MIRA INFORM REPORT

Report No. :	501410
Report Date :	05.04.2018

IDENTIFICATION DETAILS

Name :	KOTRA PHARMA (M) SDN. BHD.
Formerly Known As :	KOTRA (M) SDN. BERHAD
Registered Office :	60-1, Jalan Lagenda 5, Taman 1 Lagenda, 75400 Melaka, Melaka
Country :	Malaysia
Financials (as on) :	30.06.2017
Date of Incorporation :	15.09.1982
Com. Reg. No.:	90082-V
Legal Form :	Private Limited (Limited By Share)
Line of Business :	The Subject is engaged in the manufacturing of medicine, pharmaceutical and healthcare products.
No. of Employees :	600 [2018]

RATING & COMMENTS

(Mira Inform has adopted New Rating mechanism w.e.f. 23^rd January 2017)

MIRA’s Rating :

A+

Credit Rating	Explanation	Rating Comments
A+	Low Risk	Business dealings permissible with low risk of default

Maximum Credit Limit :	MYR 9,096,000 (USD 2,274,000)
Status :	Good
Payment Behaviour :	Regular
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

Country Name	Previous Rating (30.09.2017)	Current Rating (31.12.2017)
Malaysia	A2	A2

Risk Category	ECGC Classification
Insignificant	A1
Low Risk	A2
Moderately Low Risk	B1
Moderate Risk	B2
Moderately High Risk	C1
High Risk	C2
Very High Risk	D

MALAYSIA - ECONOMIC OVERVIEW

Malaysia, an upper middle-income country, has transformed itself since the 1970s from a producer of raw materials into a multi-sector economy. Under current Prime Minister NAJIB, Malaysia is attempting to achieve high-income status by 2020 and to move further up the value-added production chain by attracting investments in high technology, knowledge-based industries and services. NAJIB's Economic Transformation Program 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. Domestic demand continues to anchor economic growth, supported mainly by private consumption, which accounts for 53% of GDP. Nevertheless, exports - particularly of electronics, oil and gas, and palm oil - remain a significant driver of the economy. In 2015, gross exports of goods and services were equivalent to 73% of GDP. The oil and gas sector supplied about 22% of government revenue in 2015, down significantly from prior years amid a decline in commodity prices and diversification of government revenues. Malaysia has embarked on a fiscal reform program aimed at achieving a balanced budget by 2020, including rationalization of subsidies and the 2015 introduction of a 6% value added tax. Sustained low commodity prices throughout the period not only strained government finances, but also shrunk Malaysia’s current account surplus and weighed heavily on the Malaysian ringgit, which was among the region’s worst performing currencies during 2013-17. The ringgit hit new lows following the US presidential election amid a broader selloff of emerging market assets.

Bank Negara Malaysia (the central bank) maintains adequate foreign exchange reserves; a well-developed regulatory regime has limited Malaysia's exposure to riskier financial instruments, although it remains vulnerable to volatile global capital flows. In order to increase Malaysia’s competitiveness, Prime Minister 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, policies that favor and advance the economic condition of ethnic Malays.

Malaysia signed the 12-nation Trans-Pacific Partnership (TPP) free trade agreement in February 2016, although the future of the TPP remains unclear following the US withdrawal from the agreement. Along with nine other ASEAN members, Malaysia established the ASEAN Economic Community in 2015, which aims to advance regional economic integration.

Source : CIA

EXECUTIVE SUMMARY

REGISTRATION NO.

:

90082-V

GST NO.

:

001720762368

COMPANY NAME

:

KOTRA PHARMA (M) SDN. BHD.

FORMER NAME

:

KOTRA (M) SDN. BERHAD (03/09/1996)

INCORPORATION DATE

:

15/09/1982

COMPANY STATUS

:

EXIST

LEGAL FORM

:

PRIVATE LIMITED (LIMITED BY SHARE)

LISTED STATUS

:

NO

REGISTERED ADDRESS

:

60-1, JALAN LAGENDA 5, TAMAN 1 LAGENDA, 75400 MELAKA, MELAKA, MALAYSIA.

BUSINESS ADDRESS

:

1, 2 & 3 JALAN TTC 12, CHENG INDUSTRIAL ESTATE, 75250 MELAKA, MELAKA, MALAYSIA.

TEL.NO.

:

06-3362222

FAX.NO.

:

06-3366122

WEB SITE

:

WWW.KOTRAPHARMA.COM

CONTACT PERSON

:

PIONG TECK YEN ( DIRECTOR )

INDUSTRY CODE

:

21009

PRINCIPAL ACTIVITY

:

MANUFACTURING OF MEDICINE,PHARMACEUTICAL AND HEALTHCARE PRODUCTS

AUTHORISED CAPITAL

:

MYR 25,000,000.00 DIVIDED INTO
ORDINARY SHARE 25,000,000.00 OF MYR 1.00 EACH.

ISSUED AND PAID UP CAPITAL

:

MYR 18,722,222.00 DIVIDED INTO
ORDINARY SHARES 6,722,222 CASH AND 12,000,000 OTHERWISE OF MYR 1.00 EACH.

SALES

:

MYR 166,367,735 [2017]

NET WORTH

:

MYR 141,423,326 [2017]

STAFF STRENGTH

:

600 [2018]

BANKER (S)

:

BANK PERUSAHAAN KECIL & SEDERHANA MALAYSIA BHD MALAYAN BANKING BHD

LITIGATION

:

CLEAR

DEFAULTER CHECK

:

CLEAR

FINANCIAL CONDITION

:

FAIR

PAYMENT

:

AVERAGE

MANAGEMENT CAPABILITY

:

AVERAGE

COMMERCIAL RISK

:

LOW

CURRENCY EXPOSURE

:

MODERATE

GENERAL REPUTATION

:

GOOD

INDUSTRY OUTLOOK

:

MARGINAL GROWTH

PROPOSED CREDIT LIMIT

:

MYR 9,096,000 (USD 2,274,000)

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 shall have a minimum one director. 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 medicine,pharmaceutical and healthcare products.

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

The immediate holding company of the Subject is KOTRA INDUSTRIES BERHAD, a company incorporated in MALAYSIA.

The ultimate holding company of the Subject is PIONG NAM KIM HOLDINGS SDN BHD, a company incorporated in MALAYSIA.

Former Address(es)

Address	As At Date
LOT 1A, 6TH FLOOR, MENARA PERTAM, JALAN BBP 2, TAMAN BATU BERENDAM PUTRA, 75350, MELAKA, MALAYSIA	06/12/2012
ROOM 2, 1ST FLOOR, 540-A, TAMAN MELAKA RAYA, 75000, MELAKA, MALAYSIA	10/08/1993
151A, JALAN BENDAHARA, 75100, MELAKA, MALAYSIA	15/07/1987
535B, JALAN MERDEKA, MELAKA RAYA, 75000, MELAKA, MALAYSIA	20/06/2010
48, JALAN KOTA LAKSAMANA 2/15, TAMAN KOTA LAKSAMANA, SEKSYEN 2, 75200, MELAKA, MALAYSIA	30/01/2011

Share Capital History

Date	Authorised Shared Capital	Issue & Paid Up Capital
26/07/2013	MYR 25,000,000.00	MYR 18,722,222.00
25/11/2010	MYR 25,000,000.00	MYR 14,222,222.00
29/05/2000	MYR 10,000,000.00	MYR 2,222,222.00
28/05/1997	MYR 10,000,000.00	MYR 6,000,000.00
24/06/1996	MYR 5,000,000.00	MYR 2,000,000.00
18/06/1996	MYR 5,000,000.00	MYR 1,636,900.00
20/12/1990	MYR 250,000.00	MYR 250,000.00
24/10/1990	MYR 250,000.00	MYR 200,000.00
16/07/1990	MYR 250,000.00	MYR 150,000.00
22/09/1989	MYR 250,000.00	MYR 60,000.00

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

Current Shareholder(s) :

Name	Address	IC/PP/Loc No	Shareholding	(%)
KOTRA INDUSTRIES BERHAD	1, 2 & 3, JALAN TTC 12, CHENG INDUSTRIAL ESTATE, 75250 MELAKA, MELAKA, MALAYSIA.	497632P	18,722,222.00	100.00
			---------------	------
			18,722,222.00	100.00
			============	=====

+ Also Director

DIRECTORS

DIRECTOR 1

Name Of Subject	:	MR. PIONG TECK YEN
Address	:	214-U, JALAN KENANGA 1, TAMAN KENANGA SEKSYEN 2, KAMPUNG LAPAN, 75200 MELAKA, MELAKA, MALAYSIA.
IC / PP No	:	A0681206
New IC No	:	670528-04-5235
Nationality	:	MALAYSIAN
Date of Appointment	:	27/07/1993

INTEREST CHECK

Interest in companies	:	see below
Interest in business	:	see below
Former interest	:	see below

INTEREST IN COMPANY

No	Local No	Company	Designation	App Date	Shareholding		Profit/(loss) After Tax	Financial Year	Status	As At
					No.	%
1	511181W	ALFAMEC INDUSTRIAL PRODUCTS SDN. BHD.	Director	13/04/2000	20,000.00	20.00	MYR503,947.00	2016	-	23/02/2018
2	849208T	APPETON HEALTHCARE SDN. BHD.	Director	29/04/2009	0.00	-	MYR(4,985.00)	2017	-	23/02/2018
3	67336V	APPETON LABORATORY SDN. BHD.	Director	16/09/2009	10,000.00	10.00	MYR10,522.00	2017	-	23/02/2018
4	1269260X	BIGLINK REWARDS SDN. BHD.	Director	21/02/2018	0.00	-	-	-	-	23/02/2018
5	497632P	KOTRA INDUSTRIES BERHAD	Director	05/06/2000	6,316,564.00	4.74	MYR12,397,000.00	2017	-	23/02/2018
6	90082V	KOTRA PHARMA (M) SDN. BHD.	Director	27/07/1993	0.00	-	MYR12,292,369.00	2017	-	23/02/2018
7	442194M	PIONG NAM KIM HOLDINGS SDN. BHD.	Director	30/04/1999	6,298.00	6.30	MYR7,752,000.00	2016	-	23/02/2018
8	464698X	THAMES BIOSCIENCE (M) SDN. BHD.	Director	16/09/2009	0.00	-	MYR9,292.00	2017	-	23/02/2018

INTEREST IN BUSINESS

No	Local No	Business	Designation	App Date	Shareholding (%)	Status	As At
1	MA0103558V	A SPORTS ARENA	PARTNERSHIP	14/11/2006	50.00	-	25/01/2018
2	UT0013214U	YY SIX ENTERPRISE	PARTNERSHIP	28/12/2015	50.00	Expired	25/01/2018

FORMER INTEREST

No	Local No	Company	Designation	App Date	Withdrawn Date	Shareholding	Status
1	535628U	ALAF EKUITI SDN. BHD.	Director	30/04/2004	10/10/2007	-	-
2	535628U	ALAF EKUITI SDN. BHD.	Shareholder	-	-	1.00	-
3	641828H	IVF CONSULTANCY SDN. BHD.	Director	15/09/2009	07/02/2018	-	-

DIRECTOR 2

Name Of Subject	:	MR. PIONG TECK MIN
Address	:	294-A, KAMPUNG LAPAN, BACHANG, 75200 MELAKA, MELAKA, MALAYSIA.
Other Address(es)	:	- 14, TEMPLE STREET, MELAKA., MALAYSIA. - NO. 629-2 JALAN POKOK MANGGA, BALAI PANJANG, MALAYSIA, 75250 MELAKA, MELAKA, MALAYSIA.
IC / PP No	:	4274406
New IC No	:	520624-04-5135
Date of Birth	:	24/06/1952
Nationality	:	MALAYSIAN
Date of Appointment	:	15/09/1982

INTEREST CHECK

Interest in companies	:	see below
Interest in business	:	none in our databank
Former interest	:	see below

INTEREST IN COMPANY

No	Local No	Company	Designation	App Date	Shareholding		Profit/(loss) After Tax	Financial Year	Status	As At
					No.	%
1	849208T	APPETON HEALTHCARE SDN. BHD.	Director	29/04/2009	0.00	-	MYR(4,985.00)	2017	-	23/02/2018
2	67336V	APPETON LABORATORY SDN. BHD.	Shareholder	-	10,000.00	10.00	MYR10,522.00	2017	-	23/02/2018
3	411703D	CHENSON HEALTH PRODUCTS SDN. BHD.	Director	28/11/1996	198,000.00	33.00	MYR240,640.00	2011	-	23/02/2018
4	959614X	DE VENICE DEVELOPMENT SDN. BHD.	Director	08/09/2011	1.00	50.00	MYR(2,010.00)	2013	Disolved by Registrar	23/02/2018
5	477218P	G.U.S. (NILAI) SDN. BHD.	Director	30/12/2004	70,850.00	14.28	MYR485,442.00	2016	-	23/02/2018
6	497632P	KOTRA INDUSTRIES BERHAD	Director	05/06/2000	3,026,220.00	2.27	MYR12,397,000.00	2017	-	23/02/2018
7	90082V	KOTRA PHARMA (M) SDN. BHD.	Director	15/09/1982	0.00	-	MYR12,292,369.00	2017	-	23/02/2018
8	269246T	LONNIX (M) SDN. BHD.	Director	07/07/1993	62,500.00	12.50	MYR(89,500.00)	1998	-	23/02/2018
9	351429X	MEGA RISING SDN. BHD.	Director	07/08/1995	86,250.00	4.93	MYR70,848.00	2016	-	23/02/2018
10	1166463P	MEGA WAY VENTURE SDN. BHD.	Shareholder	-	50,000.00	14.29	MYR(1,428.00)	2016	-	23/02/2018
11	410368U	MEGAGUS HOLDINGS SDN. BHD.	Director	04/10/2006	20,000.00	12.50	MYR95,042.00	2016	-	23/02/2018
12	442194M	PIONG NAM KIM HOLDINGS SDN. BHD.	Director	30/04/1999	0.00	-	MYR7,752,000.00	2016	-	23/02/2018
13	516012K	T.M. PIONG REALTY SDN. BHD.	Director	05/06/2000	75,000.00	12.50	MYR451,633.00	2016	-	23/02/2018
14	171220M	YOON NAM HIN SDN. BHD.	Shareholder	-	24,000.00	10.00	MYR(56,816.00)	1995	-	23/02/2018

FORMER INTEREST

No	Local No	Company	Designation	App Date	Withdrawn Date	Shareholding	Status
1	398805U	MEGA AYER HITAM SDN. BHD.	Shareholder	-	-	20000.00	-

DIRECTOR 3

Name Of Subject	:	MR. PIONG TECK ONN
Address	:	629-1, JALAN POKOK MANGGA, BALAI PANJANG, 75250 MELAKA, MELAKA, MALAYSIA.
Other Address(es)	:	214-U,JLN.KENANGA 1, TMN.KENANGA S/2, KG.LAPAN;75200 MELAKA, MALAYSIA.
IC / PP No	:	5286062
New IC No	:	571223-04-5361
Date of Birth	:	23/12/1957
Nationality	:	MALAYSIAN
Date of Appointment	:	02/01/1986

INTEREST CHECK

Interest in companies	:	see below
Interest in business	:	none in our databank
Former interest	:	none in our databank

INTEREST IN COMPANY

No	Local No	Company	Designation	App Date	Shareholding		Profit/(loss) After Tax	Financial Year	Status	As At
					No.	%
1	849208T	APPETON HEALTHCARE SDN. BHD.	Director	29/04/2009	0.00	-	MYR(4,985.00)	2017	-	23/02/2018
2	67336V	APPETON LABORATORY SDN. BHD.	Director	21/01/1991	10,000.00	10.00	MYR10,522.00	2017	-	23/02/2018
3	1269260X	BIGLINK REWARDS SDN. BHD.	Director	21/02/2018	0.00	-	-	-	-	23/02/2018
4	939273D	COXINET ASSET SDN. BHD.	Director	15/03/2012	375,000.00	75.00	-	2017	-	23/02/2018
5	712301M	CRESDEL HOLDINGS SDN. BHD.	Director	17/03/2016	99.00	99.00	-	2016	-	23/02/2018
6	641828H	IVF CONSULTANCY SDN. BHD.	Director	27/02/2004	0.00	-	MYR74,948.00	2016	-	23/02/2018
7	497632P	KOTRA INDUSTRIES BERHAD	Director	05/06/2000	0.00	-	MYR12,397,000.00	2017	-	23/02/2018
8	90082V	KOTRA PHARMA (M) SDN. BHD.	Director	02/01/1986	0.00	-	MYR12,292,369.00	2017	-	23/02/2018
9	68159U	MALAYSIAN ORGANISATION OF PHARMACEUTICAL INDUSTRIES	Director	03/06/1998	0.00	-	N/A	2016	-	23/02/2018
10	442194M	PIONG NAM KIM HOLDINGS SDN. BHD.	Director	30/04/1999	51,000.00	51.00	MYR7,752,000.00	2016	-	23/02/2018
11	464698X	THAMES BIOSCIENCE (M) SDN. BHD.	Director	25/07/1998	60,000.00	30.00	MYR9,292.00	2017	-	23/02/2018

FORMER DIRECTOR(S)

Name	Address	IC/PP No	Appointed Date	Withdrawn Date
PIONG NAM KIM	214-U JALAN KENANGA 1, TMN.KENANGA S/2, KG LAPAN, MELAKA, MELAKA, MELAKA, MALAYSIA	320122-04-5075	15/09/1982	15/09/2009
PIONG TECK THEY	6033, JALAN BAYU, TAMAN KLEBANG BESAR, MELAKA, MELAKA, MALAYSIA	590408-04-5097	24/06/1996	15/09/2009
OMAR BIN MD KHIR	NO.2,LORONG KEMARIS 5, TMN.BANDARAYA, KUALA LUMPUR., KUALA LUMPUR, WILAYAH PERSEKUTUAN, MALAYSIA	370501-02-5029	10/12/1998	29/04/2002
ABDUL HALIM BIN MANSORHAJI	A-5078,LRG.ALOR AKAR 11, TAMAN SRI KUANTAN, KUANTAN,PHG, KUANTAN, PAHANG, MALAYSIA	521105-06-5155	05/06/2000	08/11/2000
RAMLI BIN HAJI HASAN	6,JALAN 1B/27D, SECTION 6, B.BARU WANGSA MAJU, K.LUMPUR, SABAK BERNAM, SELANGOR, MALAYSIA	580504-02-5951	05/06/2000	08/11/2000

Note : The above information was generated from our database.

MANAGEMENT

1)	Name of Subject	:	PIONG TECK YEN
	Position	:	DIRECTOR

AUDITOR

Auditor	:	CROWE HORWATH
Auditor' Address	:	52, JALAN KOTA LAKSAMANA 2/15, TAMAN KOTA LAKSAMANA, SEKSYEN 2, 75200 MELAKA, MELAKA, MALAYSIA.

COMPANY SECRETARIES

1)	Company Secretary	:	MS. MAK CHOOI PENG
	IC / PP No	:	A1551424
	New IC No	:	700621-10-5268
	Address	:	49, JALAN USJ 17/3B, UEP SUBANG JAYA, 47630 SUBANG JAYA, SELANGOR, MALAYSIA.

2)	Company Secretary	:	MS. CHUA SIEW CHUAN
	IC / PP No	:	5461293
	New IC No	:	580826-05-5408
	Address	:	6, JALAN SS 14/8E, 47500 SUBANG JAYA, SELANGOR, MALAYSIA.

3)	Company Secretary	:	MS. TAY SEOK YIN
	New IC No	:	820127-04-5200
	Address	:	26, JALAN BB 1/9, TAMAN BACHANG BARU, 75350 BATU BERENDAM, MELAKA, MALAYSIA.

BANKING

Banking relations are maintained principally with :

1)

Name

:

BANK PERUSAHAAN KECIL & SEDERHANA MALAYSIA BHD

2)

Name

:

MALAYAN BANKING BHD

ENCUMBRANCE (S)

Charge No	Creation Date	Charge Description	Chargee Name	Total Charge	Status
1	07/04/1991	N/A	BANK INDUSTRI M BERHAD	MYR 400,000.00	Satisfied
2	21/10/1994	N/A	BANK INDUSTRI MALAYSIA BERHAD	MYR 344,000.00	Satisfied
3	11/04/1996	N/A	KEWANGAN INDUSTRI BERHAD	MYR 1,500,000.00	Satisfied
4	11/04/1996	N/A	BANK INDUSTRI MALAYSIA BERHAD	MYR 3,279,000.00	Satisfied
5	28/10/1996	N/A	HONGKONG BANK MALAYSIA BERHAD	MYR 20,000.00	Satisfied
6	16/04/1997	N/A	HONGKONG BANK MALAYSIA BERHAD	MYR 600,000.00	Satisfied
7	15/06/1998	N/A	BANK INDUSTRI MALAYSIA BERHAD	MYR 3,279,000.00	Satisfied
8	18/06/1998	N/A	BANK PEMBANGUNAN MALAYSIA BERHAD	MYR 1,400,000.00	Satisfied
9	31/03/2000	N/A	BANK PEMBANGUNAN DAN INFRASTRUKTUR MALAYSIA BERHAD	MYR 1,400,000.00	Satisfied
10	02/04/2007	FACILITY AGREEMENT & LEGAL CHARGE	MALAYAN BANKING BERHAD	MYR 40,000,000.00	Unsatisfied
11	30/10/2007	DEBENTURE	MALAYAN BANKING BERHAD	MYR 25,000,000.00	Unsatisfied
12	19/01/2009	LEGAL CHARGE & DEBENTURE	MAYBANK ISLAMIC BERHAD	MYR 125,095,867.02	Unsatisfied
13	19/01/2009	LEGAL CHARGE	MALAYAN BANKING BERHAD	MYR 4,000,000.00	Unsatisfied
14	06/02/2009	NEGATIVE PLEDGE	MALAYAN BANKING BERHAD	MYR 15,500,000.00	Unsatisfied
15	13/06/2009	LEGAL CHARGE & DEBENTURE	MAYBANK ISLAMIC BERHAD	MYR 17,030,849.54	Unsatisfied
16	27/10/2009	LEGAL CHARGE & DEBENTURE	MAYBANK ISLAMIC BERHAD	MYR 10,385,340.67	Unsatisfied
17	13/01/2011	FACILITIES AGREEMENT & NEGATIVE PLEDGE	ASIAN FINANCE BANK BERHAD	MYR 20,000,000.00	Unsatisfied
18	09/11/2011	LEGAL CHARGE & DEBENTURE	MAYBANK ISLAMIC BERHAD	MYR 9,495,424.80	Satisfied

CIVIL LITIGATION CHECK - SUBJECT COMPANY AS A DEFENDANT

* A check has been conducted in our databank against 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.

CRIMINAL CHECK - SUBJECT COMPANY AS A DEFENDANT

* A check has been conducted in our databank against the Subject whether the Subject has been involved in any litigation. Our databank consists of 99% of the wound up companies in Malaysia.

No criminal record was found in our databank.

CIVIL LITIGATION CHECK - SUBJECT COMPANY AS A PLAINTIFF

* A check has been conducted in our databank against the Subject whether the Subject has been involved in any litigation. Our databank consists of 99% of the wound up companies in Malaysia.

There is/are CLOSED litigation case(s) on the Subject in our database as below:
- 4 case(s) filed in year 2017

According to the Credit Reporting Agencies Act 2010, consent from the Subject is required for the disclosure of this credit information. In order to have the consent from the Subject, we need to serve a notice to the Subject by disclose the following according to the Act Section 23(1) :

1) Enquirer or Company who request for this credit information.
2) Contact person of Enquirer
3) Purpose of this credit information being used.
4) Contact person of the Subject.

We shall appreciate if you can furnish us the above in order for us to serve a notice or inform the Subject accordingly. Otherwise, we are prohibited to disclose this credit information if there is no consent from the Subject according to the Act Section 24(1)(a).

CRIMINAL RECORDS CHECK - SUBJECT COMPANY AS A PLAINTIFF

* A check has been conducted in our databank against the Subject whether the Subject has been involved in any litigation. Our databank consists of 99% of the wound up companies in Malaysia.

No plaintiff record 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 listed by our customers and debtors that have been placed or assigned to us for collection.

No defaulter 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	:	ASIA
Credit Term	:	30 - 60 DAYS
Payment Mode	:	CHEQUES TELEGRAPHIC TRANSFER (TT)
Type of Customer	:	CLINICS,HOSPITALS,PHARMACIES

OPERATIONS

Products manufactured

:

MEDICINE, PHARMACEUTICAL & SUPPLEMENT PRODUCTS

Award

:

1 ) MS ISO 9001 : 2000 Year :2004

Member(s) / Affiliate(s)

:

FEDERATION OF MALAYSIAN MANUFACTURERS (FMM)

SMI ASSOCIATION OF MALAYSIA

MALAYSIA EXTERNAL TRADE DEVELOPMENT CORPORATION (MATRADE)

CHEMICAL INDUSTRIES COUNCIL OF MALAYSIA (CICM)

MALAYSIA FOOD & BEVERAGE INDUSTRY

Ownership of premises

:

OWNED

Production Capacity

:

DEPENDS ON CUSTOMER'S REQUIREMENTS

Total Number of Employees:
YEAR	2018	2017	2016	2015	2014	2013
GROUP	N/A	N/A	N/A	N/A	N/A	N/A
COMPANY	600	600	600	600	600	650

Branch

:

NO

Other Information:

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

The Subject is mainly on the manufacturing and distribution of pharmaceutical products throughout Malaysia.

The Subject also manufactures and distributes prescribed products under the name of Axcel and Vaxcel, which comprises 24 different therapeutic classes.

The Subject's range of nutraceutical and pharmaceutical products address holistic wellness through every phase of life – from pre-natal healthcare for mother and baby to golden year-wellness.

With an extensive range of therapeutic products, the Subject provides remedies for a variety of diseases.

The Subject are also devoted in the prevention of illnesses through their preventive healthcare line of vitamins, supplements and vaccinations.

RECENT DEVELOPMENT

10 September 2016

PENANG Starwalk 2016 participants will go home with three Appeton products tomorrow.

Kotra Pharma (M) Sdn Bhd is sponsoring Appeton products worth up to RM2.1mil for Penang Starwalk which will be held at Penang Times Square tomorrow.

The products that will be given out are 14,420 tins of Appeton Weight Gain 450g, 11,500 sachets of Appeton Collagen Plus and 2,900 bottles of Appeton Activ C 30’s tablets (vitamin C tablets).

Kotra Pharma marketing manager Kenric Khaw Eng Wan said Appeton is a trusted household brand which has 30 years of experience in the industry and is established in 30 countries worldwide.

“Appeton Weight Gain is the only brand that is clinically proven to gain weight healthily. L-Arginine stimulates the growth hormone to increase lean mass.

“It is healthier than eating high-fat food which can compromise your health as it increases levels of bad cholesterol and glucosen,” said Khaw.

He added that adults who consumed Appeton Weight Gain can gain up to 2.1kg after two months while children can gain up to 2kg after 3 months.

ADVERTISING

“We have expanded our range from children’s products to adult health supplements and nutritional products that cater to all,” said Khaw, adding that it was in line with Appeton’s tagline “Health for Life”.

“Additionally, we have Appeton Wellness 60+, which is for elderly diabetic patients.

“The Appeton Collagen Plus that we are giving out is specifically for women. The participants of Penang Starwalk can benefit from this as the skin’s natural production of collagen tends to decrease because of the harmful effects of sun ray,” said Khaw, adding that participants can also consume collagen to improve the health of their joints.

“Appeton Activ C 30’s tablets can also improve the skin and body immunity,” added Khaw.

The 7km non-competitive Penang Starwalk 2016 will be flagged off from Penang Times Square at 7am tomorrow. Registration for the event is closed.

The premier event is jointly organised by Star Media Group and the Penang Amateur Athletic Association.

The Platinum sponsor for the walk is YTL Communication Sdn Bhd (YES) while the Silver sponsors are E&O Property (Penang) Sdn Bhd, GUH Holdings Berhad, Federal Oats Mills, Perfect Food Manufacturing (M) Sdn Bhd, F&N Beverages Marketing Sdn Bhd and Chuan Sin Sdn Bhd.

The event’s venue provider is Penang Times Square.

CURRENT INVESTIGATION

Latest fresh investigations carried out on the Subject indicated that :

Telephone Number Provided By Client	:	N/A
Current Telephone Number	:	06-3362222
Match	:	N/A
Address Provided by Client	:	NO. 1 JALAN TTC 12, CHENG INDL AREA 750250 MELAKA
Current Address	:	1, 2 & 3 JALAN TTC 12, CHENG INDUSTRIAL ESTATE, 75250 MELAKA, MELAKA, MALAYSIA.
Match	:	NO
Latest Financial Accounts	:	YES

Other Investigations

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

The address provided is incomplete.

FINANCIAL ANALYSIS

Profitability
Turnover	:	Increased	[	2013 - 2017	]
Profit/(Loss) Before Tax	:	Increased	[	2013 - 2017	]
Return on Shareholder Funds	:	Unfavourable	[	8.69%	]
Return on Net Assets	:	Acceptable	[	12.93%	]
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 unfavourable return on shareholders' funds could indicate that the Subject was inefficient in utilising its assets to generate returns.
Working Capital Control
Stock Ratio	:	Unfavourable	[	90 Days	]
Debtor Ratio	:	Unfavourable	[	82 Days	]
Creditors Ratio	:	Favourable	[	48 Days	]
The Subject could be incurring higher holding cost. As its capital was tied up in stocks, it could face liquidity problems. The high debtors' ratio could indicate that the Subject was weak in its credit control. However, the Subject could also giving longer credit periods to its customers in order to boost its sales or to capture / retain its market share. The Subject had a favourable creditors' ratio where the Subject could be taking advantage of the cash discounts and also wanting to maintain goodwill with its creditors.
Liquidity
Liquid Ratio	:	Favourable	[	1.15 Times	]
Current Ratio	:	Unfavourable	[	1.95 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	:	Acceptable	[	3.07 Times	]
Gearing Ratio	:	Favourable	[	0.52 Times	]
The Subject's interest cover was slightly low. If there is no sharp fall in its profit or sudden increase in the interest rates, we believe the Subject is able to generate sufficient income to service its interest and repay the loans. The Subject was lowly geared thus it had a low financial risk. The Subject was mainly financed by its shareholders' funds and internally generated funds. In times of economic slowdown / downturn, the Subject being a lowly geared company, will be able to compete better than those companies which are highly geared in the same industry.
Overall Assessment :
Generally, the Subject's performance has improved with higher turnover and profit. The Subject was in good liquidity position with its total current liabilities well covered by its total current assets. With its current net assets, the Subject should be able to repay its short term obligations. The Subject had an acceptable interest cover. If there is no sudden sharp increase in interest rate or fall in the Subject's profit, we do believe the Subject is able to generate sufficient cash flow to service its interest payment. The Subject as a lowly geared company, will be more secured compared to those highly geared companies. It has the ability to meet all its long term obligations.
Overall financial condition of the Subject : FAIR

MALAYSIA ECONOMIC / INDUSTRY OUTLOOK

Major Economic Indicators:	2014	2015	2016	2017*	2018**
Population ( Million)	30.0	31.0	31.6	32.1	32.9
Gross Domestic Products ( % )	6.0	4.6	4.2	5.3	5.4
Domestic Demand ( % )	6.4	6.2	4.3	6.3	6.4
Private Expenditure ( % )	7.9	6.9	7.8	7.4	7.3
Consumption ( % )	6.5	6.1	5.1	6.9	6.8
Investment ( % )	12.0	8.1	10.0	9.3	8.9
Public Expenditure ( % )	2.3	4.2	3.3	5.3	5.5
Consumption ( % )	2.1	4.3	2.0	2.7	1.3
Investment ( % )	2.6	(1.0)	1.1	3.4	3.8
Balance of Trade ( MYR Million )	82,480	91,577	88,145	94,593	96,993
Government Finance ( MYR Million )	(37,414)	(37,194)	(38,401)	(39,887)	(39,790)
Government Finance to GDP / Fiscal Deficit ( % )	(3.4)	(3.2)	(3.1)	(3.0)	(2.8)
Inflation ( % Change in Composite CPI)	3.2	4.0	2.1	3.5	3.0
Unemployment Rate	2.9	3.1	3.4	3.4	3.3
Net International Reserves ( MYR Billion )	417	390	391	-	-
Average Risk-Weighted Capital Adequacy Ratio ( % )	4.00	3.50	-	-	-
Average 3 Months of Non-performing Loans ( % )	2.10	2.00	1.90	-	-
Average Base Lending Rate ( % )	6.85	6.79	6.81	6.73	-
Business Loans Disbursed( % )	18.6	2.2	-	-	-
Foreign Investment ( MYR Million )	43,486.6	43,435.0	-	-	-
Consumer Loans ( % )	-	-	-	-	-
Registration of New Companies ( No. )	49,203	45,658	43,255	-	-
Registration of New Companies ( % )	6.1	(7.2)	(5.3)	-	-
Liquidation of Companies ( No. )	11,099	7,066	-	-	-
Liquidation of Companies ( % )	(19.5)	(36.3)	-	-	-
Registration of New Business ( No. )	332,723	364,230	376,720	-	-
Registration of New Business ( % )	1.0	9.0	3.0	-	-
Business Dissolved ( No. )	21,436	-	-	-	-
Business Dissolved ( % )	18.0	-	-	-	-
Sales of New Passenger Cars (' 000 Unit )	588.3	591.3	514.6	527.8	-
Cellular Phone Subscribers ( Million )	44.0	44.2	44.0	-	-
Tourist Arrival ( Million Persons )	27.4	25.7	30.2	30.1	-
Hotel Occupancy Rate ( % )	63.6	58.8	61.2	-	-
Credit Cards Spending ( % )	5.8	6.8	6.3	-	-
Bad Cheque Offenders (No.)	-	-	-	-	-
Individual Bankruptcy ( No.)	22,351	18,457	-	-	-
Individual Bankruptcy ( % )	1.7	(17.4)	-	-	-

INDUSTRIES ( % of Growth ):	2014	2015	2016	2017*	2018**
Agriculture	2.0	1.3	(5.1)	5.6	2.4
Palm Oil	6.7	7.0	(12.7)	11.8	-
Rubber	(10.4)	(11.0)	(6.3)	10.8	-
Forestry & Logging	(4.2)	(7.2)	(3.0)	(15.0)	-
Fishing	2.7	2.1	2.2	0.2	-
Other Agriculture	6.2	6.0	5.1	2.4	-
Industry Non-Performing Loans ( MYR Million )	303.8	343.7	420.3	-	-
% of Industry Non-Performing Loans	1.4	1.5	1.8	-	-
Mining	3.3	5.3	2.2	0.5	0.9
Oil & Gas	3.0	3.5	4.5	-	-
Other Mining	46.6	47.1	42.6	-	-
Industry Non-performing Loans ( MYR Million )	63.5	180.1	190.0	-	-
% of Industry Non-performing Loans	0.3	0.8	0.8	-	-
Manufacturing #	6.1	4.9	4.4	5.5	5.3
Exported-oriented Industries	7.1	6.5	4.3	6.5	-
Electrical & Electronics	11.8	9.2	6.8	9.3	-
Rubber Products	(1.3)	5.1	5.0	6.9	-
Wood Products	7.8	7.0	7.8	7.3	-
Textiles & Apparel	10.8	7.5	7.5	7.4	-
Domestic-oriented Industries	7.7	4.7	3.4	6.2	-
Food, Beverages & Tobacco	6.1	8.9	7.5	11.0	-
Chemical & Chemical Products	1.4	3.5	4.5	3.5	-
Plastic Products	2.7	3.9	5.1	-	-
Iron & Steel	2.8	1.6	2.2	-	-
Fabricated Metal Products	2.8	4.6	5.6	4.6	-
Non-metallic Mineral	6.9	6.8	6.3	5.4	-
Transport Equipment	14.4	5.2	(3.1)	4.7	-
Paper & Paper Products	4.7	3.2	5.4	5.8	-
Crude Oil Refineries	13.0	14.3	13.7	-	-
Industry Non-Performing Loans ( MYR Million )	5,730.8	4,243.7	4,214.1	-	-
% of Industry Non-Performing Loans	25.6	19.0	18.5	-	-
Construction	11.7	8.2	7.4	7.6	7.5
Industry Non-Performing Loans ( MYR Million )	1,666.4	1,638.0	1,793.9	-	-
% of Industry Non-Performing Loans	7.5	7.3	7.9	-	-
Services	6.6	5.1	5.6	5.9	5.8
Electric, Gas & Water	3.8	3.6	5.4	2.5	2.6
Transport, Storage & Communication	7.70	7.55	6.85	7.35	7.30
Wholesale, Retail, Hotel & Restaurant	7.70	6.65	6.65	7.05	6.65
Finance, Insurance & Real Estate	5.15	2.90	4.70	5.70	5.90
Government Services	6.3	4.0	4.9	4.4	4.5
Other Services	4.8	4.7	4.8	5.3	5.3
Industry Non-Performing Loans ( MYR Million )	5,373.5	6,806.6	7,190.6	-	-
% of Industry Non-Performing Loans	24.1	30.5	31.5	-	-
* Estimate / Preliminary
** Forecast
# Based On Manufacturing Production Index

INDUSTRY ANALYSIS

MSIC CODE
21009 : Manufacture of other pharmaceuticals, medicinal chemical and botanical products n.e.c.
INDUSTRY :	MANUFACTURING
The manufacturing sector is forecast to increase 5.3% in year 2018 (2017: 5.5%). Output of export-oriented industries is projected to expand on account of sustained demand for E&E, refined petroleum and woods products. Growth in the domestic-oriented industries is anticipated to remain resilient supported by ongoing construction of infrastructure projects as well as strong demand for consumer products, especially food and transport equipment.
Value added of the manufacturing sector expanded further by 5.8% during the first half of 2017 (January – June 2016: 4.4%) with expansion across a wide range of outputs in both the export- and domestic-oriented industries. During the first eight months, production increased 6.4%, while sales rebounded significantly by 15.6% to RM500.2 billion (January – August 2016: 4%; -0.7%; RM432.8 billion). Output of export-oriented industries rose 6.5% (January – August 2016: 4.3%) led by an upturn in global electronics cycle and further enhanced by strong demand for resource-based products. Meanwhile, domestic-oriented industries expanded 6.2% (January – August 2016: 3.4%) benefiting from vibrant consumption and construction activities.
Within the export-oriented industries, E&E output expanded 9.3% while sales surged 16.3% to RM169.5 billion (January – August 2016: 6.8%; 9%; RM145.8 billion). Growth emanated mainly from the expansion in output of printed circuit boards, semiconductor devices and electronic integrated circuits which strengthened further by 24.4%, 11.9% and 16.9% (January – August 2016: 11.9%; 5.9%; 15%), respectively. This is in line with the trend in global semiconductor sales which is expected to expand 11.5% in 2017, the highest level since 2010. On the contrary, the output of computers and peripheral equipment contracted 7.7% (January – August 2016: 3.1%) as a result of lower demand for notebooks and personal computers following rising preferences for smartphones and tablets. Meanwhile, consumer electronics grew at a moderate pace of 2.6% (January – August 2016: 5.3%) partly due to lower demand for in-car entertainment, portable media players and digital cameras.
Output of wood and wood products grew 7.3% (January – August 2016: 7.8%). The growth was primarily supported by output of sawmilling and planning of wood which expanded 14.7% (January – August 2016: 16.8%) in response to strong demand from Australia, Japan and the US. Meanwhile, production of wooden and cane furniture remained steady at 10.9% (January – August 2016: 10.9%), benefiting from greater adoption of technology and diversification of export markets.
Manufacture of food products rose 11.2%, largely attributed to a significant increase in refined palm oil at 26.1% (January – August 2016: 6.3%; -3.3%), following higher production of CPO. Meanwhile, output of other food products grew 7% supported by production of bread, cakes and other bakery (15.6%) as well as biscuits and cookies (12%) to meet the rising demand from households (January – August 2016: 11.1%; 19.2%; 19.1%).
For the year, the manufacturing sector is projected to expand further by 5.5% (2016: 4.4%) mainly attributed to an upturn in global semiconductor sales as well as higher demand for consumer products and construction materials.
OVERALL INDUSTRY OUTLOOK : Marginal Growth

CREDIT RISK EVALUATION & RECOMMENDATION

Incorporated in 1982, the Subject is a Private Limited company, focusing on manufacturing of medicine,pharmaceutical and healthcare products. The Subject has been in business for over two decades. It has built up a strong clientele base and good reputation will enable the Subject to further enhance its business in the near term. The Subject is expected to enjoy a stable market shares. The Subject is a large entity with strong capital position of MYR 18,722,222. We are confident with the Subject's business and its future growth prospect. The Subject is well backed by a listed holding company which would stimulate further growth for the Subject. Hence, the potential growth of the Subject is positive.

Over the years, the Subject has penetrated into both the local and overseas market. The Subject has positioned itself in the global market and is competing in the industry. Its stable clientele base will enable the Subject to further enhance its business in the near term. Being a large entity, the Subject has a steady workforce of 600 personnel to support its business operations. Its future prospects seem to be fairly good as its business operations are running relatively stable. Overall, we regard that the Subject's management capability is average. This indicates that the Subject has greater potential to improve its business performance and raising income for the Subject. 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.

We noted that both the turnover and profits have increased compared to the previous year. The higher profit could be due to increase in turnover and better control over its operating costs. The Subject has generated an unfavourable return on shareholders' funds indicating that the management was inefficient in utilising its funds to generate return. The Subject is in good liquidity position with its current liabilities well covered by it current assets. Hence, it has sufficient working capital to meet its short term financial obligations. Being a lowly geared company, the Subject is exposed to low financial risk as it is mainly dependent on its internal funds to finance its business needs. Given a positive net worth standing at MYR 141,423,326, 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 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 promptly.

PROFIT AND LOSS ACCOUNT

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

KOTRA PHARMA (M) SDN. BHD.

Financial Year End	2017-06-30	2016-06-30	2015-06-30	2014-06-30	2013-06-30
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	166,367,735	160,230,463	145,174,400	147,371,154	131,294,563
	----------------	----------------	----------------	----------------	----------------
Total Turnover	166,367,735	160,230,463	145,174,400	147,371,154	131,294,563
	----------------	----------------	----------------	----------------	----------------
PROFIT/(LOSS) FROM OPERATIONS	12,333,101	7,753,921	1,078,944	5,883,938	3,622,127
	----------------	----------------	----------------	----------------	----------------
PROFIT/(LOSS) BEFORE TAXATION	12,333,101	7,753,921	1,078,944	5,883,938	3,622,127
Taxation	(40,732)	500	(20,304)	(7,817)	(16,628)
	----------------	----------------	----------------	----------------	----------------
PROFIT/(LOSS) AFTER TAXATION	12,292,369	7,754,421	1,058,640	5,876,121	3,605,499
	----------------	----------------	----------------	----------------	----------------
RETAINED PROFIT/(LOSS) BROUGHT FORWARD
As previously reported	101,366,277	93,611,856	92,553,216	86,588,681	82,983,182
	----------------	----------------	----------------	----------------	----------------
As restated	101,366,277	93,611,856	92,553,216	86,588,681	82,983,182
	----------------	----------------	----------------	----------------	----------------
PROFIT AVAILABLE FOR APPROPRIATIONS	113,658,646	101,366,277	93,611,856	92,464,802	86,588,681
TRANSFER TO RESERVES - General	-	-	-	88,414	-
DIVIDENDS - Ordinary (paid & proposed)	(750,000)	-	-	-	-
	----------------	----------------	----------------	----------------	----------------
RETAINED PROFIT/(LOSS) CARRIED FORWARD	112,908,646	101,366,277	93,611,856	92,553,216	86,588,681
	=============	=============	=============	=============	=============
INTEREST EXPENSE (as per notes to P&L)
Term loan / Borrowing	5,123,928	5,688,471	6,050,057	6,060,428	6,082,450
Others	823,852	1,286,342	1,668,051	2,067,063	2,050,979
	----------------	----------------	----------------	----------------	----------------
	5,947,780	6,974,813	7,718,108	8,127,491	8,133,429
	=============	=============	=============	=============	=============
DEPRECIATION (as per notes to P&L)	13,445,883	13,291,556	12,304,867	11,499,293	10,913,088
AMORTIZATION	(239,856)	(68,818)	(40,561)	(19,182)	-
	----------------	----------------	----------------	----------------	----------------
Total Amortization And Depreciation	13,206,027	13,222,738	12,264,306	11,480,111	10,913,088
	=============	=============	=============	=============	=============

BALANCE SHEET

KOTRA PHARMA (M) SDN. BHD.

ASSETS EMPLOYED:
FIXED ASSETS	151,317,661	161,743,159	162,905,537	169,599,282	160,931,895
LONG TERM INVESTMENTS/OTHER ASSETS
Investment properties	1,467,728	1,493,626	1,519,522	1,545,418	1,571,314
	----------------	----------------	----------------	----------------	----------------
TOTAL LONG TERM INVESTMENTS/OTHER ASSETS	1,467,728	1,493,626	1,519,522	1,545,418	1,571,314
	----------------	----------------	----------------	----------------	----------------
TOTAL LONG TERM ASSETS	152,785,389	163,236,785	164,425,059	171,144,700	162,503,209
CURRENT ASSETS
Stocks	40,548,874	33,607,296	34,593,851	36,896,276	27,287,718
Contract work-in-progress	353,155	748,196	1,914,872	1,965,107	1,674,331
Trade debtors	37,271,289	37,647,015	35,735,377	45,882,262	48,482,682
Other debtors, deposits & prepayments	4,266,288	2,134,106	5,612,746	2,836,496	7,031,043
Cash & bank balances	16,231,355	14,588,173	10,339,924	12,323,510	13,362,908
Others	-	15,465	-	86,946	-
	----------------	----------------	----------------	----------------	----------------
TOTAL CURRENT ASSETS	98,670,961	88,740,251	88,196,770	99,990,597	97,838,682
	----------------	----------------	----------------	----------------	----------------
TOTAL ASSET	251,456,350	251,977,036	252,621,829	271,135,297	260,341,891
	===========	===========	===========	===========	===========
CURRENT LIABILITIES
Trade creditors	21,711,670	13,383,503	18,383,038	20,913,658	18,643,683
Other creditors & accruals	12,287,331	10,206,560	8,755,451	10,119,443	10,500,169
Hire purchase & lease creditors	581,345	545,412	509,480	473,548	-
Bank overdraft	-	-	-	2,359,393	4,608,977
Short term borrowings/Term loans	8,898,687	8,781,224	8,239,026	7,944,249	2,360,279
Other borrowings	-	11,537,377	13,059,178	15,058,917	15,026,384
Bill & acceptances payable	6,965,397	9,516,542	7,247,789	11,824,751	13,840,524
Amounts owing to holding company	68,775	256,413	257,652	249,068	307,104
Provision for taxation	15,770	2,143	-	1,200	-
Other liabilities	-	-	1,739	-	61,560
	----------------	----------------	----------------	----------------	----------------
TOTAL CURRENT LIABILITIES	50,528,975	54,229,174	56,453,353	68,944,227	65,348,680
	----------------	----------------	----------------	----------------	----------------
NET CURRENT ASSETS/(LIABILITIES)	48,141,986	34,511,077	31,743,417	31,046,370	32,490,002
	----------------	----------------	----------------	----------------	----------------
LONG TERM LIABILITIES
Long term loans	57,092,181	65,759,536	74,287,083	82,205,624	90,198,116
Hire purchase creditors	207,326	788,671	1,334,083	1,843,563	-
Others	2,204,542	1,844,498	371,454	309,667	-
	----------------	----------------	----------------	----------------	----------------
TOTAL LONG TERM LIABILITIES	59,504,049	68,392,705	75,992,620	84,358,854	90,198,116
	----------------	----------------	----------------	----------------	----------------
TOTAL NET ASSETS	141,423,326	129,355,157	120,175,856	117,832,216	104,795,095
	===========	=============	=============	=============	=============
FINANCED BY:
SHARE CAPITAL
Ordinary share capital	22,500,000	18,722,222	18,722,222	18,722,222	14,222,222
	----------------	----------------	----------------	----------------	----------------
TOTAL SHARE CAPITAL	22,500,000	18,722,222	18,722,222	18,722,222	14,222,222
RESERVES
Share premium	-	3,777,778	3,777,778	3,777,778	3,777,778
Retained profit/(loss) carried forward	112,908,646	101,366,277	93,611,856	92,553,216	86,588,681
Others	6,014,680	5,488,880	4,064,000	2,779,000	206,414
	----------------	----------------	----------------	----------------	----------------
TOTAL RESERVES	118,923,326	110,632,935	101,453,634	99,109,994	90,572,873
	----------------	----------------	----------------	----------------	----------------
SHAREHOLDERS' FUNDS/EQUITY	141,423,326	129,355,157	120,175,856	117,832,216	104,795,095
	==========	===========	===========	===========	===========

FINANCIAL RATIO

KOTRA PHARMA (M) SDN. BHD.

TYPES OF FUNDS
Cash	16,231,355	14,588,173	10,339,924	12,323,510	13,362,908
Net Liquid Funds	9,265,958	5,071,631	3,092,135	(1,860,634)	(5,086,593)
Net Liquid Assets	7,593,112	903,781	(2,850,434)	(5,849,906)	5,202,284
Net Current Assets/(Liabilities)	48,141,986	34,511,077	31,743,417	31,046,370	32,490,002
Net Tangible Assets	141,423,326	129,355,157	120,175,856	117,832,216	104,795,095
Net Monetary Assets	(51,910,937)	(67,488,924)	(78,843,054)	(90,208,760)	(84,995,832)
PROFIT & LOSS ITEMS
Earnings Before Interest & Tax (EBIT)	18,280,881	14,728,734	8,797,052	14,011,429	11,755,556
Earnings Before Interest, Taxes, Depreciation And Amortization (EBITDA)	31,486,908	27,951,472	21,061,358	25,491,540	22,668,644
BALANCE SHEET ITEMS
Total Borrowings	73,744,936	96,928,762	104,676,639	121,710,045	126,034,280
Total Liabilities	110,033,024	122,621,879	132,445,973	153,303,081	155,546,796
Total Assets	251,456,350	251,977,036	252,621,829	271,135,297	260,341,891
Net Assets	141,423,326	129,355,157	120,175,856	117,832,216	104,795,095
Net Assets Backing	141,423,326	129,355,157	120,175,856	117,832,216	104,795,095
Shareholders' Funds	141,423,326	129,355,157	120,175,856	117,832,216	104,795,095
Total Share Capital	22,500,000	18,722,222	18,722,222	18,722,222	14,222,222
Total Reserves	118,923,326	110,632,935	101,453,634	99,109,994	90,572,873
GROWTH RATIOS (Year on Year) (%)
Revenue	3.83	10.37	(1.49)	12.24	3.43
Proft/(Loss) Before Tax	59.06	618.66	(81.66)	62.44	296.07
Proft/(Loss) After Tax	58.52	632.49	(81.98)	62.98	303.52
Total Assets	(0.21)	(0.26)	(6.83)	4.15	1.31
Total Liabilities	(10.27)	(7.42)	(13.61)	(1.44)	(0.09)
LIQUIDITY (Times)
Cash Ratio	0.32	0.27	0.18	0.18	0.20
Liquid Ratio	1.15	1.02	0.95	0.92	1.08
Current Ratio	1.95	1.64	1.56	1.45	1.50
WORKING CAPITAL CONTROL (Days)
Stock Ratio	90	78	92	96	81
Debtors Ratio	82	86	90	114	135
Creditors Ratio	48	30	46	52	52
SOLVENCY RATIOS (Times)
Gearing Ratio	0.52	0.75	0.87	1.03	1.20
Liabilities Ratio	0.78	0.95	1.10	1.30	1.48
Times Interest Earned Ratio	3.07	2.11	1.14	1.72	1.45
Assets Backing Ratio	6.29	6.91	6.42	6.29	7.37
PERFORMANCE RATIO (%)
Operating Profit Margin	7.41	4.84	0.74	3.99	2.76
Net Profit Margin	7.39	4.84	0.73	3.99	2.75
Return On Net Assets	12.93	11.39	7.32	11.89	11.22
Return On Capital Employed	9.07	7.43	4.47	6.83	5.89
Return On Shareholders' Funds/Equity	8.69	5.99	0.88	4.99	3.44
Dividend Pay Out Ratio (Times)	0.06	0	0	0	0
NOTES TO ACCOUNTS
Contingent Liabilities	0	0	0	0	0

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	INR 65.02
UK Pound	1	INR 91.49
Euro	1	INR 79.79
MYR	1	INR 16.82

Note : Above are approximate rates obtained from sources believed to be correct

INFORMATION DETAILS

Analysis Done by :	VIV
Report Prepared by :	TRU

RATING EXPLANATIONS

Credit Rating	Explanation	Rating Comments
A++	Minimum Risk	Business dealings permissible with minimum risk of default
A+	Low Risk	Business dealings permissible with low risk of default
A	Acceptable Risk	Business dealings permissible with moderate risk of default
B	Medium Risk	Business dealings permissible on a regular monitoring basis
C	Medium High Risk	Business dealings permissible preferably on secured basis
D	High Risk	Business dealing not recommended or on secured terms only
NB	New Business	No recommendation can be done due to business in infancy stage
NT	No Trace	No recommendation can be done as the business is not traceable

NB is stated where there is insufficient information to facilitate rating. However, it is not to be considered as unfavourable.

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 are as follows:

· Financial condition covering various ratios

· Company background and operations size

· Promoters / Management background

· Payment record

· Litigation against the subject

· Industry scenario / competitor analysis

· Supplier / Customer / Banker review (wherever available)

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