|
* Adopted abbreviations :
|
SC - Subject Company (the company
enquired by you)
|
|
|
|
N/A - Not Applicable
|
|
|
|
EXECUTIVE
SUMMARY
|
REGISTRATION NO.
|
:
|
36892-K
|
|
COMPANY NAME
|
:
|
TUNG LIENG (PENANG) TRADING CO. SDN. BHD.
|
|
FORMER NAME
|
:
|
N/A
|
|
INCORPORATION DATE
|
:
|
29/12/1977
|
|
|
|
|
|
|
|
|
|
COMPANY STATUS
|
:
|
EXIST
|
|
LEGAL FORM
|
:
|
PRIVATE LIMITED (LIMITED BY SHARE)
|
|
LISTED STATUS
|
:
|
NO
|
|
|
|
|
|
|
|
|
|
REGISTERED ADDRESS
|
:
|
5402 JALAN PAUL, 12200 BUTTERWORTH, PULAU
PINANG, MALAYSIA.
|
|
BUSINESS ADDRESS
|
:
|
5402, JALAN PAUL, 12200 BUTTERWORTH,
PULAU PINANG, MALAYSIA.
|
|
TEL.NO.
|
:
|
04-3323750
|
|
FAX.NO.
|
:
|
04-3323753
|
|
CONTACT PERSON
|
:
|
TAN SOONG YAM ( MANAGING DIRECTOR )
|
|
|
|
|
|
INDUSTRY CODE
|
:
|
46329
|
|
PRINCIPAL ACTIVITY
|
:
|
TRADING OF FOOD PRODUCTS
|
|
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 448,000.00 DIVIDED INTO
ORDINARY SHARES 68,000 CASH AND 380,000 OTHERWISE OF MYR 1.00 EACH.
|
|
|
|
|
|
SALES
|
:
|
MYR 28,683,588 [2011]
|
|
NET WORTH
|
:
|
MYR 17,756,341 [2011]
|
|
|
|
|
|
STAFF STRENGTH
|
:
|
20 [2013]
|
|
|
|
LITIGATION
|
:
|
CLEAR
|
|
DEFAULTER CHECK
|
:
|
CLEAR
|
|
FINANCIAL CONDITION
|
:
|
FAIR
|
|
PAYMENT
|
:
|
N/A
|
|
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, 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 of food products.
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
|
(%)
|
|
TAN SOONG YAM +
|
6, SALWEEN ROAD, 10050 PULAU PINANG, PULAU
PINANG, MALAYSIA.
|
1753738
|
360,326.00
|
80.43
|
|
TAN JOO BENG & TAN JOO PENG
|
NO.88 MK.8, TANAH LIAT, 14000
BKT.MERTAJAM;PENANG., MALAYSIA.
|
000008935
|
38,976.00
|
8.70
|
|
MR. TANG TENG KEAT +
|
20 LORONG JAMBU MADU 6, TAMAN JAMBU MADU,
14000 BUKIT TENGAH, PULAU PINANG, MALAYSIA.
|
630120-07-5223
|
19,488.00
|
4.35
|
|
MR. TAN NGAT KIANG +
|
3, LORONG AMAN 7, TAMAN ROBINA, TELOK AIR
TAWAR, 13050 BUTTERWORTH, PULAU PINANG, MALAYSIA.
|
640706-07-5131
|
11,357.00
|
2.54
|
|
MR. TAN NGAK TONG +
|
6, SALWEEN ROAD, 10050 PULAU PINANG,
PULAU PINANG, MALAYSIA.
|
740425-07-5483
|
11,357.00
|
2.54
|
|
MR. GOH AH BAH @ GOH PENG KHOON
|
TBP 4011 KAMPUNG PAYA, TANAH LIAT, 14000
BUKIT TENGAH, PULAU PINANG, MALAYSIA.
|
540512-07-5143
|
6,496.00
|
1.45
|
|
|
|
|
---------------
|
------
|
|
|
|
|
448,000.00
|
100.00
|
|
|
|
|
============
|
=====
|
+ Also Director
DIRECTORS
DIRECTOR 1
|
Name Of Subject
|
:
|
MR. TAN JOO BENG
|
|
Address
|
:
|
28 JALAN TAI SAI GIN, 14000 BUKIT TENGAH,
PULAU PINANG, MALAYSIA.
|
|
|
|
|
|
New IC No
|
:
|
610106-07-5675
|
|
Date of Birth
|
:
|
06/01/1961
|
|
|
|
|
|
Nationality
|
:
|
MALAYSIAN
|
|
Date of Appointment
|
:
|
27/02/2004
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
DIRECTOR 2
|
Name Of Subject
|
:
|
MS. CHNG HOOI KHENG
|
|
Address
|
:
|
1580 JALAN TAN SAI GIN, 14000 BUKIT
TENGAH, PULAU PINANG, MALAYSIA.
|
|
|
|
|
|
New IC No
|
:
|
391211-07-5098
|
|
Date of Birth
|
:
|
11/12/1939
|
|
|
|
|
|
Nationality
|
:
|
MALAYSIAN
|
|
Date of Appointment
|
:
|
27/02/2004
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
DIRECTOR 3
|
Name Of Subject
|
:
|
MR. TAN NGAK TONG
|
|
Address
|
:
|
6, SALWEEN ROAD, 10050 PULAU PINANG,
PULAU PINANG, MALAYSIA.
|
|
|
|
|
|
New IC No
|
:
|
740425-07-5483
|
|
Date of Birth
|
:
|
25/04/1974
|
|
|
|
|
|
Nationality
|
:
|
MALAYSIAN
|
|
Date of Appointment
|
:
|
29/08/2011
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
DIRECTOR 4
|
Name Of Subject
|
:
|
MR. TAN NGAT KIANG
|
|
Address
|
:
|
3, LORONG AMAN 7, TAMAN ROBINA, TELOK AIR
TAWAR, 13050 BUTTERWORTH, PULAU PINANG, MALAYSIA.
|
|
|
|
|
|
New IC No
|
:
|
640706-07-5131
|
|
Date of Birth
|
:
|
06/07/1964
|
|
|
|
|
|
Nationality
|
:
|
MALAYSIAN
|
|
Date of Appointment
|
:
|
29/08/2011
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
DIRECTOR 5
|
Name Of Subject
|
:
|
MR. TANG TENG KEAT
|
|
Address
|
:
|
20 LORONG JAMBU MADU 6, TAMAN JAMBU MADU,
14000 BUKIT TENGAH, PULAU PINANG, MALAYSIA.
|
|
|
|
|
|
New IC No
|
:
|
630120-07-5223
|
|
Date of Birth
|
:
|
20/01/1963
|
|
|
|
|
|
Nationality
|
:
|
MALAYSIAN
|
|
Date of Appointment
|
:
|
11/08/2008
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
DIRECTOR 6
|
Name Of Subject
|
:
|
TAN SOONG YAM
|
|
Address
|
:
|
6, SALWEEN ROAD, 10050 PULAU PINANG, PULAU
PINANG, MALAYSIA.
|
|
IC / PP No
|
:
|
1753738
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Date of Appointment
|
:
|
12/01/1978
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
MANAGEMENT
|
1)
|
Name of Subject
|
:
|
TAN SOONG YAM
|
|
|
Position
|
:
|
MANAGING 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 PULAU PINANG,
PULAU PINANG, MALAYSIA.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
BANKING
Banking relations are maintained principally with :
|
The SC enjoys normal banking routine with
above mentioned banker(s). No adverse record was found during our
investigation.
|
ENCUMBRANCE (S)
ENCUMBRANCE 1
|
Date of Creation
|
:
|
20/07/1989
|
|
Description Of Charge
|
:
|
|
|
Amount Secured
|
:
|
RM850,000.00
|
|
Description Of Property Affected
|
:
|
|
|
Name & Address Of Chargee
|
:
|
|
|
|
|
|
|
|
|
|
|
Form 40 Dated
|
|
Registered and Numbered 3 In The Register
of Charges
|
ENCUMBRANCE 2
|
Date of Creation
|
:
|
25/08/1994
|
|
Description Of Charge
|
:
|
|
|
Amount Secured
|
:
|
N/A
|
|
Description Of Property Affected
|
:
|
|
|
Name & Address Of Chargee
|
:
|
|
|
|
|
|
|
|
|
|
|
Form 40 Dated
|
|
Registered and Numbered 5 In The Register
of Charges
|
ENCUMBRANCE 3
|
Date of Creation
|
:
|
25/08/1994
|
|
Description Of Charge
|
:
|
|
|
Amount Secured
|
:
|
N/A
|
|
Description Of Property Affected
|
:
|
|
|
Name & Address Of Chargee
|
:
|
|
|
|
|
|
|
|
|
|
|
Form 40 Dated
|
|
Registered and Numbered 7 In The Register
of Charges
|
ENCUMBRANCE 4
|
Date of Creation
|
:
|
12/03/1996
|
|
Description Of Charge
|
:
|
|
|
Amount Secured
|
:
|
RM1,000,000.00
|
|
Description Of Property Affected
|
:
|
|
|
Name & Address Of Chargee
|
:
|
|
|
|
|
|
|
|
|
|
|
Form 40 Dated
|
|
Registered and Numbered 8 In The Register
of Charges
|
ENCUMBRANCE 5
|
Date of Creation
|
:
|
14/08/1993
|
|
Description Of Charge
|
:
|
|
|
Amount Secured
|
:
|
RM1,750,000.00
|
|
Description Of Property Affected
|
:
|
|
|
Name & Address Of Chargee
|
:
|
|
|
|
|
|
|
|
|
|
|
Form 40 Dated
|
|
Registered and Numbered 9 In The Register
of Charges
|
ENCUMBRANCE 6
|
Date of Creation
|
:
|
12/03/1996
|
|
Description Of Charge
|
:
|
|
|
Amount Secured
|
:
|
RM1,000,000.00
|
|
Description Of Property Affected
|
:
|
|
|
Name & Address Of Chargee
|
:
|
|
|
|
|
|
|
|
|
|
|
Form 40 Dated
|
|
Registered and Numbered 8P 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
|
:
|
YES
|
|
|
Overseas
|
:
|
YES
|
|
|
Import Countries
|
:
|
CHINA
|
CLIENTELE
|
Local
|
:
|
YES
|
Percentage
|
:
|
100%
|
|
Domestic Markets
|
:
|
MALAYSIA
|
|
Overseas
|
:
|
NO
|
|
|
|
|
|
|
|
|
|
|
|
Credit Term
|
:
|
30 - 60 DAYS
|
|
|
|
|
|
|
|
|
Payment Mode
|
:
|
CASH
CHEQUES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
OPERATIONS
|
Goods Traded
|
:
|
|
|
|
|
|
|
Ownership of premises
|
:
|
|
|
Total Number of Employees:
|
|
|
YEAR
|
2013
|
2012
|
2011
|
2010
|
2009
|
2008
|
|
|
|
|
|
|
GROUP
|
N/A
|
N/A
|
N/A
|
N/A
|
N/A
|
N/A
|
|
|
|
|
COMPANY
|
20
|
18
|
18
|
18
|
17
|
16
|
|
|
|
Other Information:
The SC is principally engaged in the (as a / as an) trading of food products.
The SC offers a wide range products including soya beans, blackbeans, grounut
beans, green beans, spices and others.
Besides that the SC also provides products based on the customers's
requirements.
We were informed that the SC has a warehouse located at the same premises to
keep stocks and materials.
PROJECTS
No projects found in our databank
CURRENT INVESTIGATION
Latest fresh investigations carried out on the SC indicated that :
|
Telephone Number Provided By Client
|
:
|
N/A
|
|
Current Telephone Number
|
:
|
04-3323750
|
|
Match
|
:
|
N/A
|
|
|
|
|
|
Address Provided by Client
|
:
|
5402, JALAN PAUL,12200,BUTTERWORTH,PULAU
PINANG.
|
|
Current Address
|
:
|
5402, JALAN PAUL, 12200 BUTTERWORTH,
PULAU PINANG, 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
|
:
|
Decreased
|
[
|
2007 - 2011
|
]
|
|
|
Return on Shareholder Funds
|
:
|
Unfavourable
|
[
|
5.63%
|
]
|
|
|
Return on Net Assets
|
:
|
Unfavourable
|
[
|
7.39%
|
]
|
|
|
|
|
|
|
|
|
|
|
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.
|
|
|
|
|
|
|
|
|
|
Liquidity
|
|
|
|
|
|
|
|
Current Ratio
|
:
|
Favourable
|
[
|
9.11 Times
|
]
|
|
|
|
|
|
|
|
|
|
|
The SC was in good liquidity position
with its current liabilities well covered by its current assets. With its net
current assets, the SC should be able to repay its short term obligations.
|
|
|
|
|
|
|
|
|
|
Solvency
|
|
|
|
|
|
|
|
Liability Ratio
|
:
|
Favourable
|
[
|
0.11 Times
|
]
|
|
|
|
|
|
|
|
|
|
|
A low liabilities ratio has minimised the
SC's financial risk.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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 was in good liquidity position with
its total current liabilities well covered by its total current assets.
With its current net assets, the SC should be able to repay its short term
obligations. The SC has high financial risks. If its shareholders do not
inject more capital into the company or if its business performance does
not improve, its going concern may be in question.
|
|
|
|
|
|
|
|
|
|
Overall financial condition of the SC :
FAIR
|
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 1977, the SC is a Private Limited company, focusing on
trading of food products. 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. The SC is considered as a small
entity with issued and paid up capital stand at MYR 448,000.
|
|
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. 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. This indicates that the SC has greater potential to
improve its business performance and raising income for the SC.
|
|
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 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. A low liabilities ratio has minimised the
SC's financial risk. Given a positive net worth standing at MYR 17,756,341,
the SC should be able to maintain its business in the near terms.
|
|
Having a strong assets backing, the SC possesses latent assets as
collateral for further financial extension. Hence, it has good chance of
getting loans if the needs arises. The SC's supplier are from both the
local and overseas countries. This will eliminates the risk of dependency
on deliveries from a number of key suppliers and insufficient quantities of
its raw materials. Overall the SC has a good control over its resources.
|
|
The industry shows an upward trend and this trend is very likely to sustain
in the near terms. Hence, the SC is expected to benefit from the favourable
outlook of the industry.
|
|
Based on the above condition, we recommend credit be granted to the SC
promptly.
|
PROFIT AND LOSS ACCOUNT
|
THE FINANCIAL STATEMENTS WERE PREPARED IN ACCORDANCE WITH MALAYSIAN FINANCIAL
REPORTING STANDARDS(FRS)
|
|
TUNG LIENG (PENANG) TRADING CO. 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
|
28,683,588
|
26,616,327
|
25,346,655
|
27,080,844
|
27,083,188
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
----------------
|
|
Total Turnover
|
28,683,588
|
26,616,327
|
25,346,655
|
27,080,844
|
27,083,188
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
----------------
|
|
|
|
|
|
|
|
|
PROFIT/(LOSS) FROM OPERATIONS
|
1,322,729
|
3,645,898
|
1,724,253
|
3,329,732
|
1,373,253
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
----------------
|
|
PROFIT/(LOSS) BEFORE TAXATION
|
1,322,729
|
3,645,898
|
1,724,253
|
3,329,732
|
1,373,253
|
|
Taxation
|
<323,191>
|
<906,805>
|
<420,594>
|
<454,746>
|
<420,536>
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
----------------
|
|
PROFIT/(LOSS) AFTER TAXATION
|
999,538
|
2,739,093
|
1,303,659
|
2,874,986
|
952,717
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
----------------
|
|
RETAINED PROFIT/(LOSS) BROUGHT FORWARD
|
|
|
|
|
|
|
As previously reported
|
17,160,003
|
14,572,110
|
13,268,451
|
10,393,465
|
9,440,748
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
----------------
|
|
As restated
|
17,160,003
|
14,572,110
|
13,268,451
|
10,393,465
|
9,440,748
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
----------------
|
|
PROFIT AVAILABLE FOR APPROPRIATIONS
|
18,159,541
|
17,311,203
|
14,572,110
|
13,268,451
|
10,393,465
|
|
DIVIDENDS - Ordinary (paid &
proposed)
|
<851,200>
|
<151,200>
|
-
|
-
|
-
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
----------------
|
|
RETAINED PROFIT/(LOSS) CARRIED FORWARD
|
17,308,341
|
17,160,003
|
14,572,110
|
13,268,451
|
10,393,465
|
|
|
=============
|
=============
|
=============
|
=============
|
=============
|
|
|
|
|
|
|
|
|
INTEREST EXPENSE (as per notes to
P&L)
|
|
|
|
|
|
|
Bank overdraft
|
-
|
-
|
-
|
766
|
2,676
|
|
Hire purchase
|
-
|
-
|
-
|
10,515
|
8,604
|
|
Others
|
-
|
-
|
-
|
-
|
1,146
|
|
|
|
|
----------------
|
----------------
|
----------------
|
|
|
|
|
-
|
11,281
|
12,426
|
BALANCE SHEET
|
TUNG LIENG (PENANG) TRADING CO. SDN. BHD.
|
|
ASSETS EMPLOYED:
|
|
|
|
|
|
|
FIXED ASSETS
|
2,785,292
|
2,718,490
|
2,283,000
|
2,071,937
|
1,719,901
|
|
|
|
|
|
|
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
----------------
|
|
TOTAL LONG TERM ASSETS
|
2,785,292
|
2,718,490
|
2,283,000
|
2,071,937
|
1,719,901
|
|
|
|
|
|
|
|
|
CURRENT ASSETS
|
|
|
|
|
|
|
Stocks
|
-
|
-
|
-
|
1,859,619
|
1,389,252
|
|
Trade debtors
|
-
|
-
|
-
|
3,684,189
|
3,467,149
|
|
Other debtors, deposits & prepayments
|
-
|
-
|
-
|
207,779
|
257,987
|
|
Cash & bank balances
|
-
|
-
|
-
|
3,171,389
|
1,492,527
|
|
Others
|
-
|
-
|
-
|
5,968,768
|
5,133,997
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
----------------
|
|
TOTAL CURRENT ASSETS
|
16,973,334
|
18,247,317
|
15,782,904
|
14,891,744
|
11,740,912
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
----------------
|
|
TOTAL ASSET
|
19,758,626
|
20,965,807
|
18,065,904
|
16,963,681
|
13,460,813
|
|
|
=============
|
=============
|
=============
|
=============
|
=============
|
|
|
|
|
|
|
|
|
CURRENT LIABILITIES
|
|
|
|
|
|
|
Trade creditors
|
-
|
-
|
-
|
2,003,837
|
1,411,052
|
|
Other creditors & accruals
|
-
|
-
|
-
|
344,491
|
312,940
|
|
Hire purchase & lease creditors
|
-
|
-
|
-
|
72,845
|
54,170
|
|
Amounts owing to director
|
-
|
-
|
-
|
654,726
|
494,077
|
|
Provision for taxation
|
-
|
-
|
-
|
-
|
138,334
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
----------------
|
|
TOTAL CURRENT LIABILITIES
|
1,863,321
|
3,208,737
|
2,924,521
|
3,075,899
|
2,410,573
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
----------------
|
|
NET CURRENT ASSETS/(LIABILITIES)
|
15,110,013
|
15,038,580
|
12,858,383
|
11,815,845
|
9,330,339
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
----------------
|
|
TOTAL NET ASSETS
|
17,895,305
|
17,757,070
|
15,141,383
|
13,887,782
|
11,050,240
|
|
|
=============
|
=============
|
=============
|
=============
|
=============
|
|
|
|
|
|
|
|
|
SHARE CAPITAL
|
|
|
|
|
|
|
Ordinary share capital
|
448,000
|
448,000
|
448,000
|
448,000
|
448,000
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
----------------
|
|
TOTAL SHARE CAPITAL
|
448,000
|
448,000
|
448,000
|
448,000
|
448,000
|
|
|
|
|
|
|
|
|
RESERVES
|
|
|
|
|
|
|
Retained profit/(loss) carried forward
|
17,308,341
|
17,160,003
|
14,572,110
|
13,268,451
|
10,393,465
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
----------------
|
|
TOTAL RESERVES
|
17,308,341
|
17,160,003
|
14,572,110
|
13,268,451
|
10,393,465
|
|
|
|
|
|
|
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
----------------
|
|
SHAREHOLDERS' FUNDS/EQUITY
|
17,756,341
|
17,608,003
|
15,020,110
|
13,716,451
|
10,841,465
|
|
|
|
|
|
|
|
|
LONG TERM LIABILITIES
|
|
|
|
|
|
|
Hire purchase creditors
|
-
|
-
|
-
|
118,326
|
155,766
|
|
Deferred taxation
|
-
|
-
|
-
|
53,005
|
53,009
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
----------------
|
|
TOTAL LONG TERM LIABILITIES
|
138,964
|
149,067
|
121,273
|
171,331
|
208,775
|
|
|
----------------
|
----------------
|
----------------
|
----------------
|
----------------
|
|
|
17,895,305
|
17,757,070
|
15,141,383
|
13,887,782
|
11,050,240
|
|
|
=============
|
=============
|
=============
|
=============
|
=============
|
|
|
|
|
|
|
|
FINANCIAL RATIO
|
TUNG LIENG (PENANG) TRADING CO. SDN. BHD.
|
|
TYPES OF FUNDS
|
|
|
|
|
|
|
Cash
|
-
|
-
|
-
|
3,171,389
|
1,492,527
|
|
Net Liquid Funds
|
-
|
-
|
-
|
3,171,389
|
1,492,527
|
|
Net Liquid Assets
|
15,110,013
|
15,038,580
|
12,858,383
|
9,956,226
|
7,941,087
|
|
Net Current Assets/(Liabilities)
|
15,110,013
|
15,038,580
|
12,858,383
|
11,815,845
|
9,330,339
|
|
Net Tangible Assets
|
17,895,305
|
17,757,070
|
15,141,383
|
13,887,782
|
11,050,240
|
|
Net Monetary Assets
|
14,971,049
|
14,889,513
|
12,737,110
|
9,784,895
|
7,732,312
|
|
|
|
|
|
|
|
|
BALANCE SHEET ITEMS
|
|
|
|
|
|
|
Total Borrowings
|
-
|
-
|
-
|
191,171
|
209,936
|
|
Total Liabilities
|
2,002,285
|
3,357,804
|
3,045,794
|
3,247,230
|
2,619,348
|
|
Total Assets
|
19,758,626
|
20,965,807
|
18,065,904
|
16,963,681
|
13,460,813
|
|
Net Assets
|
17,895,305
|
17,757,070
|
15,141,383
|
13,887,782
|
11,050,240
|
|
Net Assets Backing
|
17,756,341
|
17,608,003
|
15,020,110
|
13,716,451
|
10,841,465
|
|
Shareholders' Funds
|
17,756,341
|
17,608,003
|
15,020,110
|
13,716,451
|
10,841,465
|
|
Total Share Capital
|
448,000
|
448,000
|
448,000
|
448,000
|
448,000
|
|
Total Reserves
|
17,308,341
|
17,160,003
|
14,572,110
|
13,268,451
|
10,393,465
|
|
|
|
|
|
|
|
|
LIQUIDITY (Times)
|
|
|
|
|
|
|
Cash Ratio
|
-
|
-
|
-
|
1.03
|
0.62
|
|
Liquid Ratio
|
-
|
-
|
-
|
4.24
|
4.29
|
|
Current Ratio
|
9.11
|
5.69
|
5.40
|
4.84
|
4.87
|
|
|
|
|
|
|
|
|
WORKING CAPITAL CONTROL (Days)
|
|
|
|
|
|
|
Stock Ratio
|
-
|
-
|
-
|
25
|
19
|
|
Debtors Ratio
|
-
|
-
|
-
|
50
|
47
|
|
Creditors Ratio
|
-
|
-
|
-
|
27
|
19
|
|
|
|
|
|
|
|
|
SOLVENCY RATIOS (Times)
|
|
|
|
|
|
|
Gearing Ratio
|
-
|
-
|
-
|
0.01
|
0.02
|
|
Liabilities Ratio
|
0.11
|
0.19
|
0.20
|
0.24
|
0.24
|
|
Times Interest Earned Ratio
|
-
|
-
|
-
|
296.16
|
111.51
|
|
Assets Backing Ratio
|
39.94
|
39.64
|
33.80
|
31.00
|
24.67
|
|
|
|
|
|
|
|
|
PERFORMANCE RATIO (%)
|
|
|
|
|
|
|
Operating Profit Margin
|
4.61
|
13.70
|
6.80
|
12.30
|
5.07
|
|
Net Profit Margin
|
3.48
|
10.29
|
5.14
|
10.62
|
3.52
|
|
Return On Net Assets
|
7.39
|
20.53
|
11.39
|
24.06
|
12.54
|
|
Return On Capital Employed
|
7.39
|
20.53
|
11.39
|
23.93
|
12.48
|
|
Return On Shareholders' Funds/Equity
|
5.63
|
15.56
|
8.68
|
20.96
|
8.79
|
|
Dividend Pay Out Ratio (Times)
|
0.85
|
0.06
|
-
|
-
|
-
|
|
|
|
|
|
|
|
|