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NATURAL COOL HOLDINGS LIMITED
Annual Report 2011
The Group registered revenue of S$136.92
million in FY2011, an increase of S$0.53 million,
or 0.39% as compared to FY2010.
Revenue from Aircon Division decreased
marginally by S$0.39 million or 0.49% to
S$78.43 million in FY2011 and was due mainly
to delay in projects deliveries.
Revenue from Switchgear Division decreased
by S$1.02million, or 1.85% to S$54.07million in
FY2011 as compared to FY2010. The decrease
in revenue was due mainly to the moderation
of the construction activity and discounts given
to customers to maintain our market share as
a result of the competitive switchgear market.
Revenue from Investment Division, which
comprises rental income generated from our
properties located at 29 Tai Seng Avenue,
Kranji and Benoi Crescent, increased by
S$1.93 million, or 77.23% to S$4.43 million in
FY2011. In FY2010, prior to the completion of
the sale and leaseback transaction, the rental
income from 29 Tai Seng Avenue was recorded
as other income.
Gross proft decreased by S$5.64 million
or 18.84% to S$24.29 million and was due
mainly to lower gross proft margin contributed
by our Switchgear division. The fall in overall
gross proft margin was partly offset by the
improvement of the gross proft margin of the
Aircon Division.
Other income decreased by S$8.64 million to
S$1.34 million in FY2011 due to the absence of
a one-off disposal gain of S$7.47 million from
the sale and leaseback of Natural Cool Lifestyle
Hub at 29 Tai Seng and lower rental income in
FY2010.
Distribution, administrative and other expenses
collectively decreased by S$0.90 million or
2.62% to S$28.63 million. Excluding the proft
incentive provided to the top management in
FY2010, distribution, administrative and other
expense collectively increased by 6.68% in
FY2011 and was due mainly to the higher legal
and professional expenses incurred for the
discontinued listing of our Switchgear division
on the Growth Enterprise Market of Hong Kong
Stock Exchange.
Finance costs decreased by S$1.36 million in
FY2011 and were due mainly to the repayment
of the property loan of 29 Tai Seng Avenue.
The tax credit in FY2011 was due mainly
to the overprovision of tax liabilities of our
Switchgear division in prior years. The fnal tax
assessments of prior years were lower than
expected because of tax incentives under
Productivity and Innovation Credit Scheme
and capital allowances on certain qualifying
property, plant and equipment.
Arising from the above, the Group reported
a loss attributable to shareholders of S$3.47
million in FY2011 as opposed to a proft of
S$6.71 million in FY2010.
Financial
Review
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