MIRA INFORM REPORT

 

 

Report Date :

04.03.2013

 

IDENTIFICATION DETAILS

 

Name :

SAN MIGUEL YAMAMURA PACKAGING & PRINTING SDN. BHD.

 

 

Formerly Known As :

SAN MIGUEL PACKAGING & PRINTING SDN BHD

 

 

Registered Office :

50-8-1, Wisma Uoa Damansara, 50,Jalan Dungun,Damansara Heights,8th Floor, 50490 Kuala Lumpur, Wilayah Persekutuan

 

 

Country :

Malaysia

 

 

Financials (as on) :

31.12.2011

 

 

Date of Incorporation :

20.12.1973

 

 

Com. Reg. No.:

16859-M

 

 

Legal Form :

Private Limited

 

 

Line of Business :

Manufacturing of Flexible Packaging Materials

 

 

No. of Employees :

250

 

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 :

Good

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 – June 30th, 2012

 

Country Name

Previous Rating

(31.03.2011)

Current Rating

(30.06.2012)

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. The NAJIB administration also is continuing efforts to boost domestic demand and reduce the economy's dependence on exports. Nevertheless, exports - particularly of electronics, oil and gas, palm oil and rubber - remain a significant driver of the economy. As an oil and gas exporter, Malaysia has profited from higher world energy prices, although the rising cost of domestic gasoline and diesel fuel, combined with strained government finances, has forced Kuala Lumpur to begin to reduce government subsidies. The government is also trying to lessen its dependence on state oil producer Petronas. The oil and gas sector supplies more than 40% of government revenue. The central bank maintains healthy foreign exchange reserves, and a well-developed regulatory regime has limited Malaysia''s exposure to riskier financial instruments and the global financial crisis. Nevertheless, Malaysia could be vulnerable to a fall in commodity prices or a general slowdown in global economic activity because exports are a major component of GDP. In order to attract increased investment, NAJIB has raised possible revisions to the special economic and social preferences accorded to ethnic Malays under the New Economic Policy of 1970, but he has encountered significant opposition, especially from Malay nationalists and other vested interests.

Source : CIA


 

* Adopted abbreviations :

SC - Subject Company (the company enquired by you)

 

 

N/A - Not Applicable

 

 

EXECUTIVE SUMMARY

 

 

REGISTRATION NO.

:

16859-M

COMPANY NAME

:

SAN MIGUEL YAMAMURA PACKAGING & PRINTING SDN. BHD.

FORMER NAME

:

SAN MIGUEL PACKAGING & PRINTING SDN BHD (12/09/2008)
GUOLENE PACKAGING & PRINTING SDN BHD (31/05/2005)
FEDERAL PACKAGING & PRINTING SDN BHD (07/07/1992)
NAM HIN PAPER PRODUCTS SDN BHD (20/11/1985)

INCORPORATION DATE

:

20/12/1973

 

 

 

 

 

 

COMPANY STATUS

:

EXIST

LEGAL FORM

:

PRIVATE LIMITED

LISTED STATUS

:

NO

 

 

 

 

 

 

REGISTERED ADDRESS

:

50-8-1, WISMA UOA DAMANSARA, 50,JALAN DUNGUN,DAMANSARA HEIGHTS,8TH FLOOR, 50490 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.

BUSINESS ADDRESS

:

LOT 5078 & 5079, JALAN JENJAROM 28/39, SEKSYEN 28, 40000 SHAH ALAM, SELANGOR, MALAYSIA.

TEL.NO.

:

03-51916588

FAX.NO.

:

03-51916614

WEB SITE

:

WWW.SANMIGUEL.COM

CONTACT PERSON

:

TONY MEN CHA CHA ( GENERAL MANAGER )

 

 

 

INDUSTRY CODE

:

17020

PRINCIPAL ACTIVITY

:

MANUFACTURING OF FLEXIBLE PACKAGING MATERIALS

AUTHORISED CAPITAL

:

MYR 50,000,000.00 DIVIDED INTO
ORDINARY SHARE 50,000,000.00 OF MYR 1.00 EACH.

ISSUED AND PAID UP CAPITAL

:

MYR 33,300,000.00 DIVIDED INTO
ORDINARY SHARES 27,700,002 CASH AND 5,599,998 OTHERWISE OF MYR 1.00 EACH.

 

 

 

SALES

:

MYR 74,281,000 [2011]

NET WORTH

:

MYR 53,240,000 [2011]

 

 

 

STAFF STRENGTH

:

250 [2013]

BANKER (S)

:

HONG LEONG BANK BHD
MALAYAN BANKING BHD
STANDARD CHARTERED BANK MALAYSIA BHD

LITIGATION

:

CLEAR

DEFAULTER CHECK

:

CLEAR

FINANCIAL CONDITION

:

STRONG

PAYMENT

:

GOOD

MANAGEMENT CAPABILITY

:

AVERAGE

 

 

 

COMMERCIAL RISK

:

LOW

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, 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) manufacturing of flexible packaging materials.

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

The immediate holding company of the SC is SAN MIGUEL YAMAMURA PACKAGING INTERNATIONAL LIMITED, a company incorporated in HONG KONG.

The ultimate holding company of the SC is SAN MIGUEL CORPORATION, a company incorporated in PHILIPPINES.


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



Name

Address

IC/PP/Loc No

Shareholding

(%)

SAN MIGUEL YAMAMURA PACKAGING INTERNATIONAL LIMITED

9F, CITIMARK BUILDING, 28 YUEN SHUN CIRCUIT, SIU LEK YUEN,SHATIN, N.T, HONG KONG.

XLZ00213792

33,300,000.00

100.00

 

 

 

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

------

 

 

 

33,300,000.00

100.00

 

 

 

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

=====


+ Also Director





DIRECTORS



DIRECTOR 1

 

Name Of Subject

:

MR. CHUA BOON POCK

Address

:

155, JALAN BANGAU, TAMAN BEKELEY, 41140 KLANG, SELANGOR, MALAYSIA.

 

 

 

New IC No

:

631108-10-5279

Date of Birth

:

08/11/1963

 

 

 

Nationality

:

MALAYSIAN

Date of Appointment

:

20/12/2006

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 2

 

Name Of Subject

:

FERDINAND ACOBA TUMPALAN

Address

:

1,CAMELLA DRIVE, CAMELLA2, ALABANG, MUNTINLUPA, PHILIPPINES.

IC / PP No

:

XX1953922

 

 

 

 

 

 

 

 

 

Nationality

:

FILIPINO

Date of Appointment

:

28/01/2005

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 3

 

Name Of Subject

:

RAMON SEE ANG

Address

:

40, SAN MIGUEL AVENUE, MANDALUYONG CITY, PHILIPPINES.

IC / PP No

:

XX4227006

 

 

 

 

 

 

 

 

 

Nationality

:

FILIPINO

Date of Appointment

:

28/01/2005

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 4

 

Name Of Subject

:

MS. FONG LEE SIANG

Address

:

39, JALAN WAWASAN 2/2, PUSAT BANDAR PUCHONG, 47100 PUCHONG, SELANGOR, MALAYSIA.

 

 

 

New IC No

:

630228-05-5304

Date of Birth

:

28/02/1963

 

 

 

Nationality

:

MALAYSIAN

Date of Appointment

:

14/03/2007

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 5

 

Name Of Subject

:

MOTOKAZU HIRAIWA

Address

:

43C-SOUTH PACIFIC PLAZA TOWER CONDOMINIUM, THE BONIFACIO GLOBAL CITY, TAGUIG, MANILA, PHILIPPINES.

IC / PP No

:

TG3090258

 

 

 

 

 

 

 

 

 

Nationality

:

CHINESE

Date of Appointment

:

05/06/2008

 

 

 

 

 

 

 

 

 

 

 

 



MANAGEMENT

 

 

 

1)

Name of Subject

:

TONY MEN CHA CHA

 

Position

:

GENERAL MANAGER

 

 

 

 

 

2)

Name of Subject

:

FONG LEE SIANG

 

Position

:

FINANCE MANAGER

 

 

 

 

 

3)

Name of Subject

:

DAVID GAN

 

Position

:

SALES MANAGER

 

 

 

 

 

4)

Name of Subject

:

PUSHPA

 

Position

:

HUMAN RESOURCE MANAGER

 

 

 

 

 

5)

Name of Subject

:

MURALI

 

Position

:

PRODUCTION MANAGER

 

 

 

 

 

AUDITOR

 

Auditor

:

KPMG

Auditor' Address

:

KPMG TOWER, 8 FIRST AVENUE, BANDAR UTAMA, LEVEL 10, 47800 PETALING JAYA, SELANGOR, MALAYSIA.

 

 

 

 

 

 

 

COMPANY SECRETARIES

 

1)

Company Secretary

:

MS. LEW OY FOONG

 

 

 

 

 

New IC No

:

701230-10-6436

 

Address

:

17, JALAN SL7/12, BANDAR SUNGAI LONG, 11 1/4 MILES JALAN CHERAS, 43000 KAJANG, SELANGOR, MALAYSIA.

 

 

 

 

 

 

 

 

 

 

 

 

 

BANKING


Banking relations are maintained principally with :

1)

Name

:

HONG LEONG BANK BHD

 

 

 

 

 

2)

Name

:

MALAYAN BANKING BHD

 

 

 

 

 

3)

Name

:

STANDARD CHARTERED BANK MALAYSIA BHD

 

 

 

 

 

The SC enjoys normal banking routine with above mentioned banker(s). No adverse record was found during our investigation.

 

ENCUMBRANCE (S)


No encumbrance was found in our databank at the time of investigation.

LEGAL CHECK AGAINST SC


* A check has been conducted in our databank againt the SC whether the subject has been involved in any litigation. Our databank consists of 99% of the wound up companies in Malaysia.

No legal action was found in our databank.

No winding up petition was found in our databank.

DEFAULTER CHECK AGAINST SC


* We have checked through the SC in our defaulters' database which comprised of debtors that have been blacklisted by our customers and debtors that have been placed or assigned to us for collection since 1990. Information was provided by third party where the debt amount can be disputed. Please check with creditors for confirmation as alleged debts may have been paid since recorded or are being disputed.

No blacklisted record & debt collection case was found in our defaulters' databank.

PAYMENT RECORD

 

 

 

SOURCES OF RAW MATERIALS:

 

Local

:

YES

 

Overseas

:

YES

 

Import Countries

:

EUROPE,INDONESIA



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

Percentage

:

80%

Domestic Markets

:

MALAYSIA

Overseas

:

YES

Percentage

:

20%

Export Market

:

SINGAPORE

Credit Term

:

30 - 60 DAYS

 

 

 

 

 

 

Payment Mode

:

CHEQUES
TELEGRAPHIC TRANSFER (TT)

Type of Customer

:

FOOD MANUFACTURERS,ELECTRICAL & ELECTRONIC INDUSTRIES,PHARMACEUTICAL INDUSTRIES,PLASTIC MANUFACTURER

 

 

 

 

 

 

 

 

 

 

 

 

 

OPERATIONS

 

Products manufactured

:

FLEXIBLE PACKAGING MATERIALS

 

 

 

Member(s) / Affiliate(s)

:

FEDERATION OF MALAYSIAN MANUFACTURERS (FMM)

SMALL & MEDIUM ENTERPRISE

 

 

 

Ownership of premises

:

OWNED

 

Factory Size

:

LOT 5078 (90,912 SQ FT) & LOT 5079(142,112 SQ FT)

 

 

Total Number of Employees:

 

YEAR

2013

2012

2011

2010

2009

 

 

 

 

 

GROUP

N/A

N/A

N/A

N/A

N/A

 

 

 

 

COMPANY

250

250

220

200

200

 

 

 

 

 

Branch

:

NO

 

Other Information:


The SC is principally engaged in the (as a / as an) manufacturing of flexible packaging materials.

We were informed that the SC's Converting Division is involved in the printing and lamination of flexible packaging material for the food industries.

The SC's production lines cater for both fluted and folding cartons conversion and finishing.

We were informed that the SC's factory is equipped with both automated and semi-automated machineries.

The SC's converting division is located in Shah Alam and its Duplex division was located at Batu Caves.

PROJECTS


No projects found in our databank

CURRENT INVESTIGATION

 

Latest fresh investigations carried out on the SC indicated that :

Telephone Number Provided By Client

:

0351916588

Current Telephone Number

:

03-51916588

Match

:

YES

 

 

 

Address Provided by Client

:

LOT 5078 & 5079, JALAN JENJAROM 28/39, SEKSYEN 28,40000,SHAH ALAM,SELANGOR.

Current Address

:

LOT 5078 & 5079, JALAN JENJAROM 28/39, SEKSYEN 28, 40000 SHAH ALAM, SELANGOR, 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

[

9.07%

]

 

Return on Net Assets

:

Acceptable

[

10.70%

]

 

 

 

 

 

 

 

 

The SC's turnover increased steadily as the demand for its products / services increased due to the goodwill built up over the years.The higher profit could be attributed to the increase in turnover. 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

[

46 Days

]

 

Debtor Ratio

:

Unfavourable

[

91 Days

]

 

Creditors Ratio

:

Favourable

[

36 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 debtors ratio was high. The SC should tighten its credit control and improve its collection period. The SC had a favourable creditors' ratio as evidenced by its favourable collection days. The SC could be taking advantage of the cash discounts and also wanting to maintain goodwill with its creditors.

 

 

 

 

 

 

 

Liquidity

 

 

 

 

 

 

Liquid Ratio

:

Favourable

[

2.49 Times

]

 

Current Ratio

:

Favourable

[

3.11 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

[

72.73 Times

]

 

Gearing Ratio

:

Favourable

[

0.00 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 had no gearing and hence it had virtually no financial risk. The SC was financed by its shareholders' funds and internally generated fund. During the economic downturn, the SC, having a zero gearing, will be able to compete better than those 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 was a zero gearing company, it was solely dependant on its shareholders to provide funds to finance its business. The SC has good chance of getting loans, if the needs arises.

 

 

 

 

 

 

 

Overall financial condition of the SC : STRONG

 

 

 

MALAYSIA ECONOMIC / INDUSTRY OUTLOOK

 

Major Economic Indicators:

2008

2009

2010

2011*

2012**

 

 

 

 

 

 

Population ( Million)

27.73

28.13

28.35

28.70

29.10

Gross Domestic Products ( % )

4.6

<0.5>

7.2

5.5

5.3

Domestic Demand ( % )

6.9

2.9

6.3

4.8

7.6

Private Expenditure ( % )

7.1

<2.7>

8.1

7.0

8.7

Consumption ( % )

8.4

0.7

6.7

6.3

7.1

Investment ( % )

1.5

<17.2>

17.7

16.2

15.9

Public Expenditure ( % )

6.5

5.2

3.8

7.6

4.7

Consumption ( % )

11.6

3.1

0.2

8.9

3.0

Investment ( % )

0.7

8.0

2.8

0.6

7.0

 

 

 

 

 

 

Balance of Trade ( MYR Million )

129,563

89,650

118,356

116,058

-

Government Finance ( MYR Million )

<34,462>

<28,450>

<40,482>

<45,511>

<43,021>

Government Finance to GDP / Fiscal Deficit ( % )

<4.8>

<4.8>

<5.6>

<5.4>

<4.7>

Inflation ( % Change in Composite CPI)

<3.3>

<5.2>

5.1

3.1

-

Unemployment Rate

3.7

4.5

3.9

3.3

-

 

 

 

 

 

 

Net International Reserves ( MYR Billion )

388

331

329

415

-

Average Risk-Weighted Capital Adequacy Ratio ( % )

1.91

2.87

2.20

3.50

-

Average 3 Months of Non-performing Loans ( % )

13.24

11.08

15.30

14.80

-

Average Base Lending Rate ( % )

6.72

5.53

6.30

6.60

-

Business Loans Disbursed( % )

11.6

10.5

14.7

15.3

-

Foreign Investment ( MYR Million )

23,261.4

22,156.8

22,517.9

23,546.1

-

Consumer Loans ( % )

-

-

-

-

-

 

 

 

 

 

 

Registration of New Companies ( No. )

41,599

41,578

44,148

-

-

Registration of New Companies ( % )

<4.0>

<0.1>

6.2

-

-

Liquidation of Companies ( No. )

27,992

39,075

25,585

-

-

Liquidation of Companies ( % )

23.7

39.6

<34.5>

-

-

 

 

 

 

 

 

Registration of New Business ( No. )

269,866

312,581

271,414

-

-

Registration of New Business ( % )

-

-

-

-

-

Business Dissolved ( No. )

18,885

19,345

19,738

-

-

Business Dissolved ( % )

<7.6>

2.4

2.0

-

-

 

 

 

 

 

 

Sales of New Passenger Cars (' 000 Unit )

497.5

486.3

543.6

363.0

-

Cellular Phone Subscribers ( Million )

25.1

30.1

32.8

35.3

-

Tourist Arrival ( Million Persons )

21.5

23.6

24.6

25.3

-

Hotel Occupancy Rate ( % )

68.0

58.0

63.0

51.3

-

 

 

 

 

 

 

Credit Cards Spending ( % )

17.1

12.8

14.1

15.6

-

Bad Cheque Offenders (No.)

34,834

36,667

33,568

27,208

-

Individual Bankruptcy ( No.)

13,907

16,228

18,119

16,155

-

Individual Bankruptcy ( % )

5.1

16.7

11.7

<10.8>

-

 

 

 

 

 

 



INDUSTRIES ( % of Growth ):

2008

2009

2010

2011*

2012**

 

 

 

 

 

 

Agriculture

3.6

0.4

2.1

4.7

4.1

Palm Oil

7.0

<1.1>

<3.4>

7.3

-

Rubber

<1.1>

<19.8>

9.9

6.4

-

Forestry & Logging

<1.5>

<5.9>

<3.3>

<4.7>

-

Fishing

4.0

5.5

5.6

2.8

-

Other Agriculture

5.9

9.0

7.9

8.5

-

Industry Non-Performing Loans ( MYR Million )

393.0

413.7

508.4

634.1

-

% of Industry Non-Performing Loans

<2.0>

1.3

2.1

3.2

-

 

 

 

 

 

 

Mining

<0.8>

<3.8>

0.2

<2.4>

2.5

Oil & Gas

12.7

2.1

0.5

<1.7>

-

Other Mining

-

-

-

-

-

Industry Non-performing Loans ( MYR Million )

36.0

44.2

49.7

46.5

-

% of Industry Non-performing Loans

0.1

0.1

0.1

0.1

-

 

 

 

 

 

 

Manufacturing #

1.3

<9.4>

11.4

5.6

4.5

Exported-oriented Industries

2.7

<19.0>

12.1

2.8

-

Electrical & Electronics

2.4

<30.3>

28.4

<4.9>

-

Rubber Products

4.2

<10.1>

25.3

15.4

-

Wood Products

<6.0>

<24.1>

20.1

<7.3>

-

Textiles & Apparel

1.9

<19.5>

<0.4>

14.8

-

Domestic-oriented Industries

9.9

<9.8>

16.3

6.3

-

Food, Beverages & Tobacco

9.5

0.2

3.0

4.2

-

Chemical & Chemical Products

1.4

<7.7>

16.2

5.6

-

Plastic Products

6.5

<9.1>

2.4

3.8

-

Iron & Steel

16.8

<32.7>

29.3

2.4

-

Fabricated Metal Products

14.7

<2.5>

14.9

25.2

-

Non-metallic Mineral

8.3

<15.5>

20.2

16.3

-

Transport Equipment

27.1

<13.5>

36.5

<9.4>

-

Paper & Paper Products

8.6

<5.0>

18.7

15.6

-

Crude Oil Refineries

7.8

0.2

<11.4>

9.3

-

Industry Non-Performing Loans ( MYR Million )

5,729.4

6,007.3

6,217.5

6,537.2

-

% of Industry Non-Performing Loans

16.8

18.3

23.8

25.7

-

 

 

 

 

 

 

Construction

2.1

5.8

5.1

4.4

7.0

Industry Non-Performing Loans ( MYR Million )

4,149.8

3,241.8

4,038.5

3,856.9

-

% of Industry Non-Performing Loans

12.2

9.9

10.7

10.2

-

 

 

 

 

 

 

Services

7.3

2.6

6.5

6.4

6.5

Electric, Gas & Water

5.0

0.4

8.5

5.6

4.8

Transport, Storage & Communication

7.8

1.6

7.7

6.5

7.3

Wholesale, Retail, Hotel & Restaurant

10.0

2.8

4.7

5.2

6.9

Finance, Insurance & Real Estate

9.2

3.8

6.1

6.3

6.5

Government Services

8.6

2.0

6.7

7.6

5.6

Other Services

5.9

4.4

4.2

5.4

5.7

Industry Non-Performing Loans ( MYR Million )

8,281.4

6,631.3

7,384.6

6,825.2

-

% of Industry Non-Performing Loans

24.3

20.2

25.7

23.4

-

 

 

 

 

 

 

 

 

 

 

 

 

* Estimate / Preliminary

 

 

 

 

 

** Forecast

 

 

 

 

 

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

 

INDUSTRY ANALYSIS

 

MSIC CODE

17020 : Manufacture of corrugated paper and paperboard and of containers of paper and paperboard

 

 

INDUSTRY :

MANUFACTURING

 

 

 


The manufacturing sector is expected to be driven by higher value-added activities in Malaysia.The GDP growth for first quarter 2012 indicating manufacturing maintain its growth of 4.5%, similar to year 2011.Malaysia recorded a 12% jump in approved investments in the manufacturing sector in the first quarter of 2012 compared with the corresponding period 2011. According to Federation of Malaysian Manufacturers (FMM), manufacturing sector expected to improve in the third quarter 2012 despite concerns over external developments and the rising cost of production.


The rubber products sub-sector is expected to remain resilient supported by continuous improvements in medical and healthcare standards in emerging markets as well as demand from niche markets such as the oil and gas sector for rubber hoses. Malaysia rubber exports are forecast to grow at 10%, at the end of 2012 driven by global demand for medical gloves as well as rubber tyres and tubes.Rubber glove exports make up 70 % of total rubber shipments in Malaysia due to hospitals and clinics place more intrest on rising health and hygiene awareness.


The 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.


Chemical production are expected to show 6.2% in year 2012 and 7.5 % in year 2013 inline with Malaysia as one of the largest contributor in world Chemicals & Chemical industries.


According to Malaysian Iron and Steel Industry Federation, first half of 2012 would remain weak for the local steel industry due to eurozone crisis, slowdown in China's economy and less robust construction activities in the developed countries. At first quarter 2012, the average local steel price is trading atRM2,300 per tonne compared with the average international price of US$740 (RM2,331) per tonne.


According to the Department of Statistics, Malaysia during the first quarter 2012, the manufacturing output increased due to activities in major sub-sectors such as petroleum, chemical, rubber and plastic products (10.5 %), and non-metallic mineral products, basic metal and fabricated metal products (3.9 %). Meanwhile, it's also announced that the manufacturing sector's sales grew by 10 % in May 2012 to record RM52.5 billion compared with RM47.7 billion in May 2011. The Industrial Production Index (IPI ) increased 7.6 % in May (2012) due to increases in manufacturing (6.5 %).


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 as solar 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 1973, the SC is a Private Limited company, focusing on manufacturing of flexible packaging materials. The SC has been in business for over two decades. It has built up a strong clientele base and satisfactory reputation will enable the SC to further enhance its business in the near term. The SC is expected to enjoy a stable market shares. Having strong support from its holding company has enabled the SC to remain competitive despite the challenging business environment. 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 250 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. 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 zero geared company, the SC virtually has no financial risk as it is mainly dependent on its internal funds to finance its business. Given a positive net worth standing at MYR 53,240,000, 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)

SAN MIGUEL YAMAMURA PACKAGING & PRINTING 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

Company

Company

Company

Company

Company

Audited Account

YES

YES

YES

YES

YES

Unqualified Auditor's Report (Clean Opinion)

YES

YES

YES

YES

YES

Financial Type

FULL

FULL

FULL

FULL

FULL

Currency

MYR

MYR

MYR

MYR

MYR

 

 

 

 

 

 

TURNOVER

74,281,000

71,355,000

67,300,000

84,242,000

106,458,000

 

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

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

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

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

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

Total Turnover

74,281,000

71,355,000

67,300,000

84,242,000

106,458,000

Costs of Goods Sold

<66,407,000>

<62,852,000>

-

-

-

 

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

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

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

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

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

Gross Profit

7,874,000

8,503,000

-

-

-

 

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

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

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

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

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

 

 

 

 

 

 

PROFIT/(LOSS) FROM OPERATIONS

5,667,000

3,019,000

6,841,000

382,000

1,985,000

 

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

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

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

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

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

PROFIT/(LOSS) BEFORE TAXATION

5,667,000

3,019,000

6,841,000

382,000

1,985,000

Taxation

<840,000>

<232,000>

<1,092,000>

1,392,000

<199,000>

 

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

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

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

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

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

PROFIT/(LOSS) AFTER TAXATION

4,827,000

2,787,000

5,749,000

1,774,000

1,786,000

Pre-acquisition profit/(loss)

-

-

<3,997,000>

<889,000>

-

 

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

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

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

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

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

PROFIT/(LOSS) BEFORE EXTRAORDINARY ITEMS

4,827,000

2,787,000

1,752,000

885,000

1,786,000

 

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

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

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

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

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

PROFIT/(LOSS) ATTRIBUTABLE TO SHAREHOLDERS

4,827,000

2,787,000

1,752,000

885,000

1,786,000

RETAINED PROFIT/(LOSS) BROUGHT FORWARD

 

 

 

 

 

As previously reported

16,043,000

16,761,000

15,009,000

14,919,000

13,133,000

 

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

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

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

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

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

As restated

16,043,000

16,761,000

15,009,000

14,919,000

13,133,000

 

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

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

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

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

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

PROFIT AVAILABLE FOR APPROPRIATIONS

20,870,000

19,548,000

16,761,000

15,804,000

14,919,000

DIVIDENDS - Ordinary (paid & proposed)

<930,000>

<3,505,000>

-

<795,000>

-

 

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

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

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

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

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

RETAINED PROFIT/(LOSS) CARRIED FORWARD

19,940,000

16,043,000

16,761,000

15,009,000

14,919,000

 

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

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

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

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

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

 

 

 

 

 

 

INTEREST EXPENSE (as per notes to P&L)

 

 

 

 

 

Bank overdraft

-

-

-

-

14,000

Term loan / Borrowing

-

-

-

-

4,000

Others

79,000

73,000

75,000

139,000

272,000

 

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

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

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

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

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

 

79,000

73,000

75,000

139,000

290,000

 

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

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

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

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

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

 

 

 

BALANCE SHEET

 

 

SAN MIGUEL YAMAMURA PACKAGING & PRINTING SDN. BHD.

 

ASSETS EMPLOYED:

 

 

 

 

 

FIXED ASSETS

15,830,000

18,455,000

21,067,000

17,469,000

19,299,000

 

 

 

 

 

 

LONG TERM INVESTMENTS/OTHER ASSETS

 

 

 

 

 

Deferred assets

1,100,000

1,463,000

1,619,000

2,700,000

724,000

Others

5,050,000

-

-

-

-

 

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

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

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

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

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

TOTAL LONG TERM INVESTMENTS/OTHER ASSETS

6,150,000

1,463,000

1,619,000

2,700,000

724,000

 

 

 

 

 

 

 

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

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

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

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

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

TOTAL LONG TERM ASSETS

21,980,000

19,918,000

22,686,000

20,169,000

20,023,000

 

 

 

 

 

 

CURRENT ASSETS

 

 

 

 

 

Stocks

9,345,000

8,616,000

7,279,000

12,932,000

15,385,000

Trade debtors

18,620,000

15,791,000

15,968,000

24,353,000

32,108,000

Other debtors, deposits & prepayments

3,082,000

4,097,000

4,174,000

1,057,000

2,069,000

Short term loan to financial institutions

9,800,000

10,800,000

-

-

-

Amount due from related companies

-

121,000

101,000

831,000

-

Cash & bank balances

5,909,000

3,045,000

15,124,000

6,942,000

3,575,000

Others

-

383,000

317,000

-

199,000

 

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

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

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

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

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

TOTAL CURRENT ASSETS

46,756,000

42,853,000

42,963,000

46,115,000

53,336,000

 

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

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

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

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

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

TOTAL ASSET

68,736,000

62,771,000

65,649,000

66,284,000

73,359,000

 

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

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

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

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

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

 

 

 

 

 

 

CURRENT LIABILITIES

 

 

 

 

 

Trade creditors

6,500,000

6,278,000

6,459,000

7,421,000

12,639,000

Other creditors & accruals

3,462,000

2,017,000

3,511,000

2,085,000

1,824,000

Bank overdraft

-

-

-

318,000

302,000

Bill & acceptances payable

-

-

-

-

2,657,000

Amounts owing to related companies

4,933,000

4,716,000

5,238,000

6,072,000

6,809,000

Provision for taxation

143,000

-

-

-

-

Dividends payable/proposed

-

-

-

795,000

-

Other liabilities

-

-

-

261,000

-

 

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

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

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

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

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

TOTAL CURRENT LIABILITIES

15,038,000

13,011,000

15,208,000

16,952,000

24,231,000

 

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

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

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

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

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

NET CURRENT ASSETS/(LIABILITIES)

31,718,000

29,842,000

27,755,000

29,163,000

29,105,000

 

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

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

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

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

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

TOTAL NET ASSETS

53,698,000

49,760,000

50,441,000

49,332,000

49,128,000

 

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

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

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

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

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

 

 

 

 

 

 

SHARE CAPITAL

 

 

 

 

 

Ordinary share capital

33,300,000

33,300,000

33,300,000

33,300,000

33,300,000

 

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

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

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

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

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

TOTAL SHARE CAPITAL

33,300,000

33,300,000

33,300,000

33,300,000

33,300,000

 

 

 

 

 

 

RESERVES

 

 

 

 

 

Retained profit/(loss) carried forward

19,940,000

16,043,000

16,761,000

15,009,000

14,919,000

 

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

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

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

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

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

TOTAL RESERVES

19,940,000

16,043,000

16,761,000

15,009,000

14,919,000

 

 

 

 

 

 

 

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

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

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

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

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

SHAREHOLDERS' FUNDS/EQUITY

53,240,000

49,343,000

50,061,000

48,309,000

48,219,000

 

 

 

 

 

 

LONG TERM LIABILITIES

 

 

 

 

 

Retirement benefits provision

-

-

380,000

1,023,000

909,000

Others

458,000

417,000

-

-

-

 

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

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

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

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

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

TOTAL LONG TERM LIABILITIES

458,000

417,000

380,000

1,023,000

909,000

 

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

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

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

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

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

 

53,698,000

49,760,000

50,441,000

49,332,000

49,128,000

 

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

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

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

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

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

 

 

 

 

 

 

 

 

 

FINANCIAL RATIO

 

 

SAN MIGUEL YAMAMURA PACKAGING & PRINTING SDN. BHD.

 

TYPES OF FUNDS

 

 

 

 

 

Cash

5,909,000

3,045,000

15,124,000

6,942,000

3,575,000

Net Liquid Funds

5,909,000

3,045,000

15,124,000

6,624,000

3,273,000

Net Liquid Assets

22,373,000

21,226,000

20,476,000

16,231,000

13,720,000

Net Current Assets/(Liabilities)

31,718,000

29,842,000

27,755,000

29,163,000

29,105,000

Net Tangible Assets

53,698,000

49,760,000

50,441,000

49,332,000

49,128,000

Net Monetary Assets

21,915,000

20,809,000

20,096,000

15,208,000

12,811,000

BALANCE SHEET ITEMS

 

 

 

 

 

Total Borrowings

0

0

0

318,000

302,000

Total Liabilities

15,496,000

13,428,000

15,588,000

17,975,000

25,140,000

Total Assets

68,736,000

62,771,000

65,649,000

66,284,000

73,359,000

Net Assets

53,698,000

49,760,000

50,441,000

49,332,000

49,128,000

Net Assets Backing

53,240,000

49,343,000

50,061,000

48,309,000

48,219,000

Shareholders' Funds

53,240,000

49,343,000

50,061,000

48,309,000

48,219,000

Total Share Capital

33,300,000

33,300,000

33,300,000

33,300,000

33,300,000

Total Reserves

19,940,000

16,043,000

16,761,000

15,009,000

14,919,000

LIQUIDITY (Times)

 

 

 

 

 

Cash Ratio

0.39

0.23

0.99

0.41

0.15

Liquid Ratio

2.49

2.63

2.35

1.96

1.57

Current Ratio

3.11

3.29

2.83

2.72

2.20

WORKING CAPITAL CONTROL (Days)

 

 

 

 

 

Stock Ratio

46

44

39

56

53

Debtors Ratio

91

81

87

106

110

Creditors Ratio

36

36

35

32

43

SOLVENCY RATIOS (Times)

 

 

 

 

 

Gearing Ratio

0.00

0.00

0.00

0.01

0.01

Liabilities Ratio

0.29

0.27

0.31

0.37

0.52

Times Interest Earned Ratio

72.73

42.36

92.21

3.75

7.84

Assets Backing Ratio

1.61

1.49

1.51

1.48

1.48

PERFORMANCE RATIO (%)

 

 

 

 

 

Operating Profit Margin

7.63

4.23

10.16

0.45

1.86

Net Profit Margin

6.50

3.91

2.60

1.05

1.68

Return On Net Assets

10.70

6.21

13.71

1.06

4.63

Return On Capital Employed

10.70

6.21

13.71

1.05

4.60

Return On Shareholders' Funds/Equity

9.07

5.65

3.50

1.83

3.70

Dividend Pay Out Ratio (Times)

0.19

1.26

0.00

0.90

0.00

NOTES TO ACCOUNTS

 

 

 

 

 

Contingent Liabilities

0

0

0

0

0



 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.54.48

UK Pound

1

Rs.82.72

Euro

1

Rs.71.27

 

 

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.