EXCEL FORCE MSC BERHAD Annual Report 2017

9 EXCEL FORCE MSC BERHAD (570777-X) ANNUAL REPORT 2017 Wang Kuen-Chung @ Jeff Wang Founder, Managing Director This Statement contains the management discussion and analysis of the business operation and performance of the Group for the financial year ended 31 December 2017. It should be read in conjunction with the audited financial statements of the Group as set out in this Annual Report. Management Discussion And Analysis BUSINESS OVERVIEW Excel Force MSC Berhad was established on 6 February 2002. EForce is a leading information technology solution provider involved in the development, provision and maintenance of application and system solutions for the financial services industry, specifically the stockbroking companies and investment banks. EForce organises its business activities into three (3) segments. They are: (a) Application Solutions (“AS”) - Sales of software applications and product on outright purchase basis. (b) Maintenance Services (“MS”) - Provision of maintenance services. (c) Application Services Provider (“ASP”) - Provision of application services on monthly recurring fixed and variable charges. The Group’s products include CyberBroker Front Office (for client-server, web and mobile-based stock trading), CyberBroker Middle Office, CyberBroker Back Office, StockBanking System and Fundamental Analysis System. EForce provides reliable and stable solutions to meet the mission critical environment that customers operate in. Over the years, EForce has earned a solid reputation in consistently meeting customers’ expectations, and in some instances, going beyond what’s duty bound. The Group has a good understanding of customers’ business needs and strives to response quickly and always with good quality performance. REVIEW OF FINANCIAL RESULTS For FYE 2017, the Group registered a 2% increase in revenue growth to RM22.9 million (RM22.5 million in 2016). Profit before tax (PBT) in FYE 2017 was RM8.1 million, higher by RM1.1 million or 16% compared to a year ago. The increase in PBT was mainly attributed to the disposal of loss making subsidiaries in 2016 and revenue growth in 2017. The Profit after tax (PAT) stood at RM6.3 million, an increase of RM0.9 million compared to 2016. The total assets of the Group is RM54.4 million, an increase of RM1.4 million compared to the corresponding period last year. The Group continues to invest in its product development and has prudently managed its cash holding. Cash, bank balances and short-term funds as at 31 December 2017 is RM21.5 million.