MIRA INFORM REPORT

 

 

Report Date :

06.03.2014

 

IDENTIFICATION DETAILS

 

Name :

HOVID BERHAD

 

 

Formerly Known As :

HOVID SDN BHD

 

 

Registered Office :

121, Jalan Tunku Abdul Rahman, 30010 Ipoh, Perak

 

 

Country :

Malaysia

 

 

Financials (as on) :

30.06.2013

 

 

Date of Incorporation :

20.05.1980

 

 

Com. Reg. No.:

58476-A

 

 

Legal Form :

Public Limited Company

 

 

Line of Business :

Manufacturing of Pharmaceutical and Herbal Products

 

 

No. of Employees :

500 [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 – September 30, 2013

 

Country Name

Previous Rating

(30.06.2013)

Current Rating

(30.09.2013)

Malaysia

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


 

MALAYSIA - ECONOMIC OVERVIEW

 

Malaysia, a middle-income country, has transformed itself since the 1970s from a producer of raw materials into an emerging multi-sector economy. Under current Prime Minister NAJIB, Malaysia is attempting to achieve high-income status by 2020 and to move farther up the value-added production chain by attracting investments in Islamic finance, high technology industries, biotechnology, and services. 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 strained government finances, has forced Kuala Lumpur to begin to reduce government subsidies. The government is also trying to lessen its dependence on state oil producer Petronas. The oil and gas sector supplies about 35% of government revenue in 2011. Bank Negera 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 has raised possible revisions to the special economic and social preferences accorded to ethnic Malays under the New Economic Policy of 1970, but he has encountered significant opposition, especially from Malay nationalists and other vested interests.

 

Source : CIA

 

 

 

 


EXECUTIVE SUMMARY

 

 

REGISTRATION NO.

:

58476-A

COMPANY NAME

:

HOVID BERHAD

FORMER NAME

:

HOVID SDN BHD (05/12/2003)
HO YAN HOR SDN BHD (24/03/1998)
HO YAN HOR PHARMACEUTICALS SDN BHD (21/04/1989)
HO YAN HOR (KAUSING BRAND) MEDICAL HALL SDN BHD (21/05/1984)

INCORPORATION DATE

:

20/05/1980

COMPANY STATUS

:

EXIST

LEGAL FORM

:

PUBLIC

LISTED STATUS

:

YES

LISTED DATE

:

05/04/2005

REGISTERED ADDRESS

:

121, JALAN TUNKU ABDUL RAHMAN, 30010 IPOH, PERAK, MALAYSIA.

BUSINESS ADDRESS

:

121, JALAN TUNKU ABDUL RAHMAN, 30010 IPOH, PERAK, MALAYSIA.

TEL.NO.

:

05-5060690

FAX.NO.

:

05-5061215

EMAIL

:

INFO@HOVID.COM

WEB SITE

:

WWW.HOVID.COM

CONTACT PERSON

:

LIONG KAM HON ( EXECUTIVE DIRECTOR )

INDUSTRY CODE

:

86905

PRINCIPAL ACTIVITY

:

MANUFACTURING OF PHARMACEUTICAL AND HERBAL PRODUCTS

AUTHORISED CAPITAL

:

MYR 200,000,000.00 DIVIDED INTO
ORDINARY SHARE 2,000,000,000.00 OF MYR 0.10 EACH.

ISSUED AND PAID UP CAPITAL

:

MYR 76,229,930.00 DIVIDED INTO
ORDINARY SHARES 69,313,360 CASH AND 692,985,940 OTHERWISE OF MYR 0.10 EACH.

SALES

:

MYR 172,510,000 [2013]

NET WORTH

:

MYR 160,009,000 [2013]

STAFF STRENGTH

:

500 [2014]

BANKER (S)

:

OCBC BANK (MALAYSIA) BHD
RHB BANK BHD
UNITED OVERSEAS BANK (MALAYSIA) BHD

LITIGATION

:

CLEAR

DEFAULTER CHECK

:

CLEAR

FINANCIAL CONDITION

:

STRONG

PAYMENT

:

PROMPT

MANAGEMENT CAPABILITY

:

AVERAGE

COMMERCIAL RISK

:

LOW

CURRENCY EXPOSURE

:

HIGH

GENERAL REPUTATION

:

GOOD

INDUSTRY OUTLOOK

:

MARGINAL 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 of pharmaceutical and herbal products.

The Subject was listed on the Main Board of Bursa Malaysia Securities Bhd on 05/04/2005

 

Share Capital History

Date

Authorised Shared Capital

Issue & Paid Up Capital

22/01/2014

MYR 200,000,000.00

MYR 76,229,930.00

18/12/2013

MYR 200,000,000.00

MYR 76,229,100.00

16/12/2013

MYR 200,000,000.00

MYR 76,208,000.00

15/11/2013

MYR 200,000,000.00

MYR 76,209,100.00

10/10/2012

MYR 200,000,000.00

MYR 76,208,000.00

 

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

 

Name

Address

IC/PP/Loc No

Shareholding

(%)

EB NOMINEES (TEMPATAN) SENDIRIAN BERHAD FOR PLEDGED SECURITIES ACCOUNT FOR HO SUE SAN @ DAVID HO SU

-

-

111,000,000.00

14.56

MR. HO SUE SAN @ DAVID HO SUE SAN +

51, JALAN CHIN HWA, CHATEAU GARDEN, 30250 IPOH, PERAK, MALAYSIA.

490920-08-5903 1391613

60,383,700.00

7.92

MALAYSIA NOMINEES (TEMPATAN) SENDIRIAN BERHAD FOR PLEDGED SECURITIES ACCOUNT FOR HO SUE SAN @ DAVID

-

-

59,730,000.00

7.84

LEMBAGA TABUNG HAJI

201, JALAN TUN RAZAK, 50400 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.

00005067

44,115,900.00

5.79

CIMB GROUP NOMINEES (TEMPATAN) SDN BHD FOR PLEDGED SECURITIES ACCOUNT FOR HO SUE SAN @ DAVID HO SUE

-

-

42,500,000.00

5.58

HDM NOMINEES (TEMPATAN) SDN BHD FOR PLEDGED SECURITIES ACCOUNT FOR HO SUE SAN @ DAVID HO SUE SAN

-

-

23,000,000.00

3.02

MR. PUI CHENG WUI

JALAN SUNGAI MANGGIS, PERSIARAN SYED PUTRA, MALAYSIA.

461031-03-5153 1265964

14,621,000.00

1.92

CIMSEC NOMINEES (TEMPATAN) SDN BHD FOR CIMB BANK FOR KOH KIN LIP (MY0502)

-

-

14,000,000.00

1.84

HSBC NOMINEES (ASING) SDN BHD FOR EXEMPT AN FOR SKANDINAVISKA ENSKILDA BANKEN AB (SWEDISH CLIENTS)

-

-

12,837,700.00

1.68

KENANGA NOMINEES (TEMPATAN) SDN BHD FOR PLEDGED SECURITIES ACCOUNT FOR OH KIM SUN

-

-

12,568,800.00

1.65

KENANGA NOMINEES (TEMPATAN) SDN BHD FOR PLEDGED SECURITIES ACCOUNT FOR MAK TIAN MENG

-

-

10,000,000.00

1.31

REMAINING SHAREHOLDERS

-

-

357,542,200.00

46.90

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

------

762,299,300.00

100.00

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

=====

+ Also Director

 

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

 

Local No

Country

Company

(%)

As At

714299D

MALAYSIA

HOVID NUTRIWORLD SDN. BHD.

100.00

30/06/2013

804511M

MALAYSIA

HOVID RESEARCH SDN. BHD.

100.00

30/06/2013

457587X

MALAYSIA

HOVID MARKETING SDN. BHD.

100.00

30/06/2013

420434D

MALAYSIA

JAVID SDN. BHD.

100.00

30/06/2012

PHILIPPINES

HOVID INC

100.00

30/06/2012

71816T

MALAYSIA

HOVID PHARMACY SDN. BHD.

100.00

30/06/2013

CHINA

HOVID LIMITED

60.00

30/06/2012

INDIA

BIODEAL PHARMACEUTICALS PRIVATE LIMITED

51.00

30/06/2012



DIRECTORS


DIRECTOR 1

 

Name Of Subject

:

DATO' CHE MOHD ZIN BIN CHE AWANG

Address

:

65, JALAN SS3/53, TAMAN SUBANG, 47300 PETALING JAYA, SELANGOR, MALAYSIA.

IC / PP No

:

2760805

New IC No

:

490928-03-5169

Date of Birth

:

28/09/1949

Nationality

:

MALAYSIAN

Date of Appointment

:

01/03/2012

 

DIRECTOR 2

 

Name Of Subject

:

MR. CHUAH CHAW TEO

Address

:

4, PERSIARAN 8, ARENA KEPAYANG PUTRA, FAIR PARK, 31400 IPOH, PERAK, MALAYSIA.

IC / PP No

:

4235455

New IC No

:

510828-08-5973

Date of Birth

:

28/08/1951

Nationality

:

MALAYSIAN

Date of Appointment

:

22/12/2004

Qualification

:

BSC. OF SCIENCE (HONS) IN 1975 & DOC IN APPLIED ORGANIC CHEMISTRY IN 1979 FROM UNIVERSITY OF OTAGO, NEW ZEALAND

Profile

:

JOINED CHUAN SIN S/B AS GM IN JULY 1997

Other Info

:

MEMBER OF THE COMMITTEE (SIRIM) IN 1991

 

DIRECTOR 3

 

Name Of Subject

:

Y.M. RAJA SHAMSUL KAMAL BIN R. SHAHRUZZAMAN

Address

:

1, JALAN 4/6, 40000 SHAH ALAM, SELANGOR, MALAYSIA.

IC / PP No

:

6183860

New IC No

:

610313-10-6665

Date of Birth

:

13/03/1961

Nationality

:

MALAYSIAN

Date of Appointment

:

22/12/2004

 

DIRECTOR 4

 

Name Of Subject

:

MR. LEONG KWOK YEE

Address

:

AA-19-01, BLOCK A, 10, MONT KIARA, JALAN KIARA 1, MONT KIARA, 50480 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.

IC / PP No

:

E3017986

Nationality

:

AUSTRALIAN

Date of Appointment

:

22/12/2004

 

DIRECTOR 5

 

Name Of Subject

:

MR. GOH TIAN HOCK

Address

:

11, LALUAN PERMAI 7, TAMAN IPOH PERMAI, 31400 IPOH, PERAK, MALAYSIA.

IC / PP No

:

A0734434

New IC No

:

670428-10-6563

Date of Birth

:

28/04/1967

Nationality

:

MALAYSIAN

Date of Appointment

:

02/01/2014

 

DIRECTOR 6

 

Name Of Subject

:

MR. YUEN KAH HAY

Address

:

7, LORONG BATU UBAN 5, TAMAN CENTURY, 11700 GELUGOR, PULAU PINANG, MALAYSIA.

IC / PP No

:

4562843

New IC No

:

540101-07-5261

Date of Birth

:

01/01/1954

Nationality

:

MALAYSIAN

Date of Appointment

:

02/01/2014

 

DIRECTOR 7

 

Name Of Subject

:

MR. HO SUE SAN @ DAVID HO SUE SAN

Address

:

51, JALAN CHIN HWA, CHATEAU GARDEN, 30250 IPOH, PERAK, MALAYSIA.

IC / PP No

:

1391613

New IC No

:

490920-08-5903

Date of Birth

:

20/09/1949

Nationality

:

MALAYSIAN

Date of Appointment

:

22/12/2004



MANAGEMENT

 

 

1)

Name of Subject

:

DAVID HO SUE SAN

Position

:

MANAGING DIRECTOR

 

2)

Name of Subject

:

LIONG KAM HON

Position

:

EXECUTIVE DIRECTOR

 

3)

Name of Subject

:

LEONG AH LING

Position

:

PURCHASING MANAGER

 

4)

Name of Subject

:

HO SUE SAN

Position

:

MANAGER

 

 

 

AUDITOR

 

Auditor

:

SJ GRANT THORNTON

Auditor' Address

:

SHERATON IMPERIAL COURT, JALAN SULTAN ISMAIL, LEVEL 11, 50250 KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA.

 


COMPANY SECRETARIES

 

1)

Company Secretary

:

MR. GOH TIAN HOCK

IC / PP No

:

A0734434

New IC No

:

670428-10-6563

Address

:

11, LALUAN PERMAI 7, TAMAN IPOH PERMAI, 31400 IPOH, PERAK, MALAYSIA.

 

2)

Company Secretary

:

MS. NG YUET SEAM

IC / PP No

:

A0930116

New IC No

:

671205-08-5392

Address

:

1, LORONG EVERGREEN, TAMAN BUNGA RAYA, 31650 IPOH, PERAK, MALAYSIA.

 

 

 

BANKING


Banking relations are maintained principally with :

1)

Name

:

OCBC BANK (MALAYSIA) BHD

 

2)

Name

:

RHB BANK BHD

 

3)

Name

:

UNITED OVERSEAS BANK (MALAYSIA) BHD

 

 

ENCUMBRANCE (S)

 

Charge No

Creation Date

Charge Description

Chargee Name

Total Charge

Status

1

01/07/1987

N/A

OVERSEACHINESE BANKING COPRPORATION LIMITED

MYR 2,050,000.00

Satisfied

2

01/07/1987

N/A

OVERSEA CHINESE BANKING CORPORATION LTD

MYR 500,000.00

Satisfied

3

01/07/1987

N/A

OVERSEA CHINESE BANKING CORPORATION

MYR 500,000.00

Satisfied

4

14/07/1987

N/A

OVERSEA CHINESE FINANCE COMPANY BERHAD

MYR 500,000.00

Satisfied

5

27/03/1989

N/A

KWONG YIK BANK BERHAD

MYR 500,000.00

Satisfied

6

27/03/1989

N/A

KWONG YIK BANK BERHAD

MYR 4,500,000.00

Satisfied

7

23/04/1990

N/A

UNITED MALAYAN BANKING CORPORATION BERHAD

MYR 1,000,000.00

Satisfied

8

23/04/1990

N/A

UNITED MALAYAN BANKING CORPORATION BERHAD

MYR 540,000.00

Satisfied

9

12/05/1990

N/A

SOUTHERN BANK BHD

MYR 200,000.00

Satisfied

10

06/11/1990

N/A

UNITED MALAYAN BANKING CORPORATION BERHAD

MYR 500,000.00

Satisfied

12

07/03/1991

N/A

BANK PEMBANGUNAN MALAYSIA BERHAD

MYR 1,400,000.00

Satisfied

11

03/07/1991

N/A

UNITED MALAYAN BANKING CORPORATION BERHAD

MYR 720,000.00

Satisfied

13

12/09/1991

N/A

UNITED MALAYAN BANKING CORPORATION BERHAD

MYR 8,315,000.00

Satisfied

14

12/09/1991

N/A

UNITED MALAYAN BANKING CORPORATION BERHAD

MYR 7,900,000.00

Satisfied

15

12/09/1991

N/A

UNITED MALAYAN BANKING CORPORATION BERHAD

MYR 415,000.00

Satisfied

16

12/09/1991

N/A

UNITED MALAYAN BANKING CORPORATION BERHAD

MYR 7,900,000.00

Satisfied

17

12/09/1991

N/A

UNITED MALAYAN BANKING CORPORATION BERHAD

MYR 415,000.00

Satisfied

18

16/11/1991

N/A

SOUTHERN BANK BHD

MYR 200,000.00

Satisfied

19

16/11/1992

N/A

UNITED MALAYAN BANKING CORPORATION BERHAD

MYR 2,000,000.00

Satisfied

20

16/11/1992

N/A

UNITED MALAYAN BANKING CORPORATION BERHAD

MYR 2,000,000.00

Satisfied

21

16/11/1992

N/A

UNITED MALAYAN BANKING CORPORATION BERHAD

MYR 2,000,000.00

Satisfied

22

16/11/1992

N/A

UNITED MALAYAN BANKING CORPORATION BERHAD

MYR 2,000,000.00

Satisfied

23

22/02/1993

N/A

SOUTHERN BANK BHD

MYR 200,000.00

Satisfied

24

15/09/1993

N/A

UNITED MALAYAN BANKING CORPORATION BERHAD

MYR 1,900,000.00

Satisfied

25

15/09/1993

N/A

UNITED MALAYAN BANKING CORPORATION BERHAD

MYR 900,000.00

Satisfied

26

15/09/1993

N/A

UNITED MALAYAN BANKING CORPORATION BERHAD

MYR 1,000,000.00

Satisfied

27

15/09/1993

N/A

UNITED MALAYAN BANKING CORPORATION BERHAD

MYR 900,000.00

Satisfied

28

15/09/1993

N/A

UNITED MALAYAN BANKING CORPORATION BERHAD

MYR 1,000,000.00

Satisfied

29

18/07/1995

N/A

UNITED MALAYAN BANKING CORPORATION BERHAD

MYR 1,500,000.00

Satisfied

30

18/07/1995

N/A

UNITED MALAYAN BANKING CORPORATION BERHAD

MYR 1,500,000.00

Satisfied

31

18/07/1995

N/A

UNITED MALAYAN BANKING CORPORATION BERHAD

MYR 1,500,000.00

Satisfied

32

16/11/1996

N/A

SOUTHERN BANK BERHAD

MYR 2,416,000.00

Satisfied

33

15/01/2001

N/A

OCBC BANK MALAYSIA BERHAD

MYR 15,000,000.00

Unsatisfied

34

15/01/2001

N/A

OCBC BANK MALAYSIA BERHAD

MYR 3,000,000.00

Unsatisfied

36

31/12/2001

N/A

BANK PEMBANGUAN DAN INFRASTRUKTUR MALAYSIA BERHAD

MYR 3,000,000.00

Satisfied

35

10/01/2002

N/A

OCBC BANK MALAYSIA BERHAD

MYR 3,000,000.00

Satisfied

37

01/07/2002

N/A

OCBC BANK MALAYSIA BERHAD

MYR 200,000.00

Satisfied

38

21/01/2003

N/A

OCBC BANK MALAYSIA BERHAD

MYR 1,000,000.00

Satisfied

39

21/01/2003

N/A

OCBC BANK MALAYSIA BERHAD

MYR 2,000,000.00

Unsatisfied

40

21/01/2003

N/A

OCBC BANK MALAYSIA BERHAD

MYR 1,800,000.00

Unsatisfied

41

08/10/2004

N/A

RHB BANK BERHAD

MYR 4,800,000.00

Satisfied

42

14/03/2005

N/A

RHB BANK BERHAD

MYR 3,447,134.00

Satisfied

43

21/11/2007

N/A

HWANGDBS INVESTMENT BANK BERHAD

-

Satisfied

44

09/05/2008

N/A

UNITED OVERSEAS BANK (MALAYSIA) BHD

-

Unsatisfied

45

16/09/2008

N/A

MALAYAN BANKING BHD

MYR 13,360,000.00

Unsatisfied

46

30/10/2009

N/A

AFFIN INVESTMENT BANK BERHAD

MYR 20,000,000.00

Satisfied

 

 

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

:

30%

Overseas

:

YES

Percentage

:

70%

Import Countries

:

CHINA,JAPAN,KOREA,GERMANY,INDIA,UNITED STATES



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

[

X

]

Good 31-60 Days

[

]

Average 61-90 Days

[

]

Fair 91-120 Days

[

]

Poor >120 Days

[

]



CLIENTELE

 

Local

:

YES

Domestic Markets

:

MALAYSIA

Overseas

:

YES

Export Market

:

ASIA

EUROPE

MIDDLE EAST

Credit Term

:

AS AGREED

Payment Mode

:

CHEQUES
TELEGRAPHIC TRANSFER (TT)
LETTER OF CREDIT (LC)

Type of Customer

:

PHARMACEUTICAL INDUSTRIES,PHARMACIES,DEALERS,DISTRIBUTORS

 

 

OPERATIONS

 

Products manufactured

:

AMOXICLAR TABLET & GRANULES, GLOCOSAMINE, PREDISOLONE TABLET, TOCOTRIENOL (HEALTH SUPPLEMENT)

Product Brand Name

:

CONSAMINE , TOCOVID , PURI-SAFE , QUICKLEAN , GERMISEP , SUPRABIO , BETATON , DIABETMIN , ULTIMAX , EZEE ,NAGELESS , HO YAN HOR , HOVID , CHEWETTEC , AMOXICLAV , AMOXICAP , CLAMIDE , VIREST , FLUCOR , O YES ! ,NPREBIOLIN

Award

:

1 ) SPECIAL AWARD FOR INNOVATIVE PRODUCT BY MINISTRY OF INTERNATIONAL TRADE AND INDUSTRY (MITI) Year :2004

Member(s) / Affiliate(s)

:

FEDERATION OF MALAYSIAN MANUFACTURERS (FMM)

SMI ASSOCIATION OF MALAYSIA

MALAYSIA EXTERNAL TRADE DEVELOPMENT CORPORATION (MATRADE)

CHEMICAL INDUSTRIES COUNCIL OF MALAYSIA (CICM)

MALAYSIA FOOD & BEVERAGE INDUSTRY

Ownership of premises

:

OWNED

Shifts

:

2 SHIFTS (24 HOURS OPERATING)

 

Total Number of Employees:

 

YEAR

2014

2013

2012

2011

2010

2009


GROUP

N/A

N/A

N/A

N/A

N/A

N/A

COMPANY

500

500

500

500

500

500

 

Branch

:

YES

Other Information:


The Subject is principally engaged in the (as a / as an) manufacturing of pharmaceutical and herbal products.

The Hovid Group's range of principal products and activities includes:


* special drug delivery systems, such as modified release formulations and bio-availability enhanced formulations;
* ethical products, including anti-biotics, anti-diabetics, anti-hypertensives, anti-malarial and anti-inflammatory analgesics;
* dietary supplements;

* consumer products; and

* the commercial extraction of palm tocotrienol complex, mixed carotenoid complex and phytosterols from palm fruits.

The Subject's manufacturing facilities and practices in respect of its pharmaceutical products conform to the PIC/S' GMP and Good Laboratory Practice Standards.


The Subject's herbal tea has been in the market since the early 40s and it comprises 26 types of herbs and is blended with tea leaves.


We were informed that the Subject has warehouses located in Kuala Lumpur, Pulau Pinang, Johor, Sabah and Sarawak.

The Group undertakes extraction and processing of nutrient from palm oil, trading of medical and pharmaceutical products.

The Group is also active in marketing health and wellness products via the multi-level network market.



RECENT DEVELOPMENT


19 February 2014


THE share price of Hovid Bhd, the country's largest publicly traded medical drug exporter in terms of sales, is on the verge of a major breakthrough.Hong Leong Industries Research, in a report, said on a technical platform, the stock's price has broken the "bullish flag" chart pattern. This was a result of strong buying interest since the start of the year, it added. According to the research house, the stock could move upwards and trade at between 39 sen and 40 sen a share. The stock currently trades in the 35 sen-a-share bandwagon.However, the technical parameters to value Hovid is much lower than CIMB Research's valuation of the company, based on its business.

To recap, CIMB Research last year valued Hovid at 43 sen a share but that valuation did not take into account the possibility of Hovid winning the United States Food and Drug Administration approval to sell tocotrienols as a drug.If successful, it could open up a market that is worth billions of ringgit in annual sales, CIMB had said in the report.More than half of Hovid's revenue is export-based and the company is the only Malaysia-listed pharmaceutical company that holds patents, signifying its strong research and development culture.

25th April 2012


The Sc, a manufacturer of ethical drugs and health and dietary supplements, plans to build a manufacturing plant in the Philippines, possibly within two years, as its business here improves, said its managing director David Ho.

The Philippine market had been generating steady sales for Hovid over the past seven years, Ho said.


He added that all of the company products, numbering almost 30, were well accepted in the country.

"We like to grow our products to more than 100 eventually and we are looking at setting up a plant here as imported products are subject to a three per cent here," he told Business Times on the sidelines of the Malaysia-Philippines Palm Oil Trade Fair & Seminar.


The seminar was organised by the Malaysian Palm Oil Council and the Malaysian Palm Oil Board.

There was also a forum themed "Healthy Lifestyle with Palm Products" targeting the medical fraternity within the Philippines.

Ho said SC products were managed and marketed by its wholly-owned subsidiary Hovid Philippines with a staff strength of more than 100 people.


"Business has been good for us here, although it took a while to get going as product registering takes about a year," he said.


Four to five per cent of SC revenue came from the Philippines, he added.


Close to 60 per cent of Hovid products are exported to most Asian countries, except Indonesia and Thailand, and African countries, which is its biggest market.


"We can not go into Indonesia because the country does not accept Malaysia-registered products while in Thailand, the product registering process is not easy and time-consuming," he lamented.


SC currently has two plants in Perak and one in India.


Ho said the company was looking at building another plant in Malaysia and it might take place next year.

He declined to reveal the likely investment cost but said even a small plant would cost between RM20 million and RM30 million.


On its business outlook this year, Ho said he was confident that Hovid would do well in the financial year ending June 30, 2012, after last financial year weak performance, in which it was dragged down by the numbers in its then loss-making subsidiary, Carotech Bhd.


For the second quarter ended December 31, 2011, SC net profit grew to RM10.76 million from RM1.47 million in the previous corresponding quarter.


It also made a one-time gain of RM7.7 million after it pared down its interest in Carotech to 17.6 per cent from 25 per cent previously.

 

 

CURRENT INVESTIGATION

 

Latest fresh investigations carried out on the Subject indicated that :

Telephone Number Provided By Client

:

055060690

Current Telephone Number

:

05-5060690

Match

:

YES

Address Provided by Client

:

P O BOX 331, 30010 IPOH 121, JALAN TUNKU ABDUL RAHMAN PERAK MALAYSIA

Current Address

:

121, JALAN TUNKU ABDUL RAHMAN, 30010 IPOH, PERAK, MALAYSIA.

Match

:

NO

Latest Financial Accounts

:

YES

 

Other Investigations


On 3rd March 2014 we contacted one of the staff from the Subject and she provided some information.


The address provided belongs to the Subject's PO Box address.



FINANCIAL ANALYSIS

 

 

Profitability

Turnover

:

Increased

[

2009 - 2013

]

Profit/(Loss) Before Tax

:

Increased

[

2009 - 2013

]

Return on Shareholder Funds

:

Acceptable

[

12.70%

]

Return on Net Assets

:

Acceptable

[

15.14%

]

The Subject's turnover increased steadily as the demand for its products / services increased due to the goodwill built up over the years.The Subject's management have been efficient in controlling its operating costs. The Subject's management had generated acceptable return for its shareholders using its assets.

Working Capital Control

Stock Ratio

:

Acceptable

[

56 Days

]

Debtor Ratio

:

Acceptable

[

63 Days

]

Creditors Ratio

:

Favourable

[

25 Days

]

The Subject kept adequate stocks to meet its normal business transactions without incurring excessive storage costs. The Subject's management was quite efficient in handling its debtors. The Subject's debtors days were at an acceptable range, thus the risk of its debts turning bad was minimised. 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

:

Favourable

[

1.71 Times

]

Current Ratio

:

Favourable

[

2.40 Times

]

A minimum liquid ratio of 1 should be maintained by the Subject in order to assure its creditors of its ability to meet short term obligations and the Subject was in a good liquidity position. Thus, we believe the Subject is able to meet all its short term obligations as and when they fall due.

Solvency

Interest Cover

:

Favourable

[

11.88 Times

]

Gearing Ratio

:

Favourable

[

0.08 Times

]

The interest cover showed that the Subject was able to service the interest. The favourable interest cover could indicate that the Subject was making enough profit to pay for the interest accrued. 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 :

Generally, the Subject's performance has improved with higher turnover and profit. The Subject was in good liquidity position with its total current liabilities well covered by its total current assets. With its current net assets, the Subject should be able to repay its short term obligations. With the favourable interest cover, the Subject could be able to service all the accrued interest without facing any difficulties. 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 : STRONG

 

 

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

# Based On Manufacturing Production Index



INDUSTRY ANALYSIS

 

MSIC CODE

86905 : Herbalist and homeopathy services

INDUSTRY :

ECONOMY

The country's gross domestic product (GDP) expanded by 6.4% in the 4th quarter ended Dec 31 2012 on a year-on-year basis driven by sustained domestic demand and high investment growth. For the full year 2012, the GDP growth hit 5.6%, well above the government’s revised forecast of 4.5%-5.0% made in year 2011. Despite the weak and uncertain global economic conditions, there is remarkable optimism that Malaysia's economy could still continue to grow at a relatively healthy pace. The government has, in fact, targeted a gross domestic product (GDP) growth rate of between 4.5% and 5.5% for 2013. This is quite an encouraging growth rate, and an achievable one at that, according to most economists.

Additionally, tepid economic growth in advanced economies and the slowdown of emerging economies especially in China and India, point to weakening global economic prospects. The deterioration in the external environment and correction in commodity prices are expected to weigh on Malaysia’s export performance during the second half of 2012. Nevertheless, the vibrant domestic demand is expected to be sustained during the second half of 2012, supported by both public and private sectors amid conducive financial market conditions, stable prices and a favourable labour market. The external sector provided little support with exports showing a slower pace of decrease in 4th quarter of year 2012 to -1.5%, while imports also decreased by -0.9% resulting in an actual increase in the level of net exports compared to 3rd quarter of year 2012, although growth remained negative relative to 4th quarter of year 2012.

Domestic demand will be the main driver of the Malaysian economy supported by private and public sector expenditure. Growth in private consumption is expected to be buoyed by stable employment and income coupled with lower inflation. The salary revision and bonus for civil servants, cash assistance under Bantuan Rakyat 1Malaysia (BR1M), reward to the Federal Land Development Authority (FELDA) settlers and other cash payments to assist various groups supported private consumption. Private investment is envisaged to drive economic growth over the medium term, underpinned by the ongoing implementation of the Economic Transformation Programme (ETP) and vibrant construction activity. Growth in private investment will be broad-based in line with positive investors’ confidence and strong domestic demand. Public investment will be largely led by the Non-Financial Public Enterprises’ (NFPEs) capital spending on oil and gas (O&G), telecommunications and transportrelated industries. The Investment expenditure was about evenly divided between structures and machinery & equipment, but the former category showed continued strong growth at 25.0% over the 4th quarter ended Dec 31 2011, while growth in the latter category slowed to 7.6% from 22.3% in 3rd quarter ended Sept 30 2012.

Growth was broad based with all major sectors registering increases. The only subsectors that posted declines were the textile manufacturing and forestry and logging activities. The construction sector posted the strongest growth, hitting 15% on the year 2012, not surprising given the spate of major projects and related private sector property investment over the year. Besides, the agriculture sectors had a slightly grew at 0.6% while the manufacturing and mining industries continued growth at 4.2% and 1.5% respectively. The service sector had drop to 5.5%. However, according to the Minister of Finance, the agriculture and construction sectors are projected to expand 2.4% and 11.2% respectively while the manufacturing and the mining industries are forecast to grow 4.9% and 2.7& respectively. Meanwhile, the service sector is expected to grow 5.6%.

With domestic demand remaining robust and signs of improvement in the external sector, there are far less grounds for an interest rate cut, unlike in the rest of the region where growth has, with the exception of Thailand, been less than impressive. High capacity utilisation, strong credit growth and the need to rein in household debt are all mitigating factors against an easing of policy. Meanwhile, in maintaining the balance between economic growth and inflationary pressures in Malaysia, it is expected that interest rates in the country will remain stable through 2013. The benchmark overnight policy rate (OPR) currently stands at 3%, which has been supportive of the country's economic growth amid a low inflation environment with consumer price index (CPI) growing at less than 2% in 2012. But with price pressures expected to pick up in year 2014, with CPI expected to increase around 2% to 3%, some economists expect the OPR to likely be raised by 25 basis points to 3.25% in the second half of year 2014.

In conclusion, the outlook for the Malaysian economy is going to be challenging, with the ongoing global economic slowdown in view of the debt crisis in Europe and the weakening of the US economy. Besdies, the loss of growth momentum in Malaysia will continue and become serious enough to sidetrack the country from its long-term development goals. Thus, nominal Gross National Income (GNI) per capita is expected to increase 6.4% to RM32,947 in year 2013. In terms of Public-Private Partnership (PPP) Facilitation Fund, per capita income is expected to grow 4.4% to reach USD16,368.

OVERALL INDUSTRY OUTLOOK : Marginal Growth



CREDIT RISK EVALUATION & RECOMMENDATION

 


Incorporated in 1980, the Subject is a Public Listed company, focusing on manufacturing of pharmaceutical and herbal products. The Subject has been in business for over 3 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 holding company 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 penetrated into both the local and overseas market. The Subject has positioned itself in the global market and is competing in the industry. Its stable clientele base will enable the Subject to further enhance its business in the near term. Being a large entity, the Subject has a steady workforce of 500 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. Return on shareholders' funds of the Subject was at an acceptable range which indicated that the management was efficient in utilising its funds to generate income. The Subject is in good liquidity position with its current liabilities well covered by it current assets. Hence, it has sufficient working capital to meet its short term financial obligations. Being a 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 160,009,000, 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


We regard that the Subject's overall payment habit is prompt. The Subject had a favourable creditors' ratio as evidenced by its favourable collection days.


The industry has reached its maturity stage and only enjoying a marginal growth. The steady growth of the country's economy will further enhance the industry activities. As a well established company, the Subject should have strong competitive edge against other players in the same fields


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)

 

Financial Year End

2013-06-30

2012-06-30

2011-06-30

2010-06-30

2009-06-30

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

172,510,000

164,808,000

153,456,000

365,166,000

248,607,000

Other Income

2,225,000

2,921,000

7,299,000

-

-

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

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

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

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

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

Total Turnover

174,735,000

167,729,000

160,755,000

365,166,000

248,607,000

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

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

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

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

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

PROFIT/(LOSS) FROM OPERATIONS

25,770,000

31,362,000

(2,172,000)

(97,678,000)

(4,244,000)

SHARE OF PROFITS/(LOSSES) OF ASSOCIATED COMPANIES

-

(9,106,000)

-

-

-

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

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

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

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

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

PROFIT/(LOSS) BEFORE TAXATION

25,770,000

22,256,000

(2,172,000)

(97,678,000)

(4,244,000)

Taxation

(5,297,000)

(6,498,000)

(3,945,000)

5,080,000

(2,582,000)

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

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

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

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

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

PROFIT/(LOSS) AFTER TAXATION

20,473,000

15,758,000

(6,117,000)

(92,598,000)

(6,826,000)

Minority interests

(146,000)

(76,000)

66,000

38,646,000

7,243,000

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

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

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

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

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

PROFIT/(LOSS) BEFORE EXTRAORDINARY ITEMS

20,327,000

15,682,000

(6,051,000)

(53,952,000)

417,000

Extraordinary items

-

-

12,088,000

-

-

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

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

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

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

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

PROFIT/(LOSS) ATTRIBUTABLE TO SHAREHOLDERS

20,327,000

15,682,000

6,037,000

(53,952,000)

417,000

RETAINED PROFIT/(LOSS) BROUGHT FORWARD

As previously reported

19,459,000

12,350,000

5,268,000

59,220,000

58,803,000

Prior year adjustment

-

-

1,045,000

-

-

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

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

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

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

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

As restated

19,459,000

12,350,000

6,313,000

59,220,000

58,803,000

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

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

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

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

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

PROFIT AVAILABLE FOR APPROPRIATIONS

39,786,000

28,032,000

12,350,000

5,268,000

59,220,000

TRANSFER TO RESERVES - General

7,250,000

-

-

-

-

DIVIDENDS - Ordinary (paid & proposed)

-

(8,573,000)

-

-

-

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

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

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

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

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

RETAINED PROFIT/(LOSS) CARRIED FORWARD

47,036,000

19,459,000

12,350,000

5,268,000

59,220,000

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

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

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

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

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

INTEREST EXPENSE (as per notes to P&L)

Bank overdraft

574,000

810,000

900,000

2,496,000

2,211,000

Term loan / Borrowing

475,000

751,000

2,328,000

7,215,000

4,798,000

Others

1,320,000

1,632,000

3,323,000

7,801,000

6,308,000

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

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

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

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

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

2,369,000

3,193,000

6,551,000

17,512,000

13,317,000

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

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

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

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

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

 

 

BALANCE SHEET

 

 

 

ASSETS EMPLOYED:

FIXED ASSETS

111,555,000

91,054,000

91,618,000

389,778,000

396,259,000

LONG TERM INVESTMENTS/OTHER ASSETS

Associated companies

-

-

14,033,000

-

-

Investment properties

2,000,000

1,680,000

850,000

850,000

850,000

Deferred assets

451,000

186,000

125,000

108,000

101,000

Others

-

-

-

269,000

252,000

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

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

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

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

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

TOTAL LONG TERM INVESTMENTS/OTHER ASSETS

2,451,000

1,866,000

15,008,000

1,227,000

1,203,000

INTANGIBLE ASSETS

Goodwill on consolidation

18,860,000

19,663,000

24,160,000

25,290,000

36,133,000

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

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

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

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

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

TOTAL INTANGIBLE ASSETS

18,860,000

19,663,000

24,160,000

25,290,000

36,133,000

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

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

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

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

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

TOTAL LONG TERM ASSETS

132,866,000

112,583,000

130,786,000

416,295,000

433,595,000

CURRENT ASSETS

Stocks

26,337,000

29,543,000

23,688,000

83,162,000

164,075,000

Trade debtors

29,907,000

33,133,000

30,744,000

40,322,000

41,062,000

Other debtors, deposits & prepayments

7,765,000

11,710,000

6,495,000

7,485,000

28,474,000

Short term deposits

1,599,000

585,000

-

351,000

128,000

Deposits with financial institutions

-

-

897,000

-

-

Amount due from associated companies

-

-

516,000

-

-

Cash & bank balances

25,206,000

22,622,000

7,872,000

9,258,000

14,080,000

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

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

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

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

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

TOTAL CURRENT ASSETS

90,814,000

97,593,000

70,212,000

140,578,000

247,819,000

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

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

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

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

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

TOTAL ASSET

223,680,000

210,176,000

200,998,000

556,873,000

681,414,000

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

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

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

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

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

CURRENT LIABILITIES

Trade creditors

11,687,000

13,532,000

12,974,000

25,687,000

26,911,000

Other creditors & accruals

15,718,000

20,495,000

12,288,000

40,948,000

38,880,000

Hire purchase & lease creditors

490,000

1,168,000

2,173,000

6,695,000

3,956,000

Bank overdraft

2,067,000

7,533,000

6,096,000

27,743,000

39,297,000

Short term borrowings/Term loans

1,510,000

2,939,000

3,363,000

195,022,000

46,904,000

Other borrowings

-

-

-

17,000,000

19,500,000

Bill & acceptances payable

3,911,000

19,304,000

21,395,000

97,310,000

103,714,000

Provision for taxation

2,424,000

2,763,000

1,740,000

1,723,000

1,912,000

Other liabilities

-

6,000,000

6,000,000

-

-

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

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

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

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

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

TOTAL CURRENT LIABILITIES

37,807,000

73,734,000

66,029,000

412,128,000

281,074,000

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

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

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

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

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

NET CURRENT ASSETS/(LIABILITIES)

53,007,000

23,859,000

4,183,000

(271,550,000)

(33,255,000)

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

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

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

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

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

TOTAL NET ASSETS

185,873,000

136,442,000

134,969,000

144,745,000

400,340,000

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

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

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

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

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

SHARE CAPITAL

Ordinary share capital

76,208,000

76,208,000

76,208,000

76,208,000

76,208,000

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

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

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

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

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

TOTAL SHARE CAPITAL

76,208,000

76,208,000

76,208,000

76,208,000

76,208,000

RESERVES

Share premium

90,000

90,000

90,000

90,000

90,000

Revaluation reserve

31,995,000

11,029,000

11,672,000

20,640,000

20,671,000

Retained profit/(loss) carried forward

47,036,000

19,459,000

12,350,000

5,268,000

59,220,000

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

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

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

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

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

TOTAL RESERVES

79,121,000

30,578,000

24,112,000

25,998,000

79,981,000

MINORITY INTEREST

4,680,000

4,485,000

5,180,000

24,429,000

39,035,000

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

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

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

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

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

SHAREHOLDERS' FUNDS/EQUITY

160,009,000

111,271,000

105,500,000

126,635,000

195,224,000

LONG TERM LIABILITIES

Long term loans

3,926,000

5,547,000

8,912,000

5,465,000

171,287,000

Hire purchase creditors

289,000

684,000

1,664,000

-

7,204,000

Deferred taxation

13,998,000

11,514,000

11,346,000

11,201,000

18,905,000

Retirement benefits provision

1,584,000

1,385,000

1,199,000

1,444,000

1,208,000

Others

6,067,000

6,041,000

6,348,000

-

6,512,000

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

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

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

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

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

TOTAL LONG TERM LIABILITIES

25,864,000

25,171,000

29,469,000

18,110,000

205,116,000

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

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

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

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

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

185,873,000

136,442,000

134,969,000

144,745,000

400,340,000

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

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

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

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

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

 

 

 

FINANCIAL RATIO

 

 

 

TYPES OF FUNDS

Cash

26,805,000

23,207,000

7,872,000

9,609,000

14,208,000

Net Liquid Funds

20,827,000

(3,630,000)

(19,619,000)

(115,444,000)

(128,803,000)

Net Liquid Assets

26,670,000

(5,684,000)

(19,505,000)

(354,712,000)

(197,330,000)

Net Current Assets/(Liabilities)

53,007,000

23,859,000

4,183,000

(271,550,000)

(33,255,000)

Net Tangible Assets

167,013,000

116,779,000

110,809,000

119,455,000

364,207,000

Net Monetary Assets

806,000

(30,855,000)

(48,974,000)

(372,822,000)

(402,446,000)

BALANCE SHEET ITEMS

Total Borrowings

12,193,000

37,175,000

43,603,000

349,235,000

391,862,000

Total Liabilities

63,671,000

98,905,000

95,498,000

430,238,000

486,190,000

Total Assets

223,680,000

210,176,000

200,998,000

556,873,000

681,414,000

Net Assets

185,873,000

136,442,000

134,969,000

144,745,000

400,340,000

Net Assets Backing

160,009,000

111,271,000

105,500,000

126,635,000

195,224,000

Shareholders' Funds

160,009,000

111,271,000

105,500,000

126,635,000

195,224,000

Total Share Capital

76,208,000

76,208,000

76,208,000

76,208,000

76,208,000

Total Reserves

79,121,000

30,578,000

24,112,000

25,998,000

79,981,000

LIQUIDITY (Times)

Cash Ratio

0.71

0.31

0.12

0.02

0.05

Liquid Ratio

1.71

0.92

0.70

0.14

0.30

Current Ratio

2.40

1.32

1.06

0.34

0.88

WORKING CAPITAL CONTROL (Days)

Stock Ratio

56

65

56

83

241

Debtors Ratio

63

73

73

40

60

Creditors Ratio

25

30

31

26

40

SOLVENCY RATIOS (Times)

Gearing Ratio

0.08

0.33

0.41

2.76

2.01

Liabilities Ratio

0.40

0.89

0.91

3.40

2.49

Times Interest Earned Ratio

11.88

7.97

0.67

(4.58)

0.68

Assets Backing Ratio

2.19

1.53

1.45

1.57

4.78

PERFORMANCE RATIO (%)

Operating Profit Margin

14.94

13.50

(1.42)

(26.75)

(1.71)

Net Profit Margin

11.78

9.52

(3.94)

(14.77)

0.17

Return On Net Assets

15.14

18.65

3.24

(55.38)

2.27

Return On Capital Employed

13.27

15.03

2.54

(35.02)

1.75

Return On Shareholders' Funds/Equity

12.70

14.09

(5.74)

(42.60)

0.21

Dividend Pay Out Ratio (Times)

0.00

0.55

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.61.86

UK Pound

1

Rs.103.06

Euro

1

Rs.84.92

 

 

INFORMATION DETAILS

 

Report Prepared by :

NNA

 

 

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.