MIRA
INFORM REPORT
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Report Date : |
15.12.2008 |
IDENTIFICATION
DETAILS
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Name : |
AKZO NOBEL
COATINGS LTD. |
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Formerly Known As : |
METROPOLITAN PAINT FACTORY CO., LTD |
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Registered Office : |
34 Moo 4, Petchkasem Road, Km. 28.5
Omyai, Sampran, Nakornpathom 73160 |
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Country : |
Thailand |
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Financials (as on) : |
31.12.2007 |
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Date of Incorporation : |
22.10.1963 |
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Com. Reg. No.: |
0105506002130 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Manufacturer of Industrial
Coating and Lacquer |
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 : |
Good |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
name of the company
AKZO NOBEL
COATINGS LTD.
SUMMARY
BUSINESS ADDRESS : 34
MOO 4, PETCHKASEM ROAD,
KM. 28.5
OMYAI, SAMPRAN,
NAKORNPATHOM 73160,
THAILAND
TELEPHONE : [66]
2429-0031 [AUTOLINES], 2429-0507
FAX : [66] 2429-0463
REGISTRATION ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED : 1963
REGISTRATION NO.
: 0105506002130 [Former : 288/2506]
CAPITAL REGISTERED
: BHT. 60,000,000
CAPITAL PAID-UP
: BHT. 60,000,000
FISCAL YEAR CLOSING
DATE : DECEMBER
31
LEGAL STATUS : PRIVATE
LIMITED COMPANY
EXECUTIVE : MR.
DAVID STANLEY LOU,
BRITISH
GENERAL MANAGER
NO. OF
STAFF : 220
LINES OF
BUSINESS : INDUSTRIAL
COATING & LACQUER
MANUFACTURER
CORPORATE PROFILE
OPERATING TREND : STABLE
PRESENT SITUATION : OPERATING NORMALLY
REPUTATION : GOOD
WITH NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT STANDARD : MANAGEMENT WITH GOOD PERFORMANCE
HISTORY
The subject was
established on October
22, 1963 as
a private limited
company under the registered
name Metropolitan Paint
Factory Co., Ltd. by
Akzo Nobel Coatings
B.V. in Netherlands.
On December 4,
1987 subject was
changed its name
to Akzo Coatings
[Thailand] Ltd. and changed
again to Akzo Nobel Coatings
Ltd., on June 20,
1994. It currently
employs 220 staff.
The subject’s registered
address is 34
Moo 4, Petchkasem Rd.,
KM. 28.5 Omyai,
Sampran, Nakornpathom 73160,
and this is
the subject’s current
operation address.
THE BOARD OF DIRECTORS
|
Name |
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Nationality |
Age |
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Mr. Lo Fung
Fong |
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Indonesian |
76 |
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Mr. David Stanley Lou |
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British |
- |
|
Mr. Naris Sri-uthanechai |
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Thai |
47 |
|
Mr. Robert John
Torba |
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American |
59 |
|
Mr. Alan Walker |
|
British |
51 |
|
Mr. Neil Galloway |
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New Zealander |
54 |
|
Ms. Patchara Thongprapai |
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Thai |
55 |
AUTHORIZED PERSON
Two of the above directors
can jointly sign
on behalf of
the subject with
company’s affixed.
MANAGEMENT
Mr. David Stanley
Lou is the General Manager.
He is British nationality.
Mr. Taveesak Vuthipornphan is
the Factory Manager.
He is Thai nationality.
Mrs. Tongchit Tarnsuwanwong is
the Finance Controller.
She is Thai nationality with
the age of
43 years old.
Ms. Patchara Thongprapai is
the Finance and
Account Manager.
She is Thai nationality.
BUSINESS OPERATIONS
The subject’s activity
is a manufacturer of industrial
coating & lacquer
for automobile, furniture,
structural steel and
general industries including
oil and marine
paint.
MAJOR BRANDS
“SIKKENS”, “RELIANCE” and “INTERNATIONAL”
PURCHASE
70% of its raw
materials mainly chemical
are purchased locally,
and the remaining
30% is imported from Germany,
Netherlands, United States of America,
United Kingdom, Taiwan and
Japan.
MAJOR SUPPLIERS
- Akzo Nobel Coating
BV. : Netherlands
- Ameron Inc. : United
States of America
SALES [LOCAL]
100% of its products is
marketed and distributed
locally by Akzo
Nobel Coatings Trading
Ltd.
PARENT COMPANY
Akzo Nobel Coatings
BV. :
Netherlands
OVERSEAS BRANCHES
There are Akzo
Nobel Group of
companies in more
than 75 countries
worldwide.
ASSOCIATED COMPANIES
- Inter Vet Co.,
Ltd.
Business Type :
Distributor of health
products
- Eka Chemical Co.,
Ltd.
Business Type :
Manufacturer of paper
chemical
- Akzo Nobel Coatings
Trading Ltd.
Business Type :
Distributor of coating
and related products
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 for
the past two
years.
CREDIT
Sales are by
cash or on
the credits term
of 30-60 days.
Local bills are
paid by cash
or on the credits term
of 30-60 days.
Imports are by
L/C at sight & T/T.
BANKING
Kasikornbank Public Co., Ltd.
[Head Office : 1 Kasikorn Lane,
Rajburana Rd., Rajburana,
Bangkok 10140]
Bangkok Bank Public
Co., Ltd.
[Head Office : 333 Silom
Rd., Silom, Bangrak,
Bangkok 10500
Deutsche Bank AG.
[Bangkok Office : 208 Wireless Rd., Lumpini,
Pathumwan, Bangkok 10330]
The Siam Commercial
Bank Public Co.,
Ltd.
[Omyai Branch,
Petchkasem Rd., Omyai,
Sampran, Nakornpathom]
EMPLOYMENT
The subject employs
approximately 220 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 an industrial area.
REMARK
CREDIT OF US$
US$ 1,000,000 SHOULD
BE IN ORDER.
COMMENT
The
subject was formed
in 1963 as
a manufacturer and
distributor of industrial
coating and lacquer
for industrial users.
Since the products
have been served
to industrial sector,
its sales have
gradually increased in
line with strong
demand from various
industries. Subject posted
its strong growth
in 2007, and
estimated to have moderate
business.
FINANCIAL INFORMATION
The capital was
registered at Bht.
10 million, divided
into 10,000 shares
of Bht. 1,000
each.
The capital was
increased later as
followings :
Bht. 30,000,000 on October 5,
1983
Bht. 60,000,000 on September 2,
1985
The latest registered
capital was increased
to Bht. 60
million, divided into
60,000 shares of
Bht. 1,000 each
with fully paid.
THE SHAREHOLDERS LISTED WERE
[as at
April 29, 2008]
|
NAME |
HOLDING |
% |
|
Akzo Nobel Coatings
B.V. Nationality: Dutch Address : Netherlands |
57,035 |
95.06 |
|
Suriyawinata International Co.,
Ltd. Nationality : Hong Kong Address : 92-94 Queen
Rd., Central, Hong Kong |
2,958 |
4.93 |
|
Mr. Lee Yui
Heng Nationality : Chinese Address : 83 Chakrawad, Samphantawong,
Bangkok 10110 |
1 |
|
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Mr. Veera Siridej Nationality : Thai Address : 148-152 Chakrapetch Rd., Wangburapa
Phranakorn, Bangkok 10100 |
1 |
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Mr. Lim Chue
Meng Nationality : Chinese Address : 210 Nanglinchee Rd., Chongnonsee,
Yannawa, Bangkok 10120 |
1 |
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Mr. Thavorn Phornprapa Nationality: Thai Address : 865 Rama
4 Rd., Pathumwan,
Bangkok 10330 |
1 |
=0.01 |
|
Mrs. Ung Teck
Huang Nationality: Chinese Address : 32 Orient
Group Rd., Zone
10, Singapore |
1 |
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Mrs. Ar-ngek Lim Nationality : Chinese Address : 210 Nanglinchee Rd., Chongnonsee,
Yannawa, Bangkok 10120 |
1 |
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Mr. Eng Sew
Liang Nationality: Chinese Address : 210 Nanglinchee Rd., Chongnonsee,
Yannawa, Bangkok 10120 |
1 |
|
Total Shareholders : 9
NAME OF AUDITOR &
CERTIFIED PUBLIC ACCOUNTANT
NO.
Mr. Vichien Thamtrakul No.
3183
BALANCE SHEET [BAHT]
The latest financial figures published as at
December 31, 2007 &
2006 were:
ASSETS
|
Current Assets |
2007 |
2006 |
|
|
|
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Cash in hand
& at Bank
|
401,146,019 |
193,577,310 |
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Trade Accts. Receivable |
363,455,156 |
256,518,402 |
|
Account Receivable -
Related Company |
4,599,518 |
5,622,003 |
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Inventories |
189,706,783 |
146,227,594 |
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Other Current Assets
|
899,384 |
1,668,855 |
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Total Current Assets
|
959,806,860 |
603,614,164 |
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Investment accounted for under
Equity Method |
61,750 |
61,750 |
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Fixed Assets |
27,207,084 |
30,010,753 |
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Other Assets |
937,699 |
892,700 |
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Total Assets |
988,013,393 |
634,579,367 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2007 |
2006 |
|
|
|
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Trade Accts. Payable |
192,385,599 |
157,863,557 |
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Account Payable -
Related Company |
59,472,704 |
11,095,454 |
|
Accrued Income Tax |
69,806,074 |
35,232,363 |
|
Accrued Expenses |
59,368,486 |
32,184,151 |
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Other Current Liabilities |
14,990,722 |
10,441,992 |
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|
|
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Total Current Liabilities |
396,023,585 |
246,817,517 |
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Total Liabilities |
396,023,585 |
246,817,517 |
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Shareholders' Equity |
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Share capital : Baht 1,000
par value authorized, issued
and fully paid share
capital 60,000 shares |
60,000,000 |
60,000,000 |
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Capital Paid |
60,000,000 |
60,000,000 |
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Unappropriated |
531,989,808 |
327,761,850 |
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Total Shareholders' Equity |
591,989,808 |
387,761,850 |
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Total Liabilities &
Shareholders' Equity |
988,013,393 |
634,579,367 |
PROFIT & LOSS ACCOUNT
|
Revenue |
2007 |
2006 |
|
|
|
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Sales |
1,453,426,074 |
1,136,647,681 |
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Other Income |
15,368,575 |
13,299,934 |
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Total Revenues |
1,468,794,649 |
1,149,947,615 |
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Expenses |
|
|
|
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|
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Cost of Goods
Sold |
835,674,245 |
711,651,691 |
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Selling & Administrative Expenses |
326,729,334 |
262,513,123 |
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Total Expenses |
1,162,403,579 |
974,164,814 |
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|
|
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Profit / [Loss] before
Interest Expenses &
Income Tax |
306,391,070 |
175,782,801 |
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Interest Expenses |
[131,053] |
[496,667] |
|
Income Tax |
[102,032,059] |
[54,314,392] |
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Net Profit / [Loss] |
204,227,958 |
120,971,742 |
FINANCIAL ANALYSIS
Annual Growth &
Profitability
|
Annual Growth |
2007 |
2006 |
|
Net Sales |
27.87 |
|
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Operating Profit |
36.31 |
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Net Profit |
68.82 |
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Fixed Assets |
[9.34] |
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Total Assets |
55.70 |
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Profitability |
|
|
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Cost of Good
Sold |
57.50 |
62.61 |
|
Operating Profit Margin |
21.08 |
15.47 |
|
S & A
Expenses |
22.48 |
23.10 |
|
Interest Paid |
0.01 |
0.04 |
|
Other Revenues |
1.06 |
1.17 |
|
Net Profit Margin |
14.05 |
10.64 |
|
Earning Per Shares |
3,403.80 |
2,016.20 |
|
No. of Shares |
60,000 |
60,000 |
Net Sales was
increased by 27.87%,
Operating Profit was
increased by 36.31%,
Net Profit was
increased by 68.82%,
Fixed Assets was
decreased by 9.34%,
Total Assets was
increased by 55.70%.
Compare each cost
with sales, Cost of
Good Sold was
decreased from 62.61%
to 57.50%, Operating
Profit Margin was
increased from 15.47%
to 21.08%, S
& A Expenses
was decreased from
23.10% to 22.48%,
Interest Paid was decreased
from 0.04% to
0.01%, Other Revenues
was decreased from
1.17% to 1.06%,
Net Profit Margin
was increased from
10.64% to 14.05%.
Earning Per Shares
was increased from
2,016.20 baht per
share to 3,403.80
baht per share.
Liquidity
|
Liquidity |
2007 |
2006 |
|
Current Ratio |
2.42 |
2.45 |
|
Quick-Assets Ratio |
1.94 |
1.85 |
Current Ratio was
decreased from 2.45
to 2.42, show
Current Assets can
cover Current Liabilities, Liquidity Ratio of
the company was
good, Quick-Assets Ratio
was increased from
1.85 to 1.94,
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 |
0.67 |
0.64 |
|
Times Interest Earned |
2,337.92 |
353.92 |
D/E Ratio was
increased from 0.64
to 0.67, show
the company had
fund from Equity
more than fund
from Loan, investment
risked of the
company is low, Times
Interest Earned was
increased from 353.92
to 2,337.92, capacity
to pay interest paid was
good.
Efficiency
|
Efficiency |
2007 |
2006 |
|
Fixed Assets Turnover |
53.42 |
37.87 |
|
Total Assets Turnover |
1.47 |
1.79 |
|
Return on Assets |
20.67 |
19.06 |
|
Return on Equity |
34.50 |
31.20 |
|
Day's Payable |
47.65 |
50.00 |
|
Day’s Inventories |
46.99 |
46.31 |
|
Day’s Receivables |
90.02 |
81.24 |
Fixed Assets Turnover
was increased from
37.87 times to
53.42 times, Total
Assets Turnover was
decreased from 1.79
times to 1.47
times, show the
company could use
Fixed Assets so
efficiently, Return on
Assets was increased
from 19.06 to
20.67, Return on
Equity was increased
from 31.20 to
34.50, capacity to
use Assets to
make profit was
good.
Day's Payable was
decreased from 50
days to 48
days, while Day’s
Inventories was stable
at 47 days, but Day’s
Receivables was increased
from 82 days
to 91 days.
FOREIGN EXCHANGE
RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.47.94 |
|
UK Pound |
1 |
Rs.72.07 |
|
Euro |
1 |
Rs.64.70 |
RATING
EXPLANATIONS
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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 |
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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%)