* Adopted abbreviations :
|
SC - Subject Company (the company enquired by you)
|
|
|
|
N/A - Not Applicable
|
|
|
|
EXECUTIVE SUMMARY
|
REGISTRATION NO.
|
:
|
86904-K
|
|
COMPANY NAME
|
:
|
SIME DARBY AGRI-BIO SDN BHD
|
|
FORMER NAME
|
:
|
AGRI-BIO CORPORATION SDN BHD (30/04/2010)
|
|
INCORPORATION DATE
|
:
|
30/06/1982
|
|
|
|
|
|
|
|
|
|
COMPANY STATUS
|
:
|
EXIST
|
|
LEGAL STATUS
|
:
|
PRIVATE LIMITED
|
|
LISTED STATUS
|
:
|
NO
|
|
|
|
|
|
|
|
|
|
REGISTERED ADDRESS
|
:
|
WISMA CONSPLANT 1, 2, JALAN SS 16/4, 4TH FLOOR, 47500 SUBANG JAYA,
SELANGOR, MALAYSIA.
|
|
BUSINESS ADDRESS
|
:
|
WISMA CONSPLANT I, 7TH FLOOR, 2, JALAN SS 16/4, 47500 SUBANG JAYA,
SELANGOR, MALAYSIA.
|
|
TEL.NO.
|
:
|
03-56317133
|
|
FAX.NO.
|
:
|
03-56383649
|
|
CONTACT PERSON
|
:
|
K PERIYASAMY ( VICE PRESIDENT )
|
|
|
|
|
|
INDUSTRY CODE
|
:
|
24290
|
|
PRINCIPAL ACTIVITY
|
:
|
MANUFACTURING OF RAT BAIT, TRADING OF AGRICULTURAL CHEMICAL, TOOLS
|
|
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 3,000,000.00
DIVIDED INTO
ORDINARY SHARES 2,459,254 CASH AND 540,746 OTHERWISE OF MYR 1.00 EACH.
|
|
|
|
|
|
SALES
|
:
|
MYR 165,154,640 [2010]
|
|
NET WORTH
|
:
|
MYR 24,021,474 [2010]
|
|
|
|
|
|
STAFF STRENGTH
|
:
|
60 [2011]
|
|
|
|
LITIGATION
|
:
|
CLEAR
|
|
DEFAULTER CHECK
|
:
|
CLEAR
|
|
FINANCIAL CONDITION
|
:
|
STRONG
|
|
PAYMENT
|
:
|
PROMPT
|
|
MANAGEMENT CAPABILITY
|
:
|
GOOD
|
|
|
|
|
|
COMMERCIAL RISK
|
:
|
LOW
|
|
CURRENCY EXPOSURE
|
:
|
MODERATE
|
|
GENERAL REPUTATION
|
:
|
GOOD
|
|
INDUSTRY OUTLOOK
|
:
|
STRONG GROWTH
|
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) manufacturing of rat
bait, trading of agricultural chemical, tools.
The SC is not listed on Bursa Malaysia (Malaysia Stock Exchange).
The immediate holding company of the SC is SIME DARBY PLANTATION SDN BHD, a
company incorporated in MALAYSIA.
The ultimate holding company of the SC is SIME DARBY BERHAD, a company
incorporated in MALAYSIA.
The major shareholder(s) of the SC are
shown as follows :
Name
|
Address
|
IC/PP/Loc No
|
Shareholding
|
|
SIME DARBY
PLANTATION SDN BHD
|
WISMA COSPLANT 1, 2 JALAN SS 16/4, 4TH FLOOR, 47500 SUBANG JAYA,
SELANGOR, MALAYSIA.
|
647766
|
3,000,000.00
|
|
|
|
|
---------------
|
|
|
|
|
3,000,000.00
|
|
|
|
|
============
|
+ Also Director
DIRECTORS
DIRECTOR 1
|
Name Of Subject
|
:
|
MR. MOHD HAIRUL BIN ABDUL HAMID
|
|
Address
|
:
|
4, JALAN PLATINUM 7/43D, SECTION 7, 40000 SHAH ALAM, SELANGOR, MALAYSIA.
|
|
IC / PP No
|
:
|
A1655091
|
|
New IC No
|
:
|
700729-10-6369
|
|
Date of Birth
|
:
|
29/07/1970
|
|
|
|
|
|
Nationality
|
:
|
MALAYSIAN MALAY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
DIRECTOR 2
|
Name Of Subject
|
:
|
MS. NORAL AFIDA BTE ALWI
|
|
Address
|
:
|
15, JALAN USJ 2/1, 47600 SUBANG JAYA, SELANGOR, MALAYSIA.
|
|
IC / PP No
|
:
|
A1204063
|
|
New IC No
|
:
|
690309-06-5226
|
|
Date of Birth
|
:
|
09/03/1969
|
|
|
|
|
|
Nationality
|
:
|
MALAYSIAN MALAY
|
|
Date of Appointment
|
:
|
19/01/2010
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
DIRECTOR 3
|
Name Of Subject
|
:
|
MR. MUSTAMIR BIN MOHAMAD
|
|
Address
|
:
|
9, JALAN ARA SD 7/1B, BANDAR SRI DAMANSARA, 52200 KUALA LUMPUR, WILAYAH
PERSEKUTUAN, MALAYSIA.
|
|
IC / PP No
|
:
|
A1836639
|
|
New IC No
|
:
|
720518-10-5399
|
|
Date of Birth
|
:
|
18/05/1972
|
|
|
|
|
|
Nationality
|
:
|
MALAYSIAN MALAY
|
|
Date of Appointment
|
:
|
19/01/2010
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
MANAGEMENT
|
1)
|
Name of Subject
|
:
|
K PERIYASAMY
|
|
|
Position
|
:
|
VICE PRESIDENT
|
|
|
|
|
|
AUDITOR
|
Auditor
|
:
|
PRICEWATERHOUSECOOPERS
|
|
Auditor' Address
|
:
|
1 SENTRAL, JALAN TRAVERS, KUALA LUMPUR SENTRAL, P O BOX 10192, LEVEL
10, 50706 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.
|
|
|
|
|
|
|
|
|
COMPANY SECRETARIES
|
1)
|
Company Secretary
|
:
|
MS. AZRIN NASHIHA BTE ABDUL AZIZ
|
|
|
IC / PP No
|
:
|
A1987809
|
|
|
New IC No
|
:
|
720603-08-5564
|
|
|
Address
|
:
|
2, JALAN TUN TEJA 35/24, ALAM IMPIAN, 40470 SHAH ALAM, SELANGOR,
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
|
:
|
YES
|
Percentage
|
:
|
60%
|
|
Overseas
|
:
|
YES
|
Percentage
|
:
|
40%
|
|
Import Countries
|
:
|
INDIA
|
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
|
[
|
X
|
]
|
|
Good 31-60 Days
|
[
|
|
]
|
|
Average 61-90 Days
|
[
|
|
]
|
|
|
Fair 91-120 Days
|
[
|
|
]
|
|
Poor >120 Days
|
[
|
|
]
|
|
|
|
|
|
|
CLIENTELE
|
Local
|
:
|
YES
|
Percentage
|
:
|
70%
|
|
Domestic Markets
|
:
|
MALAYSIA
|
|
Overseas
|
:
|
YES
|
Percentage
|
:
|
30%
|
|
Export Market
|
:
|
SOUTH AFRICA
|
|
Credit Term
|
:
|
AS AGREED
|
|
|
|
|
|
|
|
|
Payment Mode
|
:
|
CHEQUES,TELEGRAPHIC TRANSFER (TT)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
OPERATIONS
|
Products manufactured
|
:
|
|
|
|
|
|
|
Services
|
:
|
AGRICULTURAL CHEMICAL, TOOLS
|
|
|
|
|
|
Competitor(s)
|
:
|
BP CHEMICALS
(MALAYSIA) SDN BHD
EMERY OLEOCHEMICALS (M) SDN BHD
KL-KEPONG OLEOMAS SDN BHD
NATURAL OLEOCHEMICALS SDN BHD
NYLEX (MALAYSIA) BHD
|
|
|
|
|
|
Member(s) / Affiliate(s)
|
:
|
CHEMICAL INDUSTRIES COUNCIL OF MALAYSIA (CICM)
|
|
|
|
|
|
Ownership of premises
|
:
|
OWNED
|
|
Total Number of Employees:
|
|
YEAR
|
2011
|
2010
|
|
|
|
|
GROUP
|
N/A
|
N/A
|
|
|
|
|
|
|
|
|
COMPANY
|
60
|
30
|
|
|
|
|
|
|
|
Other Information:
The SC is principally engaged in the (as a / as an) manufacturing of rat
bait, trading of agricultural chemical, tools.
The SC is primarily involved in the manufacturing and marketing of agricultural
products such as rat control poison, oil palm fruit bunch harvesting poles,
cover crop seeds, pheromones and other agriculture related products and
tools.
The products are put through intensive research and development programmes to
ensure quality.
They are also tested on wider geographical areas to ascertain their efficacy
and effectiveness before they are sold their product.
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
|
:
|
0356317133
|
|
Current Telephone Number
|
:
|
03-56317133
|
|
Match
|
:
|
YES
|
|
|
|
|
|
Address Provided by Client
|
:
|
WISMA CONSPLANT I, 7TH FLOOR, 2, JALAN SS 16/4, 47500, SUBANG JAYA,
SELANGOR.
|
|
Current Address
|
:
|
WISMA CONSPLANT I, 7TH FLOOR, 2, JALAN SS 16/4, 47500 SUBANG JAYA,
SELANGOR, MALAYSIA.
|
|
Match
|
:
|
YES
|
|
|
|
|
|
Latest Financial Accounts
|
:
|
YES
|
Other Investigations
We contacted one of the SC staff Ms Leong and she provided some information
regarding to the SC.
FINANCIAL COMMENTS
Profitability:
|
Turnover
|
:
|
Increased
|
[
|
2008 - 2010
|
]
|
|
Profit/(Loss) Before Tax
|
:
|
Increased
|
[
|
2008 - 2010
|
]
|
|
Return on Shareholder Funds
|
:
|
Favourable
|
[
|
47.63%
|
]
|
|
Return on Net Assets
|
:
|
Favourable
|
[
|
63.42%
|
]
|
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. Generally the SC was
profitable. The favourable return on shareholders' funds and return on net
assets indicate that the SC's management was efficient in utilising the
assets to generate returns.
Working Capital Control:
|
Stock Ratio
|
:
|
Favourable
|
[
|
34 Days
|
]
|
|
Debtors Ratio
|
:
|
Favourable
|
[
|
15 Days
|
]
|
|
Creditors Ratio
|
:
|
Favourable
|
[
|
10 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
|
:
|
Favourable
|
[
|
1.86 Times
|
]
|
|
Current Ratio
|
:
|
Favourable
|
[
|
3.85 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
|
:
|
Nil
|
[
|
0.00 Times
|
]
|
|
Gearing Ratio
|
:
|
Favourable
|
[
|
0.00 Times
|
]
|
The SC's interest cover was nil as it did not pay any interest during the year.
The SC had no gearing and hence it had virtually no financial risk. The SC
was financed by its shareholders' funds and internally generated fund. During
the economic downturn, the SC, having a zero gearing, will be able to compete
better than those which are highly geared in the same industry.
Overall
Assessment:
Generally, the
SC's performance has improved with higher turnover and profit. 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. The SC did not make any interest payment
during the year. The SC was dependent on its shareholders' funds to finance
its business needs. The SC was a zero gearing company, it was solely
dependant on its shareholders to provide funds to finance its business. The
SC has good chance of getting loans, if the needs arises.
Overall financial condition of the SC : STRONG
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
|
|
24290 : Manufacture of other chemical products n.e.c
|
|
|
|
|
INDUSTRY :
|
CHEMICAL
|
|
|
|
|
|
|
The chemicals industry is one of Malaysia's key industries, catering not
only for its own national requirements but also exporting to a number of countries
worldwide. The Malaysian chemicals and chemical products industry has
become the second largest contributor to the manufactured exports sector,
after the electrical and electronics industry.
|
|
The chemicals industry is important in Malaysia on account of the nation's
substantial oil and gas feedstock. The Chemicals Industries Council of
Malaysia (CICM) was established in 1978 as an industry group under the
aegis of the Federation of Malaysian Manufacturers, to focus on the
development of the chemicals industry. The primary objective of the CICM
was to organise the chemicals industry in Malaysia into a cohesive group to
represent Malaysia's interest at the ASEAN Chemicals Industries Club
(ACIC).
|
|
The Malaysian chemicals industry witnessed 37% growth in domestic sales
value in 2004 and sustained solid growth up until mid-2008. It expanded
rapidly and had been forecast to reach sales figures of MYR60,816mn by
2009.
|
|
Malaysia's balance of trade for the year January to December 2008 was MYR114,883mn.
In the first five months of 2008, total trade was 11.2% up on the same
period last year. These impressive figures were short-lived however, with
significant decreases observed in the latter half of 2008 and early 2009,
due to the impact of global economic crisis. The Industrial Production
Index (IPI) in January 2009 was 20.2 % lower than it was in January 2008,
following a sharp decline of 15.9% in December 2008.
|
|
The biggest drop was witnessed by chemicals and chemical products, which
saw output contract by 29.9%. This is partly because the chemicals industry
tends to be more sensitive to the economic cycle and so fares
disproportionately badly in recessions.
|
|
Total exports are down from MYR100,115mn (US$27,858.48mn) in
January-February 2008 to MYR77,856mn (US$21,662mn) in the same period of
2009. Similarly, there has been a fall in imports, with total incoming
sales falling from MYR81,289mn (US$22,617mn) in January-February 2008 to
MYR57,778mn (US$16,705mn) in January-February 2009.
|
|
|
|
|
OVERALL INDUSTRY OUTLOOK : Strong Growth
|
COMMENTS & RECOMMENDATION
|
The SC was incorporated in 1982 as a private limited company and
principally engaged in the manufacturing of rat bait, trading of agricultural
chemical and tools. 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 an issued and paid up capital of RM3 million and strong
backing from its holding company, the SC has the ability to further expand
its business in the future.
|
|
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 South Africa. 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. Currently, the SC has a total work force of 60
employees in its operation. Overall, the management capability of the SC is
good.
|
|
During the financial year 2010, its turnover continued on an upward
momentum, reaching RM165,15 million. Correspondingly, its pre-tax profit
rose to RM15,27 million. 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. The SC is in good liquidity position with its current
liabilities well covered by its current assets. Hence, it has sufficient
working capital to meet its short term financial obligations. Being a zero
geared company, the SC virtually has no financial risk as it is mainly
dependent on its internal funds to finance its business needs. Given a
positive net worth standing at RM24.02 million, the SC should be able to
maintain its business in the near terms.
|
|
Being involved in the import and export activities, the SC is exposed to
foreign currency risk. We noted that 40% of the SC's supplies are imported
from overseas suppliers and the remaining 60% are obtained locally. Thus,
it eliminates the risk of dependency on deliveries from a number of key
suppliers and insufficient quantities of its resources.
|
|
We regard that the SC's overall payment habit is prompt. The SC had a
favourable creditors' ratio as evidenced by its favourable collection days.
Based on our databank, the SC is clear of any litigation action
|
|
The palm oil industry remains robust with continuing strong global demand
for its products and is one of major important source of export earnings
for Malaysia. Besides that, government is encouraging the cultivation of
palm oil areas which are suitable and will adopt sustainable agricultural
practice. With the promising outlook of the industry performance, the SC
business potential should be favourable.
|
|
In view of the above favourable condition, we recommend a large amount
credit be proceeded to the SC with favourable term.
|
PROFIT AND LOSS ACCOUNT
|
THE FINANCIAL
STATEMENTS WERE PREPARED IN ACCORDANCE WITH MALAYSIA ACCOUNTING STANDARD.
|
|
SIME DARBY
AGRI-BIO SDN BHD
|
|
For The Year
Ended 30-June-2010
|
|
|
|
|
|
|
|
2010
|
2009
|
2008
|
|
|
MYR
|
MYR
|
MYR
|
|
|
|
|
|
|
|
|
|
|
|
TURNOVER
|
165,154,640
|
94,199,490
|
27,687,168
|
|
|
==========
|
==========
|
==========
|
|
PROFIT/(LOSS) FROM OPERATIONS
|
15,273,549
|
7,768,594
|
4,931,853
|
|
|
|
|
|
|
|
------------
|
------------
|
------------
|
|
PROFIT/(LOSS) BEFORE TAXATION
|
15,273,549
|
7,768,594
|
4,931,853
|
|
Taxation
|
<3,832,800>
|
<1,859,733>
|
<1,194,978>
|
|
PROFIT/(LOSS) AFTER TAXATION
|
------------
11,440,749
|
------------
5,908,861
|
------------
3,736,875
|
|
|
|
|
|
|
|
|
|
|
|
PROFIT/(LOSS) BEFORE EXTRAORDINARY ITEMS
|
------------
11,440,749
|
------------
5,908,861
|
------------
3,736,875
|
|
|
|
|
|
|
PROFIT/(LOSS) ATTRIBUTABLE TO SHAREHOLDERS
RETAINED PROFIT/(ACCUMULATED LOSS) BROUGHT FORWARD
|
------------
11,440,749
|
------------
5,908,861
|
------------
3,736,875
|
|
As previous reported
|
9,580,725
|
3,671,864
|
<65,011>
|
|
|
|
|
|
|
As restated
|
------------
9,580,725
|
------------
3,671,864
|
------------
<65,011>
|
|
|
------------
|
------------
|
------------
|
|
PROFIT AVAILABLE FOR APPROPRIATIONS
|
21,021,474
|
9,580,725
|
3,671,864
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
RETAINED PROFIT/(ACCUMULATED LOSS) CARRIED FORWAD
|
------------
21,021,474
==========
|
------------
9,580,725
==========
|
------------
3,671,864
==========
|
|
RETAINED BY: The Company
|
21,021,474
|
9,580,725
|
3,671,864
|
|
|
|
|
|
|
|
|
|
|
|
|
------------
21,021,474
==========
|
------------
9,580,725
==========
|
------------
3,671,864
==========
|
|
|
|
|
|
BALANCE SHEET
|
SIME DARBY
AGRI-BIO SDN BHD
|
|
As At
30-June-2010
|
|
|
|
|
|
|
|
2010
|
2009
|
2008
|
|
|
MYR
|
MYR
|
MYR
|
|
|
|
|
|
|
|
ASSET EMPLOYED:
|
|
|
|
|
FIXED ASSETS
|
1,693,160
|
1,422,676
|
1,529,928
|
|
LONG TERM INVESTMENTS/OTHER ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deffered assets
|
306,967
|
287,856
|
216,837
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL LONG TERM INVESTMENTS/OTHER ASSETS
|
------------
306,967
|
------------
287,856
|
------------
216,837
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL LONG TERM ASSETS
|
------------
2,000,127
|
------------
1,710,532
|
------------
1,746,765
|
|
|
|
|
|
|
|
CURRENT ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stocks
|
15,399,866
|
7,146,617
|
2,913,176
|
|
|
|
|
|
|
|
|
Trade debtors
|
6,933,025
|
5,082,871
|
6,016,609
|
|
|
Other debtors, deposits & prepayments
|
156,581
|
88,383
|
279,938
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Amount due from holding company
|
6,959,404
|
31,965,598
|
-
|
|
|
|
|
|
|
|
|
Amount due from related companies
|
135,553
|
167,202
|
2,628,810
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash & bank balances
|
258,445
|
432,584
|
1,420,365
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL CURRENT ASSETS
|
------------
29,842,874
|
------------
44,883,255
|
------------
13,258,898
|
|
|
|
|
|
|
|
CURRENT LIABILITIES
|
|
|
|
|
|
Trade creditors
|
4,403,492
|
32,114,531
|
692,105
|
|
|
Other creditors & accruals
|
2,112,550
|
1,252,427
|
1,019,656
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Amounts owing to holding companies
|
-
|
-
|
5,857,845
|
|
|
|
|
|
|
|
|
Amounts owing to related companies
|
59,454
|
21,251
|
142,663
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Provision for taxation
|
1,185,431
|
490,194
|
312,093
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL CURRENT LIABILITIES
|
------------
7,760,927
|
------------
33,878,403
|
------------
8,024,362
|
|
NET CURRENT ASSETS/(LIABILITIES)
|
------------
22,081,947
|
------------
11,004,852
|
------------
5,234,536
|
|
TOTAL NET ASSETS
|
------------
24,082,074
==========
|
------------
12,715,384
==========
|
------------
6,981,301
==========
|
|
|
|
|
|
|
|
FINANCED BY:
|
|
|
|
|
|
|
|
|
|
|
SHARE CAPITAL
|
|
|
|
|
|
Ordinary share capital
|
3,000,000
|
3,000,000
|
3,000,000
|
|
|
|
|
|
|
|
TOTAL SHARE CAPITAL
|
------------
3,000,000
|
------------
3,000,000
|
------------
3,000,000
|
|
|
|
|
|
|
|
RESERVES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Retain profit/(Accumulated loss) carried forward
|
21,021,474
|
9,580,725
|
3,671,864
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL RESERVES
|
------------
21,021,474
|
------------
9,580,725
|
------------
3,671,864
|
|
SHAREHOLDERS' FUNDS/EQUITY
|
------------
24,021,474
|
------------
12,580,725
|
------------
6,671,864
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LONG TERM & DEFERRED LIABILITIES & PROVISIONS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Retirement benefits provision
|
60,600
|
134,659
|
309,437
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL LONG TERM & DEFERRED LIABILITIES & PROVISIONS
|
------------
60,600
|
------------
134,659
|
------------
309,437
|
|
|
------------
|
------------
|
------------
|
|
|
24,082,074
|
12,715,384
|
6,981,301
|
|
|
==========
|
==========
|
==========
|
|
|
|
|
|
|
FINANCIAL RATIOS
|
SIME DARBY
AGRI-BIO SDN BHD
|
|
As At
30-June-2010
|
|
|
|
|
|
|
|
2010
|
2009
|
2008
|
|
|
MYR
|
MYR
|
MYR
|
|
TYPES OF FUNDS
|
|
|
|
|
|
Cash
|
258,445
|
432,584
|
1,420,365
|
|
|
Net Liquid Funds
|
258,445
|
432,584
|
1,420,365
|
|
|
Net Liquid Assets
|
6,682,081
|
3,858,235
|
2,321,360
|
|
|
Net Current Assets/(Liabilities)
|
22,081,947
|
11,004,852
|
5,234,536
|
|
|
Net Tangible Assets
|
24,082,074
|
12,715,384
|
6,981,301
|
|
|
Net Monetary Assets
|
6,621,481
|
3,723,576
|
2,011,923
|
|
|
|
|
|
|
|
BALANCE SHEET ITEMS
|
|
|
|
|
|
Total Borrowings
|
0
|
0
|
0
|
|
|
Total Liabilities
|
7,821,527
|
34,013,062
|
8,333,799
|
|
|
Total Assets
|
31,843,001
|
46,593,787
|
15,005,663
|
|
|
Net Assets
|
24,082,074
|
12,715,384
|
6,981,301
|
|
|
Net Assets Backing
|
24,021,474
|
12,580,725
|
6,671,864
|
|
|
Shareholders" Funds
|
24,021,474
|
12,580,725
|
6,671,864
|
|
|
Total Share Capital
|
3,000,000
|
3,000,000
|
3,000,000
|
|
|
Total Reserves
|
21,021,474
|
9,580,725
|
3,671,864
|
|
|
|
|
|
|
|
LIQUIDITY(Times)
|
|
|
|
|
|
Cash Ratio
|
0.03
|
0.01
|
0.18
|
|
|
Liquid Ratio
|
1.86
|
1.11
|
1.29
|
|
|
Current Ratio
|
3.85
|
1.32
|
1.65
|
|
|
|
|
|
|
|
WORKING CAPITAL CONTROL (Days)
|
|
|
|
|
|
Stock Ratio
|
34
|
28
|
38
|
|
|
Debtors Ratio
|
15
|
20
|
79
|
|
|
Creditors Ratio
|
10
|
124
|
9
|
|
|
|
|
|
|
|
SOLVENCY RATIOS (Times)
|
|
|
|
|
|
Gearing Ratio
|
0
|
0
|
0
|
|
|
Liabilities Ratio
|
0.33
|
2.70
|
1.25
|
|
|
Times Interest Earned Ratio
|
0
|
0
|
0
|
|
|
|
|
|
|
|
PERFORMANCE RATIO (%)
|
|
|
|
|
|
Operating Profit Margin
|
9.25
|
8.25
|
17.81
|
|
|
Net Profit Margin
|
6.93
|
6.27
|
13.50
|
|
|
Return On Net Assets
|
63.42
|
61.10
|
70.64
|
|
|
Return On Capital Employed
|
63.42
|
61.10
|
70.64
|
|
|
Return On Shareholders' Funds/Equity
|
47.63
|
46.97
|
56.01
|
|
|
Dividend Pay Out Ratio (Times)
|
0
|
0
|
0
|
|
|
|
|
|
|
|
NOTES TO ACCOUNTS
|
|
|
|
|
|
Contingent Liabilities
|
0.00
|
0.00
|
0.00
|
|
|
|
|
|
|
|
|
|
