MIRA
INFORM REPORT
|
Report Date : |
26.03.2007 |
IDENTIFICATION
DETAILS
|
Name : |
KULTHORN KIRBY PUBLIC COMPANY LIMITED |
|
|
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Registered Office : |
44/1
Moo 7 Ladkrabang Industrial Estate,
Chalongkrung Road, Lumplatew, Bangkok 10520 |
|
|
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|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2005 |
|
|
|
|
Date of Incorporation : |
1980 |
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|
|
|
Com. Reg. No.: |
0107537002150 |
|
|
|
|
Legal Form : |
Public Limited Company |
|
|
|
|
Line of Business : |
Manufacturing of hermetic
compressor |
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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|
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Payment Behaviour : |
Regular |
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|
|
|
Litigation : |
Clear |
name
KULTHORN KIRBY PUBLIC COMPANY LIMITED
SUMMARY
BUSINESS ADDRESS : 44/1
MOO 7 LADKRABANG
INDUSTRIAL ESTATE,
CHALONGKRUNG ROAD,
LUMPLATEW, BANGKOK 10520,
THAILAND
TELEPHONE : [66] 2326-0831-6, 2739-4893-5
FAX :
[66] 2326-0837,
2739-4892
EMAIL ADDRESS : kkpc@loxinfo.co.th
kkc@kulthorn.com
REGISTRATION ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED : 1980
REGISTRATION NO. : 0107537002150 [Former : BOR.MOR.JOR.462]
CAPITAL REGISTERED : BHT. 500,000,000
CAPITAL PAID-UP : BHT. 300,000,000
FISCAL YEAR
CLOSING DATE : DECEMBER 31
LEGAL STATUS : PUBLIC LIMITED COMPANY
EXECUTIVE : MR.
SURAPORN SIMAKULTHORN, THAI
PRESIDENT
NO. OF
STAFF : 1,900
LINES OF
BUSINESS : MANUFACTURER, EXPORTER AND
DISTRIBUTOR
OF RECIPROCATING COMPRESSORS
FOR REFRIGERATORS, FREEZERS,
COOLERS AND AIR
CONDITIONERS
CORPORATE PROFILE
OPERATING TREND
: STABLE
PRESENT SITUATION : OPERATING
NORMALLY
REPUTATION : GOOD
FOR NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT STANDARD : MANAGEMENT
WITH GOOD PERFORMANCE
HISTORY
The subject was
established on March
24, 1980 as
a private limited
company under the
name style KULTHORN
KIRBY CO., LTD., by the
Simakulthorn family, and
James N. Kirby
Pty., Ltd., Australia,
IFCT, and 9
local refrigerator manufacturers to manufacture hermetic
compressors under license
from Tecumseh Products
Co., Ltd. U.S.A.
with a royalty fee of
1.5% of sales.
The agreement expires
in 2005. An
application to set
up a local compressor assembly
plant to supply
local refrigerator manufacturers was awarded promotional
privileges by the
Government’s Board of
Investment [BOI] on 28
June, 1979.
The subject was
listed on the
Stock Exchange of
Thailand on February
22, 1991, and converted
its status into
public limited company
on June 13,
1994 respectively. It
currently employs 1,900
staff.
Subject also achieves the
ISO 9001 : 2000 quality
management system, ISO 14001
environment management system
and OHSAS 18001 safety management
system certification.
The subject’s registered
address is 44/1
Moo 7, Ladkrabang Industrial
Estate, Chalongkrung Rd.,
Lumplatew, Ladkrabang, Bangkok
10520, and this
is the subject’s current operation
address.
THE BOARD
OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Sumeth Simakulthorn |
: Chairman [x] |
Thai |
69 |
|
Mr. Suraporn Simakulthorn |
[x] |
Thai |
66 |
|
Mr. Prapot Aphiphunya |
|
Thai |
65 |
|
Mr. Prapat Pothivorakul |
[+] |
Thai |
61 |
|
Mr. Alexander G. Henderson |
[+] |
Australian |
74 |
|
Mr. Arnon Simakulthorn |
[x] |
Thai |
63 |
|
Mr. Prasarn Tanprasert |
[+] |
Thai |
59 |
|
Mrs. Kanittha Muangkrachang |
[+] |
Thai |
43 |
|
Mr. Tawatchai Jaranakarun |
|
Thai |
53 |
|
Mr. Samart Mekavanichkul |
|
Thai |
71 |
|
Mr. Suthee Simakulthorn |
[x] |
Thai |
38 |
|
Mr. Padung Techasirin |
|
Thai |
67 |
|
Mr. Kamol Upalanont |
[+] |
Thai |
53 |
AUTHORIZED PERSON
One of the above directors
[x] can jointly
sign with one
of the directors [+] on behalf
of the subject with the
company’s affixed.
MANAGEMENT
Mr. Suraporn Simakulthorn is the
President.
He is Thai nationality with
the age of
66 years old.
Mr. Kamol
Upalanont is the Senior Vice
President -Technical &
Operation Manager.
He is Thai nationality with
the age of
53 years old.
Mr. Suthee
Simakulthorn is the
Vice President - Finance &
Marketing Manager.
He is Thai nationality with
the age of
38 years old.
Ms. Sasithorn Wongkornkichakarn is
the Senior Manager,
Office of The
President.
She is Thai nationality.
Mr. Somwang
Laowatana is the Finance &
Account Manager.
He is Thai nationality.
Mr. Kamjorn Kunvapanichkul is the
Senior Marketing Manager.
He is Thai nationality.
BUSINESS OPERATIONS
The subject is
engaged in manufacturing of hermetic compressor
with sizes from
1/20 - 3 Hp.,
for commercial refrigeration and air conditioning products. The products
has been used
production technology by
Tecumseh Products Company,
U.S.A., as well
as refrigeration condensing
unit, lamination parts
and other compressor
parts. The products
are sold and serviced to
OEM manufacturers.
REGISTERED TRADEMARK
“TECUMSEH”
BRAND NAME
“KK-KULTHORN”
PRODUCTIONS
4 Million units/year
of refrigerators
1 Million units/year
of air conditioners
PURCHASE
75% of its raw materials
& components; hot
& cold rolled
steel, aluminium &
electrical equipments are
purchased from local
suppliers, and the remaining 25% such as steel
plate, aluminium and
electrical equipments are
imported from Japan,
United States of America,
Australia and Canada.
Its raw material;
steel casting parts,
enamel copper wires,
metal powder and
compressor coating paints
are purchased from
local suppliers as
follows:
- Kulthorn Kirby Foundry
Co., Ltd. : Thailand
- Chachoengsao Casting Works
Co., Ltd. : Thailand
- Kulthorn Materials and
Controls Co., Ltd. : Thailand
- Hitachi Enamel Wires
Co., Ltd. :
Thailand
- Thai Sintered Products
Co., Ltd. :
Thailand
- Nippon Paints [Thailand]
Ltd. :
Thailand
MARKET SHARES
The subject claims to have
around 28% of market share
for refrigeration industry,
and 14% of
market share for air
conditioning industry in
Thailand.
SALES [LOCAL]
25% of its products is
sold locally to
manufacturers and end-users.
EXPORT [COUNTRIES]
75% of its products is
exported to United States of America, Malaysia,
Indonesia, Bangladesh, Australia,
Saudi Arabia, Philippines, Sri Lanka, Republic
of China, Egypt,
Germany, Greece, Italy,
Nepal, Pakistan, Singapore,
Taiwan and India.
MAJOR CUSTOMERS
Name Percentage
- Fujitsu General [Thailand]
Ltd. :
41.00%
- Simac International Co., Ltd. :
12.00%
- Kulthorn Co., Ltd. :
12.00%
- Thai Toshiba Electric
Industries Co., Ltd. : 9.00%
- Songserm Intercool [Thailand]
Ltd. : 8.00%
- Thai Samsung Electronics
Co., Ltd. : 8.00%
- Heatcraft Australia Pty. Ltd. : 6.00%
- Distar Electric Corporation
Plc. : 2.00%
- Kang Yong Electric
Manufacturing Public Co., Ltd. :
1.00%
- Hitachi Consumer Products
[Thailand] Co., Ltd. : 1.00%
SUBSIDIARIES
Kulthorn Kirby
Foundry Co., Ltd.
Business Type : Manufacturer of quality casting
Address : 212/62
Pattanakarn Rd., Khwang
Pravet, Khet Pravet,
Bangkok 10250
Investment : 100%
Kulthorn Premier
Co., Ltd.
Business Type :
Manufacturer of hermetic
compressor, motor and
iron coatings for
commercial
refrigerators.
Address : 446/3 Moo
9, Nongkee, Kabinburi,
Prachinburi 25110.
Investment : 80%
Kulthorn Metal
Products Co., Ltd.
Business Type :
Manufacturer of compressors, automotive and golfing
parts.
ASSOCIATED COMPANIES
Thai Compressor
Manufacturing Co., Ltd.
Business Type : Manufacturer of
rotary compressor for
Air-conditioners
Address : 212/62
Pattanakarn Rd., Khwang
Pravet, Khet Pravet,
Bangkok 10250
Investment : 25.50%
Thai Sintered
Products Co., Ltd.
Business Type: Manufacturer of powder metal
Product or sintered
parts
Address : 212/62
Pattanakarn Rd., Khwang
Pravet, Khet Pravet,
Bangkok 10250
Investment : 44.40%
LITIGATION
On November 30,
1999 the subject
entered into a
debt restructuring agreement
with the financial
institution creditors to
restructure the outstanding debts to
these institutions.
CREDIT
Purchasing terms are
by cash or
on the credits of 30-60
days.
Imports are by
L/C at sight or on
the credits of
60-120 days and
T/T.
Selling terms are
by cash or
on the credits of 30-120
days.
Exports are against
L/C at sight and T/T.
BANKING
Bangkok Bank
Public Co., Ltd.
[Ladkrabang Branch : 223 Moo 1,
Onnuch-Ladkrabang Rd., Ladkrabang,
Bangkok 10520]
Kasikornbank Public
Co., Ltd.
[Ladkrabang Branch : 220 Moo 1,
Onnuch-Ladkrabang Rd., Ladkrabang,
Bangkok 10520]
Hongkong &
Shanghai Banking Corp.
[Bangkok Branch :
968 Rama 4 Rd., Silom,
Bangrak, Bangkok 10500]
Bank of
America NT & SA
[Bangkok Branch :
2/2 Wireless Rd.,
Lumpini, Pathumwan, Bangkok 10330]
TMB Bank
Public Co., Ltd.
[Head Office: 3000 Phaholyothin Rd., Chompol, Jatujak,
Bangkok]
EMPLOYMENT
The subject employs
approximately 1,900 staff
[office staff, sales
representatives and factory
workers].
LOCATION DETAILS
The premise is owned
for administrative an office,
factory and warehouse
at the heading address on
57,600 square meters. Premise
is located in
an industrial area.
REMARK
CREDIT OF US$
150,000 AGAINST D/A
TERMS SHOULD BE
IN ORDER.
COMMENT
The company is
Thailand’s first
manufacturer of high-efficiency hermetic compressors. Over
the past 25 years
it has steadily developed to
become a leading
manufacture of high-quality hermetic
compressors for both
the refrigeration and
air-conditioning
manufacturing industries.
It has gained trust and a reputation
for reliability from
world-renowned
manufacturers of refrigeration and air-conditioning systems
both locally and
overseas, as well
as continuing to
improve the overall
efficiency and quality
of its operations and products.
FINANCIAL INFORMATION
The capital was
initially registered at
Bht. 40,000,000, divided
into 400,000 shares
of Bht. 100
each.
The capital was
increased later as
followings:
Bht.
71,600,000 in April,
1983
Bht. 87,000,000 in May,
1985
Bht. 97,000,000 in June, 1990
Bht. 115,000,000
in January, 1991
Bht. 150,000,000
in June, 1993
The latest registered
capital was increased
to Bht. 500,000,000 divided
into 500,000,000 shares
of Bht. 1
each.
MAIN SHAREHOLDERS [as at April
5, 2006]
at Bht.
300,000,000 of capitalization.
|
NAME |
HOLDING |
% |
|
|
|
|
|
Simakulthorn Group |
90,000,000 |
30.00 |
|
Heatcraft Australia Pty.
Ltd. |
65,255,000 |
21.75 |
|
Tmb Bank Public
Company Limited |
19,770,780 |
6.59 |
|
Kulthorn International Co.,
Ltd. |
18,005,480 |
6.00 |
|
Ms. Nutsuong Ratanapaison |
14,942,830 |
4.98 |
|
Ms. Sasi Ing Kanant |
14,927,410 |
4.98 |
|
Ms. Saisamorn Suriyathep |
12,719,740 |
4.24 |
|
Ms. Pojanee Khemamnaj |
11,422,090 |
3.81 |
|
Mr. Suchon Simakulthorn |
5,108,920 |
1.70 |
|
Mr. Suraporn Simakulthorn |
5,108,920 |
1.70 |
|
Mr. Sumeth Simakulthorn |
4,442,870 |
1.48 |
|
Other shareholders |
38,295,960 |
12.77 |
Total Shareholders
602 [including the
above shareholders]
NAME OF
AUDITOR & CERTIFIED
PUBLIC
ACCOUNTANT NO.
Saifon Inkaew No.
4434
Ernst & Young Office
Limited
BALANCE SHEET [BAHT]
The latest financial
figures published as
at December 31,
2005 & 2004 were:
ASSETS
|
Current Assets |
2005 |
2004 |
|
|
|
|
|
Cash and cash equivalents |
2,635,422 |
2,350,668 |
|
Trade accounts receivable |
|
|
|
- Related parties |
110,449,459 |
170,310,132 |
|
- Others |
457,141,168 |
294,137,453 |
|
Less: Allowance
for doubtful accounts |
[3,600,000] |
[7,300,000] |
|
|
|
|
|
Trade accounts receivable - net |
563,990,627 |
457,147,585 |
|
Short Term Loan
to Subsidiaries Company |
86,000,000 |
- |
|
Inventories |
747,516,927 |
760,525,933 |
|
Other Current Assets
|
|
|
|
Vat refundable |
16,109,272 |
4,614,144 |
|
Prepaid Goods & Services |
2,158,407 |
871,184 |
|
Prepaid Payment |
1,134,470 |
1,177,872 |
|
Other-Related company |
135,000 |
5,812,185 |
|
Others |
9,632,629 |
19,751,212 |
|
|
|
|
|
Total Current
Assets |
1,429,312,754 |
1,252,250,783 |
|
|
|
|
|
Investment in subsidiary company accounted for under equity method |
606,640,407 |
487,712,142 |
|
Loan to Subsidiaries |
8,000,000 |
8,000,000 |
|
Property, Plant and
Equipment - Net |
1,439,709,304 |
1,065,008,345 |
|
Other non-current assets |
507,036 |
1,865,916 |
|
Total Assets |
3,484,169,501 |
2,814,437,186 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current Liabilities |
2005 |
2004 |
|
|
|
|
|
Bank overdraft and
short-term loans from financial
institutions |
1,282,427,865 |
391,870,147 |
|
Trade accounts payable |
|
|
|
- Related parties |
98,625,950 |
64,081,255 |
|
- Others |
269,413,366 |
254,785,869 |
|
|
|
|
|
Total trade accounts
payable |
368,039,316 |
318,867,124 |
|
Current portion of
long-term loans |
282,210,000 |
310,960,863 |
|
Other Current Liabilities |
|
|
|
- Other Payable |
37,841,424 |
34,854,091 |
|
- Other
Payable-related company |
1,821,184 |
- |
|
- Accrued income tax
payable |
4,869,580 |
- |
|
- Accrued dividend |
43,677,727 |
164,977 |
|
- Accrued expenses |
25,878,033 |
24,706,363 |
|
- Others |
18,969,739 |
32,932,059 |
|
|
|
|
|
Total Current
Liabilities |
2,065,734,868 |
1,114,355,624 |
|
|
|
|
|
Long-term loans, net
of current portion |
525,548,750 |
806,088,750 |
|
Deferred interest discount
from debt restructuring |
- |
3,600,226 |
|
Total Liabilities |
2,591,283,618 |
1,924,044,600 |
|
|
|
|
|
Share capital |
|
|
|
Registered 500,000,000 ordinary shares
of Baht 1 each |
500,000,000 |
500,000,000 |
|
|
|
|
|
Issued and
fully paid up 30,000,000 ordinary
shares of Baht 10
each |
300,000,000 |
300,000,000 |
|
Retained Earning Appropriated for
Statutory Reserve |
50,000,000 |
30,000,000 |
|
Unappropriated [deficit] |
542,885,883 |
560,792,586 |
|
Total
Shareholders' Equity |
892,885,883 |
890,792,586 |
|
Total
Liabilities & Shareholders’ Equity |
3,484,169,501 |
2,814,837,186 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
2005 |
2004 |
|
|
|
|
|
Sales and service
income |
3,309,619,883 |
2,841,924,011 |
|
Share of profit
from investment in
subsidiary company accounted
for under equity
method |
18,928,265 |
44,281,856 |
|
Other Income |
|
|
|
Income from
scraps sales |
135,261,293 |
132,419,046 |
|
Discount paid |
20,577,021 |
36,871,478 |
|
Gain on
exchange rate |
2,285,553 |
1,883,919 |
|
Interest income |
5,577,144 |
470,347 |
|
Others |
4,240,430 |
11,110,550 |
|
Total Revenues
|
3,496,489,589 |
3,068,961,207 |
|
Expenses |
|
|
|
|
|
|
|
Cost of sales
and service |
3,020,476,796 |
2,390,862,919 |
|
Selling and administrative expenses |
114,092,222 |
135,704,022 |
|
Total Expenses |
3,134,569,018 |
2,526,566,941 |
|
|
|
|
|
Earnings Before Interest
Expenses and Corporate Income
Tax |
361,920,571 |
542,394,266 |
|
Interest Expenses |
[56,937,866] |
[20,349,675] |
|
Amortization of Deferred
Interest Discount from
Debt Restructuring |
3,600,226 |
10,301,084 |
|
Corporate Income Tax |
[66,489,634] |
[77,520,202] |
|
|
|
|
|
Net Earnings for the Year |
242,093,297 |
454,825,473 |
FINANCIAL ANALYSIS
Annual Growth &
Profitability
|
Annual Growth |
2005 |
2004 |
|
Net Sales |
16.46 |
|
|
Operating Profit |
[42.70] |
|
|
Net Profit |
[46.77] |
|
|
Fixed Assets |
35.18 |
|
|
Total Assets |
23.80 |
|
|
Profitability |
|
|
|
Cost of Good
Sold |
91.26 |
84.13 |
|
Operating Profit Margin |
10.94 |
19.09 |
|
S & A
Expenses |
3.45 |
4.78 |
|
Interest Paid |
1.72 |
0.72 |
|
Other Revenues |
5.65 |
7.99 |
|
Net Profit Margin |
7.31 |
16.00 |
|
Earning Per Shares |
8.07 |
15.16 |
|
No. of Shares |
30,000,000 |
30,000,000 |
Net Sales was
increased by 16.46%,
Operating Profit was
decreased by 42.70%,
Net Profit was
decreased by 46.77%,
Fixed Assets was
increased by 35.18%,
Total Assets was increased by
23.80%.
Compare each cost
with sales, Cost of
Good Sold was
increased from 84.13%
to 91.26%, Operating
Profit Margin was
decreased from 19.09%
to 10.94%, S
& A Expenses
was decreased from 4.78% to 3.45%,
Interest Paid was increased
from 0.72% to
1.72%, Other Revenues
was decreased from
7.99% to 5.65%,
Net Profit Margin
was decreased from
16.00% to 7.31%.
Earning Per Shares
was decreased from
15.16 baht per
share to 8.07
baht per share.
Liquidity
|
Liquidity |
2005 |
2004 |
|
Current Ratio |
0.69 |
1.12 |
|
Quick-Assets Ratio |
0.32 |
0.41 |
Current Ratio was
decreased from 1.12
to 0.69, show
Current Assets can
not cover Current
Liabilities, Liquidity Ratio
of the company was not
good, Quick-Assets Ratio
was decreased from
0.41 to 0.32,
capacity to pay
Short Term Loan
was not good
too, because Current
Assets without Inventory
can not cover
Current Liabilities.
Leverage
|
Leverage |
2005 |
2004 |
|
D/E Ratio |
2.90 |
2.16 |
|
Times Interest Earned |
6.36 |
26.65 |
D/E Ratio was
increased from 2.16
to 2.90, show
the company had
fund from Loan
more than fund
from Equity, investment
risked of the
company is medium,
Times Interest Earned
was decreased from
26.65 to 6.36,
capacity to pay
interest paid was
good.
Efficiency
|
Efficiency |
2005 |
2004 |
|
Fixed Assets Turnover |
2.30 |
2.67 |
|
Total Assets Turnover |
0.95 |
1.01 |
|
Return on Assets |
6.95 |
16.16 |
|
Return on Equity |
27.11 |
51.08 |
|
Day's Payable |
29.31 |
32.27 |
|
Day’s Inventories |
81.31 |
96.34 |
|
Day’s Receivables |
49.72 |
37.26 |
Fixed Assets Turnover
was decreased from
2.67 times to
2.30 times, Total
Assets Turnover was
decreased from 1.01
times to 0.95
times, show the
company could not
use Assets so
efficiently, Return on
Assets was decreased
from 16.16 to
6.95, Return on
Equity was decreased
from 51.08 to
27.11, capacity to
use Assets to
make profit was
good.
Day's Payable was
decreased from 33
days to 30
days, and Day’s
Inventories was decreased
from 97 days
to 82 days, while Day’s
Receivables was increased
from 38 days
to 50 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%)