STATEMENTS OF PROFIT OR LOSS AND COMPREHENSIVE INCOME FOR THE FINANCIAL YEAR 30 JUNE 2020 Group Company Note 2020 1019 1010 2019 RM RM RM RM'000 Revenue 19 8.653,024 5,697,371 1,100,000 Other operating income 20 25,600 2,237,767 7,300 59.695 Purchase and other direct costs (4,179,632) (1,352,029) (719,216) Directors remuneration 21 (912,233) (804,233) (420,024) (576,771) Depreciation of property, plant and equipment (485,311) (193,500) (478,050) (182,459) Depreciation of right of use assets (199,770) (177,281) Amortisation of intangible assets (617,055) (610,108) (62,527) Staff costs 22 (754,599) (657,366) (382,769) (563,657) Other operating expenses 23 (6,064,457) (2,668,635) (1,110,534) (1,512,449) (Loss)/profit from operations (4,534,433) 1,649.267 (2,561,358) (2,457,384) Interest income 264,979 280,724 264,979 280,724 Finance costs 24 (61,395) (59,315) Share of results of associates 375,287 (292.594) (Loss)/profit before tax (3,955,562) 1,637.397 (2,355,694) (2,176,660) Income tax expense 25 1lly (Loss)/profit for the year (3,955,562) 1,637.286 (2,355,694) (2.176,660) Other comprehensive income: Foreign currency translation (24,270) (15,149) Fair value changes on other investments 4,776 (26,778) 4,776 (26,778) Total comprehensive (loss) income for the year (3.975,056) 1,595.359 (2,350,918) (2.203,438) (Loss)/profit attributable to: Owners of the parent (3,954,965) 1,646,538 (2,355,694) (2,176,660) Non-controlling interests (597) (9.252) (3.955,562) 1,637,286 (2.355,694) (2,176,660) Total comprehensive (loss)/profit attributable to: Owners of the parent (3,974,459) 1,604.611 (2,350,918) (2,203,438) Non-controlling interests (597) (9.252) (3.975.056) 1,595,359 (2,350,918) (2.203.438) (Loss)/profit per share attributable to owners of the parent (sen per share): Basic/diluted 26 (0.55) 0.27 The accompanying accounting policies and explanatory information form an integral part of the financial statements.STATEMENTS OF FINANCIAL POSITION AS AT 30 JUNE 2020 Note Group Company 2010 1019 2010 2019 RM RM RM RM Assets Non-Current Assets Property, plant and equipment 1,743,809 2,165,165 1,722,646 2,153,216 Right-of-use assets 700,212 694,589 Intangible assets 9,393,858 5,040,713 Investments in subsidiaries 73,020,000 73,020,000 Investments in associates 9,717,406 Other investments 10.082,649 77.893 82,669 77.893 Goodwill 10 70,198,098 70,198,098 92,118,626 87,199,275 75,519,904 75,251,109 Current assets Trade and other receivables 11 23,724,678 27,384,530 32,241,438 33,348.887 Contract assets 12 3,658,638 2,908,935 Cash and bank balances 13 381,576 895.136 296.948 855.731 27,764,892 31,188,601 32.538,386 34,204.618 Total assets 119,883,518 118,387,876 108.058,290 109.455,727 Equity and liabilities Equity attributable to owners of the Company Share capital 14 113,303,390 112,504,040 113,303,390 112,504,040 Reserves 15 21,175,131 21,194,625 21.548,940 21,544.164 Accumulated losses (33,756,546) (29,705.399) (39.091,875) (36, 722,752) Equity attributable to owners of the Company 100,721,975 103,993.266 95,760,455 97,325,452 Non-controlling interests (484,211) (483.614) Total equity 100,237,764 103,509,652 95,760,455 97,325,452Statements of Financial Position As At 30 June 2020 (cont'd) Group Company Note 2020 1019 2010 1019 RA'000 RM'000 RN'000 RM'000 Equity and liabilities (cont'd) Current liabilities Trade and other payables 16 7,603,750 4,268.159 1,356,993 1,915.630 Provisions and contingent consideration payable 17 11.310,065 10,610,065 10.214,645 10,214,645 Lease liability 18 154,805 149,063 19.068,620 14,878.224 11.720,701 12,130.275 Net current assets 8,696,272 16,310.377 20.817,685 22.074.343 Non-current liabilities Lease liability 18 577,134 577,134 577,134 577,134 Total liabilities 19,645,754 14,878.224 12,297,835 12,130,275 Total equity and liabilities 119,883,518 118,387,876 108,058,290 109,455.727Opportunity for New Audit Engagements Please be informed that several companies are looking forward to appointing us as their 2021's auditor. In principle, I would agree to accept the engagement. However, before finalizing my decision, I would like to know more about those companies. Please can each of you perform analytical procedures (horizontal, vertical and ratio analysis) on Statements of Profit or Loss / Statements of Comprehensive Income and Statements of Financial Position using the Microsoft Excel. I also would like to have a 5-page report of your assessment and recommendation whether we should accept the company as our client or not. Please also hand me the Microsoft Excel file. I want to know the reason for accepting or not accepting the engagements. Please do a proper background and risk assessment research to support your recommendation