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MEDI - Medilink Global UK News Story

0.3p 0.2  100.0%

Last Trade - 13/06/17

Sector
Healthcare
Size
Micro Cap
Market Cap £n/a
Enterprise Value £n/a
Revenue £1.78m
Position in Universe th / 1826

Medilink-Global UK - Final Results - Part 3

Mon 27th June, 2016 2:53pm
- Part 3: For the preceding part double click  ID:nRSa3843Cb 

changes in foreign exchange rates relates
primarily to the Group's operating activities (when revenue or expense is
denominated in a foreign currency) and the Group's net investments in foreign
subsidiaries. 
 
The Group does not hedge its foreign currencies.  Transactions with customers
and vendors are mainly denominated in Malaysia Ringgit, Singapore Dollars, US
Dollars and Chinese Yuan Renminbi. The Group has bank accounts in Malaysia
Ringgit, Singapore Dollar, US Dollars and Chinese Yuan Renminbi to mitigate
against the exchange risks. 
 
The sensitivity analyses in the table below details the impact of changes in
foreign exchange rates on the group's post-tax profit for the year ended 31
December 2015 and 31 December 2014. 
 
(c)   Foreign currency exchange risks (continued) 
 
In each case, it is assumed that the named currency is strengthening or
weakening against all other currencies, while all the other currencies remain
constant. Results are shown for all currencies where the impact on group post
tax profit. If the GBP weakened or strengthen by 10% against Malaysia Ringgit,
with all other variables in each case remaining constant, then: 
 
                    Impact on group post-tax profit - gain/(losses)  
                    Strengthening                                    Weakening  
                    £'000                                            £'000      
 2015                                                                           
 Singapore Dollars  201                                              (246)      
 Malaysia Ringgit   15                                               (18)       
                                                                                
 2014                                                                           
 Singapore Dollars  164                                              (200)      
 Malaysia Ringgit   25                                               (31)       
 
 
(d) Cash flow and fair value interest rate risks 
 
The Group's primary interest rate risk relates to interest bearing debts. 
Investments in financial assets are mainly short term in nature and are not
held for speculative purposes but are placed in fixed deposits. 
 
The Group manages its interest rate exposure by maintaining a fixed rate
borrowing to mitigate the risk associated to interest rate fluctuation. 
 
At the reporting date the interest rate profile of the Group's
interest-bearing financial instruments were as follows: 
 
                                                 2015   2014   
 Fixed rate instruments - financial liabilities  £'000  £'000  
 -     Hire purchase creditors                   3      4      
 -     Term loan                                 169    161    
 -     Advance from director                     100    300    
 Carrying value                                  272    465    
 
 
23.     Related party transactions 
 
Related party transactions during the year were as follow: 
 
                                                2015   2014   
                                                £'000  £'000  
 Amount due from:                                             
 Adviser fee payable to shareholders            50     40     
 Loan from a shareholder                        561    501    
 Advance from a director                        100    300    
 Transaction with director                                    
 Interest on advance from a director (note 17)  18     18     
 
 
The term of the loan from a shareholder is interest free and with no fixed
term of repayment. The loan is secured against the corporate guarantee issued
by the Company. 
 
As at balance sheet, the amount due to the director, excluding the term loan,
was approximately £50,000 (2014: £40,000) relating to expenses paid on behalf
by the directors. The advance from a director, originally provided to the
Company in March 2012, amounts to £300,000 of which £200,000 is owed by
Medilink China, the associate undertaking of the Group. 
 
As at 31 December 2015, the amount due from Medilink China was approximately
£110,000. 
 
Details of the remunerations of the directors (who are considered to be the
key management of the Group) are as follows: 
 
 2015                     Short term employment benefits  Share-based payment  Total  
                          £'000                           £'000                £'000  
                                                                                      
 Executive directors      44                              -                    44     
 Non-executive directors  12                              -                    12     
 Senior management staff  31                              -                    31     
 
 
 2014                     Short term employment benefits  Share-based payment  Total  
                          £'000                           £'000                £'000  
                                                                                      
 Executive directors      46                              -                    46     
 Non-executive directors  12                              -                    12     
 Senior management staff  31                              -                    31     
 
 
24.     Control 
 
The controlling parties of the Group as at 31 December 2015 were Mr. Shia Kok
Fat and Heah Zhong Tak. Mr. Shia Kok Fat is a Malaysian and a significant
shareholder and director of the Company.  Mr Heah Zhong Tak is a Malaysian and
a significant shareholder. 
 
25.     Commitments 
 
There are no other significant capital commitments contracted for but not
provided. 
 
26.     Operating leases 
 
The Group's future minimum lease payments under non-cancellable operating
leases are as follows: 
 
                                                    Land and buildings  
                                                    2015                2014   
                                                    £'000               £'000  
 Leases which expire:                                                          
 Not later than one year                            20                  137    
 Later than one year and not later than five years  17                  43     
 
 
This information is provided by RNS
The company news service from the London Stock Exchange
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