Sunny Tew

More documents

Recommendations

Info

NOTES TO THE FINANCIAL STATEMENTSFOR THE FINANCIAL YEAR ENDED 30 SEPTEMBER 2007 (Continued)3. Critical accounting judgements and key sources of estimation uncertainty (Continued)Key sources of estimation uncertainty (Continued)(iii)Inventories and related allowanceInventories are stated at the lower of cost and net realisable value. The Group and the Company primarily determine cost of inventories using the “first-in, first out”method. The Group and the Company estimates the net realisable value of inventories based on assessment of receipt or committed sales prices and providefor excess and obsolete inventories based on historical usage, estimated future demand and related pricing. In determining excess quantities, the Group and theCompany considers recent sales activities, related margin and market positioning of its products. These estimates are generally not subject to significant volatility,due to the long life cycles of its products. However, factors beyond its control, such as demand levels, technological advances and pricing competition, could changefrom period to period. If such factors had an adverse effect, the Group and the Company might be required to reduce the value of its inventories, which wouldadversely affect its results operations, cash flows and financial position. The carrying amount of inventories for the Group and Company as at 30 September 2007was $182,409,753 (2006: $101,614,106) and $167,561,050 (2006: $88,874,183) respectively.(iv)Impairment of goodwillTo determine whether there is an impairment of goodwill at balance sheet date, it is necessary to compare the carrying value of goodwill with the recoverable amountfrom the cash-generating unit to which the goodwill is allocated. The recoverable amount represents the present value of the estimated future cash flows expected toarise from the cash-generating unit. In arriving at the recoverable amount, Directors exercise judgement in estimating the future cash flows and the discount rate. Thecarrying amount of the Group’s and the Company’s goodwill at the balance sheet date was $174,817 (2006: 224,545) and $163,417 (2006: $163,417) respectively.(v)Income taxesThe Group has exposure to income taxes in numerous jurisdictions. Significant judgement is involved in determining the Group’s provision for income taxes. TheGroup recognises expected liabilities for tax based on an estimation of the likely taxes due, which requires significant judgement as to the ultimate tax determinationof certain items. Where the actual liability arising from these issues differs from these estimates, such differences will have an impact on income tax and deferred taxprovisions in the period when such determination is made. The carrying amount of the Group’s and the Company’s current income tax payable as at 30 September2007 was $3,590,094 (2006: $1,779,406) and $3,315,320 (2006: 1,581,197) respectively.58 HG METAL MANUFACTURING LIMITED ANNUAL REPORT 2007
NOTES TO THE FINANCIAL STATEMENTSFOR THE FINANCIAL YEAR ENDED 30 SEPTEMBER 2007 (Continued)4. Property, plant and equipmentPlant FurnitureLeasehold and and Office Motor2007 buildings machinery fittings equipment Renovation vehicles Total$ $ $ $ $ $ $The GroupCostBalance as at 1 October 2006 10,985,146 4,379,014 270,271 292,148 643,030 2,042,820 18,612,429Additions 251,035 1,469,663 32,621 69,912 - 439,598 2,262,829Disposals - - - (28,842) - (216,528) (245,370)Foreign currency realignment - (1,577) 81 311 277 7,662 6,754Balance as at 30 September 2007 11,236,181 5,847,100 302,973 333,529 643,307 2,273,552 20,636,642Accumulated depreciationBalance as at 1 October 2006 3,134,428 1,254,103 153,495 193,186 401,153 925,734 6,062,099Depreciation charge for the financial year 514,149 475,237 24,002 36,552 86,534 391,786 1,528,260Disposals - - - (28,842) - (206,187) (235,029)Foreign currency realignment - 218 81 225 276 4,447 5,247Balance as at 30 September 2007 3,648,577 1,729,558 177,578 201,121 487,963 1,115,780 7,360,577Net book valueAs at 30 September 2007 7,587,604 4,117,542 125,395 132,408 155,344 1,157,772 13,276,065HG METAL MANUFACTURING LIMITED ANNUAL REPORT 200759
Page 3:
Successfulimplementationof secondsa
Page 6 and 7:
CHAIRMAN’S STATEMENT (CONT’D)pr
Page 8 and 9:
6HG METAL MANUFACTURING LIMITED ANN
Page 10 and 11: 8 HG METAL MANUFACTURING LIMITED AN
Page 12 and 13: OPERATIONS & FINANCIAL REVIEW (CONT
Page 14 and 15: Executive ChairmanMr Tan Chan Too,
Page 16 and 17: REAPING REWARDS
Page 18 and 19: CORPORATE INFORMATIONBOARD OF DIREC
Page 20 and 21: CORPORATE GOVERNANCE STATEMENTPrinc
Page 22 and 23: CORPORATE GOVERNANCE STATEMENTThe R
Page 24 and 25: CORPORATE GOVERNANCE STATEMENTExecu
Page 26 and 27: CORPORATE GOVERNANCE STATEMENTThe G
Page 28 and 29: REPORT OF THE DIRECTORSThe Director
Page 30 and 31: REPORT OF THE DIRECTORS (Continued)
Page 32 and 33: REPORT OF THE DIRECTORS (Continued)
Page 34 and 35: INDEPENDENT AUDITORS’ REPORTTO TH
Page 36 and 37: BALANCE SHEETSAS AT 30 SEPTEMBER 20
Page 38 and 39: CONSOLIDATED INCOME STATEMENTFOR TH
Page 40 and 41: STATEMENTS OF CHANGES IN EQUITYFOR
Page 42 and 43: CONSOLIDATED CASH FLOW STATEMENTFOR
Page 44 and 45: NOTES TO THE FINANCIAL STATEMENTSFO
Page 50 and 51: FOR THE FINANCIAL YEAR ENDED 30 SEP
Page 84 and 85: FOR THE FINANCIAL YEAR ENDED 30 SEP
Page 102 and 103: APPENDIX1. INTRODUCTIONThe director
Page 104 and 105: APPENDIX(ii)an “interested person
Page 106 and 107: APPENDIX2.4 CATEGORIES OF INTERESTE
Page 108 and 109: APPENDIXContracts for the same or s
Page 110 and 111:
APPENDIX(b)Substantial Shareholders
Page 112 and 113:
APPENDIXDuring its periodic review
Page 114 and 115:
SHAREHOLDERS STATISTICas at 17 Dece
Page 116 and 117:
SHAREHOLDERS STATISTICas at 17 Dece
Page 118 and 119:
WARRANTHOLDINGS STATISTICas at 17 D
Page 120 and 121:
NOTICE OF ANNUAL GENERAL MEETINGnum
Page 122:
Explanatory Note for item 7 above:-
Page 125 and 126:
PROXY FORMHG METAL MANUFACTURING LI
Page 127 and 128:
This page has been intentionally le
Page 129 and 130:
A META FUSION DESIGN
show all

Sunny Tew

You also want an ePaper? Increase the reach of your titles

Delete template?

Save as template?