MAH SING GROUP BERHAD

HISTORY

Since our inception in 1965, Mah Sing Group Berhad has achieved recognition as an
innovative developer of niche products and trend-setting townships.
Set in prime locations, our developments in Greater KL & Klang Valley, Penang,
Johor Bahru and KK, Sabah have cemented our position as Malaysias premier lifestyle
developer. Our projects are a showcase of contemporary lifestyle statements; grand
entrances, lush landscaping, and practical yet functional homes with quality finishes within a
guarded and gated environment are all hallmarks of Mah Sings developments.
The Group has proven its versatility with a diverse range of projects, from medium to
high-end landed residential properties to Grade A office buildings, SoHo and industrial
projects. We also have a strong commercial developments being amongst the pioneers of
en-bloc sales of Grade A buildings and corporate offices in Kuala Lumpur Malaysia.
Benchmarking ourselves globally, we aim to become a world-class developer and in
our quest for excellence, we remain committed to our corporate philosophy of maximizing
shareholders value by delivering quality driven products and excellent services to our
customers.

GROUP VALUES

We provide our CUSTOMERS with timely delivery of quality properties. We are

uncompromising in our commitment towards total customer satisfaction.
We develop our PEOPLE and provide a professional, conducive working environment. Our
inspired team is formed on a foundation of experience and dedication.
We continuously enhance and protect SHAREHOLDER value with well-planned corporate
strategies as thanks for their trust and confidence.
Integrating our SOCIAL RESPONSIBILITIES into the way we manage our business and
operations, we try to build better COMMUNITIES whilst preserving the ENVIRONMENT.

MULPHA LAND BERHAD

PROFILE

Mulpha Land Berhad is listed on the Main Market of Bursa Malaysia and offers mixed
property development services & investment across the region. The companys focus is on
real estate and property related services, with its primary operations and investments
centered in Malaysia.
Mulpha Land Berhad's real estate development and investments in Malaysia, located
in several strategic development areas include Raintree Residence, 6 Kenny Hills, Enclave
Bangsar and Tropicana in the Klang Valley. In the Northern Corridor Economic Region
(NCER), Mulphas prominent projects namely Taman Bukit Punchor, Bukit Punchor Industrial
Park and Taman Seri Bayu in Penang coupled with the mixed development township, Taman
Desa Aman near Kulim High Tech Park, Kedah, further enhance Mulphas property portfolio.
Moving forward, Mulpha Land is set to expand and embark on the hospitality &
lifestyle division aside its existing core business - property development and property
investment & management. With the presence of hospitality & lifestyle, Mulpha pursues to
enrich and further heighten its portfolio as an emerging boutique developer in Malaysia.

VISION AND MISSION

VISION
Our vision serves as the framework for our journey and guides every aspect of our
business by describing what we need to accomplish in order to continue achieving
sustainability & quality growth.

People: Be a great place to work at, where people are inspired to be the best they

can be.
Portfolio: Bring to the customers a portfolio of quality & innovative property brands

that anticipate and satisfy their desires and needs.

Partners: Nurture a winning network of customers and suppliers, and together we

create mutual, enduring value.

Profit: Maximize long-term return for shareowners while being mindful of our overall

responsibilities.
Productivity: Be a highly effective, lean and fast-moving organization.

MISSION
Our Journey starts with our mission, which is enduring. It declares our purpose as
a company and serves as the standard against which we weigh our actions and
decisions.
To deliver quality and innovative products and services.
Be the brand-inspire creativity, and fun in building.
We don't only craft buildings, we craft experiences as well.

CORPORATE INFORMATION
BOARD OF DIRECTORS

Nomition Committee

Non-Independent Non Executive

Lim Kok Beng (Chairman)

Chairman

Lt. Col (R) Abdul Jalil Bin Abdullah

Lee Eng Leong

Lee Eng Leong

Group Managing Director

Remuneration Committee

Ghazie Yeoh Bin Abdullah

Lt. Col (R) Abdul Jalil Bin Abdullah

(Chairman)

Independent Non-Executive Director

Lim Kok Beng

Lim Kok Beng

Lee Eng Leong

Lt. Col (R) Abdul Jalil Bin Abdullah

Henry Choo Hon Fai

Company Secretary
Lee Suan Choo (MAICSA 7017562)

Non-Independent Non-executive
Director

Registered Office

Datuk Low Keng Seong

PH2, Menara Mudajaya

No. 12A, Jalan PJU 7/3

Audit Committee

Mutiara Damansara 47810

Lim Kok Beng (Chairman)

Petaling Jaya Selangor Darul Ehsan

Lt. Col (R) Abdul Jalil Bin Abdullah

Malaysia

Henry Choo Hon Fai

Tel No : (603) 7718 6288

Fax No : (603) 7718 636

SHARE REGISTRAR

AUDITORS

Symphony Share Registrars Sdn Bhd

KPMG

(378993-D)

Chartered Accountants

Level 6, Symphony House

Pusat Dagangan Dana 1

PRINCIPAL BANKERS

Jalan PJU 1A/46

United Overseas Bank (Malaysia) Bhd

47301 Petaling Jaya

AmBank (M) Berhad

Selangor Darul Ehsan

Hong Leong Bank Berhad

Malaysia

Bank Islam Malaysia Berhad

Tel No : (603) 7841 8000

Fax No : (603) 7841 8008

STOCK EXCHANGE LISTING

Main Market of Bursa Malaysia
Securities Berhad
8

Stock Name : MULPHAL

Stock Code : 7889

INVESTOR RELATIONS
Email : irmulpha@mulpha.com.my

WEBSITE ADDRESS

Tel No : (603) 7718 6368 /

www.mulphaland.com.my

(603) 7718 6266

PROFILE BOARD OF DIRECTOR

Lee Eng Leong

Non-Independent Non-Executive Chairman Malaysian
Mr Lee, aged 46, is a member of the Malaysian Institute of Certified Public Accountants and
Malaysian Institute of Accountants. He was formerly the Group Chief Financial Officer of
Alliance Bank Malaysia Berhad from 4 January 2010 to 2 October 2012. Prior to joining
Alliance Bank Malaysia Berhad, he was the Chief Financial Officer of a major global
company where he oversaw their finance operations covering the Asia region. For over 20
years, he has held various leadership roles in management positions within both local
companies and multi-national companies in Asia. Mr Lee was appointed to the Board on 31
January 2013 and he also serves as a member of the Nomination and Remuneration
Committees. Mr Lee has no directorships in other public companies in Malaysia apart from
Mudajaya Group Berhad.

Ghazie Yeoh Bin Abdullah

Group Managing Director Malaysian
En Ghazie, aged 37, holds a Bachelor of Science Degree (Business Information Technology)
from Monash University in Melbourne, Australia. Armed with 14 years of experience in the
property industry, En Ghazie also brings with him vast knowledge and understanding of the
construction and building materials requirements through his years of exposure in Malaysia,
Saudi Arabia and Qatar. En Ghazie was appointed to the Board as Executive Director on 22
May 2012 and was later appointed as the Group Managing Director on 19 August 2013. En
Ghazie has no directorships in other public companies.

Lim Kok Beng

Independent Non-Executive Director Malaysian
Mr Lim, aged 67, is a Fellow of the Institute of Chartered Accountants in England & Wales
and a member of the Malaysian Institute of Certified Public Accountants and Malaysian
Institute of Accountants. He has broad experience gained internationally in the fields of
investment banking and corporate planning, and has held Chief Executive positions in
industrial, trading, development and information technology companies. He is a Senior
Partner in a Chartered Accountants firm. Mr Lim was appointed to the Board on 28 August
2001 and he also serves as Chairman of the Audit and Nomination Committees as well as a
member of the Remuneration Committee. Mr Lim has no directorships in other
public companies.

Lt. Col (R) Abdul Jalil Bin Abdullah

Independent Non-Executive Director Malaysian
Lt. Col Jalil, aged 67, obtained a Certificate in Basic Accounting course in Winchester, United
Kingdom and a Certificate in Personnel Management from Institute Tadbiran Awam Negara,
both in 1976. He graduated with a Diploma in Automatic Data Processing from US Army
Computer Management School in Fort Benjamin, USA in 1982. He retired from the
Malaysian Armed Forces in 1996 after serving for nearly 30 years. Lt. Col Jalil was
appointed to the Board on 5 March 1997 and he also serves as Chairman of the
Remuneration Committee as well as a member of the Audit and Nomination Committees.
Lt. Col Jalil has no directorships in other public companies.

Henry Choo Hon Fai

Independent Non-Executive Director Malaysian
Mr Henry Choo, aged 41, graduated with a Bachelor of Science Degree (Computer Science)
from La Trobe University in Melbourne, Australia. He started his career in 1994 as an Equity
Research Analyst in Dao Heng Securities Ltd, Hong Kong. From 1996 to 2000, he was the
Director of Business Development at Fok Lee Sdn Bhd, a specialist contractor. From 2000 to
2010, he was involved in Private Equity and Venture Capital, first with Intelligent Capital Sdn.
Bhd. from 2000 to 2003, Artisan Encipta (M) Sdn Bhd from 2003 to 2004 and was the Chief
Operating Officer of Atlantic Quantum Sdn. Bhd. From 2006 to 2010. He was the Executive
Assistant to the Chairman of Silterra Malaysia Sdn. Bhd. from 2004 to 2006. Mr Henry Choo
was appointed to the Board on 13 September 2007 and he also serves as a member of the
Audit Committee. Mr Henry Choo has no directorships in other public companies in Malaysia
apart from Mudajaya Group Berhad.

Dato Low Keng Siong

Non-Independent Non-Executive Director Malaysian
Dato Low, aged 40, graduated with a Bachelor of Laws (Hons) Degree from Kings College
London. He was called to the Bar of England & Wales and subsequently called to the
Malaysian Bar. A lawyer by profession, Dato Low has been a Partner with a leading law firm
in Kuala Lumpur since 2003, with substantial experience in the practice areas of corporate
restructuring and capital markets. Dato Low was appointed to the Board on 4 September
2013.Dato Low has no directorships in other public companies.

Notes:
1. Family Relationship with Director and/or Major Shareholder
None of the Directors has any family relationship with any director and/or major shareholder
of the Company.
2. Conflict of Interest
None of the Directors has any conflict of interest with the Company.
3. Conviction for Offences
None of the Directors has any conviction for offences within the past 10 years other than
traffic offences, if any.
4. Attendance of Board Meetings
The attendance of the Directors at Board Meetings held during the financial year ended 31

FORMULA AND DEFINITION

December 2013 is disclosed in the Statement on Corporate Governance.

LIQUIDITY RATIO
QUICK RATIO / ACID TEST RATIO
= CURRENT ASSET-INVENTORY-PREPAID EXPENSES
CURRENT LIABILITY

A CLASS OF FINANCIAL METRICS THAT IS USED TO DETERMINE A COMPANYS

ABILITY TO PAY OF ITS SHORT TERMS DEBTS OBLIGATION. GENERALLY, THE
HIGHER THE VALUE OF THE RATIO, THE LARGER THE MARGIN OF SAFETY THAT
THE COMPANY POSSESSES TO COVER SHORT TERM DEBTS.
= CURRENT ASSET
CURRENT LIABILITY

TWO COMMONLY USED LIQUIDITY RATIO :

CURRENT RATIO

EFFICIENCY / ACTIVITY RATIO

ACCOUNTING RATION RATIO THAT MEASURE A FIRMS ABILITY TO CONVERT
DIFFEREENT ACCOUNTS WITHIN ITS BALANCE SHEETS TO CASH OR SALES.
ACTIVITY RATIO USED TO MEASURE THE RELATIVE EFFICIENCY OF A FIRM
BASED ON ITS USED OF TIS ASSETS, LEVERAGE OR OTHER SUCH BALANCE
SHEETS ITEM. THIS RATIO ARE IMPORTANT IN DETERMINING A COMPANYS
MANAGEMENT IS DOING A GOOD ENOUGH JOB OF GENERATING REVENUE,
CASH, ETC FROM ITS RESOURCES.

AVERAGE COLLECTION PERIOD (ACP)

= ACCOUNT RECEIVABLES
SALES/360
FIXED ASSET TURNOVER (FATO)
=
SALES
NET FIXED ASSET
TOTAL ASSET TURNOVER (TATO)
=
SALES
TOTAL ASSET
AFFICIENCY / ACTIVITY RATIO COMPRISED OF :
INVENTORY TURNOVER (ITO)
= COST OF GOODS SOLD (COGS)
INVENTORY

LEVERAGE RATIOS
DEBT TO EQUITY RATIO (DER)

RATIO IS ANY ONE OF SEVERAL FINANCIAL MEASUREMENTS THAT LOOK AT HOW MUCH CAPITAL COES IN TH
= TOTAL DEBT (CL+LTD) X 100
TOTA
DEBT TO EQUITY RATIO (DER)

DEBT RATIO (DR)

= TOTAL DEBT (CL+LTD) X 100
TOTAL ASSET

DEBT TO EQUITY RATIO (DER)

= TOTAL DEBT (CL+LTD) X 100
TOTAL LIABILITY

TIMES INTEREST EARNED (TIE)

= OPERATING INCOME / EARNING BEFORE
INTEREST TAXES (EBIT)
INTEREST

PROFITIBALITY RATIOS
A CLASS OF FINANCIAL METRICS THAT ARE USED TO ASSESS A BUSINESSS ABILITY TO
GENERATE EARNING AS COMPARED TO ITS EXPENSES AND OTHER RELEVANT COSTS
INCURRED DURING A SPECIFIC PERIOD OF TIME. FOR MOST OF THESE RATIOS, HIGER
VALUE RELATIVE TO A COMPETITORS RATIO OR THE SAME RATIO FROM A PREVIOUS
PERIOD IS INDICATIVE THAT THE COMPANY IS DOING WELL.

GROSS PROFIT MARGIN (GPM)

= SALES COGS X 100
SALES
OPERATING PROFIT MARGIN (OPM)
= EARNING BEFORE INTEREST & TAXES (EBIT) X 100
SALES
NET PROFIT MARGIN (NPM)
= EARNING AFTER TAX (EAT) X 100
SALES
RETURN ON ASSET / INVESTMENT (ROA/ROI)
= EARNING AFTER TAX (EAT) X 100
TOTAL ASSET
RETURN ON EQUITY (ROE)
= EARNING AFTER TAX (EAT) X 100 TOTAL COOMON EQUITY (COMMON STOCK + PAID IN CAPITAL +
RETAINED EARNING )

Calculation
1) LIQUIDITY RATIO
1. CURRENT RATIO = CURRENT ASSET
CURRENT LIABILITY
MAH SING GROUP BERHAD

CURRENT RATIO = 3,745,449

MULPHA LAND BERHAD

CURRENT RATIO =311,809

1,476,393

89,476

=2.5

=3.48

2. QUICK RATIO = CURRENT ASSET-INVENTORY-PREPAID EXPENSE

CURRENT LIABILITY
MAH SING GROUP BERHAD
QUICK RATIO = 3,745,449-76,225

MULPHA LAND BERHAD

QUICK RATIO = 311,809-260,208

1,476,393
=2.5

89,476
=0.58

2) ASSET MANAGEMENT RATIOS

3. INVENTORY TURNOVER = COST OF GOOD SOLD (COGS)
INVENTORY
MAH SING GROUP BERHAD
INVENTORY TURNOVER = 1,396,936

MULPHA LAND BERHAD

INVENTORY TURNOVER = 29,248

76,225
=18.3

260,208
=0.11

4. AVERAGE COLLECTION PERIOD = ACC.RECEIVABLES

SALES/360
MAH SING GROUP BERHAD

MULPHA LAND BERHAD

AVERAGE COLLECTION =581,748

PERIOD

1,396,936/360

AVERAGE COLLECTION =11,357

PERIOD
47,143/360
=86.73

=149.92
5. FIXED ASSET TURNOVER = SALES
NET FIXED ASSET
MAH SING GROUP BERHAD

MULPHA LAND BERHAD

FIXED ASSET =2,005,596

FIXED ASSET = 47,143

TURNOVER (114,146+543,794)

TURNOVER

= 3.05

356
=132.42

MUL

6. TOTAL ASSET TURNOVER = SALES

TOTAL ASSET
MAH SING GROUP BERHAD

MULPHA LAND BERHAD

TOTAL ASSET =2,005,596

TOTAL ASSET=47,143

TURNOVER

TURNOVER

4,583,751
=0.4

370,282
=0.13

3) LEVERAGE RATIO / DEBT RATIO

7. DEBT RATIO = TOTAL DEBT (CL+LT DEBT) X 100
TOTAL ASSET
MAH SING GROUP BERHAD

MULPHA LAND BERHAD

DEBT= (1,476,393+1,144,079) X 100

DEBT =(89,476+141,214)X100

RATIO

RATIO

4,583,751

= 57.2

370,282
=62.30

8. DEBT TO EQUITY RATIO = TOTAL DEBT (CL+LTD) X 100

TOTAL EQUITY
MAH SING GROUP BERHAD

MULPHA LAND BERHAD

DEBT TO= (1,476,393+1,144,079)X100

DEBT TO =(89,476+141,214)X100

EQUITY
RATIO

EQUITY

1,963,279

139,592

RATIO

=133.5

=165.26

9. TIMES INTEREST EARNED = OPERATING INCOME / EARNING BEFORE

INTEREST & TAXES (EBIT)
INTEREST
MAH SING GROUP BERHAD

MULPHA LAND BERHAD

TIMES INTEREST =368,748

TIMES INTEREST =16,297

EARNED

EARNED

3,257
=113.22

4,518
=3.61

4) PROFITABILITY RATIOS
10. OPERATING PROFIT MARGIN = EARNING BEFORE INTEREST & TAXES
(EBIT) X 100
SALES
MAH SING GROUP BERHAD
OPERATING = 368,748X100
PROFIT
MARGIN

2,005,596
=18.39

MULPHA LAND BERHAD

OPERATING =16,297X100
PROFIT
47,143
MARGIN
=34.57

11. NET PROFIT MARGIN = EARNING AFTER TAX (EAT) X 100

SALES
MAH SING GROUP BERHAD
NET PROFIT =279,261X100
MARGIN
2,005,596
=13.92

MULPHA LAND BERHAD

NET PROFIT =8,880X100
MARGIN
47,143
=18.84

12. RETURN ON ASSET / INVESTMENT = EARNING AFTER TAX (EAT) X 100

TOTAL ASSET
MAH SING GROUP BERHAD
RETURN ON =279,261X100
ASSET
4,583,751
=6.09

MULPHA LAND BERHAD

RETURN ON =8,880X100
ASSET
370,282
=2.40

13. RETURN ON EQUITY = EARNING AFTER TAX (EAT) X 100

TOTAL COMMON EQUITY ( COMMON STOCK+PAID
IN CAPITAL+RETAINED EARNING)
MAH SING GROUP BERHAD
RETURN ON =279,261X100
EQUITY
1,963,279
=14.22

MULPHA LAND BERHAD

RETURN ON =8,880X100
EQUITY

139,592
=6.36

CHART
1) LIQUIDITY RATIO

CURRENT RATIO
4
3.5
3
2.5
2
1.5
1

3.48
2.5

0.5
0
MAH SING GROUP BERHAD

MULPHA LAND BERHAD

Current Ratio
CR for the Mah Sing Group Berhad is 2.5x which is lower compared to Mulpha Land Berhad
which is 3.48x.
This indicates that the company is less able to pay their short term obligation when its due
compared to Mulpha Land Berhad.

ACID RATIO
0.58
MAHSING GROUP BERHAD
MULPHA LAND BERHAD

2.5

Quick Ratio
QR for the Mah Sing Group is 2.5x which is said to be more liquid compared to the Mulpha
Land Industry which is 0.58x.
This indicates that the Mah Sing Group is less able to pay their current liabilities when its
due.
Causes and suggestion : Mah Sing Group have a lower ratio in current ratio compared to
Mulpha Land Berhad because the group holding too much inventory and poor cash
management. They have to make an improvement on their collection system. But in Quick
Ratio, Mah Sing Group have a higher ratio depends on Mulpha Land Berhad because they
have a better cash management and they should maintain paying current liability by paying
existing creditor on time.

2) ASSET MANAGEMENT RATIO

INVENTORY TURNOVER
20
18.3
18
16
14
12

INVENTORY TURNOVER

10
8
6
4
2
0
MAH SING GROUP BERHAD

0.11
MULPHA LAND BERHAD

Inventory Turnover (ITO)

ITO for the Mah Sing Group is 18.3x which is higher as compared to the Mulpha Land
Berhad which is 0.11x.
This indicates that Mah Sing Group is effectively managing its inventories and does not have
overstocking
Causes and suggestion : Mah Sing Group have a higher ratio because they doesnt have
holding too much inventory or overstocking compared to Mulpha Land Berhad. So as
suggestion, they need to maintain their an effectively inventory control system.

AVERAGE COLLECTION PERIOD

160
140

149.92

120
100
80

86.73

60
40
20
0
MAH SING GROUP BERHAD

MULPHA LAND BERHAD

Average Collection Period (ACP)

ACP for the Mah Sing Group is 14.92 days which is longer as compared to the Mulpha Land
Berhad 86.73
This is indicates that the Mah Sing Groups customers taking a longer time to settle their
debts.
Causes and Suggestion : Mah Sing Group have lower time compared to Mulpha Land
because they got poor screening when accept new customers on a credit basis. They need
tighter collection policy. And prepare the ageing of its debtors account.

FIXED ASSET TURNOVER

3.05
MAH SING GROUP
BERHAD
MULPHA LAND BERHAD

132.42

Fixed Asset Turnover (FATO)

FATO the Mah Sing Group is 3.05x which is lower as compared to the Mulpha Land Berhad
which is 132.42
This indicates that the Mah Sing Group is ineffectively manage their fixed asset in generating
sales.
Causes and Suggestion : For FATO Mah Sing Group have a lower ratio compared to Mulpha
Land Berhad because they have lower asset turnover ratio indicates in efficient use of this
asset to produce sales.

TOTAL ASSET TURNOVER

0.4
0.35
0.3
0.25
0.2
0.15
0.1
0.05
0

0.4
0.13

TOTAL ASSET TURNOVER

Total Asset Turnover (TATO)

TATO for the Mah Sing Group is 0.4x which is lower as compared to the Mulpha Land
Berhad which 0.13
This indicates that the Mah Sing Group ineffectively manage their total asset in generating
sales.
For TATO Mah Sing Group have a lower ratio compared to Mulpha Land Berhad because
they have too much investment in non current asset and currents asset and also they low on
sales. So as suggestion, they need to increase its production so the asset are used more
efficiently.

3) LEVERAGE RATIO/DEBT RATIO

DEBT RATIO
1
100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
MAH SING GROUP BERHAD

DEBT RATIO

MULPHA LAND BERHAD

Debt Ratio (DR)

DR for the Mah Sing Group is 57.2% which lower as compared to the Mulpha Land Berhad
which is 62.3%
This indicates that Mah Sing Group borrowing level is low than Mulpha Land Berhad

DEBT TO EQUITY RATIO

180
160
140
120
100
80
60
40
20
0

165.26

133.5

DEBT TO EQUITY RATIO

MAH SING GROUP BERHAD

MULPHA LAND BERHAD

Debt To Equity Ratio (DER)

DER for the Mah Sing Group is 133.5% which is lower compared to the Mulpha Land Berhad
which 165.26
The indicates that the Mah Sing Group lower borrowing as the sources of financing.
Causes and Suggestion : Mah Sing Group have a lower ratio compared to Mulpa Land
Berhad n Debt Ratio because the company borrowing more than its necessary. The firm
should have an optimum mixture of sources of financing.

TIMES INTEREST EARNED

3.61
MAH SING GROUP
BERHAD
MULPHA LAND BERHAD

113.22

Times Interest Earned (TIE)

TIE for the Mah Sing Group 113.22x which is higher as compared to the Mulpha Land
Berhad which is 3.61x
The indicates that Mah Sing Group is being able to pay its annual interest rates compared to
Mulpha Land Berhad
Causes and suggestion : Mah Sing Group have a higher ratio compared to Mulpha Land
Berhad because they have high dividend payout ratio. As suggestion they need to review its
dividend policy.

4) PROFITIBILITY RATIO

OPERATING PROFIT MARGIN

40
35
30
25
20
15
10
5
0

34.57
18.39
OPERATING PROFIT
MARGIN

Operating Profit Margin

OPM for the Mah Sing Group is 18.39% which is lower as compared to the Mulpha Land
Berhad which is 34.57%
This indicates that Mah Sing Group is ineffectively managed its sales level & generates
higher gross profit level for every dollar of sales made.
Causes and Suggestion : Mah Sing have a lower ratio then Mulpha Land Berhad because
they have a lower profit due to pricing of the good sold. They need to review the selling
price.

NET PROFIT MARGIN

MULPHA LAND BERHAD

18.84
NET PROFIT MARGIN

MAH SING GROUP BERHAD

0%

13.92

20% 40% 60% 80% 100%

Net Profit Margin

NPM for the Mah Sing Group is 13.92% which is lower as compared to the Mulpha Land
Berhad which is 18.64%
This indicates that the company generate less profit from the amount of sales generated.
Causes and suggestion : Mah Sing Group have a lower ratio compared to Mulpha Land
Berhad because Mulpha Land Berhad have a higher operating expenses. They need to
reduce operating expenses.

RETURN ON ASSET
7
6.09
6
5
RETURN ON ASSET

4
3

2.4

2
1
0
MAH SING GROUP BERHAD

MULPHA LAND BERHAD

Return On Asset
ROA for the Mah Sing Group is 6.09% which is higher as compared to the Mulpha Land
Berhad which is 2.40
This indicates that Mah Sing Group generating more profit for every dollar invested in total
assets.
Causes and suggestion : Mah Sing Group have a higher ratio compared to Mulpha Land
Berhad because Mulpha Land Berhad not efficiency in its asset utilization and then they
need to be more efficiency in its asset utilization.

RETURN ON EQUITY

6.36

MAH SING GROUP

BERHAD
14.22

MULPHA LAND BERHAD

Return On Equity
ROE for the Mah Sing Group is 14.22% which is higher as compared to the Mulpha Land
Berhad which is 6.36%
This indicates that Mah Sing Group generating more profit for every dollar invested in equity
by its shareholder.
Causes and suggestion : Mah Sing Group have a higher ratio because they have a higher
growth firm. They need to maintain their firm.

CONCLUSION
There are four of financial ratio analysis that are liquidity ratios, leverage ratios, asset
management ratios and profitibality .
Firstly,according to liquidity ratios, current ratio for company Mah Sing Group Berhad 2013
which is 2.5 times is lower than Mulpha Land Berhad 2013 which is 3.48 times. This
indicates that the company is less able to pay their short term obligation when its due
compared to Mulpha Land Berhad. Quick ratio for the Mah Sing Group is 2.5 times which is
said to be more liquid compared to the Mulpha Land Berhad. This indicates that the Mah
Sing Group is less able to pay their current liabilities when its due. Mah Sing Group have a
lower ratio in current ratio compared to Mulpha Land Berhad because the group holding too
much inventory and poor cash management. They have to make an improvement on their
collection system. But in Quick Ratio, Mah Sing Group have a higher ratio depends on
Mulpha Land Berhad because they have a better cash management and they should
maintain paying current liability by paying existing creditor on time.
For the asset management ratio, inventory turnover for the Mah Sing Group is 18.3 times
which is higher as compared to the industry average. This indicates that the company is
effectively managing its inventories and does not have overstocking. Mah Sing Group have a
higher ratio because they doesnt have holding too much inventory or overstocking
compared to Mulpha Land Berhad. So as suggestion, they need to maintain their an
effectively inventory control system. Average collection period for the Mah Sing Group is
14.92 days which is longer as compared to the Mulpha Land Berhad 86.73 days. This is
indicates that the Mah Sing Groups customers taking a longer time to settle their debts. Mah
Sing Group have lower time compared to Mulpha Land because they got poor screening
when accept new customers on a credit basis. They need tighter collection policy. And
prepare the ageing of its debtors account. Fixed asset turnover the Mah Sing Group is 3.05
times which is lower as compared to the Mulpha Land Berhad which is 132.42 times. This
indicates that the Mah Sing Group is ineffectively manage their fixed asset in generating
sales. Mah Sing Group have a lower ratio compared to Mulpha Land Berhad because they
have lower asset turnover ratio indicates in efficient use of this asset to produce sales. Total
asset turnover for the Mah Sing Group is 0.4 times which is lower as compared to the
Mulpha Land Berhad which 0.13 times. This indicates that the Mah Sing Group ineffectively
manage their total asset in generating sales. Mah Sing Group have a lower ratio compared
to Mulpha Land Berhad because they have too much investment in non current asset and

currents asset and also they low on sales. So as suggestion, they need to increase its
production so the asset are used more efficiently.
Thirdly is leverage ratios or debt ratios, debt ratio for the Mah Sing Group is 57.2%
which lower as compared to the Mulpha Land Berhad which is 62.3%.This indicates that
Mah Sing Group borrowing level is low than Mulpha Land Berhad. Debt ratio for the Mah
Sing Group is 133.5% which is lower compared to the Mulpha Land Berhad which 165.26%.
The indicates that the Mah Sing Group lower borrowing as the sources of financing. Mah
Sing Group have a lower ratio compared to Mulpa Land Berhad n Debt Ratio because the
company borrowing more than its necessary. The firm should have an optimum mixture of
sources of financing. Time interest earned for the Mah Sing Group 113.22 times which is
higher as compared to the Mulpha Land Berhad which is 3.61times. The indicates that Mah
Sing Group is being able to pay its annual interest rates compared to Mulpha Land Berhad.
Mah Sing Group have a higher ratio compared to Mulpha Land Berhad because they have
high dividend payout ratio. As suggestion they need to review its dividend policy.
Next is profitability ratios, operating profit margin for the Mah Sing Group is 18.39%
which is lower as compared to the Mulpha Land Berhad which is 34.57%. This indicates that
Mah Sing Group is ineffectively managed its sales level & generates higher gross profit level
for every dollar of sales made. Mah Sing have a lower ratio then Mulpha Land Berhad
because they have a lower profit due to pricing of the good sold. They need to review the
selling price. Net profit for the Mah Sing Berhad is 13.92% which is lower as compared to the
Mulpha Land Berhad which is 18.64%. This indicates that the company generate less profit
from the amount of sales generated. Mah Sing Group have a lower ratio compared to
Mulpha Land Berhad because Mulpha Land Berhad have a higher operating expenses. They
need to reduce operating expenses. Return on assets for the Mah Sing Group is 6.09%
which is higher as compared to the Mulpha Land Berhad which is 2.40%. This indicates that
Mah Sing Group generating more profit for every dollar invested in total assets. Mah Sing
Group have a higher ratio compared to Mulpha Land Berhad because Mulpha Land Berhad
not efficiency in its asset utilization and then they need to be more efficiency in its asset
utilization. Return on equity for the Mah Sing Group is 14.22% which is higher as compared
to the Mulpha Land Berhad which is 6.36%. This indicates that Mah Sing Group generating
more profit for every dollar invested in equity by its shareholder. Mah Sing Group have a
higher ratio because they have a higher growth firm. They need to maintain their firm.
So for th conclusion is well going to choose Mah Sing Group Berhad because have a
lower ratio in current ratio compared to Mulpha Land Berhad because the group holding too
much inventory and better cash management.

REFERENCE
1. http://www.bursamalaysia.com/market/listed-companies/list-of-companies/plcprofile.html?stock_code=8893
2. http://www.mahsing.com.my/topic/About/the-group
3. https://www.google.com.my/url?
sa=t&rct=j&q=&esrc=s&source=web&cd=1&cad=rja&uact=8&ved=0CBwQFjAA&url=
http%3A%2F%2Fwww.mulphaland.com.my%2F&ei=A8kQVZSlEsX8QXo5oKYBg&usg=AFQjCNFDu4HcG7KutN8mDumSi9H8AQBICA