SCHOOL OF ARCHITECTURE, BUILDING AND DESIGN

BACHELOR OF QUANTITY SURVEYING (HONOURS)

QSB 3413/QSB3414/FIN60203 FINANCIAL MANAGEMENT

AUGUST 2018 SEMESTER

GROUP ASSIGNMENT
You are required to perform a financial analysis of KEN Holdings Berhad, a company listed on the
Main Market of Bursa Malaysia.

You are to download the latest annual reports of KEN Holdings Berhad. The company’s annual as
well as quarterly reports can be downloaded from the Bursa Malaysia website and also the company’s
website.

Written Report

Using information that you can glean from its annual and quarterly reports, as well as from other
sources such as newspapers, online sources and industry magazines, write a report evaluating the
financial strength of KEN Holdings Berhad. Your report should contain the following information:

(a) A brief background of the company and its development – its establishment, expansion, listing,
shareholders, key management personnel, etc.

(b) The principal activities of the company.

(c) An analysis of the revenue contributions of the different segments of the company.

(d) An evaluation of the current state of the main/major industry or industries in which the company
operates, e.g., the current size of the market, the prospects for future growth, challenges facing
the industry, etc.

(e) An analysis of the company’s strengths and weaknesses.

(f) The company’s strategic plans for seizing opportunities and for facing challenges in its industry.

(g) Identify the company’s major capital investments during its last three financial years and the major
sources of funding for these investments.

(h) Analyze KEN Holdings Berhad’s financial condition for the FY2017, evaluating trends in the last 4
financial years (FY2013, FY2014, FY2015, FY2016) in the company’s
(i) liquidity
(ii) activity
(iii) debt
(iv) profitability, and
(v) market performance (i.e., related to shareholders).

Include the following ratios in your analysis.

1. Current ratio
2. Quick ratio
3. Inventory turnover
 4. Average collection period
5. Average payment period
6. Total asset turnover
7. Debt ratio
8. Times interest earned
9. Fixed payment coverage ratio
10. Gross profit margin
11. Operating profit margin
12. Net profit margin
13. Return on total assets
14. Return on common equity
15. Earnings per share (EPS)
16. Price/earnings (P/E)
17. Price/book ratio (P/B)

(l) A clear conclusion and recommendations for improvements or for further investigations on the
financial strength of the company.

(m) All financial data, ratio formulas and calculations of ratios are to be shown in appendices.

PLAGIARISM, WHICH IS AN ATTEMPT TO PRESENT ANOTHER PERSON’S WORK AS YOUR

OWN BY NOT ACKNOWLEDING THE SOURCE, IS A SERIOUS CASE OF MISCONDUCT. ANY
GROUP WHICH PLAGIARISES THEIR WORK WOULD FACE THE PENALTY IMPOSED BY THE
DISCIPLINARY BOARD OF TAYLOR’S UNIVERSITY.

---------------------------- END OF ASSIGNMENT QUESTION ----------------------------

 ASSIGNMENT GUIDELINES

1. The assignment contributes 30% towards the overall assessment for this module.

2. Assignment deadlines:
Written report : Week 13

3. You must form your own group consisting maximum of 6 members. Once the group is finalized,
changing of groups is not allowed.

4. Please elect a leader for each group. Group leaders are responsible for motivating the group
members to ensure the final report achieves the highest level of quality. Do alert the lecturer/tutor
at the early stages of the assignment if any group member is not contributing towards the group
project.

5. Please include the relevant pages of the annual report that was used for your analysis as
appendices. Do not attach the whole annual report. Marks will be deducted for failing to adhere to
this requirement.

6. The written report must be submitted in MS Word document. Use only the font Times New Roman
or Arial, Size 11, with line spacing of 1.5, printed on A4 sheets. Please use the attached cover
page for your assignment.

7. You must attach the following Assignment Cover Sheet and Assignment Feedback Form to the
front of your assignment. Ensure that you have entered complete details clearly in the cover sheet
and feedback form. Please maintain the formatting of the cover sheet and feedback form when
submitting them.
 ASSIGNMENT COVER SHEET

An Assignment cover sheet needs to be included with each assignment. Please complete all details clearly.

When submitting the printed copy of this assignment, please attach this sheet to the front of your assignment. When submitting the assignment online,
please ensure this cover sheet is included as the first page of your document.

Please check with your subject lecturer for assignment submission locations.

Names: Student IDs:

Programme: Bachelor of Quantity Surveying (Honours), SCHOOL OF ARCHITECTURE, BUILDING & DESIGN

Email (Group Leader): Contact No (Group Leader):

Subject code and title: QSB3413/QSB3414/FIN60203 FINANCIAL MANAGEMENT

Module Lecturer/ Tutor: Tay Shir Men
Assignment number: Group Written Assignment Due date:
Assignment topic as stated in the guidelines provided: Business and financial analyses and forecasts of a company.

Further Information: (e.g. state if extension was granted and attach evidence of approval and Revised Submission Date)

I have read and understood the Taylor’s University Regulations on cheating, plagiarism and collusion and state that this piece of work is my own and does
not contain any unacknowledged work from any other sources.

I authorise the University to test any work submitted by me, using text comparison software, for instances of plagiarism. I understand this will involve the
University or its contractor copying my work and storing it on a database to be used in future to test work submitted by others.

Note: The attachment of this statement on any electronically submitted assignments will be deemed to have the same authority as a signed statement.

Signed: Name: Date:

Date received from student : Received by:

 GRADE/ MARK
ASSIGNMENT FEEDBACK

A. A feedback form needs to be included with each assignment. Please complete all details clearly.

Student Names and IDs:

Programme: Bachelor of Quantity Surveying (Honours), SCHOOL OF ARCHITECTURE, BUILDING & DESIGN

Email : Contact No :

Module code and title: QSB3413/QSB3414/FIN60203 FINANCIAL MANAGEMENT Module Lecturer/ Tutor:

Assignment number: Group Written Assignment Due date: Word Count:

Assignment topic as stated in the guidelines provided: Business and financial analyses and forecasts of a company.

B. This section will be completed by the lecturer/tutor assessing your assignment:

DISTINCTION CREDIT PASS MARGINAL FAIL
CRITERIA % (7.5-10) (6-7.4) (5-5.9) FAIL(4-4.9) (0-3.9) SCORE
Executive summary, 5 # Excellent # Good # Fair # Poor # Confusing
introduction, background Well-researched, objective and Shows little or no research, biased or
and principal activities, and clearly written. irrelevant, lacks clarity.
strategic plans of the
company

Industry analysis 10 # Excellent # Good # Fair # Poor # Erroneous

Financial analysis
Relevant, up-to-date and well-
researched.
70 # Excellent
Accurate calculations of the latest
financial data over two years,
comparison with industry data, well-
reasoned analyses.
Irrelevant, outdated, little evidence of
research.
# Good # Fair # Poor # Erroneous
Multiple errors in calculations
showing lack of understanding, fails
to evaluate company by comparing
with relevant industry data, no
reasoned analysis of financial data.

Financial forecasts 10 # Excellent # Good # Fair # Poor # Erroneous

Structure and presentation,
language, reference of
sources
Accurate calculations and
correct conclusions. Excellent
evaluation of the projected cash
requirements.
5 # Excellent
Excellent headings/sub-headings,
layout, pagination. Excellent
grammar, spelling. Effective/accurate
use of figures and tables. Excellent
references of sources.
Multiple errors in calculations
showing lack of understanding.
Forecasts without any basis or
justification. Missing or invalid
conclusions and analyses.
# Good # Fair # Poor # Erroneous
Inappropriate or no headings, poor
and confusing layout, innappropriate
or no numbering. Weak grammar,
many spelling mistakes,
ineffective/inaccurate use of figures
and tables. Poor or no references of
sources.

Penalty

Total (100%)

Final score (25%)

Any additional comments (if there is any):Comments:

Assessed by: Date:

Sample Moderated by (if any): Date:

 Marking Criteria for Assignment

DISTINCTION CREDIT PASS MARGINAL FAIL FAIL

% Task details (75-100) (60-74) (50-59) (40-49) (0-39)

Executive 5 Remember that this # Excellent # Good # Fair # Poor # Inadequate

summary, should be a report and Well-researched, impressive Good level of research, Fair level of research, Poor effort in research, Shows little or no research,
introduction, should be presented in a choice and range of relevant covers all the main points, missing some important missing relevant information biased or irrelevant, lacks
background and professional report format. information, objective and objective, relevant information, some or contains wrong/outdated clarity.
principal Presentation should clearly written. errors/omissions. information.
activities, and include tables/graphs to
enhance
strategic plans of
understandability.
the company

Industry analysis 10 You are expected to
research the industry in
which the company
operates to give context to
your financial analysis.
# Excellent # Good # Fair # Poor # Inadequate
Relevant, up-to-date and Good level of relevant Fair level of appropriate Poor effort in researching Irrelevant, outdated, little
well-researched, outstanding information, current and information, some outdated the industry, some irrelevant evidence of research.
level of detail. appropriate. or errors, somewhat or outdated info,
incomplete.

Financial analysis 70 This includes accurate
calculations of relevant
ratios and analyses of
trends in tables/graphs.
Comparison should be
made to competitors
and/or industry averages.
Analyses and evaluations
should be made in the
context of the current
industry climate.
# Excellent
Accurate calculations of the
latest financial data over 5
years, comparison with
industry data, well-reasoned
analyses. Excellent analysis
of trends.
# Good
Accurate calculation of
relevant ratios for 5 years,
good analyses of ratios and
trends, comparison with
industry data or competitors.
# Fair
Fairly accurate calculation of
relevant ratios, fair
description of trends, lacking
comparison with industry
data or competitors.
Contains some errors or
omissions.
# Poor # Inadequate
Errors in calculations Multiple errors in
showing lack of calculations showing lack of
understanding, weak/limited understanding, fails to
analyses. evaluate company by
comparing with relevant
industry data, no reasoned
analysis of financial data.

Financial 10 Accurate calculations of # Excellent # Good # Fair # Poor # Inadequate

forecasts forecast income statement
and any required external
funding or surplus cash.
Accurate calculations and
correct conclusions.
Excellent evaluation of the
projected cash
requirements.
Accurate calculations and
correct conclusions. Good
evaluation of the projected
cash requirements.
Fairly accurate calculations
with conclusion that lack
some clarity and analysis.
Some major errors in
calculations, poor or
inaccurate
conclusions/analyses.
Multiple errors in
calculations showing lack of
understanding. Forecasts
without any basis or justification.
Missing or invalid
conclusions and analyses.

Structure and 5 Professional writing and
presentation, presentation, including
language, good page layout, use of
reference of headers, pagination,
sources organisation of sections,
reference of sources,
inclusion of relevant
details in notes and
appendices.
# Excellent
Excellent headings/sub-
headings, layout, pagination.
Excellent grammar, spelling.
Effective/accurate use of
figures and tables. Excellent
references of sources.
# Good
Good use of headings,
layout is clear, good
pagination, some use of
table/graphs to illustrate
trends. Good reference of
sources.
# Fair
Layout that is fairly readable
with appropriate pagination,
some spelling and
grammatical errors, lacking
logical flow in some parts,
effective use tables/graphs
to illustrate main points.
# Poor
Lacking appropriate
headings/subheadings, poor
paragraphing, many spelling
and grammatical errors,
lacking logical flow in many
parts.
# Inadequate
Inappropriate or no
headings, poor and
confusing layout,
inappropriate or no
numbering. Weak grammar,
many spelling mistakes,
ineffective/inaccurate use of
figures and tables. Poor or
no references of sources.
PRESENTATION IS NOT REQUIRED