MIRA INFORM REPORT

 

 

Report Date :

23.02.2011

 

IDENTIFICATION DETAILS

 

Name :

SQUARE PHARMACEUTICALS LTD

 

 

Registered Office :

Square Centre, 48 Mohakhali Commercial Area, Dhaka-1212,

 

 

Country :

Bangladesh

 

 

Financials (as on) :

31.03.2009

 

 

Date of Incorporation :

20.01.1964

 

 

Com. Reg. No.:

C-2252

 

 

Legal Form :

Public Limited Company

 

 

Line of Business :

Manufacturer, Seller and Exporter of Finished Products, Basic Chemicals, Agrovet Products and Pesticide Products

 

RATING & COMMENTS

 

MIRA’s Rating :

A

 

RATING

STATUS

PROPOSED CREDIT LINE

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

 

Maximum Credit Limit :

US$ 200,000.00

Status :

Good

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)

Bangladesh

B1

B1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

COMPANY DETAILS

 

Name

Square Pharmaceuticals Ltd

Address

Square Centre, 48 Mohakhali Commercial Area, Dhaka-1212,

Country

Bangladesh

Telephone No

880-2-8833047-56, 8859007

Fax No

88-02-8834941, 8828768, 8828609

E-Mail

info@squarepharma.com.bd

Website

www.squarepharma.com.bd

Established

1958

Company Registration No

C-2252

Registration date

20th January 1964

Legal Status

Public Limited

Issuing Authority

The Registrar of Joint Stock of Companies, Dhaka

Business Type

Manufacturer, Seller & Exporter

Status

Satisfactory

Payment Behavior

No complaints have been heard regarding payments 

from local suppliers or banks.

 

 

LOCATIONS

 

Head Office

Square Centre, 48 Mohakhali Commercial Area, Dhaka-1212,

Telephone No

880-2-8833047-56, 8859007

Fax No

88-02-8834941, 8828768, 8828609

E-Mail

info@squarepharma.com.bd

Website

www.squarepharma.com.bd

Sales Center

4 Chittagong

4 Sylhet

4 Bogra

4 Khulna

4 Rangpur

4 Barishal

4 Comilla

4 Cox’s Bazar

4 Jessore

4 Mymensing

4 Faridpur

Factory

4 Square Road

    Salgaria

    Pabna

                                        

4 Kaliakoir

    Gazipur

Factory Telephone No

N/A

Factory Fax No

N/A

Warehouse

4 Square Road

    Salgaria

    Pabna

                                        

4 Kaliakoir

    Gazipur

 

 

DIRECTORS

 

Name

Mr. Samson H. Chowdhury

Designation

Chairman

Nationality

Bangladeshi

 

 

Name

Mr. Tapan Chowdhury

Designation

Managing Director

Nationality

Bangladeshi

 

 

Name

Dr. Kazi Harunur Rashid

Designation

Director

Nationality

Bangladeshi

 

 

Name

Mr. M. Sekandar Ali

Designation

Director

Nationality

Bangladeshi

 

 

Name

Mr. Samual H. Chowdhury

Designation

Director

Nationality

Bangladeshi

 

 

Name

Ms. Ratna Patra

Designation

Director

Nationality

Bangladeshi

 

 

Name

Mr. Anjan Chowdhury

Designation

Director

Nationality

Bangladeshi

 

 

Name

Mr. Kazi Iqbal Harun

Designation

Director

Nationality

Bangladeshi

 

 

Name

Mr. K. M. Saiful Islam

Designation

Director

Nationality

Bangladeshi

 

 

BUSINESS DETAILS

 

Line of Business

Manufacturer, Seller & Exporter

Items Dealing In

Finished Products, Basic Chemicals, Agrovet Products &  

Pesticide Products

Terms of Purchase

Local: cash or Credit

Import: Against L/C

Terms of Sale

Local: cash or Credit

Export: Against L/C

 

BANKERS

 

Name

Standard Chartered Bank

Branch

Gulshan Branch

Address

Gulshan Avenue, Dhaka

SWIFT

N/A

 

 

Name

Janata Bank Limited

Branch

Dilkusha Branch

Address

Dilkusha Commercial Area, Dhaka

SWIFT

N/A

 

 

Name

Citibank N.A

Branch

Gulshan Branch

Address

Gulshan Avenue, Dhaka

SWIFT

N/A

 

 

Name

Commercial Bank of Ceylon Limited

Branch

Motijheel Branch

Address

Motijheel Commercial Area, Dhaka         

SWIFT

N/A

 

 

Name

Eastern Bank Limited

Branch

Gulshan Branch

Address

Gulshan Circle-2, Dhaka

SWIFT

N/A

 

 

Name

Mercantile Bank Limited

Branch

Dilkusha Branch

Address

Dilkusha Commercial Area, Dhaka

SWIFT

N/A

 

FINANCIAL INFORMATION

 

BALANCE SHEET

As at 31st March 2009

 

Assets:

 

Non-Current Assets

9,407,730,001

Property, Plant and Equipment-carrying value

4,899,679,832

Capital Work-in-Progress

------------------------

Investment-Long Term (at cost)

4,508,050,169

Current Assets:

3,843,512,855

Inventories

2,098,755,231

Trade Debtors

477,562,002

Advances, Deposits and Prepayments

260,330,162

Investment in Marketable Securities (at Cost)

20,250,000

Short Term Loan

693,157,720

Cash and Cash Equivalents

293,457,740

TOTAL ASSETS:

     Tk. 13,251,242,856

Shareholders’ Equity and Liabilities:

 

Shareholders’ Equity:

9,949,397,634

Share Capital

1,207,224,000

Share Premium

2,035,465,000

General Reserve

105,878,200

Tax Holiday Reserve

1,101,935,237

Retained Earnings

5,498,895,197

Non-Current Liabilities:

660,976,668

Long Term Loans-Secured

449,757,608

Deferred Tax Liabilities

211,219,060

Current Liabilities:

2,640,868,554

Short Term Bank Loans

1,534,345,782

Long term Loans-Current Portion

295,590,601

Trade Creditors

124,222,699

Liabilities for Expenses

69,573,702

Liabilities for Other Finance

617,135,770

 

 

Total Shareholder’s Equity And Liabilities

Tk.13,251,242,856

 

 

PROFIT AND LOSS ACOUNT

As at for the ended 31st March 2009

 

GROOS TURNOVER

11,366,597,928

Less: Value Added Tax

1,545,801,360

NET TURNOVER

9,820,796,568

COST OF GOODS SOLD

(5,672,565,973)

GROSS PROFIT

4,148,230,595

Operating Expenses:

(1,779,793,368)

Selling and Distribution Expenses

(1,319,362,317)

Administrative Expenses

(460,431,051)

PROFIT FROM OPERATIONS

2,368,437,227

Other Income

665,520,915

Financial Expenses

(397,135,963)

NET PROFIT BEFORE WPPF

2,636,822,179

Allocation for WPPF

(125,562,961)

NET PROFIT BEFORE TAX

2,511,259,218

Provision for Income Tax

(592,644,226)

Provision for Deferred Income Tax

           (28,562,063)

NET PROFIT AFTER TAX

Tk.1,890,052,929

Earnings Per Share (EPS)

Tk.156.56

 

 

Auditors:                                  M/S. Chowdhury Bhattacharjee & Co

                                                Chartered Accountants

                                                47/2 Indira Road

                                                Dhaka-1215

 

 

CAPITAL STRUCTURE

 

Authorized Capital

Tk.5,000 million

Paid Up Capital

Tk.1,207.22 million

Each Share Value

Tk.100.00

 

 

EXCHANGE RATE

 

Currency

Unit

Bangladeshi Taka (BDT)

 

Great Britain Pound

1

108.8310 

U.S Dollar

1

70.7200 

European Euro

1

92.8129 

 

 

 

 

 

ADVERSE DATA MONITORING

 

Dishonored Checks

No Found

Debt

No Records Found

Litigation

No Records Found

Performance Defaults

No Records Found

Adverse Press Coverage

No Records Found

Money Laundering

No Records Found

 

 

MAXIMUM RECOMMENDED CREDIT

 

Amount

Based On

US$ 200,000.00

90 Days

 

 

GENERAL INFORMATION

 

Employees

3,811

Office Area (Sq. Ft)

3,500 sq.ft (own)

Factory Area (Sq. Ft)

35,000 sq.ft (own)

Warehouse Area (Sq. Ft)

5,200  sq.ft.(own)

Range of Products

4 Tablets

4 Capsules

4 Suspensions

4 Injections

4 ENT Preparation & Others

4 Optal Preparation & Others

4 Dry Syrup

4 Suppository

4 Inhales

4 Basic Chemicals

4 Tablet-Agrovet

4 Powder-Agrovet

4 Injection-Agrovet

4 Liquids-Agrovet

4 Aerosol

Export Market

4 Afghanistan

4 Bhutan

4 Cambodia

4 Hong Kong

4 Korea

4 Macau

4 Malaysia

4 Myanmar

4 Nepal

4 Papua New Guinea

4 Sri Lanka

4 Tajikistan

4 Vietnam

4 Yemen

4 Comoros Island

4 Gambia

4 Ghana

4 Kenya

4 Libya

4 Malawi

4 Mauritius

4 Mozambique

4 Niger

4 Sierra Leone

4 Somalia

4 Sudan

4 Tanzania

4 Belize

4 Costa Rica,

4 Guatemala

Major Clients

4 Central Medical Store Depot, Bangladesh Government

4 Bangladesh Army

4 Bangladesh Rifles

4 Police Hospital

4 BIRDEM

4 Chittagong Medical College & Hospital

4 M.A.G. Osmani Medical College & Hospital Sylhet

4 HCDP (Health care Development project)

4 Apollo Hospitals

4 United Hospital

4 Square Hospitals Ltd

4 Labaid Cardiac Hospital

4 Lab Aid Specialized Hospital

Raw Materials Imported From

4  EEC Countries

4  China

4  Korea

4  Singapore

4  Pakistan

4  India

4  Australia

4 Taiwan

 

Stock Code

4 squarepharma (DSE)

4 sqph (CSE)

Enlisted With

4 Dhaka Stock Exchange Limited (DSE)

4 Chittagong Stock Exchange Limited (CSE)

Certifications

NIL

Group Name

Square Group

Subsidiaries / Affiliates

4 Square Spinning Limited

4 Square Cephalosporin Limited

4 Square Biotechs Limited

4 Square Textiles Limited

4 Square Knit Fabrics Limited

4 Square Fashions Limited

4 Square Hospitals Limited

4 Square Toiletries Limited

4 Square Consumer Products Limited

4 Square Informatix Limited

4 Square Agro Development & Processing Limited

4 Square Herbal & Nutraceuticals Limited

Member

4 Bangladesh Association of Pharmaceuticals, Dhaka

4 Dhaka Chamber of Commerce & Industries, Dhaka

 

 

COMMENTS

 

                       The subject is a public limited company who is engaged in manufacturing, selling & exporting of 

Finished Products, Basic Chemicals, Agrovet Products & Pesticide Products. The company’s factory is most modern and the quality of their products is of international standard. Their products are popular and sold all over the country.

 

Square Pharmaceuticals Ltd., the flagship company, is holding the strong leadership position in the pharmaceutical industry of Bangladesh since 1985 and is now on its way to becoming a high performance global player.

 

The subject is concern of Square Group, a renowned business house of Bangladesh.

 

The directors are well conversant in their line of trade and they are also experienced businessman. They are financially solvent and good at their business commitments, it is reported.

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.45.20

UK Pound

1

Rs.73.07

Euro

1

Rs.61.41

 

 

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%)

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.