MIRA
INFORM REPORT
|
Report Date : |
22.03.2007 |
IDENTIFICATION
DETAILS
|
Name : |
THAINOX STAINLESS PUBLIC COMPANY LIMITED |
|
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Registered Office : |
31st Floor, CRC Tower, All Season Place, 87/2 Wireless
Road, Lumpini, Pathumwan, Bangkok 10330 |
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|
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Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2005 |
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|
|
Date of Incorporation : |
1990 |
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|
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|
Com. Reg. No.: |
0107547000419 |
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|
Legal Form : |
Public Limited Company |
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|
|
|
Line of Business : |
Manufacturer of premium
cold-rolled stainless steel
sheets and coils. |
RATING &
COMMENTS
|
MIRA’s Rating : |
A |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Status : |
Good |
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|
|
|
Payment Behaviour : |
Regular |
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|
|
|
Litigation : |
Clear |
name
THAINOX STAINLESS PUBLIC COMPANY LIMITED
FORMER
THAINOX STEEL LTD.
SUMMARY
BUSINESS ADDRESS : 31st FLOOR,
CRC TOWER, ALL SEASON
PLACE,
87/2 WIRELESS
ROAD, LUMPINI, PATHUMWAN,
BANGKOK 10330, THAILAND
TELEPHONE : [662] 2250-7061,
2250-7621-32
FAX : [662] 2250-7633
REGISTRATION ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED : 1990
REGISTRATION NO.
: 0107547000419 [Former :
0107574700411]
CAPITAL
REGISTERED : BHT. 8,000,000,000
CAPITAL
PAID-UP : BHT. 8,000,000,000
FISCAL
YEAR CLOSING DATE : DECEMBER 31
LEGAL STATUS : PUBLIC LIMITED COMPANY
EXECUTIVE : MR.
PRAYUDH MAHAGITSIRI, THAI
CHIEF EXECUTIVE
OFFICER
NO. OF
STAFF : 620
LINES OF
BUSINESS : COLD-ROLLED STAINLESS STEEL SHEETS
AND
COILS
MANUFACTURER &
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
30, 1990 as
a private limited
company under registered the
name THAINOX STEEL
CO., LTD., by a
joint venture between
Thai and foreign
groups, in order
to manufacture and
distribute premium cold
rolled stainless steel
sheets and coils
for domestic and
international markets. It
was initially a
joint venture among
Arcelor group of
France, Japanese Consortium
and the Thai
PM group with
Board of Investment
[BOI] promoted. It
currently employs 620
staff.
In 2004, the
Thai PM group
became the major
shareholder of the
subject, and has
changed the status
to public company
under the current
name “THAINOX STAINLESS PUBLIC
CO., LTD. on April 26,
2004.
On December 14,
2004, the subject
was listed on
the Stock Exchange
of Thailand under
its symbol “TNX”
name.
AWARDED
ISO 9002 : 1994 awarded by
BVQI in 1999
ISO 9001 : 2000 awarded by
BVQI in 2003
ISO/IEC 17025 : 1999 awarded
by TISI in 2004
The subject’s registered
address was initially
located at 23rd Floor, CTI Tower,
191 Ratchadapisek Rd.,
Klongtoey, Bangkok 10110.
In 2004 the
subject’s registered address
was relocated to
31st Floor, CRC
Tower, All Season Place, 87/2
Wireless Rd., Lumpini,
Pathumwan, Bangkok 10330,
and this is
the subject’s current
operation address.
THE BOARD
OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Prayudh Mahagitsiri |
[x] : Chairman |
Thai |
62 |
|
Mrs. Suvimol Mahagitsiri |
[x] |
Thai |
60 |
|
Mr. Jean Pual
Thevenin |
[-] |
French |
66 |
|
Mr. Wallop Kunanukornkul |
[-] |
Thai |
54 |
|
Mr. Jarin Suankaew |
|
Thai |
70 |
|
Mr. Takashi Mizuno |
|
Japanese |
61 |
|
Mr. Chun Jaruchaikul |
|
Thai |
58 |
|
Mr. Prakit Thienboon |
|
Thai |
54 |
|
M.R. Priyangsri Watanakun |
|
Thai |
69 |
|
Air. Chief Marshal. Niphon
Sakornyen |
|
Thai |
67 |
|
Mr. Sornthep Komutbutr |
|
Thai |
63 |
|
Mr. Jitender P.
Verma |
[-] |
Indian |
43 |
AUTHORIZED PERSON
One of the mentioned directors
[x] can sign
or two of the directors
[-] can jointly
sign on behalf
of the subject with company’s
affixed.
MANAGEMENT
Mr. Prayudh
Mahagitsiri is the Chief Executive
Officer.
He is Thai nationality with
the age of
62 years old.
Mr. Jean
Paul Thevenin is
the Managing Director.
He is French nationality with
the age of
66 years old.
Mrs. La-eiad
Wongvongpob is the Deputy Managing
Director.
She is Thai nationality with
the age of
63 years old.
Ms. Wannee
Chantamongkol is the
Financial & Account Manager.
She is Thai nationality
with the age of 44
years old.
Mr. Somkiat
Songsamphan is the Personnel Manager.
He is Thai nationality with
the age of
56 years old.
Mr. Preecha
Santiwong is the Purchasing Manager.
He is Thai nationality with
the age of
56 years old.
Mr. Nantachit
Thavornbutr is the Sales Manager.
He is Thai nationality with
the age of
52 years old.
Dr. Chatchai
Somsiri is the Metal Works
Manager.
He is Thai nationality with
the age of
53 years old.
Mr. Somchai
Charoensawan is the
Factory Manager.
He is Thai nationality with
the age of
58 years old.
Mr. Boonmee Vorapatpong is
the IT Manager.
He is Thai nationality with
the age of
46 years old.
Mrs. Somsri
Cherdampai is the Financial Controller.
She is Thai nationality with
the age of
54 years old.
BUSINESS OPERATIONS
The subject’s activity
is a manufacturer of premium
cold-rolled stainless steel
sheets and coils,
which was divided
into 2 products types, cold
rolled austenitic stainless
steel and cold
rolled ferritic stainless
steel.
1. Austenitic
stainless steel
This type of
stainless steel in
non-magnetic. In addition
to chromium, typically
at a level of 18%,
austenitic stainless steel
contains nickel, which
increases corrosion resistance
and makes it
easy to fabricate.
This is the
most widely used
type of stainless
steel. Over 80%
of stainless steel
consumed in Asia is
austenitic grade. TNX
main products in this category
include grade 304 2B
and grade 304
BA.
2. Ferritic
stainless steel
This is a
magnetic type of stainless
steel. It has
a low carbon content and
contains chromium as
a main element, typically at
a level of 13% and
17%. Ferritic steel
has slightly higher
yield strength than
austenitic steel; therefore,
ferritic steel finds
greater use where
there is a
risk of stress-corrosion cracking. TNX main
products in this
category include grade
430 2B and grade 430 BA.
Its products are used for
variety industries especially
automotive assembly, construction, foods, household equipments
and electronic products.
PRODUCTION CAPACITY
200,000 tons/year
MAJOR BRAND
“TNX”
IMPORT [COUNTRIES]
Some of hot-rolled
steel and steel
sheet as well
as machinery and
spare parts are
imported from Japan,
Taiwan and Korea.
MAJOR SUPPLIERS
Nippon Steel &
Sumikin Stainless Corporation : Japan
Arcelor : France
SALES [LOCAL]
37% of its products is
sold directly to
local customers, and
15% is sold to dealers.
EXPORT [COUNTRY]
48% of its products is
exported by Arcelor
Stainless International Group
to over 30 worldwide countries
such as, Republic of China,
Singapore, Malaysia, United States of America, Australia, Middle East, India,
Korea, Bangladesh, Denmark,
Germany, France, Egypt, Indonesia, Vietnam, Philippines and
etc.
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 30-90 days.
Local bills are
paid by cash
or on the credits term
of 30-90 days.
Imports are by
L/C at sight or on
the credit term
of 120 days or D/P
& T/T.
Exports are against
L/C at sight or on
the credit term
of 120 days, or T/T
on the credit term of
30 days.
BANKING
The Siam
Commercial Bank Public
Co., Ltd.
[Head Office : 9 Ratchadapisek
Rd., Ladyao, Jatujak, Bangkok 10900]
Credit Agricole
Indosuez Bank
[Bangkok Branch
: 152 Wireless Rd., Lumpini,
Bangkok 10330]
Deutsche Bank
AG.
[Bangkok Branch : 208 Wireless Rd., Lumpini,
Pathumwan, Bangkok 10330]
Bangkok Bank
Public Co., Ltd.
[Head Office : 333 Silom Rd.,
Silom, Bangrak, Bangkok
10500]
EMPLOYMENT
The subject employs
approximately 620 staff
[office staff and
factory workers].
LOCATION DETAILS
The premise is rented
for administrative office
at the heading address. Premise
is located in
commercial/residential area.
Factory is located
on the 205,000 square meters
of area at
324 Moo 8,
Rayong Industrial Park, Highway no
3191, T. Mabkha,
Sub-district, Nikompattana, Rayong
21180, Thailand. Tel
: [66] 38 636-125-32 Ext. 137,155.
COMMENT
Thainox Steel Limited,
the first stainless
steel producer in
Thailand and ASEAN,
has a clear commitment to
providing complete customer
satisfaction while becoming
an industry leader.
There are sings
of stronger domestic
demand for stainless
steel as the
country is expanding
in various industries
after its worst
economic crisis five
years ago.
The company will
raise its annual
production capacity to
200,000 tonnes from
185,000 tonnes in 2005.
FINANCIAL INFORMATION
The capital was
registered at Bht.
2,300,000,000 divided into
23,000,000 shares of
Bht. 100 each.
The capital was
increased later as
followings :
Bht. 5,925,900,000 on December 4,
1998
Bht. 6,968,400,000 on May 25,
1999
Bht. 7,804,104,000 on September 29,
1999
Decreased were : Bht.
4,768,913,280 on May
2, 2000
Bht. 4,321,827,660 on November 6,
2003
Increased were : Bht.
7,670,411,666 on November
12, 2003
Bht. 8,000,000,000 on May 8,
2004
The latest registered capital
was increased to Bht.
8,000,000,000 divided into 8,000,000,000 shares of Bht.
1 each with fully paid.
THE SHAREHOLDERS LISTED WERE : [as
at
November 28,
2006]
|
NAME [Shareholder Group] |
HOLDING |
% |
|
|
|
|
|
Lakewood Real Estate
Co., Ltd. |
2,549,783,852 |
31.87 |
|
Mr. Prayudh Mahagitsiri |
1,936,197,707 |
24.20 |
|
Kim Eng Securities Pte. Ltd. |
738,149,635 |
9.23 |
|
Mr. Chalermchai Mahagitsiri |
429,000,000 |
5.36 |
|
Thainox Stainless Public
Company Limited |
204,290,900 |
2.55 |
|
Ms. Usanee Mahagitsiri |
183,261,285 |
2.29 |
|
Lakewood Country Club
Co., Ltd. |
116,581,354 |
1.46 |
|
Bank of Ayudhya
Public Co., Ltd. |
100,000,000 |
1.25 |
|
Marizon Capital Limited |
95,000,000 |
1.19 |
|
Other |
1,647,735,267 |
20.60 |
Total shareholders
5,525
NAME OF
AUDITOR & CERTIFIED
PUBLIC
ACCOUNTANT NO. :
Mr. Somchai Kurijitkosol No.
3277
KPM G Phoomchai Audit
Ltd.
BALANCE SHEET [BAHT]
The
latest financial figures
published for December
31, 2005 &
2004 were:
ASSETS
|
Current Assets |
2005 |
2004 |
|
|
|
|
|
Cash in hand
& at Bank
|
2,959,398,483.46 |
3,185,641,924.37 |
|
Trade Accts. Receivable |
1,253,470,383.17 |
1,743,909,724.44 |
|
Inventories |
2,208,974,391.07 |
2,118,975,347.28 |
|
Other Current Assets
|
|
|
|
Revenue Department Receivable |
77,347,930.27 |
58,808,576.81 |
|
Other |
34,424,211.76 |
51,915,369.80 |
|
Total Current
Assets |
6,533,615,399.73 |
7,159,250,942.70 |
|
Investment |
810,000.00 |
4,210,000.00 |
|
Fixed Assets |
9,200,793,776.21 |
9,992,512,965.11 |
|
Other Assets |
10,680,109.50 |
2,337,433.50 |
|
Total Assets |
15,745,899,285.44 |
17,158,311,341.31 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current Liabilities |
2005 |
2004 |
|
|
|
|
|
Trade Accts. & Notes Payable |
3,371,057,977.58 |
3,646,460,665.95 |
|
Other Payable Related
Company |
- |
117,560,874.51 |
|
Other Current Liabilities |
|
|
|
Deferred Withholding Income Tax |
993,972.20 |
36,385,322.72 |
|
Revenue Department Receivable |
- |
54,273,391.21 |
|
Accrued Expenses |
350,495,817.10 |
275,204,370.78 |
|
Accrued Expenses
Related Company |
20,155,011.49 |
20,155,011.49 |
|
Other |
22,281,094.93 |
41,782,254.34 |
|
Total Current
Liabilities |
3,764,983,873.30 |
4,191,821,891.00 |
|
Provident Fund |
39,446,971.00 |
37,243,180.00 |
|
Total Liabilities |
3,804,430,844.30 |
4,229,065,071.00 |
|
|
|
|
|
Shareholders'
Equity |
|
|
|
Share capital : Baht 1 value authorized, issued
and fully paid share
capital 8,000,000,000 shares |
8,000,000,000.00 |
8,000,000,000.00 |
|
Capital Paid |
8,000,000,000.00 |
8,000,000,000.00 |
|
Premium Share-Capital |
332,131,263.64 |
332,131,263.64 |
|
Revaluation Surplus |
2,932,857,236.06 |
3,218,226,325.73 |
|
Refundable Common Share |
[249,557,679.37] |
- |
|
Reserve for Refundable Common Share |
249,557,679.37 |
- |
|
Statutory Reserve |
418,000,000.00 |
400,000,000.00 |
|
Retained Earning -
Unappropriated |
258,479,941.47 |
978,888,680.94 |
|
Total
Shareholders' Equity |
11,941,468,441.14 |
12,929,246,270.31 |
|
Total
Liabilities & Shareholders' Equity |
15,745,899,285.44 |
17,158,311,341.31 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
2005 |
2004 |
|
|
|
|
|
Sales |
13,421,533,772.90 |
14,540,722,277.42 |
|
Reserve of Discount
Paid from Accrued of Purchase |
- |
109,826,180.93 |
|
Other Income |
47,692,762.16 |
22,421,940.27 |
|
Total Revenues
|
13,469,226,535.06 |
14,672,970,398.62 |
|
Expenses |
|
|
|
|
|
|
|
Cost of Goods
Sold |
12,335,225,290.40 |
11,875,993,928.26 |
|
Selling & Administrative Expenses |
650,872,662.47 |
713,691,321.25 |
|
Copyright Technology |
- |
239,983,529.36 |
|
Doubtful Account |
[43,374,060.98] |
[1,750,000.00] |
|
Loss from Discount
|
42,416,950.89 |
1,483,671.96 |
|
Loss from Investment |
3,400,000.00 |
- |
|
Loss on Exchange
Rate |
121,584,690.55 |
24,335,252.17 |
|
Remuneration Director’s |
9,607,238.11 |
2,080,000.00 |
|
Total Expenses |
13,119,732,771.44 |
12,855,817,703.00 |
|
Profit / [Loss] from Operation |
349,493,763.62 |
1,817,152,695.62 |
|
Interest Expenses |
[2,344,823.72] |
[32,283,635.82] |
|
Net Profit / [Loss] |
347,148,939.90 |
1,784,869,059.80 |
FINANCIAL ANALYSIS
Annual Growth
& Profitability
|
Annual Growth |
2005 |
2004 |
|
Net Sales |
[7.70] |
|
|
Operating Profit |
[74.88] |
|
|
Net Profit |
[80.55] |
|
|
Fixed Assets |
[7.92] |
|
|
Total Assets |
[8.23] |
|
|
Profitability |
|
|
|
Cost of Good
Sold |
91.91 |
81.67 |
|
Operating Profit Margin |
3.60 |
14.33 |
|
S & A
Expenses |
4.85 |
4.91 |
|
Interest Paid |
0.02 |
0.22 |
|
Other Revenues |
0.36 |
0.91 |
|
Net Profit Margin |
2.59 |
12.27 |
|
Earning Per Shares |
0.04 |
0.22 |
|
No. of Shares |
8,000,000,000 |
8,000,000,000 |
Net Sales was
decreased by 7.70%,
Operating Profit was
decreased by 74.88%,
Net Profit was
decreased by 80.55%,
Fixed Assets was
decreased by 7.92%,
Total Assets was
decreased by 8.23%.
Compare each cost
with sales, Cost of
Good Sold was
increased from 81.67%
to 91.91%, Operating
Profit Margin was
decreased from 14.33%
to 3.60%, S & A Expenses
was decreased from
4.91% to 4.85%,
Interest Paid was decreased
from 0.22% to
0.02%, Other Revenues
was decreased from
0.91% to 0.36%,
Net Profit Margin
was decreased from
12.27% to 2.59%.
Earning Per Shares
was decreased from
0.22 baht per
share to 0.04
baht per share.
Liquidity
|
Liquidity |
2005 |
2004 |
|
Current Ratio |
1.74 |
1.71 |
|
Quick - assets
ratio |
1.12 |
1.18 |
Current Ratio was increased from
1.71 to 1.74,
show Current Assets
can cover Current
Liabilities, Liquidity Ratio
of the company was good,
Quick - assets
ratio was decreased
from 1.18 to
1.12, 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 |
0.32 |
0.33 |
|
Times Interest Earned |
206.04 |
64.53 |
D/E Ratio was
decreased from 0.33
to 0.32, show
the company had
fund from Equity
more than fund
from Loan, investment
risked of the
company is low,
Times Interest Earned
was increased from
64.53 to 206.04,
capacity to pay
interest paid was
good.
Efficiency
|
Efficiency |
2005 |
2004 |
|
Fixed Assets Turnover |
1.46 |
1.46 |
|
Total Assets Turnover |
0.85 |
0.85 |
|
Return on Assets |
2.20 |
10.40 |
|
Return on Equity |
2.91 |
13.80 |
|
Day's Payable |
90.42 |
90.28 |
|
Day’s Inventories |
59.25 |
52.46 |
|
Day’s Receivables |
33.62 |
43.18 |
Fixed Assets Turnover
was increased from
1.46 times to
1.46 times, Total
Assets Turnover was
increased from 0.85
times to 0.85
times, show the
company could use
Assets so efficiently, Return on Assets
was decreased from
10.40 to 2.20,
Return on Equity
was decreased from
13.80 to 2.91,
capacity to use
Assets to make
profit was not
good
Day's Payable was
stable at 91
days, while Day’s
Inventories was increased
from 53 days
to 60 days, but Day’s
Receivables was decreased
from 44 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%)