MIRA
INFORM REPORT
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Report Date : |
10.05.2007 |
IDENTIFICATION DETAILS
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Name : |
MC INDUSTRIAL CHEMICAL CO., LTD. |
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Registered Office : |
5th Floor, |
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Country : |
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Financials (as on) : |
31.12.2005 |
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Date of Incorporation : |
1988
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Com. Reg. No.: |
0105531006071 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Importer and distributor of various kinds
of industrial chemicals |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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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 |
name
MC INDUSTRIAL CHEMICAL CO., LTD.
SUMMARY
BUSINESS ADDRESS : 5th FLOOR,
SAMPHANTAWONG,
TELEPHONE : [66] 225-0200,
622-7977-8
FAX : [66] 224-7700,
224-9839
E-MAIL ADDRESS : mcic@mcic.co.th
REGISTRATION ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED : 1988
REGISTRATION NO. : 0105531006071 [Former: 610/2531]
CAPITAL
REGISTERED : BHT.
200,000,000
CAPITAL
PAID-UP : BHT.
200,000,000
FISCAL
YEAR CLOSING DATE : DECEMBER 31
LEGAL STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR.
SUPAKORN RATANASA-NGUANWONG, THAI PRESIDENT
NO. OF
STAFF : 150
LINES OF
BUSINESS : INDUSTRIAL CHEMICAL
IMPORTER &
DISTRIBUTOR
CORPORATE PROFILE
OPERATING TREND : STABLE
PRESENT SITUATION : OPERATING NORMALLY
REPUTATION : GOOD
WITH
MANAGEMENT STANDARD : MANAGEMENT WITH
FAIR PERFORMANCE
HISTORY
The subject was
established on January
26, 1988 as
a private limited
company under the
name style MC
INDUSTRIAL CHEMICAL CO.,
LTD. by a
joint venture between
Thai Central Chemical
Public Co., Ltd.,
Thailand and Nissho
Iwei Corporation from
Japan, to distribute
wide range of
industrial chemicals to
domestic market. It
currently employs approximately
150 staff.
The subject is
also a member
of Metro group
of companies.
The subject’s registered address
is 180-184 Rajawongse Rd.,
Chakrawad, Samphantawong, Bangkok
10100, and this
is the subject’s
current operation address.
THE BOARD
OF DIRECTORS
Name Nationality Age
Mr. Supakorn Ratanasa-nguanwong [x] Thai 46
Mr. Paibul Ratanapornchai Thai 60
Ms. Siriporn Uaareekul Thai 57
Mr. Ko Tojima Japanese 47
Mr. Takashi Iketa Japanese 57
Mr. Hiroo Takemoto Japanese 48
Mr. Katsueki Saguma Japanese 62
Mr. Charoen Kusolvithitkul [x] Thai 48
Mr. Masayuki Hashimoto Japanese 47
Mrs. Khema Visutthiwatanakorn
[x] Thai 60
Mr. Suwich Suvarujiporn [x] Thai 64
AUTHORIZED PERSON
One of the
mentioned directors [x]
can jointly sign
with one of
the rest directors
on behalf of the subject
with company’s affixed.
MANAGEMENT
Mr. Supakorn
Ratanasa-nguanwong is the
President.
He is Thai
nationality with the
age of 46
years old.
Mr. Charoen Kusolvithikul is
the Vice President.
He is Thai
nationality with the
age of 48
years old.
Mr. Katsueki Saguma
is the Vice
President.
He is Japanese
nationality with the
age of 62
years old.
Mr. Masanori
Nakashuka is the
Administration Director.
He is Japanese
nationality.
Mr. Kavee
Varanurangsee is the
General Manager [Sales].
He is Thai
nationality.
Ms. Siriporn
Ua-areekul is the
General Manager [Accounting].
She is Thai
nationality.
Ms. Chuthatip
Sattadamrongkul is the
Finance Division Manager.
She is Thai
nationality.
BUSINESS OPERATIONS
The subject’s activity
is an importer
and distributor various
kinds of industrial
chemicals, which divided
into 4 main
divisions: basic chemical,
textile & fine
chemical, solvents &
specialty chemical and
plastic division. The
products are supplied
to various industries,
mainly paper, textile,
foods, rubber, pharmaceutical and
plastic industries.
PURCHASE
60% of the products
is imported from
Japan, United States
of America, Germany,
Finland, Italy, France,
Taiwan, Republic of
China and Singapore,
and the remaining
40% is purchased
from local suppliers.
MAJOR SUPPLIERS
|
Company |
Country |
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CCC Chemical Commerce
Co., Ltd. |
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Nissho Iwei Corporation |
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Thai Petrochemical Industry
Public Co., Ltd.
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Asahi Chemical Co., Ltd. |
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Nippon Kayaku Colors
Co., Ltd. |
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Salee Colour Co., Ltd. |
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Diapolyacrylate Co., Ltd. |
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SALES [LOCAL]
100% of the
products is sold
locally to manufacturers, wholesalers,
Thai government and end-users.
MAJOR CUSTOMERS
|
Company |
Country |
Products |
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Advance Agro Public
Co., Ltd. |
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Paper Chemical |
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Unilever Thai Holding
Co., Ltd. |
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Consumer Product |
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Ajinomoto Co. [ |
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Food Chemical |
SUBSIDIARIES &
AFFILIATED COMPANY
Metro Group
of companies :
MC Plastics
Company limited.
Business Type :
manufacturer of polyurethane
bags.
Metro Tan
Company Limited.
Business Type :
Tanning business.
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 30-60-90-120 days.
Local bills are
paid by cash
or on the
credit term of
30-60 days.
Imports are by
L/C at sight
or on negotiated
term or D/A
on the credit
term of 180
days or T/T.
BANKING
Bangkok Bank
Public Co., Ltd. :
[Head Office :
Bank of
Ayudhya Public Co., Ltd.
[Head Office :
1222 Rama 3
Road, Bangpongpang, Yannawa,
EMPLOYMENT
The subject employs
approximately 150 office
and sales staff.
LOCATION DETAILS
The premise is
rented for operating
office at the
heading address in
commercial area.
Warehouse is located
in Klongsan,
REMARK
CREDIT OF US$
15,000,000 AGAINST D/A
TERMS SHOULD BE
ON SECURED BASIS.
COMMENT
The industrial environment
has improved gradually since the last few years,
selling of industrial chemicals
have performed well during this few years. The subject has gradually improved
its sales revenue
and the outlook for Thailand’s industries in 2006 remained
strong, but may be slightly
dropped this year due to political
uncertainty, higher fuel prices
and economic slowdown.
FINANCIAL INFORMATION
The capital was
registered at Bht.
10,000,000 divided into
100,000 shares of
Bht. 100 each.
The capital was
increased later as
following :
Bht.
20,000,000 on August
28, 1990
Bht. 30,000,000
on April 8,
1992
Bht. 50,000,000
on August 10,
1995
Bht. 200,000,000
on December 30,
1998
The latest registered
capital was increased
to Bht. 200,000,000 divided
into 2,000,000 shares
of Bht. 100
each with fully
paid.
MAIN SHAREHOLDERS
: [as at
April 20,
2006]
|
NAME |
HOLDING |
% |
|
MC Solvent
Co., Ltd. Nationality: Thai Address : |
603,000 |
30.15 |
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MC Plastic
Co., Ltd. Nationality: Thai Address : 822
Moo 4, Pattanakarn
1 Rd., Praeksa, Muang, Samutprakarn |
500,000 |
25.00 |
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MC Textile
Co., Ltd. Nationality: Thai Address : |
397,000 |
19.85 |
|
Thai Central
Chemical Public Co., Ltd. Nationality: Thai Address : |
255,000 |
12.75 |
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Metro Fos
Co., Ltd. Nationality: Thai Address : |
163,850 |
8.19 |
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Others |
81,150 |
4.06 |
Total Shareholders
83
NAME OF AUDITOR &
CERTIFIED PUBLIC
ACCOUNTANT NO.
Mr. Suphamitr Techamontrikul No. 3356
BALANCE SHEET [BAHT]
The
latest financial figures
published for December
31, 2005 &
2004 were :
ASSETS
|
Current Assets |
2005 |
2004 |
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Cash in hand
& at bank |
117,952,705 |
48,169,123 |
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Trade Accts. Receivable [note 1] |
591,493,167 |
608,994,377 |
|
Inventories
[note 2] |
301,009,247 |
348,359,107 |
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Other Current Assets |
10,342,932 |
11,382,629 |
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Total Current
Assets |
1,020,798,051 |
1,016,905,236 |
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Investment at Equity
Method |
72,355,913 |
72,055,571 |
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Other Long Term
Investment |
170,000 |
170,000 |
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Fixed Assets [note 3] |
7,212,556 |
4,975,511 |
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Other Assets |
1,323,355 |
718,219 |
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Total Assets
|
1,101,859,875 |
1,094,824,537 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current Liabilities |
2005 |
2004 |
|
|
|
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Short Term Loan
from Financial Institution |
549,800,489 |
430,121,806 |
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Trade Accts. Payable
|
240,723,876 |
305,809,838 |
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Others Current Liabilities |
18,405,171 |
54,021,749 |
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Total Current
Liabilities |
808,929,536 |
789,953,393 |
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Total Liabilities |
808,929,536 |
789,953,393 |
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Shareholders'
Equity |
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Share capital,
Bht. 100 value
authorized, issued
and fully paid share
capital 2,000,000 shares |
200,000,000 |
200,000,000 |
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Capital Paid |
200,000,000 |
200,000,000 |
|
Statutory Reserve |
10,315,469 |
7,976,252 |
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Retained Earning -
Unappropriated |
82,614,870 |
96,894,892 |
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Total
Shareholders' Equity |
292,930,339 |
304,871,144 |
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Total
Liabilities & Shareholders' Equity |
1,101,859,875 |
1,094,824,537 |
PROFIT & LOSS ACCOUNT
|
Revenue |
2005 |
2004 |
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Sales |
3,138,404,309 |
3,072,900,134 |
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Others Income Tax |
8,666,859 |
12,669,382 |
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Gain on Exchange
Rate |
706,369 |
- |
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Profit on Investment
at Equity Method
|
656,312 |
1,253,772 |
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Total Revenues
|
3,148,433,849 |
3,086,823,288 |
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Expenses |
|
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Cost of Goods
Sold |
2,935,749,328 |
2,826,507,890 |
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Selling & Administrative Expenses |
176,740,734 |
179,269,496 |
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Loss on Exchange
Rate |
- |
3,657,717 |
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Total Expenses |
3,112,490,062 |
3,009,435,103 |
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Profit before Interest
Expenses & Income Tax |
35,943,787 |
77,388,185 |
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Interest Expenses |
[23,886,931] |
[11,475,215] |
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Income Tax |
[3,997,661] |
[18,070,828] |
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Net Profit / [Loss] |
8,059,195 |
47,842,142 |
FINANCIAL NOTE
NOTE 1
Trade Accts. Receivable
|
|
2005 |
2004 |
|
|
|
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Trade Accts. Receivable |
604,919,353 |
621,340,671 |
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Less: Allowance for
Doubtful Account |
[13,426,186] |
[12,346,294] |
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Total
|
591,493,167 |
608,994,377 |
NOTE 2
Inventories
|
|
2005 |
2004 |
|
|
|
|
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Finished Goods |
279,046,651 |
310,684,664 |
|
Goods in Transit |
23,815,435 |
38,921,503 |
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Total |
302,862,086 |
349,606,167 |
|
Less: Allowance
for Obsolescent Stock |
[1,852,839] |
[1,247,060] |
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Total
|
301,009,247 |
348,359,107 |
NOTE 3 Fixed
Assets
|
|
2005 |
2004 |
|
|
|
|
|
Equipment |
10,806,611 |
10,382,362 |
|
Vehicle |
6,062,715 |
5,412,215 |
|
Total |
16,869,326 |
15,794,577 |
|
Less: Depreciation |
[10,143,085] |
[10,819,066] |
|
Works under Construction |
486,315 |
- |
|
Total
|
7,212,556 |
4,975,511 |
FINANCIAL ANALYSIS
Annual Growth
& Profitability
|
Annual Growth |
2005 |
2004 |
|
Sales |
2.13 |
|
|
Operating |
[1.49] |
|
|
Net Profit |
[83.15] |
|
|
Fixed Assets |
44.96 |
|
|
Total Assets |
0.64 |
|
|
Profitability |
|
|
|
Cost of Goods
Sold |
93.54 |
91.98 |
|
Operating Profit Margin |
6.46 |
8.02 |
|
S&A expenses |
5.63 |
5.83 |
|
Interest |
0.76 |
0.37 |
|
Other Revenues |
0.32 |
0.45 |
|
Net Profit Margin |
0.26 |
1.56 |
|
Earning Per Shares |
4.03 |
23.92 |
|
No. of Shares |
2,000,000 |
2,000,000 |
Net Sales was increased by 2.13%, Operating Profit was decreased by 1.49%, Net Profit was decreased by 83.15%, Fixed Assets was increased by 44.96%, Total Assets was increased by 0.64%.
Compare each cost with sales, Cost of Goods Sold was increased from 91.98% to 93.54%, Operating Profit Margin was decreased from 8.02% to 6.46%, S & A Expenses were decreased from 5.83% to 5.63%, Interest Paid was increased from 0.37% to 0.76%, Other Revenues was decreased from 0.45% to 0.32%, Net Profit Margin was decreased from 1.56% to 0.26%.
Earning Per Shares
was decreased from
23.92 baht per
share to 4.03
baht per share.
Liquidity
|
Liquidity |
2005 |
2004 |
|
Current Ratio |
1.26 |
1.29 |
|
Quick - assets ratio |
0.88 |
0.83 |
Current Ratio was
decreased from 1.29
to 1.26, show
Current Assets can
cover Current Liabilities,
Liquidity Ratio of
the company was
good, and Quick-assets
Ratio was increased
from 0.83 to
0.88, 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 |
2.76 |
2.59 |
|
Times Interest Earned |
1.08 |
5.85 |
D/E Ratio was increased from 2.59 to 2.76, 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 5.85 to 1.08, capacity to pay interest paid was good.
Efficiency
|
Efficiency |
2005 |
2004 |
|
Fixed Assets Turnover |
435.13 |
617.60 |
|
Total Assets Turnover |
2.85 |
2.81 |
|
Return on Assets |
0.73 |
4.37 |
|
Return on Equity |
2.75 |
15.69 |
|
Day’s Payable |
29.93 |
39.49 |
|
Day’s Inventories |
37.42 |
44.99 |
|
Days’ Receivables |
68.79 |
72.34 |
Fixed Assets Turnover was decreased from 617.60 times to 435.13 times, Total Assets Turnover was increased from 2.81 times to 2.85 times, show the company could use Assets so efficiently, and Return on Assets was decreased from 4.37 to 0.73, Return on Equity was decreased from 15.69 to 2.75, capacity to use Assets to make profit was not good.
Day’s Payable was decreased from 40 days to 30 days, Day’s Inventories was decreased from 45 days to 38 days, and Day’s Receivables was decreased from 73 days to 69 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 |
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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%)