WOVENTEX CORPORATION BERHAD
(Company No : 358700-A)
(Incorporated in Malaysia)
QUARTERLY REPORT
Quarterly report on consolidated results for the third financial quarter ended 30 April 2000
The figures have not been audited.
CONSOLIDATED INCOME STATEMENT
INDIVIDUAL QUARTER CUMULATIVE QUARTER
Current Preceding year Current Preceding year
year corresponding year corresponding
quarter quarter To date Period
Note 4/30/2000 dd/mm/yyy 4/30/2000 dd/mm/yyy
RM'000 RM'000 RM'000 RM'000
1. (a) Turnover 19,475 n/a 58,840 n/a
(b) Investment
income 70 n/a 70 n/a
(c) Other income including
interest income 35 n/a 70 n/a
2. (a) Operating profit/(loss)
before interest on
borrowings,
depreciation and
amortisation,
exceptional items,
income tax, minority
interests and
extraordinary items 2,594 n/a 7,201 n/a
(b) Interest on borrowings 319 n/a 974 n/a
(c) Depreciation and
amortisation 1,250 n/a 3,726 n/a
(d) Exceptional items - n/a - n/a
(e) Operating profit/(loss)
after interest on
borrowings,
depreciation and
amortisation and
exceptional items but
before income tax,
minority interests and
extraordinary items 1,025 n/a 2,501 n/a
(f) Share in the results of
associated companies 183 n/a 177 n/a
(g) Profit/(loss) before
taxation, minority
interests and
extraordinary items 1,208 n/a 2,678 n/a
(h) Taxation 100 n/a 217 n/a
(i) (i) Profit/(loss) after
taxation before
deducting
minority interests 1,108 n/a 2,461 n/a
(ii) Less minority
interests (50) n/a 467 n/a
(j) Profit/(loss) after
taxation attributable
to members of the
Company 1,158 n/a 1,994 n/a
(k) (i) Extraordinary items - n/a - n/a
(ii) Less minority
interests - n/a - n/a
(iii) Extraordinary items
attributable to
members of the
company - n/a - n/a
(l) Profit/(loss) after
taxation and
extraordinary items
attributable to members
of the company 1,158 n/a 1,994 n/a
3. (a) Earnings per share based
on 2(j) above after
deducting any
provision for
preference dividends,
if any:-
(i) Basic (based on ordinary shares) (sen) 4.34 n/a 8.97 n/a
(ii) Fully diluted (based on 54,442,000
ordinary shares)
(sen) - n/a 4.90 n/a
4 Net tangible assets
per share (RM) - n/a 1.64 n/a
5 (a) Dividend per share (RM) - n/a - n/a
(b) Dividend (description) - n/a - n/a
Remarks:
(1) For Item 3(a) (i) - the basic Earnings Per Share is calculated based on 26,665,333 and 22,221,111 ordinary shares for
current and cumulative quarter respectively.
(2) For Item 3(a)(ii) - the fully diluted Earnings Per Share is calculated based on enlarged share capital of 54,442,000
ordinary shares after Rights Issue.
WOVENTEX CORPORATION BERHAD
(Company No : 358700-A)
(Incorporated in Malaysia)
CONSOLIDATED BALANCE SHEET
As at As at
end of preceding
current financial
quarter year end
Note 4/30/2000 31/07/1999
RM'000 RM'000
1. Fixed assets 45,266 44,411
2. Investment in Associated Company 854 427
3. Long term investments 10,020 10,020
4. Intangible assets 734 954
5. Current Assets
Stocks 10,829 8,618
Trade Debtors 21,721 22,020
Other debtors 4,196 2,378
Short term investments 1,287 73
Short term deposit 9,590 -
Cash 564 1,395
Others - provide details, if material
48,187 34,484
6. Current liabilities
Short term borrowings 14,130 19,904
Trade creditors 12,248 15,792
Other creditors 5,955 4,621
Proposed Dividend - 432
Others - provide details, if material
32,333 40,749
7. Net Current Assets or Current Liabilities 15,854 (6,265)
72,728 49,547
8. Shareholders' Funds
Share Capital 39,998 19,999
Reserves
Share Premium 5,534 3,534
Revaluation reserve 3,545 3,545
Capital reserve 1,139 1,139
Statutory reserve -
Retained profit 15,945 13,951
Others
10 Minority Interests 4,640 4,172
11 Long Term Borrowings 680 1,960
12 Loan from shareholders 630 630
12 Deferred Tax 617 617
72,728 49,547
13 Net tangible assets per share (RM) 1.64 2.06
WOVENTEX CORPORATION BERHAD
(Company No : 358700-A)
(Incorporated in Malaysia)
NOTES TO 3RD QUARTER FINANCIAL STATMENTS
for the financial quarter ended 30 April 2000
1. Accounting policies
The accounts of the Group are prepared using the same accounting policies, method of computation and
basis of consolidation as those used in the preparation of the most recent annual financial statements.
2. Exceptional item
There was no exceptional item arising during the quarter under review.
3. Extraordinary item
There was no extraordinary item arising during the quarter under review.
4. Taxation
The provision for tax on operating income is lower as compared to the statutory tax rate due to Pioneer Status
enjoyed by one of the Company's subsidiaries.
5. Pre-acquisition profits/(losses)
There were no pre-acquisition profits/(losses) arising during the quarter under review.
6. Profits on sales of investments/properties
There were no profits on sale of investments and/or properties outside the ordinary course of the Group's
business for the financial quarter under review.
7. Quoted securities
(a) Gain/(Loss) on disposal of quoted shares for the current financial year to date :
RM '000
Proceeds from shares disposal 90
Opening - Quoted shares 73
Purchases 1,287
Closing - Quoted shares 1,287
73
Gain/(Loss) on disposal of quoted shares 17
(b) Investments in quoted shares
Short term investments
(i) Cost 1,287
(ii) Net book value 1,287
(iii) Market value 1,232
Long term investments (excluding RM20,000 other investment)
(i) Cost 10,000
(ii) Net book value 10,000
(iii) Market value 12,227
8. Effect of Changes in composition of the Company
There were no changes in the composition of the Company during the current financial quarter to date.
9. Corporate proposal
The corporate proposal that has been announced by the Company but not completed as at the date of this
announcement:-
(a) The execution of a Memorandum of Understanding between Woventex Sdn Bhd ("WSB"), a wholly
owned subsidiary of Woventex Corporation Berhad and Sumitomo Bakelite in relation to the proposed
disposal of 3,000,002 shares representing 30% of the issued and paid-up share capital of Rigidtex
Sdn Bhd, a 50.01% owned-subsidiary of WSB. This proposal is pending on the signing of the Share
Sale and Purchase Agreement and Shareholders' Agreement.
10. Seasonality/cyclicality of operations
This note is not applicable.
11. Changes in debt and equity
There is no issuance and repayment of debt and equity securities, share buy-backs, share cancellations,
shares held as treasury shares and resale of treasury shares for the current financial quarter to date except
for the issuance of 19,999,000 rights shares of RM1.00 each at RM1.10 per share together with 9,999,500
warrants to the shareholders of the Company.
12. Borrowings and debt securities
Total Group borrowings as at 30 April 2000 were as follows :
(a) Short term - Secured RM '000
Bank Overdraft 480
Terms Loans 240
Bankers' Acceptance 9,860
10,580
Short term - Unsecured
Bank Overdraft -
Bankers' Acceptance 3,550
3,550
14,130
(b) Long-term - Secured
Terms Loans 680
13. Contingent liabilities
Contingent liabilities of the Group as at 9 June 2000 (the latest practicable date which is not earlier than 7
days from the date of issue of this quarterly report) comprise :-
Secured
Letters of credit 4,621
Letters of guarantee 525
5,146
14. Off balance sheet financial instruments
The Group does not have any financial instruments with off-balance sheet risk as at 9 June 2000, the latest
practicable date which is not earlier than 7 days from the date of issue of this quarterly report.
15. Material litigation
The Group is not engaged in any material litigation as at 9 June 2000, the latest practicable date which is
not earlier than 7 days from the date of issue of this quarterly report.
16. Segmental reporting
Profit/(Loss) Assets
Revenue Before Tax Employed
RM '000 RM '000 RM '000
Manufacturing and trading 54,838 2,240 86,188
Building and civil works 3,912 174 6,055
Trading of quoted securities 90 17 1,287
Investment holdings - 70 10,677
58,840 2,501 104,207
Share of associated company
General construction works - 177 854
58,840 2,678 105,061
17. Comments on material change in profit before taxation in current quarter with preceding quarter
The Group recorded a profit before taxation of RM1.2 million for the financial quarter ended 30 April 2000,
an increase of 537% from the RM0.2 million achieved in the preceding quarter. The increase in Group profit
was due to improved contribution from the manufacturing operation.
18. Review of performance
Higher profit recorded in the current quarter compared with the preceding quarter is mainly due to higher
turnover with lower unit cost of production and lower overhead cost.
19. Current year prospects
Barring unforeseen circumstances, the Directors are confident to achieve better results for the next quarter.
20. Variations of actual profit from forecast profit and shortfall in profit guarantee
This note is not applicable.
21. Dividend
There is no dividend recommended for the financial quarter ended 30 April 2000.