MIRA INFORM REPORT
|
Report Date : |
20.04.2011 |
IDENTIFICATION DETAILS
|
Name : |
STAR
ASIA [THAILAND] LTD.
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Registered Office : |
Room A, 19th Floor,
Bangkok Gems And Jewelry
Tower, 322/47 Surawong
Road, Suriyawongse,
Bangrak, Bangkok 10500 |
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Country : |
Thailand |
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|
Financials (as on) : |
31.03.2010 |
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Date of Incorporation : |
09.12.1993 |
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Com. Reg. No.: |
0745536001900 |
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Legal Form : |
Private
Limited Company |
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|
|
Line of Business : |
Importer and Distributor of gold and
diamond jewelry 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 |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – December 31, 2010
|
Country Name |
Previous Rating (30.09.2010) |
Current Rating (31.12.2010) |
|
Thailand |
b1 |
b1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
Company
name
STAR
ASIA [THAILAND] LTD.
SUMMARY
BUSINESS ADDRESS : ROOM
A, 19th FLOOR,
BANGKOK GEMS AND
JEWELRY TOWER,
322/47 SURAWONG ROAD,
SURIYAWONGSE, BANGRAK,
BANGKOK 10500
TELEPHONE : [66] 2267-1208-9
FAX :
[66] 2267-1207
E-MAIL
ADDRESS : kartik@starasia.co.th
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1993
REGISTRATION
NO. : 0745536001900 [Former : SOR
KOR. 1003]
CAPITAL REGISTERED : BHT. 19,000,000
CAPITAL PAID-UP : BHT.
19,000,000
FISCAL YEAR CLOSING DATE : MARCH
31 [Former :
DECEMBER 8]
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR. KARTIK NAYANBHAI
SHAH, INDIAN
MANAGING DIRECTOR
NO.
OF STAFF : 16
LINES
OF BUSINESS : GOLD
AND DIAMOND JEWELRY
PRODUCTS
IMPORTER 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 December 9,
1993 as a
private limited company under
the name style
STAR ASIA [THAILAND]
LTD., by Thai
& Indian groups, with the
business objective to
import and export gold
and diamond jewelry
products. It currently
employs 16 staff.
The
subject’s registered address
is 322/47 Surawong
Rd., Suriyawongse, Bangrak,
Bangkok 10500, and
this is the subject’s
current operation address.
THE
BOARD OF DIRECTOR
Mr. Kartik
Nayanbhai Shah
AUTHORIZED
PERSON
The above director
can sign on
behalf of the
subject with company’s
affixed.
MANAGEMENT
Mr. Kartik Nayanbhai Shah
is the Managing
Director.
He is Indian
nationality with the
age of 40
years old.
BUSINESS
OPERATIONS
The subject is
engaged in importing
and distributing various
kinds of gold
and diamond jewelry
products and gemstones,
as well as design
and export products
to overseas. The
exported products have
been supplied by
local manufacture.
PURCHASE
The
products are purchased
from suppliers both domestic
and overseas, mainly in
India, Hong Kong,
Belgium and South
Africa.
SALES
The products are sold
to customers both
local and overseas mainly
in India, Hong
Kong, Malaysia, Singapore,
Republic of China, United Arab Emirate, U.S.A. and European countries.
SUBSIDIARY
AND AFFILIATED COMPANY
The subject is
not found to
have any subsidiary
nor affiliated company
here in Thailand.
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
Banker’s name was
not disclosed.
EMPLOYMENT
The
subject employs 16
staff.
LOCATION
DETAILS
The
premise is rented
for administrative office
at the heading
address. Premise is
located in a
prime commercial area.
REMARK
MAXIMUM
CREDIT SHOULD BE
GRANTED AT US$
500,000.
COMMENT
Thai jewelry
products had good performance in
international markets, due
to world economic improvement in 2010.
Subject reported outstanding
increased its sales
in 2010, as
well as continued
expanding steadily.
FINANCIAL
INFORMATION
The
capital was registered
at Bht. 3,000,000
divided into 30,000
shares of Bht. 100
each.
The
capital was increased
later as following:
Bht. 4,000,000
on August 10,
1995
Bht. 8,000,000
on March 28,
2001
Bht. 11,000,000
on June 7,
2001
Bht. 19,000,000
on December 27,
2001
The
latest registered capital
was increased to
Bht. 19,000,000 divided into
190,000 shares of
Bht. 100 each
with fully paid.
THE
SHAREHOLDERS LISTED WERE
: [as at May
28, 2010]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Star Holding Limited Nationality: U.A.E Address : SH
Road, Zawed, Dubai,
United Arab
Emirate |
53,200 |
28.00 |
|
Mr. Kartik Nayanbhai Shah Nationality: Indian Address : 64-66
Rama 4 Rd.,
Thungmahamek,
Sathorn, Bangkok |
38,000 |
20.00 |
|
Mr. Tuengthong Khamchan Nationality: Thai Address : 12
Moo 2, Pathum,
Muang,
Ubonratchathani |
31,600 |
16.63 |
|
Ms. Sudjai Chantapinij Nationality: Thai Address : 80
Moo 2, Photak,
Muang, Nakornpanom |
31,600 |
16.63 |
|
Ms. Saowanit Promfai Nationality: Thai Address : 39/21
Moo 1 4, Ladprao, Bangkok |
31,600 |
16.63 |
|
Mr. Birju Ranjibhai Nationality: Indian Address : 64-66
Rama 4 Rd.,
Thungmahamek,
Sathorn, Bangkok |
3,600 |
1.90 |
|
Mr. Anake Thamrongvarangkul Nationality: Thai Address : 72/27
Rama 3 Rd.,
Chongnonsee,
Yannawa, Bangkok |
400 |
0.21 |
Total Shareholders : 7
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Mr. Pinij Charoenjai No.
1176
BALANCE
SHEET [BAHT]
The
latest financial figures
published for March
31, 2010 &
2009 were:
ASSETS
|
Current Assets |
2010 |
2009 |
|
|
|
|
|
Cash and Cash Equivalents |
31,547.74 |
455,619.41 |
|
Trade Accounts Receivable
|
56,219,248.77 |
90,030,617.29 |
|
Inventories |
128,392,804.48 |
141,228,790.37 |
|
Other Current Assets
|
484,034.29 |
322,411.92 |
|
Total Current Assets
|
185,127,635.28 |
232,037,438.99 |
|
|
|
|
|
Fixed Assets |
23,869.79 |
182,144.20 |
|
Other Assets |
855,000.00 |
855,000.00 |
|
Total Assets |
186,006,505.07 |
233,074,583.19 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2010 |
2009 |
|
|
|
|
|
Bank Overdraft and Short-term Loan from Financial Institutions |
20,633,813.59 |
5,056,952.48 |
|
Trade Accounts Payable |
101,714,554.44 |
170,653,585.23 |
|
Short-term Loan from Related
Person |
- |
1,800,000.00 |
|
Other Current Liabilities |
3,228,000.78 |
916,315.95 |
|
Total Current Liabilities |
125,576,368.81 |
178,426,853.66 |
|
Total Liabilities |
125,576,368.81 |
178,426,853.66 |
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized, issued
and fully paid share
capital 190,000 shares |
19,000,000.00 |
19,000,000.00 |
|
Capital Paid |
19,000,000.00 |
19,000,000.00 |
|
Retained Earning -
Unappropriated |
41,430,136.26 |
35,647,729.53 |
|
Total Shareholders' Equity |
60,430,136.26 |
54,647,729.53 |
|
Total Liabilities & Shareholders' Equity |
186,006,505.07 |
233,074,583.19 |
PROFIT
& LOSS ACCOUNT
|
Sale |
2010 |
2009 |
|
|
|
|
|
Sales |
264,675,631.05 |
49,010,423.65 |
|
Other Income |
5,408,138.98 |
679,649.87 |
|
Total Sales |
270,083,770.03 |
49,690,073.52 |
|
Expenses |
|
|
|
|
|
|
|
Cost of Goods
Sold |
250,136,861.32 |
46,113,314.60 |
|
Selling & Administrative Expenses |
10,788,514.73 |
3,158,248.89 |
|
Total Expenses |
260,925,376.05 |
49,271,563.49 |
|
Profit / [Loss] Before Interest
Expenses & Income Tax |
9,158,393.98 |
418,510.03 |
|
Interest Expenses |
[739,332.53] |
[152,019.86] |
|
Income Tax |
[2,636,654.72] |
[81,368.02] |
|
Net Profit / [Loss] |
5,782,406.73 |
185,122.15 |
FINANCIAL
ANALYSIS
|
ITEM |
UNIT |
2010 |
2009 |
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
CURRENT RATIO |
TIMES |
1.47 |
1.30 |
|
QUICK RATIO |
TIMES |
0.45 |
0.51 |
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
11,088.31 |
269.07 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.42 |
0.21 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
187.35 |
1,117.87 |
|
INVENTORY TURNOVER |
TIMES |
1.95 |
0.33 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
77.53 |
670.49 |
|
RECEIVABLES TURNOVER |
TIMES |
4.71 |
0.54 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
148.42 |
1,350.77 |
|
CASH CONVERSION CYCLE |
DAYS |
116.46 |
437.59 |
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
COST OF GOODS SOLD |
% |
94.51 |
94.09 |
|
SELLING & ADMINISTRATION |
% |
4.08 |
6.44 |
|
INTEREST |
% |
0.28 |
0.31 |
|
GROSS PROFIT MARGIN |
% |
7.54 |
7.30 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
3.46 |
0.85 |
|
NET PROFIT MARGIN |
% |
2.18 |
0.38 |
|
RETURN ON EQUITY |
% |
9.57 |
0.34 |
|
RETURN ON ASSET |
% |
3.11 |
0.08 |
|
EARNING PER SHARE |
BAHT |
30.43 |
0.97 |
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
DEBT RATIO |
TIMES |
0.68 |
0.77 |
|
DEBT TO EQUITY RATIO |
TIMES |
2.08 |
3.27 |
|
TIME INTEREST EARNED |
TIMES |
12.39 |
2.75 |
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
SALES GROWTH |
% |
440.04 |
|
|
OPERATING PROFIT |
% |
2,088.33 |
|
|
NET PROFIT |
% |
3,023.56 |
|
|
FIXED ASSETS |
% |
(86.90) |
|
|
TOTAL ASSETS |
% |
(20.19) |
|
PROFITABILITY
RATIO
|
Gross Profit Margin |
7.54 |
Acceptable |
Industrial Average |
10.37 |
|
Net Profit Margin |
2.18 |
Impressive |
Industrial Average |
(0.89) |
|
Return on Assets |
3.11 |
Impressive |
Industrial Average |
(1.19) |
|
Return on Equity |
9.57 |
Impressive |
Industrial Average |
(3.06) |
Gross Profit Margin used to assess a firm's financial health by
revealing the proportion of money left over from sales after accounting for the
cost of goods sold. Gross profit margin serves as the source for paying
additional expenses and future savings. The company's figure is 7.54%. When
compared with the industry average, the ratio of the company was lower. This
indicated that company was originated from the
problems with control over its costs.
Net Profit Margin is the indicator of the company's efficiency in that
net profit takes into consideration all expenses of the company. A low profit
margin indicates a low margin of safety, higher risk that a decline in sales
will erase profits and result in a net loss. The company's figure is 2.18%
compared with those of its average competitors in the same industry, indicated
that business was an efficient operator
in a dominant position within its industry.
Return on Assets measures how efficiently profits are being generated
from the assets employed in the business when compared with the ratios of firms
in a similar business. A low ratio in comparison with industry averages
indicates an inefficient use of business assets. Return on Assets is 3.11%,
higher figure when compared with those of its average competitors in the same
industry, indicated that business was an efficient profit in a dominant position within its industry.
Return on Equity indicates how profitable a company is by comparing its
net income to its average shareholders' equity, ROE measures how much the
shareholders earned for their investment in the company. Return on Equity is
9.57%, higher figure when compared with those of its average competitors in the
same industry, indicated that business was an efficient profit in a dominant position within its industry.
Trend of the
average competitors in the same industry for last 5 years
Return on Assets Downtrend
Return on Equity Downtrend
LIQUIDITY
RATIO
|
Current Ratio |
1.47 |
Satisfactory |
Industrial Average |
1.81 |
|
Quick Ratio |
0.45 |
|
|
|
|
Cash Conversion Cycle |
116.46 |
|
|
|
The Current Ratio is to ascertain whether a company's short-term assets
are readily available to pay off its short-term liabilities. The company's figure
is 1.47 times in 2010, increase from 1.3 times, then it is generally considered
to have good short-term financial strength. When compared with the industry
average, the ratio of the company was lower.
The Quick Ratio is a liquidity indicator that further refines the
current ratio by measuring the amount of the most liquid current assets there
are to cover current liabilities. The company's figure is 0.45 times in 2010,
decrease from 0.51 times, then the company has not enough current assets that presumably
can be quickly converted to cash for pay financial obligations.
The Cash Conversion Cycle measures the number of days a company's cash
is tied up in the production and sales process of its operations and the
benefit from payment terms from its creditors. It meant the company could
survive when no cash inflow was received from sale for 117 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Downtrend
LEVERAGE
RATIO
|
Debt Ratio |
0.68 |
Impressive |
Industrial Average |
0.58 |
|
Debt to Equity Ratio |
2.08 |
Risky |
Industrial Average |
1.53 |
|
Times Interest Earned |
12.39 |
Impressive |
Industrial Average |
(0.19) |
Debt to Equity Ratio a measurement of how much suppliers, lenders,
creditors and obligors have committed to the company versus what the shareholders
have committed. A lower the percentage means that the company is using less leverage and has stronger equity position.
Times Interest Earned measuring a company's ability to meet its debt
obligations. Ratio is 12.39 higher than 1, so the company can pay interest
expenses on outstanding debt.
Debt Ratio shows the proportion of a company's assets which are financed
through debt. The company's figure is 0.68 greater than 0.5, most of the
company's assets are financed through debt.
Trend of the
average competitors in the same industry for last 5 years
Debt Ratio Uptrend
Times Interest Earned Downtrend
ACTIVITY
RATIO
|
Fixed Assets Turnover |
11,088.31 |
Impressive |
Industrial Average |
8.05 |
|
Total Assets Turnover |
1.42 |
Impressive |
Industrial Average |
1.30 |
|
Inventory Conversion Period |
187.35 |
|
|
|
|
Inventory Turnover |
1.95 |
Satisfactory |
Industrial Average |
2.00 |
|
Receivables Conversion Period |
77.53 |
|
|
|
|
Receivables Turnover |
4.71 |
Impressive |
Industrial Average |
3.00 |
|
Payables Conversion Period |
148.42 |
|
|
|
Trend of the
average competitors in the same industry for last 5 years
Fixed Assets Turnover Downtrend
Total Assets Turnover Downtrend
Inventory Turnover Downtrend
Receivables Turnover Downtrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.44.68 |
|
UK Pound |
1 |
Rs.72.56 |
|
Euro |
1 |
Rs.63.53 |
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 |
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 |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.