MIRA
INFORM REPORT
|
Report Date : |
25.06.2008 |
IDENTIFICATION
DETAILS
|
Name : |
NAM DUNG GLOBAL NETWORK DEVELOPMENT COMPANY LIMITED |
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Registered Office : |
Hanh Lac Hamlet, Nhu Quynh Town, Van Lam Dist, Hung Yen Province |
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Country : |
Vietnam |
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Financials (as on) : |
31.12.2005 |
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Date of Incorporation : |
1996 |
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Com. Reg. No.: |
0502000073 |
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Legal Form : |
Liability Limited Company |
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Line of Business : |
Manufacturing and trading in veterinary medicine Manufacturing and trading in cattle – feed Selling and purchasing dealer, consigning goods Manufacturing and trading in medicine, chemical, equipment for aquaculture |
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 |
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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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NAM DUNG GLOBAL NETWORK DEVELOPMENT COMPANY LIMITED
|
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Vietnamese name |
|
CONG TY TNHH PHAT TRIEN MANG LUOI TOAN CAU NAM
DUNG |
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Trade Name |
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NETDE Co., LTD |
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Type of Business |
|
Liability
Limited Company |
|
Founded |
|
1996 |
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Establishment No |
|
No. 2337/GP-UP |
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Date of Issuance |
|
March 06th
1996 |
|
Business Registration |
|
No. 0502000073 |
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Date of Issuance |
|
April 18th,
2002 |
|
Place of Issuance |
|
Planning And
Investment Department of Hung Yen Province |
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Current Registered Capital |
|
VND 30,000,000,000 |
|
Former registered Capital |
|
VND 15,000,000,000 |
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Tax Code |
|
No. 0900198264 |
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Total Employees |
|
270 people |
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|
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ADDRESS
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Head Office and Factory
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Address |
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Hanh Lac Hamlet, Nhu Quynh Town, Van Lam
Dist, Hung Yen Province |
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Country |
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Vietnam |
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Tel |
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(84-321) 986709 |
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Fax |
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(84-321) 986710 |
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Email |
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Office
in Hanoi City |
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|
Address |
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No. 82C, Nguyen Duc Canh Str., Hoang Mai
Dist., Hanoi City |
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Country |
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Vietnam |
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Tel |
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(84-4) 6622022 |
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Fax |
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(84-4) 6621748 |
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Notes: This address is the registered address
of Nam Dung Company Limited. This company is considered to be the former
entity of the subject. Now, it is only representative office of the subject
in Hanoi city |
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Branch
in Ho Chi Minh City |
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|
Address |
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No. B164, Nguyen Van Qua, Dong Hung Thuan
Ward, Dist. 12, Hochiminh city, Vietnam |
|
Director |
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Mr. NGUYEN VAN HET |
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Branch
in Quang Ngai Province |
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|
Address |
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Nghia Chanh Ward, Quang Ngai Province |
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DIRECTORS
|
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1.
NAME |
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Mrs.
DOAN THI KIM DUNG |
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Position |
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Chairman |
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ID number |
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No. 011728484 |
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Issued on |
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December 19th 1996 |
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Issued by |
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Hanoi policy station |
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Qualification |
|
Doctor of Agriculture |
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Inauguration day |
|
2002 |
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Resident |
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No 23, group 19, Tuong Mai ward, Hai Ba
Trung dist, Hanoi City |
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Nationality |
|
Vietnamese |
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2.
NAME |
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Mr.
VU TIEN DAT |
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Position |
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Director |
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Promoted Date |
|
September, 2005 |
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Resident |
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Hanoi City, Vietnam |
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Nationality |
|
Vietnamese |
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3.
NAME |
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Mr.
NGUYEN VIET TRUNG |
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Position |
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Deputy Director |
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Resident |
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Hanoi City, Vietnam |
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Nationality |
|
Vietnamese |
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4.
NAME |
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Mrs.
TRAN THI TUOI |
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Position |
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Deputy Director |
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Resident |
|
Hanoi City, Vietnam |
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Nationality |
|
Vietnamese |
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BUSINESS NATURE AND ACTIVITIES
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The
subject focuses on the following lines of business:
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IMPORT & EXPORT ACTIVITIES
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IMPORT: The subject imports
from Italy, Brazil, India, Thailand, Singapore, China, Etc. |
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EXPORT: N/A |
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BANKERS
|
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1.
SACOMBANK |
||
|
Address |
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No. 13, Road no. 39A, My Hao Dist., Hung
Yen Province. |
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Country |
|
Vietnam |
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Tel |
|
(84-321) 942905 |
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Fax |
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(84-321) 942387 |
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2.
BANK FOR INVESTMENT & DEVELOPMENT OF VIETNAM – BIDV HUNG YEN |
||
|
Address |
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No. 240, Nguyen Van Linh str, Hung Yen
Province |
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Country |
|
Vietnam |
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Tel |
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(84-321) 551117 |
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Fax |
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(84-321) 863804 |
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SHAREHOLDERS
|
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1.Name |
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Mrs.
DOAN THI KIM DUNG |
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Nationality |
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Vietnamese |
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Resident |
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Hanoi City, Vietnam |
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Share |
|
51% |
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Value |
|
VND 15,300,000,000 |
|
|
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|
2.
Name |
|
Mr.
VU TIEN DAT |
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Nationality |
|
Vietnamese |
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Resident |
|
Hanoi City, Vietnam |
|
Share |
|
49% |
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Value |
|
VND 14,700,000,000 |
|
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FINANCIAL DATA
|
|
|
|
BALANCE
SHEET |
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Unit: million VVND
|
|
|
Balance sheet
date |
31/12/2006 |
|
Number of weeks |
52 |
ASSETS
|
|
|
A – CURRENT ASSETS
|
54,540 |
|
I. Cash and cash equivalents |
3,970 |
|
1.Cash |
3,970 |
|
2.Cash equivalents |
0 |
|
II. Short-term investments |
0 |
|
1. Short-term investments |
0 |
|
2. Provisions for devaluation of short-term investments |
0 |
|
III. Accounts receivable |
17,138 |
|
1. Receivable from customers |
14,377 |
|
2. Prepayments to suppliers |
0 |
|
3. Inter-company receivable |
0 |
|
4. Receivable according to the progress of construction |
0 |
|
5. Other receivable |
2,761 |
|
6. Provisions for bad debts |
0 |
|
IV. Inventories |
27,131 |
|
1. Inventories |
27,131 |
|
2. Provisions for devaluation of inventories |
0 |
|
V. Other Current Assets |
6,301 |
|
1. Short-term prepaid expenses |
4,964 |
|
2. VAT to be deducted |
0 |
|
3. Taxes and other accounts receivable from the State |
0 |
|
4. Other current assets |
1,337 |
|
B. LONG-TERM ASSETS |
21,895 |
|
I. Long term account receivable |
0 |
|
1. Long term account receivable from customers |
0 |
|
2. Working capital in affiliates |
0 |
|
3. Long-term inter-company receivable |
0 |
|
4. Other long-term receivable |
0 |
|
5. Provisions for bad debts from customers |
0 |
|
II. Fixed assets |
21,895 |
|
1. Tangible assets |
20,986 |
|
Historical costs |
41,785 |
|
Accumulated depreciation |
-20,799 |
|
2. Financial leasehold assets |
0 |
|
Historical costs |
0 |
|
Accumulated depreciation |
0 |
|
3. Intangible assets |
349 |
|
Initial costs |
349 |
|
Accumulated amortization |
0 |
|
4. Construction-in-progress |
560 |
|
III. Investment property |
0 |
|
Historical costs |
0 |
|
Accumulated depreciation |
0 |
|
IV. Long-term investments |
0 |
|
1. Investments in affiliates |
0 |
|
2. Investments in business concerns and joint ventures |
0 |
|
3. Other long-term investments |
0 |
|
4. Provisions for devaluation of long-term investments |
0 |
|
VI. Other long-term assets |
0 |
|
1. Long-term prepaid expenses |
0 |
|
2. Deferred income tax assets |
0 |
|
3. Other long-term assets |
0 |
|
TOTAL ASSETS |
76,435 |
|
LIABILITIES |
|
|
A- LIABILITIES |
41,029 |
|
I. Current liabilities |
39,729 |
|
1. Short-term debts and loans |
23,292 |
|
2. Payable to suppliers |
15,910 |
|
3. Advances from customers |
136 |
|
4. Taxes and other obligations to the State Budget |
-591 |
|
5. Payable to employees |
649 |
|
6. Accrued expenses |
333 |
|
7. Inter-company payable |
0 |
|
8. Payable according to the progress of construction contracts |
0 |
|
9. Other payable |
0 |
|
10. Provisions for short-term accounts payable |
0 |
|
II. Long-Term Liabilities |
1,300 |
|
1. Long-term accounts payable to suppliers |
0 |
|
2. Long-term inter-company payable |
0 |
|
3. Other long-term payable |
0 |
|
4. Long-term debts and loans |
1,300 |
|
5. Deferred income tax payable |
0 |
|
6. Provisions for unemployment allowances |
0 |
|
7. Provisions for long-term accounts payable |
0 |
|
B- OWNER'S EQUITY |
35,406 |
|
I. Owner's equity |
35,406 |
|
1. Capital |
22,367 |
|
2. Share premiums |
0 |
|
3. Other sources of capital |
0 |
|
4. Treasury stocks |
0 |
|
5. Differences on asset revaluation |
0 |
|
6. Foreign exchange differences |
0 |
|
7. Business promotion fund |
0 |
|
8. Financial reserved fund |
0 |
|
9. Other funds |
0 |
|
10.Retained earnings |
13,039 |
|
11. Construction investment fund |
0 |
|
II. Other sources and funds |
0 |
|
1. Bonus and welfare funds |
0 |
|
2. Sources of expenditure |
0 |
|
3. Fund to form fixed assets |
0 |
|
TOTAL LIABILITIES AND OWNER'S EQUITY |
76,435 |
|
|
|
|
PROFIT
& LOSE STATEMENT |
|
|
|
|
|
Description |
FY 2006 |
|
Revenue |
221,870 |
|
Deductions Items |
2,326 |
|
Net Revenue |
219,544 |
|
Costs of goods sold |
166,854 |
|
Gross profit |
52,690 |
|
Financial income |
170 |
|
Financial expenses |
2,698 |
|
In which: Loan interest expenses |
0 |
|
Selling expenses |
24,150 |
|
Administrative overheads |
19,759 |
|
Net operating profit |
6,253 |
|
Other income |
432 |
|
Other expenses |
193 |
|
Other profit /(loss) |
239 |
|
Total accounting profit before tax |
6,492 |
|
Current corporate income tax |
0 |
|
Profit after tax |
6,492 |
|
|
|
FINANCIAL FACTORS
|
|
|||||||
|
Description |
2006 |
||||||
|
Current liquidity ratio |
1.37 |
||||||
|
Quick Liquidity ratio |
0.69 |
||||||
|
Inventory circle |
6.15 |
||||||
|
Average receive period |
28.49 |
||||||
|
Utilizing Asset Performance |
2.87 |
||||||
|
Liability/ Total Asset (%) |
53.68 |
||||||
|
Liability/ Owner's equity (%) |
115.88 |
||||||
|
Income before tax/ Total asset (%) ROA |
8.49 |
||||||
|
Income before tax/ Owner's equity (%) ROE |
18.34 |
||||||
|
Income before tax/ Total revenue (%) NPM |
2.93 |
||||||
|
Gross Profit / Total revenue (%) GPM |
23.75 |
||||||
|
|
|||||||
Unit: Million VND
|
|||||||
|
Balance sheet
date |
31/12/2005 |
31/12/2004 |
31/12/2003 |
||||
|
Number of weeks |
52 |
52 |
52 |
||||
|
ASSETS |
|||||||
|
A.
Working assets & short-term Investment |
50,952 |
40,892 |
39,148 |
||||
I. Cash and cash equivalents
|
821 |
7,296 |
6,843 |
||||
|
II.
Short-term investment |
0 |
0 |
0 |
||||
|
1. Short-term securities
investment |
0 |
0 |
0 |
||||
|
2. Other short-term investment |
0 |
0 |
0 |
||||
|
3. Provision for short-term
investment |
0 |
0 |
0 |
||||
|
III.
Receivables |
11,415 |
12,353 |
10,695 |
||||
|
1. Receivables from customers |
2,092 |
4,610 |
4,503 |
||||
|
2. Prepayment for providers |
3,067 |
850 |
437 |
||||
|
3. Value-added tax deducted |
62 |
0 |
0 |
||||
|
4. Internal receivables |
0 |
0 |
0 |
||||
|
5. Other receivables |
6,194 |
6,893 |
5,755 |
||||
|
6. Provision for bad
receivables |
0 |
0 |
0 |
||||
|
IV. Inventory |
38,379 |
19,091 |
18,396 |
||||
|
1.
Purchased goods in transit |
0 |
0 |
0 |
||||
|
2. Raw materials |
28,408 |
15,042 |
13,778 |
||||
|
3. Instrument, tools |
109 |
2,254 |
2,506 |
||||
|
4. Cost of production and
business in process |
0 |
143 |
286 |
||||
|
5. Finished products |
9,136 |
1,447 |
1,624 |
||||
|
6. Goods |
726 |
205 |
202 |
||||
|
7. Goods on consignment |
0 |
0 |
0 |
||||
|
8. Provision for devaluation
of stocks |
0 |
0 |
0 |
||||
|
V. Other current assets |
337 |
2,152 |
3,214 |
||||
|
1. Advances |
15 |
1,209 |
1,565 |
||||
|
2. Prepaid expenses |
200 |
923 |
990 |
||||
|
3. Pending expenses for
transfer |
0 |
0 |
0 |
||||
|
4. Pending assets |
0 |
0 |
0 |
||||
|
5. Mortgage, collateral and
short run collateral |
122 |
20 |
659 |
||||
VI.
Administrative
|
0 |
0 |
0 |
||||
1. Administrative expenses
for previous year
|
0 |
0 |
0 |
||||
2. Administrative expenses for
current year
|
0 |
0 |
0 |
||||
|
B. Fixed assets
& Long term investment |
20,080 |
23,990 |
29,357 |
||||
|
I.
Fixed assets |
20,080 |
23,430 |
22,039 |
||||
|
1. Tangible fixed assets |
19,323 |
23,081 |
21,690 |
||||
|
+ Original cost |
27,259 |
33,207 |
26,386 |
||||
|
+ Accumulated depreciation
value |
-7,936 |
-10,126 |
-4,696 |
||||
|
2. Financial leasing fixed
assets |
0 |
0 |
0 |
||||
|
+ Original cost |
0 |
0 |
0 |
||||
|
+ Accumulated depreciation
value |
0 |
0 |
0 |
||||
|
3. Intangible fixed assets |
757 |
349 |
349 |
||||
|
+ Original cost |
901 |
349 |
349 |
||||
|
+ Accumulated depreciation
value |
-144 |
0 |
0 |
||||
|
II. Long term
investment |
0 |
0 |
0 |
||||
|
1. Long-term securities investment |
0 |
0 |
0 |
||||
|
2. Joint-venture capital contribution |
0 |
0 |
0 |
||||
|
3. Other long-term investment |
0 |
0 |
0 |
||||
|
4. Provision for long-term investment devaluation |
0 |
0 |
0 |
||||
|
III. Capital
construction in process |
0 |
560 |
7,318 |
||||
|
IV. Other |
0 |
0 |
0 |
||||
|
TOTAL ASSETS |
71,032 |
64,882 |
68,505 |
||||
|
LIABILITIES |
|||||||
|
A.
Payable loans |
58,039 |
38,417 |
42,219 |
||||
|
I. Short term
payables |
37,609 |
36,510 |
37,987 |
||||
|
1. Short-term borrowings |
21,767 |
19,470 |
16,255 |
||||
|
2. Due long-term liabilities |
0 |
0 |
0 |
||||
|
3. Payables to supplier |
15,197 |
16,461 |
20,050 |
||||
|
4. Prepayment of buyer |
118 |
190 |
95 |
||||
|
5. Taxes and accounts dutiable |
0 |
175 |
23 |
||||
|
6. Employee payments |
527 |
214 |
1,564 |
||||
|
7. Internal payables |
0 |
0 |
0 |
||||
|
8. Other payables |
0 |
0 |
0 |
||||
|
II. Long term loans |
18,390 |
1,416 |
3,232 |
||||
|
1. Long-term borrowings |
18,390 |
0 |
0 |
||||
|
2. Long-term payables |
0 |
1,416 |
3,232 |
||||
|
III. Other
payables |
2,040 |
491 |
1,000 |
||||
|
1. Payable expenses |
2,040 |
328 |
965 |
||||
|
2. Pending assets |
0 |
0 |
0 |
||||
|
3. Receipts long-term collateral and deposit |
0 |
163 |
35 |
||||
|
B. Owner’s
Equity |
12,993 |
26,465 |
26,286 |
||||
|
I. Capital and Funds |
13,115 |
26,465 |
26,286 |
||||
|
1. Working capital |
15,000 |
22,367 |
22,367 |
||||
|
2. Differences from asset revaluation |
0 |
0 |
0 |
||||
|
3. Exchange rate differences |
0 |
0 |
165 |
||||
|
4. Development investment funds |
0 |
0 |
0 |
||||
|
5. Reserved funds |
0 |
0 |
0 |
||||
|
6. Retained profit |
-1,885 |
4,098 |
3,754 |
||||
|
7. Construction capital sources |
0 |
0 |
0 |
||||
|
II. Other administrative and fund sources |
-122 |
0 |
0 |
||||
|
1. Provident funds for unemployment |
0 |
0 |
0 |
||||
|
2. Reward and welfare funds |
-122 |
0 |
0 |
||||
|
3. Management funds of higher level |
0 |
0 |
0 |
||||
|
4. Functional operation funds |
0 |
0 |
0 |
||||
|
5. Fund sources formed by fixed assets |
0 |
0 |
0 |
||||
|
TOTAL LIABILITY
AND EQUITY |
71,032 |
64,882 |
68,505 |
||||
|
|
|||||||
|
PROFIT
& LOSE ACCOUNT (INCOME STATEMENT) |
|||||||
|
|
|||||||
Description
|
FY 2005 |
FY 2004 |
|||||
Total revenue
|
116,914 |
168,342 |
|||||
|
Deductions Items |
0 |
3,326 |
|||||
|
- Discount |
0 |
0 |
|||||
|
- Devaluation |
0 |
55 |
|||||
|
- Return of sold goods |
0 |
3,271 |
|||||
|
- Turnover tax, Luxury tax & Export tax |
0 |
0 |
|||||
|
1. Net revenue |
116,914 |
165,016 |
|||||
|
2. Cost of goods sold |
105,599 |
134,248 |
|||||
|
3. Gross Profit |
11,315 |
30,768 |
|||||
|
4. Sales expenses |
5,053 |
19,475 |
|||||
|
5. Enterprise administrative expenses |
2,870 |
9,142 |
|||||
|
6. Net income from business activities |
3,392 |
2,151 |
|||||
|
Income from financial activities |
41 |
147 |
|||||
|
Expenditure from financial activities |
3,843 |
2,079 |
|||||
|
7. Net income
from financial operation |
-3,802 |
-1,932 |
|||||
|
Irregular income |
419 |
963 |
|||||
|
Irregular expenditure |
413 |
837 |
|||||
|
8. Irregular
Profit |
6 |
126 |
|||||
|
9. Total pre-tax profit |
-404 |
345 |
|||||
|
10. Income tax |
0 |
0 |
|||||
|
11. After tax
profit |
-404 |
345 |
|||||
|
|
|||||||
|
FINANCIAL FACTORS |
|||||||
|
|
|||||||
Description
|
FY 2005 |
FY 2004 |
FY 2003 |
||||
|
Current Liquidity Ratio |
1.35 |
1.12 |
1.03 |
||||
|
Quick Liquidity Ratio |
0.33 |
0.60 |
0.55 |
||||
|
Inventory Circle |
3.67 |
7.16 |
0.00 |
||||
|
Average Receive Period |
35.64 |
27.32 |
N/A |
||||
|
Utilizing Asset Performance |
1.65 |
2.54 |
0.00 |
||||
|
Liability / Total Asset (%) |
81.71 |
59.21 |
61.63 |
||||
|
Liability / Owner's Equity (%) |
446.69 |
145.16 |
160.61 |
||||
|
Income Before Tax / Total Asset (%) ROA |
-0.57 |
0.53 |
0.00 |
||||
|
Income Before Tax / Owner's Equity (%) ROE |
-3.11 |
1.30 |
0.00 |
||||
|
Income Before Tax / Total Revenue (%) NPM |
-0.35 |
0.20 |
N/A |
||||
|
Gross Profit / Total Revenue (%) GPM |
9.68 |
18.28 |
N/A |
||||
|
|
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PAYMENT HISTORY AND EXPERIENCES
|
|||||||
|
|
|||||||
|
Trade Morality |
|
Normal |
|||||
|
Liquidity |
|
Average |
|||||
|
Previous Payments |
|
Average |
|||||
|
Payment status |
|
Average |
|||||
|
Past Financial Situation |
|
Normal |
|||||
|
Current Financial Situation |
|
Fairly |
|||||
|
Litigation Data |
|
No recorded |
|||||
|
Bankruptcy |
|
No recorded |
|||||
|
Public opinion |
|
Fairly good |
|||||
|
Payment Method |
|
The subject usually uses L/C in
international payments. |
|||||
|
|
|
|
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|
|
|
|
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INTERPRETATION ON THE SCORES
|
|
|
The subject’s former precursor
Nam Dung Co., ltd was founded in 1996 in Hanoi city as a small scale company,
specialized in manufacturing, processing feed and medicine for animal. In
2002, the management board set up new company in Hung Yen province with name
as Nam dung Global Network Development co., ltd (NETDE). The business scale
has been considerably enlarged compared with that before. The subject still
focuses on manufacturing & distributing feed and medicine for animal.
Besides, it also trades in some products for aquaculture, such as: medicine,
biological products, foot – stuff… Now, it has a big factory and office area
located at Nhu Quynh industrial zone, Van Lam dist, Hung Yen province.
Netde‘s premises and facilities are built in area of 40,000 sq meters. The subject’s products has
brand as: TD. BUTOSAL, TD. COLI – AMO XY, TD. BUTOMEC, TD COLI AMOXY, THIEN
THANH. All products quality of NETDE met GMP-ASIA standard. The products are
distributed in domestic market, through out agency network in many provinces.
Now, the old office in No 82C, Nguyen Duc Canh, Hanoi city is seemed being
representative of NETDE in Hanoi city. The subject has branches in Hochiminh
city & Quang Ngai province. In general, Its operation is
fairly busy. Although, the subject is considered being a company on medium
scale in this field. Financial status is considered above average. Annually.
In 2005, business operation of the subject was not result. This is common
status of many companies, because the price of imported material is increased
about 20- 30% than before. Additionally the cattle flu is speared out in all
country. However, total revenue and profit is fairly good in 2006. At
present, products of the subject is confidenced in Vietnam market. The subject is evaluated
fairly ensuared in import & export payment. However, caution needed with
big transactions, due to its liquidity of asset is low, total liability is
fairly high. |
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%)