Page 58 - Annual report eng 2019

Tycoons Worldwide Group (Thailand) Plc.

13.3 Financial status

(1) Assets

Composition

As of December 31 2019, TYCN’s had total assets 6,514MB, decreased by 18.78%
with amount 1,506MB compared to 2018. The major items accounting for this assets
decrease The main reason was due to the decrease of accounts receivable and inventories
and impairment of registered assets.
As of December 31 2018, TYCN’s had total assets 8,020MB, increased by 2.17%
with amount 170MB compared to 2017. The major items accounting for this assets
increase were trade and other receivables, inventory, cash and cash equivalents.
Current assets of 2019 were 2,749MB decreased by 21.95% with amount 773MB
compared to 2018 mainly due to decreased trade and other receivables. Inventories
Reduced cash and cash equivalents.
Non-current assets of 2019 was 3,765MB, decrease by 16.30% with amount 733MB
compared to 2018, the reason was the depreciation expense of fixed assets and disposal
of idle fixed assets.

Quality of assets

a) Assets

At each reporting date, the Company performs impairment reviews in respect of the long-
term investment, properly, plant and equipment and other intangible assets whenever events or
changes in circumstances indicate that an asset may be impaired. An impairment loss is
recognized when the recoverable amount of an asset, which is the higher of the asset’s fair value
less costs to sell and its value in use, is less than the carrying amount.

b) Accounts receivable

As of December 31, 2019 accounts receivable amounted to 604MB, which could be broken

down into A/R of unrelated parties 546MB and A/R of related party 58MB. A/R amounted to
866MB in 2018 which could be broken down into A/R of unrelated parties 463MB and A/R from
related party 403MB. The normal credit term granted by the Company for related parties is 30-

180 days while credit term for other parties varies from 10 - 105 days. New clients as well as
customers whose payments are overdue will be subject to make a payment equal to a certain

percentage of the purchase amount before shipment.

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