MIRA INFORM REPORT

 

 

Report Date :

09.03.2013

 

IDENTIFICATION DETAILS

 

Name :

BRIDGE TRADING SDN. BHD.

 

 

Formerly Known As :

STARLINKED RESULTS SDN BHD

 

 

Registered Office :

Suite 1.02, 74a Jln Tembikai, Bukit Mertajam, 14000 Bukit Tengah, Pulau Pinang

 

 

Country :

Malaysia

 

 

Financials (as on) :

31.12.2011

 

 

Date of Incorporation :

14.04.1997

 

 

Com. Reg. No.:

427702-X

 

 

Legal Form :

Private Limited (Limited By Share)

 

 

Line of Business :

Trading in foodstuff

 

 

No. of Employees :

40

 

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 :

Regular 

 

 

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

(31.03.2012)

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.

:

427702-X

COMPANY NAME

:

BRIDGE TRADING SDN. BHD.

FORMER NAME

:

STARLINKED RESULTS SDN BHD (07/04/2000)

INCORPORATION DATE

:

14/04/1997

 

 

 

 

 

 

COMPANY STATUS

:

EXIST

LEGAL FORM

:

PRIVATE LIMITED (LIMITED BY SHARE)

LISTED STATUS

:

NO

 

 

 

 

 

 

REGISTERED ADDRESS

:

SUITE 1.02, 74A JLN TEMBIKAI, BUKIT MERTAJAM, 14000 BUKIT TENGAH, PULAU PINANG, MALAYSIA.

BUSINESS ADDRESS

:

2 & 4, JALAN NAFIRI 1, KAWASAN INDUSTRI VALDOR, 14200 SUNGAI BAKAP, PULAU PINANG, MALAYSIA.

TEL.NO.

:

04-5829228

FAX.NO.

:

04-5824254

CONTACT PERSON

:

LOW CHENG WENG ( DIRECTOR )

 

 

 

INDUSTRY CODE

:

46329

PRINCIPAL ACTIVITY

:

TRADING IN FOODSTUFF

AUTHORISED CAPITAL

:

MYR 1,000,000.00 DIVIDED INTO 
ORDINARY SHARE 1,000,000.00 OF MYR 1.00 EACH.

ISSUED AND PAID UP CAPITAL

:

MYR 1,000,000.00 DIVIDED INTO 
ORDINARY SHARES 600,000 CASH AND 400,000 OTHERWISE OF MYR 1.00 EACH.

 

 

 

SALES

:

MYR 30,616,522 [2011]

NET WORTH

:

MYR 3,908,598 [2011]

 

 

 

STAFF STRENGTH

:

40 [2013]

BANKER (S)

:

MALAYAN BANKING BHD

LITIGATION

:

CLEAR

DEFAULTER CHECK

:

CLEAR

FINANCIAL CONDITION

:

STABLE

PAYMENT

:

N/A

MANAGEMENT CAPABILITY

:

AVERAGE

 

 

 

COMMERCIAL RISK

:

MODERATE

CURRENCY EXPOSURE

:

N/A

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) trading in foodstuff.

 

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. LOW CHENG WENG +

NO. 2, LORONG IDAMAN 1, TAMAN IDAMAN, 14100 SEBERANG PERAI TENGAH, PULAU PINANG, MALAYSIA.

670514-07-5193

500,000.00

50.00

MS. TEE GAIK SIM +

NO. 2, LORONG IDAMAN 1, TAMAN IDAMAN, 14100 SEBERANG PERAI TENGAH, PULAU PINANG, MALAYSIA.

681030-07-5270

500,000.00

50.00

 

 

 

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

------

 

 

 

1,000,000.00

100.00

 

 

 

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

=====

+ Also Director

 

 

DIRECTORS

 

DIRECTOR 1

 

Name Of Subject

:

MR. LOW CHENG WENG

Address

:

NO. 2, LORONG IDAMAN 1, TAMAN IDAMAN, 14100 SEBERANG PERAI TENGAH, PULAU PINANG, MALAYSIA.

 

 

 

New IC No

:

670514-07-5193

Date of Birth

:

14/05/1967

 

 

 

Nationality

:

MALAYSIAN

Date of Appointment

:

12/03/1999

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 2

 

Name Of Subject

:

MS. TEE GAIK SIM

Address

:

NO. 2, LORONG IDAMAN 1, TAMAN IDAMAN, 14100 SEBERANG PERAI TENGAH, PULAU PINANG, MALAYSIA.

 

 

 

New IC No

:

681030-07-5270

Date of Birth

:

30/10/1968

 

 

 

Nationality

:

MALAYSIAN

Date of Appointment

:

12/03/1999

 

 

 

 

 

 



MANAGEMENT

 

 

 

1)

Name of Subject

:

LOW CHENG WENG

 

Position

:

DIRECTOR

 

 

 

AUDITOR

 

Auditor

:

OOI & ASSOCIATES

Auditor' Address

:

1ST FLOOR, 47, JALAN SELAT, TAMAN SELAT, 12000 BUTTERWORTH, PULAU PINANG, MALAYSIA.

 

 

 

 

 

 

COMPANY SECRETARIES

 

1)

Company Secretary

:

MS. OOI WAN KUAN

 

 

 

 

 

New IC No

:

620115-07-5182

 

Address

:

1 JALAN RAJA GOPAL, 10350 PENANG, MALAYSIA.

 

 

 

 

 

 

 

 

 

 

 

BANKING


Banking relations are maintained principally with :

1)

Name

:

MALAYAN BANKING BHD

 

 

 

 

 

The SC enjoys normal banking routine with above mentioned banker(s). The SC has bank charges with above mentioned banker(s).

 

ENCUMBRANCE (S)


ENCUMBRANCE 1

Date of Creation

:

12/04/2003

Description Of Charge

:

N/A

 

Amount Secured

:

RM90,000.00

Description Of Property Affected

:

N/A

 

Name & Address Of Chargee

:

PUBLIC BANK BHD

 

 

 

 

 

 

 

 

Form 40 Dated

Registered and Numbered 1 In The Register of Charges



ENCUMBRANCE 2

Date of Creation

:

12/04/2003

Description Of Charge

:

N/A

 

Amount Secured

:

RM200,000.00

Description Of Property Affected

:

N/A

 

Name & Address Of Chargee

:

PUBLIC BANK BHD

 

 

 

 

 

 

 

 

Form 40 Dated

Registered and Numbered 2 In The Register of Charges



ENCUMBRANCE 3

Date of Creation

:

12/04/2003

Description Of Charge

:

N/A

 

Amount Secured

:

RM200,000.00

Description Of Property Affected

:

N/A

 

Name & Address Of Chargee

:

PUBLIC BANK BHD

 

 

 

 

 

 

 

 

Form 40 Dated

Registered and Numbered 3 In The Register of Charges



ENCUMBRANCE 4

Date of Creation

:

28/12/2006

Description Of Charge

:

OPEN CHARGE

 

Amount Secured

:

N/A

Description Of Property Affected

:

N/A

 

Name & Address Of Chargee

:

PUBLIC BANK BHD

 

 

 

 

 

 

 

 

Form 40 Dated

Registered and Numbered 4 In The Register of Charges



ENCUMBRANCE 5

Date of Creation

:

31/01/2007

Description Of Charge

:

N/A

 

Amount Secured

:

RM900,000.00

Description Of Property Affected

:

N/A

 

Name & Address Of Chargee

:

PUBLIC BANK BHD

 

 

 

 

 

 

 

 

Form 40 Dated

Registered and Numbered 5 In The Register of Charges



ENCUMBRANCE 6

Date of Creation

:

12/06/2008

Description Of Charge

:

OPEN CHARGE

 

Amount Secured

:

N/A

Description Of Property Affected

:

N/A

 

Name & Address Of Chargee

:

UNITED OVERSEAS BANK (MALAYSIA) BHD

 

 

 

 

 

 

 

 

Form 40 Dated

Registered and Numbered 6 In The Register of Charges



ENCUMBRANCE 7

Date of Creation

:

09/07/2009

Description Of Charge

:

N/A

 

Amount Secured

:

RM500,000.00

Description Of Property Affected

:

N/A

 

Name & Address Of Chargee

:

MALAYAN BANKING BHD

 

 

 

 

 

 

 

 

Form 40 Dated

Registered and Numbered 7 In The Register of Charges



ENCUMBRANCE 8

Date of Creation

:

23/08/2010

Description Of Charge

:

OPEN CHARGE

 

Amount Secured

:

N/A

Description Of Property Affected

:

N/A

 

Name & Address Of Chargee

:

PUBLIC BANK BHD

 

 

 

 

 

 

 

 

Form 40 Dated

Registered and Numbered 8 In The Register of Charges

 

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

:

N/A

Overseas

:

N/A

 

 

 


The SC refused to disclose its suppliers. 

CLIENTELE

 

Local

:

YES

Percentage

:

100%

Domestic Markets

:

MALAYSIA

Overseas

:

NO

 

 

 

 

 

 

 

 

 

Credit Term

:

30 - 60 DAYS

 

 

 

 

 

 

Payment Mode

:

CHEQUES

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

OPERATIONS

 

Goods Traded

:

FOODSTUFF

 

 

 

 

 

Total Number of Employees:

 

YEAR

2013

2012

2010

 

 

 

 

 

 

GROUP

N/A

N/A

N/A

 

 

 

 

 

 

COMPANY

40

44

44

 

 

 

 

 

 

 

Branch

:

NO

 

 

Other Information:


The SC is principally engaged in the (as a / as an) trading in foodstuff. 

The SC refused to disclose any information on its operation. 

 

 

PROJECTS


No projects found in our databank 

CURRENT INVESTIGATION

Latest fresh investigations carried out on the SC indicated that :

Telephone Number Provided By Client

:

601 641 83797

Current Telephone Number

:

04-5829228

Match

:

NO

 

 

 

Address Provided by Client

:

NO. 2 & 4, JALAN NAFIRI, KAWASAN INDUSTRIAN VALDOR, SUNGAI BAKAP, PULAU PINANG 14200

Current Address

:

2 & 4, JALAN NAFIRI 1, KAWASAN INDUSTRI VALDOR, 14200 SUNGAI BAKAP, PULAU PINANG, MALAYSIA.

Match

:

NO

 

 

 

Latest Financial Accounts

:

YES

 

Other Investigations


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

The address provided is incomplete.

FINANCIAL ANALYSIS

 

 

Profitability

 

 

 

 

 

 

Turnover

:

Increased

[

2007 - 2011

]

 

Profit/(Loss) Before Tax

:

Increased

[

2007 - 2011

]

 

Return on Shareholder Funds

:

Acceptable

[

19.35%

]

 

Return on Net Assets

:

Acceptable

[

16.88%

]

 

 

 

 

 

 

 

 

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 SC's management had generated acceptable return for its shareholders using its assets.

 

 

 

 

 

 

 

Liquidity

 

 

 

 

 

 

Current Ratio

:

Acceptable

[

1.19 Times

]

 

 

 

 

 

 

 

 

The SC has an adequate liquidity position with its current liabilities well covered by its current assets. With its net current assets, the SC should be able to repay its short term obligations.

 

 

 

 

 

 

 

Solvency

 

 

 

 

 

 

Liability Ratio

:

Unfavourable

[

1.36 Times

]

 

 

 

 

 

 

 

 

The SC has high liabilities ratio and it may face financial difficulties if no additional capital is injected.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Overall Assessment :

 

 

 

 

 

 

Generally, the SC's performance has improved with higher turnover and profit. The SC was in good liquidity position with its total current liabilities well covered by its total current assets. With its current net assets, the SC should be able to repay its short term obligations. The SC's liabilities 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 : STABLE

 

 

 

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

46329 : Wholesale of other foodstuffs

 

 

INDUSTRY :

TRADING

 

 

 


The wholesale and retail trade sector grew 7.1% in the first half of the year 2011 supported by strong consumer spending amid favourable labour market conditions and sustained disposable income. This was reflected in the higher distributive trade index which increased 15.9%, with wholesale and retail trade indices increasing 19.2% and 7.8%, respectively. 


It is anticipated that the retail industry will grow 6.0 per cent in the year 2012.


Malaysia's retail sector for 2011 is expected to grow 6 per cent or RM81.59 billion worth of retail sales, similar to the year 2010, due to concerns of high oil prices, declining purchasing power and high cost of doing business. The Middle East and North Africa civil wars have caused the world oil prices to climb. This has led to further rise in the cost of running retail businesses, especially in terms of transportation cost. Many retailers have no choice but to pass the increased cost to end consumers. At the same time, natural disasters (tsunamis, floods, droughts, snow storms, tornadoes and earthquakes) that occurred in all parts of the world has also led to a shortage in the supply of food and raw materials. The phenomenon has pushed retail prices up.In addition, the continual removal of government subsidies since 2010 has pushed inflation upwards. Consequently, rising prices of retail goods contributed to an expectation of moderate performance.


During the first seven months of 2011, other consumption indicators such as imports of consumption goods and credit card spending increased 12.8% and 11.8%, respectively. Sales of motor vehicles declined 3% on account of supply chain disruptions following devastating March 2011 earthquake and tsunami in Japan.


Growth of the sector is anticipated to remain encouraging with ongoing efforts by the Government to increase its contribution to the economy. Major initiatives include increasing the number of large format stores such as hypermarkets, superstores and departmental stores are carried out to boost the economy.


Meanwhile, the Government has introduced the Retail Shop Transformation (TUKAR) programme. Under this programme, selected large format retailers will assist small retailers to improve their premises and layout which include attractive product display shelves, enhanced lighting and point-of-sales system to manage product inventory,

 

 

OVERALL INDUSTRY OUTLOOK : Average Growth

 


CREDIT RISK EVALUATION & RECOMMENDATION

 

 

Incorporated in 1997, the SC is a Private Limited company, focusing on trading in foodstuff. 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. With an adequate share capital, the SC has the potential of expanding its business in future.


Over the years, the SC should have build up its clientele base and received supports from its regular customers. Investigation revealed that the SC's interest lies mostly in the local market. Thus, any adverse changes to the local economy might have a negative impact on the SC's business performance. The SC is operating on a medium scale and it has approximately 40 employees in its business operations. Overall, we regard that the SC's management capability is average. This indicates that the SC has greater potential to improve its business performance and raising income for the SC.


We noted that both the turnover and profits have increased compared to the previous year. The higher profit could be due to increase in turnover and better control over its operating costs. Return on shareholders' funds of the SC was at an acceptable range which indicated that the management was efficient in utilising its funds to generate income. The SC managed to maintain an adequate liquidity level, indicating that the SC has the ability to meet its financial obligations. The SC has high liabilities ratio and it may face financial difficulties if no additional capital is injected. Given a positive net worth standing at MYR 3,908,598, the SC should be able to maintain its business in the near terms.


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


The 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 normally.

 

 

PROFIT AND LOSS ACCOUNT

 

 

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

BRIDGE 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

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

SUMMARY

SUMMARY

SUMMARY

FULL

FULL

Currency

MYR

MYR

MYR

MYR

MYR

 

 

 

 

 

 

TURNOVER

30,616,522

24,304,090

23,814,215

21,817,403

20,814,685

 

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

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

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

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

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

Total Turnover

30,616,522

24,304,090

23,814,215

21,817,403

20,814,685

 

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

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

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

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

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

 

 

 

 

 

 

PROFIT/(LOSS) FROM OPERATIONS

1,053,305

785,717

601,505

809,411

588,720

 

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

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

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

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

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

PROFIT/(LOSS) BEFORE TAXATION

1,053,305

785,717

601,505

809,411

588,720

Taxation

<297,097>

<241,462>

<140,874>

<193,081>

<140,636>

 

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

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

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

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

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

PROFIT/(LOSS) AFTER TAXATION

756,208

544,255

460,631

616,330

448,084

 

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

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

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

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

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

RETAINED PROFIT/(LOSS) BROUGHT FORWARD

 

 

 

 

 

As previously reported

2,152,390

1,608,135

1,147,504

831,174

383,090

 

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

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

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

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

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

As restated

2,152,390

1,608,135

1,147,504

831,174

383,090

 

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

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

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

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

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

PROFIT AVAILABLE FOR APPROPRIATIONS

2,908,598

2,152,390

1,608,135

1,447,504

831,174

CAPITALISATION FOR BONUS ISSUES

-

-

-

<300,000>

-

 

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

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

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

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

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

RETAINED PROFIT/(LOSS) CARRIED FORWARD

2,908,598

2,152,390

1,608,135

1,147,504

831,174

 

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

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

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

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

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

 

 

 

 

 

 

INTEREST EXPENSE (as per notes to P&L)

 

 

 

 

 

Bank overdraft

-

-

-

6,173

9,573

Hire purchase

-

-

-

24,655

36,510

Term loan / Borrowing

-

-

-

23,002

14,269

Others

-

-

-

40,388

26,321

 

 

 

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

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

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

 

 

 

-

94,218

86,673

 

BALANCE SHEET

 

 

BRIDGE TRADING SDN. BHD.

 

ASSETS EMPLOYED:

 

 

 

 

 

FIXED ASSETS

5,666,273

5,004,486

4,228,331

4,005,488

1,995,431

 

 

 

 

 

 

LONG TERM INVESTMENTS/OTHER ASSETS

 

 

 

 

 

TOTAL LONG TERM INVESTMENTS/OTHER ASSETS

-

-

0

-

-

 

 

 

 

 

 

 

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

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

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

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

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

TOTAL LONG TERM ASSETS

5,666,273

5,004,486

4,228,331

4,005,488

1,995,431

 

 

 

 

 

 

CURRENT ASSETS

 

 

 

 

 

Stocks

-

-

-

553,810

437,852

Trade debtors

-

-

-

3,007,405

2,179,998

Other debtors, deposits & prepayments

-

-

-

65,975

129,577

Cash & bank balances

-

-

-

227,075

421,644

 

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

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

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

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

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

TOTAL CURRENT ASSETS

3,541,874

3,322,695

3,797,341

3,854,265

3,169,071

 

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

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

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

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

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

TOTAL ASSET

9,208,147

8,327,181

8,025,672

7,859,753

5,164,502

 

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

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

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

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

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

 

 

 

 

 

 

CURRENT LIABILITIES

 

 

 

 

 

Trade creditors

-

-

-

1,724,173

1,787,107

Other creditors & accruals

-

-

-

367,524

245,468

Hire purchase & lease creditors

-

-

-

95,972

151,966

Bank overdraft

-

-

-

28,700

-

Short term borrowings/Term loans

-

-

-

80,264

46,870

Bill & acceptances payable

-

-

-

957,000

670,000

Amounts owing to director

-

-

-

479,096

578,436

Provision for taxation

-

-

-

7,885

27,763

 

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

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

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

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

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

TOTAL CURRENT LIABILITIES

2,968,847

3,122,207

3,480,429

3,740,614

3,507,610

 

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

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

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

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

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

NET CURRENT ASSETS/(LIABILITIES)

573,027

200,488

316,912

113,651

<338,539>

 

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

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

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

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

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

TOTAL NET ASSETS

6,239,300

5,204,974

4,545,243

4,119,139

1,656,892

 

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

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

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

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

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

 

 

 

 

 

 

SHARE CAPITAL

 

 

 

 

 

Ordinary share capital

1,000,000

1,000,000

1,000,000

1,000,000

100,000

 

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

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

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

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

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

TOTAL SHARE CAPITAL

1,000,000

1,000,000

1,000,000

1,000,000

100,000

 

 

 

 

 

 

RESERVES

 

 

 

 

 

Retained profit/(loss) carried forward

2,908,598

2,152,390

1,608,135

1,147,504

831,174

 

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

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

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

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

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

TOTAL RESERVES

2,908,598

2,152,390

1,608,135

1,147,504

831,174

 

 

 

 

 

 

 

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

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

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

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

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

SHAREHOLDERS' FUNDS/EQUITY

3,908,598

3,152,390

2,608,135

2,147,504

931,174

 

 

 

 

 

 

LONG TERM LIABILITIES

 

 

 

 

 

Long term loans

-

-

-

1,702,307

412,036

Hire purchase creditors

-

-

-

217,012

278,377

Deferred taxation

-

-

-

52,316

35,305

 

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

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

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

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

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

TOTAL LONG TERM LIABILITIES

2,330,702

2,052,584

1,937,108

1,971,635

725,718

 

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

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

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

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

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

 

6,239,300

5,204,974

4,545,243

4,119,139

1,656,892

 

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

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

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

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

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

 

 

 

 

 

 

 

 

 

FINANCIAL RATIO

 

 

BRIDGE TRADING SDN. BHD.

 

TYPES OF FUNDS

 

 

 

 

 

Cash

-

-

-

227,075

421,644

Net Liquid Funds

-

-

-

198,375

421,644

Net Liquid Assets

573,027

200,488

316,912

<440,159>

<776,391>

Net Current Assets/(Liabilities)

573,027

200,488

316,912

113,651

<338,539>

Net Tangible Assets

6,239,300

5,204,974

4,545,243

4,119,139

1,656,892

Net Monetary Assets

<1,757,675>

<1,852,096>

<1,620,196>

<2,411,794>

<1,502,109>

BALANCE SHEET ITEMS

 

 

 

 

 

Total Borrowings

-

-

-

2,124,255

889,249

Total Liabilities

5,299,549

5,174,791

5,417,537

5,712,249

4,233,328

Total Assets

9,208,147

8,327,181

8,025,672

7,859,753

5,164,502

Net Assets

6,239,300

5,204,974

4,545,243

4,119,139

1,656,892

Net Assets Backing

3,908,598

3,152,390

2,608,135

2,147,504

931,174

Shareholders' Funds

3,908,598

3,152,390

2,608,135

2,147,504

931,174

Total Share Capital

1,000,000

1,000,000

1,000,000

1,000,000

100,000

Total Reserves

2,908,598

2,152,390

1,608,135

1,147,504

831,174

LIQUIDITY (Times)

 

 

 

 

 

Cash Ratio

-

-

-

0.06

0.12

Liquid Ratio

-

-

-

0.88

0.78

Current Ratio

1.19

1.06

1.09

1.03

0.90

WORKING CAPITAL CONTROL (Days)

 

 

 

 

 

Stock Ratio

-

-

-

9

8

Debtors Ratio

-

-

-

50

38

Creditors Ratio

-

-

-

29

31

SOLVENCY RATIOS (Times)

 

 

 

 

 

Gearing Ratio

-

-

-

0.99

0.95

Liabilities Ratio

1.36

1.64

2.08

2.66

4.55

Times Interest Earned Ratio

-

-

-

9.59

7.79

Assets Backing Ratio

6.24

5.20

4.55

4.12

1.66

PERFORMANCE RATIO (%)

 

 

 

 

 

Operating Profit Margin

3.44

3.23

2.53

3.71

2.83

Net Profit Margin

2.47

2.24

1.93

2.82

2.15

Return On Net Assets

16.88

15.10

13.23

21.94

40.76

Return On Capital Employed

16.88

15.10

13.23

21.29

37.34

Return On Shareholders' Funds/Equity

19.35

17.26

17.66

28.70

48.12

Dividend Pay Out Ratio (Times)

-

-

-

0.00

0.00

NOTES TO ACCOUNTS

 

 

 

 

 

Contingent Liabilities

 

 

-

0

0





 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.54.40

UK Pound

1

Rs.81.57

Euro

1

Rs.71.24

 

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.