MIRA
INFORM REPORT
|
Report Date : |
08.06.2007 |
IDENTIFICATION DETAILS
|
Name : |
LOHATHAI STAINLESS CO., LTD. |
|
|
|
|
Registered Office : |
1570/3
Pracharat 1 Road, Bangsue, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
28.02.2005 |
|
|
|
|
Date of Incorporation : |
1995 |
|
|
|
|
Com. Reg. No.: |
0105538057509 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Distributing and exporting
wide range of
metal scraps. |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Status : |
Satisfactory |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
name
LOHATHAI STAINLESS CO., LTD.
SUMMARY
BUSINESS ADDRESS : 1570/3 PRACHARAT 1
ROAD, BANGSUE,
TELEPHONE : [66] 2913-2197-9,
2585-2650
FAX : [66] 2587-5420
REGISTRATION ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED : 1995
REGISTRATION NO. : 0105538057509 [Former :
[1] 1272/2538]
CAPITAL
REGISTERED : BHT.
200,000,000
CAPITAL
PAID-UP : BHT.
200,000,000
FISCAL
YEAR CLOSING DATE : FEBRUARY 28
LEGAL STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR.
DAMRONG KENGRUNGRUANGCHAI, THAI
MANAGING DIRECTOR
NO. OF
STAFF : 50
LINES OF
BUSINESS : STAINLESS STEEL
PRODUCTS
DISTRIBUTOR
AND EXPORTER
CORPORATE PROFILE
OPERATING TREND : STABLE
PRESENT SITUATION : OPERATING NORMALLY
REPUTATION : GOOD
WITH
MANAGEMENT STANDARD : MANAGEMENT WITH
GOOD PERFORMANCE
HISTORY
The
subject was established
on May 12,
1995 as a
private limited company under
the name style
“LOHATHAI STAINLESS CO.,
LTD.” by Thai
groups, with the
business objective initially
to manufacture, import
and distribute stainless
steel products to
local market. At
present, its business has become
to metal scrap
trading operation both
in domestic and
international markets. It
currently employs approximately 50
staff.
The
subject’s registered address
is 1570/3 Pracharat 1 Rd., Bangsue,
Bangkok 10800, and
this is the
subject’s current operation
address.
THE BOARD
OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Damrong Kengrungruangchai |
|
Thai |
56 |
|
Mr. Boriboon Kengrungruangchai |
|
Thai |
29 |
|
Ms. Suwana Kengrungruangchai |
|
Thai |
27 |
AUTHORIZED PERSON
One of the
above directors can
sign on behalf
of the subject
with company’s affixed.
MANAGEMENT
Mr. Damrong
Kengrungruangchai is the
Managing Director.
He is Thai
nationality with the
age of 56
years old.
Mr. Boriboon Kengrungruangchai is
the Deputy Managing
Director.
He is Thai
nationality with the
age of 29
years old.
Mr. Thanawat
Panpairoj is the
Sales & Marketing
Manager.
He is Thai
nationality.
Ms. Suwana Kengrungruangchai is
the General Manager.
She is Thai
nationality with the
age of 27
years old.
BUSINESS OPERATIONS
The subject is
engaged in distributing
and exporting wide
range of metal
scraps.
PURCHASE
100% of the
products is purchased
from local supplier.
SALES
The products is
sold by wholesale
to customer, mainly
stainless steel industry,
both in domestic
and overseas, such
as Japan and
India.
SUBSIDIARY AND
AFFILIATED COMPANY
The subject is
not found to
have any subsidiary
nor affiliated company
here in Thailand.
LITIGATION
Bankruptcy and Receivership
There are no
litigation on bankruptcy
and receivership cases
filed against the
subject found at
Legal Execution Department
for the past
five years.
Others
There are no
legal suits filed
against the subject for
the past two
years.
CREDIT
Sales are by
cash or on
the credits term
of 30-60 days.
Local bills are
paid by cash
or on the
credits term of
30-60 days.
Exports are against T/T.
BANKING
Bangkok Bank
Public Co., Ltd.
[Nonthaburi Branch :
EMPLOYMENT
The
subject employs approximately
50 staff.
LOCATION DETAILS
The
premise is rented
for administrative office,
at the heading
address. Premise is
located in commercial/residential area.
COMMENT
Subject’s business has strong
growth during the last few years due to
the country’s industrial expansions had spurred demand of all kinds of stainless
steel products.
However, the subject
has maintained its
good business from
export markets too.
FINANCIAL INFORMATION
The
capital was registered
at Bht. 1,000,000
divided into 100
shares of Bht.
10,000 each.
The
capital was increased
later as following:
Bht. 10,000,000
on August 22,
2000
Bht. 30,000,000
on July 22,
2003
Bht. 50,000,000
on August 22,
2004
Bht. 200,000,000
on February 22,
2007
The
latest registered capital
was increased to
Bht. 200,000,000 divided into
20,000 shares of
Bht. 10,000 each
with fully paid.
THE SHAREHOLDERS
LISTED WERE : [as at
February 21,
2007]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Damrong Kengrungruangchai Nationality: Thai Address : 1570/3
Pracharat 1 Rd., Bangsue,
|
10,000 |
50.00 |
|
Mrs. Sumalee Kengrungruangchai Nationality: Thai Address : 1532/1
Pracharat 1 Rd., Bangsue,
|
4,000 |
20.00 |
|
Ms. Suwana Kengrungruangchai Nationality: Thai Address : 1538, 1540,1542 Pracharat 1
Rd., Bangsue, |
2,970 |
14.85 |
|
Mr. Boriboon Kengrungruangchai Nationality: Thai Address : 1538, 1540,1542 Pracharat 1
Rd., Bangsue, |
2,970 |
14.85 |
|
Mr. Somchai Kengrungruangchai Nationality: Thai Address : 10/44
Moo 24, Bangsue, |
20 |
0.10 |
|
Mr. Sompong Kengrungruangchai Nationality: Thai Address : 1562/90
Pracharat 1 Rd., Bangsue, |
10 |
0.05 |
|
Mr. Bancha Kengrungruangchai Nationality: Thai Address : 1570/2
Pracharat 1 Rd., Bangsue,
|
10 |
0.05 |
|
Mr. Kaew Kengrungruangchai Nationality: Thai Address : 10/44
Moo 24, Bangsue, |
10 |
0.05 |
|
Mr. Jesda Kengrungruangchai Nationality: Thai Address : 1570/2
Pracharat 1 Rd., Bangsue,
|
10 |
0.05 |
Total Shareholders
9
NAME OF
AUDITOR & CERTIFIED
PUBLIC
ACCOUNTANT NO.
Mr. Songpol Areeprasertsuk No.
3988
BALANCE SHEET [BAHT]
The
latest financial figures
published for February
28, 2005 &
February 29, 2004
were:
ASSETS
|
Current Assets |
Feb. 28,
2005 |
Feb. 29,
2004 |
|
|
|
|
|
Cash in hand
& at Bank
|
257,235.52 |
294,009.73 |
|
Trade Accts. Receivable |
93,930,426.20 |
30,186,043.25 |
|
Inventories |
48,369,267.86 |
32,852,061.52 |
|
Receivable-Revenue Department |
10,999,379.34 |
9,513,996.45 |
|
Other Current Assets
|
1,062,122.89 |
555,083.89 |
|
Total Current
Assets |
154,618,431.81 |
73,401,194.84 |
|
|
|
|
|
Fixed Assets [note 1] |
28,238,752.79 |
18,852,432.05 |
|
Other Assets |
3,000.00 |
3,000.00 |
|
Total Assets
|
182,860,184.60 |
92,256,626.89 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current Liabilities |
Feb. 28,
2005 |
Feb. 29,
2004 |
|
|
|
|
|
Bank Overdraft |
28,273,957.93 |
15,070,466.60 |
|
Trade Accts. Payable |
2,478,207.94 |
1,640,963.51 |
|
Short Term Loan
from Financial Institute |
55,000,000.00 |
- |
|
Current Portion of Hire-Purchase Contract Payable |
1,591,686.65 |
850,034.00 |
|
Accrued Income Tax |
1,587,373.61 |
1,476,201.88 |
|
Other Current Liabilities |
4,935,955.16 |
1,913,896.62 |
|
Total Current
Liabilities |
93,867,181.29 |
20,951,562.61 |
|
Long Term Loan
from Directors |
20,000,000.00 |
28,304,791.65 |
|
Hire-Purchase Contract Payable
Net of Current Portion |
67,088.00 |
463,210.00 |
|
Total Liabilities |
113,934,269.29 |
49,719,564.26 |
|
|
|
|
|
Shareholders'
Equity |
|
|
|
|
|
|
|
Share capital : Baht 10,000
par value authorized, issued
and fully paid share
capital 3,000 shares
in 2004 & 5,000 shares
in 2005 |
50,000,000.00 |
30,000,000.00 |
|
Capital Paid |
50,000,000.00 |
30,000,000.00 |
|
Retained Earning -
Unappropriated |
18,925,915.31 |
12,537,062.63 |
|
Total
Shareholders' Equity |
68,925,915.31 |
42,537,062.63 |
|
Total
Liabilities & Shareholders' Equity |
182,860,184.60 |
92,256,626.89 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
Feb. 28,
2005 |
Feb. 29,
2004 |
|
|
|
|
|
Sales |
1,012,415,951.47 |
567,202,633.62 |
|
Other Income |
1,818,171.61 |
1,107,733.09 |
|
Total Revenues
|
1,014,234,123.08 |
568,310,366.71 |
|
Expenses |
|
|
|
|
|
|
|
Cost of Goods
Sold |
925,386,653.36 |
518,017,716.20 |
|
Selling & Administrative Expenses |
77,742,855.12 |
42,925,190.09 |
|
Total Expenses |
1,003,129,508.48 |
560,942,906.29 |
|
Profit / [Loss] Before Interest
Expenses & Income Tax |
11,104,614.60 |
7,367,460.42 |
|
Interest Expenses |
[1,590,888.31] |
[735,837.27] |
|
Income Tax |
[3,124,873.61] |
[2,084,182.40] |
|
Net Profit / [Loss] |
6,388,852.68 |
4,547,440.75 |
FINANCIAL NOTE
NOTE 1 Fixed
Assets
|
|
2005 |
2004 |
|
|
|
|
|
Construction & Building |
7,612,059.31 |
7,612,059.31 |
|
Machine & Equipment |
10,613,846.95 |
9,627,475.32 |
|
Vehicle |
17,946,337.14 |
14,865,785.74 |
|
Office Equipment |
1,535,716.59 |
1,240,178.36 |
|
Works under Construction |
8,155,669.63 |
131,096.00 |
|
Total |
45,863,629.62 |
33,476,594.76 |
|
Less: Depreciation |
[17,624,876.83] |
[14,624,162.71] |
|
Total
|
28,238,752.79 |
18,852,432.05 |
FINANCIAL ANALYSIS
Annual Growth
& Profitability
|
Annual Growth |
2005 |
2004 |
|
Sales |
78.49 |
|
|
Operating |
[0.20] |
|
|
Net Profit |
40.49 |
|
|
Fixed Assets |
49.79 |
|
|
Total Assets |
98.21 |
|
|
Profitability |
|
|
|
Cost of Goods
Sold |
91.40 |
91.33 |
|
Operating Profit Margin |
8.60 |
8.67 |
|
S&A expenses |
7.68 |
7.57 |
|
Interest |
0.16 |
0.13 |
|
Other Revenues |
0.18 |
0.20 |
|
Net Profit Margin |
0.63 |
0.80 |
|
Earning Per Shares |
1,277.77 |
1,515.81 |
|
No. of Shares |
5,000 |
3,000 |
Net Sales was increased by 78.49%, Operating Profit was decreased by 0.20%, Net Profit was increased by 40.49%, Fixed Assets was increased by 49.79%, Total Assets was increased by 98.21%.
Compare each cost with sales, Cost of Goods Sold was increased from 91.33% to 91.40%, Operating Profit Margin was decreased from 8.67% to 8.60%, S & A Expenses were increased from 7.57% to 7.68%, Interest Paid was increased from 0.13% to 0.16%, Other Revenues was decreased from 0.20% to 0.18%, Net Profit Margin was decreased from 0.80% to 0.63%.
Earning Per Shares
was decreased from 1,515.81
baht per share
to 1,277.77 baht
per share.
Liquidity
|
Liquidity |
2005 |
2004 |
|
Current Ratio |
1.65 |
3.50 |
|
Quick - assets ratio |
1.00 |
1.45 |
Current Ratio was decreased from 3.50 to 1.65, show Current Assets can cover Current Liabilities, Liquidity Ratio of the company was good, and Quick-assets Ratio was decreased from 1.45 to 1.00, capacity to pay Short Term Loan was good too, because Current Assets without Inventory can cover Current Liabilities.
Leverage
|
Leverage |
2005 |
2004 |
|
D/E Ratio |
1.65 |
1.17 |
|
Times Interest Earned |
5.84 |
8.51 |
D/E Ratio was increased from 1.17 to 1.65, show the company had fund from Loan more than fund from Equity, investment risked of the company is medium and Times Interest Earned was decreased from 8.51 to 5.84, capacity to pay interest paid was good.
Efficiency
|
Efficiency |
2005 |
2004 |
|
Fixed Assets Turnover |
35.85 |
30.09 |
|
Total Assets Turnover |
5.54 |
6.15 |
|
Return on Assets |
3.49 |
4.93 |
|
Return on Equity |
9.27 |
10.69 |
|
Day’s Payable |
0.98 |
1.16 |
|
Day’s Inventories |
19.08 |
23.15 |
|
Days’ Receivables |
33.86 |
19.42 |
Fixed Assets Turnover was increased from 30.09 times to 35.85 times, Total Assets Turnover was decreased from 6.15 times to 5.54 times, show the company could use Fixed Assets so efficiently, and Return on Assets was decreased from 4.93 to 3.49, Return on Equity was decreased from 10.69 to 9.27, capacity to use Assets to make profit was not good.
Day’s Payable was
decreased from 2
days to 1
days, and Day’s
Inventories was decreased
from 24 days
to 20 days,
while Day’s Receivables
was increased from
20 days to
34 days.
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit
consideration. Capability to overcome financial difficulties seems
comparatively below average/normal. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
|
This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a
composite of weighted scores obtained from each of the major sections of this
report. The assessed factors and their relative weights (as indicated through
%) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)