Group Company 2011 2010 2011 2010 Note RM’000 RM’000 RM’000 RM’000 Cash fl ows from operating activities
Profi t before tax 160,808 136,015 28,096 59,461
Adjustments for:
Amortisation of prepaid lease payments 976 1,526 - -
Amortisation of intangible assets 42 37 - -
Amortisation of investment properties 540 256 - -
Depreciation 45,950 37,626 111 47
Derivative loss 7,107 - 7,350 -
Dividends from subsidiaries - - (31,867) (61,703) Dividends from liquid investments (343) (338) (132) (94) Dividends from available-for-sale
investments (330) - (330) -
Gain on disposal of investment (72) - - -
Gain on foreign exchange – unrealised (7,715) (140) (7,231) -
Interest expense 18,442 13,732 12,733 7,411
Interest income (1,098) (800) (11,863) (7,853)
Impairment loss on plant and machinery - 300 - - Impairment loss on investment properties - 154 - - Loss on disposal of property, plant and
equipment 405 688 - -
(Gain)/loss on disposal of prepaid lease
payments (121) 38 - -
Property, plant and equipment written off 357 2,710 - 1 Share of profi ts of equity accounted
investees, net of tax (3,546) (493) - -
Operating profi t/(loss) before changes in
working capital 221,402 191,311 (3,133) (2,730)
Changes in working capital:
Inventories (38,534) (3,451) - -
Biological assets (28,026) (21,290) - -
Trade and other receivables and other
fi nancial assets (67,868) (20,686) 293 34
Trade and other payables 22,639 20,720 (223) 77
Bills payable 48,151 4,098 - -
Cash generated from/(used in) operations 157,764 170,702 (3,063) (2,619)
Group Company 2011 2010 2011 2010 Note RM’000 RM’000 RM’000 RM’000
Income taxes (paid)/refund (22,926) (13,871) 436 -
Interest paid (5,090) (3,925) (1,418) (575)
Interest received 1,098 800 11,863 7,853
Net cash generated from operating
activities 130,846 153,706 7,818 4,659 Cash fl ows from investing activities
Acquisition of subsidiary, net of cash 37.1 (498) - - -
Acquisition of business 37.2 (2,209) - - -
Acquisition of associate 35.8 (29,506) - - -
Proceeds from disposal of investment 276 - - -
Proceeds from disposal of asset held
for sale - 1,687 - -
Proceeds from disposal of property,
plant and equipment 2,710 5,402 63 -
Proceeds from disposal of prepaid lease
rights 300 116 - -
Purchase of investment property (811) (219) - -
Purchase of prepaid lease rights (9,874) (3,872) - - Purchase of property, plant and
equipment (201,409) (114,485) (511) (129)
Purchase of intangible assets (598) (856) - -
Dividend received from investments 673 338 380 94
Dividend received from subsidiaries - - 29,662 59,271
Dividend received from associates 806 538 - -
Investment in quoted shares (11,568) - (11,568) -
Net cash (used in)/generated from
investing activities (251,708) (111,351) 18,026 59,236
Cash fl ows from fi nancing activities
Advances to subsidiaries - - (184,388) (91,939)
Contribution from minority shareholders 757 2,638 - - Dividend paid to minority shareholders (2,371) (2,428) - - Dividend paid to shareholders of the
Company (29,503) (22,838) (29,503) (22,838)
Interest paid (13,352) (9,807) (11,315) (6,836)
For the year ended 31 March 2011 (continued)
Group Company
2011 2010 2011 2010
Note RM’000 RM’000 RM’000 RM’000 Cash fl ows from fi nancing activities
(continued)
Repayment of fi nance lease liabilities (1,268) (1,624) - -
Proceeds from Government grant 233 4,427 - -
Proceeds from loans and other borrowings 46,042 34,012 76,343 74,672
Share issue expenses (1,611) (49) (1,611) (49)
Purchase of treasury shares (1,684) (6,140) (1,684) (6,140)
Resale of treasury shares 22,527 - 22,527 -
Proceeds from share private placement 116,636 - 116,636 - Net cash generated from/(used in)
fi nancing activities 136,406 (1,809) (12,995) (53,130) Net increase in cash and cash equivalents 15,544 40,546 12,849 10,765
Cash and cash equivalents at beginning
of year 101,661 61,115 13,559 2,794
Cash and cash equivalents at end
of year (ii) 117,205 101,661 26,408 13,559
Note to the cash fl ow statements i) Non- cash transaction Company
Investing activities
During the fi nancial year, the investments in certain subsidiaries was increased through capitalisation of debts amounting to RM92,199,000 (2010: RM6,300,000).
Financing activities
In the prior year, the Company undertook bonus issue of 65,172,080 new ordinary shares of RM0.50 each on the basis of one (1) new ordinary share of RM0.50 each for every fi ve (5) existing ordinary shares held. The issuance of bonus shares totalling RM32,586,040 was capitalised from share premium and retained earnings of RM200,000 and RM32,386,040 respectively.
ii) Cash and cash equivalents
Cash and cash equivalents included in the cash fl ow statements comprise the following statement of fi nancial position amounts:
Note Group Company
2011 2010 2011 2010 RM’000 RM’000 RM’000 RM’000
Cash and bank balances 80,177 57,208 4,984 4,257
Deposits placed with licensed banks 7,513 10,862 540 433
Liquid investments 34,367 38,075 20,884 8,869
15 122,057 106,145 26,408 13,559
Bank overdrafts 17 (4,852) (4,484) - -
117,205 101,661 26,408 13,559
The notes on pages 57 to 141 are an integral part of these fi nancial statements.
QL Resources Berhad is a public limited liability company, incorporated and domiciled in Malaysia and is listed on the Main Market of Bursa Malaysia Securities Berhad. The address of its registered offi ce and principal place of business is as follow:
Registered offi ce/Principal place of business No. 16A Jal an Astaka U8/83
Bukit Jelutong 40150 Shah Alam Selangor Darul Ehsan
The consolidated fi nancial statements of the Company as at and for the year ended 31 March 2011 comprise the Company and its subsidiaries (together referred to as the Group) and the Group’s interest in associates. The fi nancial statements of the Company as at and for the year ended 31 March 2011 do not include other entities.
The Company is principally engaged in investment holding and provision of management services, whilst the principal activities of the subsidiaries are as stated in Note 34 to the fi nancial statements.
The fi nancial statements were authorised for issue by the Board of Directors on 8 July 2011.
1. Basis of preparation
(a) Statement of compliance
These fi nancial statements have been prepared in accordance with Financial Reporting Standards (FRS), generally accepted accounting principles and the Companies Act, 1965 in Malaysia.
The Group has not applied the following accounting standards, amendments and interpretations that have been issued by the Malaysian Accounting Standards Board (MASB) but are not yet effective for the Group and the Company:
FRSs, Interpretations and amendments effective for annual periods beginning on or after 1 July 2010
• FRS 1, First-time Adoption of Financial Reporting Standards (revised)
• FRS 3, Business Combinations (revised)
• FRS 127, Consolidated and Separate Financial Statements (revised)
• Amendments to FRS 2, Share-based Payment
• Amendments to FRS 5, Non-current Assets Held for Sale and Discontinued Operations
• Amendments to FRS 138, Intangible Assets
• IC Interpretation 12, Service Concession Agreements
• IC Interpretation 16, Hedges of a Net Investment in a Foreign Operation
• IC Interpretation 17, Distributions of Non-cash Assets to Owners
• Amendments to IC Interpretation 9, Reassessment of Embedded Derivatives
FRSs, Interpretations and amendments effective for annual periods beginning on or after 1 January 2011
• Amendments to FRS 1, First-time Adoption of Financial Reporting Standards – Limited Exemption from Comparative FRS 7 Disclosures for First-time Adopters