MIRA
INFORM REPORT
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Report Date : |
19.11.2007 |
IDENTIFICATION
DETAILS
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Name : |
NERADA TEA PTY LTD |
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Registered Office : |
3, 23 Overlord Pl, Acacia
Ridge, Qld 4110 |
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Country : |
Australia |
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Date of Incorporation : |
6 March 1992 |
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Legal Form : |
Private Limited Liability Company |
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Line of Business : |
Supplier of Australian grown tea with a product range that has grown to include speciality selected imported herbal infusions, green teas, flavoured teas and instant teas mixes. |
RATING &
COMMENTS
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MIRA’s Rating : |
A |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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 |
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Status : |
Good |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
REGISTERED NAME
NERADA TEA PTY LTD
ACN
055 076 849
ABN
59 055 076 849
INCORPORATED
6 March 1992
REGISTERED ADDRESS
3, 23 Overlord Pl
ACACIA RIDGE, QLD 4110
SHARECAPITAL
$7,268,000
SHAREHOLDERS
J A RUSSELL (GUERNSEY) LTD Holds
2,420,600
BOH PLANTATIONS SDN BHD Holds
2,399,400
BOH IN SINGAPORE Holds
120,000
DIRECTORS
RUSSELL, John
Beauchamp
Resident overseas
RUSSELL, Caroline
Christine
Resident overseas
RUSSELL, Tristan
Beauchamp
Resident overseas
WEAVERS, Andrew
Richard
95 Golden Ave
CALAMVALE, QLD 4116
SECRETARY
MITCHELL, Gordon
REGISTERED CHARGES
None on record
BUSINESS STRUCTURE
TRADING ADDRESS
3, 23 Overlord Pl
ACACIA RIDGE, QLD 4110
TELEPHONE (617) 3272 0444
FACSIMILE (617)
3272 0243
PACKING FACTORY
ACACIA RIDGE
ULTIMATE HOLDING ENTITIES
JA RUSSELL &
CO SDN BHD
BANK
NATIONAL AUSTRALIA BANK
Sunnybank Hills, QLD
EMPLOYEES
30
BACKGROUND
The subject was incorporated in Queensland on 6 March 1992 as Mistwade P/L, before adopting the current style on 7 July 1995.
The subject has origins that date back to 1886 when 4 brothers established a timberworks and plant as many tropical plants and seeds, in Bingal Bay, Queensland.
In 1891 the first coffee and tea plantation shad matured. However in 1918 an enormous cyclone destroys the farming empire that had been established for 40 years.
In 1958 Dr Allan Maruff buys 320 acres of land in the Nerada Valley and planted the first rows of tea from seedlings he had found in Bingall Bay.
In 1971 the Nerada tea factory was established.
In 1973 the subject was purchased by TEA.
OPERATIONS
The subject operates as Australia's largest supplier of Australian grown tea with a product range that has grown to include speciality selected imported herbal infusions, green teas, flavoured teas and instant teas mixes.
Activities are conducted from premises located at the above listed trading address.
ADVERSE
A search of the failed to trace any litigation listed against the subject at that date.
FINANCES
From the subjects most recently lodged financial statements, it is noted that for the financial year ended 31 December 2006 the subject recorded revenue of $17,514,995, which resulted in an operating profit before tax of $470,941 and an operating profit after tax of $337,307 representing a Net Profit Margin of 1.93%.
Below is a summary of the subject’s income results for the past two financial years.
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Nerada Tea Pty Ltd |
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As at 31
December 2006 |
As at 31
December 2005 |
Change (%) |
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Revenue |
$17,514,995 |
$16,821,146 |
4.12% |
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Profit b/tax |
$470,941 |
$240,179 |
96.08% |
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Profit a/tax |
$337,307 |
$167,964 |
100.82% |
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Net Profit Margin |
1.93% |
1.00% |
0.93% |
During fiscal 2006, the subject recorded Net Cashflows from operating activities totalling $1,239,544.
As at 31 December 2006 the subject recorded total current assets of $10,687,904. They included cash of $4,657,750, receivables of $3,496,279 and inventories of $2,492,688.
Current liabilities at the same date totalled $2,547,086 and included payables of $2,175,297 and provisions of $371,789.
As at 31 December 2006, the subject recorded Working Capital of $8,140,818 and a current ratio of 4.2 to 1 indicating strong liquidity levels.
Net Assets totalled $11,084,008 as at 31 December 2006. At this date, the subject further recorded a Debt to Equity ratio of 0.69 to 1 showing low levels of gearing.
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Nerada Tea Pty Ltd |
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As at 31
December 2006 |
As at 31
December 2005 |
Change (%) |
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Revenue |
$17,514,995 |
$16,821,146 |
4.12% |
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Profit b/tax |
$470,941 |
$240,179 |
96.08% |
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Profit a/tax |
$337,307 |
$167,964 |
100.82% |
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Net Profit Margin |
1.93% |
1.00% |
0.93% |
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Current Assets |
$10,687,904 |
$7,346,067 |
45.49% |
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Non Current Assets |
$8,028,318 |
$2,598,757 |
208.93% |
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Total Assets |
$18,716,222 |
$9,944,824 |
88.20% |
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Current Liabilities |
$2,547,086 |
$1,399,662 |
81.98% |
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Non Current Liabilities |
$5,085,128 |
$2,077,076 |
144.82% |
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Total Liabilities |
$7,632,21 |
$3,476,738 |
119.52% |
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Net Assets |
$11,084,008 |
$6,468,086 |
71.36% |
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Working Capital |
$8,140,818 |
$5,946,405 |
36.90% |
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Current Ratio |
4.20 |
5.25 |
-20.05% |
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Debt to Equity |
0.69 |
0.54 |
28.10% |
TRADE SURVEY
During the current investigation, contact with the subject’s principals was unable to be established.
Subsequently details pertaining to the company’s suppliers were unable to be obtained and a trade survey could not be conducted.
SUMMARY
The subject was incorporated in Queensland on 6 March 1992 as Mistwade P/L, before adopting the current style on 7 July 1995.
The subject has origins that date back to 1886.
for the financial year ended 31 December 2006 the subject recorded revenue of $17,514,995, which resulted in an operating profit before tax of $470,941 and an operating profit after tax of $337,307 representing a Net Profit Margin of 1.93%.
During fiscal 2006, the subject recorded Net Cashflows from operating activities totaling $1,239,544.
As at 31 December 2006, the subject recorded Working Capital of $8,140,818 and a current ratio of 4.2 to 1 indicating strong liquidity levels.
Net Assets totaled $11,084,008 as at 31 December 2006.
RATING
EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit consideration.
Capability to overcome financial difficulties seems comparatively below
average. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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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%)