Sample Reports And Financial Statements (5 July 2011)

Click Here For Sample Reports and Financial Statements

Warning: You may use this template and modify for your own use and distribute it without modification but please do not sell it to others without my consent.

Use this template with your own judgment and care as there are frequent changes in adoption of new or revised standards and interpretation in Malaysia. Malaysia is on its path of full convergence with IFRSs by 2012.


This is a complete sample Reports and Financial Statements of a limited company with one subsidiary company prepared in accordance with Financial Reporting Standards in Malaysia and the Companies Act, 1965. It is in an excel template with the following items included:-

DIRECTORS’ REPORT

STATEMENT BY DIRECTORS AND STATUTORY DECLARATION

AUDITORS’ REPORT

CONSOLIDATED STATEMENT OF FINANCIAL POSITION (THE GROUP)

CONSOLIDATED COMPREHENSIVE INCOME STATEMENT (THE GROUP)

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY (THE GROUP)

CONSOLIDATED STATEMENT OF CASH FLOWS (THE GROUP)

STATEMENT OF FINANCIAL POSITION (THE COMPANY)

STATEMENT OF COMPREHENSIVE INCOME (THE COMPANY)

STATEMENT OF CHANGES IN EQUITY (THE COMPANY)

STATEMENT OF CASH FLOWS (THE COMPANY)

NOTES TO THE FINANCIAL STATEMENTS (Comprising Significant Accounting Policies: Basis of Preparation, Standards and Interpretation, Basis of Consolidation & Goodwill, Investments, Property Plant and Equipment and Depreciation, Financial Assets, Financial Liabilities, Offsetting Financial Instruments, Impairment of Financial Assets, Impairment of Non-financial Assets, Income Taxes, Revenue Recognition, Foreign Currency Transactions and Balances, Employee Benefits, Leases, Segment Reporting, Contingencies, Financial Risk Management Policy, Critical Accounting Estimates Judgments and Key Sources Of Estimation Uncertainty)

NOTE ON PROPERTY, PLANT AND EQUIPMENT OF THE COMPANY

NOTE ON PROPERTY, PLANT AND EQUIPMENT OF THE GROUP

NOTE ON AVAILABLE-FOR-SALE FINANCIAL ASSETS, INVESTMENT IN ASSOCIATED COMPANY, INVESTMENT IN SUBSIDIARY COMPANY, TRADE RECEIVABLES, AMOUNT DUE FROM ASSOCIATED COMPANY, AMOUNT DUE FROM SUBSIDIARY COMPANY AND FIXED DEPOSITS WITH LICENSED BANKS, OTHER PAYABLES AND ACCRUALS, HIRE PURCHASE AND LEASE PAYABLES, BANK BORROWINGS, SHARE CAPITAL, DEFERRED TAX LIABILITIES, REVENUE, PROFIT BEFORE TAXATION, TAXATION, CONTINGENT LIABILITIES, FINANCIAL INSTRUMENTS BY CATEGORY AND RELATED PARTIES)

DETAILED INCOME STATEMENT (This does not form part of the Reports and Financial Statements but frequently included for management purposes and other means such as income tax submission)

Sample Disclosure – Note On Effect Of Adopting FRS 7 Financial Instruments: Disclosures (5 April 2011)

Prior to 1 January 2010, information about financial instruments was disclosed in accordance with the requirements of FRS 132 Financial Instruments: Disclosure and Presentation. The Group and the Company adopted FRS 7 Financial Instruments: Disclosures (“FRS 7”) as at 1 January 2010. FRS 7 introduces new disclosures to improve on the level of disclosure of information about financial instruments. It requires the disclosure of qualitative and quantitative information about exposure to risks arising from financial instruments, including specified minimum disclosures about credit risk, liquidity risk and market risk, including sensitivity analysis to market risk.

The Group and the Company have applied FRS 7 prospectively in accordance with the transitional provisions of FRS 7 and therefore, the comparatives have not been applied with the requirement of new disclosures under FRS 7. The new disclosures are included throughout the Group’s and the Company’s financial statements for the year ended 31 December 2010.

Sample Disclosure – Accounting Policy Of Operating Segments Reporting (17 March 2011)

Operating Segments

In the previous financial years, the Group deemed a segment as a distinguishable component of the Group that was engaged either in providing products or services (business segment), or in providing products or services within a particular economic environment (geographical segment) which was subject to risks and rewards that were different from those of other segments.

Following the adoption of FRS 8 Operating Segments, an operating segment is a component of the Group that engages in business activities from which it may earn revenues and incur expenses, including revenues and expenses that relate to transactions with any of the Group’s other components. An operating segment’s operating results are reviewed regularly by the Chief Operating Officer (CEO), acting as the chief operating decisions maker of the Group. The CEO makes decisions about resources to be allocated to a segment of the Group, and assesses its performances, for which discrete financial information is available for him/her to make the decisions.

However, as the Group have remained dormant, the adoption of FRS 8 Operating Segments does not have any impact to the presentations and disclosures required to be made in the financial statements.

Sample Disclosure – Note On Significant Event During The Year On Lifting Of PN 17 Status (9 March 2011)

Note On Significant Event During The Year – Lifting Of PN 17 Status

The Company had previously announced on 8 April 2008 that it intended to undertake a regularisation scheme to address its status under the Amended Practice Note 17/2005 of the Listing Requirements issued by Bursa Malaysia Securities Berhad (“PN 17”). The regularisation scheme was approved by the shareholders of the Company at the Extraordinary Meeting held on 8 June 2009.

As part of the regularisation scheme, order from the High Court confirming the par value reduction of the ordinary shares of the Company pursuant to the requirements of Section 64 of the Companies Act, 1965 was obtained on 8 July 2009.

The regularisation scheme was completed on 8 September 2009 followed by the lifting of the PN 17 status of the Company by Bursa Malaysia Securities Berhad on 15 September 2009.

The details of the regularisation scheme are as follows:-

  • A total of RMX,XXX,XXX nominal Redeemable Convertible Unsecured Loan Stocks – A (“RCULS-A”) were issued on 1 August 2009 from its renounceable rights issue. The RCULS-A were subsequently  converted on 7 September 2009 into XX,XXX,XXX new ordinary shares of RM0.25 each at the conversion rate of five ordinary shares of RM0.25 each for RM1 nominal value of RCULS-A held.
  • A total of RM175 million ordinary shares of RM0.25 each (the “DEF Consideration Shares”) and 43.75 million nominal value of 3% Redeemable Convertible Unsecured Loan Stocks – B (“RCULS-B”) were issued on 7 September 2009 respectively as consideration for the acquisition of 100% equity interest in DEF Sdn. Bhd.. The DEF Consideration Shares were subsequently listed and quoted on Bursa Malaysia with effect from 8 September 2009.
  • The issued and fully paid-up share capital upon the completion of the regularisation scheme on 8 September 2009 stood at XXX,XXX,XXX ordinary shares of RM0.25 each totalling RMXX,XXX,XXX.

Sample Disclosure – Note On Realised And Unrealised Profits (25 February 2011)

Realised and Unrealised Profits

On 25 March 2010, Bursa Malaysia Securities Berhad (“Bursa Malaysia”) issued a directive to all listed issuers pursuant to Paragraphs 2.06 and 2.23 of Bursa Malaysia Main Market Listing Requirements. The directive requires all listed issuers to disclose the breakdown of the retained profits or accumulated losses as at the end of the reporting period, into realised and unrealised profits or losses.

On 20 December 2010, Bursa Malaysia further issued guidance on the disclosure and the format required.

The breakdown of retained profits of the Group and of the Company as at the reporting date, into realised and unrealised profits, pursuant to the directive, is as follows:

The determination of realised and unrealised profits is based on the Guidance of Special Matter No. 1, Determination of Realised and Unrealised Profits or Losses in the Context of Disclosures Pursuant to Bursa Malaysia Securities Berhad Listing Requirements, issued by the Malaysian Institute of Accountants on 20 December 2010.

Accordingly, the unrealised retained profits of the Group and of the Company as disclosed above excludes translation gains and losses on monetary items denominated in a currency other than the functional currency and foreign exchange contracts, as these gains and losses are incurred in the ordinary course of business of the Group and of the Company, and are hence deemed as realised.

The disclosure of realised and unrealised profits above is solely for complying with the disclosure requirements stipulated in the directive of Bursa Malaysia and shall not be applied for any other purposes.