MIRA INFORM REPORT
|
Report Date : |
16.02.2011 |
IDENTIFICATION DETAILS
|
Name : |
FAI
DEE GEMS CO.,
LTD. |
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|
|
|
Registered Office : |
Unit 405, 4th Floor,
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Country : |
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Financials (as on) : |
31.12.2009 |
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Date of Incorporation : |
30.08.1995 |
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Com. Reg. No.: |
0105538103039 |
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Legal Form : |
Private
Limited Company |
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Line of Business : |
Manufacturer, Distributor
and Exporter of ruby |
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 – June 30, 2010
|
Country Name |
Previous Rating (01.04.2010) |
Current Rating (30.06.2010) |
|
|
b1 |
b1 |
|
Risk Category |
ECGC Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
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High |
B2 |
|
Very High |
C1 |
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Restricted |
C2 |
|
Off-credit |
D |
company name
FAI
DEE GEMS CO.,
LTD.
SUMMARY
BUSINESS
ADDRESS : UNIT
405, 4th FLOOR,
99
TELEPHONE : [66] 2635-9920-1
FAX :
[66] 2635-9919
E-MAIL
ADDRESS : faideed@faidee.com
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1995
REGISTRATION
NO. : 0105538103039
CAPITAL REGISTERED : BHT. 8,000,000
CAPITAL PAID-UP : BHT.
8,000,000
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR.
RAJEEV LUNIA, INDIAN
MANAGING DIRECTOR
NO.
OF STAFF : 90
LINES
OF BUSINESS : RUBY
MANUFACTURER, DISTRIBUTOR
AND EXPORTER
CORPORATE PROFILE
OPERATING
TREND : STABLE
PRESENT
SITUATION : OPERATING NORMALLY
REPUTATION : GOOD
WITH
MANAGEMENT
STANDARD : MANAGEMENT WITH
FAIR PERFORMANCE
HISTORY
The
subject was established
on August 30,
1995 as a
private limited company
under name style
FAI DEE GEMS
CO., LTD. by
Thai and Indian
groups, with the
business objective to
manufacture ruby for
both local and
overseas markets. It
currently employs approximately
90 staff.
The
subject’s registered address
is Unit 405, 4th Floor,
Piyamitr Building, 99
Mahesak Rd., Suriyawong, Bangkok
10500, and this
is the subject’s
current operation address.
THE BOARD
OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. |
|
Indian |
38 |
|
Mr. Rajeev Lunia |
|
Indian |
42 |
AUTHORIZED PERSON
One of the
above directors can
sign on behalf
of the subject
with company’s affixed.
MANAGEMENT
Mr. Rajeev Lunia
is the Managing
Director.
He is Indian
nationality with the
age of 42
years old.
Mr. Ravi Lunia
is the Marketing
Manager.
He is Indian
nationality with the
age of 38
years old.
BUSINESS OPERATIONS
The subject is
engaged in manufacturing, distributing and
exporting ruby for
jewelry production.
PURCHASE
Raw materials are
purchased from both
local and overseas
suppliers in Myanmar
and India.
SALES
The
products are sold
locally to wholesalers.
EXPORT
[COUNTRIES]
The
products are also
exported to Japan,
United States of
America and Hong
Kong.
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
The
banker’s name was
not disclosed.
EMPLOYMENT
The
subject employs approximately
90 staff.
LOCATION
DETAILS
The
premise is rented
for administrative office at the
heading
address. Premise is located in commercial area.
Factory
is located in
Chanthaburi province, in
the Eastern region.
REMARK
THE
CREDIT OF US$
125,000 AT D/A
TERM SHOULD BE
IN ORDER.
COMMENT
The
subject is the
leading manufacture producing
ruby to world
market. Its experience
and good quality
ruby have been
accepted from jewelry
manufacture and end-users
worldwide.
FINANCIAL INFORMATION
The
capital was registered
at Bht. 6,000,000 divided
into 60,000 shares of Bht. 100
each.
On
September 8, 2004,
the capital was
increased to Bht. 8,000,000 divided
into 80,000 shares
of Bht. 100
each with fully
paid.
THE
SHAREHOLDERS LISTED WERE
: [as at October
11, 2010]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Chatchaphol Phan Nationality: Thai Address : 358
Soi Charoennakorn 14,
Tonsai,
Klongsan, |
25,000 |
31.25 |
|
Mr. Rajeev Lunia Nationality: Indian Address :
405, 4th Floor,
|
16,000 |
20.00 |
|
Mr. Nationality: Indian Address : 405,
4th Floor, |
14,800 |
18.50 |
|
Mrs. Monika Lunia Nationality: Indian Address : 405,
4th Floor, |
8,400 |
10.50 |
|
Mr. Kornprasert Saentaveesuk Nationality: Thai Address : 40/333
Moo 7, Praves,
|
7,900 |
9.88 |
|
Mr. Chob Khunprasert Nationality: Thai Address : 91
Moo 12, T.
Borthong, A. Nongmuang,
Lopburi |
7,900 |
9.87 |
Total Shareholder : 6
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Mr. Srisak Saksongmuang
No. 7650
BALANCE SHEET [BAHT]
The
latest financial figures
published for December
31, 2009 & 2008
were:
ASSETS
|
Current Assets |
2009 |
2008 |
|
|
|
|
|
Cash and Cash Equivalent |
2,510,319.86 |
659,544.10 |
|
Trade Accounts Receivable |
280,539,569.99 |
174,745,410.56 |
|
Inventories |
168,719,954.69 |
137,159,994.23 |
|
Advance Payment Deposit |
- |
12,188,110.00 |
|
Other Current Assets |
3,039,744.12 |
1,442,021.32 |
|
|
|
|
|
Total Current Assets
|
454,809,588.66 |
326,195,080.21 |
|
|
|
|
|
Long-term Loan to
Person or Related Company |
1,500,000.00 |
3,250,000.00 |
|
Fixed Assets |
51,349,794.22 |
50,956,024.36 |
|
Other Assets |
130,438.79 |
109,560.66 |
|
Total Assets |
507,789,821.67 |
380,510,665.23 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2009 |
2008 |
|
|
|
|
|
Trade Accounts Payable |
427,116,008.08 |
298,698,672.82 |
|
Current Portion of
Long-term Loan |
2,260,476.43 |
1,793,149.74 |
|
Current Portion of Hire-purchase Payable |
869,815.88 |
237,947.64 |
|
Short-term Loan from
Person or Related Company |
200,000.00 |
- |
|
Advance Payment Goods |
7,295,919.03 |
7,295,919.03 |
|
Other Current Liabilities |
1,095,349.69 |
1,222,366.13 |
|
|
|
|
|
Total Current Liabilities |
438,837,569.11 |
309,248,055.36 |
|
Long-term Loan from Financial,
Net |
26,194,941.94 |
28,771,632.27 |
|
Hire-purchase Payable, Net |
461,125.00 |
79,315.88 |
|
Total Liabilities |
465,493,636.05 |
338,099,003.51 |
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized, issued
and fully paid share
capital 80,000 shares |
8,000,000.00 |
8,000,000.00 |
|
|
|
|
|
Capital Paid |
8,000,000.00 |
8,000,000.00 |
|
Retained Earning-
Unappropriated |
34,296,185.62 |
34,411,661.72 |
|
Total Shareholders' Equity |
42,296,185.62 |
42,411,661.72 |
|
Total Liabilities & Shareholders' Equity |
507,789,821.67 |
380,510,665.23 |
PROFIT & LOSS ACCOUNT
|
Revenue |
2009 |
2008 |
|
|
|
|
|
Sales |
260,512,030.21 |
199,905,124.22 |
|
Gain on Exchange
Rate |
8,630,459.79 |
- |
|
Other Income |
1,119,424.28 |
209,426.37 |
|
Total Revenues |
270,261,914.28 |
200,114,550.59 |
|
Expenses |
|
|
|
|
|
|
|
Cost of Goods
Sold |
247,267,912.90 |
151,932,138.14 |
|
Selling Expenses |
4,228,901.40 |
5,676,891.04 |
|
Administrative Expenses |
15,170,742.03 |
18,520,834.87 |
|
Loss on Exchange
Rate |
- |
18,972,249.65 |
|
Total Expenses |
266,667,556.33 |
195,102,113.70 |
|
|
|
|
|
Profit / [Loss] before Financial
Expenses & Income Tax |
3,594,357.95 |
5,012,436.89 |
|
Financial Expenses |
[1,808,774.89] |
[2,250,667.90] |
|
Profit / [Loss] before Income
Tax |
1,785,583.06 |
2,761,768.99 |
|
Income Tax |
[1,901,059.16] |
[1,580,828.30] |
|
|
|
|
|
Net Profit / [Loss] |
[115,476.10] |
1,180,940.69 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2009 |
2008 |
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
CURRENT RATIO |
TIMES |
1.04 |
1.05 |
|
QUICK RATIO |
TIMES |
0.64 |
0.61 |
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
5.07 |
3.92 |
|
TOTAL ASSETS TURNOVER |
TIMES |
0.51 |
0.53 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
249.05 |
329.51 |
|
INVENTORY TURNOVER |
TIMES |
1.47 |
1.11 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
393.06 |
319.06 |
|
RECEIVABLES TURNOVER |
TIMES |
0.93 |
1.14 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
630.48 |
717.59 |
|
CASH CONVERSION CYCLE |
DAYS |
11.63 |
(69.02) |
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
COST OF GOODS SOLD |
% |
94.92 |
76.00 |
|
SELLING & ADMINISTRATION |
% |
7.45 |
12.10 |
|
INTEREST |
% |
0.69 |
1.13 |
|
GROSS PROFIT MARGIN |
% |
8.83 |
24.10 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
1.38 |
2.51 |
|
NET PROFIT MARGIN |
% |
(0.04) |
0.59 |
|
RETURN ON EQUITY |
% |
(0.27) |
2.78 |
|
RETURN ON ASSET |
% |
(0.02) |
0.31 |
|
EARNING PER SHARE |
BAHT |
(1.44) |
14.76 |
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
DEBT RATIO |
TIMES |
0.92 |
0.89 |
|
DEBT TO EQUITY RATIO |
TIMES |
11.01 |
7.97 |
|
TIME INTEREST EARNED |
TIMES |
1.99 |
2.23 |
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
SALES GROWTH |
% |
30.32 |
|
|
OPERATING PROFIT |
% |
(28.29) |
|
|
NET PROFIT |
% |
(109.78) |
|
|
FIXED ASSETS |
% |
0.77 |
|
|
TOTAL ASSETS |
% |
33.45 |
|
PROFITABILITY RATIO
|
Gross Profit Margin |
8.83 |
Satisfactory |
Industrial Average |
10.62 |
|
Net Profit Margin |
(0.04) |
Deteriorated |
Industrial Average |
(0.91) |
|
Return on Assets |
(0.02) |
Deteriorated |
Industrial Average |
(1.16) |
|
Return on Equity |
(0.27) |
Deteriorated |
Industrial Average |
(2.99) |
Gross Profit Margin used to assess a firm's financial health by
revealing the proportion of money left over from revenues 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 8.83%. 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. Net Profit Margin is -0.04%
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 -0.02%,
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
-0.27%, 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 |
1.04 |
Acceptable |
Industrial Average |
1.85 |
|
Quick Ratio |
0.64 |
|
|
|
|
Cash Conversion Cycle |
11.63 |
|
|
|
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 1.04 times in 2009, decrease from 1.05 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 0.64 times in 2009,
increase from 0.61 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 12 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Downtrend
LEVERAGE RATIO
|
Debt Ratio |
0.92 |
Impressive |
Industrial Average |
0.58 |
|
Debt to Equity Ratio |
11.01 |
Risky |
Industrial Average |
1.52 |
|
Times Interest Earned |
1.99 |
Impressive |
Industrial Average |
(0.13) |
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 1.99 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 0.92 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 |
5.07 |
Acceptable |
Industrial Average |
7.78 |
|
Total Assets Turnover |
0.51 |
Deteriorated |
Industrial Average |
1.27 |
|
Inventory Conversion Period |
249.05 |
|
|
|
|
Inventory Turnover |
1.47 |
Satisfactory |
Industrial Average |
1.91 |
|
Receivables Conversion Period |
393.06 |
|
|
|
|
Receivables Turnover |
0.93 |
Deteriorated |
Industrial Average |
2.78 |
|
Payables Conversion Period |
630.48 |
|
|
|
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.45.50 |
|
|
1 |
Rs.73.07 |
|
Euro |
1 |
Rs.61.63 |
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.