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QuestionsCategory: Financials QuadrantIntangible asset
Wan Kok kin asked 1 year ago

why a company like Kotra has no intangible assets. Is it because all the Intangible assets were created by the company, so it does not appear on the balance sheet and has no recorded book value. If so, how can I value the brand and if it is an asset-light company?

1 Answers
Victor Chng answered 1 year ago

Hi Kok Kin,
I have not analyse this company before but it sure look interesting. I briefly took a look at it and this is my personal opinion. 
1. Since, it is a pharmaceutical manufacturing company so the brand of medicine or vitamin that they manufactured may not belong to them but rather a generic medicine that patent had expired. Hence, that may the reason that they do not have intangible asset as they owned no patent. 
2.The company is not asset light as their fixed assets accounts about 73% of the total assets. Asset light companies are usually less than 60%.