Ni Hsin Berhad Annual Report 2018

Ni Hsin Resources Berhad (653353-W) Annual Report 2018 8 Management Discussion And Analysis (continued) The Group’s non-current assets decreased marginally to RM52.61 million compared with the non-current assets of RM53.24 million as at 31 December 2017. Inventories increased slightly to RM20.61 million as at 31 December 2018. Receivables, deposits and prepayments increased by RM0.73 million to RM4.68 million. The Group’s net current assets was RM44.23 million as at 31 December 2018. The Group is in a positive net cash position as at 31 December 2018 with cash and cash equivalent of RM11.13 million after deducting all borrowings of the Group. The Group’s net operating cash outflow for FY2018 was RM5.50 million. The net cash outflow from investing activities was RM3.42 million, mainly due to acquisition of quoted shares and purchases of plant and equipment after deducting proceeds from the disposal of quoted shares. Net cash inflow from financing activities was RM12.36 million, mainly attributable to the proceeds from exercise of warrants. The net resultant impact to the Group’s cashflow was an increase in cash of RM3.43 million during FY2018. Net cash and cash equivalents amounted to RM12.89 million as at 31 December 2018. Sales Performance by Division The Group’s performance by each Division for the financial year ended 31 December 2018 is as follows: (i) Cookware The Cookware Division’s revenue for FY2018 decreased by RM1.92 million or 9.9% to RM17.45 million compared with the revenue achieved in FY2017 of RM19.37 million. This was due mainly to the contraction of sales to the Asia Pacific countries (excluding Japan) by RM2.89 million while sales to Japan and USA & Canada improved by RM0.87 million and RM0.09 million respectively. The cookware revenue by geographical market for the period is as follows: FY2018 RM’000 FY2017 RM’000 Increase/ (Decrease) RM'000 % Japan 7,205 6,334 871 13.8% Asia Pacific (exclude Japan) 7,912 10,799 (2,887) (26.7%) USA &Canada 1,806 1,713 93 5.4% Europe 529 527 2 0.4% 17,452 19,373 (1,921) (9.9%) (ii) Convex Mirror The Convex Mirror Division achieved a revenue of RM10.14 million for FY2018, a decrease of RM1.96 million compared with the revenue of RM12.10 million achieved in FY2017 attributable to overall lower export sales. The revenue for the Convex Mirror Division by geographical market for the period is as follows: FY2018 RM’000 FY2017 RM’000 Increase/ (Decrease) RM'000 % Japan 3,555 4,379 (824) (18.8%) Asia Pacific (exclude Japan) 4,079 4,528 (449) (9.9%) USA &Canada 267 333 (66) (19.8%) Europe 2,241 2,857 (616) (21.6%) 10,142 12,097 (1,955) (16.2%)