MIRA
INFORM REPORT
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Report Date : |
21.05.2008 |
IDENTIFICATION
DETAILS
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Name : |
MICHAEL HILL MANUFACTURING PTY LTD |
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Registered Office : |
7 Smallwood Pl GPO Box 2922 Murarrie, QLD 4172 |
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Country : |
Australia |
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Financials (as on) : |
30.06.2006 |
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Date of Incorporation : |
26.09. 1989 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Manufacture and Distribution of Jewellery. |
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 : |
Satisfactory |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
REGISTERED NAME
MICHAEL HILL
MANUFACTURING PTY LTD
ACN: 010 975 952
ABN: 58 010 975 952
CORPORATE SEARCH
Incorporation Date
26 Sep 1989
Incorporation
State Queensland
Registered Office 7 SMALLWOOD Place
MURARRIE,
Queensland 4172 Australia
Charges Registered:
23 Feb 2007
Chargee Name: 005 357 522 AUSTRALIA AND NEW
Charge Type: Fixed and floating charge
ASIC Charge No: 1420719
Date Registered: 02 Jan 1991
Chargee Name: 062 981 739 ANZ BANKING GROUP
Charge Type: Fixed and floating charge
ASIC Charge No: 252477
Number of Shares
Issued 2
Paid Capital $2
Shareholders MICHAEL HILL
JEWELLER (AUSTRALIA) P
Number
of Shares: 2
Current Directors HILL, CHRISTINE
ANN
Appointment Date: 23 Jan 1990
Date of Birth: 17 Nov 1939
Gender: Female
Address:
Resident Overseas: Yes
PARSELL, MICHAEL ROBIN
Appointment Date: 23 Jan 1990
Date of Birth: 23 May 1959
Gender: Male
Address: 19 MASTHEAD Drive CLEVELAND, Queensland 4163 Australia
Resident Overseas: No
HILL, RICHARD MICHAEL
Appointment Date: 23 Jan 1990
Date of Birth: 23 Dec 1938
Gender: Male
Address:
Resident Overseas: Yes
Secretary PHILIP ROY TAYLOR
Appointment
Date: 23 Jan 1990
BUSINESS STRUCTURE
HEAD OFFICE 7
Smallwood Pl
GPO
Box 2922
MURARRIE,
QLD 4172
TELEPHONE (617) 3399 0200
HOLDING
ENTITY MICHAEL HILL JEWLLER (AUSTRALIA) PTYLIMITED
ULTIMATE HOLDING
ENTITY MICHAEL HILL INTERNATIONAL LTD
BANK ANZ
BANKING GROUP
EMPLOYEES 30
BACKGROUND
The subject was incorporated in Queensland on 26 September 1989 as
Anastate P/L, before adopting the current style on 19 March 1990.
The Group has its
origins in 1979 when Michael Hill opened the first store in the New Zealand
town of Whangarei.
The Company grew rapidly,
expanding to 10 stores by 1987 – the same year it was listed on the New Zealand
stock exchange. 1987 also saw expansion into Australia, opening the first store
in August, in the Brisbane suburb of Indooroopilly.
OPERATIONS
The subject operates in the manufacture and distribution of jewellery.
Activities are conducted from premises located at the above listed
trading address.
ADVERSE
A search of the of Credit Advantage Limited failed to trace any litigation listed against the subject at that date.
FINANCES
During the current interview conducted with the subjects Financial Controller, he advised that for the last financial year ended 30 June 2007, the subject traded profitably and recorded revenue of $30,000,000.
A similar result is forecast for the current financial year ending 30 June 2008.
From the subjects most recently lodged financial statements, it is noted
that for the financial year ended 30 June 2006 the subject recorded revenue of
$31,331,010, which resulted in an operating profit before tax of $4,407,424 and
an operating profit after tax of $3,083,116 representing a Net Profit Margin of
9.84%.
Below is a summary of the subject’s income results for the past two
financial years.
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Michael Hill Manufacturing Pty Ltd |
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As at 30 June 2006 |
As at 30 June 2005 |
Change (%) |
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Revenue |
$31,331,010 |
$23,636,219 |
32.56% |
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Profit b/tax |
$4,407,424 |
$3,523,936 |
25.07% |
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Profit a/tax |
$3,083,116 |
$2,530,799 |
21.82% |
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Net Profit Margin |
9.84% |
10.71% |
-0.87% |
During fiscal 2006, the subject recorded Net Cashflows from operating
activities totaling $1,315,610.
As at 30 June 2006 the subject recorded total current assets of $9,082,476.
They included cash of $50,903, receivables of $4,907,270 and inventories of
$4,124,303.
Current liabilities at the same date totalled $2,246,488 and included
payables of $2,193,783 and provisions of $52,705.
As at 30 June 2008, the subject recorded Working Capital of $6,835,988
and a current ratio of 4.04 to 1 indicating strong liquidity levels.
Net Assets totalled $6,904,724 as at 30 June 2006. At this date, the
subject further recorded a Debt to Equity ratio of 0.34 to 1 showing low levels
of gearing.
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Michael Hill Manufacturing Pty Ltd |
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As at 30 June 2006 |
As at 30 June 2005 |
Change (%) |
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Revenue |
$31,331,010 |
$23,636,219 |
32.56% |
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Profit b/tax |
$4,407,424 |
$3,523,936 |
25.07% |
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Profit a/tax |
$3,083,116 |
$2,530,799 |
21.82% |
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Net Profit Margin |
9.84% |
10.71% |
-0.87% |
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Current Assets |
$9,082,476 |
$11,548,102 |
-21.35% |
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Non Current Assets |
$154,011 |
$140,278 |
9.79% |
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Total Assets |
$9,236,487 |
$11,688,380 |
-20.98% |
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Current Liabilities |
$2,246,488 |
$2,799,233 |
-19.75% |
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Non Current Liabilities |
$85,275 |
$67,539 |
26.26% |
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Total Liabilities |
$2,331,763 |
$2,866,772 |
-18.66% |
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Net Assets |
$6,904,724 |
$8,821,608 |
-21.73% |
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Working Capital |
$6,835,988 |
$8,748,869 |
-21.86% |
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Current Ratio |
4.04 |
4.13 |
-2.00% |
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Debt to Equity |
0.34 |
0.32 |
3.92% |
TRADE SURVEY
A trade survey on the subject traced the following accounts:
- (AGR Matthy) Purchases are of an undisclosed amount per month on 30
to 60 day terms. Payment is met in 30 to 60 days and the account is
considered satisfactory, having been known since December 2002.
- Nominated supplier failed to respond to correspondence despite
chasing.
SUMMARY
The subject was incorporated in Queensland on 26 September 1989 as
Anastate P/L, before adopting the current style on 19 March 1990.
The Group has its origins in 1979 when Michael Hill opened the
first store in the New Zealand town of Whangarei. for the last financial year
ended 30 June 2007, the subject traded profitably and recorded revenue of
$30,000,000.for
the financial year ended 30 June 2006 the subject recorded revenue of
$31,331,010, which resulted in an operating profit before tax of $4,407,424 and
an operating profit after tax of $3,083,116 representing a Net Profit Margin of
9.84%.
As at 30 June 2008, the subject recorded Working Capital of $6,835,988
and a current ratio of 4.04 to 1 indicating strong liquidity levels.
Net Assets totalled $6,904,724 as at 30 June 2006.
RATING
EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest capability
for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit
consideration. Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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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%)