MIRA INFORM REPORT

 

 

Report Date :

16.07.2013

 

IDENTIFICATION DETAILS

 

Name :

SEN UP HUAT SEAFOOD TRADING SDN. BHD.

 

 

Registered Office :

9999, Jalan Tepi Sungai, 36400 Hutan Melintang, Perak

 

 

Country :

Malaysia

 

 

Financials (as on) :

31.12.2011

 

 

Date of Incorporation :

28.11.1980

 

 

Com. Reg. No.:

64947-X

 

 

Legal Form :

Private Limited (Limited By Share)

 

 

Line of Business :

Processing & marketing of frozen & non frozen seafood

 

 

No. of Employees :

200

 

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.

:

64947-X

COMPANY NAME

:

SEN UP HUAT SEAFOOD TRADING SDN. BHD.

FORMER NAME

:

N/A

INCORPORATION DATE

:

28/11/1980

 

 

 

 

 

 

COMPANY STATUS

:

EXIST

LEGAL FORM

:

PRIVATE LIMITED (LIMITED BY SHARE)

LISTED STATUS

:

NO

 

 

 

 

 

 

REGISTERED ADDRESS

:

9999, JALAN TEPI SUNGAI, 36400 HUTAN MELINTANG, PERAK, MALAYSIA.

BUSINESS ADDRESS

:

LOT 9999, JALAN TEPI SUNGAI, 36400 HUTAN MELINTANG, PERAK, MALAYSIA.

TEL.NO.

:

05-6411344

FAX.NO.

:

05-6412343

CONTACT PERSON

:

LIM AH BOO ( MANAGING DIRECTOR )

 

 

 

INDUSTRY CODE

:

10201

PRINCIPAL ACTIVITY

:

PROCESSING & MARKETING OF FROZEN & NON FROZEN SEAFOOD

AUTHORISED CAPITAL

:

MYR 10,000,000.00 DIVIDED INTO 
ORDINARY SHARE 10,000,000.00 OF MYR 1.00 EACH.

ISSUED AND PAID UP CAPITAL

:

MYR 10,000,000.00 DIVIDED INTO 
ORDINARY SHARES 1,044,230 CASH AND 8,955,770 OTHERWISE OF MYR 1.00 EACH.

 

 

 

SALES

:

MYR 55,061,065 [2011]

NET WORTH

:

MYR 23,428,676 [2011]

 

 

 

STAFF STRENGTH

:

200 [2013]

BANKER (S)

:

CIMB BANK BHD

LITIGATION

:

CLEAR

DEFAULTER CHECK

:

CLEAR

FINANCIAL CONDITION

:

FAIR

PAYMENT

:

GOOD

MANAGEMENT CAPABILITY

:

AVERAGE

 

 

 

COMMERCIAL RISK

:

LOW

CURRENCY EXPOSURE

:

MODERATE

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) processing & marketing of frozen & non frozen seafood.

 

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. LIM AH BOO +

LOT 8472, JALAN TEPI SUNGAI, 36400 HUTAN MELINTANG, PERAK, MALAYSIA.

470905-08-5165 7844307B

3,700,000.00

37.00

MR. LEE KOK SEE +

LOT 8472, JALAN TEPI SUNGAI, 36400 HUTAN MELINTANG, PERAK, MALAYSIA.

550301-10-6105 8165825B

3,200,000.00

32.00

MR. SOO EE SENG +

53, DESA MELINTANG BARU, 36400 HUTAN MELINTANG, PERAK, MALAYSIA.

650401-08-6699 A0093351B

1,200,000.00

12.00

TAN SOI KONG

4, JALAN TEPI SUNGAI , 36400 HUTAN MELINTANG, PERAK, MALAYSIA.

460110-08-6149 7716275B

600,000.00

6.00

MS. LIM SIEW LAN +

40 LORONG SELASIH 5, TAMAN SELASIH, 36400 HUTAN MELINTANG, PERAK, MALAYSIA.

720612-08-5128

500,000.00

5.00

MR. CHEW PHEK BEE

127, JALAN TEPI SUNGAI, 36400 HUTAN MELINTANG, PERAK, MALAYSIA.

540206-08-5837 4578785B

400,000.00

4.00

MR. CHEW HOCK PEK

40, LORONG SELASIH 5, TAMAN SELASIH, 36400 HUTAN MELINTANG, PERAK, MALAYSIA.

600430-08-5497 5849196B

400,000.00

4.00

 

 

 

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

------

 

 

 

10,000,000.00

100.00

 

 

 

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

=====

+ Also Director

 

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



Local No

Country

Company

(%)

As At

769534

MALAYSIA

S U H CONSTRUCTION SDN. BHD.

100.00

29/03/2013

 

 

 

 

 

68900

MALAYSIA

STRAITLAND KILANG AIR BATU SDN. BHD.

91.00

29/03/2013

 

 

 

 

 

627891

MALAYSIA

SAN HIAP PLASTIC TRADING & MANUFACTURING SDN. BHD.

80.00

29/03/2013

 

 

 

 

 

 

 

 

DIRECTORS

 

DIRECTOR 1

Name Of Subject

:

MS. LIM SIEW LAN

Address

:

40 LORONG SELASIH 5, TAMAN SELASIH, 36400 HUTAN MELINTANG, PERAK, MALAYSIA.

 

 

 

New IC No

:

720612-08-5128

Date of Birth

:

12/06/1972

 

 

 

Nationality

:

MALAYSIAN

Date of Appointment

:

01/07/2007

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 2

Name Of Subject

:

MR. SOO EE SENG

Address

:

53, DESA MELINTANG BARU, 36400 HUTAN MELINTANG, PERAK, MALAYSIA.

IC / PP No

:

A0093351B

New IC No

:

650401-08-6699

Date of Birth

:

01/04/1965

 

 

 

Nationality

:

MALAYSIAN

Date of Appointment

:

05/05/2000

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 3

 

Name Of Subject

:

MR. LEE KOK SEE

Address

:

LOT 8472, JALAN TEPI SUNGAI, 36400 HUTAN MELINTANG, PERAK, MALAYSIA.

IC / PP No

:

8165825B

New IC No

:

550301-10-6105

Date of Birth

:

01/03/1955

 

 

 

Nationality

:

MALAYSIAN

Date of Appointment

:

28/11/1980

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 4

 

Name Of Subject

:

MR. LIM AH BOO

Address

:

LOT 8472, JALAN TEPI SUNGAI, 36400 HUTAN MELINTANG, PERAK, MALAYSIA.

IC / PP No

:

7844307B

New IC No

:

470905-08-5165

Date of Birth

:

05/09/1947

 

 

 

Nationality

:

MALAYSIAN

Date of Appointment

:

28/11/1980

 

 

 

 

 

 

 

 

 

 

 

 

 

 

MANAGEMENT

 

 

 

1)

Name of Subject

:

LIM AH BOO

 

Position

:

MANAGING DIRECTOR

 

 

 

AUDITOR

 

Auditor

:

ALAN YOON ASSOCIATES

Auditor' Address

:

15A, TAMAN IPOH 7, TAMAN IPOH SELATAN , 31400 IPOH, PERAK, MALAYSIA.

 

 

 

 

 

 

COMPANY SECRETARIES

 

1)

Company Secretary

:

MS. LING YIONG @ LING SWEE LING

 

IC / PP No

:

2880886

 

New IC No

:

430209-08-5712

 

Address

:

1, LORONG HARVEY DUA, TAMAN SITIAWAN, 32000 SITIAWAN, PERAK, MALAYSIA.

 

 

 

 

 

 

 

 

 

 

 

 

 

2)

Company Secretary

:

MR. YAP KUEN WAI

 

IC / PP No

:

A1389666

 

New IC No

:

690905-10-6039

 

Address

:

6, JALAN KIARA SD 11/3F, BANDAR SRI DAMANSARA, 52200 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.

 

 

 

 

 

 

 

 

 

 

 

BANKING


Banking relations are maintained principally with :

1)

Name

:

CIMB BANK BHD

 

 

 

 

 

 

 

 

 

 

ENCUMBRANCE (S)

 

Charge No

Creation Date

Charge Description

Chargee Name

Total Charge

Status

1

13/01/1982

N/A

THE CHARTERED BANK

MYR 100,000.00

Satisfied

2

28/09/1992

DEBENTURE

BANK OF COMMERCE M BERHAD

MYR 750,000.00

Unsatisfied

3

24/01/1994

N/A

BANK OF COMMERCE M BERHAD

MYR 380,000.00

Unsatisfied

4

07/03/1996

N/A

BANK OF COMMERCE M BHD

MYR 470,000.00

Unsatisfied

5

22/07/1997

DEBENTURE

BANK OF COMMERCE M BERHAD

MYR 1,100,000.00

Unsatisfied

6

22/07/1997

CHARGE

BANK OF COMMERCE M BERHAD

MYR 2,700,000.00

Unsatisfied

7

10/05/2004

N/A

BUMIPUTRACOMMERCE BANK BERHAD

MYR 1,300,000.00

Unsatisfied

8

10/05/2004

MEMO OF FIXED DEPOSIT

BUMIPUTRACOMMERCE BANK BERHAD

MYR 1,300,000.00

Unsatisfied

9

31/05/2005

N/A

BUMIPUTRACOMMERCE BANK BERHAD

MYR 2,500,000.00

Unsatisfied

10

31/05/2005

N/A

BUMIPUTRACOMMERCE BANK BERHAD

MYR 2,500,000.00

Unsatisfied

11

05/09/2006

MEMO OF FIXED DEPOSIT

BUMIPUTRA-COMMERCE BANK BHD

MYR 20,000.00

Unsatisfied

12

08/02/2007

LEGAL CHARGE

CIMB BANK BERHAD

N/A

Unsatisfied

13

08/02/2007

LEGAL CHARGE

CIMB BANK BERHAD

N/A

Unsatisfied

14

06/03/2007

LEGAL CHARGE

CIMB BANK BERHAD

N/A

Unsatisfied

15

10/01/2011

N/A

HSBC BANK MALAYSIA BHD

N/A

Unsatisfied

 

 

LEGAL CHECK AGAINST SC


* A check has been conducted in our databank against 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

 

 

 


The SC refused to provide any name of trade/service supplier and we are unable to conduct any trade enquiry. However, from financial historical data we conclude that :

 

OVERALL PAYMENT HABIT

Prompt 0-30 Days

[

 

]

 

Good 31-60 Days

[

X

]

 

Average 61-90 Days

[

 

]

 

Fair 91-120 Days

[

 

]

 

Poor >120 Days

[

 

]

 

 

 

 

 

 

 

CLIENTELE

 

Local

:

YES

Domestic Markets

:

MALAYSIA

Overseas

:

YES

 

 

 

Export Market

:

ASIA

AUSTRALIA

Credit Term

:

AS AGREED

 

 

 

 

 

 

Payment Mode

:

TELEGRAPHIC TRANSFER (TT)

Type of Customer

:

DEALERS,HYPERMARKETS

 

 

 

 

 

 

 

 

 

 

 

 

 

OPERATIONS

 

Products manufactured

:

FISH,PRAWNS, CUTTLEFISH AND OTHER SEAFOODS

 

 

 

Competitor(s)

:

GOLDEN FRESH SDN BHD
GP OCEAN FOOD SDN BHD
HOOM XIANG INDUSTRIES SDN BHD
QL FOODS SDN BHD
RAJAUDANG SDN BHD

 

 

 

 

 

 

 

 

Member(s) / Affiliate(s)

:

MALAYSIA FOOD & BEVERAGE INDUSTRY

 

 

 

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

200

200

200

200

100

 

 

 

 

 

Branch

:

NO

 

 

Other Information:

The SC is principally engaged in the (as a / as an) processing & marketing of frozen & non frozen seafood. 

The SC's processed products are including cuttlefish, octopus, squid, fish, prawn and others.

We were informed that the SC implements a Hazard Analysis & Critical Control Point (HACCP) system.

Besides that the SC has a coldroom facilities at its premises to keep the freshness of its products. 

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

:

05-6411344

Match

:

N/A

 

 

 

Address Provided by Client

:

LOT 9999,JALAN TEPI SUNGAI, 36400 HUTAN MELINGTANG, PERAK DARUL RIDZUAN,MALAYSIA

Current Address

:

LOT 9999, JALAN TEPI SUNGAI, 36400 HUTAN MELINTANG, PERAK, MALAYSIA.

Match

:

YES

 

 

 

Latest Financial Accounts

:

YES

 

Other Investigations

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



FINANCIAL ANALYSIS

 

 

Profitability

 

 

 

 

 

 

Turnover

:

Increased

[

2007 - 2011

]

 

Profit/(Loss) Before Tax

:

Increased

[

2007 - 2011

]

 

Return on Shareholder Funds

:

Unfavourable

[

4.10%

]

 

Return on Net Assets

:

Unfavourable

[

8.61%

]

 

 

 

 

 

 

 

 

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 unfavourable return on shareholders' funds could indicate that the SC was inefficient in utilising its assets to generate returns.

 

 

 

 

 

 

 

Working Capital Control

 

 

 

 

 

 

Stock Ratio

:

Favourable

[

23 Days

]

 

Debtor Ratio

:

Acceptable

[

63 Days

]

 

Creditors Ratio

:

Favourable

[

22 Days

]

 

 

 

 

 

 

 

 

The SC's stocks were moving fast thus reducing its holding cost. This had reduced funds being tied up in stocks. The SC's management was quite efficient in handling its debtors. The SC's debtors days were at an acceptable range, thus the risk of its debts turning bad was minimised. The SC had a favourable creditors' ratio where the SC could be taking advantage of the cash discounts and also wanting to maintain goodwill with its creditors.

 

 

 

 

 

 

 

Liquidity

 

 

 

 

 

 

Liquid Ratio

:

Favourable

[

2.11 Times

]

 

Current Ratio

:

Favourable

[

2.57 Times

]

 

 

 

 

 

 

 

 

A minimum liquid ratio of 1 should be maintained by the SC in order to assure its creditors of its ability to meet short term obligations and the SC was in a good liquidity position. Thus, we believe the SC is able to meet all its short term obligations as and when they fall due.

 

 

 

 

 

 

 

Solvency

 

 

 

 

 

 

Interest Cover

:

Favourable

[

10.78 Times

]

 

Gearing Ratio

:

Favourable

[

0.16 Times

]

 

 

 

 

 

 

 

 

The interest cover showed that the SC was able to service the interest. The favourable interest cover could indicate that the SC was making enough profit to pay for the interest accrued. The SC was lowly geared thus it had a low financial risk. The SC was mainly financed by its shareholders' funds and internally generated funds. In times of economic slowdown / downturn, the SC being a lowly geared company, will be able to compete better than those companies which are highly geared in the same industry.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Overall Assessment :

 

 

 

 

 

 

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. With the favourable interest cover, the SC could be able to service all the accrued interest without facing any difficulties. The SC as a lowly geared company, will be more secured compared to those highly geared companies. It has the ability to meet all its long term obligations.

 

 

 

 

 

 

 

Overall financial condition of the SC : FAIR

 

 

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

10201 : Canning of fish, crustaceans and mollusks

 

 

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 1980, the SC is a Private Limited company, focusing on processing & marketing of frozen & non frozen seafood. The SC has been in business for over two decades. It has built up a strong clientele base and good reputation will enable the SC to further enhance its business in the near term. The SC is expected to enjoy a stable market shares. The SC is a large entity with strong capital position. We are confident with the SC's business and its future growth prospect. 

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. The SC is a fairly large and rapidly growing company with over 200 staff in its 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. 

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. The SC has generated an unfavourable return on shareholders' funds indicating that the management was inefficient in utilising its funds to generate return. However, 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. Being a lowly geared company, the SC is exposed to low financial risk as it is mainly dependent on its internal funds to finance its business needs. Given a positive net worth standing at MYR 23,428,676, the SC should be able to maintain its business in the near terms. 

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. 

Overall, the SC's payment habit is good as the SC has a good credit control and it could be taking advantage of the cash discounts while maintaining a good reputation with its creditors. 

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)

SEN UP HUAT SEAFOOD TRADING 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

GROUP

Audited Account

YES

YES

YES

YES

YES

Unqualified Auditor's Report (Clean Opinion)

YES

YES

YES

YES

YES

Financial Type

FULL

FULL

FULL

SUMMARY

SUMMARY

Currency

MYR

MYR

MYR

MYR

MYR

 

 

 

 

 

 

TURNOVER

55,061,065

51,834,803

50,043,495

51,171,640

58,925,533

 

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

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

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

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

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

Total Turnover

55,061,065

51,834,803

50,043,495

51,171,640

58,925,533

Costs of Goods Sold

<49,456,863>

<46,397,769>

-

-

-

 

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

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

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

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

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

Gross Profit

5,604,202

5,437,034

-

-

-

 

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

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

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

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

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

 

 

 

 

 

 

PROFIT/(LOSS) FROM OPERATIONS

2,001,057

1,781,486

1,530,104

1,101,168

2,189,951

 

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

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

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

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

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

PROFIT/(LOSS) BEFORE TAXATION

2,001,057

1,781,486

1,530,104

1,101,168

2,189,951

Taxation

<1,038,079>

<388,679>

<409,504>

<184,088>

<96,123>

 

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

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

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

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

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

PROFIT/(LOSS) AFTER TAXATION

962,978

1,392,807

1,120,600

917,080

2,093,828

Minority interests

<1,371>

<39,790>

<27,227>

<33,186>

<20,337>

 

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

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

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

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

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

PROFIT/(LOSS) BEFORE EXTRAORDINARY ITEMS

961,607

1,353,017

1,093,373

883,894

2,073,491

 

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

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

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

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

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

PROFIT/(LOSS) ATTRIBUTABLE TO SHAREHOLDERS

961,607

1,353,017

1,093,373

883,894

2,073,491

RETAINED PROFIT/(LOSS) BROUGHT FORWARD

 

 

 

 

 

As previously reported

12,236,030

11,083,013

9,989,640

9,105,684

7,432,193

Prior year adjustment

-

-

-

62

-

 

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

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

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

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

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

As restated

12,236,030

11,083,013

9,989,640

9,105,746

7,432,193

 

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

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

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

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

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

PROFIT AVAILABLE FOR APPROPRIATIONS

13,197,637

12,436,030

11,083,013

9,989,640

9,505,684

DIVIDENDS - Ordinary (paid & proposed)

<300,000>

<200,000>

-

-

<400,000>

 

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

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

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

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

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

RETAINED PROFIT/(LOSS) CARRIED FORWARD

12,897,637

12,236,030

11,083,013

9,989,640

9,105,684

 

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

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

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

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

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

 

 

 

 

 

 

INTEREST EXPENSE (as per notes to P&L)

 

 

 

 

 

Bank overdraft

12,606

13,554

4,530

-

-

Bankers' acceptance

74,230

95,996

-

-

-

Hire purchase

73,957

84,250

85,468

-

-

Others

43,861

-

62,056

-

-

 

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

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

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

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

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

 

204,654

193,800

152,054

-

-

 

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

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

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

 

 

 

 

BALANCE SHEET

 

 

SEN UP HUAT SEAFOOD TRADING SDN. BHD.

 

ASSETS EMPLOYED:

 

 

 

 

 

FIXED ASSETS

11,272,149

10,965,745

10,531,944

11,576,181

10,155,147

 

 

 

 

 

 

LONG TERM INVESTMENTS/OTHER ASSETS

 

 

 

 

 

Investments

1,342,403

-

-

-

-

 

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

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

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

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

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

TOTAL LONG TERM INVESTMENTS/OTHER ASSETS

1,342,403

-

-

668,932

676,364

 

 

 

 

 

 

INTANGIBLE ASSETS

 

 

 

 

 

Deferred/Expenditure carried forward

-

-

142,541

-

-

Goodwill on consolidation

1,170,700

1,170,700

1,170,700

-

-

 

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

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

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

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

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

TOTAL INTANGIBLE ASSETS

1,170,700

1,170,700

1,313,241

-

-

 

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

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

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

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

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

TOTAL LONG TERM ASSETS

13,785,252

12,136,445

11,845,185

12,245,113

10,831,511

 

 

 

 

 

 

CURRENT ASSETS

 

 

 

 

 

Stocks

3,511,864

3,575,419

2,826,785

-

-

Trade debtors

9,543,794

10,969,055

8,849,575

-

-

Other debtors, deposits & prepayments

3,673,054

2,850,924

427,812

-

-

Short term deposits

726,066

665,571

631,525

-

-

Amount due from director

93,169

235,243

315,742

-

-

Cash & bank balances

1,822,462

1,092,814

2,004,478

-

-

 

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

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

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

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

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

TOTAL CURRENT ASSETS

19,370,409

19,389,026

15,055,917

13,711,249

15,741,188

 

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

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

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

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

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

TOTAL ASSET

33,155,661

31,525,471

26,901,102

25,956,362

26,572,699

 

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

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

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

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

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

 

 

 

 

 

 

CURRENT LIABILITIES

 

 

 

 

 

Trade creditors

2,939,486

1,590,475

927,809

-

-

Other creditors & accruals

1,464,729

1,608,416

1,463,705

-

-

Hire purchase & lease creditors

367,816

346,428

359,170

-

-

Bank overdraft

785,561

2,278,352

516,988

-

-

Bill & acceptances payable

1,699,000

1,848,000

548,000

-

-

Amounts owing to director

97,276

-

-

-

-

Provision for taxation

135,414

25,896

141,781

-

-

Other liabilities

43,447

-

-

-

-

 

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

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

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

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

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

TOTAL CURRENT LIABILITIES

7,532,729

7,697,567

3,957,453

4,449,923

5,952,509

 

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

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

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

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

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

NET CURRENT ASSETS/(LIABILITIES)

11,837,680

11,691,459

11,098,464

9,261,326

9,788,679

 

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

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

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

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

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

TOTAL NET ASSETS

25,622,932

23,827,904

22,943,649

21,506,439

20,620,190

 

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

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

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

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

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

 

 

 

 

 

 

SHARE CAPITAL

 

 

 

 

 

Ordinary share capital

10,000,000

10,000,000

10,000,000

10,000,000

10,000,000

 

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

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

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

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

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

TOTAL SHARE CAPITAL

10,000,000

10,000,000

10,000,000

10,000,000

10,000,000

 

 

 

 

 

 

RESERVES

 

 

 

 

 

Retained profit/(loss) carried forward

12,897,637

12,236,030

11,083,013

9,989,640

9,105,684

 

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

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

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

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

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

TOTAL RESERVES

12,897,637

12,236,030

11,083,013

9,989,640

9,105,684

 

 

 

 

 

 

MINORITY INTEREST

531,039

529,668

489,878

462,651

433,030

 

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

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

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

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

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

SHAREHOLDERS' FUNDS/EQUITY

23,428,676

22,765,698

21,572,891

20,452,291

19,538,714

 

 

 

 

 

 

LONG TERM LIABILITIES

 

 

 

 

 

Hire purchase creditors

785,293

802,806

1,082,358

-

-

Deferred taxation

428,500

259,400

288,400

-

-

Others

980,463

-

-

-

-

 

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

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

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

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

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

TOTAL LONG TERM LIABILITIES

2,194,256

1,062,206

1,370,758

1,054,148

1,081,476

 

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

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

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

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

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

 

25,622,932

23,827,904

22,943,649

21,506,439

20,620,190

 

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

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

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

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

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

 

 

 

 

 

 

 

 

 

FINANCIAL RATIO

 

 

SEN UP HUAT SEAFOOD TRADING SDN. BHD.

 

TYPES OF FUNDS

 

 

 

 

 

Cash

2,548,528

1,758,385

2,636,003

-

-

Net Liquid Funds

63,967

<2,367,967>

1,571,015

-

-

Net Liquid Assets

8,325,816

8,116,040

8,271,679

9,261,326

9,788,679

Net Current Assets/(Liabilities)

11,837,680

11,691,459

11,098,464

9,261,326

9,788,679

Net Tangible Assets

24,452,232

22,657,204

21,630,408

21,506,439

20,620,190

Net Monetary Assets

6,131,560

7,053,834

6,900,921

8,207,178

8,707,203

BALANCE SHEET ITEMS

 

 

 

 

 

Total Borrowings

3,637,670

5,275,586

2,506,516

-

-

Total Liabilities

9,726,985

8,759,773

5,328,211

5,504,071

7,033,985

Total Assets

33,155,661

31,525,471

26,901,102

25,956,362

26,572,699

Net Assets

25,622,932

23,827,904

22,943,649

21,506,439

20,620,190

Net Assets Backing

23,428,676

22,765,698

21,572,891

20,452,291

19,538,714

Shareholders' Funds

23,428,676

22,765,698

21,572,891

20,452,291

19,538,714

Total Share Capital

10,000,000

10,000,000

10,000,000

10,000,000

10,000,000

Total Reserves

12,897,637

12,236,030

11,083,013

9,989,640

9,105,684

LIQUIDITY (Times)

 

 

 

 

 

Cash Ratio

0.34

0.23

0.67

-

-

Liquid Ratio

2.11

2.05

3.09

-

-

Current Ratio

2.57

2.52

3.80

3.08

2.64

WORKING CAPITAL CONTROL (Days)

 

 

 

 

 

Stock Ratio

23

25

21

-

-

Debtors Ratio

63

77

65

-

-

Creditors Ratio

22

13

7

-

-

SOLVENCY RATIOS (Times)

 

 

 

 

 

Gearing Ratio

0.16

0.23

0.12

-

-

Liabilities Ratio

0.42

0.38

0.25

0.27

0.36

Times Interest Earned Ratio

10.78

10.19

11.06

-

-

Assets Backing Ratio

2.45

2.27

2.16

2.15

2.06

PERFORMANCE RATIO (%)

 

 

 

 

 

Operating Profit Margin

3.63

3.44

3.06

2.15

3.72

Net Profit Margin

1.75

2.61

2.18

1.73

3.52

Return On Net Assets

8.61

8.29

7.33

5.12

10.62

Return On Capital Employed

7.75

7.02

6.57

5.01

10.40

Return On Shareholders' Funds/Equity

4.10

5.94

5.07

4.32

10.61

Dividend Pay Out Ratio (Times)

0.31

0.15

0.00

-

0.19

NOTES TO ACCOUNTS

 

 

 

 

 

Contingent Liabilities

0

0

0

 

 





FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.60.05

UK Pound

1

Rs.90.71

Euro

1

Rs.78.47

 

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.