MIRA INFORM REPORT

 

 

Report No. :

340622

Report Date :

12.09.2015

 

IDENTIFICATION DETAILS

 

Name :

DENIM CARE SDN. BHD.

 

 

Formerly Known As :

CONCEPT CHEMICALS SEA SDN BHD

 

 

Registered Office :

58-A Jalan Cantonment, 10250 Georgetown, Pulau Pinang

 

 

Country :

Malaysia

 

 

Financials (as on) :

29.02.2008

 

 

Date of Incorporation :

01.12.2004

 

 

Com. Reg. No.:

673790-P

 

 

Legal Form :

Exempt Private (Limited By Share)

 

 

Line of Business :

Subject is engaged in the manufacturing of textile auxiliaries and enzymes.

 

 

No. of Employees :

Not Available

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ca

 

RATING

STATUS

PROPOSED CREDIT LINE

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

 

Status :

Moderate

Payment Behaviour :

Unknown

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.

:

673790-P

COMPANY NAME

:

DENIM CARE SDN. BHD.

FORMER NAME

:

CONCEPT CHEMICALS SEA SDN BHD (11/09/2006)

INCORPORATION DATE

:

01/12/2004

COMPANY STATUS

:

EXIST

LEGAL FORM

:

EXEMPT PRIVATE (LIMITED BY SHARE)

LISTED STATUS

:

NO

REGISTERED ADDRESS

:

58-A JALAN CANTONMENT, 10250 GEORGETOWN, PULAU PINANG, MALAYSIA.

BUSINESS ADDRESS

:

LOT 29, LORONG PERUSAHAAN 6A, KULIM INDUSTRIAL ESTATE, 09000 KULIM, KEDAH, MALAYSIA.

TEL.NO.

:

04-4891899

FAX.NO.

:

04-4891898

WEB SITE

:

WWW.DENIMCARE.NET

CONTACT PERSON

:

CHENG SOO FONG ( EXECUTIVE DIRECTOR )

INDUSTRY CODE

:

20

PRINCIPAL ACTIVITY

:

MANUFACTURING OF TEXTILE AUXILIARIES AND ENZYMES

AUTHORISED CAPITAL

:

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

ISSUED AND PAID UP CAPITAL

:

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

SALES

:

N/A

NET WORTH

:

N/A

STAFF STRENGTH

:

N/A

BANKER (S)

:

UNITED OVERSEAS BANK (MALAYSIA) BHD

LITIGATION

:

CLEAR

DEFAULTER CHECK

:

CLEAR

FINANCIAL CONDITION

:

N/A

PAYMENT

:

AVERAGE

MANAGEMENT CAPABILITY

:

AVERAGE

COMMERCIAL RISK

:

MODERATE

CURRENCY EXPOSURE

:

MODERATE

GENERAL REPUTATION

:

SATISFACTORY

INDUSTRY OUTLOOK

:

AVERAGE GROWTH

 

HISTORY / BACKGROUND

 

The Subject is an exempt private company which is allowed to have a minimum of two and a maximum of twenty shareholders and all the shareholders must be individuals. An exempt company is a type of private limited company. 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, suing or be sued by other companies. The Subject is governed by the Companies Act, 1965 and must file in its annual return. The Subject need not file in its financial statements but it has to file in a document duly signed by its director in charge of its finance, the secretary and its auditor stating that the Subject is able to meet all its obligations as and when they fall due. Although the Subject is not required to file in its financial statements, it also has to prepare its financial account which must be presented at the Annual General Meeting.

 

The Subject is principally engaged in the (as a / as an) manufacturing of textile auxiliaries and enzymes.

 

The Subject is not listed on Bursa Malaysia (Malaysia Stock Exchange).

 

 

Share Capital History

Date

Authorised Shared Capital

Issue & Paid Up Capital

15/02/2013

MYR 500,000.00

MYR 500,000.00

 

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

 

Current Shareholder(s) :

Name

Address

IC/PP/Loc No

Shareholding

(%)

MR. LIM WENG WOH +

LOT 29, LORONG PERUSAHAAN 6A, KULIM INDUSTRIAL ESTATE, 09000 KULIM, KEDAH, MALAYSIA.

710425-08-6417

300,000.00

60.00

WONG NAI HOCK, RONNIE

10, LORONG LAKSAMANA 2, TAMAN KERIAN 6, 34200 PARIT BUNTAR, PERAK, MALAYSIA.

E3119735H

50,000.00

10.00

MS. LIM LOO KHENG

5, LINTANG PANTAI JERJAK 5, GELUGOR, PULAU PINANG, 11700 GELUGOR, PULAU PINANG, MALAYSIA.

650321-07-5068 A0071758

50,000.00

10.00

MS. CHENG SOO FONG +

LOT 29, LORONG PERUSAHAAN 6A, KULIM INDUSTRIAL ESTATE, 09000 KULIM, KEDAH, MALAYSIA.

751230-07-5532 A3200184

50,000.00

10.00

MR. CHOW HIANG AIK

10, LORONG LAKSAMANA 2, TAMAN KERIAN 6, 34200 PARIT BUNTAR, PERAK, MALAYSIA.

661228-08-5353 A0544800

50,000.00

10.00

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

------

500,000.00

100.00

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

=====

 

+ Also Director

 

Former Shareholder(s) :

Name

Country

IC/PP/Loc No

Shareholding

Last Updated

TAN CHIN NENG

N/A

631204-01-5425

N/A

11/10/2012


 

DIRECTORS

 

DIRECTOR 1

 

Name Of Subject

:

MS. CHENG SOO FONG

Address

:

LOT 29, LORONG PERUSAHAAN 6A, KULIM INDUSTRIAL ESTATE, 09000 KULIM, KEDAH, MALAYSIA.

IC / PP No

:

A3200184

New IC No

:

751230-07-5532

Date of Birth

:

30/12/1975

Nationality

:

MALAYSIAN

Date of Appointment

:

01/12/2004

 

DIRECTOR 2

 

Name Of Subject

:

MR. LIM WENG WOH

Address

:

LOT 29, LORONG PERUSAHAAN 6A, KULIM INDUSTRIAL ESTATE, 09000 KULIM, KEDAH, MALAYSIA.

New IC No

:

710425-08-6417

Date of Birth

:

25/04/1971

Nationality

:

MALAYSIAN

Date of Appointment

:

01/12/2004

 

MANAGEMENT

 

 

1)

Name of Subject

:

CHENG SOO FONG

Position

:

EXECUTIVE DIRECTOR

 

AUDITOR

 

Auditor

:

J.S. SOO & CO.

Auditor' Address

:

58A-1, JALAN CANTONMENT, 10250 GEORGETOWN, PULAU PINANG, MALAYSIA.

 

COMPANY SECRETARIES

 

1)

Company Secretary

:

MS. LIM YONG CHIAT

New IC No

:

790702-02-5130

Address

:

1772-B, LORONG TIONG, 05200 ALOR SETAR, KEDAH, MALAYSIA.

 

BANKING


Banking relations are maintained principally with :

1)

Name

:

UNITED OVERSEAS BANK (MALAYSIA) BHD

 

 

ENCUMBRANCE (S)

 

Charge No

Creation Date

Charge Description

Chargee Name

Total Charge

Status

1

14/09/2010

N/A

UNITED OVERSEAS BANK (MALAYSIA) BHD

MYR 1,980,000.00

Unsatisfied

2

14/09/2010

N/A

UNITED OVERSEAS BANK (MALAYSIA) BHD

MYR 820,000.00

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

Percentage

:

40%

Overseas

:

YES

Percentage

:

60%

 

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

:

ASIA

Credit Term

:

N/A

Payment Mode

:

CHEQUES
TELEGRAPHIC TRANSFER (TT)

 

OPERATIONS

 

Products manufactured

:

TEXTILE AUXILIARIES AND ENZYMES

Ownership of premises

:

LEASED/RENTED

 

Total Number of Employees:

 

YEAR

2013

2012

2011

2010

GROUP

N/A

N/A

N/A

N/A

COMPANY

20

20

20

20

 

Branch

:

NO

 

Other Information:


The Subject is principally engaged in the (as a / as an) manufacturing of textile auxiliaries and enzymes. 

The Subject is set up in Malaysia by a group of experienced GWP (Garment Wet Process) technologist to supply quality and innovative products to laundries.

The Subject has its own Research & Development Department to ensure production of high quality products that meets customers' requirements.

Besides that, the Subject has a warehouse to keep stocks and materials.

The Subject offers wide range of textile auxiliaries product such as:
- Pretreatment auxiliaries 
- dyeing auxiliaries
- finishing auxiliaries 
- stonewashing/ denim washing cellulases


CURRENT INVESTIGATION

 

Latest fresh investigations carried out on the Subject indicated that :

Telephone Number Provided By Client

:

N/A

Current Telephone Number

:

04-4891899

Match

:

N/A

Address Provided by Client

:

LOT 29, LORONG PERUSAHAAN 6A, KULIM INDUSTRIAL ESTATE,09000,KULIM,KEDAH.

Current Address

:

LOT 29, LORONG PERUSAHAAN 6A, KULIM INDUSTRIAL ESTATE, 09000 KULIM, KEDAH, MALAYSIA.

Match

:

YES

Latest Financial Accounts

:

NO

 

Other Investigations


We contacted one of the staff from the Subject and he provided some information.

 

FINANCIAL ANALYSIS

 

The Subject is a private exempt company which does not need to file in its accounts with the Registrar of Companies for the information of the public. Therefore, we are not able to comment on the Subject's financial performance.

Overall financial condition of the Subject : N/A

 

 

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

3.2

4.0

Unemployment Rate

3.3

3.2

3.0

2.9

3.0

Net International Reserves ( MYR Billion )

415

427

-

417

-

Average Risk-Weighted Capital Adequacy Ratio ( % )

3.50

2.20

-

4.00

-

Average 3 Months of Non-performing Loans ( % )

14.80

14.70

-

-

-

Average Base Lending Rate ( % )

6.60

6.53

6.53

6.85

-

Business Loans Disbursed( % )

15.3

32.2

-

56.0

-

Foreign Investment ( MYR Million )

23,546.1

26,230.4

38,238.0

43,486.6

-

Consumer Loans ( % )

-

-

-

-

-

Registration of New Companies ( No. )

45,455

45,441

46,321

49,144

-

Registration of New Companies ( % )

3.0

(0.0)

1.9

6.1

-

Liquidation of Companies ( No. )

132,485

17,092

26,430

21,753

-

Liquidation of Companies ( % )

417.8

(87.1)

54.6

(17.7)

-

Registration of New Business ( No. )

284,598

324,761

329,895

332,723

-

Registration of New Business ( % )

5.0

14.0

2.0

1.0

-

Business Dissolved ( No. )

20,121

20,380

18,161

21,436

-

Business Dissolved ( % )

1.9

1.3

(10.9)

18.0

-

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

63.2

-

Credit Cards Spending ( % )

15.6

12.6

-

13.5

-

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)

-

-

3.0

-

Other Mining

-

-

-

46.6

-

Industry Non-performing Loans ( MYR Million )

46.5

-

-

-

-

% of Industry Non-performing Loans

0.1

-

-

-

-

Manufacturing #

4.7

4.8

3.4

6.4

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

1.4

-

Plastic Products

3.8

-

-

2.7

-

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

-

-

13.0

-

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 



INDUSTRY ANALYSIS

 

MSIC CODE

20 : MANUFACTURE OF CHEMICALS AND CHEMICAL 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



CREDIT RISK EVALUATION & RECOMMENDATION

 


Incorporated in 2004, the Subject is an Exempt Private company, focusing on manufacturing of textile auxiliaries and enzymes. Having been in the industry for over a decade, the Subject has achieved a certain market share and has built up a satisfactory reputation in the market. It should have received supports from its regular customers. The Subject is considered as a medium size company with issued and paid up capital standing at MYR 500,000. However, the Subject does not have strong shareholders’ backing. Without a strong shareholders' backing, the opportunity of the Subject to expand its business is limited. 

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. 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. 

As the Subject is registered as an Exempt Private company, it is not required to file financial statements for public review. As such, we are unable to ascertain its present financial health. 

Without a strong assets backing, the Subject may face difficulties in getting loans for its future expansion and continued growth . 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. 

In view of the above, we only recommend credit be proceeded to the Subject with guarantee.

 

 

PROFIT AND LOSS ACCOUNT

 

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

DENIM CARE SDN. BHD.

 

Financial Year End

2008-02-29

2007-02-28

2006-02-28

Months

12

12

12

Consolidated Account

Company

Company

Company

Audited Account

YES

YES

YES

Unqualified Auditor's Report (Clean Opinion)

YES

YES

YES

Financial Type

FULL

FULL

SUMMARY

Currency

MYR

MYR

MYR

TURNOVER

3,656,199

1,829,143

539,965

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

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

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

Total Turnover

3,656,199

1,829,143

539,965

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

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

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

PROFIT/(LOSS) FROM OPERATIONS

191,117

(70,517)

(156,521)

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

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

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

PROFIT/(LOSS) BEFORE TAXATION

191,117

(70,517)

(156,521)

Taxation

(6,600)

-

-

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

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

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

PROFIT/(LOSS) AFTER TAXATION

184,517

(70,517)

(156,521)

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

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

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

PROFIT/(LOSS) BEFORE EXTRAORDINARY ITEMS

184,517

(70,517)

(156,521)

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

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

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

PROFIT/(LOSS) ATTRIBUTABLE TO SHAREHOLDERS

184,517

(70,517)

(156,521)

RETAINED PROFIT/(LOSS) BROUGHT FORWARD

As previously reported

(227,038)

(156,521)

-

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

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

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

As restated

(227,038)

(156,521)

-

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

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

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

PROFIT AVAILABLE FOR APPROPRIATIONS

(42,521)

(227,038)

(156,521)

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

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

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

RETAINED PROFIT/(LOSS) CARRIED FORWARD

(42,521)

(227,038)

(156,521)

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

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

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

INTEREST EXPENSE (as per notes to P&L)

Hire purchase

1,739

-

-

Others

2,785

-

-

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

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

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

4,524

-

-

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

-

-

DEPRECIATION (as per notes to P&L)

140,171

103,179

-

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

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

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

140,171

103,179

-

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

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

 

 

 

 

 

BALANCE SHEET

 

DENIM CARE SDN. BHD.

 

ASSETS EMPLOYED:

FIXED ASSETS

395,848

343,940

275,109

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

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

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

TOTAL LONG TERM ASSETS

395,848

343,940

275,109

Stocks

720,271

616,150

-

Trade debtors

709,534

423,915

-

Other debtors, deposits & prepayments

77,161

39,264

-

Cash & bank balances

122,547

64,894

-

Others

10,000

2,400

-

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

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

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

TOTAL CURRENT ASSETS

1,639,513

1,146,623

418,472

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

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

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

TOTAL ASSET

2,035,361

1,490,563

693,581

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

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

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

CURRENT LIABILITIES

Trade creditors

211,996

189,801

-

Other creditors & accruals

645,353

472,279

-

Hire purchase & lease creditors

27,252

-

-

Amounts owing to director

1,051,224

955,521

-

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

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

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

TOTAL CURRENT LIABILITIES

1,935,825

1,617,601

850,092

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

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

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

NET CURRENT ASSETS/(LIABILITIES)

(296,312)

(470,978)

(431,620)

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

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

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

TOTAL NET ASSETS

99,536

(127,038)

(156,511)

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

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

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

SHARE CAPITAL

Ordinary share capital

100,000

100,000

10

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

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

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

TOTAL SHARE CAPITAL

100,000

100,000

10

Retained profit/(loss) carried forward

(42,521)

(227,038)

(156,521)

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

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

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

TOTAL RESERVES

(42,521)

(227,038)

(156,521)

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

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

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

SHAREHOLDERS' FUNDS/EQUITY

57,479

(127,038)

(156,511)

Hire purchase creditors

35,457

-

-

Deferred taxation

6,600

-

-

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

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

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

TOTAL LONG TERM LIABILITIES

42,057

-

-

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

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

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

99,536

(127,038)

(156,511)

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

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

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

 

 

 

 

 

FINANCIAL RATIO

 

DENIM CARE SDN. BHD.

 

TYPES OF FUNDS

Cash

122,547

64,894

-

Net Liquid Funds

122,547

64,894

-

Net Liquid Assets

(1,016,583)

(1,087,128)

(431,620)

Net Current Assets/(Liabilities)

(296,312)

(470,978)

(431,620)

Net Tangible Assets

99,536

(127,038)

(156,511)

Net Monetary Assets

(1,058,640)

(1,087,128)

(431,620)

PROFIT & LOSS ITEMS

Earnings Before Interest & Tax (EBIT)

195,641

(70,517)

-

Earnings Before Interest, Taxes, Depreciation And Amortization (EBITDA)

335,812

32,662

-

BALANCE SHEET ITEMS

Total Borrowings

62,709

0

-

Total Liabilities

1,977,882

1,617,601

850,092

Total Assets

2,035,361

1,490,563

693,581

Net Assets

99,536

(127,038)

(156,511)

Net Assets Backing

57,479

(127,038)

(156,511)

Shareholders' Funds

57,479

(127,038)

(156,511)

Total Share Capital

100,000

100,000

10

Total Reserves

(42,521)

(227,038)

(156,521)

LIQUIDITY (Times)

Cash Ratio

0.06

0.04

-

Liquid Ratio

0.47

0.33

-

Current Ratio

0.85

0.71

0.49

WORKING CAPITAL CONTROL (Days)

Stock Ratio

72

123

-

Debtors Ratio

71

85

-

Creditors Ratio

21

38

-

SOLVENCY RATIOS (Times)

Gearing Ratio

1.09

0

-

Liabilities Ratio

34.41

(12.73)

(5.43)

Times Interest Earned Ratio

43.25

0

-

Assets Backing Ratio

1.00

(1.27)

(15,651.10)

PERFORMANCE RATIO (%)

Operating Profit Margin

5.23

(3.86)

(28.99)

Net Profit Margin

5.05

(3.86)

(28.99)

Return On Net Assets

196.55

55.51

100.01

Return On Capital Employed

154.31

55.51

100.01

Return On Shareholders' Funds/Equity

321.02

55.51

100.01

Dividend Pay Out Ratio (Times)

0

0

-

NOTES TO ACCOUNTS

Contingent Liabilities

0

0



FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.66.39

UK Pound

1

Rs.102.59

Euro

1

Rs.74.90

 

 

INFORMATION DETAILS

 

Analysis Done by :

KAR

 

 

Report Prepared by :

TPT

 

               

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.