MIRA INFORM REPORT

 

 

Report Date :

13.08.2013

 

IDENTIFICATION DETAILS

 

Name :

B.BRAUN MEDICAL INDUSTRIES SDN BHD

 

 

Formerly Known As :

CROLOK INDUSTRIES (MALAYSIA) SDN BHD (04/09/1980)

 

 

Registered Office :

Crown Penthouse, Plaza Ibm, No. 8, First Avenue, Persiaran Bandar Utama, 47800 Petaling Jaya, Selangor

 

 

Country :

Malaysia

 

 

Financials (as on) :

31.12.2011

 

 

Date of Incorporation :

14.06.1974

 

 

Com. Reg. No.:

19051-M

 

 

Legal Form :

Private Limited (Limited By Share)

 

 

Line of Business :

Manufacture of Disposable Vein Puncture Sets, Infusion Administration Sets, Blood Transfusion Sets, Surgical Sutures and Allied Products

 

 

No. of Employees :

6000

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

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

Satisfactory

 

Status :

Satisfactory

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.

:

19051-M

COMPANY NAME

:

B.BRAUN MEDICAL INDUSTRIES SDN BHD

FORMER NAME

:

CROLOK INDUSTRIES (MALAYSIA) SDN BHD (04/09/1980)

INCORPORATION DATE

:

14/06/1974

 

 

 

 

 

 

COMPANY STATUS

:

EXIST

LEGAL FORM

:

PRIVATE LIMITED (LIMITED BY SHARE)

LISTED STATUS

:

NO

 

 

 

 

 

 

REGISTERED ADDRESS

:

CROWN PENTHOUSE, PLAZA IBM, NO. 8, FIRST AVENUE, PERSIARAN BANDAR UTAMA, 47800 PETALING JAYA, SELANGOR, MALAYSIA.

BUSINESS ADDRESS

:

PHASE 2, BAYAN LEPAS FREE INDUSTRIAL ZONE, 10810 PULAU PINANG, PULAU PINANG, MALAYSIA.

TEL.NO.

:

04-6323100

FAX.NO.

:

04-6433750

EMAIL

:

TERESA.HUAN@BBRAUN.COM

WEB SITE

:

WWW.BBRAUN.COM.MY

CONTACT PERSON

:

KIM HAE DONG ( PRESIDENT )

 

 

 

INDUSTRY CODE

:

26600

PRINCIPAL ACTIVITY

:

MANUFACTURE OF DISPOSABLE VEIN PUNCTURE SETS, INFUSION ADMINISTRATION SETS, BLOOD TRANSFUSION SETS, SURGICAL SUTURES AND ALLIED PRODUCTS

AUTHORISED CAPITAL

:

MYR 300,000,000.00 DIVIDED INTO
ORDINARY SHARE 300,000,000.00 OF MYR 1.00 EACH.

ISSUED AND PAID UP CAPITAL

:

MYR 241,492,014.00 DIVIDED INTO
ORDINARY SHARES 241,417,014 CASH AND 75,000 OTHERWISE OF MYR 1.00 EACH.

 

 

 

SALES

:

MYR 1,911,960,000 [2011]

NET WORTH

:

MYR 1,285,194,000 [2011]

M1000 OVERALL RANKING

:

229[2011]

M1000 INDUSTRY RANKING

:

3[2011]

 

 

 

STAFF STRENGTH

:

6000 [2013]

BANKER (S)

:

MALAYAN BANKING BHD

LITIGATION

:

CLEAR

DEFAULTER CHECK

:

CLEAR

FINANCIAL CONDITION

:

STABLE

PAYMENT

:

N/A

MANAGEMENT CAPABILITY

:

AVERAGE

 

 

 

COMMERCIAL RISK

:

LOW

CURRENCY EXPOSURE

:

HIGH

GENERAL REPUTATION

:

GOOD

INDUSTRY OUTLOOK

:

AVERAGE 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) manufacture of disposable vein puncture sets, infusion administration sets, blood transfusion sets, surgical sutures and allied products.

The SC is not listed on Bursa Malaysia (Malaysia Stock Exchange).

 

According to the Malaysia 1000 publication, the SC's ranking are as follows:

 

 

 

 

 

 

YEAR

2011

2009

2008

2004

 

OVERALL RANKING

229

246

240

274

 

INDUSTRY RANKING

3

4

4

3

 

The ultimate holding company of the SC is B. BRAUN MELSUNGEN AG, a company incorporated in GERMANY.

The major shareholder(s) of the SC are shown as follows :

 

Name

Address

IC/PP/Loc No

Shareholding

(%)

B BRAUN MELSUNGEN AG

GERMANY

XLZ000000036

241,492,014.00

100.00

 

 

 

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

------

 

 

 

241,492,014.00

100.00

 

 

 

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

=====

+ Also Director

 

The SC interest in other companies (Subsidiaries/Associates) are shown as follow :

 

Local No

Country

Company

(%)

As At

636191M

MALAYSIA

TRANSCARE HEALTHSERVICES MALAYSIA SDN. BHD.

100.00

29/03/2013

 

 

 

 

 

687244W

MALAYSIA

B. BRAUN AVITUM RENAL SERVICES SDN. BHD.

100.00

31/12/2010

 

 

 

 

 

56425H

MALAYSIA

B. BRAUN MEDICAL SUPPLIES SDN. BHD.

100.00

29/03/2013

 

 

 

 

 

189731D

MALAYSIA

AESCULAP SURGICAL INSTRUMENTS SDN. BHD.

100.00

N/A

 

 

 

 

 

159642K

MALAYSIA

B.BRAUN NEEDLE INDUSTRIES SDN. BHD.

100.00

29/03/2013

 

 

 

 

 

132674P

MALAYSIA

B.BRAUN PHARMACEUTICAL INDUSTRIES SDN BHD

100.00

29/03/2013

 

 

 

 

 

 

DIRECTORS

 

DIRECTOR 1

 

Name Of Subject

:

DR. HEINZ-WALTER GROSSE

Address

:

BUCHENWEG 3, 34281, GUDENSBERG, GERMANY.

IC / PP No

:

C61Z33PJ5

 

 

 

 

 

 

 

 

 

Nationality

:

GERMAN

Date of Appointment

:

06/03/2006

 

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 2

 

Name Of Subject

:

MICHAEL WOLFGANG BECKER

Address

:

UNIT 6-00-0, SRI TIARA APARTMENTS, NO.6 TAMAN SEPUTEH, 58000 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.

IC / PP No

:

332604236

 

 

 

 

 

 

 

 

 

 

 

 

Date of Appointment

:

13/12/2004

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 3

 

Name Of Subject

:

LUDWIG GEORG BRAUN

Address

:

AM FORSTGARTEN 2, 34212 MELSUNGEN, GERMANY.

IC / PP No

:

443512878

 

 

 

 

 

 

 

 

 

Nationality

:

GERMAN

Date of Appointment

:

01/02/2005

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 4

 

Name Of Subject

:

KIM HAE DONG

Address

:

NO.9, JALAN 15, TAMAN TUN ABDUL RAZAK, 68000 AMPANG, SELANGOR, MALAYSIA.

IC / PP No

:

JR2554697

 

 

 

 

 

 

 

 

 

 

 

 

Date of Appointment

:

13/12/2004

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 5

 

Name Of Subject

:

MICHAEL WOLFGANG BECKER

Address

:

28-14-C PERSIARAN GURNEY, GURNEY BEACH RESORT, 10250 PENANG, MALAYSIA.

IC / PP No

:

2498331848

 

 

 

 

 

 

 

 

 

 

 

 

Date of Appointment

:

13/12/2004

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 6

 

Name Of Subject

:

KIM HAE DONG

Address

:

NO. 9 JALAN 15, TAMAN TUN ABDUL RAZAK, 68000 AMPANG, SELANGOR, MALAYSIA.

IC / PP No

:

M69125723

 

 

 

 

 

 

 

 

 

 

 

 

Date of Appointment

:

13/12/2004

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 7

 

Name Of Subject

:

DR. ANNETTE JOHANNA BELLER

Address

:

NIDERWALDSTRABE 16, D-34131 KASSEL, GERMANY.

IC / PP No

:

C5VVLL554

 

 

 

 

 

 

 

 

 

Nationality

:

GERMAN

Date of Appointment

:

01/07/2011

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 8

 

Name Of Subject

:

MANFRED GREGOR MAHRLE

Address

:

BA30-2, MK10 JALAN KIARA 1, MONT KIARA, 50480 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.

IC / PP No

:

P5916139

 

 

 

 

 

 

 

 

 

 

 

 

Date of Appointment

:

05/01/2012

 

 

 

 

 

 

 

 

 

 

 

 



MANAGEMENT

 

 

 

1)

Name of Subject

:

KIM HAE DONG

 

Position

:

PRESIDENT

 

 

 

 

 

2)

Name of Subject

:

ANNA MARIA BRAUN

 

Position

:

DIRECTOR

 

 

 

 

 

AUDITOR

 

Auditor

:

PRICEWATERHOUSECOOPERS

Auditor' Address

:

1 SENTRAL, JALAN TRAVERS, KUALA LUMPUR CENTRAL, P O BOX 10192, LEVEL 15, 50706 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.

 

 

 

 

 

 

 

COMPANY SECRETARIES

 

1)

Company Secretary

:

MS. KHOO BEE LIN

 

 

 

 

 

New IC No

:

640620-07-5480

 

Address

:

NO. 7, JALAN MERANTI BUKIT, SIERRAMAS WEST, 47000 SUNGAI BULOH, SELANGOR, MALAYSIA.

 

 

 

 

 

 

 

 

 

 

 

 

 

BANKING


Banking relations are maintained principally with :

1)

Name

:

MALAYAN BANKING BHD

 

 

 

 

 

 

 

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

:

30%

Overseas

:

YES

Percentage

:

70%

Import Countries

:

GERMANY,JAPAN,UNITED KINGDOM

 

CLIENTELE

 

Local

:

YES

Percentage

:

20%

Domestic Markets

:

MALAYSIA

Overseas

:

YES

Percentage

:

80%

Export Market

:

AUSTRALIA

BANGLADESH

BRAZIL

CHINA

DENMARK

FRANCE

GERMANY

HONG KONG

INDIA

INDONESIA

JAPAN

MYANMAR

PAKISTAN

NEW ZEALAND

SINGAPORE

SOUTH KOREA

SWITZERLAND

TAIWAN

THAILAND

UNITED STATES

SRI LANKA

Credit Term

:

60 - 90 DAYS

 

 

 

 

 

 

Payment Mode

:

TELEGRAPHIC TRANSFER (TT)
LETTER OF CREDIT (LC)
CHEQUES

Type of Customer

:

MEDICAL INDUSTRIES

 

 

 

 

 

 

 

 

 

 

 

 

 

OPERATIONS

 

Products manufactured

:

DISPOSABLE VEIN PUNCTURE SETS, INFUSION ADMINISTRATION SETS, BLOOD TRANSFUSION SETS, SURGICAL SUTURES AND ALLIED PRODUCTS

 

 

 

Brand Name

:

B. BRAUN

 

 

 

 

Award

:

1 ) INTERNATIONAL PROCUREMENT CENTRE BY MALAYSIAN GOVERNMENT Year :2005

 

 

 

 

Member(s) / Affiliate(s)

:

SMI ASSOCIATION OF MALAYSIA

MALAYSIAN INTERNATIONAL CHAMBER OF COMMERCE AND INDUSTRY (MICCI)

 

 

 

Ownership of premises

:

OWNED

 

 

Total Number of Employees:

 

YEAR

2013

2012

2011

2010

2009

 

 

GROUP

N/A

44,700

6,200

6,200

6,321

 

 

 

 

COMPANY

6000

4,000

4,000

4,000

4,200

 

 

 

 

 

Branch

:

NO

 

Other Information:


The SC is principally engaged in the (as a / as an) manufacture of disposable vein puncture sets, infusion administration sets, blood transfusion sets, surgical sutures and allied products.

The B. Braun Group stands for competence in healthcare. For more than 165 years, the company has been developing, producing and distributing products and services for medicine, and, with its modern approach and innovative strength, it has developed into a worldwide group of companies and a leading supplier for the healthcare market.

B. Braun, an internationally recognised supplier of healthcare products and services, was founded by Julius Wilhelm Braun. The headquarter in Germany and it has presence in over 50 countries on five continents.

The SC's common products lines include medical devices, solutions, wound care and disinfectants.

We were informed that the SC manufactures more than 100 types of pharmaceutical products.

The SC's factory is fully equipped with state-of-the-art surgical instruments at the production site.

The SC has two production departments which are known as cost-centre departments namely;
1) Medical production (MP) - produces needle covers, blood transfusion sets, tubes, surgical sutures and infusion administration sets.
2) Needle production (NP) - only produces the needles and disposable vein puncture sets.

 

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

:

N/A

Current Telephone Number

:

04-6323100

Match

:

N/A

 

 

 

Address Provided by Client

:

BAYAN LEPASS, FREE TRADE ZONE PO BOX 880, 10810 PENAG, MALAYSIA

Current Address

:

PHASE 2, BAYAN LEPAS FREE INDUSTRIAL ZONE, 10810 PULAU PINANG, PULAU PINANG, MALAYSIA.

Match

:

NO

 

 

 

Latest Financial Accounts

:

YES

 

Other Investigations


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

The address provided belongs to the SC's PO Box address.

FINANCIAL ANALYSIS

 

 

Profitability

 

 

 

 

 

 

Turnover

:

Increased

[

2007 - 2011

]

 

Profit/(Loss) Before Tax

:

Increased

[

2007 - 2011

]

 

Return on Shareholder Funds

:

Acceptable

[

15.62%

]

 

Return on Net Assets

:

Acceptable

[

16.40%

]

 

 

 

 

 

 

 

 

The SC's turnover increased steadily as the demand for its products / services increased due to the goodwill built up over the years.The SC's management have been efficient in controlling its operating costs. The SC's management had generated acceptable return for its shareholders using its assets.

 

 

 

 

 

 

 

Liquidity

 

 

 

 

 

 

Current Ratio

:

Acceptable

[

1.21 Times

]

 

 

 

 

 

 

 

 

The SC has an adequate 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

:

Favourable

[

0.64 Times

]

 

 

 

 

 

 

 

 

A low liabilities ratio has minimised the SC's financial risk.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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 has a low liabilities ratio. It's liabilities were low and was not vulnerable to the financial risk.

 

 

 

 

 

 

 

Overall financial condition of the SC : STABLE

 

 

 

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

26600 : Manufacture of irradiation, electro medical and electrotherapeutic 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. Exports of machinery and equipment registered a double-digit growth of 12.6% in the frst seven month of 2012 mainly driven by general industrial machinery and equipment as well as specialised machinery for specific industries.

 

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 : Average Growth

 

CREDIT RISK EVALUATION & RECOMMENDATION

 


Incorporated in 1974, the SC is a Private Limited company, focusing on manufacture of disposable vein puncture sets, infusion administration sets, blood transfusion sets, surgical sutures and allied products. With its long presence in the industry coupled with its vast experiences in the business, the SC should have built up certain goodwill with its clients over times.. With a large issued and paid up capital of RM241,492,014 and strong backing from its well-established holding company, the SC enjoys timely financial assistance should the needs arise. These favourable conditions has minimised its risk in the industry compared to other players.

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. 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. Being a large entity, the SC has a steady workforce of 6000 personnel to support its business operations. Its future prospects seem to be fairly good as its business operations are running relatively stable. 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. To improve its quality products and services, we noted that the SC has received a number of certifications & awards. This will improve the customer's confidence level to the SC.

We noted that both the turnover and profits have increased compared to the previous year. The higher profit could be due to increase in turnover and better control over its operating costs. Return on shareholders' funds of the SC was at an acceptable range which indicated that the management was efficient in utilising its funds to generate income. The SC managed to maintain an adequate liquidity level, indicating that the SC has the ability to meet its financial obligations. A low liabilities ratio has minimised the SC's financial risk. Given a positive net worth standing at MYR 1,285,194,000, the SC should be able to maintain its business in the near terms.

Having a strong assets backing, the SC possesses latent assets as collateral for further financial extension. Hence, it has good chance of getting loans if the needs arises. 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.

Based on the above condition, we recommend credit be granted to the SC promptly.

 

 

PROFIT AND LOSS ACCOUNT

 

 

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

B.BRAUN MEDICAL INDUSTRIES SDN BHD

 

Financial Year End

31/12/2011

31/12/2010

31/12/2009

31/12/2008

31/12/2007

Months

12

12

12

12

12

Consolidated Account

GROUP

GROUP

GROUP

GROUP

Company

Audited Account

YES

YES

YES

YES

YES

Unqualified Auditor's Report (Clean Opinion)

YES

YES

YES

YES

YES

Financial Type

SUMMARY

FULL

FULL

FULL

SUMMARY

Currency

MYR

MYR

MYR

MYR

MYR

 

 

 

 

 

 

TURNOVER

1,911,960,000

1,761,953,000

1,662,550,000

1,499,598,000

1,320,572,000

 

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

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

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

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

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

Total Turnover

1,911,960,000

1,761,953,000

1,662,550,000

1,499,598,000

1,320,572,000

Costs of Goods Sold

-

<1,129,298,000>

<1,053,720,000>

-

-

 

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

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

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

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

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

Gross Profit

-

632,655,000

608,830,000

-

-

 

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

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

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

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

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

 

 

 

 

 

 

PROFIT/(LOSS) FROM OPERATIONS

225,816,000

223,557,000

259,637,000

123,992,000

98,622,000

 

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

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

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

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

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

PROFIT/(LOSS) BEFORE TAXATION

225,816,000

223,557,000

259,637,000

123,992,000

98,622,000

Taxation

<25,046,000>

<44,073,000>

<14,367,000>

<31,940,000>

<14,561,000>

 

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

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

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

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

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

PROFIT/(LOSS) AFTER TAXATION

200,770,000

179,484,000

245,270,000

92,052,000

84,061,000

Minority interests

-

<147,000>

38,000

23,000

<168,000>

 

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

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

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

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

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

PROFIT/(LOSS) BEFORE EXTRAORDINARY ITEMS

200,770,000

179,337,000

245,308,000

92,075,000

83,893,000

 

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

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

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

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

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

PROFIT/(LOSS) ATTRIBUTABLE TO SHAREHOLDERS

200,770,000

179,337,000

245,308,000

92,075,000

83,893,000

RETAINED PROFIT/(LOSS) BROUGHT FORWARD

 

 

 

 

 

As previously reported

967,996,000

799,129,000

615,714,000

523,639,000

439,746,000

Prior year adjustment

-

-

719,000

-

-

 

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

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

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

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

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

As restated

967,996,000

799,129,000

616,433,000

523,639,000

439,746,000

 

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

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

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

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

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

PROFIT AVAILABLE FOR APPROPRIATIONS

1,168,766,000

978,466,000

861,741,000

615,714,000

523,639,000

TRANSFER TO RESERVES - Statutory

-

<10,470,000>

<12,612,000>

-

-

DIVIDENDS - Ordinary (paid & proposed)

-

-

<50,000,000>

-

-

 

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

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

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

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

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

RETAINED PROFIT/(LOSS) CARRIED FORWARD

1,168,766,000

967,996,000

799,129,000

615,714,000

523,639,000

 

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

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

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

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

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

 

 

 

 

 

 

INTEREST EXPENSE (as per notes to P&L)

 

 

 

 

 

Others

-

12,202,000

9,718,000

17,189,000

-

 

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

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

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

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

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

 

-

12,202,000

9,718,000

17,189,000

-

 

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

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

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

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

 

 

BALANCE SHEET

 

 

B.BRAUN MEDICAL INDUSTRIES SDN BHD

 

ASSETS EMPLOYED:

 

 

 

 

 

FIXED ASSETS

1,222,699,000

864,439,000

671,506,000

637,009,000

573,168,000

 

 

 

 

 

 

LONG TERM INVESTMENTS/OTHER ASSETS

 

 

 

 

 

Investments

-

13,000

13,000

82,000

-

Deferred assets

-

4,850,000

8,691,000

7,128,000

-

Others

-

60,739,000

26,132,000

209,000

-

 

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

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

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

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

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

TOTAL LONG TERM INVESTMENTS/OTHER ASSETS

-

65,602,000

34,836,000

7,419,000

89,000

 

 

 

 

 

 

INTANGIBLE ASSETS

 

 

 

 

 

Goodwill on consolidation

-

2,810,000

3,592,000

-

-

 

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

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

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

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

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

TOTAL INTANGIBLE ASSETS

-

2,810,000

3,592,000

-

-

 

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

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

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

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

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

TOTAL LONG TERM ASSETS

1,222,699,000

932,851,000

709,934,000

644,428,000

573,257,000

 

 

 

 

 

 

CURRENT ASSETS

 

 

 

 

 

Stocks

-

274,295,000

278,096,000

270,730,000

-

Trade debtors

-

214,765,000

206,082,000

217,476,000

-

Other debtors, deposits & prepayments

-

22,674,000

26,899,000

19,596,000

-

Short term deposits

-

-

5,005,000

1,455,000

-

Amount due from related companies

-

260,657,000

254,332,000

139,224,000

-

Cash & bank balances

-

12,448,000

26,673,000

11,512,000

-

Others

-

7,804,000

9,871,000

7,225,000

-

 

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

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

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

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

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

TOTAL CURRENT ASSETS

879,162,000

792,643,000

806,958,000

667,218,000

656,749,000

 

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

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

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

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

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

TOTAL ASSET

2,101,861,000

1,725,494,000

1,516,892,000

1,311,646,000

1,230,006,000

 

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

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

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

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

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

 

 

 

 

 

 

CURRENT LIABILITIES

 

 

 

 

 

Trade creditors

-

123,894,000

71,385,000

58,133,000

-

Other creditors & accruals

-

72,495,000

69,049,000

63,229,000

-

Bank overdraft

-

10,837,000

9,461,000

13,415,000

-

Short term borrowings/Term loans

-

43,010,000

32,957,000

152,148,000

-

Amounts owing to related companies

-

231,133,000

260,993,000

188,481,000

-

Provision for taxation

-

20,603,000

19,715,000

14,537,000

-

 

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

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

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

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

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

TOTAL CURRENT LIABILITIES

724,658,000

501,972,000

463,560,000

489,943,000

576,417,000

 

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

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

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

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

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

NET CURRENT ASSETS/(LIABILITIES)

154,504,000

290,671,000

343,398,000

177,275,000

80,332,000

 

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

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

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

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

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

TOTAL NET ASSETS

1,377,203,000

1,223,522,000

1,053,332,000

821,703,000

653,589,000

 

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

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

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

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

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

 

 

 

 

 

 

SHARE CAPITAL

 

 

 

 

 

Ordinary share capital

100,630,000

100,630,000

100,630,000

100,630,000

100,630,000

 

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

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

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

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

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

TOTAL SHARE CAPITAL

100,630,000

100,630,000

100,630,000

100,630,000

100,630,000

 

 

 

 

 

 

RESERVES

 

 

 

 

 

Capital reserve

16,057,000

16,057,000

16,057,000

3,406,000

-

Revaluation reserve

-

-

-

23,000

-

Exchange equalisation/fluctuation reserve

<3,401,000>

1,333,000

<10,470,000>

<11,769,000>

<1,209,000>

General reserve

745,000

745,000

745,000

745,000

-

Retained profit/(loss) carried forward

1,168,766,000

967,996,000

799,129,000

615,714,000

523,639,000

 

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

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

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

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

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

TOTAL RESERVES

1,182,167,000

986,131,000

805,461,000

608,119,000

522,430,000

 

 

 

 

 

 

MINORITY INTEREST

2,397,000

252,000

901,000

885,000

880,000

 

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

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

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

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

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

SHAREHOLDERS' FUNDS/EQUITY

1,285,194,000

1,087,013,000

906,992,000

709,634,000

623,940,000

 

 

 

 

 

 

LONG TERM LIABILITIES

 

 

 

 

 

Long term loans

-

90,400,000

109,389,000

70,886,000

-

Deferred taxation

-

41,994,000

33,565,000

38,586,000

-

Retirement benefits provision

-

4,115,000

3,386,000

2,597,000

-

 

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

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

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

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

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

TOTAL LONG TERM LIABILITIES

92,009,000

136,509,000

146,340,000

112,069,000

29,649,000

 

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

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

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

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

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

 

1,377,203,000

1,223,522,000

1,053,332,000

821,703,000

653,589,000

 

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

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

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

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

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

 

 

 

 

 

 

 

 

 

FINANCIAL RATIO

 

 

B.BRAUN MEDICAL INDUSTRIES SDN BHD

 

TYPES OF FUNDS

 

 

 

 

 

Cash

-

12,448,000

31,678,000

12,967,000

-

Net Liquid Funds

-

1,611,000

22,217,000

<448,000>

-

Net Liquid Assets

154,504,000

16,376,000

65,302,000

<93,455,000>

80,332,000

Net Current Assets/(Liabilities)

154,504,000

290,671,000

343,398,000

177,275,000

80,332,000

Net Tangible Assets

1,377,203,000

1,220,712,000

1,049,740,000

821,703,000

653,589,000

Net Monetary Assets

62,495,000

<120,133,000>

<81,038,000>

<205,524,000>

50,683,000

BALANCE SHEET ITEMS

 

 

 

 

 

Total Borrowings

-

144,247,000

151,807,000

236,449,000

-

Total Liabilities

816,667,000

638,481,000

609,900,000

602,012,000

606,066,000

Total Assets

2,101,861,000

1,725,494,000

1,516,892,000

1,311,646,000

1,230,006,000

Net Assets

1,377,203,000

1,223,522,000

1,053,332,000

821,703,000

653,589,000

Net Assets Backing

1,285,194,000

1,087,013,000

906,992,000

709,634,000

623,940,000

Shareholders' Funds

1,285,194,000

1,087,013,000

906,992,000

709,634,000

623,940,000

Total Share Capital

100,630,000

100,630,000

100,630,000

100,630,000

100,630,000

Total Reserves

1,182,167,000

986,131,000

805,461,000

608,119,000

522,430,000

LIQUIDITY (Times)

 

 

 

 

 

Cash Ratio

-

0.02

0.07

0.03

-

Liquid Ratio

-

1.03

1.14

0.81

-

Current Ratio

1.21

1.58

1.74

1.36

1.14

WORKING CAPITAL CONTROL (Days)

 

 

 

 

 

Stock Ratio

-

57

61

66

-

Debtors Ratio

-

44

45

53

-

Creditors Ratio

-

40

25

14

-

SOLVENCY RATIOS (Times)

 

 

 

 

 

Gearing Ratio

-

0.13

0.17

0.33

-

Liabilities Ratio

0.64

0.59

0.67

0.85

0.97

Times Interest Earned Ratio

-

19.32

27.72

8.21

-

Assets Backing Ratio

13.69

12.13

10.43

8.17

6.49

PERFORMANCE RATIO (%)

 

 

 

 

 

Operating Profit Margin

11.81

12.69

15.62

8.27

7.47

Net Profit Margin

10.50

10.18

14.75

6.14

6.35

Return On Net Assets

16.40

19.27

25.57

17.18

15.09

Return On Capital Employed

16.37

19.05

25.24

16.89

15.07

Return On Shareholders' Funds/Equity

15.62

16.50

27.05

12.97

13.45

Dividend Pay Out Ratio (Times)

-

0.00

0.20

0.00

-

NOTES TO ACCOUNTS

 

 

 

 

 

Contingent Liabilities

-

0

0

0

 




 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.60.80

UK Pound

1

Rs.94.21

Euro

1

Rs.81.03

 

 

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.