|
Report No. : |
329634 |
|
Report Date : |
02.07.2015 |
IDENTIFICATION DETAILS
|
Name : |
LUVATA MALAYSIA SDN. BHD. |
|
|
|
|
Registered Office : |
Suite 335 A, Johor Tower, Jalan Gereja, 3rd Floor, 80100 Johor Bahru, Johor |
|
|
|
|
Country : |
Malaysia |
|
|
|
|
Financials (as on) : |
31.12.2013 |
|
|
|
|
Date of Incorporation : |
16.01.1997 |
|
|
|
|
Com. Reg. No.: |
417125-K |
|
|
|
|
Legal Form : |
Private Limited (Limited By Share) |
|
|
|
|
Line of Business : |
Manufacturing and dealing of copper products. |
|
|
|
|
No. of Employees : |
300 [2015] |
RATING & COMMENTS
|
MIRA’s Rating : |
B |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Status : |
Moderate |
|
|
|
|
Payment Behaviour : |
Slow but correct |
|
|
|
|
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, 2015
|
Country Name |
Previous Rating (31.12.2014) |
Current Rating (31.03.2015) |
|
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 previously 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. Falling global oil prices in the second half of 2014 have strained government finances, shrunk Malaysia’s current account surplus and put downward pressure on the ringgit. The government is also trying to lessen its dependence on state oil producer Petronas. The oil and gas sector supplied about 29% of government revenue in 2014. 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. Malaysia is a member of the 12-nation Trans-Pacific Partnership free trade agreement negotiations and, with the nine other ASEAN members, will form the ASEAN Economic Community in 2015.
|
Source
: CIA |
|
REGISTRATION
NO. |
: |
417125-K |
|
COMPANY
NAME |
: |
LUVATA
MALAYSIA SDN. BHD. |
|
FORMER
NAME |
: |
OUTOKUMPU
COPPER PRODUCTS (MALAYSIA) SDN BHD (27/06/2006) |
|
INCORPORATION
DATE |
: |
16/01/1997 |
|
COMPANY
STATUS |
: |
EXIST |
|
LEGAL
FORM |
: |
PRIVATE
LIMITED (LIMITED BY SHARE) |
|
LISTED
STATUS |
: |
NO |
|
REGISTERED
ADDRESS |
: |
SUITE
335A, JOHOR TOWER, JALAN GEREJA, 3RD FLOOR, 80100 JOHOR BAHRU, JOHOR,
MALAYSIA. |
|
BUSINESS
ADDRESS |
: |
PLO
573, JALAN KELULI 10, KAWASAN PERINDUSTRIAN PASIR GUDANG, 81700 PASIR GUDANG,
JOHOR, MALAYSIA. |
|
TEL.NO. |
: |
07-2526688 |
|
FAX.NO. |
: |
07-2521336 |
|
WEB
SITE |
: |
WWW.LUVATA.COM |
|
CONTACT
PERSON |
: |
BERNDT
MICHAEL NORDGREN ( MANAGING DIRECTOR ) |
|
INDUSTRY
CODE |
: |
23
|
|
PRINCIPAL
ACTIVITY |
: |
MANUFACTURING
AND DEALING OF COPPER PRODUCTS |
|
AUTHORISED
CAPITAL |
: |
MYR
120,000,000.00 DIVIDED INTO |
|
ISSUED
AND PAID UP CAPITAL |
: |
MYR
120,000,000.00 DIVIDED INTO |
|
SALES |
: |
MYR
755,444,300 [2013] |
|
NET
WORTH |
: |
MYR
196,440,830 [2013] |
|
M1000
OVERALL RANKING |
: |
648[2011] |
|
M1000
INDUSTRY RANKING |
: |
9[2011] |
|
STAFF
STRENGTH |
: |
300
[2015] |
|
BANKER
(S) |
|
MALAYAN
BANKING BHD |
|
LITIGATION |
: |
CLEAR |
|
DEFAULTER
CHECK |
: |
CLEAR |
|
FINANCIAL
CONDITION |
: |
LIMITED |
|
PAYMENT |
: |
AVERAGE |
|
MANAGEMENT
CAPABILITY |
: |
AVERAGE |
|
COMMERCIAL
RISK |
: |
LOW |
|
CURRENCY
EXPOSURE |
: |
HIGH |
|
GENERAL
REPUTATION |
: |
GOOD |
|
INDUSTRY
OUTLOOK |
: |
AVERAGE
GROWTH |
The Subject is a private limited company and is
allowed to have a minimum of one and a maximum of forty-nine shareholders. As a
private limited company, the Subject must have at least two directors. A
private 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, sue or be sued by other companies. The liabilities of the
shareholders are to the extent of the equity they have taken up and the
creditors cannot claim on shareholders' personal assets even if the Subject is
insolvent. The Subject is governed by the Companies Act, 1965 and the company
must file its annual returns, together with its financial statements with the
Registrar of Companies.
The Subject is principally engaged in the (as
a / as an) manufacturing and dealing of copper products.
The
Subject is not listed on Bursa Malaysia (Malaysia Stock Exchange).
|
According
to the Malaysia 1000 publication, the Subject's ranking are as follows: |
|||
|
YEAR |
2011 |
||
|
OVERALL
RANKING |
648 |
||
|
INDUSTRY
RANKING |
9 |
||
The
immediate holding company of the Subject is LUVATA ESPOO OY, a company
incorporated in FINLAND.
Share
Capital History
|
Date |
Authorised
Shared Capital |
Issue
& Paid Up Capital |
|
15/02/2013 |
MYR
120,000,000.00 |
MYR
120,000,000.00 |
|
25/05/1998 |
MYR
120,000,000.00 |
MYR
78,000,000.00 |
|
09/02/1998 |
MYR
120,000,000.00 |
MYR
24,000,000.00 |
|
16/01/1997 |
MYR
100,000.00 |
MYR
2.00 |
The
major shareholder(s) of the Subject are shown as follows :
Name |
Address |
IC/PP/Loc
No |
Shareholding |
(%) |
|
LUVATA
ESPOO OY |
TUULIKUJA
2, FIN-02100, ESPOO, FINLAND. |
XLZ00218330 |
120,000,000.00 |
100.00 |
|
--------------- |
------ |
|||
|
120,000,000.00 |
100.00 |
|||
|
============ |
===== |
+
Also Director
The
Subject's interest in other companies (Subsidiaries/Associates) are shown as
follow :
Local
No |
Country |
Company |
(%) |
As
At |
|
213175H |
MALAYSIA |
AUSTIN
HILLS COUNTRY RESORT BERHAD |
2.00 |
26/11/2014 |
DIRECTOR
1
|
Name
Of Subject |
: |
MR.
EAPEN ABRAHAM A/L K E ABRAHAM |
|
Address |
: |
10,
JALAN LEMBAH 8, BANDAR SERI ALAM, 81750 MASAI, JOHOR, MALAYSIA. |
|
IC
/ PP No |
: |
4793147 |
|
New
IC No |
: |
550404-01-5919 |
|
Date
of Birth |
: |
04/04/1955 |
|
Nationality |
: |
MALAYSIAN |
|
Date
of Appointment |
: |
19/10/2011 |
DIRECTOR
2
|
Name
Of Subject |
: |
MS.
LAU SIEW DEE |
|
Address |
: |
9,
JALAN JELITA 5, TAMAN PELANGI INDAH, 81800 ULU TIRAM, JOHOR, MALAYSIA. |
|
IC
/ PP No |
: |
A0604714 |
|
New
IC No |
: |
670313-01-5856 |
|
Date
of Birth |
: |
13/03/1967 |
|
Nationality |
: |
MALAYSIAN |
|
Date
of Appointment |
: |
19/10/2011 |
DIRECTOR
3
|
Name
Of Subject |
: |
MR.
BERNDT MICHAEL NORDGREN |
|
Address |
: |
B8-W2,
BLOCK B, KONDOMINIUM STRAITS VIEW, JALAN PERMAS SELATAN, TAMAN PERMAS JAYA,
81750 MASAI, JOHOR, MALAYSIA. |
|
IC
/ PP No |
: |
PX4214216 |
|
Nationality |
: |
FINN |
|
Date
of Appointment |
: |
19/10/2011 |
DIRECTOR
4
|
Name
Of Subject |
: |
DATUK
DATUK ABD.RAMAN B.HJ.SAAD |
|
Address |
: |
42,
JALAN JINGGA 4, TAMAN PELANGI, 80400 JOHOR BAHRU, JOHOR, MALAYSIA. |
|
IC
/ PP No |
: |
5635178 |
|
New
IC No |
: |
490402-04-5557 |
|
Date
of Birth |
: |
02/04/1949 |
|
Nationality |
: |
MALAYSIAN |
|
Date
of Appointment |
: |
10/12/1997 |
|
1)
|
Name
of Subject |
: |
BERNDT
MICHAEL NORDGREN |
|
Position |
: |
MANAGING
DIRECTOR |
|
|
2)
|
Name
of Subject |
: |
EAPEN
ABRAHAM |
|
Position |
: |
ACCOUNTANT |
|
|
3)
|
Name
of Subject |
: |
SIA
HENG HUAT |
|
Position |
: |
MARKETING
MANAGER |
|
|
4)
|
Name
of Subject |
: |
GERALDINE
LAU |
|
Position |
: |
HUMAN
RESOURCE MANAGER |
|
|
5)
|
Name
of Subject |
: |
MOHAMED
ARIFF |
|
Position |
: |
PRODUCTION
MANAGER |
|
Auditor |
: |
KPMG |
|
Auditor'
Address |
: |
KPMG
TOWER, 8 FIRST AVENUE, BANDAR UTAMA, LEVEL 10, 47800 PETALING JAYA, SELANGOR,
MALAYSIA. |
|
1)
|
Company
Secretary |
: |
MS.
CHONG SIOW PEI |
|
New
IC No |
: |
790921-01-6322 |
|
|
Address |
: |
26
JALAN TASEK SATU, TAMAN TASEK, 80200 JOHOR BAHRU, JOHOR, MALAYSIA. |
Banking
relations are maintained principally with:
|
1)
|
Name |
: |
MALAYAN
BANKING BHD |
No encumbrance was found in our databank at the time of investigation.
* 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.
* 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.
No blacklisted record & debt collection case was found in our defaulters'
databank.
|
SOURCES
OF RAW MATERIALS: |
|
||||
|
Local |
: |
YES |
Percentage |
: |
40% |
|
Overseas |
: |
YES |
Percentage |
: |
60% |
|
Import
Countries |
: |
ASIA |
|||
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 |
[ |
] |
Average
61-90 Days |
[ |
X |
] |
|||||
|
Fair
91-120 Days |
[ |
] |
Poor
>120 Days |
[ |
] |
|||||||||
|
Local |
: |
YES |
Percentage |
: |
60% |
|
Domestic
Markets |
: |
MALAYSIA |
|||
|
Overseas |
: |
YES |
Percentage |
: |
40% |
|
Export
Market |
: |
AUSTRALIA |
|||
|
Credit
Term |
: |
30
- 60 DAYS |
|||
|
Payment
Mode |
: |
CHEQUES |
|||
|
Type
of Customer |
: |
AUTOMOTIVE
INDUSTRIES,ELECTRICAL & ELECTRONIC INDUSTRIES,TELECOMUNICATION INDUSTRY |
|||
|
Products
manufactured |
: |
|
||
|
Product
Brand Name |
: |
|
||
|
Award |
: |
|
||
|
Member(s)
/ Affiliate(s) |
: |
FEDERATION
OF MALAYSIAN MANUFACTURERS (FMM) SMI
ASSOCIATION OF MALAYSIA THE
ELECTRICAL AND ELECTRONICS ASSOCIATION OF MALAYSIA (TEEAM) MALAYSIA
EXTERNAL TRADE DEVELOPMENT CORPORATION (MATRADE) MALAYSIAN
INTERNATIONAL CHAMBER OF COMMERCE AND INDUSTRY (MICCI) |
||
|
Production
Capacity |
: |
|
|
Total
Number of Employees: |
|
||||||||
|
YEAR |
2015 |
2014 |
2013 |
2012 |
2011 |
||||
|
GROUP |
N/A |
N/A |
N/A |
N/A |
N/A |
||||
|
COMPANY |
300 |
300 |
300 |
270 |
270 |
||||
|
Branch |
: |
|
Other
Information:
The Subject is principally engaged in the (as a / as an) manufacturing and
dealing of copper products.
The Subject is one of the copper product manufacturer for various industrial
applications.
The Subject produces a wide range of products including anodes, brass rod,
profiles, rods & bars, sheets & plates, strips, tubes, welding
products, wire and related products.
The Subject produces its copper products according to its customers'
requirements.
The Subject's products are mainly used in various applications such as
electrical and electronic conductivity, switch gears, electrical appliances,
bus duct.
The Subject is specialises in custom designed plants for surface treatment of
wire and strip as well as treatment of industrial waste water.
The Subject provides its customers with service, maintenance and upgrading of
both surface treatment and waste water treatment plants.
The Subject's production machineries are semi-automated.
Latest
fresh investigations carried out on the Subject indicated that:
|
Telephone
Number Provided By Client |
: |
607
252 8688 |
|
Current
Telephone Number |
: |
07-2526688 |
|
Match |
: |
YES |
|
Address
Provided by Client |
: |
PLO
573, JALAN KELULI 10, KAWASAN PERINDUSTRIAN PASIR GUDANG,81700,PASIR
GUDANG,JOHOR. |
|
Current
Address |
: |
PLO
573, JALAN KELULI 10, KAWASAN PERINDUSTRIAN PASIR GUDANG, 81700 PASIR GUDANG,
JOHOR, MALAYSIA. |
|
Match |
: |
YES |
|
Latest
Financial Accounts |
: |
YES |
Other
Investigations
We contacted one of the staff from the Subject and she provided some information.
|
Profitability |
||||||
|
Turnover |
: |
Erratic |
[ |
2009
- 2013 |
] |
|
|
Profit/(Loss)
Before Tax |
: |
Decreased |
[ |
2009
- 2013 |
] |
|
|
Return
on Shareholder Funds |
: |
Unfavourable |
[ |
(0.70%) |
] |
|
|
Return
on Net Assets |
: |
Unfavourable |
[ |
(0.78%) |
] |
|
|
The
fluctuating turnover reflects the fierce competition among the existing and
new market players.The Subject's profit fell sharply because of the high operating
costs incurred. The Subject's unfavourable returns on shareholders' funds
indicate the management's inefficiency in utilising its assets to generate
returns. |
||||||
|
Working
Capital Control |
||||||
|
Stock
Ratio |
: |
Favourable |
[ |
31
Days |
] |
|
|
Debtor
Ratio |
: |
Favourable |
[ |
47
Days |
] |
|
|
Creditors
Ratio |
: |
Unfavourable |
[ |
70
Days |
] |
|
|
The
Subject's stocks were moving fast thus reducing its holding cost. This had reduced
funds being tied up in stocks. The favourable debtors' days could be due to
the good credit control measures implemented by the Subject. The unfavourable
creditors' ratio could be due to the Subject taking advantage of the credit
granted by its suppliers. However this may affect the goodwill between the
Subject and its suppliers and the Subject may inadvertently have to pay more
for its future supplies. |
||||||
|
Liquidity |
||||||
|
Liquid
Ratio |
: |
Favourable |
[ |
1.29
Times |
] |
|
|
Current
Ratio |
: |
Unfavourable |
[ |
1.72
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 |
: |
Unfavourable |
[ |
0.91
Times |
] |
|
|
Gearing
Ratio |
: |
Favourable |
[ |
0.00
Times |
] |
|
|
The
Subject's interest cover was low. If its profits fall or when interest rate
rises, it may not be able to meet all its interest payment. The Subject
had no gearing and hence it had virtually no financial risk. The Subject was
financed by its shareholders' funds and internally generated fund. During the
economic downturn, the Subject, having a zero gearing, will be able to
compete better than those which are highly geared in the same industry. |
||||||
|
Overall
Assessment : |
||||||
|
The
Subject recorded lower profits as its turnover showed a erratic trend. The Subject's
management was unable to control its costs efficiently as its profit showed a
downward trend. 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. If there is a fall in the Subject's profit or any increase in
interest rate, the Subject may not be able to generate sufficient cash-flow
to service its interest. The Subject was a zero gearing company, it was
solely dependant on its shareholders to provide funds to finance its
business. The Subject has good chance of getting loans, if the needs arises. |
||||||
|
Overall
financial condition of the Subject : LIMITED |
||||||
|
Major
Economic Indicators: |
2011 |
2012 |
2013 |
2014* |
2015** |
|
Population
( Million) |
28.7 |
29.3 |
29.8 |
30.3 |
30.5 |
|
Gross
Domestic Products ( % ) |
5.1 |
5.6 |
5.3 |
6.0 |
6.0 |
|
Domestic
Demand ( % ) |
8.2 |
9.4 |
5.6 |
6.4 |
6.2 |
|
Private
Expenditure ( % ) |
8.2 |
8.0 |
8.6 |
7.9 |
6.9 |
|
Consumption
( % ) |
7.1 |
1.0 |
5.7 |
6.5 |
5.6 |
|
Investment
( % ) |
12.2 |
11.7 |
13.3 |
12.0 |
10.7 |
|
Public
Expenditure ( % ) |
8.4 |
13.3 |
4.4 |
2.3 |
4.2 |
|
Consumption
( % ) |
16.1 |
11.3 |
(1.2) |
2.1 |
3.8 |
|
Investment
( % ) |
(0.3) |
15.9 |
4.2 |
2.6 |
4.7 |
|
Balance
of Trade ( MYR Million ) |
116,058 |
106,300 |
71,298 |
52,314 |
- |
|
Government
Finance ( MYR Million ) |
(45,511) |
(42,297) |
(39,993) |
(37,291) |
- |
|
Government
Finance to GDP / Fiscal Deficit ( % ) |
(5.4) |
(4.5) |
(4.0) |
(3.5) |
(3.0) |
|
Inflation
( % Change in Composite CPI) |
3.1 |
1.6 |
2.5 |
3.3 |
4.0 |
|
Unemployment
Rate |
3.3 |
3.2 |
3.0 |
3.0 |
3.0 |
|
Net
International Reserves ( MYR Billion ) |
415 |
427 |
- |
417 |
- |
|
Average
Risk-Weighted Capital Adequacy Ratio ( % ) |
3.50 |
2.20 |
- |
- |
- |
|
Average
3 Months of Non-performing Loans ( % ) |
14.80 |
14.70 |
- |
- |
- |
|
Average
Base Lending Rate ( % ) |
6.60 |
6.53 |
6.53 |
- |
- |
|
Business
Loans Disbursed( % ) |
15.3 |
32.2 |
- |
- |
- |
|
Foreign
Investment ( MYR Million ) |
23,546.1 |
26,230.4 |
38,238.0 |
- |
- |
|
Consumer
Loans ( % ) |
- |
- |
- |
- |
- |
|
Registration
of New Companies ( No. ) |
45,455 |
45,441 |
46,321 |
- |
- |
|
Registration
of New Companies ( % ) |
3.0 |
(0.0) |
1.9 |
- |
- |
|
Liquidation
of Companies ( No. ) |
132,485 |
17,092 |
26,430 |
- |
- |
|
Liquidation
of Companies ( % ) |
417.8 |
(87.1) |
54.6 |
- |
- |
|
Registration
of New Business ( No. ) |
284,598 |
324,761 |
329,895 |
- |
- |
|
Registration
of New Business ( % ) |
5.0 |
14.0 |
2.0 |
- |
- |
|
Business
Dissolved ( No. ) |
20,121 |
20,380 |
18,161 |
- |
- |
|
Business
Dissolved ( % ) |
1.9 |
1.3 |
(10.9) |
- |
- |
|
Sales
of New Passenger Cars (' 000 Unit ) |
535.1 |
552.2 |
576.7 |
598.4 |
610.3 |
|
Cellular
Phone Subscribers ( Million ) |
35.3 |
38.5 |
43.0 |
43.8 |
- |
|
Tourist
Arrival ( Million Persons ) |
24.7 |
25.0 |
25.7 |
28.0 |
- |
|
Hotel
Occupancy Rate ( % ) |
60.6 |
62.4 |
62.6 |
- |
- |
|
Credit
Cards Spending ( % ) |
15.6 |
12.6 |
- |
- |
- |
|
Bad
Cheque Offenders (No.) |
32,627 |
26,982 |
28,876 |
- |
- |
|
Individual
Bankruptcy ( No.) |
19,167 |
19,575 |
21,984 |
- |
- |
|
Individual
Bankruptcy ( % ) |
5.8 |
2.1 |
12.3 |
- |
- |
|
INDUSTRIES
( % of Growth ): |
2011 |
2012 |
2013 |
2014* |
2015** |
|
Agriculture |
5.8 |
1.0 |
2.1 |
3.8 |
3.1 |
|
Palm
Oil |
10.8 |
(0.3) |
2.6 |
6.7 |
- |
|
Rubber |
6.1 |
(7.9) |
(10.1) |
(10.4) |
- |
|
Forestry
& Logging |
(7.6) |
(4.5) |
(7.8) |
(4.2) |
- |
|
Fishing |
2.1 |
4.3 |
1.6 |
2.7 |
- |
|
Other
Agriculture |
7.1 |
6.4 |
8.2 |
6.2 |
- |
|
Industry
Non-Performing Loans ( MYR Million ) |
634.1 |
- |
- |
- |
- |
|
%
of Industry Non-Performing Loans |
3.2 |
- |
- |
- |
- |
|
Mining |
(5.4) |
1.4 |
0.9 |
(0.8) |
2.8 |
|
Oil
& Gas |
(1.7) |
- |
- |
- |
- |
|
Other
Mining |
- |
- |
- |
- |
- |
|
Industry
Non-performing Loans ( MYR Million ) |
46.5 |
- |
- |
- |
- |
|
%
of Industry Non-performing Loans |
0.1 |
- |
- |
- |
- |
|
Manufacturing
# |
4.7 |
4.8 |
3.4 |
6.6 |
5.5 |
|
Exported-oriented
Industries |
4.1 |
6.5 |
3.3 |
5.6 |
- |
|
Electrical
& Electronics |
(4.0) |
12.7 |
6.9 |
13.3 |
- |
|
Rubber
Products |
20.7 |
3.0 |
11.7 |
(0.3) |
- |
|
Wood
Products |
(5.1) |
8.7 |
(2.7) |
5.1 |
- |
|
Textiles
& Apparel |
13.2 |
(7.1) |
(2.6) |
11.5 |
- |
|
Domestic-oriented
Industries |
10.7 |
1.7 |
6.8 |
9.4 |
- |
|
Food,
Beverages & Tobacco |
4.80 |
2.70 |
3.60 |
6.13 |
6.13 |
|
Chemical
& Chemical Products |
10.0 |
10.8 |
5.6 |
- |
- |
|
Plastic
Products |
3.8 |
- |
- |
- |
- |
|
Iron
& Steel |
2.2 |
(6.6) |
5.0 |
0.1 |
- |
|
Fabricated
Metal Products |
21.8 |
13.8 |
9.9 |
2.9 |
- |
|
Non-metallic
Mineral |
12.1 |
2.9 |
(2.0) |
5.4 |
- |
|
Transport
Equipment |
12.0 |
3.4 |
13.8 |
22.9 |
- |
|
Paper
& Paper Products |
9.5 |
3.1 |
1.8 |
4.7 |
- |
|
Crude
Oil Refineries |
9.3 |
- |
- |
- |
- |
|
Industry
Non-Performing Loans ( MYR Million ) |
6,537.2 |
- |
- |
- |
- |
|
%
of Industry Non-Performing Loans |
25.7 |
- |
- |
- |
- |
|
Construction |
4.7 |
18.6 |
10.9 |
12.7 |
10.7 |
|
Industry
Non-Performing Loans ( MYR Million ) |
3,856.9 |
- |
- |
- |
- |
|
%
of Industry Non-Performing Loans |
10.2 |
- |
- |
- |
- |
|
Services |
7.1 |
6.4 |
5.9 |
5.9 |
5.6 |
|
Electric,
Gas & Water |
3.5 |
4.4 |
4.2 |
3.6 |
3.9 |
|
Transport,
Storage & Communication |
6.50 |
7.10 |
7.30 |
7.50 |
7.15 |
|
Wholesale,
Retail, Hotel & Restaurant |
5.2 |
4.7 |
5.9 |
6.9 |
6.5 |
|
Finance,
Insurance & Real Estate |
6.90 |
9.70 |
3.70 |
4.65 |
4.25 |
|
Government
Services |
12.4 |
9.4 |
8.3 |
6.1 |
5.6 |
|
Other
Services |
5.1 |
3.9 |
5.1 |
4.8 |
4.5 |
|
Industry
Non-Performing Loans ( MYR Million ) |
6,825.2 |
- |
- |
- |
- |
|
%
of Industry Non-Performing Loans |
23.4 |
- |
- |
- |
- |
|
*
Estimate / Preliminary |
|||||
|
**
Forecast |
|||||
|
#
Based On Manufacturing Production Index
|
|||||
|
MSIC
CODE |
|
|
23
: MANUFACTURE OF OTHER NON-METALLIC MINERAL PRODUCTS |
|
|
INDUSTRY
: |
MANUFACTURING |
|
The
manufacturing sector is expected to grow by 5.5% in 2015. It will be
bolstered by strong domestic and export-oriented industries in line with
growing investment activities and favorable external demand. Moreover, in
2014, the manufacturing sectors have spearheading growth. The manufacturing
sector is estimated to grow at a faster pace in 2014 on higher exports of
electronics and electrical (E&E) products as external demand improves. |
|
|
The
manufacturing sector expanded strongly during the first half of 2014, the
highest growth in three years, spurred by higher global semiconductor sales.
Value-added of the manufacturing sector expanded 7.1% during the first half
of 2014. Production of the sector rose 6.6% in the first seven months of 2014
supported by resilient domestic demand and recovery in the external sector
during the first seven months of the years. The sales value of manufactured
products rebounded by 7.7% in the first seven months of 2014. The strong
performance of the sector was on account of higher output at 9.4% from the
domestic-oriented industries, particularly transport equipment, food and
beverage. |
|
|
The
manufacturing sector continued to attract domestic and foreign investment
with investment approved by Malaysian Investment Development Authority (MIDA)
totaling RM47.4 billion during the first six months of 2014, mainly from
Japan, China and Germany. Meanwhile, the capacity utilization rate remained
steady at 80.4% during the second quarter of 2014 while average wage per
employee and productivity improved to RM2,772 per month and 5.9%,
respectively during the first seven months of 2014. Boosted by favorable
domestic economic activity and recovery in the external sector, the manufacturing
sector is expected to record a better performance with growth of 6.4% in
2014. |
|
|
In
the meantime, production of wood products rebounded by 5.1% largely supported
by higher output in the saw-milling and planning of wood segment at 25.9% during
the first seven months of 2014. The positive performance was attributed to
vibrant residential and commercial construction activities which contributed
to increased use of timber frame and glued laminated timber for cost savings
compared to the use of concrete and steel. Increased demand from major export
destination such as the US, Japan and Australia for Malaysian made furniture
contributed to the higher output, particularly wooden and cane furniture
which rebounded by 2.2%. |
|
|
Production
of rubber products contracted 0.3% in the first seven months of 2014 on
account of slower demand for rubber gloves and rubber tyres. The decline in
rubber tyres for vehicles was due to the weaker external demand from the
automotive industry, particularly from China. Output of other rubber products
contracted 3.8% following the product shift from rubber-based to plastics,
silicones and metal alloys in the manufacture of medical devices. |
|
|
Besides,
exports of manufactured products are expected to grow 6.1% in 2014 boosted by
the growing demand from advanced economies. However, during the first seven
months of 2014, manufactured exports surged 11.4%. The robust growth was
buoyed by strengthening demand in the US and EU, reflecting significant
exposure of Malaysian exports to the economic performance in the advance
economies. The strength in export was broad-based with robust growth in both
E&E and non- E&E subsectors. |
|
|
Under
budget 2015, the Government will provide incentive in the form of capital allowance
on automation expenditure to encourage automation in the manufacturing
sector, which may help in the manufacturing sector. |
|
|
OVERALL
INDUSTRY OUTLOOK : Average Growth |
|
Incorporated in 1997, the Subject is a Private Limited company, focusing
on manufacturing and dealing of copper products. With its long establishment in
the market, the Subject has received strong support from its stable customers
base. Its business position in the market is quite stable and it is expected to
enjoy better market shares over its rivals. The Subject is a large entity with
strong capital position of MYR 120,000,000. We are confident with the Subject's
business and its future growth prospect. With a strong backing from its holding
company, the Subject enjoys timely financial assistance should the needs arise.
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. The
Subject is a fairly large and rapidly growing company with over 300 staff in
its operations 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. To improve its quality
products and services, we noted that the Subject has received a number of
certifications & awards. This will improve the customer's confidence level
to the Subject.
Financially, the Subject registered a higher turnover compared to previous
year. However, its profits showed a reverse trend. The lower profit achieved
was a result of higher operating cost and increased competition. The Subject
has generated an unfavourable return on shareholders' funds indicating that the
management was inefficient in utilising its funds to generate return. 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 zero geared company, the Subject virtually
has no financial risk as it is mainly dependent on its internal funds to
finance its business. Given a positive net worth standing at MYR 196,440,830,
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.
The Subject's payment habit is average. With its adequate working capital, the
Subject should be able to pay its short term debts.
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
normally.
|
THE FINANCIAL
STATEMENTS WERE PREPARED IN ACCORDANCE WITH MALAYSIAN FINANCIAL REPORTING
STANDARDS(FRS) |
|
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 |
Company |
Company |
Company |
Company |
Company |
|
Audited
Account |
YES |
YES |
YES |
YES |
YES |
|
Unqualified
Auditor's Report (Clean Opinion) |
YES |
YES |
YES |
YES |
YES |
|
Financial
Type |
FULL |
FULL |
FULL |
FULL |
FULL |
|
Currency |
MYR |
MYR |
MYR |
MYR |
MYR |
|
TURNOVER |
755,444,300 |
736,360,230 |
952,254,451 |
816,247,283 |
514,211,182 |
|
Other
Income |
868,938 |
2,285,786 |
2,165,223 |
6,194,683 |
4,991,237 |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
Total
Turnover |
756,313,238 |
738,646,016 |
954,419,674 |
822,441,966 |
519,202,419 |
|
Costs
of Goods Sold |
(733,659,717) |
(703,276,929) |
(912,654,674) |
(775,144,731) |
(450,417,569) |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
Gross
Profit |
22,653,521 |
35,369,087 |
41,765,000 |
47,297,235 |
68,784,850 |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
PROFIT/(LOSS)
FROM OPERATIONS |
156,076 |
13,883,659 |
15,818,018 |
23,256,081 |
51,507,277 |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
PROFIT/(LOSS)
BEFORE TAXATION |
156,076 |
13,883,659 |
15,818,018 |
23,256,081 |
51,507,277 |
|
Taxation |
(1,536,794) |
(1,094,890) |
(3,014,447) |
(647,292) |
(6,249,657) |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
PROFIT/(LOSS)
AFTER TAXATION |
(1,380,718) |
12,788,769 |
12,803,571 |
22,608,789 |
45,257,620 |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
RETAINED
PROFIT/(LOSS) BROUGHT FORWARD |
|||||
|
As
previously reported |
77,821,548 |
65,032,779 |
52,229,208 |
29,620,419 |
(15,637,201) |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
As
restated |
77,821,548 |
65,032,779 |
52,229,208 |
29,620,419 |
(15,637,201) |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
PROFIT
AVAILABLE FOR APPROPRIATIONS |
76,440,830 |
77,821,548 |
65,032,779 |
52,229,208 |
29,620,419 |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
RETAINED
PROFIT/(LOSS) CARRIED FORWARD |
76,440,830 |
77,821,548 |
65,032,779 |
52,229,208 |
29,620,419 |
|
============= |
============= |
============= |
============= |
============= |
|
|
INTEREST
EXPENSE (as per notes to P&L) |
|||||
|
Others |
(1,683,202) |
(2,196,762) |
(5,078,186) |
3,267,987 |
428,198 |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
(1,683,202) |
(2,196,762) |
(5,078,186) |
3,267,987 |
428,198 |
|
|
============= |
============= |
============= |
============= |
============= |
|
|
DEPRECIATION
(as per notes to P&L) |
9,563,187 |
9,209,468 |
7,932,363 |
7,034,134 |
6,332,664 |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
9,563,187 |
9,209,468 |
7,932,363 |
7,034,134 |
6,332,664 |
|
|
============= |
============= |
============= |
============= |
============= |
|
ASSETS
EMPLOYED: |
|||||
|
FIXED
ASSETS |
88,799,163 |
93,950,746 |
107,271,587 |
92,031,745 |
84,106,338 |
|
Deferred
assets |
- |
1,117,000 |
2,209,000 |
5,267,000 |
5,891,000 |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
TOTAL
LONG TERM INVESTMENTS/OTHER ASSETS |
- |
1,117,000 |
2,209,000 |
5,267,000 |
5,891,000 |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
TOTAL
LONG TERM ASSETS |
88,799,163 |
95,067,746 |
109,480,587 |
97,298,745 |
89,997,338 |
|
Stocks |
64,780,642 |
103,856,242 |
69,284,298 |
30,476,211 |
37,453,921 |
|
Trade
debtors |
97,966,704 |
101,722,911 |
137,044,573 |
114,317,067 |
78,409,671 |
|
Other
debtors, deposits & prepayments |
864,999 |
1,387,411 |
1,091,412 |
811,655 |
1,133,048 |
|
Amount
due from related companies |
733,615 |
852,439 |
805,527 |
651,686 |
585,873 |
|
Cash
& bank balances |
92,867,390 |
38,466,307 |
24,300,933 |
13,762,800 |
12,639,511 |
|
Others |
108,435 |
133,027 |
119,802 |
69,024 |
1,097 |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
TOTAL
CURRENT ASSETS |
257,321,785 |
246,418,337 |
232,646,545 |
160,088,443 |
130,223,121 |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
TOTAL
ASSET |
346,120,948 |
341,486,083 |
342,127,132 |
257,387,188 |
220,220,459 |
|
============= |
============= |
============= |
============= |
============= |
|
|
CURRENT
LIABILITIES |
|||||
|
Trade
creditors |
139,945,862 |
109,996,467 |
57,698,663 |
27,691,827 |
11,530,776 |
|
Other
creditors & accruals |
7,574,247 |
7,601,509 |
15,986,318 |
5,521,244 |
4,319,642 |
|
Short
term borrowings/Term loans |
- |
13,761,000 |
15,230,400 |
- |
- |
|
Amounts
owing to holding company |
1,223,738 |
12,021,404 |
67,699,686 |
37,721,699 |
675,798 |
|
Amounts
owing to related companies |
437,271 |
284,155 |
479,286 |
432,065 |
273,235 |
|
Other
liabilities |
- |
- |
- |
- |
20,236,096 |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
TOTAL
CURRENT LIABILITIES |
149,181,118 |
143,664,535 |
157,094,353 |
71,366,835 |
37,035,547 |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
NET
CURRENT ASSETS/(LIABILITIES) |
108,140,667 |
102,753,802 |
75,552,192 |
88,721,608 |
93,187,574 |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
TOTAL
NET ASSETS |
196,939,830 |
197,821,548 |
185,032,779 |
186,020,353 |
183,184,912 |
|
============= |
============= |
============= |
============= |
============= |
|
|
SHARE
CAPITAL |
|||||
|
Ordinary
share capital |
120,000,000 |
120,000,000 |
120,000,000 |
120,000,000 |
120,000,000 |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
TOTAL
SHARE CAPITAL |
120,000,000 |
120,000,000 |
120,000,000 |
120,000,000 |
120,000,000 |
|
Retained
profit/(loss) carried forward |
76,440,830 |
77,821,548 |
65,032,779 |
52,229,208 |
29,620,419 |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
TOTAL
RESERVES |
76,440,830 |
77,821,548 |
65,032,779 |
52,229,208 |
29,620,419 |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
SHAREHOLDERS'
FUNDS/EQUITY |
196,440,830 |
197,821,548 |
185,032,779 |
172,229,208 |
149,620,419 |
|
Deferred
taxation |
499,000 |
- |
- |
- |
- |
|
Others |
- |
- |
- |
13,791,145 |
33,564,493 |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
TOTAL
LONG TERM LIABILITIES |
499,000 |
- |
- |
13,791,145 |
33,564,493 |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
196,939,830 |
197,821,548 |
185,032,779 |
186,020,353 |
183,184,912 |
|
|
============= |
============= |
============= |
============= |
============= |
|
|
TYPES
OF FUNDS |
|||||
|
Cash |
92,867,390 |
38,466,307 |
24,300,933 |
13,762,800 |
12,639,511 |
|
Net
Liquid Funds |
92,867,390 |
38,466,307 |
24,300,933 |
13,762,800 |
12,639,511 |
|
Net
Liquid Assets |
43,360,025 |
(1,102,440) |
6,267,894 |
58,245,397 |
55,733,653 |
|
Net
Current Assets/(Liabilities) |
108,140,667 |
102,753,802 |
75,552,192 |
88,721,608 |
93,187,574 |
|
Net
Tangible Assets |
196,939,830 |
197,821,548 |
185,032,779 |
186,020,353 |
183,184,912 |
|
Net
Monetary Assets |
42,861,025 |
(1,102,440) |
6,267,894 |
44,454,252 |
22,169,160 |
|
PROFIT
& LOSS ITEMS |
|||||
|
Earnings
Before Interest & Tax (EBIT) |
(1,527,126) |
11,686,897 |
10,739,832 |
26,524,068 |
51,935,475 |
|
Earnings
Before Interest, Taxes, Depreciation And Amortization (EBITDA) |
8,036,061 |
20,896,365 |
18,672,195 |
33,558,202 |
58,268,139 |
|
BALANCE
SHEET ITEMS |
|||||
|
Total
Borrowings |
0 |
13,761,000 |
15,230,400 |
0 |
0 |
|
Total
Liabilities |
149,680,118 |
143,664,535 |
157,094,353 |
85,157,980 |
70,600,040 |
|
Total
Assets |
346,120,948 |
341,486,083 |
342,127,132 |
257,387,188 |
220,220,459 |
|
Net
Assets |
196,939,830 |
197,821,548 |
185,032,779 |
186,020,353 |
183,184,912 |
|
Net
Assets Backing |
196,440,830 |
197,821,548 |
185,032,779 |
172,229,208 |
149,620,419 |
|
Shareholders'
Funds |
196,440,830 |
197,821,548 |
185,032,779 |
172,229,208 |
149,620,419 |
|
Total
Share Capital |
120,000,000 |
120,000,000 |
120,000,000 |
120,000,000 |
120,000,000 |
|
Total
Reserves |
76,440,830 |
77,821,548 |
65,032,779 |
52,229,208 |
29,620,419 |
|
LIQUIDITY
(Times) |
|||||
|
Cash
Ratio |
0.62 |
0.27 |
0.15 |
0.19 |
0.34 |
|
Liquid
Ratio |
1.29 |
0.99 |
1.04 |
1.82 |
2.50 |
|
Current
Ratio |
1.72 |
1.72 |
1.48 |
2.24 |
3.52 |
|
WORKING
CAPITAL CONTROL (Days) |
|||||
|
Stock
Ratio |
31 |
51 |
27 |
14 |
27 |
|
Debtors
Ratio |
47 |
50 |
53 |
51 |
56 |
|
Creditors
Ratio |
70 |
57 |
23 |
13 |
9 |
|
SOLVENCY
RATIOS (Times) |
|||||
|
Gearing
Ratio |
0.00 |
0.07 |
0.08 |
0.00 |
0.00 |
|
Liabilities
Ratio |
0.76 |
0.73 |
0.85 |
0.49 |
0.47 |
|
Times
Interest Earned Ratio |
0.91 |
(5.32) |
(2.11) |
8.12 |
121.29 |
|
Assets
Backing Ratio |
1.64 |
1.65 |
1.54 |
1.55 |
1.53 |
|
PERFORMANCE
RATIO (%) |
|||||
|
Operating
Profit Margin |
0.02 |
1.89 |
1.66 |
2.85 |
10.02 |
|
Net
Profit Margin |
(0.18) |
1.74 |
1.34 |
2.77 |
8.80 |
|
Return
On Net Assets |
(0.78) |
5.91 |
5.80 |
14.26 |
28.35 |
|
Return
On Capital Employed |
(0.78) |
5.91 |
5.80 |
14.26 |
28.35 |
|
Return
On Shareholders' Funds/Equity |
(0.70) |
6.46 |
6.92 |
13.13 |
30.25 |
|
Dividend
Pay Out Ratio (Times) |
0.00 |
0.00 |
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.63.62 |
|
UK Pound |
1 |
Rs.99.89 |
|
Euro |
1 |
Rs.70.77 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAR |
|
|
|
|
Report Prepared
by : |
VNT |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.