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KLSEQuarter4_2005 revised -1

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									PATIMAS COMPUTERS BERHAD
Condensed Consolidated Income Statements (Unaudited)
For The Period Ended 31 December 2005

                                            INDIVIDUAL PERIOD
                                      CURRENT         PRECEDING YEAR
                                        YEAR          CORRESPONDING
                                      QUARTER            QUARTER
                                      31-Dec-05           31-Dec-04
                                       RM ' 000            RM ' 000
Revenue                                       81,584             129,047

Operating expenses                            (91,454)             (125,102)

Other operating income                            387                   142

Profit from operations                         (9,483)                4,087

Finance costs                                  (1,077)               (1,111)

Investing results                                     (0)               -

Share of results of associate*                    -                     -


Profit before tax                             (10,560)                2,976

Income tax                                      1,193                  (376)

Profit after tax                               (9,367)                2,600

Minority interest                                 724                  (370)

Net profit for the period                      (8,643)                2,230

Earnings / (Loss) per share (sen)
 - Basic                                       (15.13)                 2.33
 - Diluted                                             -                 -



* As at 31 December 2005, Sigma AIT Sdn Bhd has not commenced its operations. Accordingly, the associate has
post-acquisition results to be equity accounted for the 12 months ended 31 December 2005.
(The Condensed Consolidated Income Statements should be read in conjunction with the Annual Audited
Statements for the year ended 31 December 2004)
                     CUMULATIVE PERIOD
                 CURRENT        PRECEDING YEAR
                   YEAR         CORRESPONDING
                 TO DATE            PERIOD
                 31-Dec-05         31-Dec-04
                  RM ' 000          RM ' 000
                        324,282           493,795

                        (334,635)               (476,245)

                             845                     598

                           (9,508)                18,148

                           (4,122)                (3,585)

                           (3,042)                   -

                              -                      -


                         (16,672)                 14,563

                             (867)                (2,974)

                         (17,539)                 11,589

                           2,371                  (1,727)

                         (15,168)                  9,862


                           (29.36)                 10.83
                              -                       -



s operations. Accordingly, the associate has no material
d 31 December 2005.
d in conjunction with the Annual Audited Financial
PATIMAS COMPUTERS BERHAD
Condensed Consolidated Balance Sheets (Unaudited)
As At 31 December 2005
                                               UNAUDITED         AUDITED
                                                  AS AT            AS AT
                                                 END OF        PRECEDING
                                                CURRENT         FINANCIAL
                                                QUARTER        YEAR ENDED
                                                31 Dec 05        31 Dec 04
                                                 RM '000          RM '000

Property, plant and equipment                        82,748           92,678
Investment in an associate                              490              490
Other investments                                     2,442            2,442
Intangible assets                                    53,273           57,279

                                                    138,953          152,889
Current Assets
Inventories                                          10,609           29,203
Trade receivables                                    91,970          145,140
Other receivables                                    27,806           10,837
Amount owing by associated company                        23             -
Deposits with licensed banks                            -             11,889
Cash and bank balances                               11,566            6,137
                                                    141,974          203,206
Current Liabilities
Trade payables                                       32,126           70,582
Other payables                                        3,842            6,156
Short term borrowings                                91,045           95,135
Provision for taxation                                  914            1,176
                                                    127,927          173,049

Net Current Assets                                   14,047           30,157

                                                    153,000          183,046

Share capital                                        62,371           62,085
Reserves                                             19,920           43,666
ICULS                                                50,991           52,079
Shareholders' Funds                                 133,282          157,830
  Minority interests                                 13,779           17,315
  Long term borrowings                                3,263            4,803
  Deferred taxation                                   2,676            3,098
                                                    153,000          183,046

Net assets per share (RM)
Basic:
 Based on 62,370,805 (2004: 62,084,505)
    ordinary shares                                       2.36                 2.82
Fully Diluted:
 Based on 75,789,578 (2004: 75,789,578)
    ordinary shares upon full conversion of
    ICULS @ RM 3.80                                       1.94                 2.31


(The Condensed Consolidated Balance Sheets should be read in conjunction with the
Annual Audited Financial Statements for the year ended 31 December 2004)
PATIMAS COMPUTERS BERHAD
Condensed Consolidated Statements of Changes in Equity (Unaudited)
For The Period Ended 31 December 2005

                                                     -------------------------------- Non Distributable ------------------------------
                                 Share      ICULS             Share             Reserve on     Revaluation
Group                            Capital                    premium           Consolidation      reserve

                                 RM'000     RM'000          RM'000             RM'000             RM'000

At 1 January 2004                 61,198      55,447             3,542               7,589               700


Issue of share capital arising
from conversion of ICULS              887     (3,368)            2,481

Disposal of a subsidiary

Net profit for the period

ICULS interest

Dividends paid for
financial year 2003
-Final

At 31 December 2004               62,085      52,079             6,023               7,589               700

At 1 January 2005                 62,085      52,079             6,023               7,589               700


Issue of share capital arising
from conversion of ICULS              286     (1,088)              802

Disposal of subsidiaries                                                              (946)

Increase in investment in a
subsidiary                                                                                9

Net profit for the period

ICULS interest

Dividends paid for financial
year 2004
-Final

Dividends paid for financial
year 2005
-Interim
Transfer of reserves                                                            (700)

At 31 December 2005         62,371     50,991        6,825        6,652          -




(The Condensed Consolidated Statement of Changes in Equity should be read in conjunction with the Ann
Statements for the year ended 31 December 2004)
butable ------------------------------ Distributable
                   Foreign               Retained
                  exchange                profits       Total
                   reserve
                   RM'000                 RM'000       RM'000

                           (136)             24,880      153,220



                                                                 -

                            136                                 136

                                              9,862         9,862

                                             (3,154)       (3,154)



                                             (2,234)       (2,234)

                            -                29,354      157,830

                            -                29,354      157,830



                                                                 -

                                                                (946)



                                                                     9

                                            (15,168)      (15,168)

                                             (3,095)       (3,095)



                                             (2,238)       (2,238)



                                             (3,110)       (3,110)
                                   700             -

                    -            6,443        133,282




in conjunction with the Annual Audited Financial
PATIMAS COMPUTERS BERHAD
Condensed Consolidated Cash Flow Statement (Unaudited)
For The Period Ended 31 December 2005

                                                         12 months ended
                                                          31 December 05
                                                              RM’000
CASH FLOWS FROM OPERATING ACTIVITIES
(Loss)/Profit before tax                                          (16,672)

Adjustments for non-cash flow:-
    Non-cash items                                                 20,219
    Non-operating items - financing                                 4,122
    Non-operating items - investing                                  (496)
Operating profit before working capital changes                     7,173

Changes in working capital
     Net changes in current assets                                 14,198
     Net changes in current liabilities                           (11,687)
Cash generated from/(used in) operations                            9,684
     Tax paid net refunds                                          (1,116)
Net cash generated from/(used in) operating activities              8,568

INVESTING ACTIVITIES
     Increase of investment in subsidiary company                    (100)
     Disposal of subsidiary companies                                 960
     Other investments                                             (2,891)
Net cash used in investing activities                              (2,031)

FINANCING ACTIVITIES
     Borrowings                                                    12,948
     ICULS interest                                                (3,111)
     Interest paid                                                 (4,125)
     Dividends paid                                                (5,626)
Net cash generated from financing activities                           86

Net change in cash and cash equivalents                             6,623

Cash and cash equivalents at 1 January                               (716)

Foreign exchange differences on
 opening balances                                                     -

Cash and cash equivalents at 31 December                            5,907
Cash and cash equivalents comprise the following:

Cash and bank balances                                                11,566
Deposits with licensed banks                                             -
Less: Deposits pledged with licensed banks                               -
                                                                         -
Bank overdrafts                                                       (5,659)
Cash and cash equivalents                                              5,907



The net assets of the disposed subsidiaries are as follows:

Property, plant and equipment                                            704
Inventories                                                            4,026
Trade and other receivables                                           34,740
Cash and bank balances                                                 3,135
Trade and other payables                                             (29,064)
Borrowings                                                            (6,934)
Deferred tax                                                               (4)
Net assets/(liabilities) disposed                                      6,603
Minority interest                                                     (1,425)
Transfer from foreign exchange reserve                                   -
Reserve on consolidation                                                (946)
Attributable unamortised goodwill                                      2,260
                                                                       6,492
Loss on disposal to the Group                                         (2,397)
Disposal proceeds                                                      4,095
Cash and cash equivalents of subsidiary disposed                      (3,135)
Net cash inflow/(outflow) of the Group                                   960



(The Condensed Consolidated Cash Flow Statement should be read in conjunction with the Annual
Audited Financial Statements for the year ended 31 December 2004)
12 months ended
 31 December 04
     RM’000

          14,563


          17,262
           3,585
            (129)
          35,281


         (36,133)
          (1,893)
          (2,745)
          (6,232)
          (8,977)


          (1,810)
             (57)
          (6,120)
          (7,987)


          28,045
          (3,236)
          (4,961)
          (2,234)
          17,614

            650

          (1,366)


             -

            (716)
                            6,137
                           11,889
                             (739)
                           11,150
                          (18,003)
                             (716)




                                  1
                              -
                               30
                               68
                            (129)
                             -
                             -
                             (30)
                             (47)
                             136
                             -
                               20
                               79
                             (68)
                               11
                             (68)
                             (57)



unction with the Annual
PATIMAS COMPUTERS BERHAD
EXPLANATORY NOTES TO THE INTERIM FINANCIAL REPORT - MASB 26

  A1. ACCOUNTING POLICIES
      The interim financial statements are unaudited and have been prepared in compliance with the requirements of MA
      'Interim Financial Reporting' and paragraph 9.22 of the Listing Requirements of the Bursa Malaysia Securities Berhad.

      The interim financial statements should be read in conjunction with the audited financial statements of the Group for th
      ended 31 December 2004. The accounting policies and methods of computation adopted in the interim financial state
      are consistent with those adopted in the audited financial statements of the Group for the financial year ended 31 Dec
      2004.


  A2. AUDIT REPORT OF PRECEDING ANNUAL FINANCIAL STATEMENTS
      There were no qualifications on the audit report of the preceding annual financial statements.

  A3. SEASONALITY OR CYCLICALITY INTERIM OPERATIONS
      The Group's interim operations are not affected by seasonal or cyclical factors.

  A4. UNUSUAL ITEMS
      During the interim period under review, there were no items or events that arose, which affected assets, liabilities, equ
      income or cash flows, that are unusual by reason of their nature, size or incidence.

  A5. CHANGES IN ACCOUNTING ESTIMATES
      During the period under review, there were no material changes in estimates of amounts reported in prior financial year

  A6. ISSUANCE OR REPAYMENTS OF DEBTS AND EQUITY SECURITIES
      There were no issuance, cancellation, repurchase, resale and repayment of debts and equity securities for the current
      financial report under review save for the following:


      Issued and paid-up ordinary shares of RM1.00 each :-
      Share Capital
      As at 1 January 2005
      New shares issued pursuant to the conversion of ICULS
      As at 31 December 2005

      ICULS
      As at 1 January 2005
      Amount converted into new ordinary shares
      As at 31 December 2005

  A7. DIVIDEND PAID
      A final dividend of 5 sen per share less 28% income tax in respect of the financial year ended 31 December 2004 an
      exempt interim dividend of 5 sen in respect of the financial year ending 31 December 2005 was paid on 7 July 2005
      September 2005 respectively.

  A8. SEGMENTAL REPORTING
      The Group is principally engaged in the development and sale of computer related products and provision of computer
      related services that is predominantly carried out in Malaysia. Accordingly, information by business and geographical
      segments on the Group's operations is not presented.
     A9. VALUATION OF PROPERTY, PLANT AND EQUIPMENT
         The valuations of property, plant and equipment have been brought forward, without amendment from the audited fin
         statements for the year ended 31 December 2004.

    A10. SUBSEQUENT MATERIAL EVENTS
         As at the date of this report there were no material events which arose subsequent to the end of the period under revie

    A11. CHANGES IN THE COMPOSITION OF THE GROUP
         Save as set out below, there were no changes in the composition of the Group during the financial period under review
         The disposal of 2,610,000 ordinary shares of RM1.00 each in Tsun Macro Sdn Bhd by GMH Services (MSC) Sdn
         wholly-owned subsidiary of the Company which was completed on 3 June 2005. Tsun Macro Sdn Bhd has therefore c
         to be a subsidiary of the Company.
         The disposal of 430,000 ordinary shares of RM1.00 each in Total Communications Sdn Bhd by Cordoda Corporatio
         Bhd, a subsidiary of the Company which was completed on 4 August 2005. Total Communications Sdn Bhd has the
         ceased to be a subsidiary of the Company.
         The acquisition of the remaining 100,000 ordinary shares of RM1.00 each in SSD Technology Sdn Bhd not held by P
         was completed on 16 August 2005. SSD Technology Sdn Bhd has therefore become a wholly-owned subsidiary
         Company.
         The internal restructuring involving the transfer of the entire shareholding in HPD Systems Sdn Bhd and DGN System
         Bhd from GMH Services (MSC) Sdn Bhd (a wholly-owned subsidiary of Patimas) to Patimas was completed on 1 Sep
         2005 whilst the transfer of the entire shareholding in EIX Solutions Sdn Bhd from m-BX Systems Sdn Bhd (a wholly-
         subsidiary of Patimas) to Patimas was completed on 26 September 2005. Following the completion of the in
         restructuring, HPD Systems Sdn Bhd, DGN Systems Sdn Bhd and EIX Solutions Sdn Bhd are direct wholly-o
         subsidiaries of the Company.

    A12. CHANGES IN CONTINGENT LIABILITIES AND CONTINGENT ASSETS
         The contingent liabilities arising from unsecured corporate guarantees given to licensed banks for bank credit fa
         granted to subsidiaries decreased from RM89.9 million as at 31 December 2004 to RM89.4 million as at 31 December



B        BURSA MALAYSIA LISTING REQUIREMENTS

     B1. REVIEW OF THE GROUP'S PERFORMANCE
         Revenue was RM81.6 million for the fourth quarter and RM324 million for the financial year. The revenue decreased b
         and 34% compared to the preceding year mainly due to the disposal of two subsidiaries during the year.

         The Loss from operations for financial year 2005 was RM9.5 million after deducting depreciation and amortization c
         RM15.7 million.

         Loss Before Tax was RM10.6 million for the fourth quarter and RM16.7 million for the financial year compared to
         Before Tax of RM2.9 million and RM14.6 million in the preceding year. The Loss Before Tax for the quarter under revie
         the financial year was mainly due to lower margins, higher finance cost and disposal of subsidiaries.


     B2. COMPARISON WITH PRECEDING QUARTER'S RESULTS
         For the Fourth Quarter of 2005, the Group 's revenue was RM81.6 million compared to RM59.9 million in the 3rd Q
         2005, representing an increase of 36%, as a result of adopting more aggresive sales and marketing strategies to reta
         expand its customer base. The Loss Before Tax for the fourth quarter was RM10.6 million compared to a Loss Before
         RM6.9 million in the preceding quarter mainly due to lower margins arising from the sales and marketing strategie
         competitive market conditions.
B3. PROSPECTS
    The Group is optimistic of the prospects in the year ahead and anticipates better financial results in 2006. The
    currently has a healthy revenue backlog and strong sales pipeline. The upcoming 9th Malaysia Plan will provide the do
    ICT market with increased business opportunities. The Group also expects its earlier investment of resources in
    regional ICT marketplace to begin yielding results in 2006. The Group has participated in a number of tenders
    optimistic of its chances. In addition, the Group has put in place strategies to increase its margins in the upcoming fi
    year.

    The Group is currently exploring the possibility of unlocking the value of its assets through the disposal of its unencum
    property located at Technology Park Malaysia which it had acquired in 1998. This is envisaged to realise a significant
    gain to the Group. When the disposal of the property materializes, it would also provide surplus funds for the G
    business expansion and result in further enhancement of shareholders' value. Barring unforeseen circumstances, the
    anticipates positive financial performance in 2006.


B4. PROFIT FORECAST AND GUARANTEE
    Not applicable.

B5. TAXATION
                                                                                                Current year
                                                                                                     quarter
                                                                                                    RM' 000
    Current taxation comprises : -
    - Malaysia                                                                                            350
    - Overprovision in respect of previous years                                                       (1,211)
                                                                                                         (861)
    Transfer to deferred taxation                                                                        (332)
                                                                                                       (1,193)


    The effective tax rate is higher than the statutory tax rate of 28% principally due to the losses of certain subsidiaries wh
    cannot be set off against taxable profits made by other subsidiaries and certain expenses which are not deductible for t
    purposes.

B6. SALE OF UNQUOTED INVESTMENTS AND PROPERTIES

                                                                                                Current year
                                                                                                     quarter
                                                                                                    RM' 000
    Loss on disposal of land and building                                                                  0

B7. PURCHASE OR DISPOSAL OF QUOTED SECURITIES
    There were no quoted securities disposed or held by the Group at the end of the period under review.

B8. STATUS OF CORPORATE PROPOSALS
    There are no corporate proposals announced but not completed as at 24 February 2006, the latest practicable date wh
    not earlier than 7 days from the date of issue of this quarterly report.
     The Company, on 14 December 2005 announced that it was proposing to seek from the shareholders the autho
     purchase up to 10% of the Company's issued and paid up share capital ("Proposed Share Buy-Back"). The approva
     shareholders on the Proposed Share Buy-Back was obtained at an Extraordinary General Meeting held on 17 Ja
     2006.The said authorisation will, in accordance with Chapter 12 of the Listing Requirements of Bursa Malaysia Sec
     Berhad lapse at the conclusion of the forthcoming Annual General Meeting unless it is renewed.

 B9. GROUP BORROWINGS AND DEBT SECURITIES


     Short term borrowings:
            Secured

     Long term borrowings:
            Secured


     All the above are denominated in Ringgit Malaysia.

B10. OFF BALANCE SHEET FINANCIAL INSTRUMENTS
     As at 24 February 2006, there were no off balance sheet financial instruments held by the Group.

B11. MATERIAL LITIGATION
     The Group was not engaged in any material litigation that will materially affect the Group.

B12. DIVIDEND
     The Directors have recommended a final tax exempt dividend payment of 3 sen per share for the financial year end
     December 2005. (Financial year 2004: 5 sen per share less 28% income tax). The date of the entitlement and paym
     dividend have not yet been determined as at the date of this interim financial report.

B13. EARNINGS PER SHARE
     The basic earnings per share was calculated by dividing the net profit attributable to members of the Company a
     weighted average number of ordinary shares in issue during the period under review:-

     Basic                                                                                         Current year
                                                                                                        quarter
                                                                                                       RM' 000

     Net loss for the year                                                                              (8,643)
     ICULS interest                                                                                       (768)
     Net loss attributable to ordinary shareholders                                                     (9,411)

     Weighted average number of ordinary shares in issue ('000)                                         62,202

     Basic loss per ordinary share (sen)                                                                (15.13)


     There is no dilution in the Company's earnings per share as the market values of the securities were lower than the e
     prices.

B14. OTHER RECEIVABLES
     Included in other receivables are tax recoverable amounting to RM5.73 million and an amount of RM17.08 million ow
     Tsun Macro Sdn Bhd consisting of advances granted prior to its disposal by the Company and payments on beh
     guarantor. Of the total tax recoverable, RM3.82 million relates to tax credits and tax instalments paid in excess
     provision for Year of Assessment 2005 as at 31 December 2005. The amount owed by Tsun Macro Sdn Bhd is secu
     personal guarantee from 2 shareholders of Tsun Macro Sdn Bhd and would be repaid over a period of five years bea
     interest of 6% p.a.

B15. OPERATING EXPENSES
     Included in Operating expenses are :-
                                                                                        Current year
                                                                                             quarter
                                                                                            RM' 000

     a) Depreciation expenses                                                                  3,125
     b) Amortisation of software development expenditure                                         373
     c) Amortisation of intangible assets                                                         19
with the requirements of MASB 26,
Malaysia Securities Berhad.

 tatements of the Group for the year
d in the interim financial statements
  financial year ended 31 December




ffected assets, liabilities, equity, net




eported in prior financial years.


uity securities for the current interim



                               RM'000

                                62,085
                                   286
                                62,371


                                52,079
                                (1,088)
                                50,991



nded 31 December 2004 and a tax
05 was paid on 7 July 2005 and 12



ts and provision of computer
business and geographical
 endment from the audited financial



end of the period under review.



financial period under review:
  GMH Services (MSC) Sdn Bhd, a
acro Sdn Bhd has therefore ceased

 Bhd by Cordoda Corporation Sdn
munications Sdn Bhd has therefore

 ology Sdn Bhd not held by Patimas
  a wholly-owned subsidiary of the

 s Sdn Bhd and DGN Systems Sdn
mas was completed on 1 September
 Systems Sdn Bhd (a wholly-owned
ng the completion of the internal
Sdn Bhd are direct wholly-owned




 ed banks for bank credit facilities
 4 million as at 31 December 2005.




ar. The revenue decreased by 37%
uring the year.

 reciation and amortization costs of


  financial year compared to Profit
 ax for the quarter under review and
 bsidiaries.



  RM59.9 million in the 3rd Quarter
d marketing strategies to retain and
n compared to a Loss Before Tax of
 ales and marketing strategies and
ancial results in 2006. The Group
aysia Plan will provide the domestic
 investment of resources into the
ed in a number of tenders and is
s margins in the upcoming financial


h the disposal of its unencumbered
saged to realise a significant capital
 ide surplus funds for the Group's
foreseen circumstances, the Group




                        Current year
                             to date
                            RM' 000

                                2,625
                               (1,340)
                                1,285
                                 (418)
                                   867


es of certain subsidiaries which
which are not deductible for tax




                        Current year
                             to date
                            RM' 000
                                 111




he latest practicable date which is
  the shareholders the authority to
 re Buy-Back"). The approval of the
neral Meeting held on 17 January
ments of Bursa Malaysia Securities
newed.


                              As At
                         31-Dec-05
                           RM'000
                            91,045


                             3,263
                            94,308




 Group.




are for the financial year ended 31
 of the entitlement and payment of




members of the Company and the


                       Current year
                            to date
                           RM' 000

                            (15,168)
                             (3,095)
                            (18,263)

                            62,202

                             (29.36)


urities were lower than the exercise
 mount of RM17.08 million owed by
mpany and payments on behalf as
 instalments paid in excess of tax
Tsun Macro Sdn Bhd is secured by
 er a period of five years bearing an




                        Current year
                             to date
                            RM' 000

                             13,957
                              1,672
                                 75

								
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