|
* Adopted abbreviations :
|
SC - Subject Company (the company enquired by you)
|
|
|
|
N/A - Not Applicable
|
|
|
|
EXECUTIVE SUMMARY
|
REGISTRATION NO.
|
:
|
199904042-N
|
|
COMPANY NAME
|
:
|
SPECTRA INNOVATIONS PTE LTD
|
|
FORMER NAME
|
:
|
N/A
|
|
INCORPORATION DATE
|
:
|
14/07/1999
|
|
|
|
|
|
|
|
|
|
COMPANY STATUS
|
:
|
EXIST
|
|
LEGAL FORM
|
:
|
PRIVATE LIMITED
|
|
LISTED STATUS
|
:
|
NO
|
|
|
|
|
|
|
|
|
|
REGISTERED
ADDRESS
|
:
|
51, CHANGI
BUSINESS PARK CENTRAL 2, 09-14, THE SIGNATURE, 486066, SINGAPORE.
|
|
BUSINESS
ADDRESS
|
:
|
51, CHANGI
BUSINESS PARK CENTRAL 2, 09-14, THE SIGNATURE, 486066, SINGAPORE.
|
|
TEL.NO.
|
:
|
65-65878536
|
|
FAX.NO.
|
:
|
65-67846816
|
|
CONTACT PERSON
|
:
|
KANWAL NAN SAHNEY ( MANAGING DIRECTOR )
|
|
|
|
|
|
|
|
|
|
PRINCIPAL ACTIVITY
|
:
|
TRADING OF COMPUTER HARDWARE AND COMPUTER ACCESSORIES
|
|
|
|
|
|
ISSUED AND
PAID UP CAPITAL
|
:
|
4,000,000.00 ORDINARY
SHARE, OF A VALUE OF USD 4,000,000.00
|
|
|
|
|
|
SALES
|
:
|
USD
100,764,840 [2012]
|
|
NET WORTH
|
:
|
USD 3,423,455
[2012]
|
|
|
|
|
|
STAFF STRENGTH
|
:
|
20 [2013]
|
|
BANKER (S)
|
:
|
|
AUSTRALIA
AND NEW ZEALAND BANKING GROUP LTD
CITIBANK N.A.
MALAYAN BANKING BHD
STANDARD CHARTERED BANK
THE HONGKONG & SHANGHAI BANKING CORPORATION LIMITED
UNITED OVERSEAS BANK LTD
CITIBANK BHD
|
|
|
|
LITIGATION
|
:
|
CLEAR
|
|
FINANCIAL CONDITION
|
:
|
POOR
|
|
PAYMENT
|
:
|
FAIR
|
|
MANAGEMENT CAPABILITY
|
:
|
AVERAGE
|
|
|
|
|
|
COMMERCIAL RISK
|
:
|
MODERATE
|
|
CURRENCY EXPOSURE
|
:
|
MODERATE
|
|
GENERAL REPUTATION
|
:
|
SATISFACTORY
|
|
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 and the
company must file its annual returns, together with its financial statements
with the Registrar of Companies.
The SC is
principally engaged in the (as a / as an) trading of computer hardware and
computer accessories.
The immediate
and ultimate holding company of the SC is SPECVISION HOLDINGS PTE. LTD., a
company incorporated in SINGAPORE.
The major shareholder(s) of the SC are shown as follows :
|
Name
|
Address
|
IC/PP/Loc No
|
Shareholding
|
(%)
|
|
SPECVISION HOLDINGS PTE. LTD.
|
51, CHANGI BUSINESS PARK CENTRAL 2, 09-14, SIGNATURE, THE, 486066,
SINGAPORE.
|
200403417H
|
4,000,000.00
|
100.00
|
|
|
|
|
---------------
|
------
|
|
|
|
|
4,000,000.00
|
100.00
|
|
|
|
|
============
|
=====
|
+ Also Director
The SC interest in other companies (Subsidiaries/Associates) are shown
as follow :
|
Local No
|
Country
|
Company
|
(%)
|
As At
|
|
200402091
|
SINGAPORE
|
UNISPEC TECHNOLOGIES PTE. LTD.
|
50.00
|
31/03/2012
|
|
|
|
|
|
|
DIRECTORS
DIRECTOR 1
|
Name Of Subject
|
:
|
MAMIDANNA PRASAD
|
|
Address
|
:
|
88/8, 2ND CROSS BOREWELL ROAD, WHITEFIELD, BANGALORE, 560066, INDIA.
|
|
IC / PP No
|
:
|
452058183
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nationality
|
:
|
AMERICAN
|
|
Date of Appointment
|
:
|
10/05/2003
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
DIRECTOR 2
|
Name Of Subject
|
:
|
KANWAL NAIN SAHNEY
|
|
Address
|
:
|
70A, BOURNEMOUTH ROAD, BOURNEMOUTH EIGHT, 439720, SINGAPORE.
|
|
IC / PP No
|
:
|
S2616608Z
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nationality
|
:
|
SINGAPOREAN
|
|
Date of Appointment
|
:
|
01/04/2005
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
DIRECTOR 3
|
Name Of Subject
|
:
|
ANNU SAHNEY
|
|
Address
|
:
|
70A, BOURNEMOUTH ROAD, BOURNEMOUTH EIGHT, 439720, SINGAPORE.
|
|
IC / PP No
|
:
|
S2616610A
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nationality
|
:
|
SINGAPOREAN
|
|
Date of Appointment
|
:
|
10/10/2000
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
DIRECTOR 4
|
Name Of Subject
|
:
|
KKUNAL SAHNEY
|
|
Address
|
:
|
70A, BOURNEMOUTH ROAD, BOURNEMOUTH EIGHT, 439720, SINGAPORE.
|
|
IC / PP No
|
:
|
S8471090C
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nationality
|
:
|
SINGAPOREAN
|
|
Date of Appointment
|
:
|
15/03/2013
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
MANAGEMENT
|
1)
|
Name of Subject
|
:
|
KANWAL NAN SAHNEY
|
|
|
Position
|
:
|
MANAGING DIRECTOR
|
|
|
|
|
|
AUDITOR
|
Auditor
|
:
|
STAMFORD ASSOCIATES LLP
|
|
Auditor' Address
|
:
|
N/A
|
|
|
|
|
|
|
|
|
COMPANY SECRETARIES
|
1)
|
Company Secretary
|
:
|
KALYANASUNDARAM MARAN
|
|
|
IC / PP No
|
:
|
S2662120H
|
|
|
|
|
|
|
|
Address
|
:
|
30, JALAN BAHAGIA, 02-380, 320030, SINGAPORE.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
BANKING
Banking relations are maintained principally with :
|
1)
|
Name
|
:
|
AUSTRALIA AND NEW ZEALAND BANKING GROUP LTD
|
|
|
|
|
|
|
|
|
|
|
|
3)
|
Name
|
:
|
MALAYAN BANKING BHD
|
|
|
|
|
|
|
|
|
|
|
|
4)
|
Name
|
:
|
STANDARD CHARTERED BANK
|
|
|
|
|
|
|
|
|
|
|
|
5)
|
Name
|
:
|
THE HONGKONG & SHANGHAI BANKING CORPORATION LIMITED
|
|
|
|
|
|
|
|
|
|
|
|
6)
|
Name
|
:
|
UNITED OVERSEAS BANK LTD
|
|
|
|
|
|
|
|
|
|
|
ENCUMBRANCE (S)
|
Charge No
|
Creation Date
|
Charge
Description
|
Chargee Name
|
Total Charge
|
Status
|
|
C200508077
|
27/12/2005
|
N/A
|
MALAYAN BANKING BHD
|
N/A
|
Unsatisfied
|
|
C200604054
|
22/06/2006
|
N/A
|
MALAYAN BANKING BHD
|
N/A
|
Unsatisfied
|
|
C200605214
|
08/08/2006
|
N/A
|
CITIBANK BHD
|
N/A
|
Unsatisfied
|
|
C200908078
|
09/12/2009
|
N/A
|
THE BANK OF EAST ASIA LTD
|
N/A
|
Unsatisfied
|
|
C200908177
|
11/12/2009
|
N/A
|
UNITED OVERSEAS BANK LTD
|
N/A
|
Unsatisfied
|
|
C201001055
|
03/02/2010
|
N/A
|
STANDARD CHARTERED BANK
|
N/A
|
Unsatisfied
|
|
C201001341
|
10/02/2010
|
N/A
|
UNITED OVERSEAS BANK LTD
|
N/A
|
Unsatisfied
|
|
C201102612
|
01/03/2011
|
N/A
|
STANDARD CHARTERED BANK
|
N/A
|
Unsatisfied
|
|
C201104893
|
20/04/2011
|
N/A
|
THE HONGKONG & SHANGHAI BANKING CORPORATION LIMITED
|
N/A
|
Unsatisfied
|
|
C201211671
|
01/01/2012
|
N/A
|
THE HONGKONG & SHANGHAI BANKING CORPORATION LIMITED
|
N/A
|
Unsatisfied
|
|
C201306976
|
22/05/2013
|
N/A
|
THE HONGKONG AND SHANGAI BANKING CORPORATION LIMITED
|
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.
No legal action was found in our databank.
No winding up petition was found in our 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
|
[
|
|
]
|
|
Average 61-90 Days
|
[
|
|
]
|
|
|
Fair 91-120 Days
|
[
|
X
|
]
|
|
Poor >120 Days
|
[
|
|
]
|
|
|
|
|
|
|
CLIENTELE
|
Local
|
:
|
YES
|
|
Domestic Markets
|
:
|
SINGAPORE
|
|
Overseas
|
:
|
YES
|
|
|
|
|
Export Market
|
:
|
INDIA
ASIA
|
|
Credit Term
|
:
|
AS AGREED
|
|
|
|
|
|
|
|
|
Payment Mode
|
:
|
CHEQUES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
OPERATIONS
|
Goods Traded
|
:
|
COMPUTER HARDWARE AND COMPUTER ACCESSORIES
|
|
|
|
|
|
Total Number of Employees:
|
|
|
YEAR
|
2013
|
2012
|
2011
|
2010
|
|
|
|
|
|
|
|
|
GROUP
|
N/A
|
N/A
|
N/A
|
N/A
|
|
|
|
|
|
|
COMPANY
|
20
|
10
|
10
|
3
|
|
|
|
|
|
Other Information:
The SC is principally engaged in the (as a / as an) trading of computer
hardware and computer accessories.
The SC involved in:
* Dealing with peripherals & computer components
* Distribution of computer peripherals and integrated circuits
The SC's products dealings are as follows:
* Computer accessories
* Computer peripherals
* Data storage solutions
The SC has vision to be the leading provider of technology products and
design services for semiconductors, Rf products and computer storage
sub-systems.
CURRENT INVESTIGATION
Latest fresh
investigations carried out on the SC indicated that :
|
Telephone Number Provided By Client
|
:
|
+65 65878536
|
|
Current Telephone Number
|
:
|
65-65878536
|
|
Match
|
:
|
YES
|
|
|
|
|
|
Address Provided
by Client
|
:
|
51, CHANGI
BUSINESS PARK CENTRAL 2 #09-14, THE SIGNATURE SINGAPORE 486066
|
|
Current
Address
|
:
|
51, CHANGI
BUSINESS PARK CENTRAL 2, 09-14, THE SIGNATURE, 486066, SINGAPORE.
|
|
Match
|
:
|
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
|
[
|
2009 - 2012
|
]
|
|
|
Profit/(Loss) Before Tax
|
:
|
Decreased
|
[
|
2009 - 2012
|
]
|
|
|
Return on Shareholder Funds
|
:
|
Unfavourable
|
[
|
5.06%
|
]
|
|
|
Return on Net Assets
|
:
|
Acceptable
|
[
|
15.61%
|
]
|
|
|
|
|
|
|
|
|
|
|
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
profit fell sharply because of the high operating costs incurred. 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
|
[
|
13 Days
|
]
|
|
|
Debtor Ratio
|
:
|
Favourable
|
[
|
31 Days
|
]
|
|
|
Creditors Ratio
|
:
|
Favourable
|
[
|
16 Days
|
]
|
|
|
|
|
|
|
|
|
|
|
The SC's stocks were moving fast thus reducing its holding cost.
This had reduced funds being tied up in stocks. The favourable debtors'
days could be due to the good credit control measures implemented by the SC.
The SC had a favourable creditors' ratio where the SC could be taking
advantage of the cash discounts and also wanting to maintain goodwill with
its creditors.
|
|
|
|
|
|
|
|
|
|
Liquidity
|
|
|
|
|
|
|
|
Liquid Ratio
|
:
|
Acceptable
|
[
|
0.97 Times
|
]
|
|
|
Current Ratio
|
:
|
Unfavourable
|
[
|
1.20 Times
|
]
|
|
|
|
|
|
|
|
|
|
|
The SC's liquid ratio was slightly low. This could indicate that the
SC's working capital was slightly deficient. The SC will have to improve its
liquidity position either by obtaining short term financing or increase its
paid up capital so that it can meet all its short term obligations as and
when they fall due.
|
|
|
|
|
|
|
|
|
|
Solvency
|
|
|
|
|
|
|
|
Interest Cover
|
:
|
Unfavourable
|
[
|
1.48 Times
|
]
|
|
|
Gearing Ratio
|
:
|
Unfavourable
|
[
|
2.70 Times
|
]
|
|
|
|
|
|
|
|
|
|
|
The SC's interest cover was low. If its profits fall or when interest
rate rises, it may not be able to meet all its interest payment. The SC was
highly geared, thus it had a high financial risk. The SC was dependent on
loans to finance its business needs. In times of economic downturn and / or
high interest rate, the SC will become less profitable and competitive than
other firms in the same industry, which are lowly geared. This is because
the SC has to service the interest and to repay the loan, which will erode
part of its profits. The profits will fluctuate depending on the SC's
turnover and the interest it needs to pay.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Overall Assessment :
|
|
|
|
|
|
|
|
Although the SC's turnover had increased, its profits had declined over
the same corresponding period. This could be due to the stiffer market
competition and / or higher operating costs which lowered the SC's profit
margin. The SC's liquidity was at an acceptable range. If the SC is able to
obtain further short term financing, it should be able to meet all its
short term obligations. If there is a fall in the SC's profit or any
increase in interest rate, the SC may not be able to generate sufficient
cash-flow to service its interest. The SC's gearing level was high and its
going concern will be in doubt if there is no injection of additional
shareholders' funds in times of economic downturn and / or high interest
rates.
|
|
|
|
|
|
|
|
|
|
Overall financial condition of the SC : POOR
|
SINGAPORE ECONOMIC / INDUSTRY OUTLOOK
|
Major Economic Indicators :
|
2008
|
2009
|
2010
|
2011
|
2012
|
|
|
|
|
|
|
|
|
Population (Million)
|
4.84
|
4.98
|
5.08
|
5.18
|
5.31
|
|
Gross Domestic Products ( % )
|
1.5
|
<0.8>
|
14.5
|
4.9
|
1.3
|
|
Consumer Price Index
|
6.6
|
0.6
|
2.8
|
5.2
|
4.6
|
|
Total Imports (Million)
|
450,892.6
|
356,299.3
|
423,221.8
|
459,655.1
|
474,554.0
|
|
Total Exports (Million)
|
476,762.2
|
391,118.1
|
478,840.7
|
514,741.2
|
510,329.0
|
|
|
|
|
|
|
|
|
Unemployment Rate (%)
|
2.2
|
3.2
|
2.2
|
2.1
|
2.0
|
|
Tourist Arrival (Million)
|
10.12
|
9.68
|
11.64
|
13.17
|
14.37
|
|
Hotel Occupancy Rate (%)
|
81.0
|
75.8
|
85.6
|
86.5
|
86.4
|
|
Cellular Phone Subscriber (Million)
|
1.31
|
1.37
|
1.43
|
1.50
|
1.52
|
|
|
|
|
|
|
|
|
Registration of New Companies (No.)
|
25,327
|
26,414
|
29,798
|
32,317
|
31,892
|
|
Registration of New Companies (%)
|
<2.2>
|
4.3
|
12.8
|
8.5
|
<1.3>
|
|
Liquidation of Companies (No.)
|
10,493
|
22,393
|
15,126
|
19,005
|
17,218
|
|
Liquidation of Companies (%)
|
13.7
|
113.4
|
<32.5>
|
25.6
|
9.4
|
|
|
|
|
|
|
|
|
Registration of New Businesses (No.)
|
24,850
|
26,876
|
23,978
|
23,494
|
24,788
|
|
Registration of New Businesses (%)
|
0.36
|
8.15
|
<10.78>
|
2.02
|
5.51
|
|
Liquidation of Businesses (No.)
|
21,150
|
23,552
|
24,211
|
23,005
|
22,489
|
|
Liquidation of Businesses (%)
|
<0.8>
|
11.4
|
2.8
|
<5>
|
<2.2>
|
|
|
|
|
|
|
|
|
Bankruptcy Orders (No.)
|
2,326
|
2,058
|
1,537
|
1,527
|
1,748
|
|
Bankruptcy Orders (%)
|
<15.9>
|
<11.5>
|
<25.3>
|
<0.7>
|
14.5
|
|
Bankruptcy Discharges (No.)
|
1,500
|
3,056
|
2,252
|
1,391
|
1,881
|
|
Bankruptcy Discharges (%)
|
<7.7>
|
103.7
|
<26.3>
|
<38.2>
|
35.2
|
|
|
|
|
|
|
|
|
INDUSTRIES ( % of Growth ) :
|
|
|
|
|
|
|
Agriculture
|
|
|
|
|
|
|
Production of Principal Crops
|
<0.32>
|
3.25
|
<0.48>
|
4.25
|
3.64
|
|
Fish Supply & Wholesale
|
<6.31>
|
<1.93>
|
<10.5>
|
12.10
|
<0.5>
|
|
|
|
|
|
|
|
|
Manufacturing *
|
74.6
|
71.5
|
92.8
|
100.0
|
100.3
|
|
Food, Beverages & Tobacco
|
94.8
|
90.4
|
96.4
|
100.0
|
103.5
|
|
Textiles
|
180.1
|
145.9
|
122.1
|
100.0
|
104.0
|
|
Wearing Apparel
|
334.6
|
211.0
|
123.3
|
100.0
|
92.1
|
|
Leather Products & Footwear
|
128.2
|
79.5
|
81.8
|
100.0
|
98.6
|
|
Wood & Wood Products
|
132.0
|
101.4
|
104.0
|
100.0
|
95.5
|
|
Paper & Paper Products
|
101.0
|
95.4
|
106.1
|
100.0
|
97.4
|
|
Printing & Media
|
118.2
|
100.9
|
103.5
|
100.0
|
93.0
|
|
Crude Oil Refineries
|
113.1
|
96.4
|
95.6
|
100.0
|
99.4
|
|
Chemical & Chemical Products
|
84.5
|
80.3
|
97.6
|
100.0
|
100.5
|
|
Pharmaceutical Products
|
43.7
|
49.1
|
75.3
|
100.0
|
109.7
|
|
Rubber & Plastic Products
|
120.1
|
101.2
|
112.3
|
100.0
|
96.5
|
|
Non-metallic Mineral
|
96.5
|
91.9
|
92.5
|
100.0
|
98.2
|
|
Basic Metals
|
109.8
|
92.6
|
102.2
|
100.0
|
90.6
|
|
Fabricated Metal Products
|
101.3
|
90.8
|
103.6
|
100.0
|
104.3
|
|
Machinery & Equipment
|
65.0
|
57.3
|
78.5
|
100.0
|
112.9
|
|
Electrical Machinery
|
81.7
|
86.8
|
124.1
|
100.0
|
99.3
|
|
Electronic Components
|
93.1
|
85.2
|
113.6
|
100.0
|
90.6
|
|
Transport Equipment
|
102.0
|
96.0
|
94.0
|
100.0
|
106.3
|
|
|
|
|
|
|
|
|
Construction
|
45.90
|
<36.9>
|
14.20
|
20.50
|
28.70
|
|
Real Estate
|
<11.2>
|
1.4
|
21.3
|
25.4
|
31.9
|
|
|
|
|
|
|
|
|
Services
|
|
|
|
|
|
|
Electricity, Gas & Water
|
<1.3>
|
1.70
|
4.00
|
7.00
|
6.30
|
|
Transport, Storage & Communication
|
11.60
|
3.90
|
12.80
|
7.40
|
5.30
|
|
Finance & Insurance
|
<5.9>
|
<16.4>
|
<0.4>
|
8.90
|
0.50
|
|
Government Services
|
17.40
|
4.50
|
9.70
|
6.90
|
6.00
|
|
Education Services
|
0.50
|
0.10
|
<0.9>
|
<1.4>
|
0.30
|
|
|
|
|
|
|
|
|
* Based on Index of Industrial Production (2011 = 100)
|
|
|
|
|
|
|
(Source : Department of Statistics)
|
|
|
|
|
|
INDUSTRY ANALYSIS
|
INDUSTRY :
|
TRADING
|
|
|
|
|
|
|
The wholesale and retail trade sector contracted by 1.5% in the
fourth quarter of 2012, extending the 0.2% decline in the preceding quarter.
For the whole of 2012, the sector declined by 0.7%, reversing the 1.6%
growth in 2011. The sector was weighed down primarily by the wholesale
trade segment. In 2012, the wholesale trade segment contracted by 1.0%, a
reversal from the 1.4% growth in 2011. Growth of the retail trade segment
also moderated to 2.0%, from 3.2% in the year 2011.
|
|
|
|
The domestic wholesale trade index grew by 1.2% in the fourth
quarter of 2012, an improvement from the 5.4% decline in the third quarter.
This was partly due to an increase in the sales of chemicals & chemical
products and ship chandlers & bunkering. For the full year of 2012, the
domestic wholesale trade index contracted by 2.2%, extending the 1.7%
decline in 2011. The foreign wholesale trade index grew by 8.6% in the
fourth quarter, an increase from the 6.6% growth in the third quarter. The
expansion was partly due to resilient sales of petroleum & petroleum
products. For the whole of 2012, the foreign wholesale trade index expanded
by 9.1%, faster than the 4.3% increase in 2011.
|
|
|
|
In the fourth quarter of 2012, retail sales volume declined by 2.0%,
extending the 0.3% decline in the third quarter. Excluding motor vehicles,
retail sales volume grew by 0.4%, a slight moderation compared to the 1.5% gain
in the third quarter of 2012. The sales volume of motor vehicles fell by
11% in the fourth quarter of 2012, after contracting by 6.1% in the third
quarter. The sales of several discretionary items also declined in the
fourth quarter. Besides, the sales of optical goods & books in 2012
fell by 3.6%, while the sales of telecommunications apparatus &
computers declined by 1.4%.
|
|
|
|
For 2012 as a whole, retail sales volume grew by 1.3%, compared to
the 2.0% expansion in 2011. Excluding motor vehicle sales, the increase in
retail sales volume also moderated from 5.4% in 2011 to 1.7% in 2012.
Medical goods & toiletries registered the largest increase (9.3%) in
sales, followed by telecommunications apparatus & computers (6.9%). By
contrast, the sales of watches & jewellery (-2.2%) and optical goods
& books (-3.6%) declined.
|
|
|
|
|
|
|
OVERALL INDUSTRY OUTLOOK : AVERAGE GROWTH
|
CREDIT RISK EVALUATION &
RECOMMENDATION
|
Incorporated in 1999, the SC is a Private Limited company, focusing on
trading of computer hardware and computer accessories. Having been in the
industry for over a decade, the SC has achieved a certain market share and
has built up a satisfactory reputation in the market. It should have
received supports from its regular customers. Having strong support from
its holding company has enabled the SC to remain competitive despite the
challenging business environment. The capital standing of the SC is fair.
With an adequate share capital, the SC has the potential of expanding its
business in future.
Over the years, the SC has penetrated into both the local and overseas
market. The SC has positioned itself in the global market and is competing
in the industry. Its stable clientele base will enable the SC to further
enhance its business in the near term. Being a small company, the SC's
business operation is supported by 20 employees. Overall, we regard that
the SC's management capability is average.
Financially, the SC registered a higher turnover compared to previous year.
However, its profits showed a reverse trend. The lower profit achieved was
a result of higher operating cost and increased competition. The SC has
generated an unfavourable return on shareholders' funds indicating that the
management was inefficient in utilising its funds to generate return. The
SC managed to maintain an adequate liquidity level, indicating that the SC
has the ability to meet its financial obligations. Unfortunately, the high
gearing ratio clearly implied that the SC was supported by more debt than
equity. Thus, the SC is exposed to high financial risk.
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.
We regard that the SC's overall payment habit is fair. With poor financial
condition, the SC may unable to pay its creditors on the given period of
time.
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. Nonetheless, the SC should adopt better
competitive strategies in order to sustain its business position and to
compete with other well established players in the same industry.
In view of its poor financial performance, we recommend credit be granted
to the SC with close monitoring.
|
|
|
PROFIT AND LOSS ACCOUNT
|
THE FINANCIAL
STATEMENTS WERE PREPARED IN ACCORDANCE WITH SINGAPORE FINANCIAL REPORTING STANDARDS.
|
|
SPECTRA
INNOVATIONS PTE LTD
|
|
Financial Year End
|
31/03/2012
|
31/03/2011
|
31/03/2010
|
31/03/2009
|
|
Months
|
12
|
12
|
12
|
12
|
|
Consolidated Account
|
Company
|
Company
|
Company
|
Company
|
|
Audited Account
|
YES
|
YES
|
YES
|
YES
|
|
Unqualified Auditor's Report (Clean Opinion)
|
YES
|
YES
|
YES
|
YES
|
|
Financial Type
|
FULL
|
FULL
|
FULL
|
FULL
|
|
Currency
|
USD
|
USD
|
USD
|
USD
|
|
|
|
|
|
|
|
TURNOVER
|
100,764,840
|
82,913,393
|
56,989,137
|
20,490,212
|
|
Other Income
|
151,000
|
89,023
|
87,564
|
-
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
|
Total Turnover
|
100,915,840
|
83,002,416
|
57,076,701
|
20,490,212
|
|
Costs of Goods Sold
|
<98,223,707>
|
<80,443,183>
|
<55,311,036>
|
-
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
|
Gross Profit
|
2,692,133
|
2,559,233
|
1,765,665
|
-
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
|
|
|
|
|
|
|
PROFIT/(LOSS) FROM OPERATIONS
|
180,644
|
390,656
|
74,647
|
53,769
|
|
SHARE OF PROFITS/(LOSSES) OF ASSOCIATED COMPANIES
|
-
|
-
|
2,670
|
<14,885>
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
|
PROFIT/(LOSS) BEFORE TAXATION
|
180,644
|
390,656
|
77,317
|
38,884
|
|
Taxation
|
<7,251>
|
<36,932>
|
<5,779>
|
<10,227>
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
|
PROFIT/(LOSS) AFTER TAXATION
|
173,393
|
353,724
|
71,538
|
28,657
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
|
RETAINED PROFIT/(LOSS) BROUGHT FORWARD
|
|
|
|
|
|
As previously reported
|
1,000,062
|
646,338
|
574,800
|
546,143
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
|
As restated
|
1,000,062
|
646,338
|
574,800
|
546,143
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
|
PROFIT AVAILABLE FOR APPROPRIATIONS
|
1,173,455
|
1,000,062
|
646,338
|
574,800
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
|
RETAINED PROFIT/(LOSS) CARRIED FORWARD
|
1,173,455
|
1,000,062
|
646,338
|
574,800
|
|
|
=============
|
=============
|
=============
|
=============
|
|
|
|
|
|
|
|
INTEREST EXPENSE (as per notes to P&L)
|
|
|
|
|
|
Bank overdraft
|
14,244
|
11,855
|
5,679
|
2,079
|
|
Others
|
359,858
|
483,823
|
217,550
|
209,255
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
|
|
374,102
|
495,678
|
223,229
|
211,334
|
BALANCE SHEET
|
SPECTRA
INNOVATIONS PTE LTD
|
|
ASSETS EMPLOYED:
|
|
|
|
|
|
FIXED ASSETS
|
31,988
|
63,976
|
-
|
3,161
|
|
|
|
|
|
|
|
LONG TERM INVESTMENTS/OTHER ASSETS
|
|
|
|
|
|
Associated companies
|
453,818
|
397,797
|
345,419
|
342,749
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
|
TOTAL LONG
TERM INVESTMENTS/OTHER ASSETS
|
453,818
|
397,797
|
345,419
|
342,749
|
|
|
|
|
|
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
|
TOTAL LONG TERM ASSETS
|
485,806
|
461,773
|
345,419
|
345,910
|
|
|
|
|
|
|
|
CURRENT ASSETS
|
|
|
|
|
|
Stocks
|
3,582,118
|
5,206,378
|
3,275,947
|
2,592,545
|
|
Trade debtors
|
8,483,188
|
9,884,211
|
7,179,968
|
1,983,716
|
|
Other debtors, deposits & prepayments
|
2,317,509
|
792,501
|
514,843
|
112,602
|
|
Short term deposits
|
1,104,199
|
919,794
|
810,264
|
232,736
|
|
Amount due from holding company
|
-
|
471,054
|
460,520
|
-
|
|
Amount due from related companies
|
2,358,659
|
503,523
|
427,261
|
234,398
|
|
Amount due from associated companies
|
-
|
4,530
|
12,480
|
112,295
|
|
Cash & bank balances
|
391,981
|
351,735
|
498,752
|
134,922
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
|
TOTAL CURRENT ASSETS
|
18,237,654
|
18,133,726
|
13,180,035
|
5,403,214
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
|
TOTAL ASSET
|
18,723,460
|
18,595,499
|
13,525,454
|
5,749,124
|
|
|
=============
|
=============
|
=============
|
=============
|
|
|
|
|
|
|
|
CURRENT LIABILITIES
|
|
|
|
|
|
Trade creditors
|
4,235,773
|
5,903,891
|
3,873,875
|
1,906,864
|
|
Other creditors & accruals
|
100,149
|
1,077,030
|
98,140
|
232,314
|
|
Bank overdraft
|
116,448
|
202,934
|
159,697
|
48,059
|
|
Short term borrowings/Term loans
|
9,011,250
|
6,425,210
|
5,828,386
|
1,408,206
|
|
Deposits from customers
|
876,605
|
757,245
|
30,955
|
88,323
|
|
Amounts owing to holding company
|
534,176
|
-
|
-
|
6,499
|
|
Amounts owing to related companies
|
-
|
2,961
|
42,800
|
-
|
|
Amounts owing to director
|
273,752
|
179,026
|
177,183
|
31,807
|
|
Provision for taxation
|
21,339
|
22,309
|
5,305
|
1,715
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
|
TOTAL CURRENT LIABILITIES
|
15,169,492
|
14,570,606
|
10,216,341
|
3,723,787
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
|
NET CURRENT ASSETS/(LIABILITIES)
|
3,068,162
|
3,563,120
|
2,963,694
|
1,679,427
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
|
TOTAL NET ASSETS
|
3,553,968
|
4,024,893
|
3,309,113
|
2,025,337
|
|
|
=============
|
=============
|
=============
|
=============
|
|
|
|
|
|
|
|
SHARE CAPITAL
|
|
|
|
|
|
Ordinary share capital
|
2,250,000
|
2,250,000
|
2,250,000
|
1,450,000
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
|
TOTAL SHARE CAPITAL
|
2,250,000
|
2,250,000
|
2,250,000
|
1,450,000
|
|
|
|
|
|
|
|
RESERVES
|
|
|
|
|
|
Retained profit/(loss) carried forward
|
1,173,455
|
1,000,062
|
646,338
|
574,800
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
|
TOTAL RESERVES
|
1,173,455
|
1,000,062
|
646,338
|
574,800
|
|
|
|
|
|
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
|
SHAREHOLDERS' FUNDS/EQUITY
|
3,423,455
|
3,250,062
|
2,896,338
|
2,024,800
|
|
|
|
|
|
|
|
LONG TERM LIABILITIES
|
|
|
|
|
|
Long term loans
|
125,075
|
763,955
|
412,775
|
-
|
|
Deferred taxation
|
5,438
|
10,876
|
-
|
537
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
|
TOTAL LONG TERM LIABILITIES
|
130,513
|
774,831
|
412,775
|
537
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
|
|
3,553,968
|
4,024,893
|
3,309,113
|
2,025,337
|
|
|
=============
|
=============
|
=============
|
=============
|
|
|
|
|
|
|
FINANCIAL RATIO
|
SPECTRA
INNOVATIONS PTE LTD
|
|
TYPES OF FUNDS
|
|
|
|
|
|
Cash
|
1,496,180
|
1,271,529
|
1,309,016
|
367,658
|
|
Net Liquid Funds
|
1,379,732
|
1,068,595
|
1,149,319
|
319,599
|
|
Net Liquid Assets
|
<513,956>
|
<1,643,258>
|
<312,253>
|
<913,118>
|
|
Net Current Assets/(Liabilities)
|
3,068,162
|
3,563,120
|
2,963,694
|
1,679,427
|
|
Net Tangible Assets
|
3,553,968
|
4,024,893
|
3,309,113
|
2,025,337
|
|
Net Monetary Assets
|
<644,469>
|
<2,418,089>
|
<725,028>
|
<913,655>
|
|
BALANCE SHEET ITEMS
|
|
|
|
|
|
Total Borrowings
|
9,252,773
|
7,392,099
|
6,400,858
|
1,456,265
|
|
Total Liabilities
|
15,300,005
|
15,345,437
|
10,629,116
|
3,724,324
|
|
Total Assets
|
18,723,460
|
18,595,499
|
13,525,454
|
5,749,124
|
|
Net Assets
|
3,553,968
|
4,024,893
|
3,309,113
|
2,025,337
|
|
Net Assets Backing
|
3,423,455
|
3,250,062
|
2,896,338
|
2,024,800
|
|
Shareholders' Funds
|
3,423,455
|
3,250,062
|
2,896,338
|
2,024,800
|
|
Total Share Capital
|
2,250,000
|
2,250,000
|
2,250,000
|
1,450,000
|
|
Total Reserves
|
1,173,455
|
1,000,062
|
646,338
|
574,800
|
|
LIQUIDITY (Times)
|
|
|
|
|
|
Cash Ratio
|
0.10
|
0.09
|
0.13
|
0.10
|
|
Liquid Ratio
|
0.97
|
0.89
|
0.97
|
0.75
|
|
Current Ratio
|
1.20
|
1.24
|
1.29
|
1.45
|
|
WORKING CAPITAL CONTROL (Days)
|
|
|
|
|
|
Stock Ratio
|
13
|
23
|
21
|
46
|
|
Debtors Ratio
|
31
|
44
|
46
|
35
|
|
Creditors Ratio
|
16
|
27
|
26
|
34
|
|
SOLVENCY RATIOS (Times)
|
|
|
|
|
|
Gearing Ratio
|
2.70
|
2.27
|
2.21
|
0.72
|
|
Liabilities Ratio
|
4.47
|
4.72
|
3.67
|
1.84
|
|
Times Interest Earned Ratio
|
1.48
|
1.79
|
1.35
|
1.18
|
|
Assets Backing Ratio
|
1.58
|
1.79
|
1.47
|
1.40
|
|
PERFORMANCE RATIO (%)
|
|
|
|
|
|
Operating Profit Margin
|
0.18
|
0.47
|
0.14
|
0.19
|
|
Net Profit Margin
|
0.17
|
0.43
|
0.13
|
0.14
|
|
Return On Net Assets
|
15.61
|
22.02
|
9.08
|
12.35
|
|
Return On Capital Employed
|
15.11
|
20.96
|
8.66
|
12.07
|
|
Return On Shareholders' Funds/Equity
|
5.06
|
10.88
|
2.47
|
1.42
|
|
Dividend Pay Out Ratio (Times)
|
0.00
|
0.00
|
0.00
|
0.00
|
|
NOTES TO ACCOUNTS
|
|
|
|
|
|
Contingent Liabilities
|
0
|
0
|
0
|
0
|
|