MIRA
INFORM REPORT
|
Report Date : |
28th February, 2007 |
IDENTIFICATION
DETAILS
|
Name : |
JACOB’S
JEWELRY CO., LTD. |
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|
|
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Registered Office : |
232 - 236
Mahesak Soi 2
Road, Suriyawongse, Bangrak, Bangkok
10500, Thailand. |
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Country : |
Thailand |
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Financials (as on) : |
31.12.2005 |
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Date of Incorporation : |
31.07.2000 |
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Com. Reg. No.: |
0105543071085 [Former :
1081/2543] |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Engaged in manufacturing and exporting various
designs of diamond
jewelry products such
as necklace, bracelet,
pendant, brooch, ring,
earring, cufflinks and etc. |
RATING &
COMMENTS
|
MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
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|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
Company Name
JACOB’S JEWELRY
CO., LTD.
SUMMARY
BUSINESS ADDRESS : 232 - 236 MAHESAK
SOI 2 ROAD, SURIYAWONGSE,
BANGRAK, BANGKOK 10500,
THAILAND
TELEPHONE : [66] 2635-6104-6, 2635-6440
FAX : [66] 2635-8701
E-MAIL ADDRESS : hoving@jacobjewelry.net/ sales@jacobjewelry.net
REGISTRATION ADDRESS : SAME AS
BUSINESS ADDRESS
ESTABLISHED : 2000
REGISTRATION NO.
:
0105543071085 [Former :
1081/2543]
CAPITAL
REGISTERED : BHT. 14,000,000
CAPITAL
PAID-UP : BHT. 14,000,000
FISCAL YEAR
CLOSING DATE : DECEMBER
31
LEGAL STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR. OHANES
A. AGOP, ARMENIAN
MANAGING DIRECTOR
NO.
OF STAFF : 59
LINES OF
BUSINESS : DIAMOND JEWELRY
PRODUCTS
MANUFACTURER AND EXPORTER
CORPORATE PROFILE
OPERATING TREND : STABLE
PRESENT SITUATION : OPERATING NORMALLY
REPUTATION : GOOD WITH
NORMAL BUSINESS ENGAGEMENT
MANAGEMENT STANDARD : MANAGEMENT WITH
GOOD PERFORMANCE
HISTORY
The subject was
established on July
31, 2000 as
a private limited
company under the
name style JACOB’S JEWELRY
CO., LTD. by foreign
groups, in order
to manufacture diamond
jewelry products for
export markets. It
currently employs 59
staff.
It was granted a promotional
privilege from the
Board of Investment
[BOI] for jewelry
production under the
promotion certificate No.
1472/2543.
Subject is a
member of JB
Group of companies,
which the headquarter
is in India.
The subject’s registered
address is 232 - 236
Mahesak Soi 2
Rd., Suriyawongse, Bangrak,
Bangkok 10500, and
this is the
company’s current operation
address.
THE BOARD OF DIRECTORS
|
Name |
Nationality |
Age |
|
|
|
|
|
Mr. Ohanes A.
Agop |
Armenian |
40 |
|
Mr. Venu V.
Kukadia |
Indian |
34 |
AUTHORIZED PERSON
One of the above directors
can sign on
behalf of the
subject with company’s
affixed.
MANAGEMENT
Mr. Ohanes
A. Agop is
the Managing Director.
He is Armenian nationality with
the age of
40 years old.
BUSINESS OPERATIONS
The subject is engaged
in manufacturing and
exporting various designs
of diamond jewelry
products such as
necklace, bracelet, pendant,
brooch, ring, earring,
cufflinks and etc.
PURCHASE
Diamonds, gemstones and
accessories are purchased
from both local
and overseas suppliers
and agents in
United Arab Emirates,
India and Hong
Kong.
MAJOR SUPPLIER
JB Diamonds Co.,
Ltd. : India
EXPORT [COUNTRY]
100% of the
products is exported
to Hong Kong,
India, Belgium, United Arab
Emirates, Republic of
China, U.S.A. and
European Countries.
MAJOR CUSTOMERS
Jacob’s Jewellery [Dubai]
Ltd. : United Arab Emirates
RELATED/AFFILIATED COMPANY
Sugem Int
Co., Ltd.
Business Type: Importer
& distributor of
diamonds
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
Local bills are
paid by cash
or on the credit term
of 30-60 days.
Imports are by
L/C at sight and T/T
on negotiated term.
Exports are against
L/C at sight or T/T
on negotiated term.
BUSINESS TRANSACTION
Local bills are
paid by cash
or on negotiated term, while
exports are against
L/C at sight. The subject
is not found to have
problem on both
accounts receivable and
accounts payable.
BANKING
Siam Commercial Bank
Public Co., Ltd.
Bangkok Bank Public
Co., Ltd.
EMPLOYMENT
The subject employs
approximately 59 office
staff and factory
workers.
LOCATION DETAILS
The premise is
rented for administrative office and factory
in a 4.5 storey building
of 3 row shop houses
at the heading address. It
is located in
a prime commercial
area.
COMMENT
Now Thai gems and jewelry are popular worldwide, and the country’s gem
and jewelry manufacturing sector has become one of Thailand’s biggest foreign
exchange earners.
The subject offers a full spectrum of gems and jewelry from high-end
custom pieces to mass produced accessories.
The subject manufacture of fine jewelry has become increasingly
contemporary leaders, both in upper-class and middle-class consumer
markets. It also offers sophisticated
designs and an elegant finish.
The subject can
stand by its
reputation in the
fine jewelry business
to provide the
best in quality
and service to international markets.
FINANCIAL INFORMATION
The capital was
registered at Bht.
14,000,000 divided into
140,000 shares of
Bht. 100 each
with fully paid.
THE SHAREHOLDERS LISTED WERE
[as at April 30, 2006]
|
NAME |
HOLDING |
% |
|
|
|
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Mr. Ohanes
A. Agop Nationality : Armenian Address : 232 - 236
Mahesak Soi 2
Rd., Suriyawongse,
Bangrak, Bangkok 10500 |
69,998 |
50.00 |
|
Mr. Venu
V. Kukadia Nationality : Indian Address : 232 - 236
Mahesak Soi 2
Rd., Suriyawongse, Bangrak, Bangkok
10500 |
69,997 |
50.00 |
|
Mr. Watsay
Derderian Nationality : Syrian Address : 232 - 236
Mahesak Soi 2
Rd., Suriyawongse,
Bangrak, Bangkok 10500 |
1 |
- |
|
Mrs. Oach-channa M. Bamakzevian Nationality : Syrian Address : 232 - 236
Mahesak Soi 2
Rd., Suriyawongse,
Bangrak, Bangkok 10500 |
1 |
- |
|
Mr. Agop
Agopean Nationality : Syrian Address : Syria |
1 |
- |
|
Mr. Blupendra
Shurani Nationality : Indian Address : 57 - 59
Shatam Rd., T.S.T.,
Kaoloon, Hong Kong |
1 |
- |
|
Mr. Jitendra
Shurani Nationality : Indian Address : New
York, U.S.A. |
1 |
- |
Total Shareholders : 7
NAME OF AUDITOR &
CERTIFIED PUBLIC ACCOUNTANT
NO.
Maj. Gen. Montri
Thamanart No. 1144
BALANCE SHEET [BAHT]
The latest
financial figures published as
at December 31,
2005 & 2004
were:
ASSETS
|
Current Assets |
2005 |
2004 |
|
|
|
|
|
Cash in Hand
& at Bank |
5,337,391.44 |
6,773,046.30 |
|
Trade Accounts Receivable |
377,919,481.84 |
230,908,986.89 |
|
Short Term Loan to
Related Person |
1,942,707.08 |
- |
|
Inventories |
210,109,444.81 |
188,295,062.52 |
|
Other Current Assets |
3,578,877.94 |
3,229,423.75 |
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|
|
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Total Current
Assets |
598,887,903.11 |
429,206,519.46 |
|
Office Automation |
891,833.25 |
658,923.63 |
|
Factory Equipment |
5,626,543.40 |
770,475.13 |
|
Vehicle |
4,448,103.07 |
2,317,240.55 |
|
Other Assets |
- |
871,090.69 |
|
Total Assets |
609,854,382.83 |
433,824,249.46 |
LIABILITIES & SHAREHOLDERS'
EQUITY [BAHT]
|
Current Liabilities |
2005 |
2004 |
|
|
|
|
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Trade Accounts Payable |
478,090,300.34 |
370,752,344.50 |
|
Goods Payment received
in Advance |
19,576,117.86 |
35,177,100.88 |
|
Accrued Expenses |
11,885,082.88 |
1,424,437.48 |
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Current Portion of
Long Term Loan |
4,320,000.00 |
- |
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Total Current
Liabilities |
513,871,501.08 |
407,353,882.86 |
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Other Long Term
Loan |
66,358,279.13 |
- |
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Total Liabilities |
580,229,780.21 |
407,353,882.86 |
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Shareholders’
Equity |
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Share capital : Baht 100
par value authorized, issued
and fully paid share
capital 140,000 shares |
14,000,000.00 |
14,000,000.00 |
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|
|
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Capital Paid |
14,000,000.00 |
14,000,000.00 |
|
Unappropriated |
15,624,602.62 |
12,470,366.60 |
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Total
Shareholders’ Equity |
29,624,602.62 |
26,470,366.60 |
|
Total
Liabilities & Shareholders’ Equity |
609,854,382.83 |
433,824,249.46 |
PROFIT & LOSS ACCOUNT
|
Revenue |
2005 |
2004 |
|
|
|
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Sales |
495,823,529.56 |
412,142,168.26 |
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Total Revenues
|
495,823,529.56 |
412,142,168.26 |
|
Expenses |
|
|
|
|
|
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Cost of Goods
Sold |
441,739,690.14 |
379,187,664.49 |
|
Selling & Administrative Expenses |
44,408,176.99 |
26,530,294.03 |
|
Loss on Exchange
Rate |
4,608,339.34 |
573,950.02 |
|
Total Expenses |
490,756,206.47 |
406,291,908.54 |
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Profit / [Loss] before Interest
Expenses & Income Tax |
5,067,323.09 |
5,850,259.72 |
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Interest Expenses |
[167,876.71] |
- |
|
Income Tax |
[1,745,210.36] |
[1,977,636.64] |
|
Net Profit / [Loss] |
3,154,236.02 |
3,872,623.08 |
FINANCIAL ANALYSIS
Annual Growth & Profitability
|
Annual Growth |
2005 |
2004 |
|
Sales |
20.30 |
|
|
Operating |
25.19 |
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Net Profit |
[18.55] |
|
|
Fixed Assets |
192.70 |
|
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Total Assets |
40.58 |
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Profitability |
|
|
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Cost of Goods
Sold |
89.09 |
92.00 |
|
Operating Profit Margin |
1.95 |
1.56 |
|
S&A expenses |
8.96 |
6.44 |
|
Interest |
0.03 |
0.00 |
|
Net Profit Margin |
0.64 |
0.94 |
|
Earning Per Shares |
22.53 |
27.66 |
|
No. of Shares |
140,000 |
140,000 |
Net Sales was
increased by 20.30%,
Operating Profit was
increased by 25.19%,
Net Profit was
decreased by 18.55%,
Fixed Assets was
increased by 192.70%,
Total Assets was
increased by 40.58%.
Compare each cost with sales, Cost of Goods Sold was decreased from 92.00% to 89.09%, Operating Profit Margin was increased from 1.56% to 1.95%, S & A Expenses were increased from 6.44% to 8.96%, Interest Paid was increased from 0.00% to 0.03%, Net Profit Margin was decreased from 0.94% to 0.64%.
Earning Per Shares was decreased from 27.66 baht per share to 22.53 baht per share.
Liquidity
|
Liquidity |
2005 |
2004 |
|
Current Ratio |
1.17 |
1.05 |
|
Quick - assets ratio |
0.75 |
0.58 |
Current Ratio was
increased from 1.05
to 1.17, show
Current Assets can
cover Current Liabilities, Liquidity Ratio of
the company was
good, and Quick-assets Ratio was increased
from 0.58 to
0.75, capacity to
pay Short Term
Loan was not
good, because Current
Assets without Inventory
can not cover
Current Liabilities.
Leverage
|
Leverage |
2005 |
2004 |
|
D/E Ratio |
19.59 |
15.39 |
|
Times Interest Earned |
57.64 |
- |
D/E Ratio was
increased from 15.39
to 19.59, show
the company had
fund from Loan
more than fund
from Equity, investment
risked of the
company is high
and Times Interest
Earned was 57.64,
capacity to pay
interest paid was
good.
Efficiency
|
Efficiency |
2005 |
2004 |
|
Fixed Assets Turnover |
45.21 |
110.00 |
|
Total Assets Turnover |
0.81 |
0.85 |
|
Return on Assets |
0.52 |
0.89 |
|
Return on Equity |
10.65 |
14.63 |
|
Day’s Payable |
347.12 |
323.85 |
|
Day’s Inventories |
152.55 |
164.47 |
|
Days’ Receivables |
274.39 |
201.70 |
Fixed Assets Turnover
was decreased from
110.00 times to
45.21 times, Total
Assets Turnover was
decreased from 0.85
times to 0.81
times, show the
company could not
use Assets so
efficiently, and Return
on Assets was
decreased from 0.89
to 0.52, Return
on Equity was
decreased from 14.63
to 10.65, capacity
to use Assets to make
profit was not
good.
Day’s Payable was
increased from 324
days to 348
days, while Day’s
Inventories was decreased
from 165 days
to 153 days, but Day’s
Receivables was increased
from 202 days
to 275 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%)
PRIVATE & CONFIDENTIAL : This information
is provided to you at your request, you having employed MIPL for such purpose.
You will use the information as aid only in determining the propriety of giving
credit and generally as an aid to your business and for no other purpose. You
will hold the information in strict confidence, and shall not reveal it or make
it known to the subject persons, firms or corporations or to any other. MIPL
does not warrant the correctness of the information as you hold it free of any
liability whatsoever. You will be liable to and indemnify MIPL for any loss,
damage or expense, occasioned by your breach or non observance of any one, or
more of these conditions