RM'000 Kerem's Group Group Statement of Financial Position for year ended 2021 RM'000 RM 000 NON-CURRENT ASSET Investment in Associates [3,200 - (100 x 0.4) + 280] Land (10,500 + 5,600) Property, plant and equipment (8,850 +4,770) Intangible assets Goodwill 3,440 16,100 13,620 120 241 33,521 CURRENT ASSET Inventory (5,660 + 3340 - 113.2) Trade receivable (5,980 + 3,116) Bank (4,830 +2,270 + 50) 8,886.8 9,096 7,150 25,132.8 58,653.8 + EQUITY Ordinary shares 5% preference share Group revaluation reserve Group retained earnings Non-controlling interest 32,830 2,000 1920 5316.44 2789.36 44,855.8 NON-CURRENT LIABILITY 8% debenture Long term loan 300 1,000 1,300 CURRENT LIABILITY Trade payables (6,120 + 3,510) Tax payables (1,900 +86) Bursin OS dividend payables (10 -8) Kerem os dividend payables Kerem PS dividend payables 9,630 1,986 2 780 100 12,498 58,653.8 + Group Statement of Comprehensive Income for the Year ended 2021 RM'000 Sales (25300+12900-1/co 800) (-) Cost of sales ( 13800+8440-1/co 800+ URP113.2) Gross profit (-) Administrative Expenses (4590+2830) (-) Other expenses( 1860+920+ GW Impairment 241) (+) Gain from sales PPE Share of profit in Associate Profit before tax Taxation (1800+200) Profit after tax Other Comprehensive Income Total Comprehensive Income 37400 (21553.2) 15846.8 (7420) (3021) 200 240 5845.8 (2000) 3845.8 0 3845.8 3766.44 Profit after tax attributable to: Shareholders of Kerem (3845.8 - 79.36) Non-controlling Interest: Bursin PAT 510 (-) URP Inventory (113.2) 396.8*20% 79.36 3845.8 *Share of profit in Ercel: Ercel PAT 600,000*40% (-) Impairment RM'000 240 0 240 URP Inventory =25/125*(10%*5660) = = 113.2 RM 6000 RM '000 PAT attributable to Shareholder of Kareem (3845.8 - 79.36) 3,766.44 NCI: Bursin PAT 510 (-) URP Inventory (113.2) 79.36 GROUP STATEMENT OF CHANGE IN EQUITY + NCI GRE GRR RM '000 RM '000 RM '000 2,672 2,430 1,760 Balance @ 01.10.2020 +) Profit for the years -) Dividends 79.36 3,766.44 (2) (880) +) Reserve 40 160 Balance @ 30.09.2021 22.789.36 2430 1960 + RM1000 5,845.20 Group Statement of Cash Flow for the Year Ended 2021 RM1000 Cash flows from operating activities Net profit before taxation Adjustment for: Depreciation 2,400.00 Goodwill impairment 241 Share of profits of associate -240 Gains on disposal of PPE -200 2,201.00 8,046.20 Operating profit before working capital changes -982 -234.2 -620 (increase) in receivables (8,114-9,096) (increase) in inventories (8,652-8,886.2) (decrease) in trade payables (10,250-9,630) Cash generated operations Income taxes paid (2,000-2580) Net cash flow from operating activities -1,836.20 -580 5,630.00 Cash flow from investing activities Acquisition subsidiary Acquisition of associate (only cash payment) Dividend from associate -4,070.00 -3,440.00 -2,000.00 Net cash flow from investing activities -9,510.00 -3,880.00 Cash flow from financing activities Dividends paid to members (8,510-3,766.44) Dividends paid to NCI Net cash flow from financing activities 4,743.56 3,046.44 3,910.00 (b) You are assessing this group's financial health for investment purposes. Based on the group's financial statements, provide your analysis on following: i. Gearing ratio (total liabilities/total assets) ii. Net operating cashflow and liquidity ratio iii. Improvements on cash management, supported by your analysis of investing and financing cash flows
