Page 59 - Annual Report English 2018

Tycoons Worldwide Group (Thailand) Plc.

Further details regarding the aging of accounts receivable are as set out below:
Unit: MB
Dec 31, 2018 Dec 31, 2017
Inter- company A/R 403 302
A/R –unrelated parties 463 495
Total A/R 866 797
Aging of A/R-unrelated parties
Past due 197 262
Up to 3 months 204 182
3 months up to 6 months 11
6 months up to 12 months 3
Over 12 months 48 51
Sub-total 463 495
Less Allowance for doubtful A/C (48) (54)
Total A/R - net 818 743

Accounts Receivable turnover has been decreased from 14.43 times of year 2017 to
13.18 times of year 2018. It’s because the extent of sales increase less than average
accounts receivable increase, resulted in A/R collection period increasing 2.36 days from
24.95 days of year 2017 to 27.31 days of year 2018.

(2) Liquidity

Cash flow

TYCN had a net increase in cash and cash equivalents at year-end 2018 of 113MB.
Cash and cash equivalents at the end of 2018 amounted 585MB the change in cash
flow amount was due to:
Net cash flow from operating 572 MB
Net cash flow from investing -73 MB
Net cash flow from financing -379 MB
Net increase in cash 113 MB
Net cash flow from operating activities was positive 572MB, mostly due to increase
in accounts payable.
Net cash flow from investing was negative 73MB mainly because of the increase in
acquisition of plant and equipment.
Net cash flow from financing was negative 379MB mainly because of decrease in
short-term loans.

Liquidity ratios
The company’s current ratio has been increasing standing at 1.32 and 1.26 in the
years 2018 and 2017 respectively, because of the increase in revenue in 2018 resulted
an increase in accounts receivable and inventories.

Effects from the maturity of current liabilities on the liquidity

In 2018, short-term loans from financial institutions and trade and other payables as
well as current portion of long-term loans have accounted for a large proportion of
current liabilities. These first three items are payable within one year. As mentioned
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