MIRA INFORM REPORT
|
Report Date : |
01.12.2011 |
IDENTIFICATION DETAILS
|
Name : |
NOVATECH
CO., LTD. |
|
|
|
|
Registered Office : |
36/9-10 Chaengwatana Road, Thungsonghong, Laksi, Bangkok 10210 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2010 |
|
|
|
|
Date of Incorporation : |
16.12.1992 |
|
|
|
|
Com. Reg. No.: |
0105535165114 |
|
|
|
|
Legal Form : |
Private Limited
Company |
|
|
|
|
Line of Business : |
Importer, Distributor and
Service of Industrial Pumps |
|
|
|
|
No. of Employees
: |
70 Persons |
RATING & COMMENTS
|
MIRA’s Rating : |
B |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Status : |
Moderate |
|
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 – September 30th, 2011
|
Country Name |
Previous Rating (30.06.2011) |
Current Rating (30.09.2011) |
|
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
NOVATECH CO., LTD.
SUMMARY
BUSINESS
ADDRESS : 36/9-10 CHAENGWATANA
ROAD,
THUNGSONGHONG, LAKSI,
BANGKOK 10210,
THAILAND
TELEPHONE : [66] 2573-5699
FAX :
[66] 2574-1065,
2982-5142, 2574-2227, 2982-5700
E-MAIL
ADDRESS : sales@novatech.co.th
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1992
REGISTRATION
NO. : 0105535165114 [Former
: 15594/2535]
CAPITAL REGISTERED : BHT. 69,000,000
CAPITAL PAID-UP : BHT.
69,000,000
SHAREHOLDER’S PROPORTION : THAI : 100%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : DR.
NITI MAYER, THAI
PRESIDENT
NO.
OF STAFF : 70
LINES
OF BUSINESS : INDUSTRIAL PUMPS
IMPORTER, DISTRIBUTOR
AND SERVICE
CORPORATE PROFILE
OPERATING
TREND : STABLE
PRESENT
SITUATION : OPERATING NORMALLY
REPUTATION : GOOD
WITH NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT
STANDARD : MANAGEMENT WITH
GOOD PERFORMANCE
HISTORY
The subject was
established on December 16,
1992 as a
private limited company
under the name style NOVATECH
CO., LTD. by Thai groups, in order to
provide products and
services of industrial pump
for domestic market. It
currently employs approximate 70 staff.
The subject’s registered
address is 36/9-10
Chaengwatana Rd.,
Thungsonghong, Laksi, Bangkok
10210, and this
is the subject’s
current operation address.
THE BOARD OF DIRECTOR
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Dr. Niti Mayer |
[x] |
Thai |
60 |
|
Mr. Chatcharin Chaojeen |
|
Thai |
61 |
AUTHORIZED PERSON
Only the mentioned
director [x] can
sign on behalf
of the subject
with company’s affixed.
MANAGEMENT
Dr. Niti Mayer
is the President.
He is Thai
nationality with the
age of 60
years old.
BUSINESS OPERATIONS
The subject is
engaged in importing, distributing and
servicing various types of
technical pump for trucks, municipal and
intercity busses, dredging and marine
pump and equipments, special
application pumps, aviation refueling pump systems and equipment.
Its products are used
for pharmaceutical, paint,
petrochemical, steel, gas and
oil, automotive, aviation
and marine industries.
MAJOR BRANDS
“WILDEN”, “PAN WORLD”,
“GRISWOLD”, “TUTHILL”, “HALLA”,
“ALMATEC”, “TYPHOON”, “BRINKMANNPUMP”, “ROTO”
and “OBL”
IMPORT [COUNTRIES]
Most of the products are
imported from around
20 overseas suppliers
in
United States of
America, Germany, France,
Singapore, Republic of
China,
Taiwan, United Kingdom, and
Italy.
MAJOR SUPPLIERS
Wilden Pump [U.S.A.] Inc. : United
States of America
Griswold Pump Company : United
States of America
Tuthill Corporate : United
States of America
Pan World Pumps
Asia Pacific Pte.
Ltd. : Singapore
Roto Pumps Ltd. : United
Kingdom
SALES [LOCAL]
100% of the products is
sold locally by wholesale to
manufacturers and dealers. The subject
has over 200 customers
nationwide.
MAJOR CUSTOMERS
Bangkok Steel Industry
Co., Ltd. : Thailand
SUBSIDIARIES/AFFILIATED COMPANY
Votech Co., Ltd.
Business Type: Automobile paint
coating service
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.
BUSINESS TRANSACTION
In term of
sales, the products
are sold by
cash and credit,
with the maximum credit given at 60 days.
The subject is
not found to
have problem on its account
receivable.
BANKING
Bangkok Bank
Public Co., Ltd.
[New
Petchburi Branch: New
Petchburi Rd., Makkasan,
Rajthevee, Bangkok 10400]
Siam Commercial
Bank Public Co., Ltd.
[Chaengwatana Soi
13 Branch: Chaengwatana Rd.,
Thungsonghong, Laksi, Bangkok
EMPLOYMENT
The subject employs
approximately 70 staff.
[office staff and
workers]
LOCATION DETAILS
The premise is
owned for administrative office
in a 4
storey building of
2 row shop houses
at the heading
address. Premise is
located in commercial/residential area.
Warehouse and workshop are
located at 27/21 Soi Chaengwatana-Pakkred 36,
Chaengwatana Rd., Bangtalad, Pakkred,
Nonthaburi 11120.
Tel.: [66] 2984-4287,
2575-2329-31 Fax: [66]
2574-0511.
REMARK
MAXIMUM CREDIT SHOULD
BE GRANTED AT
US$ 1,000,000.
COMMENT
The
subject was formed in
1992 as an
importer, distributor and
service provider of
engineering and industrial
equipment. Its business
was strong since improvement of industrial
sector in the
beginning of 2010.
In the first nine
months of 2011
subject’s sales were
disclosed at strong
level.
However, since the flooding
in October, sales have dropped dramatically due to industrial sector
has been severely damaged.
FINANCIAL INFORMATION
The capital was
initially registered at
Bht. 1,000,000 divided
into 10,000 shares
of Bht. 100
each.
The capital was
increased later as
followings :
Bht. 5,000,000
on February 25,
1993
Bht. 10,000,000
on January 4,
1994
Bht. 20,000,000
on May 1,
1996
Bht. 39,000,000
on December 30,
1997
Bht. 69,000,000
on March 31,
2006
The latest registered
capital was increased
to Bht. 69,000,000 divided into 690,000
shares of Bht.
100 each with
fully paid.
THE SHAREHOLDERS
LISTED WERE : [as at
April 30, 2011]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Dr. Niti Mayer Nationality: Thai Address : 1/120
Moo 1, Chaengwatana Rd.,
Thungsonghong, Laksi, Bangkok |
308,996 |
44.78 |
|
Mrs. Jiraporn Mayer Nationality: Thai Address : 1/120
Moo 1, Chaengwatana Rd.,
Thungsonghong, Laksi, Bangkok |
116,601 |
16.90 |
|
Master James Mayer Nationality: Thai Address : 1/120
Moo 1, Chaengwatana Rd.,
Thungsonghong, Laksi, Bangkok |
116,601 |
16.90 |
|
Master Chutimai Mayer Nationality: Thai Address : 1/120
Moo 1, Chaengwatana Rd.,
Thungsonghong, Laksi, Bangkok |
116,601 |
16.90 |
|
Mr. Pichai Vidhyameth Nationality: Thai Address : 9/6
Vuthakas Rd., Bangkor,
Jomthong, Bangkok 10150 |
11,700 |
1.70 |
|
Mr. Massakul Chaojeen Nationality: Thai Address : 51/1405
Bangtalad, Pakkred,
Nonthaburi |
9,750 |
1.41 |
|
Ms. Jarinrat Chaojeen Nationality: Thai Address : 51/1405
Bangtalad, Pakkred,
Nonthaburi |
9,750 |
1.41 |
|
Mr. Teerapong Samattha Nationality: Thai Address : 174
Moo 5, Nasiew, Muang,
Chaiyaphum |
1 |
- |
Total Shareholders : 8
Share Structure [as at
April 30, 2011]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
8 |
690,000 |
100.00 |
|
Foreign |
- |
- |
- |
|
Total |
8 |
690,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Mr. Suvith Dokthien No.
6692
BALANCE SHEET
The
latest financial figures
published as at
December 31, 2010
& 2009 were:
ASSETS
|
Current Assets |
2010 |
2009 |
|
|
|
|
|
Cash and Cash Equivalents |
1,465,512.76 |
942,706.13 |
|
Trade Accounts & Receivable |
21,551,316.17 |
20,698,766.38 |
|
Short-term Investment |
4,971,105.75 |
17,014,086.02 |
|
Deferred Income |
758,515.50 |
1,500,570.00 |
|
Inventories |
61,880,007.02 |
121,746,592.69 |
|
Advanced Payment for
Goods |
8,586,384.93 |
987,362.35 |
|
Prepaid Expenses |
215,275.19 |
170,536.67 |
|
Other Current Assets
|
3,020,775.91 |
14,407,425.70 |
|
|
|
|
|
Total Current Assets
|
102,448,893.23 |
177,468,045.94 |
|
Long-term Investment |
80,395,850.00 |
80,395,850.00 |
|
Fixed Assets |
51,264,401.41 |
51,516,713.37 |
|
Other Assets |
129,144.74 |
121,454.00 |
|
Total Assets |
234,238,289.38 |
309,502,063.01 |
LIABILITIES &
SHAREHOLDERS' EQUITY
|
Current
Liabilities |
2010 |
2009 |
|
|
|
|
|
Bank Overdraft and Short-term Loans
|
53,430,372.64 |
112,470,361.11 |
|
Trade Accounts Payable |
11,631,236.04 |
27,570,179.27 |
|
Current Portion of
Long-term Liabilities |
8,029,512.00 |
14,494,981.69 |
|
Pre-receipt & Guarantee
|
413,973.23 |
574,101.38 |
|
Accrued Expenses |
3,308,139.90 |
2,602,739.80 |
|
Other Current Liabilities |
1,122,712.38 |
437,936.59 |
|
|
|
|
|
Total Current Liabilities |
77,935,946.19 |
158,150,299.84 |
|
|
|
|
|
Long-term Loans - Net of
Current Portion |
19,145,035.37 |
19,979,154.81 |
|
Other Long-term Loan |
15,000,000.00 |
18,492,000.00 |
|
Total Liabilities |
112,080,981.56 |
196,621,454.65 |
|
|
|
|
|
Shareholders' Equity |
|
|
|
Share Capital :
Baht. 100 par value
authorized issued
and fully paid
share capital 690,000
shares |
69,000,000.00 |
69,000,000.00 |
|
|
|
|
|
Capital Paid |
69,000,000.00 |
69,000,000.00 |
|
Retained Earning [Deficit] |
53,157,307.82 |
43,880,608.36 |
|
Total Shareholders' Equity |
122,157,307.82 |
112,880,608.36 |
|
|
|
|
|
Total Liabilities &
Shareholders' Equity |
234,238,289.38 |
309,502,063.01 |
PROFIT & LOSS ACCOUNT
|
Sale |
2010 |
2009 |
|
|
|
|
|
Sales & Services |
248,597,470.88 |
207,139,557.94 |
|
Gain on Exchange Rate |
1,396,129.77 |
763,971.81 |
|
Gain on Disposal of
Assets |
686,914.89 |
- |
|
Interest Income |
52,216.28 |
123,051.95 |
|
Other Income |
210,335.60 |
3,556,563.99 |
|
Total Sales |
250,943,067.42 |
211,583,145.69 |
|
Expenses |
|
|
|
|
|
|
|
Cost of Goods
Sold & Services |
189,470,244.23 |
150,647,589.33 |
|
Selling Expenses |
16,303,564.35 |
17,281,222.69 |
|
Administrative Expenses |
24,029,295.26 |
22,134,221.49 |
|
Total Expenses |
229,803,103.84 |
190,063,033.51 |
|
Profit / [Loss] before Financial Cost & Income Tax |
21,139,963.58 |
21,520,112.18 |
|
Financial Cost |
[7,507,090.28] |
[9,931,338.18] |
|
Profit / [Loss] before Income Tax |
13,632,873.30 |
11,588,774.00 |
|
Income Tax |
[4,356,173.84] |
[2,785,004.50] |
|
Net Profit / [Loss] |
9,276,699.46 |
8,803,769.50 |
fINANCIAL ANALYSIS
|
ITEM |
UNIT |
2010 |
2009 |
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
CURRENT RATIO |
TIMES |
1.31 |
1.12 |
|
QUICK RATIO |
TIMES |
0.37 |
0.25 |
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
4.85 |
4.02 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.06 |
0.67 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
119.21 |
294.98 |
|
INVENTORY TURNOVER |
TIMES |
3.06 |
1.24 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
31.64 |
36.47 |
|
RECEIVABLES TURNOVER |
TIMES |
11.54 |
10.01 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
22.41 |
66.80 |
|
CASH CONVERSION CYCLE |
DAYS |
128.44 |
264.65 |
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
COST OF GOODS SOLD |
% |
76.22 |
72.73 |
|
SELLING & ADMINISTRATION |
% |
16.22 |
19.03 |
|
INTEREST |
% |
3.02 |
4.79 |
|
GROSS PROFIT MARGIN |
% |
24.73 |
29.42 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
8.50 |
10.39 |
|
NET PROFIT MARGIN |
% |
3.73 |
4.25 |
|
RETURN ON EQUITY |
% |
7.59 |
7.80 |
|
RETURN ON ASSET |
% |
3.96 |
2.84 |
|
EARNING PER SHARE |
BAHT |
13.44 |
12.76 |
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
DEBT RATIO |
TIMES |
0.48 |
0.64 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.92 |
1.74 |
|
TIME INTEREST EARNED |
TIMES |
2.82 |
2.17 |
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
SALES GROWTH |
% |
20.01 |
|
|
OPERATING PROFIT |
% |
(1.77) |
|
|
NET PROFIT |
% |
5.37 |
|
|
FIXED ASSETS |
% |
(0.49) |
|
|
TOTAL ASSETS |
% |
(24.32) |
|
PROFITABILITY RATIO
|
Gross Profit Margin |
24.73 |
Impressive |
Industrial
Average |
21.24 |
|
Net Profit Margin |
3.73 |
Impressive |
Industrial
Average |
1.38 |
|
Return on Assets |
3.96 |
Impressive |
Industrial
Average |
1.86 |
|
Return on Equity |
7.59 |
Impressive |
Industrial
Average |
3.76 |
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 24.73%. When compared with the industry
average, the ratio of the company was higher, this indicated that company was
more profitable than the same industry.
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 3.73%, higher figure when 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 ratio is
3.96%, 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 ratio
is 7.59%, 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 |
1.31 |
Satisfactory |
Industrial
Average |
1.74 |
|
Quick Ratio |
0.37 |
|
|
|
|
Cash Conversion Cycle |
128.44 |
|
|
|
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 1.31 times in 2010, increase from 1.12 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 0.37 times in 2010,
increase from 0.25 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 129 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE RATIO
|
Debt Ratio |
0.48 |
Impressive |
Industrial
Average |
0.54 |
|
Debt to Equity Ratio |
0.92 |
Impressive |
Industrial
Average |
1.22 |
|
Times Interest Earned |
2.82 |
Impressive |
Industrial
Average |
2.13 |
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 a stronger equity position.
Times Interest Earned measuring a company's ability to meet its debt
obligations. Ratio is 2.82 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 0.48 less than 0.5, most of the company's
assets are financed through equity.
Trend of the
average competitors in the same industry for last 5 years
Debt Ratio Downtrend
Times Interest Earned Downtrend
ACTIVITY RATIO
|
Fixed Assets Turnover |
4.85 |
Satisfactory |
Industrial
Average |
6.46 |
|
Total Assets Turnover |
1.06 |
Acceptable |
Industrial
Average |
1.43 |
|
Inventory Conversion Period |
119.21 |
|
|
|
|
Inventory Turnover |
3.06 |
Satisfactory |
Industrial
Average |
3.28 |
|
Receivables Conversion Period |
31.64 |
|
|
|
|
Receivables Turnover |
11.54 |
Impressive |
Industrial
Average |
4.08 |
|
Payables Conversion Period |
22.41 |
|
|
|
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.52.17 |
|
UK Pound |
1 |
Rs.81.29 |
|
Euro |
1 |
Rs.69.47 |
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 |
|
---- |
NB |
New Business |
---- |
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.