MIRA
INFORM REPORT
|
Report Date : |
13.12.2008 |
IDENTIFICATION
DETAILS
|
Name : |
THAI HUA RUBBER PUBLIC COMPANY LIMITED |
|
|
|
|
Formerly Known As : |
THAI
HUA RUBBER COMPANY
LIMITED |
|
|
|
|
Registered Office : |
238/1 Ratchadapisek Road,
Huaykwang, Huaykwang,
Bangkok 10320 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2007 |
|
|
|
|
Date of Incorporation : |
03.09.1985 |
|
|
|
|
Com. Reg. No.: |
0107539000251 |
|
|
|
|
Legal Form : |
Public Limited Company |
|
|
|
|
Line of Business : |
Manufacturer, Exporter and
Distributor of Natural
Rubber Products |
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 |
|
|
|
|
Payment Behaviour : |
No Complaints |
|
|
|
|
Litigation : |
Clear |
name of the company
THAI HUA RUBBER PUBLIC COMPANY LIMITED
SUMMARY
BUSINESS ADDRESS : 238/1 RATCHADAPISEK ROAD, HUAYKWANG,
HUAYKWANG, BANGKOK
10320, THAILAND
TELEPHONE : [66]
2274-0471-7
FAX : [66] 2274-0231,
2274-0531
E-MAIL ADDRESS : marketing@thaihua.com
REGISTRATION ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED : 1996
REGISTRATION NO.
: 0107539000251 [BOR
MOR JOR. 626]
CAPITAL REGISTERED
: BHT. 1,500,000,000
CAPITAL PAID-UP
: BHT.
1,500,000,000
FISCAL YEAR
CLOSING DATE : DECEMBER 31
LEGAL STATUS : PUBLIC LIMITED COMPANY
EXECUTIVE : MR. LAKCHAI KITTIPOL, THAI
PRESIDENT AND
CHIEF EXECUTIVE OFFICER
NO. OF
STAFF : 1,700
LINES OF
BUSINESS : NATURAL RUBBER PRODUCTS
MANUFACTURER, EXPORTER
AND 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 originally established
on September 3, 1985 as
a private limited
company under the registered
name “Thai Hua Rubber Company
Limited”, by Thai
group, Kittipol family,
with the business
objective to manufacture
and supply various
kinds of natural
rubber products to
domestic and export
markets.
On
August 23, 1996,
subject became to be
public company, named
THAI HUA RUBBER
PUBLIC COMPANY LIMITED.
Subject currently operates
the products through
12 production plants
in provincial. It
employs approximately 1,700
staff.
The
subject’s registered address
is 238/1 Ratchadapisek Rd., Huaykwang, Bangkok
10320, and this
is the subject’s current operation
address.
THE BOARD OF DIRECTOR
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Lakchai Kittipol |
[x] |
Thai |
52 |
|
Mr. Sangob Pandokmai |
|
Thai |
72 |
|
Mr. Somchai Pakapasviwat |
|
Thai |
62 |
|
Pol. Gen. Suthep Thamrak |
|
Thai |
63 |
|
Mr. Kritaya Kittipol |
[-] |
Thai |
57 |
|
Mr. Vichai Kittipol |
[-] |
Thai |
47 |
|
Mr. Bancha Jesadavisuth |
[-] |
Thai |
50 |
AUTHORIZED PERSON
Only the mentioned
director [x] signs
or any two of the
mentioned directors [-]
can jointly sign
on behalf of
the subject with
company’s affixed.
MANAGEMENT
Mr. Lakchai Kittipol is
the President & Chief Executive
Officer.
He is Thai nationality with
the age of
52 years old.
Mr. Yew Kong Hing
is the Executive Vice President
[Marketing].
He is Malaysian nationality.
Mr. Suraphon Meksilapasathit is
the Financial Manager.
He is Thai nationality.
Mr. Riyong Kittipol is
the Marketing Manager.
He is Thai nationality.
Mr. Anant Jesadavisuth is
the Factory Manager.
He is Thai nationality.
Ms. Siriwan Yaluk is
the Export-Import Manager.
She is Thai nationality.
Mr. Sombat Sangprasit is
the Marketing Manager
[Local Market]
He is Thai nationality.
BUSINESS OPERATIONS
The subject is
engaged in manufacturing, exporting and distributing various kinds of
natural rubber products,
such as ribbed
smoked sheet [RSS],
air dried sheets
[ADS], standard Thai
rubber [STR] and
concentrated latex, with
the total production
capacity of 200,000-250,000 tons per annum.
Its products are
supplied to various
industries, such as
auto tires, auto parts,
belts, toys, adhesive
glues, shoe soles
and etc.
PURCHASE
100% of raw
material is purchased
from local suppliers.
SALES
90% of the products is
exported to U.S.A.,
Japan, Republic of
China, U.K., Malaysia,
Korea, Germany, France,
Indonesia, South Africa,
Middle East country,
Taiwan, Italy, and
etc., the remaining
10% to local market.
RELATED AND AFFILIATED COMPANIES
Min An Latex Industrial Co.,
Ltd.
Business Type
: manufacturer of
latex products.
Nutraco Thailand Co.,
Ltd.
Business Type
: manufacturer of
coffee bean products.
Data International Industrial
Co., Ltd.
Business Type
: Manufacturer of
rubber wooden furniture
parts and kitchenware.
Mitraphap Fragant Rice
Corp Ltd.
Business Type
: Manufacturer of
rice products, namely
“Golden Bird Thai
Jasmine”
Brand.
Thai Hua Auto
Tire Co., Ltd.
Business Type
: Manufacturer of
tire products.
Thai MAC STR
Co., Ltd.
Business Type
: Manufacturer of
Standard Thai Rubber [STR].
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.
Exports are against
L/C or T/T.
BANKING
The Siam Commercial
Bank Public Co.,
Ltd.
Bangkok bank Public
Co., Ltd.
Kasikornbank Public Co.,
Ltd.
Krung Thai Bank
Public Co., Ltd.
EMPLOYMENT
The
subject employs approximately 1,700 staff.
LOCATION DETAILS
The
premise is owned
for administrative office
at the heading address. Premise
is located in
commercial/residential area.
Branches:
·
Sadao Branch, 26/2
Moo 4, kanchanawanich Rd., Phangpla,
Sadao, Songkhla 90170.
·
Krabi Branch, 338
Moo 1, Petchkasem Rd., Khao
Khram, Krabi 81100.
·
Krabi Latex Branch, 338
Moo 1, Petchkasem Rd., Khao
Khram, Krabi 81100.
·
Songkalerk Branch, 80/4
Moo 1 , Samnaktong, Muang,
Rayong 21100.
·
Rayong Branch, 7/2
Moo 4, Kached, Muang, Rayong
21100.
·
Bangklam Branch, 5
Moo 10, Asia
Rd., Tha Chang,
Bangklam, Songkhla 90110.
·
Udornthani Branch, 148 Moo 15,
Nittayo Rd., Phon Ngam,
Nongharn, Udornthani 41130.
·
Trang Branch, 155
Moo 5, Bangrak Rd., Bangrak,
Muang, Trang 92000.
·
Chalung Branch, 130
Moo 1, Chalung Rd., Hadyai,
Songkhla 91140.
·
Chumporn Branch, 99
Moo 2, Khao Chairach Rd.,
Pachew, Chumporn 86210.
·
Nongkhai Branch, 195
Moo 5, Nonsomboon,
Buangkarn, Nongkhai 43140.
·
Sakolnakorn Branch, 222
Moo 3, Donmorthong,
Baanmuang, Sakonnakorn 47140.
COMMENT
The
subject was formed
in 1996 as
a manufacturer, distributor
and exporter of
natural rubber products. Its products are
mainly for industrial
sector. Subject reported
its sales revenue
for 2007 at
lower level compared
to the previous year. Moreover,
current market conditions
is not promising due to
slowdown of various
industries. Rubber products
in world market have
significantly decreased from
economic meltdown, as
well as prices of
latex and rubber
have strongly dropped.
This also reflected
demand of the
products as a
whole and estimated
that it would
further drop in
short to medium
term prospect.
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. 50,000,000 on September 12,
1991
Bht. 60,000,000 on February 24,
1995
Bht. 80,000,000 on December 7,
1995
The
latest registered capital
was increased to Bht.
1,500,000,000 divided into
1,500,000,000 shares of
Bht. 1 each with fully
paid.
MAIN SHAREHOLDERS
[as at
June 13, 2008]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Lakchai Kittipol Nationality: Thai Address : 238/1
Ratchadapisek Rd., Huaykwang,
Bangkok |
504,758,071 |
33.65 |
|
Thai Hua Holding
Co., Ltd. Nationality: Thai Address : 238/1
Ratchadapisek Rd., Huaykwang, Bangkok |
259,499,812 |
17.30 |
|
Lak Sands Investment Nationality: BVI Address : Tortola,
British Virgin Island |
165,156,586 |
11.01 |
|
Ms. Susanthinee Kittipol Nationality: Thai Address : 66/195
Ladprao 80 Rd.,
Wangthonglang, Bangkok |
123,762,568 |
8.25 |
|
Master Isawatee Kittipol Nationality: Thai Address : 66/195
Ladprao 80 Rd.,
Wangthonglang, Bangkok |
123,762,568 |
8.25 |
|
Jabez Investments Pte
Ltd. Nationality: Singaporean Address : Anson
Rd., Singapore |
107,100,040 |
7.14 |
|
Mr. Anand Jesadavisuth Nationality: Thai Address : 7/2
Moo 4, Kached,
Muang, Rayong |
64,851,230 |
4.32 |
|
Mr. Kritaya Kittipol Nationality: Thai Address : 7/1
Moo 4, Kached,
Muang, Rayong |
31,606,309 |
2.11 |
|
Others |
119,502,816 |
7.97 |
Total Shareholders :
63
NAME OF AUDITOR &
CERTIFIED PUBLIC ACCOUNTANT
NO.
F. Lt. Ruangsak Hitaphan
No. 4429
BALANCE SHEET [BAHT]
The
latest financial figures
published for December
31, 2007 &
2006 were:
ASSETS
|
Current Assets |
2007 |
2006 |
|
|
|
|
|
Cash in Hand
& at Bank |
52,449,276.70 |
95,098,965.55 |
|
Short-term Investment - Fixed Account |
237,977,551.14 |
203,640,440.41 |
|
- Marketable
Securities available for
Sale |
122,398,235.81 |
101,871,246.35 |
|
Trade Accts. Receivable |
2,725,678,318.01 |
2,065,555,098.29 |
|
Inventories |
1,753,807,680.45 |
1,679,703,725.94 |
|
Short-term Loan to Person
or Related Company |
296,588,350.53 |
273,266,713.43 |
|
Other Current Assets
|
457,456,516.59 |
399,129,032.21 |
|
|
|
|
|
Total Current Assets
|
5,646,355,929.23 |
4,818,265,222.18 |
|
Investment accounted for
under Equity Method |
80,413,909.95 |
116,458,224.21 |
|
Other Long-term Investment |
233,938,163.76 |
303,197,759.00 |
|
Fixed Assets |
1,335,954,984.24 |
1,016,864,361.36 |
|
Other Assets |
20,068,029.04 |
15,485,809.04 |
|
Total Assets |
7,316,731,016.22 |
6,270,271,375.79 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2007 |
2006 |
|
|
|
|
|
Bank Overdraft &
Short-term Loan from Bank |
4,963,020,552.23 |
4,238,182,123.68 |
|
Trade Accts. Payable |
443,157,763.26 |
251,783,771.24 |
|
Current Portion of Hire-purchase Contract Liabilities |
- |
1,312,512.00 |
|
Current Portion of
Long-term Loan |
30,922,429.05 |
48,861,590.37 |
|
Other Current Liabilities |
619,517,643.25 |
596,131,807.92 |
|
|
|
|
|
Total Current Liabilities |
6,056,618,387.79 |
5,136,271,805.21 |
|
Hire-purchase Contract Liabilities |
- |
3,200,416.25 |
|
Other Long-term Loan |
47,286,526.95 |
32,993,035.92 |
|
Total Liabilities |
6,103,904,914.74 |
5,172,465,257.38 |
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
Share capital : Baht 1 par value
authorized, issued
and fully paid share
capital 1,500,000,000 shares |
1,500,000,000.00 |
1,500,000,000.00 |
|
|
|
|
|
Capital Paid |
1,126,147,000.00 |
1,126,147,000.00 |
|
Surplus on Share
Capital |
35,250,000.00 |
35,250,000.00 |
|
Retained Earning Appropriated for
Statutory Reserve |
27,360,000.00 |
27,360,000.00 |
|
Unappropriated |
24,069,101.48 |
[90,950,881.59] |
|
Total Shareholders' Equity |
1,212,826,101.48 |
1,097,806,118.41 |
|
Total Liabilities & Shareholders' Equity |
7,316,731,016.22 |
6,270,271,375.79 |
PROFIT & LOSS ACCOUNT
|
Revenue |
2007 |
2006 |
|
|
|
|
|
Sales |
18,167,578,537.44 |
18,265,738,940.62 |
|
Share of Profit
from Investment accounted for under Equity Method |
- |
14,270,915.16 |
|
Other Income |
181,175,541.49 |
268,540,881.09 |
|
Total Revenues |
18,348,754,078.93 |
18,548,550,736.87 |
|
Expenses |
|
|
|
|
|
|
|
Cost of Goods
Sold |
17,035,547,855.33 |
17,509,660,803.14 |
|
Selling & Administrative Expenses |
909,190,097.50 |
719,270,804.23 |
|
Share of Loss
from Investment accounted
for under Equity
Method |
- |
58,684,126.57 |
|
Total Expenses |
17,944,737,952.83 |
18,287,615,733.94 |
|
|
|
|
|
Profit / [Loss] before Interest
Expenses |
404,016,126.10 |
260,935,002.93 |
|
Interest Expenses |
[288,749,619.51] |
[290,252,954.51] |
|
|
|
|
|
Net Profit / [Loss] |
115,266,506.59 |
[29,317,951.58] |
FINANCIAL ANALYSIS
Annual Growth &
Profitability
|
Annual Growth |
2007 |
2006 |
|
Net Sales |
[0.54] |
|
|
Operating Profit |
27.09 |
|
|
Net Profit |
493.16 |
|
|
Fixed Assets |
31.38 |
|
|
Total Assets |
16.69 |
|
|
Profitability |
|
|
|
Cost of Good
Sold |
93.77 |
95.86 |
|
Operating Profit Margin |
2.22 |
1.75 |
|
S & A
Expenses |
5.00 |
3.94 |
|
Interest Paid |
1.59 |
1.59 |
|
Other Revenues |
1.00 |
1.55 |
|
Net Profit Margin |
0.63 |
[0.16] |
|
Earning Per Shares |
0.10 |
[0.03] |
|
No. of Shares |
1,126,147,000 |
1,126,147,000 |
Net Sales was
decreased by 0.54%,
Operating Profit was
increased by 27.09%,
Net Profit was
increased by 493.16%,
Fixed Assets was
increased by 31.38%,
Total Assets was
increased by 16.69%.
Compare each cost
with sales, Cost of
Good Sold was
decreased from 95.86%
to 93.77%, Operating
Profit Margin was
increased from 1.75%
to 2.22%, S
& A Expenses
was increased from
3.94% to 5.00%,
Interest Paid was increased
from 1.59% to
1.59%, Other Revenues
was decreased from
1.55% to 1.00%,
Net Profit Margin
was increased from
-0.16% to 0.63%.
Earning Per Shares
was increased from
-0.03 baht per
share to 0.10
baht per share.
Liquidity
|
Liquidity |
2007 |
2006 |
|
Current Ratio |
0.93 |
0.94 |
|
Quick-Assets Ratio |
0.52 |
0.48 |
Current Ratio was
decreased from 0.94
to 0.93, show
Current Assets can
not cover Current
Liabilities, Liquidity Ratio
of the company was not
good, Quick-Assets Ratio
was increased from
0.48 to 0.52,
capacity to pay
Short Term Loan
was not good
too, because Current
Assets without Inventory
can not cover
Current Liabilities.
Leverage
|
Leverage |
2007 |
2006 |
|
D/E Ratio |
5.03 |
4.71 |
|
Times Interest Earned |
1.40 |
1.10 |
D/E Ratio was
increased from 4.71
to 5.03, show
the company had
fund from Loan
more than fund
from Equity, investment
risked of the
company is high, Times
Interest Earned was increased from
1.10 to 1.40,
capacity to pay
interest paid was
good.
Efficiency
|
Efficiency |
2007 |
2006 |
|
Fixed Assets Turnover |
13.60 |
17.96 |
|
Total Assets Turnover |
2.48 |
2.91 |
|
Return on Assets |
1.58 |
[0.47] |
|
Return on Equity |
9.50 |
[2.67] |
|
Day's Payable |
8.78 |
4.96 |
|
Day’s Inventories |
34.75 |
33.11 |
|
Day’s Receivables |
54.01 |
40.71 |
Fixed Assets Turnover
was decreased from
17.96 times to 13.60 times,
Total Assets Turnover
was decreased from
2.91 times to
2.48 times, show
the company could
not use Assets
so efficiently, Return
on Assets was
increased from -0.47
to 1.58, Return
on Equity was
increased from -2.67
to 9.50, capacity
to use Assets to make
profit was good.
Day's Payable was
increased from 5
days to 9
days, Day’s Inventories
was increased from
34 days to
35 days, and
Day’s Receivables was
increased from 41
days to 55
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
|
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%)