MIRA INFORM REPORT

 

 

Report Date :

29.11.2012

 

IDENTIFICATION DETAILS

 

Name :

GLOBAL B2B SAFETY SDN. BHD.

 

 

Registered Office :

Unit 901, City Plaza, 21 Jalan Tebrau, Level 9, 80300 Johor Bahru, Johor

 

 

Country :

Malaysia

 

 

Financials (as on) :

31.12.2011

 

 

Date of Incorporation :

07.01.2010

 

 

Com. Reg. No.:

885239-W

 

 

Legal Form :

Private Limited Company

 

 

Line of Business :

Trading of safety products, garments

 

 

No. of Employees :

10 [2012]

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Status :

Moderate

 

 

Payment Behaviour :

Slow

 

 

Litigation :

Clear 

 

NOTES:

Any query related to this report can be made on e-mail: infodept@mirainform.com  while quoting report number, name and date.

 

ECGC Country Risk Classification List – June 30th, 2012

 

Country Name

Previous Rating

(31.03.2012)

Current Rating

(30.06.2012)

Malaysia

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

malaysia - ECONOMIC OVERVIEW

 

Malaysia, a middle-income country, has transformed itself since the 1970s from a producer of raw materials into an emerging multi-sector economy. Under current Prime Minister NAJIB, Malaysia is attempting to achieve high-income status by 2020 and to move farther up the value-added production chain by attracting investments in Islamic finance, high technology industries, biotechnology, and services. The NAJIB administration also is continuing efforts to boost domestic demand and reduce the economy's dependence on exports. Nevertheless, exports - particularly of electronics, oil and gas, palm oil and rubber - remain a significant driver of the economy. As an oil and gas exporter, Malaysia has profited from higher world energy prices, although the rising cost of domestic gasoline and diesel fuel, combined with strained government finances, has forced Kuala Lumpur to begin to reduce government subsidies. The government is also trying to lessen its dependence on state oil producer Petronas. The oil and gas sector supplies more than 40% of government revenue. The central bank maintains healthy foreign exchange reserves, and a well-developed regulatory regime has limited Malaysia''s exposure to riskier financial instruments and the global financial crisis. Nevertheless, Malaysia could be vulnerable to a fall in commodity prices or a general slowdown in global economic activity because exports are a major component of GDP. In order to attract increased investment, NAJIB has raised possible revisions to the special economic and social preferences accorded to ethnic Malays under the New Economic Policy of 1970, but he has encountered significant opposition, especially from Malay nationalists and other vested interests.

 

Source : CIA

 

 

EXECUTIVE SUMMARY

 

 

REGISTRATION NO.

:

885239-W

COMPANY NAME

:

GLOBAL B2B SAFETY SDN. BHD.

FORMER NAME

:

N/A

INCORPORATION DATE

:

07/01/2010

 

 

 

 

 

 

COMPANY STATUS

:

EXIST

LEGAL FORM

:

PRIVATE LIMITED

LISTED STATUS

:

NO

 

 

 

 

 

 

REGISTERED ADDRESS

:

UNIT 901, CITY PLAZA, 21 JALAN TEBRAU, LEVEL 9, 80300 JOHOR BAHRU, JOHOR, MALAYSIA.

BUSINESS ADDRESS

:

18/18A, JALAN HANG TUAH 4, TAMAN SKUDAI, 81300 JOHOR BHARU, JOHOR, MALAYSIA.

TEL.NO.

:

07-5587419

FAX.NO.

:

N/A

CONTACT PERSON

:

RAJALETCHUMY ( DIRECTOR )

 

 

 

INDUSTRY CODE

:

51599

PRINCIPAL ACTIVITY

:

TRADING OF SAFETY PRODUCTS, GARMENTS

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 605,724 [2011]

NET WORTH

:

MYR 100,322 [2011]

 

 

 

STAFF STRENGTH

:

10 [2012]

BANKER (S)

:

PUBLIC BANK BHD

LITIGATION

:

CLEAR

DEFAULTER CHECK

:

CLEAR

FINANCIAL CONDITION

:

FAIR

PAYMENT

:

PROMPT

MANAGEMENT CAPABILITY

:

WEAK

 

 

 

COMMERCIAL RISK

:

MODERATE

CURRENCY EXPOSURE

:

MODERATE

GENERAL REPUTATION

:

SATISFACTORY

INDUSTRY OUTLOOK

:

MARGINAL 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) trading of safety products, garments.

 

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

(%)

MS. RAJALETCHUMY A/P VEERASAMY +

18/8A JALAN HANG TUAH 4, TAMAN SKUDAI BARU, 81300 JOHOR BHARU, JOHOR, MALAYSIA.

780714-04-5228

60,000.00

60.00

JOSEPH KUNJIRAMAN +

BLOCK 240, BUKIT PANJANG RING ROAD, 12-129, 670240, SINGAPORE.

S1490362C

29,000.00

29.00

MR. NUR MUHAMAD FIRDAUS BIN ABDULLAH +

31 JALAN P9A/4, PRESINT 9, 62250 PUTRAJAYA, WILAYAH PERSEKUTUAN, MALAYSIA.

680217-04-5093 A0875836

10,000.00

10.00

CHEONG KONG CHUAN EDMUND +

37 JALAN INTAN, 668797, SINGAPORE.

S1415240G

1,000.00

1.00

 

 

 

---------------

------

 

 

 

100,000.00

100.00

 

 

 

============

=====

 

+ Also Director

 

 

DIRECTORS

 

DIRECTOR 1

Name Of Subject

:

CHEONG KONG CHUAN EDMUND

Address

:

37 JALAN INTAN, 668797, SINGAPORE.

IC / PP No

:

S1415240G

 

 

 

 

 

 

 

 

 

Nationality

:

SINGAPOREAN

Date of Appointment

:

07/01/2010

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 2

Name Of Subject

:

MR. NUR MUHAMAD FIRDAUS BIN ABDULLAH

Address

:

31 JALAN P9A/4, PRESINT 9, 62250 PUTRAJAYA, WILAYAH PERSEKUTUAN, MALAYSIA.

IC / PP No

:

A0875836

New IC No

:

680217-04-5093

Date of Birth

:

17/02/1968

 

 

 

Nationality

:

MALAYSIAN MALAY

Date of Appointment

:

07/01/2010

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 3

Name Of Subject

:

JOSEPH KUNJIRAMAN

Address

:

BLOCK 240, BUKIT PANJANG RING ROAD, 12-129, 670240, SINGAPORE.

IC / PP No

:

S1490362C

 

 

 

 

 

 

 

 

 

Nationality

:

SINGAPOREAN

Date of Appointment

:

07/01/2010

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 4

Name Of Subject

:

MS. RAJALETCHUMY A/P VEERASAMY

Address

:

18/8A JALAN HANG TUAH 4, TAMAN SKUDAI BARU, 81300 JOHOR BHARU, JOHOR, MALAYSIA.

 

 

 

New IC No

:

780714-04-5228

Date of Birth

:

14/07/1978

 

 

 

Nationality

:

MALAYSIAN INDIAN

Date of Appointment

:

07/01/2010

 

 

 

 

 

 

 

 

 

 

 

 



MANAGEMENT

 

 

 

1)

Name of Subject

:

RAJALETCHUMY

 

Position

:

DIRECTOR

 

 

 

AUDITOR

 

Auditor

:

GUNALAN & ASSOCIATES

Auditor' Address

:

4-01, JALAN TITIWANGSA 4, TAMAN TAMPOI INDAH, 81200 JOHOR BAHRU, JOHOR, MALAYSIA.

 

 

 

COMPANY SECRETARIES

 

1)

Company Secretary

:

MS. SEOW GEK HONG

 

IC / PP No

:

LS00978

 

New IC No

:

510329-71-5192

 

Address

:

9,JALAN PUCUNG 3, TAMAN PERLING, 81200 JOHOR BAHRU, JOHOR, MALAYSIA.

 

 

 

 

 

 

 

 

 

 

 

BANKING


Banking relations are maintained principally with :

1)

Name

:

PUBLIC BANK 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

:

N/A

Overseas

:

N/A

 

 

 


The SC refused to disclose its suppliers. 

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

Domestic Markets

:

MALAYSIA

Overseas

:

YES

 

 

 

Export Market

:

BRUNEI DARUSSALAM, AUSTRALIA, INDIA, INDONESIA

Credit Term

:

AS AGREED

 

 

 

 

 

 

Payment Mode

:

CHEQUES,TELEGRAPHIC TRANSFER (TT)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 



OPERATIONS

 

Goods Traded

:

SAFETY PRODUCTS, GARMENTS

 

 

 

 

Competitor(s)

:

CRANE PORT SYSTEMS SDN BHD
JEBSEN & JESSEN TECHNOLOGY (M) SDN BHD
LAUNCH TECH (M) SDN BHD
RCG MATRIX SDN BHD
RGB INTERNATIONAL BHD

 

 

 

 

 

 

 

 

 

Total Number of Employees:

YEAR

2012

 

 

GROUP

N/A

 

 

 

 

 

 

 

 

COMPANY

10

 

 

 

 

 

 

 

 

 

Branch

:

NO

 

 

Other Information:

The SC is principally engaged in the (as a / as an) trading of safety products, garments.
The SC sells safety products for industrial and commercial.
The SC also sells safety garments. 

 

PROJECTS


No projects found in our databank 


CURRENT INVESTIGATION

Latest fresh investigations carried out on the SC indicated that :

Telephone Number Provided By Client

:

07 5587419

Current Telephone Number

:

07-5587419

Match

:

YES

 

 

 

Address Provided by Client

:

18/18A, JALAN HANG TUAH4 TAMAN SKUDAI, BARU 81300 SKUDAI JOHAR

Current Address

:

18/18A, JALAN HANG TUAH 4, TAMAN SKUDAI, 81300 JOHOR BHARU, JOHOR, MALAYSIA.

Match

:

YES

 

 

 

Latest Financial Accounts

:

YES

 

Other Investigations

The SC refused to disclose its fax number.


FINANCIAL ANALYSIS

 

 

Profitability

 

 

 

 

 

 

Turnover

:

Increased

[

109.58%

]

 

Profit/(Loss) Before Tax

:

Decreased

[

82.90%

]

 

Return on Shareholder Funds

:

Unfavourable

[

<0.36%>

]

 

Return on Net Assets

:

Unfavourable

[

0.24%

]

 

 

 

 

 

 

 

 

The increase in turnover could be due to the SC adopting an aggressive marketing strategy.The SC's profit fell sharply because of the high operating costs incurred. The SC's unfavourable returns on shareholders' funds indicate the management's inefficiency in utilising its assets to generate returns.

 

 

 

 

 

 

 

Liquidity

 

 

 

 

 

 

Current Ratio

:

Favourable

[

2.04 Times

]

 

 

 

 

 

 

 

 

The SC was in good liquidity position with its current liabilities well covered by its current assets. With its net current assets, the SC should be able to repay its short term obligations.

 

 

 

 

 

 

 

Solvency

 

 

 

 

 

 

Liability Ratio

:

Acceptable

[

0.94 Times

]

 

 

 

 

 

 

 

 

The SC had an acceptable liabilities ratio indicating that the SC has an acceptable level of liabilities relative to shareholders' funds.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Overall Assessment :

 

 

 

 

 

 

Although the SC's turnover had increased, its profits had declined over the same corresponding period. This could be due to the stiffer market competition and / or higher operating costs which lowered the SC's profit margin. 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's liabilities was slightly high and its financial risk was also high. If no plans are made to reduce its liabilities, the SC's performance may deteriorate in the coming year.

 

 

 

 

 

 

 

Overall financial condition of the SC : FAIR

 

 

 

MALAYSIA ECONOMIC / INDUSTRY OUTLOOK

 

Major Economic Indicators:

2008

2009

2010

2011*

2012**

 

 

 

 

 

 

Population ( Million)

27.73

28.13

28.35

28.70

29.10

Gross Domestic Products ( % )

4.6

<0.5>

7.2

5.5

5.3

Domestic Demand ( % )

6.9

2.9

6.3

4.8

7.6

Private Expenditure ( % )

7.1

<2.7>

8.1

7.0

8.7

Consumption ( % )

8.4

0.7

6.7

6.3

7.1

Investment ( % )

1.5

<17.2>

17.7

16.2

15.9

Public Expenditure ( % )

6.5

5.2

3.8

7.6

4.7

Consumption ( % )

11.6

3.1

0.2

8.9

3.0

Investment ( % )

0.7

8.0

2.8

0.6

7.0

 

 

 

 

 

 

Balance of Trade ( MYR Million )

129,563

89,650

118,356

116,058

-

Government Finance ( MYR Million )

<34,462>

<28,450>

<40,482>

<45,511>

<43,021>

Government Finance to GDP / Fiscal Deficit ( % )

<4.8>

<4.8>

<5.6>

<5.4>

<4.7>

Inflation ( % Change in Composite CPI)

<3.3>

<5.2>

5.1

3.1

-

Unemployment Rate

3.7

4.5

3.9

3.3

-

 

 

 

 

 

 

Net International Reserves ( MYR Billion )

388

331

329

415

-

Average Risk-Weighted Capital Adequacy Ratio ( % )

1.91

2.87

2.20

3.50

-

Average 3 Months of Non-performing Loans ( % )

13.24

11.08

15.30

14.80

-

Average Base Lending Rate ( % )

6.72

5.53

6.30

6.60

-

Business Loans Disbursed( % )

11.6

10.5

14.7

15.3

-

Foreign Investment ( MYR Million )

23,261.4

22,156.8

22,517.9

23,546.1

-

Consumer Loans ( % )

-

-

-

-

-

 

 

 

 

 

 

Registration of New Companies ( No. )

41,599

41,578

44,148

-

-

Registration of New Companies ( % )

<4.0>

<0.1>

6.2

-

-

Liquidation of Companies ( No. )

27,992

39,075

25,585

-

-

Liquidation of Companies ( % )

23.7

39.6

<34.5>

-

-

 

 

 

 

 

 

Registration of New Business ( No. )

269,866

312,581

271,414

-

-

Registration of New Business ( % )

-

-

-

-

-

Business Dissolved ( No. )

18,885

19,345

19,738

-

-

Business Dissolved ( % )

<7.6>

2.4

2.0

-

-

 

 

 

 

 

 

Sales of New Passenger Cars (' 000 Unit )

497.5

486.3

543.6

363.0

-

Cellular Phone Subscribers ( Million )

25.1

30.1

32.8

35.3

-

Tourist Arrival ( Million Persons )

21.5

23.6

24.6

25.3

-

Hotel Occupancy Rate ( % )

68.0

58.0

63.0

51.3

-

 

 

 

 

 

 

Credit Cards Spending ( % )

17.1

12.8

14.1

15.6

-

Bad Cheque Offenders (No.)

34,834

36,667

33,568

27,208

-

Individual Bankruptcy ( No.)

13,907

16,228

18,119

16,155

-

Individual Bankruptcy ( % )

5.1

16.7

11.7

<10.8>

-

 

 

 

 

 

 




INDUSTRIES ( % of Growth ):

2008

2009

2010

2011*

2012**

 

 

 

 

 

 

Agriculture

3.6

0.4

2.1

4.7

4.1

Palm Oil

7.0

<1.1>

<3.4>

7.3

-

Rubber

<1.1>

<19.8>

9.9

6.4

-

Forestry & Logging

<1.5>

<5.9>

<3.3>

<4.7>

-

Fishing

4.0

5.5

5.6

2.8

-

Other Agriculture

5.9

9.0

7.9

8.5

-

Industry Non-Performing Loans ( MYR Million )

393.0

413.7

508.4

634.1

-

% of Industry Non-Performing Loans

<2.0>

1.3

2.1

3.2

-

 

 

 

 

 

 

Mining

<0.8>

<3.8>

0.2

<2.4>

2.5

Oil & Gas

12.7

2.1

0.5

<1.7>

-

Other Mining

-

-

-

-

-

Industry Non-performing Loans ( MYR Million )

36.0

44.2

49.7

46.5

-

% of Industry Non-performing Loans

0.1

0.1

0.1

0.1

-

 

 

 

 

 

 

Manufacturing #

1.3

<9.4>

11.4

5.6

4.5

Exported-oriented Industries

2.7

<19.0>

12.1

2.8

-

Electrical & Electronics

2.4

<30.3>

28.4

<4.9>

-

Rubber Products

4.2

<10.1>

25.3

15.4

-

Wood Products

<6.0>

<24.1>

20.1

<7.3>

-

Textiles & Apparel

1.9

<19.5>

<0.4>

14.8

-

Domestic-oriented Industries

9.9

<9.8>

16.3

6.3

-

Food, Beverages & Tobacco

9.5

0.2

3.0

4.2

-

Chemical & Chemical Products

1.4

<7.7>

16.2

5.6

-

Plastic Products

6.5

<9.1>

2.4

3.8

-

Iron & Steel

16.8

<32.7>

29.3

2.4

-

Fabricated Metal Products

14.7

<2.5>

14.9

25.2

-

Non-metallic Mineral

8.3

<15.5>

20.2

16.3

-

Transport Equipment

27.1

<13.5>

36.5

<9.4>

-

Paper & Paper Products

8.6

<5.0>

18.7

15.6

-

Crude Oil Refineries

7.8

0.2

<11.4>

9.3

-

Industry Non-Performing Loans ( MYR Million )

5,729.4

6,007.3

6,217.5

6,537.2

-

% of Industry Non-Performing Loans

16.8

18.3

23.8

25.7

-

 

 

 

 

 

 

Construction

2.1

5.8

5.1

4.4

7.0

Industry Non-Performing Loans ( MYR Million )

4,149.8

3,241.8

4,038.5

3,856.9

-

% of Industry Non-Performing Loans

12.2

9.9

10.7

10.2

-

 

 

 

 

 

 

Services

7.3

2.6

6.5

6.4

6.5

Electric, Gas & Water

5.0

0.4

8.5

5.6

4.8

Transport, Storage & Communication

7.8

1.6

7.7

6.5

7.3

Wholesale, Retail, Hotel & Restaurant

10.0

2.8

4.7

5.2

6.9

Finance, Insurance & Real Estate

9.2

3.8

6.1

6.3

6.5

Government Services

8.6

2.0

6.7

7.6

5.6

Other Services

5.9

4.4

4.2

5.4

5.7

Industry Non-Performing Loans ( MYR Million )

8,281.4

6,631.3

7,384.6

6,825.2

-

% of Industry Non-Performing Loans

24.3

20.2

25.7

23.4

-

 

 

 

 

 

 

 

 

 

 

 

 

* Estimate / Preliminary

 

 

 

 

 

** Forecast

 

 

 

 

 

# Based On Manufacturing Production Index 
(Source : Department of Statistics / Economic Report / Bank Negara Report)

 

 

 

 

 

 




INDUSTRY ANALYSIS

 

MSIC CODE

51599 : Wholesale of other machinery and equipment n.e.c e.g. professional, scientific and precision equipment

 

 

INDUSTRY :

MACHINERY

 

 

 


Malaysia is presently the leading manufacturer of automation machinery and equipment (M&E) for the electrical and electronics (E&E) industry in the ASEAN region with a total of 22 companies in production. The machinery and equipment industry has expanded and produce a diverse range of machinery which give importance to the overall industrial development of the country, due to its cross cutting linkages with all industrial sectors.


Malaysia implemented Industrial Master Plan 3 (IMP3, 2006-2020), which the machinery and equipment industry has been established as one of the key areas for growth and development. The implementation focused on the manufacture of high value-added and high technology machinery and equipment (M&E). Under this plan, M&E will positioned Malaysia as the regional production hub for high technology and specialized M&E in the ASEAN region for 2012.


Furthemore for the year 2012, Malaysia is the largest manufacturing hub of boilers in the Southeast Asia region. The exports are mainly directed to the neighboring countries such as Indonesia, Philippines, Thailand and Cambodia.


For enhance the machinery and equipment (M&E), the government has introduced two major tax incentives for companies investing in the manufacturing sector where the pioneer status and the investment tax allowance. The tax incentives would remain to be a competitive industry within ASEAN.

 

 

OVERALL INDUSTRY OUTLOOK : Marginal Growth



CREDIT RISK EVALUATION & RECOMMENDATION

 

 

Incorporated in 2010, the SC is a Private Limited company, focusing on trading of safety products, garments. The SC has been in business for less than 5 years and it has slowly been building up contact with its clients while competing in the industry. However, it has yet to enjoy a stable market shares as it need to compete many well established players in the same field. With a weak shareholders' backing, the SC's capital position is weak. Inadequate capital may be a constraint to the SC as it limits its ability to expand its business in future. The capital standing of the SC is weak. 


Over the years, the SC has penetrated into both the local and overseas market. The SC has positioned itself in the global market and is competing in the industry. Its stable clientele base will enable the SC to further enhance its business in the near term. Being a small company, the SC's business operation is supported by 10 employees. Overall, we regard that the SC's management capability is weak. Without capable management, the SC is unlikely to be successful and often contribute to unacceptable levels of accountability. 


Financially, the SC registered a higher turnover compared to previous year. However, its profits showed a reverse trend. The lower profit achieved was a result of higher operating cost and increased competition. The SC has generated an unfavourable return on shareholders' funds indicating that the management was inefficient in utilising its funds to generate return. The SC is in good liquidity position with its current liabilities well covered by it current assets. Hence, it has sufficient working capital to meet its short term financial obligations. The SC had an acceptable liabilities ratio indicating that the SC has an acceptable level of liabilities relative to shareholders' funds. Given a positive net worth standing at MYR 100,322, the SC should be able to maintain its business in the near terms.


Without a strong assets backing, the SC may face difficulties in getting loans for its future expansion and continued growth .


The industry has reached its maturity stage and only enjoying a marginal growth. The steady growth of the country's economy will further enhance the industry activities. Thus, the SC's future performance is very much depend on its marketing strategies in order to retain its position in the market.


In view of the above, we recommend credit be granted to the SC with close monitoring.

 

 

PROFIT AND LOSS ACCOUNT

 

 

THE FINANCIAL STATEMENTS WERE PREPARED IN ACCORDANCE WITH MALAYSIAN FINANCIAL REPORTING STANDARDS(FRS)

GLOBAL B2B SAFETY SDN. BHD.

 

Financial Year End

31/12/2011

31/12/2010

Months

12

12

Consolidated Account

Company

Company

Audited Account

YES

YES

Unqualified Auditor's Report (Clean Opinion)

YES

YES

Financial Type

SUMMARY

FULL

Currency

MYR

MYR

 

 

 

TURNOVER

605,724

289,019

 

----------------

----------------

Total Turnover

605,724

289,019

Costs of Goods Sold

-

<255,965>

 

----------------

----------------

Gross Profit

-

33,054

 

----------------

----------------

 

 

 

PROFIT/(LOSS) FROM OPERATIONS

245

1,433

 

----------------

----------------

PROFIT/(LOSS) BEFORE TAXATION

245

1,433

Taxation

<609>

<747>

 

----------------

----------------

PROFIT/(LOSS) AFTER TAXATION

<364>

686

 

----------------

----------------

RETAINED PROFIT/(LOSS) BROUGHT FORWARD

 

 

As previously reported

686

-

 

----------------

----------------

As restated

686

-

 

----------------

----------------

PROFIT AVAILABLE FOR APPROPRIATIONS

322

686

 

----------------

----------------

RETAINED PROFIT/(LOSS) CARRIED FORWARD

322

686

 

=============

=============

 

 

 

 

 

 

BALANCE SHEET

 

 

GLOBAL B2B SAFETY SDN. BHD.

 

ASSETS EMPLOYED:

 

 

FIXED ASSETS

2,373

918

 

 

 

 

----------------

----------------

TOTAL LONG TERM ASSETS

2,373

918

 

 

 

CURRENT ASSETS

 

 

Stocks

-

69,523

Trade debtors

-

30,585

Other debtors, deposits & prepayments

-

4,599

Cash & bank balances

-

17,897

 

----------------

----------------

TOTAL CURRENT ASSETS

191,805

122,604

 

----------------

----------------

TOTAL ASSET

194,178

123,522

 

=============

=============

 

 

 

CURRENT LIABILITIES

 

 

Other creditors & accruals

-

26,112

Amounts owing to director

-

95,973

Provision for taxation

-

747

 

----------------

----------------

TOTAL CURRENT LIABILITIES

93,856

122,832

 

----------------

----------------

NET CURRENT ASSETS/(LIABILITIES)

97,949

<228>

 

----------------

----------------

TOTAL NET ASSETS

100,322

690

 

=============

=============

 

 

 

SHARE CAPITAL

 

 

Ordinary share capital

100,000

4

 

----------------

----------------

TOTAL SHARE CAPITAL

100,000

4

 

 

 

RESERVES

 

 

Retained profit/(loss) carried forward

322

686

 

----------------

----------------

TOTAL RESERVES

322

686

 

 

 

 

----------------

----------------

SHAREHOLDERS' FUNDS/EQUITY

100,322

690

 

 

 

 

----------------

----------------

 

100,322

690

 

=============

=============

 

 

 

 

 

 

FINANCIAL RATIO

 

 

GLOBAL B2B SAFETY SDN. BHD.

 

TYPES OF FUNDS

 

 

Cash

-

17,897

Net Liquid Funds

-

17,897

Net Liquid Assets

97,949

<69,751>

Net Current Assets/(Liabilities)

97,949

<228>

Net Tangible Assets

100,322

690

Net Monetary Assets

97,949

<69,751>

BALANCE SHEET ITEMS

 

 

Total Borrowings

-

0

Total Liabilities

93,856

122,832

Total Assets

194,178

123,522

Net Assets

100,322

690

Net Assets Backing

100,322

690

Shareholders' Funds

100,322

690

Total Share Capital

100,000

4

Total Reserves

322

686

LIQUIDITY (Times)

 

 

Cash Ratio

-

0.15

Liquid Ratio

-

0.43

Current Ratio

2.04

1.00

WORKING CAPITAL CONTROL (Days)

 

 

Stock Ratio

-

88

Debtors Ratio

-

39

Creditors Ratio

-

0

SOLVENCY RATIOS (Times)

 

 

Gearing Ratio

-

0.00

Liabilities Ratio

0.94

178.02

Times Interest Earned Ratio

-

0.00

Assets Backing Ratio

1.00

0.01

PERFORMANCE RATIO (%)

 

 

Operating Profit Margin

0.04

0.50

Net Profit Margin

<0.06>

0.24

Return On Net Assets

0.24

207.68

Return On Capital Employed

0.24

207.68

Return On Shareholders' Funds/Equity

<0.36>

99.42

Dividend Pay Out Ratio (Times)

-

0.00

NOTES TO ACCOUNTS

 

 

Contingent Liabilities

-

0

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.55.70

UK Pound

1

Rs.89.34

Euro

1

Rs.72.35

 

INFORMATION DETAILS

 

Report Prepared by :

MNL

 

RATING EXPLANATIONS

 

RATING

STATUS

 

 

PROPOSED CREDIT LINE

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

 

Large

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

 

Fairly Large

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

 

Satisfactory

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

 

Small

11-25

Ca

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

 

Limited with full security

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

 

Credit not recommended

----

NB

New Business

----

 

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

 

Financial condition (40%)            Ownership background (20%)                 Payment record (10%)

Credit history (10%)                    Market trend (10%)                                Operational size (10%)

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.