MIRA
INFORM REPORT
|
Report Date : |
24.01.2008 |
IDENTIFICATION
DETAILS
|
Name : |
LUCKY
SPINNING CO., LTD. |
|
|
|
|
Registered Office : |
75/38-39
Soi Wattana, Sukhumvit
21 Road, Klongtoeynua, Wattana,
Bangkok 10110 |
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Country : |
Thailand |
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Financials (as on) : |
31.12.2006 |
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Date of Incorporation : |
17.07.2001 |
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Com. Reg. No.: |
0105544066603 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Manufacturer, Exporter and Distributor of Yarn Spinning
|
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 |
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|
|
Litigation : |
Clear |
name of the company
LUCKY SPINNING
CO., LTD.
SUMMARY
BUSINESS
ADDRESS : 21st FLOOR,
OCEAN TOWER 2,
75/38-39 SOI WATTANA, SUKHUMVIT 21
ROAD,
KLONGTOEYNUA, WATTANA,
BANGKOK 10110
TELEPHONE : [66] 2646-7700
FAX : [66] 2646-7711
E-MAIL
ADDRESS : mktg-spg@luckyspinning.com
REGISTRATION ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 2001
REGISTRATION NO. : 0105544066603
CAPITAL REGISTERED : BHT. 1,350,000,000
CAPITAL PAID-UP : BHT.
750,000,000
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED COMPANY
EXECUTIVE : MR. KAMOL PHICHITSINGH, THAI
MANAGING DIRECTOR
NO.
OF STAFF : 700
LINES
OF BUSINESS : YARN
SPINNING
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 established
on July 17,
2001 as a
private limited company under the name style
LUCKY SPINNING CO.,
LTD., by Thai-Indian groups, with
the business objective
to operate yarn
spinning factory for
fabric and yarn
industries, with the
promotional privilege
granted by the
Board of Investment
[BOI]. It currently
employs approximately 700
staff.
The
subject is a
member of Lucky
Impex Group of
Companies, a large
multinational conglomerate commenced
operations back in 1940.
With textiles as
its core expertise,
the group has diversified
into several other
business areas, including
plastics, real estate, construction and property management.
The group comprises
seven companies as
the followings:
-
Lucky Impex Limited
Partnership
-
Lucky Impex Textile
Co., Ltd.
-
Lucky Spinning Co., Ltd.
-
L.I. Textile, Melbourn,
Australia
-
Lucky Plastics and
Chemicals Co., Ltd.
-
Hawaii Tower Co., Ltd.
-
H.B. Villa Co., Ltd.
The
subject’s registered address
is 75/38-39 Sukhumvit 19 Rd., Klongtoeynua,
Wattana, Bangkok 10110,
and this is
the subject’s current
operation address.
THE BOARD OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Pol. Gen. Sant Sarutanond
: Chairman |
|
Thai |
64 |
|
Mr. Kamol Phichitsingh |
[x] |
Thai |
56 |
|
Mrs. Balyigor Phichitsingh |
|
Thai |
49 |
|
Ms. Sukmitr Phichitsingh |
[x] |
Thai |
24 |
AUTHORIZED PERSON
One of the mentioned directors
[x] can sign
on behalf of
the subject with
company’s affixed.
MANAGEMENT
Mr. Kamol Phichitsingh is
the Managing Director.
He is Thai nationality with
the age of
56 years old.
Mr. Umesh Sharma
is the Export Manager.
He is Indian nationality.
Mr. Anshuman Gupta
is the Factory Manager.
He is Indian nationality.
Mr. Adirek Puthongkaew is
the Human Resources
& Administration Manager.
He is Thai nationality.
BUSINESS OPERATIONS
The subject is
engaged in manufacturing wide range of
yarn spinning products,
such as synthetic
yarn, fancy yarn,
core spun slub
yarns, slub yarn,
reverse twist yarns,
high twist yarn,
industrial yarns, black
mix yarn and
others, under its
brand name “LUCKY
YARN”.
PRODUCTION CAPACITY
Its production capacity
is approximately 42,240
spindles per annum.
This is scheduled
to increase incrementally to 200,000 spindles
per year by
the year 2009.
FACILITIES
The subject has
used its renowned
machinery and equipment
for the production,
including Trutzschler, Lakshmi,
Rieter, Schlafhorst, Savio,
Volkman, LTG, Uster
and Premier.
PURCHASE
Most of raw
materials and equipment
are purchased from local suppliers and
agents, the remaining,
as well as
machinery and equipment
are imported from
Germany, Japan, Italy,
France and Taiwan.
SALES
80% of the products is
exported to the
countries in Europe,
Middle East and
U.S.A., the remaining
20% is sold and
serviced locally to
wholesalers and manufacturers.
RELATED AND AFFILIATED COMPANIES
Lucky Impex
Textile Co., Ltd.
Business Type :
Distributor of textile
products.
Lucky Global
Corporation Co., Ltd.
Business Type :
Importer and distributor
of industrial chemicals
and plastic products.
H. B. Villa
Co., Ltd.
Business Type :
Land development business.
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.
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 or T/T.
Exports are against
T/T.
BANKING
Bangkok Bank Public
Co., Ltd.
EMPLOYMENT
The
subject employs approximately 700 staff.
LOCATION DETAILS
The
premise is owned
for administrative office
at the heading address. Premise
is located in a prime
commercial area.
Factory
is located at
88 Moo 2, Bangnamchiew, Phromburi,
Singburi 16120.
Tel.
: [66] 36 598-130-1, Fax. :
[66] 36 598-888.
Warehouse
is located at
47 Moo 2, Asia Highway,
T. Banmo, A. Phromburi, Singburi
16120.
COMMENT
Since its
establishment, the subject has
continuously developed and
improved its operations.
In response to
increasingly demanding international textile markets, the
subject is always
in the process of launching
and planning new
products for the
market.
The
company is now
enjoying a strong
market position and
continuing to maintain
its status as
one of Thailand’s leading manufacturers of spun textiles.
FINANCIAL INFORMATION
The
capital was registered
at Bht. 40,000,000 divided into 4,000,000
shares of Bht.
10 each.
The
capital was increased
later as following:
Bht. 200,000,000 on May 13,
2002
Bht. 260,000,000 on November 25,
2003
Bht. 600,000,000 on October 20,
2005
Bht. 750,000,000 on December 28,
2006
Bht. 1,350,000,000 on November 30,
2007
The
latest registered capital
was increased to Bht. 1,350 million, divided into
135 million shares
of Bht. 10
each.
THE SHAREHOLDERS LISTED WERE
: [as at November 15,
2007] at Bht. 750
million of capitalization.
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Kamol Phichitsingh Nationality: Thai Address : 80
Sukhumvit 23 Rd.,
Klongtoeynua, Wattana, Bangkok |
74,250,000 |
55.00 |
|
Ms. Sukmitr Phichitsingh Nationality: Thai Address : 80
Sukhumvit 23 Rd.,
Klongtoeynua,
Wattana, Bangkok |
13,500,000 |
10.00 |
|
Mr. Santhit Phichitsingh Nationality: Thai Address : 80
Sukhumvit 23 Rd.,
Klongtoeynua,
Wattana, Bangkok |
13,500,000 |
10.00 |
|
Mr. Amorn Phichitsingh Nationality: Thai Address : 80
Sukhumvit 23 Rd.,
Klongtoeynua,
Wattana, Bangkok |
13,500,000 |
10.00 |
|
Mrs. Kiran Hora Nationality: Indian Address : 20/4
Sukhumvit 24 Rd.,
Klongtoey, Bangkok |
10,800,000 |
8.00 |
|
Mrs.
Balyitgor Phichitsingh Nationality: Thai Address : 80
Sukhumvit 23 Rd.,
Klongtoeynua,
Wattana, Bangkok |
6,750,000 |
5.00 |
|
|
|
|
|
Mr. Zurayit Singh
Hora Nationality: Indian Address : 20/4
Sukhumvit 24 Rd.,
Klongtoey, Bangkok |
2,700,000 |
2.00 |
Total Shareholders
7
NAME OF AUDITOR &
CERTIFIED PUBLIC ACCOUNTANT
NO.
Lt. Chumsri Taweekiat No. 1626
BALANCE SHEET [BAHT]
The
latest financial figures
published for December
31, 2006 &
2005 were:
ASSETS
|
Current Assets |
2006 |
2005 |
|
|
|
|
|
Cash in Hand
& at Bank
[note 1] |
76,996,578.59 |
46,792,778.17 |
|
Advance Payment |
13,413,308.79 |
1,545,709.23 |
|
Trade Accts. Receivable [note 2] |
233,278,071.53 |
178,968,918.75 |
|
Inventories [note 3] |
670,729,019.08 |
599,191,416.57 |
|
Short-term Loan to Person or
Related Company |
167,424.00 |
390,945.06 |
|
Other Current Assets
|
70,673,115.05 |
17,805,864.56 |
|
|
|
|
|
Total Current
Assets |
1,065,257,517.04 |
844,695,632.34 |
|
Fixed Assets |
1,699,680,842.22 |
1,368,870,528.71 |
|
Other Assets |
55,497,722.47 |
64,196,690.39 |
|
Total Assets |
2,820,436,081.73 |
2,277,762,851.44 |
LIABILITIES
& SHAREHOLDERS' EQUITY [BAHT]
|
Current Liabilities |
2006 |
2005 |
|
|
|
|
|
Bank Overdraft &
Short-term Loan from Bank |
808,720,265.39 |
577,731,361.34 |
|
Trade Accts. Payable |
44,568,698.58 |
33,974,172.05 |
|
Current Portion of Long-term
Payable |
180,886,251.00 |
171,855,620.00 |
|
Other Current Liabilities |
25,734,797.59 |
21,838,493.43 |
|
|
|
|
|
Total Current
Liabilities |
1,059,910,012.56 |
805,399,646.82 |
|
Long-term Loan from
Person or Related
Company |
271,866,298.88 |
462,263,478.95 |
|
Other Long-term Loans |
906,496,414.71 |
586,414,675.65 |
|
Other Liabilities |
3,006,350.72 |
306,927.11 |
|
Total Liabilities |
2,241,279,076.87
|
1,854,384,728.53 |
|
|
|
|
|
Shareholders'
Equity |
|
|
|
|
|
|
|
Share capital : Baht 10 par value
authorized, issued
and fully paid
share capital 75,000,000 & 60,000,000 shares
in 2006 &
2005 respectively |
750,000,000.00 |
6000,000,000.00 |
|
|
|
|
|
Capital Paid |
750,000,000.00 |
600,000,000.00 |
|
Retained Earning -
Unappropriated |
[170,842,995.14] |
[176,621,877.09] |
|
Total
Shareholders' Equity |
579,157,004.86 |
423,378,122.91 |
|
Total
Liabilities & Shareholders' Equity |
2,820,436,081.73 |
2,277,762,851.44 |
PROFIT & LOSS ACCOUNT
|
Revenue |
2006 |
2005 |
|
|
|
|
|
Sales |
1,371,646,524.84 |
973,583,253.82 |
|
Other Income |
53,329,015.43 |
12,614,595.07 |
|
Total Revenues
|
1,424,975,540.27 |
986,197,848.89 |
|
Expenses |
|
|
|
|
|
|
|
Cost of Goods
Sold |
1,245,570,455.52 |
873,002,723.89 |
|
Selling & Administrative Expenses |
90,253,589.40 |
85,254,781.56 |
|
Total Expenses |
1,335,824,044.92 |
958,257,505.45 |
|
|
|
|
|
Profit / [Loss] before Interest
Expenses |
89,151,495.35 |
27,940,343.44 |
|
Interest Expenses |
[83,513,550.87] |
[49,849,492.48] |
|
|
|
|
|
Net Profit / [Loss] |
5,637,944.48 |
[21,909,149.04] |
FINANCIAL NOTE
NOTE 1
Cash in Hand & at Bank
|
|
2006 |
2005 |
|
|
|
|
|
Cash in hand |
311,689.67 |
546,219.24 |
|
Cash at bank |
76,376,860.67 |
46,246,558.93 |
|
Tax Coupon |
308,028.25 |
- |
|
Total
|
76,996,578.59 |
46,792,778.17 |
NOTE 2
Trade Accts. Receivable
|
|
2006 |
2005 |
|
|
|
|
|
Receivable |
195,396,066.01 |
126,033,691.73 |
|
Refundable Cheque |
9,921,683.24 |
33,902,476.06 |
|
Other Receivable |
|
|
|
Other Receivable-Local |
9,177,313.88 |
1,942,589.55 |
|
Other Receivable-Foreign |
17,090,161.41 |
17,090,161.41 |
|
Other |
1,692,846.99 |
- |
|
Total
|
233,278,071.53 |
178,968,918.75 |
NOTE 3
Inventories
|
|
2006 |
2005 |
|
|
|
|
|
Raw Material |
256,091,089.18 |
276,790,678.21 |
|
Goods in Process |
92,672,485.69 |
57,152,272.89 |
|
Finished Goods |
254,100,959.96 |
209,387,337.23 |
|
Goods in Transit |
10,577,642.56 |
20,154,494.89 |
|
Spare Parts |
57,286,841.69 |
35,706,633.35 |
|
Total
|
670,729,019.08 |
599,191,416.57 |
FINANCIAL ANALYSIS
Annual Growth
& Profitability
|
Annual Growth |
2006 |
2005 |
|
Net Sales |
40.89 |
|
|
Operating Profit |
126.48 |
|
|
Net Profit |
125.73 |
|
|
Fixed Assets |
24.17 |
|
|
Total Assets |
23.82 |
|
|
Profitability |
|
|
|
Cost of Good
Sold |
90.81 |
89.67 |
|
Operating Profit Margin |
6.50 |
2.87 |
|
S & A
Expenses |
6.58 |
8.76 |
|
Interest Paid |
6.09 |
5.12 |
|
Other Revenues |
3.89 |
1.30 |
|
Net Profit Margin |
0.41 |
[2.25] |
|
Earning Per Shares |
0.08 |
[0.37] |
|
No. of Shares |
75,000,000 |
60,000,000 |
Net Sales was
increased by 40.89%,
Operating Profit was
increased by 126.48%,
Net Profit was
increased by 125.73%,
Fixed Assets was
increased by 24.17%,
Total Assets was
increased by 23.82%.
Compare each cost
with sales, Cost of
Good Sold was
increased from 89.67%
to 90.81%, Operating
Profit Margin was
increased from 2.87%
to 6.50%, S
& A Expenses
was decreased from
8.76% to 6.58%,
Interest Paid was increased
from 5.12% to
6.09%, Other Revenues
was increased from
1.30% to 3.89%,
Net Profit Margin
was increased from
-2.25% to 0.41%.
Earning Per Shares
was increased from
-0.37 baht per
share to 0.08
baht per share.
Liquidity
|
Liquidity |
2006 |
2005 |
|
Current Ratio |
1.01 |
1.05 |
|
Quick-Assets Ratio |
0.31 |
0.28 |
Current Ratio was
decreased from 1.05
to 1.01, show
Current Assets can
cover Current Liabilities, Liquidity Ratio of
the company was
good, Quick-Assets Ratio
was increased from
0.28 to 0.31,
capacity to pay
Short Term Loan
was not good,
because Current Assets
without Inventory can
not cover Current
Liabilities.
Leverage
|
Leverage |
2006 |
2005 |
|
D/E Ratio |
3.87 |
4.38 |
|
Times Interest Earned |
1.07 |
0.56 |
D/E Ratio was
decreased from 4.38
to 3.87, 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
0.56 to 1.07,
capacity to pay
interest paid was
good.
Efficiency
|
Efficiency |
2006 |
2005 |
|
Fixed Assets Turnover |
0.81 |
0.71 |
|
Total Assets Turnover |
0.49 |
0.43 |
|
Return on Assets |
0.20 |
[0.96] |
|
Return on Equity |
0.97 |
[5.17] |
|
Day's Payable |
11.70 |
12.56 |
|
Day’s Inventories |
176.04 |
221.56 |
|
Day’s Receivables |
61.23 |
66.18 |
Fixed Assets Turnover
was increased from
0.71 times to 0.81 times, Total
Assets Turnover was
increased from 0.43
times to 0.49
times, show the
company could use
Assets so efficiently, Return on Assets
was increased from
-0.96 to 0.20,
Return on Equity
was increased from
-5.17 to 0.97,
capacity to use
Assets to make
profit was good.
Day's Payable was
decreased from 13
days to 12
days, Day’s Inventories
was decreased from
222 days to
177 days, and
Day’s Receivables was
decreased from 67 days to 62
days.
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%)