Techna X : Quarterly Report For The Financial Period Ended 31 March 2021

TECHNA-XBERHAD [Registration No. 200601012477 (Company No.: 732227-T)]

(Formerly known as SINO HUA-AN INTERNATIONAL BERHAD)

Incorporated in Malaysia

QUARTERLY REPORT ON CONSOLIDATED RESULTS

FOR THE FINANCIAL PERIOD ENDED 31 MARCH 2021

- THE FIGURES HAVE NOT BEEN AUDITED

CONDENSED CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME

		First quarter ended		Financial period ended
		Unaudited		Unaudited
		Current	Preceding		Current		Preceding
		Period	Period		Period		Period
		31-Mar-21	31-Mar-20		31-Mar-21		31-Mar-20
		RM'000	RM'000		RM'000		RM'000
				(Restated)					(Restated)
Continuing Operations
Revenue	9,618		5,526	9,618			5,526
Cost of sales	(2,274)		(2,056)		(2,274)			(2,056)
Gross profit	7,344		3,470	7,344			3,470
Other income	340		11		340			11
Operating expenses	(4,891)		(5,107)		(4,891)			(5,107)
Finance cost	(694)		(257)		(694)			(257)
		(5,245)		(5,353)	(5,245)			(5,353)
Share of loss in associate company	-		(13)		-			(13)
Profit/(Loss) before tax from continuing operations	2,099		(1,896)	2,099			(1,896)
Taxation	(10)		(91)		(10)			(91)
Profit/(Loss) for the period from continuing operations	2,089		(1,987)	2,089			(1,987)
Discontinued Operations
Loss for the period from discontinued operations	(25,610)		(39,102)		(25,610)			(39,102)
Total loss for the period	(23,521)		(41,089)	(23,521)			(41,089)
Other comprehensive (expense)/income:
Items that will be reclassified subsequently to profit or loss:
Exchange difference arising from translation
of foreign operations	2,982		6,562	2,982			6,562
Total comprehensive expense for the period	(20,539)		(34,527)	(20,539)			(34,527)
Profit/(Loss) attributable to
Equity holders of the Company	(23,928)		(41,089)	(23,928)			(41,089)
Minority interest	407		-		407			-
		(23,521)		(41,089)	(23,521)			(41,089)
Total comprehensive expenses attributable to
Equity holders of the Company	(22,373)		(34,527)	(22,373)			(34,527)
Minority interest	1,834		-		1,834			-
		(20,539)		(34,527)	(20,539)			(34,527)
Loss per share attributable to equity holders of the Company (sen)
-	basic (sen)	(1.49)		(3.66)		(1.49)			(3.66)
-	fully diluted (sen)	(1.49)		(3.66)		(1.49)			(3.66)

The above Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income should be read in conjunction with the Audited Financial Statements for the financial year ended 31 December 2020.

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TECHNA-XBERHAD [Registration No. 200601012477 (Company No.: 732227-T)]

(Formerly known as SINO HUA-AN INTERNATIONAL BERHAD)

Incorporated in Malaysia

QUARTERLY REPORT ON CONSOLIDATED RESULTS

FOR THE FINANCIAL PERIOD ENDED 31 MARCH 2021

- THE FIGURES HAVE NOT BEEN AUDITED

CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION

	Unaudited		Audited
	as at		as at
	31-Mar-21		31-Dec-20
	RM'000	RM'000
Non Current Assets
Property, plant and equipment	36,414			35,730
Right of use assets	5,258			6,118
Intangible assets	191,967			185,224
	233,639			227,072
Current Assets
Inventories	2,115			311
Trade receivables	3,093			1,041
Other receivables, deposits and prepayments	77,880			71,956
Tax recoverable	823			549
Bank balances and cash	16,985			6,975
	100,896			80,832
Assets held for sales	144,725			128,920
Total Assets
479,260			436,824
Shareholders' Fund
Share capital	1,197,763			1,153,305
Reserves	(1,114,219)			(1,091,846)
	83,544			61,459
Non-controlling interest	103,100			101,266
	186,644			162,725
Current Liabilities
Trade payables	4,650			3,562
Other payables and accrued expenses	132,376			136,986
Lease payable	3,648			3,491
Short term bank loan	1,987			1,987
Provision for taxation	6			15
	142,667			146,041
Liabilities held for sales	135,144			94,388
Non Current Liabilities
Other payable	12,007			30,161
Lease payable	2,543			3,490
Deferred tax liabilities	255			19
	14,805			33,670
Total Equity and Liabilities
479,260			436,824
Net assets per share (RM)	0.05			0.04

The above Condensed Consolidated Statement of Financial Position should be read in conjunction with the Audited Financial Statements for the financial year ended 31 December 2020.

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TECHNA-XBERHAD [Registration No. 200601012477 (Company No.: 732227-T)]

(Formerly known as SINO HUA-AN INTERNATIONAL BERHAD)

Incorporated in Malaysia

QUARTERLY REPORT ON CONSOLIDATED RESULTS

FOR THE FINANCIAL PERIOD ENDED 31 MARCH 2021

- THE FIGURES HAVE NOT BEEN AUDITED

CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

							Distributable
		<--------------------Non-distributable reserves -------------------->		reserve
		Statutory		Foreign
		common	Reverse	currency						Non-
	Share	reserve	acquisition	translation	Option		Retained			controlling
	capital	funds	reserve	reserve	reserve		earnings	Sub-total		interest		Total
	RM'000	RM'000	RM'000	RM'000	RM'000		RM'000	RM'000		RM'000		RM'000
3 months ended 31 March 2020
Balance as of January 1, 2020	1,115,045	49,358	(799,823)	179,357	2,640	(354,767)	191,810	-	191,810
Loss for the period	-	-	-	-	-	(41,086)	(41,086)	-	(41,086)
Other comprehensive expense
Exchange difference arising from translation
of foreign operations	-	-	-	6,562	-	-	6,562	-	6,562
Balance as of March 31, 2020	1,115,045	49,358	(799,823)	185,919	2,640	(395,853)	157,286	-	157,286
3 months ended 31 March 2021
Balance as of January 1, 2021	1,153,305	49,358	(799,823)	192,753	2,640	(536,774)	61,459	101,266	162,725
Issue of shares:
Conversion of RCN	27,000	-	-	-	-	-	27,000	-	27,000
Private placement	17,458	-	-	-	-			17,458	-	17,458
Loss for the period	-	-	-	-	-	(23,928)	(23,928)	407	(23,521)
Other comprehensive income
Exchange difference arising from translation
of foreign operations	-	-	-	1,555	-	-	1,555	1,427	2,982
Balance as of March 31, 2021	1,197,763	49,358	(799,823)	194,308	2,640	(560,702)	83,544		103,100		186,644

The above Condensed Consolidated Statement of Changes in Equity should be read in conjunction with the Audited Financial Statements for the financial year ended 31 December 2020.

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TECHNA-XBERHAD [Registration No. 200601012477 (Company No.: 732227-T)]

(Formerly known as SINO HUA-AN INTERNATIONAL BERHAD)

Incorporated in Malaysia

QUARTERLY REPORT ON CONSOLIDATED RESULTS

FOR THE FINANCIAL PERIOD ENDED 31 MARCH 2021

- THE FIGURES HAVE NOT BEEN AUDITED

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

		Unaudited
		For the financial period ended
		31-Mar-21	31-Mar-20
		RM'000	RM'000
CASH FLOWS FROM OPERATING ACTIVITIES
Profit/(Loss) before tax from continuing operations	2,099			(1,896)
Loss before tax from discontinued operations		(25,610)			(39,102)
Loss for the period	(23,511)			(40,998)
Adjustments for:
Depreciation of property, plant and equipment	3,831			6,771
Depreciation of right of use assets	860			505
Amortisation of lease payments	268			256
Amortisation of intangibles	383			-
Finance costs	694			643
Interest income	(11)			(13)
Share of associate's results	-			13
Operating loss before working capital changes	(17,486)			(32,823)
(Increase) / Decrease in:
Inventories	(7,711)			29,480
Trade receivables	(3,074)			(21,418)
Other receivables, deposits and prepayments	(6,605)			8,404
Increase / (Decrease) in:
Trade payables	37,001			17,230
Other payables and accrued expenses	(17,480)			(1,753)
Cash used in operations	(15,355)			(880)
Interest paid	(694)			(643)
Tax	-			32
Net cash used in operating activities		(16,049)			(1,491)
CASH FLOWS USED IN INVESTING ACTIVITIES
Acquisition of property, plant and equipment	(860)			(5,131)
Interest received	11			13
Net cash used in investing activities		(849)			(5,118)
CASH FLOWS USED IN FINANCING ACTIVITY
Proceeds from Redeemable Convertible Note, net of transaction costs	27,000			-
Proceeds from Private Placement, net of transaction costs	17,458			-
Repayment of lease payables		(897)			(503)
Net cash generated from/(used in) financing activity		43,561			(503)
NET INCREASE/(DECREASE) IN CASH AND CASH EQUIVALENTS	26,663			(7,112)
CASH AND CASH EQUIVALENTS
AT BEGINNING OF THE FINANCIAL PERIOD	10,048			14,984
Effect of changes in exchange rates	(18,187)			2,464
Changes in cash and cash equivalents classified as held for sales	(1,539)			(8,643)
CASH AND CASH EQUIVALENTS
AT END OF THE FINANCIAL PERIOD		16,985			1,693
The above Condensed Consolidated Statement of Cash Flows should be read in
conjunction with the the Audited Financial Statements for the financial year ended 31 December 2020.

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TECHNA-XBERHAD [Registration No. 200601012477 (Company No.: 732227-T)]

(Formerly known as SINO HUA-AN INTERNATIONAL BERHAD)

Incorporated in Malaysia

Notes to the quarterly report - 31 March 2021

1. EXPLANATORY NOTES PURSUANT TO MFRS 134 - INTERIM FINANCIAL REPORTING

A1. Basis of preparation

The interim financial report is unaudited and has been prepared in accordance with the requirements of MFRS 134: Interim Financial Reporting and Chapter 9.22 of the Listing Requirements of the Bursa Malaysia Securities Berhad ("BMSB").

The interim financial report should be read in conjunction with the audited financial statements of the Group for the year ended 31 December 2020. These explanatory notes attached to the interim financial report provide an explanation of events and transactions that are significant to an understanding of the changes in the financial position and performance of the Group since the financial year ended 31 December 2020.

The significant accounting policies and methods of computation applied in the unaudited interim financial statements are consistent with those adopted in the most recent audited annual financial statements for the financial year ended 31 December 2020, except for the adoption of the following Malaysian Financial Reporting Standards ("MFRSs") and amendments to MFRS for financial periods beginning on or after 1 January 2021: -

• Amendments to References to the Conceptual Framework in MFRS Standards:
• • Amendments to MFRS 2, "Share Based Payments"
  • Amendments to MFRS 3, "Business Combinations"
  • Amendments to MFRS 6, "Exploration for and Evaluation of Mineral Resources"
  • Amendments to MFRS 14, "Regulatory Deferral Accounts"
  • Amendments to MFRS 101, "Presentation of Financial Statements"
  • Amendments to MFRS 108, "Accounting Policies, Changes in Accounting Estimates and Errors"
  • Amendments to MFRS 134, "Interim Financial Reporting"
  • Amendments to MFRS 137, "Provisions, Contingent Liabilities and Contingent
    Assets"
  • Amendments to MFRS 138, "Intangible Assets"
  • Amendments to IC Interpretation 12, "Service Concession Arrangements"
  • Amendments to IC Interpretation 19, "Extinguishing Financial Liabilities with
    Equity Instruments"
  • Amendments to IC Interpretation 20, "Stripping Costs in the Production Phase of a Surface Mine"
  • Amendments to IC Interpretation 22, "Foreign Currency Transactions and Advance Considerations"
  • Amendments to IC Interpretation 132, "Intangible Assets- Web Site Costs"
• Amendments to MFRS 3, "Business Combinations" (Definition of a Business)
• Amendments to MFRS Standards arising from Definition of Material:
• • Amendments to MFRS 101, "Presentation of Financial Statements"
  • Amendments to MFRS 108, "Accounting Policies, Changes in Accounting Estimates and Errors"
• Amendments to MFRS Standards arising from Interest Rate Benchmark Reform:
• • Amendments to MFRS 7, "Financial Instruments: Disclosures"
  • Amendments to MFRS 9, "Financial Instruments"
  • Amendments to MFRS 139, "Financial Instruments: Recognition and
    Measurement"

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