MIRA INFORM REPORT

 

 

Report Date :

06.08.2013

 

IDENTIFICATION DETAILS

 

Name :

YENHER AGRO-PRODUCTS SDN. BHD.

 

 

Registered Office :

1172,Jalan Gereja, Permatang Tinggi Village, Simpang Ampat, 14100 Seberang Perai Tengah, Pulau Pinang

 

 

Country :

Malaysia

 

 

Financials (as on) :

31.12.2007

 

 

Date of Incorporation :

07.08.1991

 

 

Com. Reg. No.:

222455-P

 

 

Legal Form :

Exempt Private (Limited By Share)

 

 

Line of Business :

Manufacturing and Trading of Animal Feeds

 

 

No. of Employees :

60

 

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 :

No Complaints

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 – March 31st, 2013

 

Country Name

Previous Rating

(31.12.2012)

Current Rating

(31.03.2013)

Malaysia

A2

A2

 

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. NAJIB's Economic Transformation Program (ETP) is a series of projects and policy measures intended to accelerate the country's economic growth. The government has also taken steps to liberalize some services sub-sectors. 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 about 35% of government revenue in 2011. Bank Negera Malaysia (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


 


* Adopted abbreviations :

SC - Subject Company (the company enquired by you)

 

 

N/A - Not Applicable

 

 

EXECUTIVE SUMMARY

 

 

REGISTRATION NO.

:

222455-P

COMPANY NAME

:

YENHER AGRO-PRODUCTS SDN. BHD.

FORMER NAME

:

N/A

INCORPORATION DATE

:

07/08/1991

 

 

 

 

 

 

COMPANY STATUS

:

EXIST

LEGAL FORM

:

EXEMPT PRIVATE (LIMITED BY SHARE)

LISTED STATUS

:

NO

 

 

 

 

 

 

REGISTERED ADDRESS

:

1172,JALAN GEREJA, PERMATANG TINGGI VILLAGE, SIMPANG AMPAT, 14100 SEBERANG PERAI TENGAH, PULAU PINANG, MALAYSIA.

BUSINESS ADDRESS

:

1628, JALAN IKS SIMPANG AMPAT 1, TAMAN IKS SIMPANG AMPAT, 14100 SEBERANG PERAI TENGAH, PULAU PINANG, MALAYSIA.

TEL.NO.

:

04-5880887

FAX.NO.

:

04-5880928

CONTACT PERSON

:

CHENG MOOH TAT ( MANAGING DIRECTOR )

 

 

 

INDUSTRY CODE

:

10800

PRINCIPAL ACTIVITY

:

MANUFACTURING AND TRADING OF ANIMAL FEEDS

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 2,000,000 CASH OF MYR 1.00 EACH.

 

 

 

SALES

:

N/A

NET WORTH

:

N/A

 

 

 

STAFF STRENGTH

:

60 [2013]

BANKER (S)

:

CIMB BANK BHD
MALAYAN BANKING BHD
RHB BANK BHD

LITIGATION

:

CLEAR

DEFAULTER CHECK

:

CLEAR

FINANCIAL CONDITION

:

N/A

PAYMENT

:

N/A

MANAGEMENT CAPABILITY

:

AVERAGE

 

 

 

COMMERCIAL RISK

:

MODERATE

CURRENCY EXPOSURE

:

MODERATE

GENERAL REPUTATION

:

SATISFACTORY

INDUSTRY OUTLOOK

:

AVERAGE GROWTH

 

HISTORY / BACKGROUND


The SC is an exempt private company which is allowed to have a minimum of two and a maximum of twenty shareholders and all the shareholders must be individuals. An exempt company is a type of private limited company. 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, suing or be sued by other companies. The SC is governed by the Companies Act, 1965 and must file in its annual return. The SC need not file in its financial statements but it has to file in a document duly signed by its director in charge of its finance, the secretary and its auditor stating that the SC is able to meet all its obligations as and when they fall due. Although the SC is not required to file in its financial statements, it also has to prepare its financial account which must be presented at the Annual General Meeting.

The SC is principally engaged in the (as a / as an) manufacturing and trading of animal feeds.

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. CHENG MOOH TAT +

1172 JALAN GEREJA, KAMPUNG PTG TINGGI, 14000 BUKIT MERTAJAM, PULAU PINANG, MALAYSIA.

630324-07-5639

970,000.00

48.50

MR. CHENG MOOH CHYE +

1628, JALAN IKS SIMPANG AMPAT 1, TAMAN IKS SIMPANG AMPAT, 14100 SEBERANG PERAI TENGAH, PULAU PINANG, MALAYSIA.

581117-07-5611

492,000.00

24.60

MR. CHENG MOOH KHENG +

18, LORONG TAMBUN INDAH 18, TAMAN TAMBUN INDAH, 14100 SEBERANG PERAI TENGAH, PULAU PINANG, MALAYSIA.

680801-07-5195

492,000.00

24.60

MR. CHENG MOOH LIM

1172 PMTG.TINGGI, BKT.MERTAJAM, SEBERANG PERAI,PENANG, MALAYSIA.

660805-07-5127

46,000.00

2.30

 

 

 

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

------

 

 

 

2,000,000.00

100.00

 

 

 

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

=====

+ Also Director





DIRECTORS


DIRECTOR 1

 

Name Of Subject

:

MR. CHENG MOOH KHENG

Address

:

18, LORONG TAMBUN INDAH 18, TAMAN TAMBUN INDAH, 14100 SEBERANG PERAI TENGAH, PULAU PINANG, MALAYSIA.

 

 

 

New IC No

:

680801-07-5195

Date of Birth

:

01/08/1968

 

 

 

Nationality

:

MALAYSIAN

Date of Appointment

:

02/08/1993

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 2

 

Name Of Subject

:

MR. CHENG MOOH CHYE

Address

:

1628, JALAN IKS SIMPANG AMPAT 1, TAMAN IKS SIMPANG AMPAT, 14100 SEBERANG PERAI TENGAH, PULAU PINANG, MALAYSIA.

 

 

 

New IC No

:

581117-07-5611

Date of Birth

:

17/11/1958

 

 

 

Nationality

:

MALAYSIAN

Date of Appointment

:

02/08/1993

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 3

 

Name Of Subject

:

MR. CHENG MOOH TAT

Address

:

1172 JALAN GEREJA, KAMPUNG PTG TINGGI, 14000 BUKIT MERTAJAM, PULAU PINANG, MALAYSIA.

 

 

 

New IC No

:

630324-07-5639

Date of Birth

:

24/03/1963

 

 

 

Nationality

:

MALAYSIAN

Date of Appointment

:

07/08/1991

 

 

 

 

 

 

 

 

 

 

 

 




MANAGEMENT

 

 

 

1)

Name of Subject

:

CHENG MOOH TAT

 

Position

:

MANAGING DIRECTOR

 

 

 

 

 

2)

Name of Subject

:

TEOH MOOI TENG

 

Position

:

FINANCE MANAGER

 

 

 

 

 

3)

Name of Subject

:

CHENG MOOH KHENG

 

Position

:

MARKETING DIRECTOR

 

 

 

 

 

AUDITOR

 

Auditor

:

K.B.WONG & CO

Auditor' Address

:

5TH FLOOR, BLOK 2, GAT LEBUH MACALLUM, 10300 GEORGE TOWN, PULAU PINANG, MALAYSIA.

 

 

 

 

 

 

 

COMPANY SECRETARIES

 

1)

Company Secretary

:

MS. CHUAH LAY NAH

 

 

 

 

 

New IC No

:

750420-07-5600

 

Address

:

NO. 339, JLN. LIMA KONGSI, SUNGAI BAKAP, 14200 SUNGAI JAWI., MALAYSIA.

 

 

 

 

 

 

 

 

 

 

 

 

 

BANKING


Banking relations are maintained principally with :

1)

Name

:

CIMB BANK BHD

 

 

 

 

 

 

 

 

 

2)

Name

:

MALAYAN BANKING BHD

 

 

 

 

 

 

 

 

 

3)

Name

:

RHB BANK BHD

 

 

 

 

 

 

 

 

 

 

 

ENCUMBRANCE (S)

 

Charge No

Creation Date

Charge Description

Chargee Name

Total Charge

Status

1

03/06/1993

MEMO OF DEPOSIT

KWONG YIK BANK BERHAD

MYR 100,000.00

Unsatisfied

2

27/05/1994

N/A

SOUTHERN BANK BERHAD

MYR 70,000.00

Satisfied

3

27/05/1994

N/A

SOUTHERN BANK BERHAD

MYR 70,000.00

Satisfied

4

15/02/1996

N/A

KWONG YIK BANK BERHAD

MYR 700,000.00

Unsatisfied

4P

15/02/1996

MEMO OF DEPOSIT

KWONG YIK BANK BHD

MYR 700,000.00

Unsatisfied

5

03/09/2003

N/A

RHB BANK BERHAD

N/A

Unsatisfied

6

25/02/2004

N/A

CIMB BANK BERHAD

MYR 400,000.00

Satisfied

7

10/06/2004

N/A

RHB BANK BERHAD

N/A

Unsatisfied

8

27/04/2007

N/A

RHB BANK BHD

N/A

Unsatisfied

9

30/04/2008

THE SECURITY DOCUMENTS & THE CHARGE

RHB BANK BHD

N/A

Unsatisfied

10

17/10/2012

N/A

MALAYAN BANKING BHD

MYR 7,540,000.00

Unsatisfied

11

25/10/2012

N/A

MALAYAN BANKING BHD

N/A

Unsatisfied

12

02/11/2012

N/A

BANGKOK BANK BHD

N/A

Unsatisfied

 

 

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

:

BRAZIL,ITALY,NETHERLANDS,CHINA,THAILAND

 

CLIENTELE

 

Local

:

YES

Domestic Markets

:

MALAYSIA

Overseas

:

YES

 

 

 

Export Market

:

INDONESIA

HONG KONG

Credit Term

:

30 - 60 DAYS

 

 

 

 

 

 

Payment Mode

:

CHEQUES
TELEGRAPHIC TRANSFER (TT)

Type of Customer

:

POULTRY FARMS

 

 

 

 

 

 

 

 

 

 

 

 

 

OPERATIONS

 

Products manufactured

:

ANIMAL FEEDS

 

 

 

Competitor(s)

:

DINDINGS SOYA & MULTIFEEDS SDN BHD
GOLD COIN SARAWAK SDN BHD
PK AGRO-INDUSTRIAL PRODUCTS (M) SDN. BHD.
PTS GOLDKIST INDUSTRIES SDN BHD
ZUE GUAN FEEDMILLS SDN BHD

 

 

 

 

 

 

 

 

Member(s) / Affiliate(s)

:

SMI ASSOCIATION OF MALAYSIA

SMALL & MEDIUM ENTERPRISE

 

 

 

Ownership of premises

:

OWNED

 

 

Total Number of Employees:

 

YEAR

2013

2012

2011

2010

2009

 

 

 

 

 

GROUP

N/A

N/A

N/A

N/A

N/A

 

 

 

 

COMPANY

60

60

60

55

50

 

 

 

 

 

Branch

:

YES

 

Other Information:


The SC is principally engaged in the (as a / as an) manufacturing and trading of animal feeds.

The SC produces feed premixes for poultry including for pigs and chickens.

The SC's animal feeds are made of soya and maize.

Besides that the SC also offers feed addtivies, animal health products, livestock equipment include hencoop, feeder, castiron, waste water treatment, genetic suppliers & milk powder.

PROJECTS


No projects found in our databank

CURRENT INVESTIGATION

Latest fresh investigations carried out on the SC indicated that :

Telephone Number Provided By Client

:

N/A

Current Telephone Number

:

04-5880887

Match

:

N/A

 

 

 

Address Provided by Client

:

1628, JALAN IKS SIMPANG AMPAT 1, TAMAN IKS SIMPANG AMPAT, TAMAN IKS SIMPANG AMPAT, SEBERANG PERAI SELATAN PENANG

Current Address

:

1628, JALAN IKS SIMPANG AMPAT 1, TAMAN IKS SIMPANG AMPAT, 14100 SEBERANG PERAI TENGAH, PULAU PINANG, MALAYSIA.

Match

:

NO

 

 

 

Latest Financial Accounts

:

NO

 

Other Investigations


We contacted one of the staff from the SC and she provided some information on the SC.

The address provided is incomplete.

FINANCIAL ANALYSIS

 

 

The SC is a private exempt company which does not need to file in its accounts with the Registrar of Companies for the information of the public. Therefore, we are not able to comment on the SC's financial performance.

 

 

 

 

 

 

 

Overall financial condition of the SC : N/A

 

 

 

MALAYSIA ECONOMIC / INDUSTRY OUTLOOK

 

Major Economic Indicators:

2009

2010

2011

2012*

2013**

 

 

 

 

 

 

Population ( Million)

28.13

28.35

28.70

29.30

29.80

Gross Domestic Products ( % )

<0.5>

7.2

5.1

5.6

5.3

Domestic Demand ( % )

2.9

6.3

8.2

9.4

5.6

Private Expenditure ( % )

<2.7>

8.1

8.2

8.0

7.4

Consumption ( % )

0.7

6.7

7.1

1.0

5.7

Investment ( % )

<17.2>

17.7

12.2

11.7

13.3

Public Expenditure ( % )

5.2

3.8

8.4

13.3

1.2

Consumption ( % )

3.1

0.2

16.1

11.3

<1.2>

Investment ( % )

8.0

2.8

<0.3>

15.9

4.2

 

 

 

 

 

 

Balance of Trade ( MYR Million )

89,650

118,356

116,058

106,300

110,700

Government Finance ( MYR Million )

<28,450>

<40,482>

<45,511>

<42,297>

<39,993>

Government Finance to GDP / Fiscal Deficit ( % )

<4.8>

<5.6>

<5.4>

<4.5>

<4.0>

Inflation ( % Change in Composite CPI)

<5.2>

5.1

3.1

1.6

2.5

Unemployment Rate

4.5

3.9

3.3

3.2

3.0

 

 

 

 

 

 

Net International Reserves ( MYR Billion )

331

329

415

427

-

Average Risk-Weighted Capital Adequacy Ratio ( % )

2.87

2.20

3.50

2.20

-

Average 3 Months of Non-performing Loans ( % )

11.08

15.30

14.80

14.70

-

Average Base Lending Rate ( % )

5.53

6.30

6.60

6.53

-

Business Loans Disbursed( % )

10.5

14.7

15.3

32.2

-

Foreign Investment ( MYR Million )

22,156.8

22,517.9

23,546.1

26,230.4

-

Consumer Loans ( % )

-

-

-

-

-

 

 

 

 

 

 

Registration of New Companies ( No. )

41,578

44,148

45,455

45,441

-

Registration of New Companies ( % )

<0.1>

6.2

3.0

<0.0>

-

Liquidation of Companies ( No. )

39,075

25,585

132,476

-

-

Liquidation of Companies ( % )

39.6

<34.5>

417.8

-

-

 

 

 

 

 

 

Registration of New Business ( No. )

312,581

271,414

284,598

324,761

-

Registration of New Business ( % )

-

-

-

-

-

Business Dissolved ( No. )

19,345

19,738

20,121

-

-

Business Dissolved ( % )

2.4

2.0

1.9

-

-

 

 

 

 

 

 

Sales of New Passenger Cars (' 000 Unit )

486.3

543.6

535.1

552.2

-

Cellular Phone Subscribers ( Million )

30.1

32.8

35.3

38.5

-

Tourist Arrival ( Million Persons )

23.6

24.6

24.7

25.0

-

Hotel Occupancy Rate ( % )

58.0

63.0

60.6

62.4

-

 

 

 

 

 

 

Credit Cards Spending ( % )

12.8

14.1

15.6

12.6

-

Bad Cheque Offenders (No.)

36,667

33,568

32,627

26,982

-

Individual Bankruptcy ( No.)

16,228

18,119

19,167

19,575

-

Individual Bankruptcy ( % )

16.7

11.7

5.8

2.1

-

 

 

 

 

 

 



INDUSTRIES ( % of Growth ):

2009

2010

2011

2012*

2013**

 

 

 

 

 

 

Agriculture

0.4

2.1

5.9

0.6

2.4

Palm Oil

<1.1>

<3.4>

10.8

<2.8>

-

Rubber

<19.8>

9.9

6.1

<0.6>

-

Forestry & Logging

<5.9>

<3.3>

<7.6>

<2.2>

-

Fishing

5.5

5.6

2.1

<0.7>

-

Other Agriculture

9.0

7.9

7.1

6.4

-

Industry Non-Performing Loans ( MYR Million )

413.7

508.4

634.1

-

-

% of Industry Non-Performing Loans

1.3

2.1

3.2

-

-

 

 

 

 

 

 

Mining

<3.8>

0.2

<5.7>

1.5

2.7

Oil & Gas

2.1

0.5

<1.7>

-

-

Other Mining

-

-

-

-

-

Industry Non-performing Loans ( MYR Million )

44.2

49.7

46.5

-

-

% of Industry Non-performing Loans

0.1

0.1

0.1

-

-

 

 

 

 

 

 

Manufacturing #

<9.4>

11.4

4.7

4.2

4.9

Exported-oriented Industries

<19.0>

12.1

2.8

4.1

-

Electrical & Electronics

<30.3>

28.4

<4.9>

1.6

-

Rubber Products

<10.1>

25.3

15.4

3.6

-

Wood Products

<24.1>

20.1

<4.9>

4.6

-

Textiles & Apparel

<19.5>

<0.4>

14.8

<7.1>

-

Domestic-oriented Industries

<9.8>

16.3

6.5

8.6

-

Food, Beverages & Tobacco

0.2

3.0

4.2

-

-

Chemical & Chemical Products

<7.7>

16.2

5.5

9.9

-

Plastic Products

<9.1>

2.4

3.8

-

-

Iron & Steel

<32.7>

29.3

2.4

-

-

Fabricated Metal Products

<2.5>

14.9

25.2

-

-

Non-metallic Mineral

<15.5>

20.2

27.1

6.6

-

Transport Equipment

<13.5>

36.5

<10.4>

13.7

-

Paper & Paper Products

<5.0>

18.7

14.8

<7.8>

-

Crude Oil Refineries

0.2

<11.4>

9.3

-

-

Industry Non-Performing Loans ( MYR Million )

6,007.3

6,217.5

6,537.2

-

-

% of Industry Non-Performing Loans

18.3

23.8

25.7

-

-

 

 

 

 

 

 

Construction

5.8

5.1

4.4

15.5

11.2

Industry Non-Performing Loans ( MYR Million )

3,241.8

4,038.5

3,856.9

-

-

% of Industry Non-Performing Loans

9.9

10.7

10.2

-

-

 

 

 

 

 

 

Services

2.6

6.5

6.4

5.5

5.6

Electric, Gas & Water

0.4

8.5

5.6

4.8

-

Transport, Storage & Communication

1.6

7.7

6.5

7.3

-

Wholesale, Retail, Hotel & Restaurant

2.8

4.7

5.2

6.9

-

Finance, Insurance & Real Estate

3.8

6.1

6.3

6.5

-

Government Services

2.0

6.7

7.6

5.6

-

Other Services

4.4

4.2

5.4

5.7

-

Industry Non-Performing Loans ( MYR Million )

6,631.3

7,384.6

6,825.2

-

-

% of Industry Non-Performing Loans

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

10800 : Manufacture of prepared animal feeds

 

 

INDUSTRY :

MANUFACTURING

 

 

 

The Manufacturing sector is one of the important sectors to the growth of the Malaysian economy. According to Ministry of Finance, the manufacturing sector is expected to grow 4.9% in year 2013. Export oriented-industries are expected to benefit from the higher growth of global trade, while domesticoriented industries expand in line with the better consumer sentiment and business confidence. The resource-based industries are envisaged to grow steadily attributed to improved demand for petroleum, chemical, rubber and plastic products. With better job prospects and higher disposable income, the transportation equipment subsector, in particular, the passenger car segment is expected to expand.

 

Value-added of the manufacturing sector expanded 5% during the first half of 2012. Output of the sector rose 5.2% during the first sevenmonths of 2012 in line with the increase in sales value of manufactured products by 6.5% to RM363.1 billion. Output from domesticoriented industries continued to expand 8.6% while export-oriented industries grew 4.1%.

 

According to the Department of Statistics, the sales value of the Manufacturing sector in January 2013 posted a growth of 7.4% (RM3.6 billion) to record RM52.4 billion as compared to RM48.8 billion reported in year 2012. Meanwhile, month-on-month basis, the sales value has decreased by 0.4% (RM0.2 billion) as compared with the preceding month. The sales value in December 2012 has been revised positive 7.5% year-on-year to record RM52.6 billion.

 

Output of rubber products increased 3.6% in the first seven month of 2012 mainly supported by continuous demand for rubber gloves. Output of rubber gloves grew 5.9% on account of the expansion in the global healthcare industry and wider usage of gloves in other sectors. Similarly, output of catheters, especially for use in medical appliances, also registered a strong growth of 12.6%. Nevertheless, production of rubber tyres and tubes reduced 10.9% in tandem with slowing external demand from the automotive industry, especially China.

 

Meanwhile, production of wood and wood products rebounded 4.6% largely supported by higher demand for wooden and cane furniture (33.5%). The positive performance was attributed to vibrant higher demand from major export destinations such as China and the United States (US) for Malaysian-made furniture. Demand from China accelerated further following the country's rising income level and the implementation of zero import duty on Malaysian made-furniture. Malaysia government has growth target of 6.5% for wood based furniture where estimated to reach up to RM53 billion by year 2020.The government providing pioneer status for tax exemption and investment tax allowance for this industry as a boost up step towards produce good quality product and to meet the world demand.

 

The output of chemicals and chemical products rose 9.9% in the first seven month of year 2012 on account of increasing demand for plastic products (11.8%) and basic chemicals (11.1%). External demand for plastic packaging materials surged during the early part of the year 2012, particularly from Japan and Thailand, as manufacturers resumed operations, which were interrupted by natural calamities and power outages. Chemical production are expected to show 7.5 % in year 2013 inline with Malaysia as one of the largest contributor in world Chemicals & Chemical industries.

 

Tax and non-tax incentives provided by goverment encourage manufacturers to move up the value chain of manufacturing industry. The new growth initiatives by goverment in the manufacturing sector such assolar and medial services can be important drivers of growth apart from helping to diversify the manufacturing base and contributing to the resilience of the sector.

 

 

OVERALL INDUSTRY OUTLOOK : Average Growth

 

CREDIT RISK EVALUATION & RECOMMENDATION

 


Incorporated in 1991, the SC is a Exempt Private company, focusing on manufacturing and trading of animal feeds. 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. A paid up capital of RM2 million allows the SC to expand its business more comfortably. We considered that the SC's business position in the market is much dependent on the efforts of its directors.

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 moderate size company, the SC has a total workforce of 60 employees in its business operations. Overall, we regard that the SC's management capability is average. This indicates that the SC has greater potential to improve its business performance and raising income for the SC.

As the SC is registered as an Exempt Private company, it is not required to file financial statements for public review. As such, we are unable to ascertain its present financial health.

The SC's supplier are from both the local and overseas countries. This will eliminates the risk of dependency on deliveries from a number of key suppliers and insufficient quantities of its raw materials. Overall the SC has a good control over its resources.

The industry shows an upward trend and this trend is very likely to sustain in the near terms. Hence, the SC is expected to benefit from the favourable outlook of the industry.

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)

YENHER AGRO-PRODUCTS SDN. BHD.

 

Financial Year End

31/12/2007

Months

12

Consolidated Account

Company

Audited Account

YES

Unqualified Auditor's Report (Clean Opinion)

YES

Financial Type

FULL

Currency

MYR

 

 

TURNOVER

43,149,305

 

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

Total Turnover

43,149,305

 

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

 

 

PROFIT/(LOSS) FROM OPERATIONS

3,242,302

 

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

PROFIT/(LOSS) BEFORE TAXATION

3,242,302

Taxation

<916,850>

 

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

PROFIT/(LOSS) AFTER TAXATION

2,325,452

 

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

PROFIT/(LOSS) BEFORE EXTRAORDINARY ITEMS

2,325,452

 

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

PROFIT/(LOSS) ATTRIBUTABLE TO SHAREHOLDERS

2,325,452

RETAINED PROFIT/(LOSS) BROUGHT FORWARD

 

As previously reported

10,430,924

 

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

As restated

10,430,924

 

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

PROFIT AVAILABLE FOR APPROPRIATIONS

12,756,376

 

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

RETAINED PROFIT/(LOSS) CARRIED FORWARD

12,756,376

 

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

 

 

INTEREST EXPENSE (as per notes to P&L)

 

Bank overdraft

2,259

Hire purchase

3,136

Others

355,187

 

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

 

360,582

 

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

 

 

 

BALANCE SHEET

 

 

YENHER AGRO-PRODUCTS SDN. BHD.

 

ASSETS EMPLOYED:

 

FIXED ASSETS

8,577,545

 

 

LONG TERM INVESTMENTS/OTHER ASSETS

 

Investments

37,600

 

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

TOTAL LONG TERM INVESTMENTS/OTHER ASSETS

37,600

 

 

 

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

TOTAL LONG TERM ASSETS

8,615,145

 

 

CURRENT ASSETS

 

Stocks

4,323,827

Other debtors, deposits & prepayments

19,628,536

Short term deposits

441,338

Cash & bank balances

271,732

 

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

TOTAL CURRENT ASSETS

24,665,433

 

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

TOTAL ASSET

33,280,578

 

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

 

 

CURRENT LIABILITIES

 

Trade creditors

6,540,369

Other creditors & accruals

2,283,700

Hire purchase & lease creditors

40,256

Bank overdraft

185,103

Amounts owing to director

814,426

Provision for taxation

421,668

Other liabilities

9,821,000

 

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

TOTAL CURRENT LIABILITIES

20,106,522

 

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

NET CURRENT ASSETS/(LIABILITIES)

4,558,911

 

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

TOTAL NET ASSETS

13,174,056

 

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

 

 

SHARE CAPITAL

 

Ordinary share capital

400,000

 

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

TOTAL SHARE CAPITAL

400,000

 

 

RESERVES

 

Retained profit/(loss) carried forward

12,756,376

 

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

TOTAL RESERVES

12,756,376

 

 

 

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

SHAREHOLDERS' FUNDS/EQUITY

13,156,376

 

 

LONG TERM LIABILITIES

 

Hire purchase creditors

17,680

 

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

TOTAL LONG TERM LIABILITIES

17,680

 

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

 

13,174,056

 

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

 

 

 

 

 

FINANCIAL RATIO

 

 

YENHER AGRO-PRODUCTS SDN. BHD.

 

TYPES OF FUNDS

 

Cash

713,070

Net Liquid Funds

527,967

Net Liquid Assets

235,084

Net Current Assets/(Liabilities)

4,558,911

Net Tangible Assets

13,174,056

Net Monetary Assets

217,404

 

 

BALANCE SHEET ITEMS

 

Total Borrowings

243,039

Total Liabilities

20,124,202

Total Assets

33,280,578

Net Assets

13,174,056

Net Assets Backing

13,156,376

Shareholders' Funds

13,156,376

Total Share Capital

400,000

Total Reserves

12,756,376

 

 

LIQUIDITY (Times)

 

Cash Ratio

0.04

Liquid Ratio

1.01

Current Ratio

1.23

 

 

WORKING CAPITAL CONTROL (Days)

 

Stock Ratio

37

Creditors Ratio

55

 

 

SOLVENCY RATIOS (Times)

 

Gearing Ratio

0.02

Liabilities Ratio

1.53

Times Interest Earned Ratio

9.99

Assets Backing Ratio

32.94

 

 

PERFORMANCE RATIO (%)

 

Operating Profit Margin

7.51

Net Profit Margin

5.39

Return On Net Assets

27.35

Return On Capital Employed

26.89

Return On Shareholders' Funds/Equity

17.68

 

 




 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.60.82

UK Pound

1

Rs.92.96

Euro

1

Rs.80.73

 

 

INFORMATION DETAILS

 

Report Prepared by :

PRL

 

 

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.