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Datasonic Group Berhad
(Company No. 809759-X)
16
Chairman’s Statement
(Continued)
Other Liabilities have also increased mainly due to increase in trade and other payables as a result of more
purchases towards the end of the financial year.
On the other hand, total Borrowings reduced from RM134.359 million as at 31 March 2015 to RM125.094
million as at 31 March 2016 mainly due to contractual repayments of contract financing which were
made upon receiving proceeds from the customer. Accordingly, the Group’s debt to total assets ratio
has reduced by 6% (i.e. from FY15: 37% to FY16: 31%).
ECONOMIC OUTLOOK AND PROSPECTS
National ID Solutions
In FY16 RM196.137 million (81%) of Datasonic’s total Group revenue
was derived from the supply and personalisation of National
Identification (“ID”) to the Malaysian government. These include
the supply of raw cards, chips and consumables (e.g. security
laminate and/or colour ribbons) for the MyKad and datapages for
the Malaysian passports.
With its commendable track record, the management believes that
Datasonic would be able to sustain its core business earnings from
the provision of theMyKad andMalaysian passports to theMalaysian
government over the next five (5) years. This is mainly attributable
to the RM802.526 million worth of
newly awarded contracts
based
on the following significant letter of awards (LOA) received from
Kementerian DalamNegeri (“KDN/ Ministry of Home Affairs”), namely:
(1) LOA dated 15 December 2015 - Contract valued at RM318.750 million to supply 12.5 million units
Malaysian passport chips to Jabatan ImigresenMalaysia (“JIM/ Immigration Department of Malaysia”)
over 5 years starting 1 December 2016;
(2) LOA dated 27 April 2016 - Contract valued at RM223.376 million to supply 13.416 million units Malaysian
passport documents to JIM over 5 years starting 1 December 2016; and
(3) LOA dated 6 May 2016 - Contract valued at RM260.400 million to supply 12 million units MyKad
raw cards and MyKad consumables to Jabatan Pendaftaran Negara (“JPN/ National Registration
Department”) over 3 years and 6 months commencing from 1 July 2016.
In respect of the
on-going contracts
, the remaining values of contractual income amounting to RM97.726
million is expected to be fully recognized upon delivery of the remaining contract quantities within the
next financial year ending 31 March 2017:
Existing Contracts
Remaining Values
Remarks
Supply of 10 million units of
raw MyKad cards, chips and
consumables to JPN
RM27.043 million This contract has commenced on 1 July 2014 and
is expiring on 30 June 2016. On 6 May 2016, DTSB
received a LOA for the supply of 12 million unit
rawMyKad cards, chips and consumables to JPN
(commencing from 1 July 2016 and expiring on 31
December 2019).
Supply 10 million units of
passport datapages to JIM
RM70.683 million
–
Total
RM97.726 million
National
ID
81%
Others
19%
Revenue FY16
ECONOMIC OUTLOOK AND PROSPECTS
National ID Solutions