MIRA
INFORM REPORT
|
Report Date : |
23.04.2008 |
IDENTIFICATION
DETAILS
|
Name : |
HA TINH PHARMACEUTICAL & MEDICAL EQUIPMENT JOINT STOCK COMPANY |
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Registered Office : |
No. 167, Ha Huy Tap Street, Ha Tinh City, Ha Tinh Province |
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Country : |
Vietnam |
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Financials (as on) : |
31.12.2007 |
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Date of Incorporation : |
1960 |
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Com. Reg. No.: |
2803000164 |
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Legal Form : |
Joint Stock Company |
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Line of Business : |
Manufacturing and Trading Pharmaceutical
Products, Cosmetic, Chemical, Medicine and Trading Medical Materials and
Equipments |
RATING &
COMMENTS
|
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 : |
No Complaints |
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Litigation : |
Clear |
SUBJECT IDENTIFICATION &
LEGAL FORM
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English Name
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HA TINH PHARMACEUTICAL &
MEDICAL EQUIPMENT JOINT STOCK COMPANY
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Vietnamese Name |
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CONG TY CO PHAN DUOC VA THIET BI Y TE HA TINH |
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Shortened name |
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HATIPHARCO |
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Type of Business |
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Joint stock company |
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Founded |
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1960 |
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Business Registration |
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2803000164 |
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Issuance on |
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December 29th, 2004 |
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Issuance by |
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Planning and investment department of Ha Tinh Province |
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Current registered capital |
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12,500,000,000 VND |
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Former Registered capital |
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5,500,000,000 VND |
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Tax code |
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0300104879 |
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Total Employees |
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400 employees |
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ADDRESSES
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Head Office and
factory: |
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Address |
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No. 167, Ha Huy Tap Street, Ha Tinh City, Ha Tinh Province |
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Country |
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Vietnam |
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Tel |
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(84-39) 892549/ 858447/ 858114/ 858115/ 856605/ 854617 |
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Fax |
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(84-39) 856821 |
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Email |
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Website |
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Hanoi Office: |
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Current Address |
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No. 3, Lane 122, Lang Street, Hanoi City |
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Business Registration No. |
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0113017865 |
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Issuance on |
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June 1st, 2007 |
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Issuance by |
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Planning and investment department of Hanoi City |
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Tax code No. |
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3000104879-011 |
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Tel |
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84-4 8534872 |
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Representative by law |
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Mr. Thieu Dang Hung |
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DIRECTORS
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1. NAME |
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Mr. LE HONG PHUC |
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Position |
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Director / Chairman |
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Date of birth |
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May 11th, 1952 |
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ID No |
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183522219 |
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Issued on |
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September 26th, 2003 |
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Issued by |
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Police station of Ha Tinh province |
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Resident |
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Tan Giang Ward, Ha Tinh City, Ha Tinh Province |
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Nationality |
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Vietnamese |
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Email |
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2. NAME |
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Mr. TRAN THAI SON |
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Position |
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Deputy director |
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Date of birth |
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July 1958 |
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Nationality |
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Vietnamese |
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Email |
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3. NAME |
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Mr. DAO VIET HUONG |
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Position |
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Deputy director |
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Date of birth |
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August 1959 |
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Resident |
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Son Pho Commune, Huong Son District, Ha Tinh Province |
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Nationality |
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Vietnamese |
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Email |
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4. NAME |
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Mr. NGUYEN DANG PHAT |
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Position |
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Chief accountant |
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Resident |
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Cam Xuyen Townlet, Cam Xuyen District, Ha Tinh Province |
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Nationality |
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Vietnamese |
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Email |
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BUSINESS NATURE AND ACTIVITIES
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The subject registers and operates in
manufacturing and trading pharmaceutical products, cosmetic, chemical,
medicine and trading medical materials and equipments |
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IMPORT & EXPORT ACTIVITIES
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IMPORT: The subject imports materials and equipments
for its production from China, India, Singapore and Thailand and some of EU
countries |
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EXPORT: The subject exports its products
to ASEAN and East Western countries |
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BANKERS
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1. BANK FOR INVESTMENT AND DEVELOPMENT-HA TINH BRANCH |
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Account No |
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52020000000286
(VND) |
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2. VIETCOMBANK-HA TINH BRANCH |
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Address |
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No. 11, Phan Dinh Phung Street, Ha Tinh City, Ha Tinh province |
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Country |
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Vietnam |
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Account No |
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0201370053528
(USD) |
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SHAREHOLDER(S)
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The subject is a joint stock
company. Following is its shareholders:
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1. NAME |
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Mr. LE HONG PHUC |
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Position |
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Director / Chairman |
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Date of birth |
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May 11th, 1952 |
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ID No |
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183522219 |
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Issued on |
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September 26th, 2003 |
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Issued by |
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Police station of Ha Tinh province |
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Resident |
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Tan Giang Ward, Ha Tinh City, Ha Tinh Province |
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Nationality |
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Vietnamese |
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Email |
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Current share |
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20,040 shares |
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Current Ratios |
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1.60 % |
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Former share |
|
600 shares |
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Former Ratios |
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1.09 % |
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Note: Mr. Le Hong Phuc is also representative
by law to hold current 310,200 shares account for ratios of 24.80% (former: 165,000 shares-ratio: 30%) for state
(managed by State Capital Investment Corporation) |
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2. NAME |
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Mr. DAO VIET HUONG |
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Position |
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Deputy director |
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Date of birth |
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August 1959 |
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Resident |
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Son Pho Commune, Huong Son District, Ha Tinh Province |
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Nationality |
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Vietnamese |
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Email |
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Current share |
|
13,780 shares |
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Current ratios |
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1.10% |
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Former Share |
|
600 shares |
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Former Ratios |
|
1.09 % |
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3. NAME |
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Mr. NGUYEN DANG PHAT |
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Position |
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Chief accountant |
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Resident |
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Cam Xuyen Townlet, Cam Xuyen District, Ha Tinh Province |
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Nationality |
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Vietnamese |
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Email |
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Current share |
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19,860 shares |
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Current ratios |
|
1.59% |
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Former Share |
|
600 shares |
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Former Ratios |
|
1.09 % |
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4. NAME |
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Mr. DINH VAN HUNG |
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Position |
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Shareholder |
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Resident |
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Nam Ha Ward, Ha Tinh City, Ha Tinh Province |
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Nationality |
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Vietnamese |
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Current share |
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15,190 shares |
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Current ratios |
|
1.22% |
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Former Share |
|
600 shares |
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Former Ratios |
|
1.09 % |
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5. NAME |
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Mr. NGUYEN TRONG CU |
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Position |
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Shareholder |
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Resident |
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Nam Ha Ward, Ha Tinh City, Ha Tinh Province |
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Nationality |
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Vietnamese |
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Current share |
|
13,780 shares |
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Current ratios |
|
1.10% |
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Former Share |
|
600 shares |
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Former Ratios |
|
1.09 % |
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6. NAME |
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Mr. TRAN THAI SON |
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Position |
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Deputy director |
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Date of birth |
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July 1958 |
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Nationality |
|
Vietnamese |
|
Email |
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Current share |
|
13,780 shares |
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Current ratios |
|
1.10 % |
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Former Share |
|
600 shares |
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Former Ratios |
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1.09 % |
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FINANCIAL DATA
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Following is its audited financial statement which was collected from
the subject |
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BALANCE
SHEET |
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Unit: 1 VND
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Balance sheet
date |
31/12/2007 |
31/12/2006 |
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Number of weeks |
52 |
52 |
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ASSETS |
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A.
Working assets & short-term Investment |
60,866,668,007 |
33,660,034,852 |
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I.
Cash and cash equivalents |
1,489,727,192 |
2,615,935,112 |
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II.
Short-term investment |
0 |
0 |
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1. Short-term securities
investment |
0 |
0 |
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2. Other short-term investment |
0 |
0 |
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3. Provision for short-term
investment |
0 |
0 |
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III.
Receivables |
36,292,468,319 |
15,868,969,529 |
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1. Receivables from customers |
34,469,140,054 |
14,713,275,758 |
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2. Prepayment for providers |
1,801761,370 |
1,051,621,097 |
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3. Value-added tax deducted |
0 |
0 |
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4. Internal receivables |
0 |
0 |
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5. Other receivables |
21,566,895 |
104,072,674 |
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6. Provision for bad
receivables |
0 |
0 |
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IV. Inventory |
20,884,726,764 |
13,756,578,144 |
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1.
Purchased goods in transit |
0 |
0 |
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2. Raw materials |
0 |
0 |
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3. Instrument, tools |
0 |
0 |
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4. Cost for production and
business in process |
0 |
0 |
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5. End products |
0 |
0 |
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6. Goods |
20,884,726,764 |
13,756,578,144 |
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7. Goods on consignment |
0 |
0 |
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8. Provision for devaluation
of stocks |
0 |
0 |
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V. Other current assets |
2,199,745,732 |
1,418,552,067 |
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1. Advances |
0 |
0 |
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2. Prepaid expenses |
1,384,250,682 |
1,161,318,568 |
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3. Pending expenses for
transfer |
0 |
0 |
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4. Pending assets |
305,245,908 |
257,233,499 |
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5. Mortgage, collateral and
short run collateral |
510,249,142 |
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VI.
Administrative
|
0 |
0 |
1. Administrative expenses for previous year
|
0 |
0 |
2. Administrative expenses for current year
|
0 |
0 |
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B. Fixed assets
& Long term investment |
15,895,126,415 |
12,906,766,167 |
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I. Fixed assets |
15,662,326,415 |
11,541,749,437 |
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1. Tangible fixed assets |
15,662,326,415 |
11,541,749,437 |
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+ Original cost |
24,645,109,315 |
17,675,910,932 |
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+ Accumulated depreciation
value |
-8,982,782,900 |
-6,134,161,495 |
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2. Financial leasing fixed
assets |
0 |
0 |
|
+ Original cost |
0 |
0 |
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+ Accumulated depreciation
value |
0 |
0 |
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3. Intangible fixed assets |
0 |
0 |
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+ Original cost |
0 |
0 |
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+ Accumulated depreciation
value |
0 |
0 |
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II. Long term
investment |
0 |
0 |
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1. Long-term securities investment |
0 |
0 |
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2. Joint-venture capital contribution |
0 |
0 |
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3. Other long-term investment |
0 |
0 |
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4. Provision for long-term investment devaluation |
0 |
0 |
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III. Capital
construction in process |
232,800,000 |
809,851,522 |
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IV. Other |
0 |
555,165,208 |
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TOTAL ASSETS |
76,761,794,422 |
46,566,801,019 |
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LIABILITES |
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|
A.
Payable loans |
57,696,981,628 |
40,133,043,997 |
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I. Short term
payables |
48,164,886,272 |
31,487,222,421 |
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1. Short-term borrowings |
7,266,240,120 |
5,883,490,000 |
|
2. Due long-term liabilities |
0 |
0 |
|
3. Payables to supplier |
22,668,731,817 |
18,228,418,279 |
|
4. Prepayment of buyer |
14,080,007,839 |
4,624,721,096 |
|
5. Taxes and accounts dutiable |
51,499,238 |
61,382,290 |
|
6. Employee payments |
1,033,241,226 |
606,976,218 |
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7. Internal payables |
348,139,580 |
103,419,062 |
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8. Other payables |
2,717,026,452 |
1,978,815,476 |
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II. Long term loans |
9,532,095,356 |
8,645,821,576 |
|
1. Long-term borrowings |
9,003,504,699 |
8,429,615,699 |
|
2. Long-term payables |
528,590,657 |
216,205,877 |
|
III. Other
payables |
0 |
0 |
|
1. Payable expenses |
0 |
0 |
|
2. Pending assets |
0 |
0 |
|
3. Receipts long-term collateral and deposit |
0 |
0 |
|
B. Owner’s
Equity |
19,064,812,794 |
6,433,757,022 |
|
I. Capital and Funds |
18,837,573,715 |
6,231,673,715 |
|
1. Working capital |
12,500,000,000 |
5,500,000,000 |
|
2. Differences from asset revaluation |
5,254,375,273 |
98,475,273 |
|
3. Exchange rate differences |
0 |
0 |
|
4. Development investment funds |
902,600,000 |
552,600,000 |
|
5. Reserved funds |
180,598,442 |
80,598,442 |
|
6. Retained profit |
0 |
0 |
|
7. Construction capital sources |
0 |
0 |
|
II. Other administrative and fund sources |
227,239,079 |
202,083,307 |
|
1. Provident funds for unemployment |
0 |
0 |
|
2. Reward and welfare funds |
227,239,079 |
202,083,307 |
|
3. Management funds of higher level |
0 |
0 |
|
4. Functional operation funds |
0 |
0 |
|
5. Fund sources formed by fixed assets |
0 |
0 |
|
TOTAL LIABILITY
AND EQUITY |
76,761,794,422 |
46,566,801,019 |
|
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PROFIT & LOSE ACCOUNT (INCOME
STATEMENT)
|
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||
|
Description |
FY 2007
|
FY 2006 |
|
Total
revenue |
123,568,508,893 |
97,441,873,479 |
|
Deductions Items |
2,386,638,165 |
1,097,082,430 |
|
- Discount |
0 |
0 |
|
- Devaluation |
0 |
0 |
|
- Return of sold goods |
0 |
0 |
|
- Turnover tax, Luxury tax & Export tax |
0 |
0 |
|
1. Net revenue |
121,181,870,728 |
96,344,791,049 |
|
2. Cost of goods sold |
102,019,995,985 |
82,168,402,156 |
|
3. Gross Profit |
19,161,874,743 |
14,176,388,893 |
|
4. Sales expenses |
11,795,141,379 |
8,613,255,247 |
|
5. Enterprise administrative expenses |
5,114,180,125 |
3,871,926,865 |
|
6. Net income from business activities |
2,252,553,239 |
1,691,206,781 |
|
Income from financial activities |
934,400,322 |
518,528,120 |
|
Expenditure from financial activities |
1,142,510,043 |
1,072,916,202 |
|
7. Net income from
financial operation |
-208,109,721 |
-554,388,082 |
|
Irregular income |
107,380,952 |
0 |
|
Irregular expenditure |
0 |
0 |
|
8. Irregular
Profit |
107,380,952 |
0 |
|
9. Total pre-tax
profit |
2,151,824,470 |
1,136,818,699 |
|
10. Income tax |
150,290,166 |
0 |
|
11. After tax
profit |
2,001,534,304 |
1,136,818,699 |
|
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FINANCIAL FACTORS
|
|
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|
Description |
FY 2007 |
FY 2006 |
|
Current Liquidity Ratio |
1.26 |
1.07 |
|
Quick Liquidity Ratio |
0.83 |
0.63 |
|
Inventory Circle |
5.89 |
5.97 |
|
Average Receive Period |
109.31 |
60.12 |
|
Utilizing Asset Performance |
1.58 |
2.07 |
|
Liability / Total Asset (%) |
75.16 |
86.18 |
|
Liability / Owner's Equity (%) |
302.64 |
623.79 |
|
Income Before Tax / Total Asset (%) ROA |
2.80 |
2.44 |
|
Income Before Tax / Owner's Equity (%) ROE |
11.29 |
17.67 |
|
Income Before Tax / Total Revenue (%) NPM |
1.74 |
1.17 |
|
Gross Profit / Total Revenue (%) GPM |
15.51 |
14.55 |
|
|
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CASH FLOW STATEMENT
|
|
||
|
Unit: 1 VND |
||
|
Description |
FY 2007
|
FY 2006 |
|
I.
CASH FLOW FROM OPERATION ACTIVITIES |
|
|
|
1. Pretax profit |
2,151,824,470 |
1,136,818,699 |
|
2. Adjustments |
|
|
|
- Fixed assets depreciation |
3,011,228,547 |
2,414,717,232 |
|
- Lost/profit from investment operations |
(107,380,952) |
|
|
3. Profit from business activities before changing current assets |
5,055,672,065 |
3,551,535,931 |
|
- Decreased/ increased receivables |
(20,453,175,878) |
(5,451,366,827) |
|
- Decreased/ increased inventories |
(7,157,457,979) |
(2,031,026,350) |
|
- Decreased/ increased payables (not
included loan interest payable, income tax)
|
15,387,900,496 |
8,960,617,002 |
|
- Decreased/ increased prepaid expense |
231,186,537 |
(1,111,881,027) |
|
- Loan interest paid |
(1,142,510,043) |
(1,072,916,202) |
|
- Income tax paid |
(109,289,092) |
|
|
- Other income from business activities |
|
|
|
- Other expenses for business activities |
(170,021,500) |
(129,362,910) |
|
Net cash flow
from operating activities |
(8,357,695,394) |
2,715,599,617 |
|
II. CASH FLOW
FROM INVESTMENT ACTIVITIES |
|
|
|
1. Expense for buying fixed assets and other assets |
(6,951,853,524) |
(1,615,239,557) |
|
2. Receipts of interest,
dividends |
934,400,322 |
518,528,120 |
|
Net cash flow
from investment activities |
(6,017,453,202) |
(1,096,711,437) |
|
III. CASH FLOW
FROM FINANCING ACTIVITIES |
|
|
|
1. Payments for shares returns |
11,957,900,000 |
|
|
2. Payment for shareholders |
|
|
|
3. Receivable from short-term
and long-term borrowings |
44,793,396,310 |
43,305,292,146 |
|
4. Payment for principal borrowings |
(42,836,847,190) |
(44,307,059,586) |
|
5. Payment for financial leasing |
|
|
|
6. Payments for interest, dividend |
(665,500,000) |
(231,000,000) |
|
Net cash flow
from financial activities |
13,248,949,120 |
(1,232,767,440) |
|
Net cash flow in
the period |
(1,126,199,476) |
386,120,740 |
|
Cash and cash equivalents at beginning of
the period |
2,615,935,112 |
|
|
Exchange rate differences |
0 |
0 |
|
Cash and cash equivalents at the end of the
period |
1,489,735,636 |
2,229,814,372 |
|
|
||
PAYMENT HISTORY AND EXPERIENCES
|
|
||
|
Trade Morality |
|
Fairly good |
|
Liquidity |
|
Above average |
|
Payment status |
|
Average |
|
Financial Situation |
|
Above average |
|
Development trend |
|
Fairly good |
|
Litigation data |
|
No recorded |
|
Bankruptcy |
|
No recorded |
|
Payment Methods |
|
Though its bank, L.C, T.T |
|
Sale Methods |
|
Through its agents over the country |
|
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INTERPRETATION ON THE SCORES
|
|
|
Ha Tinh Pharmaceutical and Medical Equipment Joint Stock Company was equitzed
from state owned enterprise which is Ha Tinh Pharmaceutical and Medical
Equipment Company. The subject was original found in 1960. At the first period of operation (from 2005 to 2007), the subject has
former registered capital of 5,5 billion VND, in which the private
shareholders have 3,75 billion VND (hold 70% shares) and state owned 1,75
billion VND (hold left 30% shares). After issuing more shares in May of 2007, the subject has increased
its registered capital to 12,5 billion VND, in which private shareholders
accounted 9,398 billion VND (hold 75.2% shares) and the state accounted 3,102
billion VND (hold 24.8% shares). After being equitized, even the subject has changes in legal form but
basically, the subject has still kept the manufacturing system, business
operation, and infrastructure. Furthermore, the subject has to face up with
disadvantages from the hard competitive environment, the fluctuation in
material price, especially lack of pharmacist for studying, qualify managing
and developing market share. In addition, its financial situation is still
not as strong as foreign competitors to invest in processing GMP, GSP, GLP as
enquiry from Ministry of Health. Since year of 2004, the subject had borrowed money to invest in
building medicine manufacturing factory and up to August of 2005, the
GMP-ASEAN factory has been started operation making its capacity increased
clearly. The subject is now trying its best to improve its image, manufacturing
operation and financial situation to have more stable development in the
future. Its expected revenue in year of 2008 is 146 billion and after tax
profit is 3 billion, dividend to shareholders is 15% to 16% per year, average
earning for employees is 1,8 to 2 million VND per month, contribute to state
700 million VND and expense for research development is 500 million VND. The subject is expected to rent 5 hectares land in Nam Cau Phu
Industrial Zone to build a Oriental medicine factory in period year of
2008-2012, building a injectable drug factory with invested capital of 18 to
20 billion in 2008 and expected to started operation in 2010. It is also expected to issue more stock to mobilize capital for
production and trading as well as joining the stock market. The subject company is expected to have better position in the
industry when it is invested more and more to improve its production qualify
and diversify products and expand market share. |
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. |
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%)