MIRA
INFORM REPORT
|
Report Date : |
16.05.2008 |
IDENTIFICATION
DETAILS
|
Name : |
SUN
WOOD INDUSTRIES PUBLIC
COMPANY LIMITED |
|
|
|
|
Formerly Known As : |
SUN WOOD FURNITURE CO.,
LTD. |
|
|
|
|
Registered Office : |
32/2 Moo 5,
Bangsai-Chiangraknoi Road,
Rachakram, Bangsai, Ayutthaya
13290 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
30.09.2007 |
|
|
|
|
Date of Incorporation : |
15.01. 1980 |
|
|
|
|
Com. Reg. No.: |
0105523000751 |
|
|
|
|
Legal Form : |
Public Limited Company |
|
|
|
|
Line of Business : |
Manufacturer, Distributor and
Exporter of Furniture and Wooden
Building Material |
RATING &
COMMENTS
|
MIRA’s Rating : |
B |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit
consideration. Capability to overcome financial difficulties seems
comparatively below average. |
Small |
|
Status : |
Moderate |
|
|
|
|
Payment Behaviour : |
No Complaints |
|
|
|
|
Litigation : |
Clear |
name of the company
SUN
WOOD INDUSTRIES PUBLIC
COMPANY LIMITED
SUMMARY
BUSINESS
ADDRESS : 32/2
MOO 5, BANGSAI-CHIANGRAKNOI
ROAD,
RACHAKRAM, BANGSAI,
AYUTTHAYA 13290
TELEPHONE : [66] 35
366-144-5
FAX : [66] 35
366-147
REGISTRATION ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1980
REGISTRATION NO. : 0105523000751
[Former : 76/2523]
CAPITAL REGISTERED : BHT. 150,000,000
CAPITAL PAID-UP : BHT. 101,336,500
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PUBLIC LIMITED COMPANY
EXECUTIVE : MR. THAVEESAK VAYAKORNVICHIT, THAI
PRESIDENT
NO.
OF STAFF : 300
LINES
OF BUSINESS : FURNITURES AND WOODEN BUILDING
MATERIAL
MANUFACTURER, DISTRIBUTOR
AND EXPORTER
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 January 15,
1980 originally as a private
limited company under
the registered name
“Sun Wood Furniture Co.,
Ltd.” by Thai
group, with the
business objective to
manufacture knockdown teakwood
furniture for export.
On February 25,
1991, subject has
changed its name
to “Sun Wood Industries
Co., Ltd.”
On
May 15, 1991,
subject has listed
on the Stock Exchange of
Thailand [SET], then has
changed the status
to be public company, namely
SUN WOOD INDUSTRIES
PUBLIC COMPANY. The
subject’s current business
is to manufacture and market
various kinds of
wooden furniture and
wooden building materials
to both domestic
and international markets.
It currently employs
approximately 300 staff.
The
subject’s registered address
is at 32/2 Moo 5,
Bangsai-Chiangraknoi Rd., Rachakram,
Bangsai, Ayutthaya 13290,
and this is
the subject’s current
operation address.
THE BOARD OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Santi Vayakornvichit |
: Chairman [x] |
Thai |
71 |
|
Mr. Thaveesak Vayakornvichit |
|
Thai |
48 |
|
Pol. Lt. Gen. Niyom
Kanchanawat |
|
Thai |
73 |
|
Mrs. Jenjira Laopaikul |
|
Thai |
60 |
|
Mr. Suraphan Suphanpong |
|
Thai |
42 |
|
Mr. Sawas Rathpitaksanti |
|
Thai |
68 |
|
Mrs. Pisamai Bunyakiat |
|
Thai |
63 |
AUTHORIZED PERSON
Only the mentioned
director [x] can
sign on behalf
of the subject with company’s
affixed.
MANAGEMENT
Mr. Thaveesak Vayakornvichit is the President.
He is Thai nationality with
the age of
48 years old.
Mrs.
Sasithorn Aowrungruang is
the Financial Director.
She is Thai nationality.
Mrs. Voranuch Phiew-on
is the Accounting Manager.
She is Thai nationality.
Mr. Boonroeng Limwattanakusol is
the Factory Manager.
He is Thai nationality.
Ms. Anchalee Chaijirarak is
the Purchasing Manager.
She is Thai nationality.
Mrs. Supranee Sripavatkul is
the Overseas Marketing
Manager.
She is Thai nationality.
Mr. Chakkrit Jitrua
is the Personnel & Administration
Manager.
He is Thai nationality.
Ms. Saovanee Bunthikul
is the Information
Technology Manager.
She is Thai nationality.
BUSINESS OPERATIONS
The subject is
engaged in manufacturing and marketing wide
range of wooden
furniture products, including
outdoor & garden
furniture, home &
office furniture, as
well as wood
building material and
components, under its
own brand names
“Sun’ Gardenside” and “Lister”.
PURCHASE
Raw material
mainly teakwood, oak
wood and rubber
wood, as well
as accessories are
purchased from both
domestic and overseas
suppliers mainly in
Japan, Republic of
China, Korea, India,
Singapore and Malaysia.
SALES
80% of the products is
exported to many
countries in Europe,
as well as
U.S.A., Japan and
Hong Kong through
Lister Lutyens Co.,
Ltd. [U.K.], Lister 1883
LLC., [U.S.A.[ and Gardenside
International Inc. [U.S.A.], and
the remaining 20%
is sold locally.
SUBSIDIARY AND
AFFILIATED COMPANY
Sun Cabinet
Co., Ltd.
Business Type: Manufacturer of indoor wooden
furniture products.
Investment : 100%
Longsan Veneer
Co., Ltd.
Business Type: Manufacturer of veneer products.
Investment :
100%
SWI International Holdings
Co., Ltd. [Hong
Kong]
Business Type: Holding
and investing company.
Investment :
100%
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
The Siam Commercial
Bank Public Co.,
Ltd.
Bangkok Bank Public
Co., Ltd.
Kasikornbank Public Co.,
Ltd.
EMPLOYMENT
The
subject employs approximately 300 staff.
LOCATION DETAILS
The
premise is owned
for administrative office
and factory I
at the heading address. Premise
is located in
provincial area.
Factory
II is located at 75
Moo 2, Udomsorayuth Rd., T. Klongjik, A. Bangpa-in,
Ayutthaya 13150.
Showroom
is located at
178/7 Ratchadapisek Rd.,
Ladyao, Jatujak, Bangkok
10900.
Tel
: [66] 2511-4355, Fax.
[66] 2933-4477.
COMMENT
The
subject’s operating performance
was unsatisfactory as
it obtained net
loss and retained earning deficits for many
consecutive years. Any
credit should be
treated on a
secured basis only.
FINANCIAL INFORMATION
The
capital was registered
at Bht. 6,000,000
divided into 60,000
shares of Bht. 100 each.
The
capital was increased
later as following:
Bht. 100,000,000 on May 15,
1991
Bht. 150,000,000 on September 30,
2004
The
latest registered capital
was increased to
Bht. 150 million, divided
into 15 million
shares of Bht.
10 each.
MAIN SHAREHOLDERS
[as
at April 12,
2008] at Bht.
101,336,500 of capitalization.
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mrs.
Tassanee Vayakornvichit Nationality: Thai Address : - |
1,912,700 |
18.87 |
|
Mr. Santi Vayakornvichit Nationality: Thai Address : - |
1,814,100 |
17.90 |
|
Huinan Co.,
Ltd. Nationality: Thai Address : - |
700,000 |
6.91 |
|
Ms. Suvimol Ratanahiranporn Nationality: Thai Address : - |
534,000 |
5.27 |
|
Mr. Poonsak Vayakornvichit Nationality: Thai Address : - |
510,000 |
5.03 |
|
Mr.
Thaveesak Vayakornvichit Nationality: Thai Address : - |
500,000 |
4.93 |
|
Mr.
Peerasak Vayakornvichit Nationality: Thai Address : - |
403,000 |
3.98 |
|
Mr. Sophon Kitisook Nationality: Thai Address :
- |
390,200 |
3.85 |
|
Thai NVDR
Co., Ltd. Nationality: Thai Address : - |
254,100 |
2.51 |
|
Others |
3,115,550 |
30.75 |
Total Shareholders : 427
NAME OF AUDITOR &
CERTIFIED PUBLIC ACCOUNTANT
NO.
Ms. Thipawal Nananuwat No.
3459
BALANCE SHEET [BAHT]
The
latest financial figures
published for December
2006 & 2005 were:
ASSETS
|
Current Assets |
2006 |
2005 |
|
|
|
|
|
Cash and cash
equivalents |
470,623 |
499,765 |
|
Trade accounts receivable |
|
|
|
General |
14,424,403 |
8,669,031 |
|
Related parties |
203,149,075 |
213,721,525 |
|
Others receivable-related parties, net |
68,102,487 |
99,186,240 |
|
Inventories |
302,602,781 |
338,558,428 |
|
Other current assets
|
|
|
|
Value added
tax receivable |
3,305,994 |
1,164,637 |
|
Advances for
purchasing inventories |
356,699 |
8,833,777 |
|
Withholding tax |
2,127,802 |
1,735,977 |
|
Prepaid expenses |
6,119,530 |
2,892,883 |
|
Others |
263,643 |
220,321 |
|
Total other current
assets |
12,173,668 |
14,847,595 |
|
Total Current
Assets |
600,923,037 |
675,482,584 |
|
NON-CURRENT ASSETS |
|
|
|
Investment in
subsidiaries |
81,895,521 |
136,938,834 |
|
Restricted bank
deposits |
- |
3,587,680 |
|
Long-term loans
to and interest
receivables From related
parties |
43,062,121 |
47,717,890 |
|
Fixed Assets |
89,765,279 |
98,356,861 |
|
Other non-current assets |
745,872 |
412,638 |
|
Total Assets |
816,391,830 |
962,496,487 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current Liabilities |
2006 |
2005 |
|
|
|
|
|
Bank Overdraft and
short term loans
from financial institutions |
390,349,654 |
412,762,074 |
|
Trade accounts payable |
|
|
|
General |
25,875,910 |
18,055,254 |
|
Related parties |
3,395,604 |
18,348,327 |
|
Others payable-related parties |
5,890,534 |
4,868,827 |
|
Current portion of hire
purchase payables |
614,400 |
1,304,514 |
|
Current portion of long-term
loan |
24,300,000 |
- |
|
Short-term loans from
related party |
248,408,974 |
224,800,000 |
|
Other Current Liabilities |
|
|
|
Advances received
for inventories |
4,639,396 |
1,706,857 |
|
Accrued expenses |
9,895,619 |
13,855,336 |
|
Others |
2,991,326 |
824,045 |
|
Total other current liabilities |
17,526,341 |
16,386,238 |
|
Total Current
Liabilities |
716,361,417 |
696,525,234 |
|
Hire-purchase
payables-net of current
portion |
1,177,600 |
- |
|
Long term loan
from financial institution-net of current portion |
16,800,000 |
- |
|
Total Liabilities |
734,339,017 |
696,525,234 |
|
|
|
|
|
Shareholders'
Equity |
|
|
|
Share capital |
|
|
|
Registered 15,000,000 ordinary shares
of Baht 10 each
|
150,000,000 |
150,000,000 |
|
Issued and
full paid 10,133,550 ordinary
shares of Baht 10 each |
101,335,500 |
101,335,500 |
|
Share premium |
62,136,800 |
62,136,800 |
|
Company’s shares held
by a subsidiary |
[10,000,000] |
[10,000,000] |
|
Translation adjustments |
8,357,106 |
5,584,633 |
|
Retained Earning |
|
|
|
Appropriated-statutory reserve |
15,000,000 |
15,000,000 |
|
Deficit |
[94,776,593] |
91,914,320 |
|
Total
Shareholders' Equity |
82,052,813 |
265,971,253 |
|
Total
Liabilities & Shareholders' Equity |
816,391,830 |
962,496,487 |
PROFIT & LOSS ACCOUNT
|
Revenue |
2006 |
2005 |
|
|
|
|
|
Revenue from sales |
321,246,998 |
405,158,010 |
|
Other Income |
|
|
|
Interest income |
2,517,491 |
3,006,305 |
|
Other income |
28,763,668 |
42,033,192 |
|
Total Revenues
|
325,528,157 |
450,197,507 |
|
Expenses |
|
|
|
|
|
|
|
Cost of sales
|
305,846,091 |
358,918,555 |
|
Selling and administrative expenses |
113,752,767 |
108,638,281 |
|
Exchange losses |
17,367,340 |
249,568 |
|
Short of loss
from investment |
57,815,786 |
3,115,304 |
|
Total Expenses |
494,781,984 |
470,921,708 |
|
Profit / [Loss] Before Interest
Expenses and Corporate Income
Tax |
[142,253,827] |
[20,724,201] |
|
Interest Expenses |
[44,437,086] |
[26,974,569] |
|
Income Tax |
- |
- |
|
Net Profit / [Loss] |
[186,690,913] |
[47,698,770] |
BALANCE SHEET [BAHT]
The
latest financial figures
published for September
30, 2007 was :
ASSETS
[Thousand Baht]
|
Current Assets |
Sept.
30, 2007 |
|
|
|
|
Cash and cash
equivalents |
435 |
|
Trade accounts receivable |
|
|
Related parties |
108,860 |
|
Unrelated parties |
5,164 |
|
Total trade accounts
receivable-net |
114,024 |
|
Others receivable-related parties, net |
73,365 |
|
Inventories |
251,264 |
|
Other current assets
|
|
|
Value added
tax receivable |
342 |
|
Advances for
purchasing inventories |
1,147 |
|
Withholding tax |
1,818 |
|
Prepaid expenses |
2,671 |
|
Others |
176 |
|
Total other current
assets |
6,154 |
|
Total Current
Assets |
445,242 |
|
NON-CURRENT ASSETS |
|
|
Investment in
subsidiaries |
118,699 |
|
Restricted bank
deposits |
6,500 |
|
Long-term loans
to and interest
receivables From related
parties |
40,838 |
|
Fixed Assets |
74,239 |
|
Other non-current assets |
1,013 |
|
Total Assets |
686,531 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
[Thousand Baht]
|
Current Liabilities |
Sept.
30, 2007 |
|
|
|
|
Bank Overdraft and
short term loans
from financial institutions |
378,315 |
|
Trade accounts payable |
|
|
Related parties |
9,326 |
|
Unrelated parties |
7,385 |
|
Total trade accounts payable |
16,711 |
|
Others payable-related parties |
29,977 |
|
Current portion of hire
purchase payables |
716 |
|
Current portion of long-term
loan |
25,100 |
|
Short-term loans from
related party |
249,326 |
|
Other Current Liabilities |
|
|
Advances received
for inventories |
3,385 |
|
Accrued expenses |
8,391 |
|
Others |
607 |
|
Total Current
Liabilities |
712,528 |
|
Hire-purchase
payables-net of current
portion |
526 |
|
Long term loan
from financial institution-net of current portion |
- |
|
Total Liabilities |
713,054 |
|
|
|
|
Shareholders'
Equity |
|
|
Share capital |
|
|
Registered 15,000,000 ordinary
shares of Baht 10
each |
150,000 |
|
Issued and
full paid 10,133,550 ordinary
shares of Baht 10 each |
101,336 |
|
Share premium |
62,137 |
|
Retained Earning |
|
|
Appropriated-statutory reserve |
15,000 |
|
Deficit |
[204,996] |
|
Total
Shareholders' Equity |
[26,523] |
|
Total
Liabilities & Shareholders' Equity |
686,531 |
PROFIT & LOSS ACCOUNT
[Thousand Baht]
|
Revenue |
Sept.
30, 2007 |
|
|
|
|
Revenue from sales |
263,543 |
|
Other Income |
|
|
Dividend income |
20,000 |
|
Gain on
sales of property and equipment |
7,126 |
|
Interest income |
536 |
|
Other income |
6,178 |
|
Total Revenues
|
297,383 |
|
Expenses |
|
|
|
|
|
Cost of sales
|
254,652 |
|
Selling and administrative expenses |
47,148 |
|
Other expenses |
|
|
Doubtful accounts
|
50,745 |
|
Exchange losses |
9,027 |
|
Loss on write-off amounts from subsidiary |
10,172 |
|
Total Expenses |
371,744 |
|
Profit / [Loss] Before Interest
Expenses and Corporate Income
Tax |
[74,361] |
|
Interest Expenses |
[35,859] |
|
Income Tax |
- |
|
Net Profit / [Loss] |
[110,220] |
FINANCIAL ANALYSIS
Annual Growth
& Profitability
|
Annual Growth |
2006 |
2005 |
|
Net Sales |
[20.71] |
|
|
Operating Profit |
583.45 |
|
|
Net Profit |
[291.40] |
|
|
Fixed Assets |
[8.74] |
|
|
Total Assets |
[15.18] |
|
|
Profitability |
|
|
|
Cost of Good
Sold |
95.21 |
88.59 |
|
Operating Profit Margin |
[29.28] |
[4.28] |
|
S & A
Expenses |
35.41 |
26.81 |
|
Interest Paid |
13.83 |
6.66 |
|
Other Revenues |
1.33 |
11.12 |
|
Net Profit Margin |
[58.11] |
[11.77] |
|
Earning Per Shares |
[18.42] |
[4.71] |
|
No. of Shares |
10,133,550 |
10,133,550 |
Net Sales was
decreased by 20.71%,
Operating Profit was
increased by 583.45%,
Net Profit was
decreased by 291.40%,
Fixed Assets was
decreased by 8.74%,
Total Assets was
decreased by 15.18%.
Compare each cost
with sales, Cost of
Good Sold was
increased from 88.59%
to 95.21%, Operating
Profit Margin was
decreased from -4.28%
to -29.28%, S
& A Expenses
was increased from
26.81% to 35.41%,
Interest Paid was increased
from 6.66% to
13.83%, Other Revenues
was decreased from
11.12% to 1.33%,
Net Profit Margin
was decreased from
-11.77% to -58.11%.
Earning Per Shares
was decreased from
-4.71 baht per
share to -18.42
baht per share.
Liquidity
|
Liquidity |
2006 |
2005 |
|
Current Ratio |
0.84 |
0.97 |
|
Quick-Assets Ratio |
0.40 |
0.46 |
Current Ratio was
decreased from 0.97
to 0.84, show
Current Assets can
not cover Current
Liabilities, Liquidity Ratio
of the company was not
good, Quick-Assets Ratio
was decreased from
0.46 to 0.40,
capacity to pay
Short Term Loan
was not good
too, because Current
Assets without Inventory
can not cover
Current Liabilities.
Leverage
|
Leverage |
2006 |
2005 |
|
D/E Ratio |
8.95 |
2.62 |
|
Times Interest Earned |
[2.12] |
[0.64] |
D/E Ratio was
increased from 2.62
to 8.95, show
the company had
fund from Loan
more than fund
from Equity, investment
risked of the
company is high,
Times Interest Earned
was decreased from
-0.64 to -2.12,
capacity to pay
interest paid was
not good.
Efficiency
|
Efficiency |
2006 |
2005 |
|
Fixed Assets Turnover |
3.58 |
4.12 |
|
Total Assets Turnover |
0.39 |
0.42 |
|
Return on Assets |
[22.87] |
[4.96] |
|
Return on Equity |
[227.53] |
[17.93] |
|
Day's Payable |
29.00 |
16.04 |
|
Day’s Inventories |
339.11 |
300.82 |
|
Day’s Receivables |
16.16 |
7.70 |
Fixed Assets Turnover
was decreased from
4.12 times to
3.58 times, Total
Assets Turnover was
decreased from 0.42
times to 0.39
times, show the
company could not
use Assets so
efficiently, Return on
Assets was decreased
from -4.96 to
-22.87, Return on
Equity was decreased
from -17.93 to
-227.53, capacity to use Assets to
make profit was
not good.
Day's Payable was
increased from 17
days to 29
days, Day’s Inventories
was increased from
301 days to
340 days, and
Day’s Receivables was
increased from 8
days to 17
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%)