MIRA INFORM REPORT
|
Report Date : |
09.08.2008 |
IDENTIFICATION
DETAILS
|
Name : |
MUN KHONG TAN
CO., LTD. |
|
|
|
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Registered Office : |
188
Moo 6, Sukhumvit Road,
K.M. 34, Bangpoomai, Muang, Samutprakarn 10280 |
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Country : |
Thailand |
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|
|
Financials (as on) : |
31.05.2007 |
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Year of Establishment : |
1987 |
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Com. Reg. No.: |
0115530000907 [Former: SOR.
POR. 896] |
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|
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Legal Form : |
Private
Limited Company |
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|
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Line of Business : |
Manufacturer & Distributor of Tannery |
RATING &
COMMENTS
|
MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Status : |
Satisfactory |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
NAME
MUN KHONG TAN CO., LTD.
SUMMARY
BUSINESS ADDRESS : 188
MOO 6, SUKHUMVIT ROAD,
K.M. 34,
BANGPOOMAI, MUANG,
SAMUTPRAKARN 10280
TELEPHONE : [66] 2323-9272,
2323-2818-9, 2323-9937, 2323-9729
FAX :
[66] 2323-9744
E-MAIL ADDRESS : mkt@munkhongtan.com
REGISTRATION ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED : 1987
REGISTRATION NO.
: 0115530000907 [Former : SOR. POR. 896]
CAPITAL
REGISTERED : BHT. 70,000,000
CAPITAL
PAID-UP : BHT. 70,000,000
FISCAL
YEAR CLOSING DATE : MAY 31
LEGAL STATUS : PRIVATE LIMITED COMPANY
EXECUTIVE : MR.
PITI TANGRUANGWONG, THAI
MANAGING DIRECTOR
NO. OF
STAFF : 120
LINES OF
BUSINESS : TANNERY
MANUFACTURER &
DISTRIBUTOR
CORPORATE PROFILE
OPERATING TREND : STABLE
PRESENT SITUATION : OPERATING NORMALLY
REPUTATION : GOOD
WITH NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT STANDARD : MANAGEMENT WITH FAIR PERFORMANCE
HISTORY
The subject was
established on June
4, 1987 as
a private limited
company under the registered
name FANTASTIC LEATHER CO., LTD. by Thai group,
Tangruangwong family to produce
upholstery leather for
furniture and automobile’s seat cover industries.
On June 1, 1995,
the subject was
changed its name
to MUN KHONG TAN CO., LTD. It
currently employs approximately
120 staff.
The subject’s registered
address is 188 Moo
6, Sukhumvit Rd.,
Bangpoomai, Muang, Samutprakarn 10280, and this
is the subject’s current operation
address.
THE BOARD OF DIRECTOR
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Piti Tangruangwong |
|
Thai |
56 |
|
Mr. Vilas Tangruangwong |
|
Thai |
52 |
|
Ms. Suda Tangruangwong |
|
Thai |
48 |
|
Ms. Punnee Tangruangwong |
|
Thai |
49 |
AUTHORIZED PERSON
Two of the
above directors can
jointly sign on
behalf of the
subject with company’s
affixed.
MANAGEMENT
Mr. Piti
Tangruangwong is the
Managing Director.
He is Thai nationality with
the age of
56 years old.
Ms. Suda
Tangruangwong is the
Marketing Manager.
She is Thai nationality with
the age of
48 years old.
BUSINESS OPERATIONS
The subject’s activity is a tannery,
specialized in leather
tanning for upholstery and auto seat cover industries.
PURCHASE
The raw materials
mainly raw hide
[buffalo and bovine],
tanning chemical &
etc. are purchased
from both domestic
and overseas suppliers
in Republic of China,
Australia, United States
of America and European
countries.
MAJOR SUPPLIER
Nedlloyd Lineage B.V. : Netherlands
SALES [LOCAL]
100% of its
products is sold
locally by wholesale
to manufactures and end-users.
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.
SUBSIDIARY AND
AFFILIATED COMPANY
The subject is
not found to
have any subsidiary
nor affiliated company
here in Thailand.
CREDIT
Sales are on
the credits term
of 30-60 days.
Local bills are
paid by cash
or on the credits term
of 30-60-90 days.
Imports are by
L/C at sight or T/T.
BANKING
Bangkok Bank Public
Co., Ltd.
EMPLOYMENT
The subject employs
approximately 120 staff.
[office staff and
factory workers]
LOCATION DETAILS
The premise is
owned for administrative office, factory and
warehouse at the
heading address. Premise
is located in
tanning industry zone in
Samutprakarn province.
REMARK
CREDIT OF US$ 500,000 D/A SHOULD BE IN ORDER.
COMMENT
The subject was
formed in 1987 as
a tanning industry. Subject is specialized
in the production of whole hides
upholstery leather for furniture and automotive industry.
Through out the
years, subject has
continuously upgraded its
ability to produce
the finest quality
leather. This has
included contributing to research,
investing in new
technology and developing
production techniques.
However, market situation
for upholstery is
not promising due
to current decline consumption
in local market.
Its business outlook is
likely to grow
slowly.
FINANCIAL INFORMATION
The capital was initially registered
at Bht. 1,000,000
divided into 10,000
shares of Bht.
100 each.
The capital was
increased later as
follows:
Bht. 15,000,000
on August 29,
1990
Bht. 50,000,000
on May 23, 1996
Bht. 70,000,000 on May 27,
1999
The latest registered
capital was increased
to Bht. 70,000,000
divided into 700,000
shares of Bht.
100 each with
fully paid.
THE SHAREHOLDERS LISTED WERE
: [as at September 30,
2007]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Piti
Tangruangwong Nationality: Thai Address : 188 Moo 6,
Sukhumvit Rd., Bangpoomai, Muang, Samutprakarn 10280 |
350,000 |
50.00 |
|
Mrs. Shinghuay
Sae-ung Nationality: Chinese Address : 188 Moo 6,
Sukhumvit Rd., Bangpoomai, Muang, Samutprakarn 10280 |
210,000 |
30.00 |
|
Ms. Suda
Tangruangwong Nationality: Thai Address : 1 Sukhumvit
71 Rd., Klongton,
Klongtoey, Bangkok 10110 |
35,000 |
5.00 |
|
Ms. Punnee
Tangruangwong Nationality: Thai Address : 188 Moo 6,
Sukhumvit Rd., Bangpoomai, Muang, Samutprakarn 10280 |
35,000 |
5.00 |
|
Mr. Vilas
Tangruangwong Nationality: Thai Address : 188 Moo 6,
Sukhumvit Rd., Bangpoomai, Muang,
Samutprakarn 10280 |
35,000 |
5.00 |
|
Mrs. Duangkamol Koprapatpong Nationality: Thai Address : 188 Moo 6,
Sukhumvit Rd., Bangpoomai, Muang, Samutprakarn 10280 |
28,000 |
4.00 |
|
Mr. Samart Wongcharoensin Nationality: Thai Address : 188 Moo 6,
Sukhumvit Rd., Bangpoomai, Muang, Samutprakarn 10280 |
7,000 |
1.00 |
Total Shareholders : 7
NAME OF AUDITOR &
CERTIFIED PUBLIC ACCOUNTANT
NO.
Mrs. Benjaporn Udomphansa
No. 2599
BALANCE SHEET
The
latest financial figures
published for May
31, 2007 & 2006
were:
ASSETS
|
Current Assets |
2007 |
2006 |
|
|
|
|
|
Cash in hand
& at Bank |
71,293,869.95 |
57,555,222.70 |
|
Notes Receivable |
4,644,188.23 |
4,763,761.11 |
|
Trade Accounts Receivable |
45,781,505.05 |
34,181,516.57 |
|
Inventories |
60,471,048.30 |
45,323,373.97 |
|
Other Current Assets
|
2,084,300.86 |
176,690.64 |
|
|
|
|
|
Total Current
Assets |
184,274,912.39 |
142,000,564.99 |
|
Fixed Assets |
109,877,541.34 |
106,382,333.26 |
|
Other Assets |
22,200.00 |
25,200.00 |
|
Total Assets |
294,174,653.73 |
248,408,098.25 |
LIABILITIES
& SHAREHOLDERS' EQUITY [BAHT]
|
Current Liabilities |
2007 |
2006 |
|
|
|
|
|
Bank Overdraft &
Loan from Bank |
77,310,610.58 |
78,922,853.30 |
|
Notes Payable |
2,798,884.60 |
1,515,743.85 |
|
Trade Accounts Payable |
19,822,148.33 |
8,313,120.37 |
|
Accrued Expenses |
1,513,504.73 |
2,248,510.51 |
|
Other Current Liabilities |
94,291.07 |
265,915.58 |
|
|
|
|
|
Total Current
Liabilities |
101,539,439.31 |
91,266,143.61 |
|
Loan from Director |
93,123,343.18 |
55,123,343.18 |
|
Total Liabilities |
194,662,782.49 |
146,389,486.79 |
|
|
|
|
|
Shareholders'
Equity |
|
|
|
|
|
|
|
Share capital : Baht 100 par value
authorized, issued
and fully paid share
capital 700,000 shares |
70,000,000.00 |
70,000,000.00 |
|
|
|
|
|
Capital Paid |
70,000,000.00 |
70,000,000.00 |
|
Statutory Reserve |
327,622.44 |
168,371.24 |
|
Retained Earning -
Unappropriated |
29,184,248.80 |
31,850,240.22 |
|
Total
Shareholders' Equity |
99,511,871.24 |
102,018,611.46 |
|
Total
Liabilities & Shareholders' Equity |
294,174,653.73 |
248,408,098.25 |
PROFIT & LOSS ACCOUNT
|
Revenue |
2007 |
2006 |
|
|
|
|
|
Sales |
163,027,796.48 |
260,609,430.75 |
|
Other Income |
1,852,464.57 |
2,035,637.72 |
|
Total Revenues
|
164,880,261.05 |
262,645,068.47 |
|
Expenses |
|
|
|
|
|
|
|
Cost of Goods
Sold |
153,488,958.50 |
245,109,802.08 |
|
Selling & Administrative Expenses |
10,111,071.82 |
14,521,714.22 |
|
Total Expenses |
163,600,030.32 |
259,631,516.30 |
|
|
|
|
|
Profit before Interest Expenses & Income Tax |
1,280,230.73 |
3,013,552.17 |
|
Interest Expenses |
[144,115.25] |
[444,349.46] |
|
Income Tax |
[457,831.68] |
[857,414.16] |
|
Net Profit / [Loss] |
678,283.80 |
1,711,788.55 |
FINANCIAL ANALYSIS
Annual Growth
& Profitability
|
Annual Growth |
2007 |
2006 |
|
Net Sales |
[37.44] |
|
|
Operating Profit |
[32.09] |
|
|
Net Profit |
[60.38] |
|
|
Fixed Assets |
3.29 |
|
|
Total Assets |
18.42 |
|
|
Profitability |
|
|
|
Cost of Good
Sold |
94.15 |
94.05 |
|
Operating Profit Margin |
0.79 |
1.16 |
|
S & A
Expenses |
6.20 |
5.57 |
|
Interest Paid |
0.09 |
0.17 |
|
Other Revenues |
1.14 |
0.78 |
|
Net Profit Margin |
0.42 |
0.66 |
|
Earning Per Shares |
0.97 |
2.45 |
|
No. of Shares |
700,000 |
700,000 |
Net Sales was decreased by 37.44%, Operating Profit was decreased by 32.09%, Net Profit was decreased by 60.38%, Fixed Assets was increased by 3.29%, Total Assets was increased by 18.42%.
Compare each cost
with sales, Cost of
Good Sold was
increased from 94.05%
to 94.15%, Operating
Profit Margin was
decreased from 1.16%
to 0.79%, S
& A Expenses
was increased from
5.57% to 6.20%,
Interest Paid was decreased
from 0.17% to
0.09%, Other Revenues
was increased from
0.78% to 1.14%,
Net Profit Margin
was decreased from
0.66% to 0.42%.
Earning Per Shares
was decreased from
2.45 baht per
share to 0.97
baht per share.
Liquidity
|
Liquidity |
2007 |
2006 |
|
Current Ratio |
1.81 |
1.56 |
|
Quick-Assets Ratio |
1.20 |
1.06 |
Current Ratio was
increased from 1.56
to 1.81, show
Current Assets can
cover Current Liabilities, Liquidity Ratio of
the company was
good, Quick-Assets Ratio
was increased from
1.06 to 1.20,
capacity to pay
Short Term Loan
was good too,
because Current Assets
without Inventory can
cover Current Liabilities.
Leverage
|
Leverage |
2007 |
2006 |
|
D/E Ratio |
1.96 |
1.43 |
|
Times Interest Earned |
8.88 |
6.78 |
D/E Ratio was
increased from 1.43
to 1.96, show
the company had
fund from Loan
more than fund
from Equity, investment
risked of the
company is medium,
Times Interest Earned
was increased from
6.78 to 8.88,
capacity to pay
interest paid was
good.
Efficiency
|
Efficiency |
2007 |
2006 |
|
Fixed Assets Turnover |
1.48 |
2.45 |
|
Total Assets Turnover |
0.55 |
1.05 |
|
Return on Assets |
0.23 |
0.69 |
|
Return on Equity |
0.68 |
1.68 |
|
Day's Payable |
43.77 |
11.48 |
|
Day’s Inventories |
133.53 |
62.61 |
|
Day’s Receivables |
101.10 |
47.22 |
Fixed Assets Turnover
was decreased from
2.45 times to
1.48 times, Total
Assets Turnover was
decreased from 1.05
times to 0.55
times, show the
company could not
use Assets so
efficiently, Return on
Assets was decreased
from 0.69 to
0.23, Return on
Equity was decreased
from 1.68 to
0.68, capacity to
use Assets to
make profit was
good.
Day's Payable was
increased from 12
days to 44
days, Day’s Inventories
was increased from
63 days to
134 days, and
Day’s Receivables was
increased from 48
days to 102
days.
FOREIGN EXCHANGE
RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs. 42.20 |
|
UK Pound |
1 |
Rs. 81.48 |
|
Euro |
1 |
Rs. 64.27 |
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%)