MIRA INFORM REPORT

 

 

Report Date :

22.07.2014

 

IDENTIFICATION DETAILS

 

Name :

HEVEABOARD BERHAD

 

 

Formerly Known As :

HEVEABOARD SDN BHD

 

 

Registered Office :

Tower 1, Avenue 5, Bangsar South City, Level 2, 59200 Kuala Lumpur, Wilayah Persekutuan,

 

 

Country :

Malaysia

 

 

Financials (as on) :

31.12.2013

 

 

Date of Incorporation :

12.01.2005

 

 

Com. Reg. No.:

275512-A

 

 

Legal Form :

Public Company

 

 

Line of Business :

Manufacturing particleboards and investment holding

 

 

No. of Employees

2,000 [2014]

 

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 :

Satisfactory

Payment Behaviour :

No complaints

Litigation :

Clear

 

NOTES :

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

 

ECGC Country Risk Classification List – March 31, 2014

 

Country Name

Previous Rating

(31.12.2013)

Current Rating

(31.03.2014)

Malaysia

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low Risk

 

A2

Moderate Low Risk

 

B1

Moderate Risk

 

B2

Moderate High Risk

 

C1

High Risk

 

C2

Very High Risk

 

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. NAJIB's Economic Transformation Program (ETP) is a series of projects and policy measures intended to accelerate the country's economic growth. The government has also taken steps to liberalize some services sub-sectors. 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 sustained budget deficits, has forced Kuala Lumpur to begin to address fiscal shortfalls, through initial reductions in energy and sugar subsidies and the announcement of the 2015 implementation of a 6% goods and services tax. The government is also trying to lessen its dependence on state oil producer Petronas. The oil and gas sector supplies about 32% of government revenue in 2013. Bank Negara Malaysia (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 earlier raised possible revisions to the special economic and social preferences accorded to ethnic Malays under the New Economic Policy of 1970, but retreated in 2013 after he encountered significant opposition from Malay nationalists and other vested interests. In September 2013 NAJIB launched the new Bumiputra Economic Empowerment Program (BEEP), policies that favor and advance the economic condition of ethnic Malays

 

Source : CIA

 

 

 

Company name and address

 

 

REGISTRATION NO.

:

275512-A

COMPANY NAME

:

HEVEABOARD BERHAD

FORMER NAME

:

HEVEABOARD SDN BHD (16/02/2004)

INCORPORATION DATE

:

03/09/1993

 

 

 

 

 

 

COMPANY STATUS

:

EXIST

LEGAL FORM

:

PUBLIC

LISTED STATUS

:

YES

LISTED DATE

:

12/01/2005

 

 

 

 

 

 

REGISTERED ADDRESS

:

TOWER 1, AVENUE 5, BANGSAR SOUTH CITY, LEVEL 2, 59200 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.

BUSINESS ADDRESS

:

BUSINESS SUITE 19A-20-5, LEVEL 20, UOA CENTRE, 19, JALAN PINANG, 50540 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.

TEL.NO.

:

03-21661393

FAX.NO.

:

03-21663390

EMAIL

:

INFO@HEVEABOARD.COM.MY

WEB SITE

:

WWW.HEVEABOARD.COM.MY

CONTACT PERSON

:

YOONG HAU CHUN ( GROUP MANAGING DIRECTOR )

 

 

 

INDUSTRY CODE

:

16212 64200

PRINCIPAL ACTIVITY

:

MANUFACTURING PARTICLEBOARDS AND INVESTMENT HOLDING

AUTHORISED CAPITAL

:

MYR 500,000,000.00 DIVIDED INTO
ORDINARY SHARE 500,000,000.00 OF MYR 1.00 EACH.

ISSUED AND PAID UP CAPITAL

:

MYR 90,900,000.00 DIVIDED INTO
ORDINARY SHARES 56,440,000 CASH AND 34,460,000 OTHERWISE OF MYR 1.00 EACH.

 

 

 

SALES

:

MYR 389,507,000 [2013]

NET WORTH

:

MYR 231,054,000 [2013]

M1000 OVERALL RANKING

:

919[2011]

M1000 INDUSTRY RANKING

:

3[2011]

 

 

 

STAFF STRENGTH

:

2000 - GROUP [2014]

BANKER (S)

:

MALAYAN BANKING BHD
OCBC BANK (MALAYSIA) BHD

LITIGATION

:

CLEAR

DEFAULTER CHECK

:

CLEAR

FINANCIAL CONDITION

:

FAIR

PAYMENT

:

GOOD

MANAGEMENT CAPABILITY

:

AVERAGE

 

 

 

COMMERCIAL RISK

:

LOW

CURRENCY EXPOSURE

:

HIGH

GENERAL REPUTATION

:

GOOD

INDUSTRY OUTLOOK

:

AVERAGE GROWTH

 

 

HISTORY / BACKGROUND

 

As a public limited company, the Subject must have at least one shareholder but there is no limit on the maximum number of shareholders. The Subject must have at least two directors. A public limited company is a separate legal entity from its shareholders. As a separate legal entity, the Subject is capable of owning assets, entering into contracts, suing or be sued by other companies. The liabilities of the shareholders are only up to the extent of the equity they have taken up and the creditors cannot claim on shareholders' personal assets even if the Subject is insolvent. The Subject is governed by the Companies Act,1965 and must file in its annual return, together with its financial statements with the Registrar of Companies. In Malaysia, all the companies seeking listing on the Bursa Malaysia (Malaysia Stock Exchange) must be public limited companies.

The Subject is principally engaged in the (as a / as an) manufacturing particleboards and investment holding.

The Subject was listed on the Main Board of Bursa Malaysia Securities Bhd on 12/01/2005

According to the Malaysia 1000 publication, the Subject's ranking are as follows:

 

 

 

 

YEAR

2011

2009

 

OVERALL RANKING

919

958

 

INDUSTRY RANKING

3

4

 

 

Share Capital History

Date

Authorised Shared Capital

Issue & Paid Up Capital

20/06/2014

MYR 500,000,000.00

MYR 90,900,000.00

25/04/2014

MYR 500,000,000.00

MYR 90,400,000.00

 

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

 

Name

Address

IC/PP/Loc No

Shareholding

(%)

RHB NETLINK ENTERPRISEOMINEES (TEMPATAN) SDN. BHD. FOR OSK CAPITAL SDN. BHD. FOR HEVEAWOOD INDUSTRI

-

-

18,000,000.00

19.80

HEVEAWOOD INDUSTRIES SDN. BHD.

LOT 683, BATU 5, JALAN KUALA PILAH, 70400 SEREMBAN, NEGERI SEMBILAN, MALAYSIA.

177318V

9,000,000.00

9.90

TA NOMINEES (TEMPATAN) SDN. BHD. FOR PLEDGED SECURITIES ACCOUNT FOR FIRAMA HOLDINGS SDN. BHD.

-

-

4,709,000.00

5.18

FIRAMA ENGINEERING BERHAD

MALAYSIA

103362K

2,950,000.00

3.25

HDM NOMINEES (TEMPATAN) SDN. BHD.FOR PLEDGED SECURITIES ACCOUNT FOR YAP KIEW @ YAP CHIN FOOK

-

-

2,307,000.00

2.54

MR. LEE KA YONG

LOT 143-3, JALAN ANGGERIK, 86200 SIMPANG RENGAM, JOHOR, MALAYSIA.

710822-01-5735 A1820893

1,489,000.00

1.64

HLIB NOMINEES (TEMPATAN) SDN. BHD. FOR PLEDGED SECURITIES ACCOUNT FOR SANUR SDN. BHD.

-

-

1,435,000.00

1.58

CIMSEC NOMINEES (TEMPATAN) SDN. BHD. FOR CIMB BANK FOR LOOI BOON HAN

-

-

1,400,000.00

1.54

SYED MOHD YUSOF BIN TUN SYED NASIR

-

-

1,100,000.00

1.21

LIANG CHONG WAI

MALAYSIA

PK124482(5)

855,100.00

0.94

MR. YOONG HAU CHUN +

16, JALAN RAJA MUDA ALI, 70100 SEREMBAN, NEGERI SEMBILAN, MALAYSIA.

760209-05-5259 A3253776

150,000.00

0.17

REMAINING SHAREHOLDERS

-

-

47,504,900.00

52.26

 

 

 

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

------

 

 

 

90,900,000.00

100.00

 

 

 

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

=====

+ Also Director

 

The Subject's interest in other companies (Subsidiaries/Associates) are shown as follow :

 

Local No

Country

Company

(%)

As At

103355H

MALAYSIA

HEVEAMART SDN. BHD.

100.00

31/12/2013

 

 

 

 

 

166282W

MALAYSIA

HEVEAPAC SDN. BHD.

100.00

31/12/2013

 

 

 

 

 

521101U

MALAYSIA

BOCOWOOD SDN. BHD.

100.00

31/12/2013

 

 

 

 

 



DIRECTORS

 

DIRECTOR 1

 

Name Of Subject

:

MS. YOONG LI YEN

Address

:

16, JALAN RAJA MUDA ALI, 70100 SEREMBAN, NEGERI SEMBILAN, MALAYSIA.

IC / PP No

:

A3671968

New IC No

:

770723-05-5170

Date of Birth

:

23/07/1977

 

 

 

Nationality

:

MALAYSIAN

Date of Appointment

:

18/02/2013

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 2

 

Name Of Subject

:

MR. LIM KAH POON

Address

:

365, JALAN SRI PETALING 2, SRI PETALING, 57000 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.

IC / PP No

:

1355783

New IC No

:

490204-08-5347

Date of Birth

:

04/02/1949

 

 

 

Nationality

:

MALAYSIAN

Date of Appointment

:

01/10/2004

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 3

 

Name Of Subject

:

DATO' LOO SWEE CHEW

Address

:

3, LORONG IM 11/1, ASTANA GOLF RESORT, JALAN SUNGAI LEMBING, 25200 KUANTAN, PAHANG, MALAYSIA.

IC / PP No

:

0812060

New IC No

:

480821-71-5069

Date of Birth

:

21/08/1948

 

 

 

Nationality

:

MALAYSIAN CHINESE

Date of Appointment

:

21/10/1997

 

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 4

 

Name Of Subject

:

MR. TENSON YOONG TEIN SENG @ YONG KIAN SENG

Address

:

16, JALAN RAJA MUDA ALI, 70100 SEREMBAN, NEGERI SEMBILAN, MALAYSIA.

IC / PP No

:

2002205

New IC No

:

470602-05-5065

Date of Birth

:

02/06/1947

 

 

 

Nationality

:

MALAYSIAN

Date of Appointment

:

18/02/2013

Remark

:

ALTERNATE DIRECTOR TO YOONG HAU CHUN

 

 

 

 

 

 

 

 

 

 

DIRECTOR 5

 

Name Of Subject

:

TAN SRI DATO' CHAN CHOONG TAK

Address

:

1054, BUKIT RASAH, 70300 SEREMBAN, NEGERI SEMBILAN, MALAYSIA.

IC / PP No

:

3067788

New IC No

:

330502-05-5047

Date of Birth

:

02/05/1933

 

 

 

Nationality

:

MALAYSIAN

Date of Appointment

:

01/10/2004

 

 

 

Qualification

:

HE HOLDS AN LL.B. (HONOURS) DEGREE FROM THE UNIVERSITY OF LONDON & A CMBA DEGREE FROM OHIO UNIVERSITY

Profile

:

HE WAS FORMERLY THE PRESIDENT OF THE MALAYSIAN SENATE & CURRENTLY THE SECRETARY-GENERAL OF PARTI GERAKAN RAKYAT MALAYSIA

 

 

 

 

DIRECTOR 6

 

Name Of Subject

:

BAILEY POLICARPIO

Address

:

33, ARANETA AVE, POTRERO MALABON, METRO MANILA, PHILIPPINES.

IC / PP No

:

ZZ104828

 

 

 

 

 

 

 

 

 

Nationality

:

FILIPINO

Date of Appointment

:

08/03/2007

 

 

 

 

 

 

 

 

 

 

 

 

 

DIRECTOR 7

 

Name Of Subject

:

MR. YOONG HAU CHUN

Address

:

16, JALAN RAJA MUDA ALI, 70100 SEREMBAN, NEGERI SEMBILAN, MALAYSIA.

IC / PP No

:

A3253776

New IC No

:

760209-05-5259

Date of Birth

:

09/02/1976

 

 

 

Nationality

:

MALAYSIAN

Date of Appointment

:

21/07/2000

 

 

 

 

 

 

 

 

 

 

 

 



MANAGEMENT

 

 

 

1)

Name of Subject

:

YOONG HAU CHUN

 

Position

:

GROUP MANAGING DIRECTOR

 

 

 

 

 

2)

Name of Subject

:

ELAINE HEW

 

Position

:

CHIEF FINANCE OFFICER

 

 

 

 

 

3)

Name of Subject

:

LIYEN YOONG

 

Position

:

MARKETING MANAGER

 

 

 

 

 

4)

Name of Subject

:

S GANESAN

 

Position

:

GENERAL MANAGER

 

 

 

 

 

 

 

AUDITOR

 

Auditor

:

BAKER TILLY MONTEIRO HENG

Auditor' Address

:

BAKER TILLY MH TOWER, TOWER 1, AVENUE 5, BANGSAR SOUTH CITY, LEVEL 10, 59200 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.

 

 

 

 

 

 

 

 

 

COMPANY SECRETARIES

 

1)

Company Secretary

:

MS. WONG YOUN KIM

 

IC / PP No

:

A1617285

 

New IC No

:

700823-10-5530

 

Address

:

1041, JALAN KUANG GUNUNG 4, TAMAN KEPONG, 52100 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.

 

 

 

 

 

 

 

 

 

 

 

 

 

BANKING


Banking relations are maintained principally with :

1)

Name

:

MALAYAN BANKING BHD

 

 

 

 

 

 

 

 

 

2)

Name

:

OCBC BANK (MALAYSIA) BHD

 

 

 

 

 

 

 

 

 

 

 

 

ENCUMBRANCE (S)

 

Charge No

Creation Date

Charge Description

Chargee Name

Total Charge

Status

1

26/09/1994

N/A

BUMIPUTRACOMMERCE BANK BERHAD

MYR 30,000,000.00

Satisfied

2

29/05/1996

N/A

MALAYAN BANKING BERHAD

MYR 160,000.00

Unsatisfied

3

18/07/1996

N/A

DANAHARTA URUS SDN BHD

MYR 5,000,000.00

Satisfied

4

30/09/1996

N/A

OCBC BANK MALAYSIA BERHAD

MYR 6,000,000.00

Satisfied

5

05/02/1997

N/A

MAYBAN FINANCE BERHAD

MYR 1,000,000.00

Satisfied

6

07/05/1997

AGREEMENT

OCBC BANK MALAYSIA BERHAD

MYR 3,000,000.00

Satisfied

7

26/11/1997

AGREEMENT

OCBC BANK MALAYSIA BERHAD

MYR 1,000,000.00

Satisfied

8

10/12/1997

N/A

OCBC BANK MALAYSIA BERHAD

MYR 2,000,000.00

Satisfied

9

10/12/1997

N/A

OCBC BANK MALAYSIA BERHAD

MYR 1,040,000.00

Satisfied

10

10/12/1997

N/A

OCBC BANK MALAYSIA BERHAD

MYR 1,040,000.00

Satisfied

11

20/07/2004

N/A

MALAYAN BANKING BERHAD

MYR 4,500,000.00

Unsatisfied

12

07/04/2005

N/A

EON BANK BERHAD

MYR 4,500,000.00

Unsatisfied

15

06/07/2005

N/A

 

-

Unsatisfied

13

13/07/2005

N/A

MALAYAN BANKING BHD

-

Unsatisfied

14

13/07/2005

N/A

MALAYAN BANKING BHD

-

Unsatisfied

16

02/08/2005

N/A

 

-

Unsatisfied

17

12/06/2006

N/A

EXPORT-IMPORT BANK OF MALAYSIA BHD

-

Satisfied

18

30/04/2007

N/A

MALAYAN BANKING BHD

-

Unsatisfied

19

15/06/2007

N/A

MALAYAN BANKING BHD

-

Unsatisfied

20

25/08/2008

N/A

OCBC BANK (MALAYSIA) BHD

-

Satisfied

21

03/05/2011

N/A

OCBC BANK (MALAYSIA) BHD

-

Satisfied

22

17/08/2011

N/A

MALAYAN BANKING BHD

-

Unsatisfied

 

LEGAL CHECK AGAINST SUBJECT


* A check has been conducted in our databank againt the Subject 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 SUBJECT


* We have checked through the Subject 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

Percentage

:

40%

Overseas

:

YES

Percentage

:

60%

Import Countries

:

EUROPE,JAPAN,CHINA,FINLAND



The Subject 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

:

60%

Domestic Markets

:

MALAYSIA

Overseas

:

YES

Percentage

:

40%

Export Market

:

KOREA

VIETNAM

INDIA

SRI LANKA

CHINA

PHILIPPINES

HONG KONG

EUROPE

Credit Term

:

30 - 60 DAYS

 

 

 

 

 

 

Payment Mode

:

CHEQUES
CASH
TELEGRAPHIC TRANSFER (TT)

Type of Customer

:

FACTORIES,FURNITURE INDUSTRY

 

 

 

 

 

 

 

 

 

 

 

 

 

 

OPERATIONS

 

Products manufactured

:

PARTICLEBOARDS

 

 

 

Services

:

INVESTMENT HOLDING

 

 

 

 

Award

:

1 ) QUALITY MANAGEMENT EXCELLENCE AWARD BY MINISTRY OF INTERNATIONAL TRADE AND INDUSTRY (MITI) Year :2008
2 ) MS ISO 9001 : 2000 Year :2000

 

 

 

 

 

Ownership of premises

:

OWNED

 

Production Capacity

:

APPROXIMATELY 120,000M3 OF PARTICLEBOARDPER YEAR

 

Shifts

:

2 (24 HOURS OPERATING)

 

 

 

 

 

Total Number of Employees:

 

YEAR

2014

2013

2012

2011

2010

 

GROUP

2000

2,000

1,800

1,800

1,800

 

 

 

 

COMPANY

340

340

340

340

340

 

 

 

 

 

Branch

:

YES

 

Other Information:


The Subject is principally engaged in the (as a / as an) manufacturing particleboards and investment holding.

The Subject manufactures rubberwood based particleboard in several standard size either in plain or MFC laminated form.

Besides that it also produces Super E0, E0, E1, and MUF particleboard for the more developed markets.

According to the Subject, its products are suitable for wide range of applications such as furniture, wall paneling, building and manufacturing industry.

The Subject's production consists of various processes and they are as stated below:
1) The raw materials go through chipping and flaking - The rubberwood are chipped before being reduced to fine flakes of the desired thickness and length. This contributes to the optimum strength and smooth finish on the surface of the boards.
2) Drying & greening - The wet flakes are dried in a hot gas dryer to the required moisture level. Then it screened to separate and fine and core particle and stored in the surface and core silo.
3) Glue mixing & blending - The surface and core particles are separately mixed with glue, wax emulsion and other additives metered accurately to achieve high quality standard.
4) Material forming - hot process - cooling - sizing - sanding and finally laminating.

HeveaBoard takes the lead in the manufacturing of particleboard - a reconstituted wood panel derived from rubberwood residues, while its subsidiaries are involved in down stream particleboard based Ready-to-Assemble furniture manufacturing, trading and distribution of particleboard and wood panel related products.


RECENT DEVELOPMENT


June 21, 2013

HeveaBoard Bhd, Malaysia's largest integrated particleboard manufacturer, has secured a RM22mil contract with China-based Boloni. Boloni is China's leading provider of home furniture solutions.

In a statement issued Friday, HeveaBoard said it would supply Boloni with 1000 forty-feet containers per annum of Emission Zero or EO grade particleboards. Yoong Hau Chun, HeveaBoard group managing director said: "We plan to increase our export volume by 50 per cent next year to Boloni.

"The company has secured several projects from major housing developers in China to build high-end home and kitchen furniture using our premium particleboards. "China is a key market for HeveaBoard, as it offers us a huge potential for growth, primarily because we are working with most of the top brand Chinese manufacturers."

A pioneer in green practices and initiatives, the company currently exports 30 per cent of its total production capacity to China. It has been awarded the Programme for the Endorsement of Forest Certification(PEFC) by SIRIM QAS.

 

 

 

CURRENT INVESTIGATION

 

Latest fresh investigations carried out on the Subject indicated that :

Telephone Number Provided By Client

:

N/A

Current Telephone Number

:

03-21661393

Match

:

N/A

 

 

 

Address Provided by Client

:

LOT 1942 BALU 3 JALAN TAMPIN 73400 GEMAS NSDK MALAYSIA

Current Address

:

BUSINESS SUITE 19A-20-5, LEVEL 20, UOA CENTRE, 19, JALAN PINANG, 50540 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.

Match

:

NO

 

 

 

Latest Financial Accounts

:

YES

 

Other Investigations


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

The address provided belongs to the Subject's factory. However the address provided is incomplete.


FINANCIAL ANALYSIS

 

 

Profitability

 

 

 

 

 

 

Turnover

:

Erratic

[

2009 - 2013

]

 

Profit/(Loss) Before Tax

:

Increased

[

2009 - 2013

]

 

Return on Shareholder Funds

:

Unfavourable

[

9.72%

]

 

Return on Net Assets

:

Acceptable

[

10.16%

]

 

 

 

 

 

 

 

 

The fluctuating turnover reflects the fierce competition among the existing and new market players.The higher profit could be attributed to the increase in turnover. The unfavourable return on shareholders' funds could indicate that the Subject was inefficient in utilising its assets to generate returns.

 

 

 

 

 

 

 

Working Capital Control

 

 

 

 

 

 

Stock Ratio

:

Acceptable

[

63 Days

]

 

Debtor Ratio

:

Favourable

[

50 Days

]

 

Creditors Ratio

:

Favourable

[

42 Days

]

 

 

 

 

 

 

 

 

The Subject kept adequate stocks to meet its normal business transactions without incurring excessive storage costs. The favourable debtors' days could be due to the good credit control measures implemented by the Subject. The Subject had a favourable creditors' ratio where the Subject could be taking advantage of the cash discounts and also wanting to maintain goodwill with its creditors.

 

 

 

 

 

 

 

Liquidity

 

 

 

 

 

 

Liquid Ratio

:

Unfavourable

[

0.75 Times

]

 

Current Ratio

:

Unfavourable

[

1.30 Times

]

 

 

 

 

 

 

 

 

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

 

 

 

 

 

 

 

Solvency

 

 

 

 

 

 

Interest Cover

:

Acceptable

[

4.62 Times

]

 

Gearing Ratio

:

Favourable

[

0.53 Times

]

 

 

 

 

 

 

 

 

The Subject's interest cover was slightly low. If there is no sharp fall in its profit or sudden increase in the interest rates, we believe the Subject is able to generate sufficient income to service its interest and repay the loans. The Subject was lowly geared thus it had a low financial risk. The Subject was mainly financed by its shareholders' funds and internally generated funds. In times of economic slowdown / downturn, the Subject being a lowly geared company, will be able to compete better than those companies which are highly geared in the same industry.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Overall Assessment :

 

 

 

 

 

 

Although the turnover was erratic, the Subject had maintained a steady growth in its profit. This indicate the management's efficiency in controlling its costs and profitability. Due to its weak liquidity position, the Subject 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 Subject. The Subject had an acceptable interest cover. If there is no sudden sharp increase in interest rate or fall in the Subject's profit, we do believe the Subject is able to generate sufficient cash flow to service its interest payment. The Subject as a lowly geared company, will be more secured compared to those highly geared companies. It has the ability to meet all its long term obligations.

 

 

 

 

 

 

 

Overall financial condition of the Subject : FAIR

 

 

 

MALAYSIA ECONOMIC / INDUSTRY OUTLOOK

 

Major Economic Indicators:

2009

2010

2011

2012*

2013**

 

 

 

 

 

 

Population ( Million)

28.13

28.35

28.70

29.30

29.80

Gross Domestic Products ( % )

(0.5)

7.2

5.1

5.6

5.3

Domestic Demand ( % )

2.9

6.3

8.2

9.4

5.6

Private Expenditure ( % )

(2.7)

8.1

8.2

8.0

7.4

Consumption ( % )

0.7

6.7

7.1

1.0

5.7

Investment ( % )

(17.2)

17.7

12.2

11.7

13.3

Public Expenditure ( % )

5.2

3.8

8.4

13.3

1.2

Consumption ( % )

3.1

0.2

16.1

11.3

(1.2)

Investment ( % )

8.0

2.8

(0.3)

15.9

4.2

 

 

 

 

 

 

Balance of Trade ( MYR Million )

89,650

118,356

116,058

106,300

110,700

Government Finance ( MYR Million )

(28,450)

(40,482)

(45,511)

(42,297)

(39,993)

Government Finance to GDP / Fiscal Deficit ( % )

(4.8)

(5.6)

(5.4)

(4.5)

(4.0)

Inflation ( % Change in Composite CPI)

(5.2)

5.1

3.1

1.6

2.5

Unemployment Rate

4.5

3.9

3.3

3.2

3.0

 

 

 

 

 

 

Net International Reserves ( MYR Billion )

331

329

415

427

-

Average Risk-Weighted Capital Adequacy Ratio ( % )

2.87

2.20

3.50

2.20

-

Average 3 Months of Non-performing Loans ( % )

11.08

15.30

14.80

14.70

-

Average Base Lending Rate ( % )

5.53

6.30

6.60

6.53

-

Business Loans Disbursed( % )

10.5

14.7

15.3

32.2

-

Foreign Investment ( MYR Million )

22,156.8

22,517.9

23,546.1

26,230.4

-

Consumer Loans ( % )

-

-

-

-

-

 

 

 

 

 

 

Registration of New Companies ( No. )

41,578

44,148

45,455

45,441

-

Registration of New Companies ( % )

(0.1)

6.2

3.0

(0.0)

-

Liquidation of Companies ( No. )

39,075

25,585

132,476

-

-

Liquidation of Companies ( % )

39.6

(34.5)

417.8

-

-

 

 

 

 

 

 

Registration of New Business ( No. )

312,581

271,414

284,598

324,761

-

Registration of New Business ( % )

-

-

-

-

-

Business Dissolved ( No. )

19,345

19,738

20,121

-

-

Business Dissolved ( % )

2.4

2.0

1.9

-

-

 

 

 

 

 

 

Sales of New Passenger Cars (' 000 Unit )

486.3

543.6

535.1

552.2

-

Cellular Phone Subscribers ( Million )

30.1

32.8

35.3

38.5

-

Tourist Arrival ( Million Persons )

23.6

24.6

24.7

25.0

-

Hotel Occupancy Rate ( % )

58.0

63.0

60.6

62.4

-

 

 

 

 

 

 

Credit Cards Spending ( % )

12.8

14.1

15.6

12.6

-

Bad Cheque Offenders (No.)

36,667

33,568

32,627

26,982

-

Individual Bankruptcy ( No.)

16,228

18,119

19,167

19,575

-

Individual Bankruptcy ( % )

16.7

11.7

5.8

2.1

-

 

 

 

 

 

 



INDUSTRIES ( % of Growth ):

2009

2010

2011

2012*

2013**

 

 

 

 

 

 

Agriculture

0.4

2.1

5.9

0.6

2.4

Palm Oil

(1.1)

(3.4)

10.8

(2.8)

-

Rubber

(19.8)

9.9

6.1

(0.6)

-

Forestry & Logging

(5.9)

(3.3)

(7.6)

(2.2)

-

Fishing

5.5

5.6

2.1

(0.7)

-

Other Agriculture

9.0

7.9

7.1

6.4

-

Industry Non-Performing Loans ( MYR Million )

413.7

508.4

634.1

-

-

% of Industry Non-Performing Loans

1.3

2.1

3.2

-

-

 

 

 

 

 

 

Mining

(3.8)

0.2

(5.7)

1.5

2.7

Oil & Gas

2.1

0.5

(1.7)

-

-

Other Mining

-

-

-

-

-

Industry Non-performing Loans ( MYR Million )

44.2

49.7

46.5

-

-

% of Industry Non-performing Loans

0.1

0.1

0.1

-

-

 

 

 

 

 

 

Manufacturing #

(9.4)

11.4

4.7

4.2

4.9

Exported-oriented Industries

(19.0)

12.1

2.8

4.1

-

Electrical & Electronics

(30.3)

28.4

(4.9)

1.6

-

Rubber Products

(10.1)

25.3

15.4

3.6

-

Wood Products

(24.1)

20.1

(4.9)

4.6

-

Textiles & Apparel

(19.5)

(0.4)

14.8

(7.1)

-

Domestic-oriented Industries

(9.8)

16.3

6.5

8.6

-

Food, Beverages & Tobacco

0.2

3.0

4.2

-

-

Chemical & Chemical Products

(7.7)

16.2

5.5

9.9

-

Plastic Products

(9.1)

2.4

3.8

-

-

Iron & Steel

(32.7)

29.3

2.4

-

-

Fabricated Metal Products

(2.5)

14.9

25.2

-

-

Non-metallic Mineral

(15.5)

20.2

27.1

6.6

-

Transport Equipment

(13.5)

36.5

(10.4)

13.7

-

Paper & Paper Products

(5.0)

18.7

14.8

(7.8)

-

Crude Oil Refineries

0.2

(11.4)

9.3

-

-

Industry Non-Performing Loans ( MYR Million )

6,007.3

6,217.5

6,537.2

-

-

% of Industry Non-Performing Loans

18.3

23.8

25.7

-

-

 

 

 

 

 

 

Construction

5.8

5.1

4.4

15.5

11.2

Industry Non-Performing Loans ( MYR Million )

3,241.8

4,038.5

3,856.9

-

-

% of Industry Non-Performing Loans

9.9

10.7

10.2

-

-

 

 

 

 

 

 

Services

2.6

6.5

6.4

5.5

5.6

Electric, Gas & Water

0.4

8.5

5.6

4.8

-

Transport, Storage & Communication

1.6

7.7

6.5

7.3

-

Wholesale, Retail, Hotel & Restaurant

2.8

4.7

5.2

6.9

-

Finance, Insurance & Real Estate

3.8

6.1

6.3

6.5

-

Government Services

2.0

6.7

7.6

5.6

-

Other Services

4.4

4.2

5.4

5.7

-

Industry Non-Performing Loans ( MYR Million )

6,631.3

7,384.6

6,825.2

-

-

% of Industry Non-Performing Loans

20.2

25.7

23.4

-

-

 

 

 

 

 

 

 

 

 

 

 

 

* Estimate / Preliminary

 

 

 

 

 

** Forecast

 

 

 

 

 



INDUSTRY ANALYSIS

 

MSIC CODE

16212 : Manufacture of particle board and fibreboard

64200 : Activities of investment holding companies

 

 

INDUSTRY :

MANUFACTURING

 

 

 

The Manufacturing sector is one of the important sectors to the growth of the Malaysian economy. According to Ministry of Finance, the manufacturing sector is expected to grow 4.9% in year 2013. Export oriented-industries are expected to benefit from the higher growth of global trade, while domesticoriented industries expand in line with the better consumer sentiment and business confidence. The resource-based industries are envisaged to grow steadily attributed to improved demand for petroleum, chemical, rubber and plastic products. With better job prospects and higher disposable income, the transportation equipment subsector, in particular, the passenger car segment is expected to expand.

 

Value-added of the manufacturing sector expanded 5% during the first half of 2012. Output of the sector rose 5.2% during the first sevenmonths of 2012 in line with the increase in sales value of manufactured products by 6.5% to RM363.1 billion. Output from domesticoriented industries continued to expand 8.6% while export-oriented industries grew 4.1%.

 

According to the Department of Statistics, the sales value of the Manufacturing sector in January 2013 posted a growth of 7.4% (RM3.6 billion) to record RM52.4 billion as compared to RM48.8 billion reported in year 2012. Meanwhile, month-on-month basis, the sales value has decreased by 0.4% (RM0.2 billion) as compared with the preceding month. The sales value in December 2012 has been revised positive 7.5% year-on-year to record RM52.6 billion.

 

Output of rubber products increased 3.6% in the first seven month of 2012 mainly supported by continuous demand for rubber gloves. Output of rubber gloves grew 5.9% on account of the expansion in the global healthcare industry and wider usage of gloves in other sectors. Similarly, output of catheters, especially for use in medical appliances, also registered a strong growth of 12.6%. Nevertheless, production of rubber tyres and tubes reduced 10.9% in tandem with slowing external demand from the automotive industry, especially China.

 

Meanwhile, production of wood and wood products rebounded 4.6% largely supported by higher demand for wooden and cane furniture (33.5%). The positive performance was attributed to vibrant higher demand from major export destinations such as China and the United States (US) for Malaysian-made furniture. Demand from China accelerated further following the country’s rising income level and the implementation of zero import duty on Malaysian made-furniture. Malaysia government has growth target of 6.5% for wood based furniture where estimated to reach up to RM53 billion by year 2020.The government providing pioneer status for tax exemption and investment tax allowance for this industry as a boost up step towards produce good quality product and to meet the world demand.

 

The output of chemicals and chemical products rose 9.9% in the first seven month of year 2012 on account of increasing demand for plastic products (11.8%) and basic chemicals (11.1%). External demand for plastic packaging materials surged during the early part of the year 2012, particularly from Japan and Thailand, as manufacturers resumed operations, which were interrupted by natural calamities and power outages. Chemical production are expected to show 7.5 % in year 2013 inline with Malaysia as one of the largest contributor in world Chemicals & Chemical industries.

 

Tax and non-tax incentives provided by goverment encourage manufacturers to move up the value chain of manufacturing industry. The new growth initiatives by goverment in the manufacturing sector such assolar and medial services can be important drivers of growth apart from helping to diversify the manufacturing base and contributing to the resilience of the sector.

 

 

OVERALL INDUSTRY OUTLOOK : Average Growth



CREDIT RISK EVALUATION & RECOMMENDATION

 


Incorporated in 1993, the Subject is a Public Listed company, focusing on manufacturing particleboards and investment holding. The Subject has been in business for over two decades. It has built up a strong clientele base and good reputation will enable the Subject to further enhance its business in the near term. The Subject is expected to enjoy a stable market shares. Having strong support from its shareholder has enabled the Subject to remain competitive despite the challenging business environment. The Subject is a large entity with strong capital position. We are confident with the Subject's business and its future growth prospect.

Over the years, the Subject has established an extensive clientele base in the market. Besides catering to the local market, the Subject has penetrated into other countries. With the contribution of both local and overseas customers, the Subject is likely to be exposed to lower commercial risk. Hence, we believe that the Subject has better business expansion opportunities in the future. Being a large entity, the Group has a steady workforce of 2000 personnel to support its business operations. Its future prospects seem to be fairly good as its business operations are running relatively stable. Overall, we regard that the Subject's management capability is average. This indicates that the Subject has greater potential to improve its business performance and raising income for the Subject.

We noted that both the turnover and profits have increased compared to the previous year. The higher profit could be due to increase in turnover and better control over its operating costs. The Subject has generated an unfavourable return on shareholders' funds indicating that the management was inefficient in utilising its funds to generate return. Due to its weak liquidity position, the Subject may face working capital deficiency in meeting its short term financial obligations if no fresh capital are injected into the Subject. However, being a lowly geared company, the Subject is exposed to low financial risk as it is mainly dependent on its internal funds to finance its business needs. Given a positive net worth standing at MYR 231,054,000, the Subject should be able to maintain its business in the near terms.

The Subject'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 Subject has a good control over its resources.

Overall, the Subject's payment habit is good as the Subject 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 Subject is expected to benefit from the favourable outlook of the industry.

Based on the above condition, we recommend credit be granted to the Subject promptly.

 



PROFIT AND LOSS ACCOUNT

 

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

HEVEABOARD BERHAD

 

Financial Year End

2013-12-31

2012-12-31

2011-12-31

2010-12-31

2009-12-31

Months

12

12

12

12

12

Consolidated Account

GROUP

GROUP

GROUP

GROUP

GROUP

Audited Account

YES

YES

YES

YES

YES

Unqualified Auditor's Report (Clean Opinion)

YES

YES

YES

YES

YES

Financial Type

FULL

FULL

FULL

FULL

FULL

Currency

MYR

MYR

MYR

MYR

MYR

 

 

 

 

 

 

TURNOVER

389,507,000

372,597,000

373,049,000

363,137,000

327,417,000

Other Income

3,247,000

6,850,000

5,209,000

-

-

 

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

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

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

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

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

Total Turnover

392,754,000

379,447,000

378,258,000

363,137,000

327,417,000

Costs of Goods Sold

(332,976,000)

(334,752,000)

(338,976,000)

(315,240,000)

-

 

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

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

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

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

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

Gross Profit

59,778,000

44,695,000

39,282,000

47,897,000

-

 

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

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

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

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

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

 

 

 

 

 

 

PROFIT/(LOSS) FROM OPERATIONS

23,952,000

13,977,000

3,894,000

28,410,000

18,933,000

 

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

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

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

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

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

PROFIT/(LOSS) BEFORE TAXATION

23,952,000

13,977,000

3,894,000

28,410,000

18,933,000

Taxation

(1,493,000)

1,500,000

(553,000)

(2,699,000)

1,525,000

 

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

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

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

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

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

PROFIT/(LOSS) AFTER TAXATION

22,459,000

15,477,000

3,341,000

25,711,000

20,458,000

 

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

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

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

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

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

RETAINED PROFIT/(LOSS) BROUGHT FORWARD

 

 

 

 

 

As previously reported

102,269,000

87,696,000

84,355,000

55,622,000

35,164,000

Prior year adjustment

-

-

-

(20,458,000)

-

 

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

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

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

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

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

As restated

102,269,000

87,696,000

84,355,000

35,164,000

35,164,000

 

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

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

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

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

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

PROFIT AVAILABLE FOR APPROPRIATIONS

124,728,000

103,173,000

87,696,000

60,875,000

55,622,000

TRANSFER TO RESERVES - General

-

-

-

23,480,000

-

DIVIDENDS - Ordinary (paid & proposed)

-

(904,000)

-

-

-

 

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

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

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

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

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

RETAINED PROFIT/(LOSS) CARRIED FORWARD

124,728,000

102,269,000

87,696,000

84,355,000

55,622,000

 

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

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

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

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

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

 

 

 

 

 

 

INTEREST EXPENSE (as per notes to P&L)

 

 

 

 

 

Bank overdraft

205,000

271,000

141,000

179,000

624,000

Bankers' acceptance

-

-

27,000

-

-

Hire purchase

394,000

360,000

281,000

674,000

935,000

Term loan / Borrowing

5,670,000

7,156,000

8,778,000

10,694,000

10,053,000

Others

351,000

71,000

167,000

123,000

178,000

 

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

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

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

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

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

 

6,620,000

7,858,000

9,394,000

11,670,000

11,790,000

 

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

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

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

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

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

 

BALANCE SHEET

 

HEVEABOARD BERHAD

 

ASSETS EMPLOYED:

 

 

 

 

 

FIXED ASSETS

254,951,000

267,047,000

284,797,000

293,983,000

309,656,000

 

 

 

 

 

 

Investments

-

15,000

15,000

15,000

15,000

Others

6,051,000

6,214,000

6,377,000

6,540,000

10,500,000

 

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

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

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

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

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

TOTAL LONG TERM INVESTMENTS/OTHER ASSETS

6,051,000

6,229,000

6,392,000

6,555,000

10,515,000

 

 

 

 

 

 

Goodwill on consolidation

2,946,000

2,946,000

2,946,000

2,946,000

2,946,000

 

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

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

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

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

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

TOTAL INTANGIBLE ASSETS

2,946,000

2,946,000

2,946,000

2,946,000

2,946,000

 

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

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

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

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

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

TOTAL LONG TERM ASSETS

263,948,000

276,222,000

294,135,000

303,484,000

323,117,000

 

 

 

 

 

 

Stocks

66,893,000

61,960,000

67,664,000

61,013,000

50,482,000

Trade debtors

53,109,000

42,233,000

42,032,000

47,210,000

31,877,000

Other debtors, deposits & prepayments

5,633,000

2,615,000

2,079,000

7,560,000

7,264,000

Short term deposits

12,600,000

2,200,000

2,054,000

2,516,000

-

Cash & bank balances

19,695,000

25,511,000

15,197,000

20,306,000

12,878,000

Others

577,000

659,000

606,000

738,000

682,000

 

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

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

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

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

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

TOTAL CURRENT ASSETS

158,507,000

135,178,000

129,632,000

139,343,000

103,183,000

 

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

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

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

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

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

TOTAL ASSET

422,455,000

411,400,000

423,767,000

442,827,000

426,300,000

 

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

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

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

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

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

 

 

 

 

 

 

CURRENT LIABILITIES

 

 

 

 

 

Trade creditors

38,119,000

39,437,000

33,013,000

26,061,000

23,902,000

Other creditors & accruals

24,124,000

18,329,000

21,002,000

25,531,000

22,082,000

Hire purchase & lease creditors

4,562,000

3,580,000

2,557,000

3,386,000

5,864,000

Bank overdraft

4,794,000

4,121,000

4,437,000

942,000

2,553,000

Short term borrowings/Term loans

27,004,000

25,946,000

26,373,000

27,138,000

6,941,000

Other borrowings

22,045,000

15,891,000

14,131,000

13,524,000

3,970,000

Bill & acceptances payable

-

-

-

1,244,000

1,784,000

Amounts owing to related companies

610,000

980,000

1,039,000

679,000

709,000

Provision for taxation

378,000

567,000

153,000

-

439,000

 

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

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

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

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

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

TOTAL CURRENT LIABILITIES

121,636,000

108,851,000

102,705,000

98,505,000

68,244,000

 

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

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

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

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

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

NET CURRENT ASSETS/(LIABILITIES)

36,871,000

26,327,000

26,927,000

40,838,000

34,939,000

 

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

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

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

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

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

TOTAL NET ASSETS

300,819,000

302,549,000

321,062,000

344,322,000

358,056,000

 

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

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

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

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

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

 

 

 

 

 

 

SHARE CAPITAL

 

 

 

 

 

Ordinary share capital

90,400,000

90,400,000

90,400,000

90,400,000

90,400,000

 

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

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

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

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

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

TOTAL SHARE CAPITAL

90,400,000

90,400,000

90,400,000

90,400,000

90,400,000

 

 

 

 

 

 

RESERVES

 

 

 

 

 

Share premium

15,526,000

15,526,000

15,526,000

15,526,000

15,526,000

General reserve

400,000

400,000

400,000

-

-

Retained profit/(loss) carried forward

124,728,000

102,269,000

87,696,000

84,355,000

55,622,000

Others

-

-

-

400,000

-

 

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

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

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

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

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

TOTAL RESERVES

140,654,000

118,195,000

103,622,000

100,281,000

71,148,000

 

 

 

 

 

 

 

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

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

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

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

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

SHAREHOLDERS' FUNDS/EQUITY

231,054,000

208,595,000

194,022,000

190,681,000

161,548,000

 

 

 

 

 

 

Long term loans

60,111,000

82,617,000

112,491,000

140,690,000

177,634,000

Other long term borrowings

-

-

-

5,352,000

10,744,000

Hire purchase creditors

3,282,000

4,762,000

4,493,000

1,010,000

3,711,000

Deferred taxation

2,298,000

2,160,000

4,946,000

5,050,000

3,079,000

Retirement benefits provision

1,778,000

1,774,000

1,749,000

1,539,000

1,340,000

Others

2,296,000

2,641,000

3,361,000

-

-

 

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

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

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

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

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

TOTAL LONG TERM LIABILITIES

69,765,000

93,954,000

127,040,000

153,641,000

196,508,000

 

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

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

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

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

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

 

300,819,000

302,549,000

321,062,000

344,322,000

358,056,000

 

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

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

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

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

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

 

 

 

 

 

 

 

 

 

FINANCIAL RATIO

 

 

HEVEABOARD BERHAD

 

TYPES OF FUNDS

 

 

 

 

 

Cash

32,295,000

27,711,000

17,251,000

22,822,000

12,878,000

Net Liquid Funds

27,501,000

23,590,000

12,814,000

20,636,000

8,541,000

Net Liquid Assets

(30,022,000)

(35,633,000)

(40,737,000)

(20,175,000)

(15,543,000)

Net Current Assets/(Liabilities)

36,871,000

26,327,000

26,927,000

40,838,000

34,939,000

Net Tangible Assets

297,873,000

299,603,000

318,116,000

341,376,000

355,110,000

Net Monetary Assets

(99,787,000)

(129,587,000)

(167,777,000)

(173,816,000)

(212,051,000)

BALANCE SHEET ITEMS

 

 

 

 

 

Total Borrowings

121,798,000

136,917,000

164,482,000

193,286,000

213,201,000

Total Liabilities

191,401,000

202,805,000

229,745,000

252,146,000

264,752,000

Total Assets

422,455,000

411,400,000

423,767,000

442,827,000

426,300,000

Net Assets

300,819,000

302,549,000

321,062,000

344,322,000

358,056,000

Net Assets Backing

231,054,000

208,595,000

194,022,000

190,681,000

161,548,000

Shareholders' Funds

231,054,000

208,595,000

194,022,000

190,681,000

161,548,000

Total Share Capital

90,400,000

90,400,000

90,400,000

90,400,000

90,400,000

Total Reserves

140,654,000

118,195,000

103,622,000

100,281,000

71,148,000

LIQUIDITY (Times)

 

 

 

 

 

Cash Ratio

0.27

0.25

0.17

0.23

0.19

Liquid Ratio

0.75

0.67

0.60

0.80

0.77

Current Ratio

1.30

1.24

1.26

1.41

1.51

WORKING CAPITAL CONTROL (Days)

 

 

 

 

 

Stock Ratio

63

61

66

61

56

Debtors Ratio

50

41

41

47

36

Creditors Ratio

42

43

36

30

27

SOLVENCY RATIOS (Times)

 

 

 

 

 

Gearing Ratio

0.53

0.66

0.85

1.01

1.32

Liabilities Ratio

0.83

0.97

1.18

1.32

1.64

Times Interest Earned Ratio

4.62

2.78

1.41

3.43

2.61

Assets Backing Ratio

3.30

3.31

3.52

3.78

3.93

PERFORMANCE RATIO (%)

 

 

 

 

 

Operating Profit Margin

6.15

3.75

1.04

7.82

5.78

Net Profit Margin

5.77

4.15

0.90

7.08

6.25

Return On Net Assets

10.16

7.22

4.14

11.64

8.58

Return On Capital Employed

9.76

6.97

4.01

11.40

8.32

Return On Shareholders' Funds/Equity

9.72

7.42

1.72

13.48

12.66

Dividend Pay Out Ratio (Times)

0.00

0.06

0.00

0.00

0.00

NOTES TO ACCOUNTS

 

 

 

 

 

Contingent Liabilities

0

0

0

0

0

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.60.19

UK Pound

1

Rs.102.87

Euro

1

Rs.81.48

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

Report Prepared by :

NIS

 

               

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.