000.00
|
|
Description Of Property Affected
|
:
|
N/A
|
|
Name & Address Of Chargee
|
:
|
AFFIN BANK BHD
|
|
|
|
|
|
|
|
|
|
Form 40 Dated
|
|
Registered and Numbered 2 In The Register of Charges
|
ENCUMBRANCE 3
|
Date of Creation
|
:
|
04/07/2005
|
|
Description Of Charge
|
:
|
N/A
|
|
Amount Secured
|
:
|
RM4,350,000.00
|
|
Description Of Property Affected
|
:
|
N/A
|
|
Name & Address Of Chargee
|
:
|
AFFIN BANK BHD
|
|
|
|
|
|
|
|
|
|
Form 40 Dated
|
|
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
|
[
|
X
|
]
|
|
Average 61-90 Days
|
[
|
|
]
|
|
|
Fair 91-120 Days
|
[
|
|
]
|
|
Poor >120 Days
|
[
|
|
]
|
|
|
|
|
|
|
CLIENTELE
|
Local
|
:
|
YES
|
|
Domestic Markets
|
:
|
MALAYSIA
|
|
Overseas
|
:
|
YES
|
|
|
|
|
Export Market
|
:
|
ASIA, MIDDLE EAST
|
|
Credit Term
|
:
|
30 DAYS
|
|
|
|
|
|
|
|
|
Payment Mode
|
:
|
CHEQUES,TELEGRAPHIC TRANSFER (TT)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
OPERATIONS
|
Goods Traded
|
:
|
PALM KERNEL/REFINED PALM OIL, SOAP NOODLES, PALM STEARINE,
SHORTENING
|
|
|
|
|
|
Competitor(s)
|
:
|
AMBROSIA SDN
BHD
CARGILL SPECIALTY OILS & FATS SDN BHD
LEGEND EXPORTS SDN BHD
MITSHUBISHI CORPORATION
SIME DARBY FUTURES TRADING SDN BHD
|
|
|
|
|
|
Member(s) / Affiliate(s)
|
:
|
MALAYSIA
EXTERNAL TRADE DEVELOPMENT CORPORATION (MATRADE)
|
|
|
|
|
|
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
|
5
|
5
|
5
|
5
|
6
|
|
|
|
|
Other Information:
The SC is principally engaged in the (as a / as an) trading in oil palm
product and related activities.
We were informed that the mainly focuses on crude palm oil (CPO) and palm
kernel oil.
The SC's product are mainly used for making cooking oil, vegetable fats,
edible oil and others.
The SC's normally sells the products in bulk which is refill in drums or
plastic containers which is based on the customers' requirements.
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 22844619, 22844776, 22848616
|
|
Current Telephone Number
|
:
|
03-22844776
|
|
Match
|
:
|
YES
|
|
|
|
|
|
Address Provided by Client
|
:
|
7, JALAN TERASEK 8, BANGSAR BARU, 59100, KUALA LUMPUR, WILAYAH PERSEKUTUAN.
|
|
Current Address
|
:
|
7, JALAN TERASEK 8, BANGSAR BARU, 59100 KUALA LUMPUR, WILAYAH
PERSEKUTUAN, MALAYSIA.
|
|
Match
|
:
|
YES
|
|
|
|
|
|
Latest Financial Accounts
|
:
|
YES
|
Other Investigations
We contacted one of the staff from the Admin Department. She provided some
information on the SC.
FINANCIAL COMMENTS
Profitability:
|
Turnover
|
:
|
Erratic
|
[
|
2007 - 2009
|
]
|
|
Profit/(Loss) Before Tax
|
:
|
Decreased
|
[
|
2007 - 2009
|
]
|
|
Return on Shareholder Funds
|
:
|
Unfavourable
|
[
|
8.61%
|
]
|
|
Return on Net Assets
|
:
|
Acceptable
|
[
|
22.40%
|
]
|
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 unfavourable return
on shareholders' funds and net assets could indicate that the SC's management
was inefficient in utilising its assets to generate
returns.
Working Capital Control:
|
Stock Ratio
|
:
|
Nil
|
[
|
0 Days
|
]
|
|
Debtors Ratio
|
:
|
Favourable
|
[
|
31 Days
|
]
|
|
Creditors
Ratio
|
:
|
Favourable
|
[
|
25 Days
|
]
|
As the SC is a service oriented company, the SC does not need to keep 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
|
:
|
Favourable
|
[
|
1.05 Times
|
]
|
|
Current Ratio
|
:
|
Unfavourable
|
[
|
1.05 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
|
:
|
Unfavourable
|
[
|
1.94 Times
|
]
|
|
Gearing Ratio
|
:
|
Favourable
|
[
|
0.05 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 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. 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 : 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
|
|
51212 : Wholesale of palm oil
|
|
|
|
|
INDUSTRY :
|
PALM OIL
|
|
|
|
|
|
|
Inventory levels and the La Nina weather patterns will determine the price
of palm oil, which hit a 30-month high on 13 December 2010 while Crude palm
oil (CPO) for February delivery rose RM89 to close at RM3,722. The prices
expect to be firm over the next few months on sustained demand due to
end-year festivities and the coming Chinese New Year holidays despite
Malaysian plantations going into a production down-cycle after hitting a
peak in October.
|
|
Inventory in November 2010, which stood at 1.63 million tonnes,
was 15.4% lower than a year ago. Besides, wetter weather conditions going
into the first quarter of 2011 as a result of the La Nina weather patterns
could still affect the planting season and therefore prices going forward.
|
|
The CPO prices to be firm over the next few months on sustained demand due
to end-year festivities and will hover around the RM3,000 to RM3,500 levels
by the middle of year 2011.
|
|
According to the Malaysian Palm Oil Board, CPO production in November, at
1.45 million tonnes, was 8.6% lower than a year
ago and 10.8% down from October, where there was a recovery despite the
weather conditions, while year-to-date, it was 1.8% weaker than last year.
While exports registered a slight 0.1% decline from a year ago, it
recovered on a month-on-month basis and year-to-date, was up 4.8% compared
to the same period in year 2009.
|
|
Inventories would depend on demand and the weather. The weather conditions
would be like six months down the road but the current weather conditions
were not normal. It's not normal to see the flooding that we've seen in the
northern part of the peninsula or the extreme cold conditions in Europe.
|
|
In a report that the November data was the worst November performance since
2005. While investors should watch out for softening prices starting from
mid-2011, there is no any urgency to underweight the sector at this point
in time as palm oil price should remain relatively firm given that the
supply tightness will persist in the next few months.
|
|
The house's average CPO price expectation of RM2,700 per tonne for next year on expectations of a potential
bumper harvest in the second-half while for 2010, the CPO price was on
track to hit an average price of RM2,700.
|
|
|
|
|
OVERALL INDUSTRY OUTLOOK : Strong Growth
|
COMMENTS & RECOMMENDATION
|
Incorporated in 1986, the SC is a private limited company which focusing
on trading of oil palm products and related products. We were informed that
it is mainly focuses on crude palm oil (CPO) and palm kernel oil that are
mainly used for making cooking oil, vegetable fats, edible oil and others.
With over 2 decades of experience in the business, the SC has fairly rich
experiences in the business and has achieved a certain market share. With
RM2 million in issued and paid up capital, the SC has the potential of
capturing a higher market shares as it is competing aggressively in the
market.
|
|
Our investigation revealed that the SC serves both local and overseas
clients. Penetrating into the overseas countries such as Asia and Middle
East has well diversified its business risk and at the same time added
strength to its capabilities in capturing higher market shares. The
management of the SC is overseen by its managing director, Navnitalal and assisted by 5 staff in the operations.
Overall the management capability of the SC is average.
|
|
In year 2009, the SC's turnover has moderated to RM230.94 million whilst
its pre-tax profit dropped to RM467,097, in view of decline in margin as a
result of a challenging and competitive business environment. Return on
shareholders' funds of the SC was low which indicated that the management
was inefficient in utilising its funds to
generate income. The SC however managed to maintain an adequate liquidity
level, indicating that the SC has the ability to meet its financial
obligations. Besides, 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. Overall, the SC had a fair financial
performance in year 2009.
|
|
The SC sources its raw materials locally and internationally. Being
involved in import and export activities, the SC is exposed to foreign
currency risk. Having been in the industry for over two decades, the SC has
built up its rapport with its suppliers. As a result, the SC has reduced
its risk in facing shortage of raw materials.
|
|
Based on our historical financial data, we concluded that the SC's pattern
of payment habit is good. This implies good credit control and the SC could
be taking advantage of the cash discounts while maintaining a good
reputation with its creditors.
|
|
The industry remains robust with continuing strong global demand for its
products. With the promising outlook of the industry performance, the SC's
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.
|
|
KALMART
SYSTEMS (M) SDN BHD
|
|
For The Year
Ended 31-December-2009
|
|
|
|
|
|
|
|
2009
|
2008
|
2007
|
|
|
MYR
|
MYR
|
MYR
|
|
|
|
|
|
|
|
|
|
|
|
TURNOVER
|
230,945,724
|
342,296,094
|
186,315,533
|
|
|
==========
|
==========
|
==========
|
|
PROFIT/(LOSS) FROM OPERATIONS
|
467,097
|
783,057
|
363,367
|
|
|
|
|
|
|
|
------------
|
------------
|
------------
|
|
PROFIT/(LOSS) BEFORE TAXATION
|
467,097
|
783,057
|
363,367
|
|
Taxation
|
<113,000>
|
<188,767>
|
<86,794>
|
|
PROFIT/(LOSS) AFTER TAXATION
|
------------
354,097
|
------------
594,290
|
------------
276,573
|
|
|
|
|
|
|
|
|
|
|
|
PROFIT/(LOSS) BEFORE EXTRAORDINARY ITEMS
|
------------
354,097
|
------------
594,290
|
------------
276,573
|
|
|
|
|
|
|
PROFIT/(LOSS) ATTRIBUTABLE TO SHAREHOLDERS
RETAINED PROFIT/(ACCUMULATED LOSS) BROUGHT FORWARD
|
------------
354,097
|
------------
594,290
|
------------
276,573
|
|
As previous reported
|
1,760,316
|
1,166,026
|
889,453
|
|
|
|
|
|
|
As restated
|
------------
1,760,316
|
------------
1,166,026
|
------------
889,453
|
|
|
------------
|
------------
|
------------
|
|
PROFIT AVAILABLE FOR APPROPRIATIONS
|
2,114,413
|
1,760,316
|
1,166,026
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
RETAINED PROFIT/(ACCUMULATED LOSS) CARRIED FORWAD
|
------------
2,114,413
==========
|
------------
1,760,316
==========
|
------------
1,166,026
==========
|
|
RETAINED BY: The Company
|
2,114,413
|
1,760,316
|
1,166,026
|
|
|
|
|
|
|
|
|
|
|
|
|
------------
2,114,413
==========
|
------------
1,760,316
==========
|
------------
1,166,026
==========
|
|
INTEREST EXPENSE (as per notes to PL)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Hire purchase
|
6,075
|
5,176
|
1,856
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Bankers acceptance
|
489,239
|
3,420,334
|
1,888,039
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
------------
495,314
==========
|
------------
3,425,510
==========
|
------------
1,889,895
==========
|
|
|
|
|
|
BALANCE SHEET
|
KALMART
SYSTEMS (M) SDN BHD
|
|
As At
31-December-2009
|
|
|
|
|
|
|
|
2009
|
2008
|
2007
|
|
|
MYR
|
MYR
|
MYR
|
|
|
|
|
|
|
|
ASSET EMPLOYED:
|
|
|
|
|
FIXED ASSETS
|
273,828
|
373,553
|
154,311
|
|
LONG TERM INVESTMENTS/OTHER ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fixed deposits with licensed banks
|
2,659,725
|
2,601,035
|
2,511,279
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL LONG TERM INVESTMENTS/OTHER ASSETS
|
------------
2,659,725
|
------------
2,601,035
|
------------
2,511,279
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL LONG TERM ASSETS
|
------------
2,933,553
|
------------
2,974,588
|
------------
2,665,590
|
|
|
|
|
|
|
|
CURRENT ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Trade debtors
|
19,867,967
|
13,033,777
|
23,134,189
|
|
|
Other debtors, deposits & prepayments
|
55,403
|
1,017,767
|
312,067
|
|
|
Short term deposits
|
2,000,000
|
1,900,000
|
-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash & bank balances
|
7,319,220
|
1,508,535
|
634,142
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL CURRENT ASSETS
|
------------
29,242,590
|
------------
17,460,079
|
------------
24,080,398
|
|
|
|
|
|
|
|
CURRENT LIABILITIES
|
|
|
|
|
|
Trade creditors
|
15,683,264
|
14,530,684
|
13,132,980
|
|
|
Other creditors & accruals
|
645,205
|
1,692,850
|
1,020,255
|
|
|
Hire purchase & lease creditors
|
36,432
|
34,718
|
11,703
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Bill & acceptances payable
|
11,412,712
|
-
|
9,306,000
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Amounts owing to director
|
60,000
|
100,000
|
70,000
|
|
|
Provision for taxation
|
41,138
|
96,550
|
25,824
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL CURRENT LIABILITIES
|
------------
27,878,751
|
------------
16,454,802
|
------------
23,566,762
|
|
NET CURRENT ASSETS/(LIABILITIES)
|
------------
1,363,839
|
------------
1,005,277
|
------------
513,636
|
|
TOTAL NET ASSETS
|
------------
4,297,392
==========
|
------------
3,979,865
==========
|
------------
3,179,226
==========
|
|
|
|
|
|
|
|
FINANCED BY:
|
|
|
|
|
|
|
|
|
|
|
SHARE CAPITAL
|
|
|
|
|
|
Ordinary share capital
|
2,000,000
|
2,000,000
|
2,000,000
|
|
|
|
|
|
|
|
TOTAL SHARE CAPITAL
|
------------
2,000,000
|
------------
2,000,000
|
------------
2,000,000
|
|
|
|
|
|
|
|
RESERVES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Retain profit/(Accumulated loss) carried forward
|
2,114,413
|
1,760,316
|
1,166,026
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL RESERVES
|
------------
2,114,413
|
------------
1,760,316
|
------------
1,166,026
|
|
SHAREHOLDERS' FUNDS/EQUITY
|
------------
4,114,413
|
------------
3,760,316
|
------------
3,166,026
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LONG TERM & DEFERRED LIABILITIES & PROVISIONS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Hire purchase creditors
|
169,779
|
206,349
|
-
|
|
|
Deferred taxation
|
13,200
|
13,200
|
13,200
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL LONG TERM & DEFERRED LIABILITIES & PROVISIONS
|
------------
182,979
|
------------
219,549
|
------------
13,200
|
|
|
------------
|
------------
|
------------
|
|
|
4,297,392
|
3,979,865
|
3,179,226
|
|
|
==========
|
==========
|
==========
|
|
|
|
|
|
|
FINANCIAL RATIOS
|
KALMART
SYSTEMS (M) SDN BHD
|
|
As At
31-December-2009
|
|
|
|
|
|
|
|
2009
|
2008
|
2007
|
|
|
MYR
|
MYR
|
MYR
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TYPES OF FUNDS
|
|
|
|
|
|
Cash
|
9,319,220
|
3,408,535
|
634,142
|
|
|
Net Liquid Funds
|
9,319,220
|
3,408,535
|
634,142
|
|
|
Net Liquid Assets
|
1,363,839
|
1,005,277
|
513,636
|
|
|
Net Current Assets/(Liabilities)
|
1,363,839
|
1,005,277
|
513,636
|
|
|
Net Tangible Assets
|
4,297,392
|
3,979,865
|
3,179,226
|
|
|
Net Monetary Assets
|
1,180,860
|
785,728
|
500,436
|
|
|
|
|
|
|
|
BALANCE SHEET ITEMS
|
|
|
|
|
|
Total Borrowings
|
206,211
|
241,067
|
11,703
|
|
|
Total Liabilities
|
28,061,730
|
16,674,351
|
23,579,962
|
|
|
Total Assets
|
32,176,143
|
20,434,667
|
26,745,988
|
|
|
Net Assets
|
4,297,392
|
3,979,865
|
3,179,226
|
|
|
Net Assets Backing
|
4,114,413
|
3,760,316
|
3,166,026
|
|
|
Shareholders" Funds
|
4,114,413
|
3,760,316
|
3,166,026
|
|
|
Total Share Capital
|
2,000,000
|
2,000,000
|
2,000,000
|
|
|
Total Reserves
|
2,114,413
|
1,760,316
|
1,166,026
|
|
|
|
|
|
|
|
LIQUIDITY(Times)
|
|
|
|
|
|
Cash Ratio
|
0.33
|
0.21
|
0.03
|
|
|
Liquid Ratio
|
1.05
|
1.06
|
1.02
|
|
|
Current Ratio
|
1.05
|
1.06
|
1.02
|
|
|
|
|
|
|
|
WORKING CAPITAL CONTROL (Days)
|
|
|
|
|
|
Stock Ratio
|
0
|
0
|
0
|
|
|
Debtors Ratio
|
31
|
14
|
45
|
|
|
Creditors Ratio
|
25
|
15
|
26
|
|
|
|
|
|
|
|
SOLVENCY RATIOS (Times)
|
|
|
|
|
|
Gearing Ratio
|
0.05
|
0.06
|
0
|
|
|
Liabilities Ratio
|
6.82
|
4.43
|
7.45
|
|
|
Times Interest Earned Ratio
|
1.94
|
1.23
|
1.19
|
|
|
|
|
|
|
|
PERFORMANCE RATIO (%)
|
|
|
|
|
|
Operating Profit Margin
|
0.20
|
0.23
|
0.20
|
|
|
Net Profit Margin
|
0.15
|
0.17
|
0.15
|
|
|
Return On Net Assets
|
22.40
|
105.75
|
70.87
|
|
|
Return On Capital Employed
|
22.21
|
104.83
|
70.61
|
|
|
Return On Shareholders' Funds/Equity
|
8.61
|
15.80
|
8.74
|
|
|
Dividend Pay Out Ratio (Times)
|
0
|
0
|
0
|
|
|
|
|
|
|
|
NOTES TO ACCOUNTS
|
|
|
|
|
|
Contingent Liabilities
|
0.00
|
0.00
|
0.00
|
|
|
|
|
|
|
|
|
|
%20SDN%20BHD%20-%20141283%2013-May-2011_files/image002.jpg){kind=small}