Page 15 - ar2013

MTQ Corporat ion Limi ted Annual Repor t 2012/13 13
The Group’s total liabilities amounted to S$136.3 million,
an increase of 75% or S$58.4 million from FY2012. The
increase in trade and other payables of S$28.6 million
was mainly due to the acquisition of Neptune. Bank
borrowings increased by S$27.6 million mainly due to
financing of the acquisitions, offset by repayment of
loans during the year.
Shareholders’ funds amounted to S$118.6 million as at
31 March 2013, an increase of 37% or S$31.9 million
compared to 31 March 2012.
DIVIDENDS
The Board of Directors is recommending a tax-exempt
(one-tier) final dividend of 2.0 Singapore cents to be
paid for FY2013. Subject to shareholders’ approval for
the payment of the final dividend at the forthcoming
Annual General Meeting, dividend for FY2013, including
the interim dividend of 2.0 Singapore cents paid (cash &
scrip), will total to 4.0 Singapore cents per share.
In addition, a bonus issue of one new ordinary share for
every four existing ordinary shares held in the capital of
the Company is proposed. The proposed bonus issue
is subject to the approval of the Singapore Exchange
Securities Trading Limited (“SGX-ST”) for the listing
and quotation of the bonus shares on the official list of
the SGX-ST. Subject to regulatory approval, the Group
expects that the bonus shares will be entitled to the
proposed final dividend in respect of FY2013 which will
result in an effective full year tax-exempt dividend of 4.5
Singapore cents per share.
CASH FLOWS
As at 31 March 2013, the Group’s cash balances
amounted to S$40.9 million, an increase of 50% or
S$13.6 million from the beginning of the financial year.
The Group continued to generate strong cash flows.
There was higher cash from operating activities due to
increase in profits, offset by higher trade receivables.
Net cash used in investing activities in FY2013 was
S$39.8 million, mainly relating to the acquisition of
Neptune.
Financing obtained from banks amounted to S$47.3
million in FY2013. The Group also disposed of its
treasury shares for S$6.2 million. Apart from payment of
dividends and repayment of bank borrowings, proceeds
from the new bank funding and disposal of treasury
shares was deployed for the acquisition made during
the year.
FINANCIAL RESOURCES AND
CAPITAL STRUCTURE
Total bank borrowings and finance lease payables
increased by 60% to S$73.6 million as at 31 March 2013,
while net debt position increased by 76% to S$32.7
million. Net debt gearing ratio increased from 18% to
20% during FY2013. Despite the increase, the Group’s
gearing level remains healthy and there is headroom
available to fund further growth.
2.4 million new ordinary shares were issued in FY2013
as scrip dividends to eligible shareholders who elected
to take up scrip in lieu of cash dividend under the MTQ
Corporation Limited Scrip Dividend Scheme.
FINANCIAL REVIEW