|
Report No. : |
347650 |
|
Report Date : |
30.10.2015 |
IDENTIFICATION DETAILS
|
Name : |
AIK CHEE FURNITURE SDN. BHD. |
|
|
|
|
Registered Office : |
15-A, Jalan Bakri Jaya 1, Taman Bakri Jaya, 84200 Muar, Johor |
|
|
|
|
Country : |
Malaysia |
|
|
|
|
Financials (as on) : |
31.12.2013 |
|
|
|
|
Date of Incorporation : |
24.04.2001 |
|
|
|
|
Com. Reg. No.: |
546315-H |
|
|
|
|
Legal Form : |
Private Limited |
|
|
|
|
Line of Business : |
Subject is engaged in manufacturing of cabinets, dining sets |
|
|
|
|
No. of Employee : |
Not Available |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Status : |
Satisfactory |
|
|
|
|
Payment Behaviour : |
No complaints |
|
|
|
|
Litigation : |
Clear |
NOTES :
Any query related to this report can be made on
e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – March 31, 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. Malaysia is vulnerable to a fall in world commodity prices or a general slowdown in global economic activity.
The NAJIB administration 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. Gross exports of goods and services constitute more than 80% of GDP. The oil and gas sector supplied about 29% of government revenue in 2014. 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 trying to lessen its dependence on state oil producer Petronas.
Bank Negara Malaysia (the central bank) maintains healthy foreign exchange reserves; a well-developed regulatory regime has limited Malaysia's exposure to riskier financial instruments and the global financial crisis. In order to attract increased investment, NAJIB 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 |
EXECUTIVE
SUMMARY
|
|
REGISTRATION
NO. |
: |
546315-H |
||||
|
COMPANY
NAME |
: |
AIK
CHEE FURNITURE SDN. BHD. |
||||
|
FORMER
NAME |
: |
N/A |
||||
|
INCORPORATION
DATE |
: |
27/04/2001 |
||||
|
COMPANY
STATUS |
: |
EXIST |
||||
|
LEGAL
FORM |
: |
PRIVATE
LIMITED |
||||
|
LISTED
STATUS |
: |
NO |
||||
|
REGISTERED
ADDRESS |
: |
15-A,
JALAN BAKRI JAYA 1, TAMAN BAKRI JAYA, 84200 MUAR, JOHOR, MALAYSIA. |
||||
|
BUSINESS
ADDRESS |
: |
LOT
PTD 11667, KAWASAN PERINDUSTRIAN GRISEK, 84700 MUAR, JOHOR, MALAYSIA. |
||||
|
TEL.NO. |
: |
06-9728000 |
||||
|
FAX.NO. |
: |
06-9727855 |
||||
|
EMAIL |
: |
AIKCHEE@AIKCHEE.COM.MY |
||||
|
WEB
SITE |
: |
WWW.AIKCHEE.COM.MY |
||||
|
CONTACT
PERSON |
: |
TEE
SENG CHEE ( MANAGING DIRECTOR ) |
||||
|
INDUSTRY
CODE |
: |
31
|
||||
|
PRINCIPAL
ACTIVITY |
: |
MANUFACTURING
OF CABINETS, DINING SETS |
||||
|
AUTHORISED
CAPITAL |
: |
MYR
5,000,000.00 DIVIDED INTO |
||||
|
ISSUED
AND PAID UP CAPITAL |
: |
MYR
2,000,000.00 DIVIDED INTO |
||||
|
SALES |
: |
MYR
44,089,839 [2013] |
||||
|
NET
WORTH |
: |
MYR
8,835,365 [2013] |
||||
|
STAFF
STRENGTH |
: |
N/A |
||||
|
||||||
|
LITIGATION |
: |
CLEAR |
||||
|
DEFAULTER
CHECK |
: |
CLEAR |
||||
|
FINANCIAL
CONDITION |
: |
FAIR |
||||
|
PAYMENT |
: |
AVERAGE |
||||
|
MANAGEMENT
CAPABILITY |
: |
AVERAGE |
||||
|
COMMERCIAL
RISK |
: |
LOW |
||||
|
CURRENCY
EXPOSURE |
: |
MODERATE |
||||
|
GENERAL
REPUTATION |
: |
SATISFACTORY |
||||
|
INDUSTRY
OUTLOOK |
: |
MARGINAL
GROWTH |
||||
HISTORY / BACKGROUND
|
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 of cabinets, dining sets.
The Subject is not listed on Bursa Malaysia (Malaysia Stock Exchange).
Share
Capital History
|
Date |
Authorised
Shared Capital |
Issue
& Paid Up Capital |
|
28/06/2014 |
MYR
5,000,000.00 |
MYR
2,000,000.00 |
|
10/04/2006 |
MYR
5,000,000.00 |
MYR
1,500,000.00 |
|
12/08/2005 |
MYR
1,000,000.00 |
MYR
900,000.00 |
|
08/07/2003 |
MYR
1,000,000.00 |
MYR
760,000.00 |
|
25/09/2001 |
MYR
100,000.00 |
MYR
100,000.00 |
The
major shareholder(s) of the Subject are shown as follows :
Name |
Address |
IC/PP/Loc
No |
Shareholding |
(%) |
|
MR.
TEE SENG CHEE + |
154,
JALAN 7, TAMAN MAS MERAH, SUNGAI ABONG, 84000 MUAR, JOHOR, MALAYSIA. |
721030-01-5933
A2332508 |
1,000,000.00 |
50.00 |
|
MR.
NG KOON AIK + |
98,
JALAN BINTANG EMAS, LORONG 8, BLOK A, BUKIT PASIR, 84300 MUAR, JOHOR,
MALAYSIA. |
700913-01-5467
A1645043 |
1,000,000.00 |
50.00 |
|
--------------- |
------ |
|||
|
2,000,000.00 |
100.00 |
|||
|
============ |
===== |
+ Also Director
DIRECTORS
|
DIRECTOR
1
|
Name
Of Subject |
: |
MR.
TEE SENG CHEE |
|
Address |
: |
154,
JALAN 7, TAMAN MAS MERAH, SUNGAI ABONG, 84000 MUAR, JOHOR, MALAYSIA. |
|
IC
/ PP No |
: |
A2332508 |
|
New
IC No |
: |
721030-01-5933 |
|
Date
of Birth |
: |
30/10/1972 |
|
Nationality |
: |
MALAYSIAN |
|
Date
of Appointment |
: |
27/04/2001 |
DIRECTOR
2
|
Name
Of Subject |
: |
MR.
NG KOON AIK |
|
|
Address |
: |
98,
JALAN BINTANG EMAS, LORONG 8, BLOK A, BUKIT PASIR, 84300 MUAR, JOHOR,
MALAYSIA. |
|
|
IC
/ PP No |
: |
A1645043 |
|
|
New
IC No |
: |
700913-01-5467 |
|
|
Date
of Birth |
: |
13/09/1970 |
|
|
Nationality |
: |
MALAYSIAN |
|
|
Date
of Appointment |
: |
27/04/2001 |
|
MANAGEMENT
|
|||
|
1)
|
Name
of Subject |
: |
TEE
SENG CHEE |
|
Position |
: |
MANAGING
DIRECTOR |
|
|
2)
|
Name
of Subject |
: |
OOI |
|
Position |
: |
FINANCE
MANAGER |
|
|
|
AUDITOR
|
|||||||
|
Auditor |
: |
LEE
& TAN ASSOCIATES |
|||||
|
Auditor'
Address |
: |
3A,
JALAN SETIA JAYA, TAMAN SETIA JAYA, OFF JALAN TAN SWEE HOE, 83000 BATU PAHAT,
JOHOR, MALAYSIA. |
|||||
COMPANY
SECRETARIES
|
|
||||||
|
1)
|
Company
Secretary |
: |
MS.
TAN HWEE DU |
||||
|
New
IC No |
: |
870424-01-5062 |
|||||
|
Address |
: |
LOT
3826-1, JALAN UTARA, BUKIT BAKRI, 84200 MUAR, JOHOR, MALAYSIA. |
|||||
|
|
|||||||
BANKING
|
Banking relations are maintained principally with :
|
1)
|
Name |
: |
MALAYAN
BANKING BHD |
ENCUMBRANCE (S)
|
|
Charge
No |
Creation
Date |
Charge
Description |
Chargee
Name |
Total
Charge |
Status |
|
1 |
08/11/2002 |
N/A |
PUBLIC
BANK BERHAD |
MYR
610,000.00 |
Satisfied |
|
2 |
08/09/2003 |
N/A |
MALAYAN
BANKING BERHAD |
MYR
4,590,000.00 |
Satisfied |
|
3 |
15/12/2003 |
1ST
PARTY 1ST & 2ND LEGAL CHARGE |
MALAYAN
BANKING BERHAD |
MYR
4,590,000.00 |
Unsatisfied |
|
4 |
01/06/2004 |
1ST
PARTY 1ST LEGAL CHARGE & 1ST PARTY 3RD LEGAL CHARGE |
MALAYAN
BANKING BERHAD |
MYR
690,000.00 |
Unsatisfied |
|
6 |
27/06/2005 |
N/A |
MALAYAN
BANKING BHD |
MYR
2,200,000.00 |
Satisfied |
|
5 |
29/06/2005 |
1ST
PARTY 4TH & 5TH LEGAL CHARGE |
MALAYAN
BANKING BERHAD |
MYR
6,200,000.00 |
Unsatisfied |
|
7 |
29/09/2005 |
1ST
DEBENTURE |
MALAYAN
BANKING BERHAD |
MYR
300,000.00 |
Unsatisfied |
|
9 |
20/04/2006 |
1ST
PARTY LEGAL CHARGE |
MALAYAN
BANKING BERHAD |
MYR
34,120,000.00 |
Unsatisfied |
|
8 |
21/04/2006 |
N/A |
MALAYAN
BANKING BHD |
MYR
5,440,000.00 |
Satisfied |
|
10 |
12/04/2007 |
FACILITY
AGREEMENT & DEBENTURES |
MALAYAN
BANKING BERHAD |
MYR
6,400,000.00 |
Unsatisfied |
|
11 |
04/04/2011 |
1ST
PARTY 3RD & 8TH LEGAL CHARGE AND 11TH DEBENTURE |
MAYBANK
ISLAMIC BERHAD |
MYR
1,500,000.00 |
Unsatisfied |
|
12 |
22/06/2011 |
1ST
PARTY 4TH & 9TH LEGAL CHARGE |
MALAYAN
BANKING BERHAD |
MYR
1,000,000.00 |
Unsatisfied |
|
13 |
25/03/2013 |
1ST
PARTY 5TH & 10TH LEGAL CHARGE AND DEBENTURE |
MALAYAN
BANKING BERHAD |
MYR
500,000.00 |
Unsatisfied |
|
14 |
22/10/2013 |
FACILITY
AGREEMENT & CHARGE |
MALAYAN
BANKING BERHAD |
- |
Unsatisfied |
|
15 |
18/04/2014 |
FIRST
PARTY CHARGE |
PUBLIC
ISLAMIC BANK BERHAD |
- |
Unsatisfied |
|
16 |
23/04/2014 |
FIRST
PARTY CHARGE |
PUBLIC
ISLAMIC BANK BERHAD |
- |
Unsatisfied |
|
17 |
23/04/2014 |
FIRST
PARTY CHARGE |
PUBLIC
ISLAMIC BANK BERHAD |
- |
Unsatisfied |
LITIGATION 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.
No blacklisted record & debt collection case was found in our defaulters'
databank.
PAYMENT RECORD
|
|
||
|
SOURCES
OF RAW MATERIALS: |
||
|
Local |
: |
YES |
|
Overseas |
: |
YES |
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 |
[ |
] |
||||||||||
CLIENTELE
|
|
||||||||||||||
|
Local |
: |
YES |
|
||||||||||||
|
Domestic
Markets |
: |
MALAYSIA |
|
||||||||||||
|
Overseas |
: |
YES |
|
||||||||||||
|
Export
Market |
: |
UNITED
STATES |
|
||||||||||||
|
Credit
Term |
: |
N/A |
|
||||||||||||
|
|
|||||||||||||||
|
Payment
Mode |
: |
CHEQUES |
|
||||||||||||
|
|
|||||||||||||||
|
|
|||||||||||||||
|
|
|||||||||||||||
OPERATIONS
|
||||
|
Products
manufactured |
: |
|
||
|
Award |
: |
|
||
|
Member(s)
/ Affiliate(s) |
: |
SMI
ASSOCIATION OF MALAYSIA SMALL
& MEDIUM ENTERPRISE MALAYSIA
FURNITURE INDUSTRY |
||
|
Branch |
: |
|
Other Information:
The Subject is principally engaged in the (as a / as an) manufacturing of
cabinets, dining sets.
The Subject's goal is to offer only the highest quality, selection and services
to meet the demands of today's changing markets. Combined with its groups of
skilled workers, it created dining sets treasures with quality, comfort and
durability that stands the test of time.
The products is accepted worldwide, enjoying the continuous support of buyers
from many parts of the world.
CURRENT
INVESTIGATION
|
Latest fresh investigations carried out on the Subject indicated that :
|
Telephone Number Provided By Client |
: |
N/A |
|
Current Telephone Number |
: |
06-9728000 |
|
Match |
: |
N/A |
|
Address Provided by Client |
: |
LOT PTD 11667, KAWASAN PERINDUSTRIAN GRISEK,84700,MUAR,JOHOR. |
|
Current Address |
: |
LOT PTD 11667, KAWASAN PERINDUSTRIAN GRISEK, 84700 MUAR, JOHOR, MALAYSIA. |
|
Match |
: |
YES |
|
Latest
Financial Accounts |
: |
YES |
Other Investigations
On 28th May 2015 we contacted one of the staff from the Subject and he provided
some information.
The Subject refused to disclose its number of employees.
FINANCIAL
ANALYSIS
|
|
Profitability |
||||||
|
Turnover |
: |
Increased |
[ |
2009
- 2013 |
] |
|
|
Profit/(Loss)
Before Tax |
: |
Increased |
[ |
2009
- 2013 |
] |
|
|
Return
on Shareholder Funds |
: |
Acceptable |
[ |
27.55% |
] |
|
|
Return
on Net Assets |
: |
Acceptable |
[ |
23.81% |
] |
|
|
The Subject's turnover increased steadily
as the demand for its products / services increased due to the goodwill built
up over the years.The higher profit could be attributed to the increase in
turnover. The Subject's management had generated acceptable return for its
shareholders using its assets. |
||||||
|
Working Capital
Control |
||||||
|
Stock Ratio |
: |
Favourable |
[ |
20 Days |
] |
|
|
Debtor Ratio |
: |
Favourable |
[ |
41 Days |
] |
|
|
Creditors Ratio |
: |
Favourable |
[ |
52 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 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 |
: |
Acceptable |
[ |
0.83 Times |
] |
|
|
Current Ratio |
: |
Unfavourable |
[ |
0.98 Times |
] |
|
|
The Subject's liquid ratio was slightly
low. This could indicate that the Subject's working capital was slightly
deficient. The Subject will have to improve its liquidity position either by obtaining
short term financing or increase its paid up capital so that it can meet all
its short term obligations as and when they fall due. |
||||||
|
Solvency |
||||||
|
Interest Cover |
: |
Acceptable |
[ |
6.60 Times |
] |
|
|
Gearing Ratio |
: |
Unfavourable |
[ |
1.34 Times |
] |
|
|
The Subject's interest cover was slightly
low. If there is no sharp fall in its profit or sudden increase in the interest
rates, we believe the Subject is able to generate sufficient income to
service its interest and repay the loans. The Subject was highly geared, thus
it had a high financial risk. The Subject was dependent on loans to finance
its business needs. In times of economic downturn and / or high interest
rate, the Subject will become less profitable and competitive than other
firms in the same industry, which are lowly geared. This is because the
Subject has to service the interest and to repay the loan, which will erode
part of its profits. The profits will fluctuate depending on the Subject's
turnover and the interest it needs to pay. |
||||||
|
Overall Assessment
: |
||||||
|
Generally, the Subject's performance has improved
with higher turnover and profit. The Subject's liquidity was at an acceptable
range. If the Subject is able to obtain further short term financing, it
should be able to meet all its short term obligations. The Subject had an
acceptable interest cover. If there is no sudden sharp increase in interest
rate or fall in the Subject's profit, we do believe the Subject is able to
generate sufficient cash flow to service its interest payment. The Subject's
gearing level was high and its going concern will be in doubt if there is no
injection of additional shareholders' funds in times of economic downturn and
/ or high interest rates. |
||||||
|
Overall
financial condition of the Subject : FAIR |
||||||
MALAYSIA ECONOMIC / INDUSTRY
OUTLOOK
|
|
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 |
INDUSTRY
ANALYSIS
|
|
MSIC
CODE |
|
|
31
: MANUFACTURE OF FURNITURE |
|
|
INDUSTRY : |
FURNITURE & FIXTURES |
|
Malaysia's Furniture Manufacturing Industry
has been blooming in recent years. Malaysia ranks comfortably as the 10th
largest exporter of furniture in the world in 2014. It exports 80% of their
total furniture production around the world. With existing strong export base
like Japan, United States and Australia, the nation continues its tremendous
growth towards Saudi Arabia, Philippines and Russia. Malaysia is believed to
diversify their export base to countries like Algeria, Greece, Puerto Rico,
Libya and other countries awaiting confirmation. |
|
|
Increased demand from major export
destinations such as the US, Japan and Australia for Malaysian made furniture
contributed to the higher output of wooden and cane furniture, which
rebounded by 2.2% in the first seven months of 2014. Thus, shipments of wood
products rebounded by 4.7% in the same time mainly driven by export growth of
wooden furniture (13.4%) to the US, Japan and Australia. Amid higher demand,
exports of bedroom furniture and seats with wooden frame increased
significantly by 21.6% and 15.2%. However, in 2013, Malaysia's furniture
export decreased 8.1% compared to 2012. Furniture exports to the United
States in 2013, which is the largest market, also recorded a decrease of 6.1%
compared to 2012. This performance was nevertheless commendable, taking into
account the slowdown in the global economy in 2013, especially in the United
States and Euro zone countries. |
|
|
Despite numerous economic downturns, the
industry is still supported by a strong global demand. While lower priced
Chinese and Vietnamese furniture pose strong competition, Malaysian furniture
continues to set itself apart with original design that places importance on
aesthetics as well as its good work ethics. The government also plays an
important role in nurturing the industry. Providing Pioneer Status for tax
exemption and Investment Tax Allowance, the pro-business environment makes
doing business easier and faster. With a business-friendly environment, good
quality products and a high potential market, the Malaysian furniture
industry is poised to exceed expectations and to continue its exponential growth. |
|
|
Conclusively, Malaysia has always been
known for its wood based furniture, owing to its natural resources. The
government has set an annual growth target of 6.5% for wood based furniture, estimated
to reach up to RM53 billion by year 2020. In recent years, the growth has
shifted from producing general products towards designing its own, and this
has been the key in propelling Malaysia onto the international arena. Popular
with overseas buyers of the middle to high category, foreign buyers look to
Malaysia for manufacturers who can meet their high production demand. |
|
|
OVERALL
INDUSTRY OUTLOOK : Marginal Growth |
|
CREDIT RISK EVALUATION &
RECOMMENDATION
|
|
Having a strong assets backing, the Subject
possesses latent assets as collateral for further financial extension. Hence,
it has good chance of getting loans if the needs arises. 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 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. Thus, the Subject's
future performance is very much depend on its marketing strategies in order
to retain its position in the market. Based on the above condition, we recommend
credit be granted to the Subject normally. |
|
|
PROFIT
AND LOSS ACCOUNT
|
|
THE
FINANCIAL STATEMENTS WERE PREPARED IN ACCORDANCE WITH MALAYSIAN FINANCIAL
REPORTING STANDARDS(FRS) |
|
AIK
CHEE FURNITURE SDN. BHD. |
|
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 |
SUMMARY |
SUMMARY |
SUMMARY |
|
Currency |
MYR |
MYR |
MYR |
MYR |
MYR |
|
TURNOVER |
44,089,839 |
38,861,760 |
27,341,689 |
32,047,056 |
25,353,720 |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
Total
Turnover |
44,089,839 |
38,861,760 |
27,341,689 |
32,047,056 |
25,353,720 |
|
Costs
of Goods Sold |
(38,112,952) |
(33,745,560) |
- |
- |
- |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
Gross
Profit |
5,976,887 |
5,116,200 |
- |
- |
- |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
PROFIT/(LOSS)
FROM OPERATIONS |
2,549,001 |
1,492,386 |
644,723 |
1,209,913 |
462,674 |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
PROFIT/(LOSS)
BEFORE TAXATION |
2,549,001 |
1,492,386 |
644,723 |
1,209,913 |
462,674 |
|
Taxation |
(114,735) |
(65,863) |
(41,987) |
(83,641) |
(86,812) |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
PROFIT/(LOSS)
AFTER TAXATION |
2,434,266 |
1,426,523 |
602,736 |
1,126,272 |
375,862 |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
RETAINED
PROFIT/(LOSS) BROUGHT FORWARD |
|||||
|
As
previously reported |
6,401,099 |
5,254,576 |
4,831,840 |
3,785,568 |
3,469,706 |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
As
restated |
6,401,099 |
5,254,576 |
4,831,840 |
3,785,568 |
3,469,706 |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
PROFIT
AVAILABLE FOR APPROPRIATIONS |
8,835,365 |
6,681,099 |
5,434,576 |
4,911,840 |
3,845,568 |
|
DIVIDENDS
- Ordinary (paid & proposed) |
(2,000,000) |
(280,000) |
(180,000) |
(80,000) |
(60,000) |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
RETAINED
PROFIT/(LOSS) CARRIED FORWARD |
6,835,365 |
6,401,099 |
5,254,576 |
4,831,840 |
3,785,568 |
|
============= |
============= |
============= |
============= |
============= |
|
|
INTEREST
EXPENSE (as per notes to P&L) |
|||||
|
Hire
purchase |
70,999 |
92,631 |
- |
- |
- |
|
Term
loan / Borrowing |
148,232 |
178,948 |
- |
- |
- |
|
Others |
235,609 |
265,207 |
- |
- |
- |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
454,840 |
536,786 |
- |
- |
- |
|
|
============= |
============= |
- |
- |
- |
|
|
DEPRECIATION
(as per notes to P&L) |
1,262,878 |
1,246,829 |
- |
- |
- |
|
AMORTIZATION |
2,536 |
2,536 |
- |
- |
- |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
1,265,414 |
1,249,365 |
- |
- |
- |
|
|
============= |
============= |
BALANCE
SHEET
|
|
AIK
CHEE FURNITURE SDN. BHD. |
|
ASSETS
EMPLOYED: |
|||||
|
FIXED
ASSETS |
12,776,853 |
12,404,887 |
13,451,392 |
14,114,133 |
12,666,773 |
|
Investments |
140,000 |
- |
- |
- |
- |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
TOTAL
LONG TERM INVESTMENTS/OTHER ASSETS |
140,000 |
- |
- |
- |
- |
|
Patents
/ Copyrights |
14,726 |
17,262 |
- |
- |
- |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
TOTAL
INTANGIBLE ASSETS |
14,726 |
17,262 |
- |
- |
- |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
TOTAL
LONG TERM ASSETS |
12,931,579 |
12,422,149 |
13,451,392 |
14,114,133 |
12,666,773 |
|
Stocks |
2,384,751 |
3,163,442 |
- |
- |
- |
|
Trade
debtors |
4,972,352 |
4,479,610 |
- |
- |
- |
|
Other
debtors, deposits & prepayments |
704,222 |
758,490 |
- |
- |
- |
|
Short
term deposits |
354,609 |
456,380 |
- |
- |
- |
|
Cash
& bank balances |
7,029,743 |
5,546,968 |
- |
- |
- |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
TOTAL
CURRENT ASSETS |
15,445,677 |
14,404,890 |
11,440,800 |
7,770,752 |
9,645,897 |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
TOTAL
ASSET |
28,377,256 |
26,827,039 |
24,892,192 |
21,884,885 |
22,312,670 |
|
============= |
============= |
============= |
============= |
============= |
|
|
CURRENT
LIABILITIES |
|||||
|
Trade
creditors |
5,469,487 |
5,058,361 |
- |
- |
- |
|
Other
creditors & accruals |
1,472,905 |
1,508,614 |
- |
- |
- |
|
Hire
purchase & lease creditors |
539,600 |
523,425 |
- |
- |
- |
|
Bank
overdraft |
1,048,134 |
725,732 |
- |
- |
- |
|
Short
term borrowings/Term loans |
389,302 |
695,511 |
- |
- |
- |
|
Bill
& acceptances payable |
6,705,990 |
7,588,354 |
- |
- |
- |
|
Amounts
owing to director |
103,302 |
18,170 |
- |
- |
- |
|
Provision
for taxation |
31,945 |
13,135 |
- |
- |
- |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
TOTAL
CURRENT LIABILITIES |
15,760,665 |
16,131,302 |
13,951,825 |
11,120,972 |
13,061,415 |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
NET
CURRENT ASSETS/(LIABILITIES) |
(314,988) |
(1,726,412) |
(2,511,025) |
(3,350,220) |
(3,415,518) |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
TOTAL
NET ASSETS |
12,616,591 |
10,695,737 |
10,940,367 |
10,763,913 |
9,251,255 |
|
============= |
============= |
============= |
============= |
============= |
|
|
SHARE
CAPITAL |
|||||
|
Ordinary
share capital |
2,000,000 |
2,000,000 |
2,000,000 |
2,000,000 |
2,000,000 |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
TOTAL
SHARE CAPITAL |
2,000,000 |
2,000,000 |
2,000,000 |
2,000,000 |
2,000,000 |
|
Retained
profit/(loss) carried forward |
6,835,365 |
6,401,099 |
5,254,576 |
4,831,840 |
3,785,568 |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
TOTAL
RESERVES |
6,835,365 |
6,401,099 |
5,254,576 |
4,831,840 |
3,785,568 |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
SHAREHOLDERS'
FUNDS/EQUITY |
8,835,365 |
8,401,099 |
7,254,576 |
6,831,840 |
5,785,568 |
|
Long
term loans |
2,606,839 |
1,130,576 |
- |
- |
- |
|
Hire
purchase creditors |
591,004 |
613,012 |
- |
- |
- |
|
Deferred
taxation |
583,383 |
551,050 |
- |
- |
- |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
TOTAL
LONG TERM LIABILITIES |
3,781,226 |
2,294,638 |
3,685,791 |
3,932,073 |
3,465,687 |
|
---------------- |
---------------- |
---------------- |
---------------- |
---------------- |
|
|
12,616,591 |
10,695,737 |
10,940,367 |
10,763,913 |
9,251,255 |
|
|
============= |
============= |
============= |
============= |
============= |
|
FINANCIAL
RATIO
|
|
AIK
CHEE FURNITURE SDN. BHD. |
|
TYPES
OF FUNDS |
|||||
|
Cash |
7,384,352 |
6,003,348 |
- |
- |
- |
|
Net
Liquid Funds |
(369,772) |
(2,310,738) |
- |
- |
- |
|
Net
Liquid Assets |
(2,699,739) |
(4,889,854) |
(2,511,025) |
(3,350,220) |
(3,415,518) |
|
Net
Current Assets/(Liabilities) |
(314,988) |
(1,726,412) |
(2,511,025) |
(3,350,220) |
(3,415,518) |
|
Net
Tangible Assets |
12,601,865 |
10,678,475 |
10,940,367 |
10,763,913 |
9,251,255 |
|
Net
Monetary Assets |
(6,480,965) |
(7,184,492) |
(6,196,816) |
(7,282,293) |
(6,881,205) |
|
BALANCE
SHEET ITEMS |
|||||
|
Total
Borrowings |
11,880,869 |
11,276,610 |
- |
- |
- |
|
Total
Liabilities |
19,541,891 |
18,425,940 |
17,637,616 |
15,053,045 |
16,527,102 |
|
Total
Assets |
28,377,256 |
26,827,039 |
24,892,192 |
21,884,885 |
22,312,670 |
|
Net
Assets |
12,616,591 |
10,695,737 |
10,940,367 |
10,763,913 |
9,251,255 |
|
Net
Assets Backing |
8,835,365 |
8,401,099 |
7,254,576 |
6,831,840 |
5,785,568 |
|
Shareholders'
Funds |
8,835,365 |
8,401,099 |
7,254,576 |
6,831,840 |
5,785,568 |
|
Total
Share Capital |
2,000,000 |
2,000,000 |
2,000,000 |
2,000,000 |
2,000,000 |
|
Total
Reserves |
6,835,365 |
6,401,099 |
5,254,576 |
4,831,840 |
3,785,568 |
|
LIQUIDITY
(Times) |
|||||
|
Cash
Ratio |
0.47 |
0.37 |
- |
- |
- |
|
Liquid
Ratio |
0.83 |
0.70 |
- |
- |
- |
|
Current
Ratio |
0.98 |
0.89 |
0.82 |
0.70 |
0.74 |
|
WORKING
CAPITAL CONTROL (Days) |
|||||
|
Stock
Ratio |
20 |
30 |
- |
- |
- |
|
Debtors
Ratio |
41 |
42 |
- |
- |
- |
|
Creditors
Ratio |
52 |
55 |
- |
- |
- |
|
SOLVENCY
RATIOS (Times) |
|||||
|
Gearing
Ratio |
1.34 |
1.34 |
- |
- |
- |
|
Liabilities
Ratio |
2.21 |
2.19 |
2.43 |
2.20 |
2.86 |
|
Times
Interest Earned Ratio |
6.60 |
3.78 |
- |
- |
- |
|
Assets
Backing Ratio |
6.30 |
5.34 |
5.47 |
5.38 |
4.63 |
|
PERFORMANCE
RATIO (%) |
|||||
|
Operating
Profit Margin |
5.78 |
3.84 |
2.36 |
3.78 |
1.82 |
|
Net
Profit Margin |
5.52 |
3.67 |
2.20 |
3.51 |
1.48 |
|
Return
On Net Assets |
23.81 |
18.97 |
5.89 |
11.24 |
5.00 |
|
Return
On Capital Employed |
21.13 |
16.96 |
5.89 |
11.24 |
5.00 |
|
Return
On Shareholders' Funds/Equity |
27.55 |
16.98 |
8.31 |
16.49 |
6.50 |
|
Dividend
Pay Out Ratio (Times) |
0.82 |
0.20 |
0.30 |
0.07 |
0.16 |
|
NOTES
TO ACCOUNTS |
|||||
|
Contingent
Liabilities |
0 |
0 |
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.65.15 |
|
|
1 |
Rs.99.36 |
|
Euro |
1 |
Rs.71.25 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAR |
|
|
|
|
Report Prepared
by : |
ASH |
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.