MIRA INFORM REPORT

 

 

Report Date :

07.05.2013

 

IDENTIFICATION DETAILS

 

Name :

C M M MARKETING MANAGEMENT PTE LTD

 

 

Registered Office :

6 Mandai Link, 728652

 

 

Country :

Singapore

 

 

Financials (as on) :

31.12.2011

 

 

Date of Incorporation :

20.07.2000

 

 

Com. Reg. No.:

200006394-W

 

 

Legal Form :

Private Limited (Limited By Share)

 

 

Line of Business :

Trader of food products

 

 

No. of Employees :

350

 

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 :

Exists

 

NOTES:

Any query related to this report can be made on e-mail: infodept@mirainform.com while quoting report number, name and date.

 

ECGC Country Risk Classification List – March 31st 2013

 

Country Name

Previous Rating

(31.12.2012)

Current Rating

(31.03.2013)

Singapore

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

Singapore ECONOMIC OVERVIEW

 

Singapore has a highly developed and successful free-market economy. It enjoys a remarkably open and corruption-free environment, stable prices, and a per capita GDP higher than that of most developed countries. The economy depends heavily on exports, particularly in consumer electronics, information technology products, pharmaceuticals, and on a growing financial services sector. Real GDP growth averaged 8.6% between 2004 and 2007. The economy contracted 0.8% in 2009 as a result of the global financial crisis, but rebounded 14.8% in 2010, on the strength of renewed exports, before slowing to 5.2% in 2011 and 1.3% in 2012, largely a result of soft demand for exports during the second European recession. Over the longer term, the government hopes to establish a new growth path that focuses on raising productivity, which has sunk to an average of about 1.0% in the last decade. Singapore has attracted major investments in pharmaceuticals and medical technology production and will continue efforts to establish Singapore as Southeast Asia's financial and high-tech hub.

 

Source : CIA

 

 


* Adopted abbreviations :

SC - Subject Company (the company enquired by you)

 

 

 

N/A - Not Applicable

 

 

 

 

EXECUTIVE SUMMARY

 

 

REGISTRATION NO.

:

200006394-W

COMPANY NAME

:

C M M MARKETING MANAGEMENT PTE LTD

FORMER NAME

:

N/A

INCORPORATION DATE

:

20/07/2000

 

 

 

 

 

 

COMPANY STATUS

:

EXIST

LEGAL FORM

:

PRIVATE LIMITED (LIMITED BY SHARE)

LISTED STATUS

:

NO

 

 

 

 

 

 

REGISTERED ADDRESS

:

6 MANDAI LINK, 728652, SINGAPORE.

BUSINESS ADDRESS

:

6 MANDAI LINK , 728652, SINGAPORE.

TEL.NO.

:

65-68951888

FAX.NO.

:

65-62698265

CONTACT PERSON

:

LIM HOCK ENG ( MANAGING DIRECTOR )

 

 

 

 

 

 

PRINCIPAL ACTIVITY

:

TRADE OF FOOD PRODUCTS

 

 

 

ISSUED AND PAID UP CAPITAL

:

15,000,000.00 ORDINARY SHARE, OF A VALUE OF SGD 5,000,000.00

 

 

 

SALES

:

SGD 271,007,181 [2011]

NET WORTH

:

SGD 23,899,460 [2011]

 

 

 

STAFF STRENGTH

:

350 [2013]

BANKER (S)

:

CITIBANK SINGAPORE LIMITED
STANDARD CHARTERED BANK

LITIGATION

:

TRACED

FINANCIAL CONDITION

:

FAIR

PAYMENT

:

GOOD

MANAGEMENT CAPABILITY

:

GOOD

 

 

 

COMMERCIAL RISK

:

MODERATE

CURRENCY EXPOSURE

:

MODERATE

GENERAL REPUTATION

:

GOOD

INDUSTRY OUTLOOK

:

AVERAGE GROWTH

 

 

HISTORY / BACKGROUND

 

The SC is a private limited company and is allowed to have a minimum of one and a maximum of forty-nine shareholders. As a private limited company, the SC must have at least two directors. A private limited company is a separate legal entity from its shareholders. As a separate legal entity, the SC is capable of owning assets, entering into contracts, sue or be sued by other companies. The liabilities of the shareholders are to the extent of the equity they have taken up and the creditors cannot claim on shareholders' personal assets even if the SC is insolvent. The SC is governed by the Companies Act 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) trade of food products.

 

The immediate holding company of the SC is SHENG SIONG GROUP LTD., a company incorporated in SINGAPORE.

 

The ultimate holding company of the SC is SHENG SIONG HOLDINGS PTE LTD, a company incorporated in SINGAPORE.

 

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

Name

Address

IC/PP/Loc No

Shareholding

(%)

SHENG SIONG GROUP LTD.

6 MANDAI LINK, 728652, SINGAPORE.

201023989Z

15,000,000.00

100.00

 

 

 

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

------

 

 

 

15,000,000.00

100.00

 

 

 

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

=====

+ Also Director

 

DIRECTORS

 

DIRECTOR 1

Name Of Subject

:

TAN PECK HIANG

Address

:

207 PONGGOL SEVENTEETH AVENUE, 829745, SINGAPORE.

IC / PP No

:

S6846788H

 

 

 

 

 

 

 

 

 

 

 

 

Date of Appointment

:

15/10/2008

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 2

Name Of Subject

:

LIM HOCK ENG

Address

:

127, ANG MO KIO AVENUE 3, 06-1899, 560127, SINGAPORE.

IC / PP No

:

S1416027B

 

 

 

 

 

 

 

 

 

 

 

 

Date of Appointment

:

20/07/2000

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 3

Name Of Subject

:

LEE MOI HONG

Address

:

73 JALAN ARIF, HENLEY GARDENS, 545115, SINGAPORE.

IC / PP No

:

S1446443C

 

 

 

 

 

 

 

 

 

 

 

 

Date of Appointment

:

15/10/2008

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 4

 

Name Of Subject

:

LIM HOCK CHEE

Address

:

73 JALAN ARIF, HENLEY GARDENS, 545115, SINGAPORE.

IC / PP No

:

S1475509H

 

 

 

 

 

 

 

 

 

 

 

 

Date of Appointment

:

20/07/2000

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 5

 

Name Of Subject

:

TAN LING SAN

Address

:

295 BEDOK SOUTH AVE 3, 01-09, BEDOK COURT, 469296, SINGAPORE.

IC / PP No

:

S0525080C

 

 

 

 

 

 

 

 

 

 

 

 

Date of Appointment

:

15/10/2008

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 6

 

Name Of Subject

:

LIM HOCK LENG

Address

:

207 PONGGOL SEVENTEENTH AVENUE, 829745, SINGAPORE.

IC / PP No

:

S1731508J

 

 

 

 

 

 

 

 

 

 

 

 

Date of Appointment

:

20/07/2000

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 7

 

Name Of Subject

:

TAN BEE LOO

Address

:

127 ANG MO KIO AVENUE 3, 06-1899, 560127, SINGAPORE.

IC / PP No

:

S1416092B

 

 

 

 

 

 

 

 

 

 

 

 

Date of Appointment

:

15/10/2008

 

 

 

 

 

 

 

 

 

 

 

 





MANAGEMENT

 

 

 

1)

Name of Subject

:

LIM HOCK ENG

 

Position

:

MANAGING DIRECTOR

 

 

 

AUDITOR

 

Auditor

:

KPMG LLP

Auditor' Address

:

N/A

 

 

 

 

 

 

COMPANY SECRETARIES

 

1)

Company Secretary

:

LOO MING WEI @ LOO SHAN SHAN VICTORIA

 

IC / PP No

:

S8614578B

 

 

 

 

 

Address

:

19 DUNSFOLD DRIVE, BRADDELL HEIGHTS ESTATE, 359381, SINGAPORE.

 

 

 

 

 

 

 

 

 

 

 

BANKING


Banking relations are maintained principally with :

1)

Name

:

CITIBANK SINGAPORE LIMITED

 

 

 

 

 

2)

Name

:

STANDARD CHARTERED BANK

 

 

 

 

 

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

:

24/09/2008

Description Of Charge

:

N/A

 

Amount Secured

:

N/A

Description Of Property Affected

:

N/A

 

Name & Address Of Chargee

:

CITIBANK SINGAPORE LIMITED

 

 

 

 

 

 

 

Form 40 Dated

Registered and Numbered C200808912 In The Register of Charges



ENCUMBRANCE 2

Date of Creation

:

10/01/2001

Description Of Charge

:

N/A

 

Amount Secured

:

N/A

Description Of Property Affected

:

N/A

 

Name & Address Of Chargee

:

STANDARD CHARTERED BANK

 

 

 

 

 

 

 

Form 40 Dated

Registered and Numbered 200100198 In The Register of Charges

 

LEGAL CHECK AGAINST SC


* A check has been conducted in our databank against the SC whether the subject has been involved in any litigation. 

LEGAL ACTION

 

 

 

Code No

:

00

Case No

:

31964

Year

:

2008

Place

:

SINGAPORE

Court

:

MAGISTRATE COURT

 

 

 

Date Filed

:

05/12/2008

 

 

 

Solicitor

:

ANJALLI D/O MUNIANDY

 

 

 

Plaintiff

:

KOH WEE SENG

 

 

 

Defendants

:

C M M MARKETING MANAGEMENT PTE LTD (200006394)

 

 

 

 

Amount Claimed

:

2,909.01

 

 

 

 

 

 

 

 

Nature of Claim

:

SGD

 

 

 

 

 

 

 

 

Remark

:

TORT-NEGLIGENCE

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Code No

:

99

Case No

:

24099

 

 

 

 

 

Year

:

2008

Place

:

SINGAPORE

 

 

 

 

 

Court

:

MAGISTRATE COURT

 

 

 

 

 

 

 

 

Date Filed

:

18/09/2008

 

 

 

 

 

 

 

 

Solicitor

:

TIWARY ANURADHA

 

 

 

 

 

 

 

 

Plaintiff

:

V SUPPIAH PILLAI

 

 

 

Defendants

:

C M M MARKETING MANAGEMENT PTE LTD (200006394)

 

 

 

 

Amount Claimed

:

3,560.00

 

 

 

 

 

 

 

 

Nature of Claim

:

SGD

 

 

 

 

 

 

 

 

Remark

:

TORT-NEGLIGENCE

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Code No

:

99

Case No

:

15528

 

 

 

 

 

Year

:

2008

Place

:

SINGAPORE

 

 

 

 

 

Court

:

MAGISTRATE COURT

 

 

 

 

 

 

 

 

Date Filed

:

25/06/2008

 

 

 

 

 

 

 

 

Solicitor

:

POON CHOON KOW DANIEL

 

 

 

 

 

 

 

 

Plaintiff

:

WONG KUM SENG
CITY CAB PTE LTD

 

 

 

Defendants

:

C M M MARKETING MANAGEMENT PTE LTD (200006394)

 

 

 

 

Amount Claimed

:

1,915.60

 

 

 

 

 

 

 

 

Nature of Claim

:

SGD

 

 

 

 

 

 

 

 

Remark

:

TORT-NEGLIGENCE

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Code No

:

99

Case No

:

3870

 

 

 

 

 

Year

:

2011

Place

:

SINGAPORE

 

 

 

 

 

Court

:

MAGISTRATE COURT

 

 

 

 

 

 

 

 

Date Filed

:

15/02/2011

 

 

 

 

 

 

 

 

Plaintiff

:

DONG GANG

 

 

 

Defendants

:

C M M MARKETING MANAGEMENT PTE LTD (200006394)

 

 

 

 

Amount Claimed

:

3,768.72

 

 

 

 

 

 

 

 

Nature of Claim

:

SGD

 

 

 

 

 

 

 

 

Remark

:

TORT-NEGLIGENCE

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Code No

:

99

Case No

:

3284

 

 

 

 

 

Year

:

2011

Place

:

SINGAPORE

 

 

 

 

 

Court

:

LAND OFFICE

 

 

 

 

 

 

 

 

Date Filed

:

08/02/2011

 

 

 

 

 

 

 

 

Plaintiff

:

GUANGDONG IMPORT & EXPORT PTE LTD

 

 

 

Defendants

:

C M M MARKETING MANAGEMENT PTE LTD (200006394)

 

 

 

 

Amount Claimed

:

14,296.35

 

 

 

 

 

 

 

 

Nature of Claim

:

SGD

 

 

 

 

 

 

 

 

Remark

:

TORT-NEGLIGENCE

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

NOTE:

Please check with creditors for confirmation as alleged debts may have been paid since recorded or are being disputed. The person wo has been sued has the same name as the subject. However, we are unable to determine whether the person sued is the one and the same person.

 

No winding up petition was found in our databank

 

 

 

PAYMENT RECORD

 

 

SOURCES OF RAW MATERIALS:

Local

:

YES

Overseas

:

YES

 

 

 



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

OVERALL PAYMENT HABIT

Prompt 0-30 Days

[

 

]

 

Good 31-60 Days

[

X

]

 

Average 61-90 Days

[

 

]

 

Fair 91-120 Days

[

 

]

 

Poor >120 Days

[

 

]

 

 

 

 

 

 

 

CLIENTELE

 

Local

:

YES

Percentage

:

100%

Domestic Markets

:

SINGAPORE

Overseas

:

NO

 

 

 

 

 

 

 

 

 

Credit Term

:

N/A

 

 

 

 

 

 

Payment Mode

:

CASH
CHEQUES

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

OPERATIONS

 

Goods Traded

:

FOOD PRODUCTS

 

 

 

 

 

Total Number of Employees:

YEAR

2013

 

GROUP

N/A

 

 

 

 

 

 

 

 

COMPANY

350

 

 

 

 

 

 

 

 

 

Branch

:

NO

 

 

Other Information:

The SC is principally engaged in the (as a / as an) trade of food products. 

The SC involved in packing and repacking of consumer products such as frozen food, fresh pork, fresh seafood and repacking cum storage of dry food, dairy products and vegetables. 

The SC is a member of the following entity:

* Singapore Business Federation 

CURRENT INVESTIGATION

 

Latest fresh investigations carried out on the SC indicated that :

Telephone Number Provided By Client

:

N/A

Current Telephone Number

:

65-68951888

Match

:

N/A

 

 

 

Address Provided by Client

:

2000 NARSING ROAD, 739108 SINGAPORE

Current Address

:

6 MANDAI LINK , 728652, SINGAPORE.

Match

:

NO

 

Other Investigations


we contacted one of the staff from the SC and she provided some information on the SC.
The SC had shifted from the address provided.


FINANCIAL ANALYSIS

 

 

Profitability

 

 

 

 

 

 

Turnover

:

Increased

[

2.84%

]

 

Profit/(Loss) Before Tax

:

Decreased

[

4.08%

]

 

Return on Shareholder Funds

:

Favourable

[

38.36%

]

 

Return on Net Assets

:

Favourable

[

47.07%

]

 

 

 

 

 

 

 

 

The higher turnover could be attributed to the favourable market condition.The dip in profit could be due to the stiff market competition which reduced the SC's profit margin. Generally the SC was profitable. The favourable return on shareholders' funds and return on net assets indicate that the SC's management was efficient in utilising the assets to generate returns.

 

 

 

 

 

 

 

Working Capital Control

 

 

 

 

 

 

Stock Ratio

:

Favourable

[

27 Days

]

 

Debtor Ratio

:

Favourable

[

14 Days

]

 

Creditors Ratio

:

Favourable

[

32 Days

]

 

 

 

 

 

 

 

 

The SC's stocks were moving fast thus reducing its holding cost. This had reduced funds being tied up in stocks. The favourable debtors' days could be due to the good credit control measures implemented by the SC. The SC had a favourable creditors' ratio 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

:

Unfavourable

[

0.27 Times

]

 

Current Ratio

:

Unfavourable

[

0.51 Times

]

 

 

 

 

 

 

 

 

A low liquid ratio means that the SC may be facing working capital deficiency. If the SC cannot obtain additional financing or injection of fresh capital, it may face difficulties in meeting its short term obligations.

 

 

 

 

 

 

 

Solvency

 

 

 

 

 

 

Interest Cover

:

Nil

[

0.00 Times

]

 

Gearing Ratio

:

Favourable

[

0.00 Times

]

 

 

 

 

 

 

 

 

The SC's interest cover was nil as it did not pay any interest during the year. 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 :

 

 

 

 

 

 

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. Due to its weak liquidity position, the SC will be faced with problems in meeting all its short term obligations if no short term loan is obtained or additional capital injected into the SC. The SC did not make any interest payment during the year. The SC was dependent on its shareholders' funds to finance its business needs. 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 : FAIR

 

 

 

SINGAPORE ECONOMIC / INDUSTRY OUTLOOK

 

 

Major Economic Indicators :

2006

2007

2008

2009

2010

 

 

 

 

 

 

Population (Million)

4.40

4.58

4.84

4.98

5.08

Gross Domestic Products ( % )

8.7

8.8

1.5

<0.8>

14.5

Consumer Price Index

1.0

2.1

6.6

0.6

2.8

Total Imports (Million)

378,924.1

395,979.7

450,892.6

356,299.3

423,221.8

Total Exports (Million)

431,559.2

450,627.7

476,762.2

391,118.1

478,840.7

 

 

 

 

 

 

Unemployment Rate (%)

2.7

2.3

2.2

3.2

2.2

Tourist Arrival (Million)

9.75

10.28

10.12

9.68

11.64

Hotel Occupancy Rate (%)

85.2

87.0

81.0

75.8

85.6

Cellular Phone Subscriber (Million)

1.05

1.22

1.31

1.37

1.43

 

 

 

 

 

 

Registration of New Companies (No.)

21,495

25,903

25,327

26,414

29,798

Registration of New Companies (%)

10.2

20.5

<2.2>

4.3

12.8

Liquidation of Companies (No.)

8,980

9,226

10,493

22,393

15,126

Liquidation of Companies (%)

28.1

2.7

13.7

113.4

<32.5>

 

 

 

 

 

 

Registration of New Businesses (No.)

24,219

24,762

24,850

26,876

23,978

Registration of New Businesses (%)

3.17

2.24

0.36

8.15

<10.78>

Liquidation of Businesses (No.)

26,843

21,322

21,150

23,552

24,211

Liquidation of Businesses (%)

<52.3>

<20.6>

<0.8>

11.4

2.8

 

 

 

 

 

 

Bankruptcy Orders (No.)

2,983

2,767

2,326

2,058

1,537

Bankruptcy Orders (%)

15.8

<7.2>

<15.9>

<11.5>

<25.3>

Bankruptcy Discharges (No.)

1,634

1,626

1,500

3,056

2,252

Bankruptcy Discharges (%)

<2.9>

<0.5>

<7.7>

103.7

<26.3>

 

 

 

 

 

 

INDUSTRIES ( % of Growth ) :

 

 

 

 

 

Agriculture

 

 

 

 

 

Production of Principal Crops

3.91

5.26

<0.32>

3.25

<0.48>

Fish Supply & Wholesale

1.33

<3.91>

<6.31>

<1.93>

<10.5>

 

 

 

 

 

 

Manufacturing *

73.5

77.9

74.6

71.5

92.8

Food, Beverages & Tobacco

79.1

88.0

94.8

90.4

96.4

Textiles

233.3

194.5

180.1

145.9

122.1

Wearing Apparel

533.9

466.2

334.6

211.0

123.3

Leather Products & Footwear

151.7

151.3

128.2

79.5

81.8

Wood & Wood Products

159.1

148.6

132.0

101.4

104.0

Paper & Paper Products

94.6

102.2

101.0

95.4

106.1

Printing & Media

119.4

122.2

118.2

100.9

103.5

Crude Oil Refineries

112.2

112.0

113.1

96.4

95.6

Chemical & Chemical Products

83.4

88.8

84.5

80.3

97.6

Pharmaceutical Products

48.1

47.1

43.7

49.1

75.3

Rubber & Plastic Products

130.6

130.4

120.1

101.2

112.3

Non-metallic Mineral

131.3

116.2

96.5

91.9

92.5

Basic Metals

99.9

90.9

109.8

92.6

102.2

Fabricated Metal Products

104.4

106.5

101.3

90.8

103.6

Machinery & Equipment

56.0

66.7

65.0

57.3

78.5

Electrical Machinery

82.3

83.2

81.7

86.8

124.1

Electronic Components

96.9

99.7

93.1

85.2

113.6

Transport Equipment

80.5

94.3

102.0

96.0

94.0

 

 

 

 

 

 

Construction

46.60

45.60

45.90

<36.9>

14.20

Real Estate

12.9

40.8

<11.2>

1.4

21.3

 

 

 

 

 

 

Services

 

 

 

 

 

Electricity, Gas & Water

<5.3>

11.00

<1.3>

1.70

4.00

Transport, Storage & Communication

6.00

8.50

11.60

3.90

12.80

Finance & Insurance

6.40

41.50

<5.9>

<16.4>

<0.4>

Government Services

13.50

3.80

17.40

4.50

9.70

Education Services

1.10

1.80

0.50

0.10

<0.9>

 

 

 

 

 

 

* Based on Index of Industrial Production (2011 = 100)

 

 

 

 

 

(Source : Department of Statistics)

 

 

 

 

 

 

INDUSTRY ANALYSIS

 

INDUSTRY :

TRADING

 

 

 


The wholesale and retail trade sector contracted by 1.5% in the fourth quarter of 2012, extending the 0.2% decline in the preceding quarter. For the whole of 2012, the sector declined by 0.7%, reversing the 1.6% growth in 2011. The sector was weighed down primarily by the wholesale trade segment. In 2012, the wholesale trade segment contracted by 1.0%, a reversal from the 1.4% growth in 2011. Growth of the retail trade segment also moderated to 2.0%, from 3.2% in the year 2011.


The domestic wholesale trade index grew by 1.2% in the fourth quarter of 2012, an improvement from the 5.4% decline in the third quarter. This was partly due to an increase in the sales of chemicals & chemical products and ship chandlers & bunkering. For the full year of 2012, the domestic wholesale trade index contracted by 2.2%, extending the 1.7% decline in 2011. The foreign wholesale trade index grew by 8.6% in the fourth quarter, an increase from the 6.6% growth in the third quarter. The expansion was partly due to resilient sales of petroleum & petroleum products. For the whole of 2012, the foreign wholesale trade index expanded by 9.1%, faster than the 4.3% increase in 2011.


In the fourth quarter of 2012, retail sales volume declined by 2.0%, extending the 0.3% decline in the third quarter. Excluding motor vehicles, retail sales volume grew by 0.4%, a slight moderation compared to the 1.5% gain in the third quarter of 2012. The sales volume of motor vehicles fell by 11% in the fourth quarter of 2012, after contracting by 6.1% in the third quarter. The sales of several discretionary items also declined in the fourth quarter. Besides, the sales of optical goods & books in 2012 fell by 3.6%, while the sales of telecommunications apparatus & computers declined by 1.4%. 


For 2012 as a whole, retail sales volume grew by 1.3%, compared to the 2.0% expansion in 2011. Excluding motor vehicle sales, the increase in retail sales volume also moderated from 5.4% in 2011 to 1.7% in 2012. Medical goods & toiletries registered the largest increase (9.3%) in sales, followed by telecommunications apparatus & computers (6.9%). By contrast, the sales of watches & jewellery (-2.2%) and optical goods & books (-3.6%) declined.

 

 

OVERALL INDUSTRY OUTLOOK : AVERAGE GROWTH

 

CREDIT RISK EVALUATION & RECOMMENDATION

 

 

Incorporated in 2000, the SC is a Private Limited company, focusing on trade of food products. With its long establishment in the market, the SC has received strong support from its stable customers base. Its business position in the market is quite stable and it is expected to enjoy better market shares over its rivals. Having strong support from its holding company has enabled the SC to remain competitive despite the challenging business environment. The capital standing of the SC is fair. With an adequate share capital, the SC has the potential of expanding its business in future.


Over the years, the SC 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 a fairly large and rapidly growing company with over 350 staff in its operations. The SC has a good management capability. Its capable management team has enabled the SC to keep its business on going. Hence, the future prospect of the SC is bright.


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. Based on the higher profitability, the SC has generated a favourable return based on its existing shareholders' funds which indicated that the management was efficient in utilising its funds to generate income. Due to its weak liquidity position, the SC may face working capital deficiency in meeting its short term financial obligations if no fresh capital are injected into the SC. Fortunately, 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 SGD 23,899,460, 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.


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 SINGAPORE FINANCIAL REPORTING STANDARDS.

C M M MARKETING MANAGEMENT PTE LTD

 

Financial Year End

31/12/2011

31/12/2010

Months

12

12

Consolidated Account

Company

Company

Audited Account

YES

YES

Unqualified Auditor's Report (Clean Opinion)

YES

YES

Financial Type

FULL

FULL

Currency

SGD

SGD

 

 

 

TURNOVER

271,007,181

263,513,446

Other Income

2,285,111

2,661,639

 

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

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

Total Turnover

273,292,292

266,175,085

Costs of Goods Sold

<246,731,227>

<239,726,352>

 

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

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

Gross Profit

26,561,065

26,448,733

 

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

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

 

 

 

PROFIT/(LOSS) FROM OPERATIONS

11,511,581

12,001,032

 

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

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

PROFIT/(LOSS) BEFORE TAXATION

11,511,581

12,001,032

Taxation

<2,344,535>

<1,934,275>

 

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

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

PROFIT/(LOSS) AFTER TAXATION

9,167,046

10,066,757

 

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

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

RETAINED PROFIT/(LOSS) BROUGHT FORWARD

 

 

As previously reported

18,232,414

14,165,657

 

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

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

As restated

18,232,414

14,165,657

 

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

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

PROFIT AVAILABLE FOR APPROPRIATIONS

27,399,460

24,232,414

DIVIDENDS - Ordinary (paid & proposed)

<8,500,000>

<6,000,000>

 

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

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

RETAINED PROFIT/(LOSS) CARRIED FORWARD

18,899,460

18,232,414

 

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

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

 

 

 

 

 

 

BALANCE SHEET

 

 

C M M MARKETING MANAGEMENT PTE LTD

 

ASSETS EMPLOYED:

 

 

FIXED ASSETS

64,940,479

52,030,364

 

 

 

 

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

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

TOTAL LONG TERM ASSETS

64,940,479

52,030,364

 

 

 

CURRENT ASSETS

 

 

Stocks

20,305,267

13,305,984

Trade debtors

10,282,628

8,088,645

Other debtors, deposits & prepayments

4,458,124

1,119,348

Cash & bank balances

4,147,574

7,854,006

Others

3,584,413

-

 

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

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

TOTAL CURRENT ASSETS

42,778,006

30,367,983

 

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

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

TOTAL ASSET

107,718,485

82,398,347

 

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

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

 

 

 

CURRENT LIABILITIES

 

 

Trade creditors

21,473,713

15,517,627

Other creditors & accruals

50,026,666

9,022,190

Short term borrowings/Term loans

-

3,201,312

Provision for taxation

3,263,424

2,173,624

Dividends payable/proposed

8,500,000

-

 

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

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

TOTAL CURRENT LIABILITIES

83,263,803

29,914,753

 

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

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

NET CURRENT ASSETS/(LIABILITIES)

<40,485,797>

453,230

 

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

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

TOTAL NET ASSETS

24,454,682

52,483,594

 

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

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

 

 

 

SHARE CAPITAL

 

 

Ordinary share capital

5,000,000

15,000,000

 

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

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

TOTAL SHARE CAPITAL

5,000,000

15,000,000

 

 

 

RESERVES

 

 

Retained profit/(loss) carried forward

18,899,460

18,232,414

 

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

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

TOTAL RESERVES

18,899,460

18,232,414

 

 

 

 

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

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

SHAREHOLDERS' FUNDS/EQUITY

23,899,460

33,232,414

 

 

 

LONG TERM LIABILITIES

 

 

Long term loans

-

19,090,651

Deferred taxation

555,222

160,529

 

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

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

TOTAL LONG TERM LIABILITIES

555,222

19,251,180

 

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

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

 

24,454,682

52,483,594

 

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

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

 

 

 

 

 

 

FINANCIAL RATIO

 

 

C M M MARKETING MANAGEMENT PTE LTD

 

TYPES OF FUNDS

 

 

Cash

4,147,574

7,854,006

Net Liquid Funds

4,147,574

7,854,006

Net Liquid Assets

<60,791,064>

<12,852,754>

Net Current Assets/(Liabilities)

<40,485,797>

453,230

Net Tangible Assets

24,454,682

52,483,594

Net Monetary Assets

<61,346,286>

<32,103,934>

BALANCE SHEET ITEMS

 

 

Total Borrowings

0

22,291,963

Total Liabilities

83,819,025

49,165,933

Total Assets

107,718,485

82,398,347

Net Assets

24,454,682

52,483,594

Net Assets Backing

23,899,460

33,232,414

Shareholders' Funds

23,899,460

33,232,414

Total Share Capital

5,000,000

15,000,000

Total Reserves

18,899,460

18,232,414

LIQUIDITY (Times)

 

 

Cash Ratio

0.05

0.26

Liquid Ratio

0.27

0.57

Current Ratio

0.51

1.02

WORKING CAPITAL CONTROL (Days)

 

 

Stock Ratio

27

18

Debtors Ratio

14

11

Creditors Ratio

32

24

SOLVENCY RATIOS (Times)

 

 

Gearing Ratio

0.00

0.67

Liabilities Ratio

3.51

1.48

Times Interest Earned Ratio

0.00

0.00

Assets Backing Ratio

4.89

3.50

PERFORMANCE RATIO (%)

 

 

Operating Profit Margin

4.25

4.55

Net Profit Margin

3.38

3.82

Return On Net Assets

47.07

22.87

Return On Capital Employed

47.07

22.87

Return On Shareholders' Funds/Equity

38.36

30.29

Dividend Pay Out Ratio (Times)

0.93

0.60

NOTES TO ACCOUNTS

 

 

Contingent Liabilities

0

0

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.53.95

UK Pound

1

Rs.84.03

Euro

1

Rs.70.72

 

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.