Statements of Financial Position As at 31 December 2020 Group 2020 RM OOO 2019 RM000 Company 2020 RM000 2019 RM 000 Note ASSETS Non-current assets Property, plant and equipment Intangible assets Right-of-use assets Investments in subsidiaries Investment in an associate Other receivable Deferred tax assets 7 8 436,331 5,041 879,422 354,035 3,731 690,468 9 160,553 1,620 6,226 4,758 162,765 1,620 33,733 10 13 11 17,273 1,344,293 11,859 1,064,851 198,118 162, 173 Current assets Inventories Trade and other receivables Cash and bank balances 12 13 14 13 690,047 127.754 90,885 908.686 2,252,979 496,546 121,802 140,671 759,119 1,823,970 199,201 30.498 229,690 427,817 13,682 13,895 175,868 TOTAL ASSETS EQUITY AND LIABILITIES Equity attributable to owners of the Company Share capital Reserves TOTAL EQUITY 15 16 295,625 581,051 876,676 1,970 338,504 340,474 295,625 124,267 419,892 1.970 173.361 176,331 17 LIABILITIES Non-current liabilities Borrowings Lease liabilities Provision for restoration costs Deferred tax liabilities B 20 11 20,761 813,612 16,008 2,324 852,705 611,541 632,690 14,218 2,338 1,260,787 7,627 458 Current liabilities Trade and other payables Borrowings Lease liabilities Provision for restoration costs Current tax liabilities 21 17 B 20 119,925 242,823 120,770 536 39,544 523,598 1,376,303 2,252.979 81,798 11,814 94,214 510 34,373 222,709 1,483,496 1,823,970 298 7,925 7.925 427,817 TOTAL LIABILITIES TOTAL EQUITY AND LIABILITIES 537 537 175.868 STATEMENTS OF COMPREHENSIVE INCOME For the financial year ended 31 December 2020 Note Group 2020 RM 2019 RM Company 2020 RM 2019 RM 12,042,076 48,150 (975,146) 1,232,478 1,733,842 (10,389,350) (6,777,396) 23,548,920 137,433 (2,444,184) 2,047,374 224,243 (11,558,055) (7.216,790) 1,804,367 32,940 (138,307) 1,232,478 1,196,028 (3,930,562) (3,529,847) 6,155,184 63,304 (638,361) 2,047,374 1,420,038 (4,560,777) (3,676,052) 5 14 2,118 8,788 14 (55,732) (53,614) Revenue Changes in inventories Purchase of inventories Finance income Other income Staff costs Depreciation Reversal of allowance for impairment of trade receivables Allowance for impairment of trade receivables Allowance for impairment of other receivables Allowance for impairment of amount due from a subsidiary Other expenses Operating loss Finance costs Loss before taxation Taxation Loss net of taxation, representing total comprehensive loss for the financial year 15 (20,160) (20,160) 15 (108,777) (2,955,479) (6,397,159) (15,720) (4,397,715) (3,676,499) 6 8 (8,553,414) (11,636,642) (2.537) (11,639,179) 1,917,560 (12,463,438) (7,791,601) (4,306) (7,795,907) 1,043,098 (6,397,159) 1,249,229 (3,676,499) 661,628 (9.721,619) (6.752.809) (5.147,930) 3,014,871) Attributable to: Equity holders of the Company Non-controlling interests (5,147,930) (3,014,871) (9,572,967) (148,652) (9,721,619) (6,700,396) (52,413) 16,752,809) (5,147,930) (3,014,871) Loss per share attributable to equity holders of the Company (sen per share): Basic Diluted (4.9) 10 10 (3.4) There were no potential dilutive equity instruments that would give a diluted effect to the basic loss per share STATEMENTS OF FINANCIAL POSITION As at 31 December 2020 Note Group 2020 RM 2019 RM Company 2020 RM 2019 RM Assets 11 12 169,879,036 176,239,355 83,552,498 66,485,458 150,037,956 86,919,623 66,485,458 153,405,081 169,879,036 176,239,355 Non-current assets Property, plant and equipment Investment in subsidiaries Total non-currect assets Current assets Inventories Trade receivables Other receivables Tax recoverable Cash and bank balances Total current assets 13 14 15 170,167 256,829 7,440,596 137,227 692.267 5,921,310 549,295 1,750,778 1,581,747 3,328 47,776,379 51,661,527 501,145 1,424,574 2,168,816 3,328 54,856,610 58.954,473 16 45,860,993 53,728,585 50,534,107 57,284,911 Total assets 221,540,563 235,193,828 203,766,541 210,689,992 Equity and liabilities 17 199,396,693 4,497,732 203,894,425 1,536,160 205,430,585 199,396,693 14.070,699 213,467,392 1.684,812 215,152,204 199,396,693 (9,094,604) 190,302,089 199,396,693 (3,946,674) 195,450,019 190,302,089 195,450,019 Equity attributable to equity holders of the Company Share capital Retained earnings/(accumulated losses) Shareholders' equity Non-controlling interests Total equity Non-current liabilities Lease liability Deferred tax liabilities Total non-current liabilities Current liabilities Lease liability Trade payables Other payables Tax payable Total current liabilities 18 19 12,824,224 12,824,224 17,288 14,663,466 14,680,754 11,729,647 11,729,647 12,897,008 12,897,008 18 20 21 14,446 824,280 2,200,375 246,653 3,285,754 32,841 1,211,085 3,754,589 362,333 5,360,870 151,870 1,356,655 226,280 1,734,805 166,393 1,834,590 341.982 2,342,965 Total liabilities 16,109,978 20,041,624 13,464,452 15,239,973 Total equity and liabilities 221,540,563 235.193,828 203,766,541 210,689,992 STATEMENTS OF CASH FLOWS For the financial year ended 31 December 2020 Group 2020 RM 2019 RM Company 2020 RM 2019 RM (11,639,179) (7.795,907) (6,397,159) (3,676,499) 6,777,396 2,790 7,216,790 2,113 3,529,847 2,466 3,676,052 1,760 (2,118) (8,788) 55,732 53,614 20,160 20,160 108,777 15,720 2,269 6.422 Cash flows from operating activities Loss before taxation Adjustments for: Depreciation Inventories written off Reversal of allowance for impairment of trade receivables Allowance for impairment of trade receivables Allowance for impairment of other receivables Allowance for impairment of amount due from a subsidiary Property, plant and equipment written off (Reversal of/provision for short-term accumulating compensated absences Gain on disposal of property, plant and equipment Finance income Finance costs Operating loss before working capital changes Increase in receivables Increase in inventories (DecreaseWincrease in payables Cash used in operations Finance costs paid Tax refunded Tax paid Net cash used in operating activities (138,922) (8,242) (35,910) 13,318 (520) (1,232,478) 2,537 (2,047,374) 4,306 (1,232,478) (2,047,374) (6,228,225) (710,519) (50,940) (1,802,097) (8,791,781) (2,537) (2.554,788) (316,445) (139,546) 179,615 (2.831,164) (4,306) 123,524 (246,003) (2.957,949) (4,024,457) (2,166,127) (35,406) (456,548) (6,682,538) (1.943,249) (2.460,599) (65,064) (70,582) (4,539,494) (37,384) (8,831,702) (33,834) (6,716,372) (211,666) (4.751,160) 2,205,980 1,781,238 2,205,980 1,781,238 47,142,885 1,334,889 47,142,885 1,334,889 Cash flows from investing activities Finance income received Withdrawal of deposits with licensed banks Purchase of property, plant and equipment Proceeds from disposal of property, plant and equipment Net cash from investing activities (419,346) (2,524,068) (162,722) (1.654,063) 520 48,930,039 592,059 49,186,143 1,462,064 STATEMENTS OF CASH FLOWS For the financial year ended 31 December 2020 Note Group 2020 RM 2019 RM Company 2020 RM 2019 RM 42,469,771 (3,289,096) Cash flows from financing activity Repayments of lease liability, representing net cash used in financing activity (35,683) (31,054) Net changes in cash and cash equivalents 40,062,654 (2,396,944) Cash and cash equivalents and beginning of financial year 6,528,725 8.925,669 Cash and cash equivalents at end of financial year 46,591,379 6,528,725 NOTE TO THE STATEMENTS OF CASH FLOWS A. CASH AND CASH EQUIVALENTS Cash and cash equivalents included in the statements of cash flows comprise the following: 2,206,222 5.495,318 44,675.993 2.206,222 Note Group 2020 RM 2019 RM Company 2020 RM 2019 RM 47,776,379 54,856,610 45,860,993 50,534,107 Cash and bank balances Less: Short-term deposits with licensed banks 16 (1,185,000) 46,591,379 (48,327,885 6,528.725 (1,185,000) 44,675,993 (48,327,885) 2,206,222 From the annual report 2020 of GRAND CENTRAL ENTERPRISES BHD Calculate and comment on each of the following ratios for 2019 and 2020. ix) x) Time Interest Earned Price Earnings ratio (P/E)