MIRA INFORM REPORT
|
Report Date : |
09.07.2011 |
IDENTIFICATION DETAILS
|
Name : |
CREATIVE
GEMS & JEWELRY
PUBLIC COMPANY LIMITED |
|
|
|
|
Registered Office : |
20/11 Soi Anamai - Ngamcharoen 31, Rama
2 Road, Ta-Kham,
Bangkhunthien, Bangkok 10150 |
|
|
|
|
Country : |
Thailand |
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|
|
Financials (as on) : |
30.09.2009 |
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Date of Incorporation : |
14.06.1993 |
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Com. Reg. No.: |
0107547001008 |
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|
Legal Form : |
Public Limited Company |
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Line of Business : |
Manufacturer, exporter and distributor of 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 : |
Usually Correct |
|
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 – March 31st, 2011
|
Country Name |
Previous Rating (31.12.2010) |
Current Rating (31.03.2011) |
|
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
CREATIVE
GEMS & JEWELRY
PUBLIC COMPANY LIMITED
SUMMARY
BUSINESS
ADDRESS : 20/11
SOI ANAMAI-NGAMCHAROEN 31,
RAMA 2
ROAD, TA-KHAM, BANGKHUNTHIEN,
BANGKOK 10150,
THAILAND
TELEPHONE : [66] 2417-9348,
2417-9802-5
FAX :
[66] 2867-2956-9,
2417-9783
E-MAIL
ADDRESS : service@creativegem.com
REGISTRATION
ADDRESS : 72/106 MOO 4, T. BANKOH, A.
MUANG,
SAMUTSAKORN
ESTABLISHED
: 1993
REGISTRATION
NO. : 0107547001008 [Former : 0107574701006]
CAPITAL REGISTERED : BHT. 400,000,000
CAPITAL PAID-UP : BHT.
300,000,000
FISCAL YEAR CLOSING DATE : SEPTEMBER 30
LEGAL
STATUS : PUBLIC LIMITED
COMPANY
EXECUTIVE : MR. THITI RASMEETHAMACHOTE, THAI
MANAGING DIRECTOR
NO.
OF STAFF : 1,000
LINES
OF BUSINESS : JEWELRY PRODUCTS
MANUFACTURER, EXPORTER
AND DISTRIBUTOR
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 June 14,
1993 originally as
a private limited
company under the
registered name “Creative
Gems & Jewelry Co., Ltd.” by
Thai groups. On
October 22, 2004,
subject became to be
public company named
CREATIVE GEMS & JEWELRY PUBLIC
COMPANY LIMITED. Its business
objective is a
manufacturer various styles
of jewelry products
with BOI promotional
privilege for both
domestic and export
markets. It currently employs approximate
1,000 staff. The subject
is also one
of the top
jewelry manufacturers and exporters
in Thailand.
The
subject’s registered address
was initially located
at 19/3 Moo
14, Thasala, Muang,
Lopburi province.
In
2004, it was
moved to 72/106
moo 4, T. Bankoa, A. Muang, Samutsakorn.
In 2006,
its business address
was relocated to 20/11 Rama 2 Rd., Ta-kham, Bangkhunthien, Bangkok
10150, while the registered
address is at 72/106
Moo 4, T. Bankoh, A. Muang,
Samutsakorn.
THE BOARD OF
DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Ms. Jariya Saefa |
[x] |
Thai |
56 |
|
Mr. Arvuth Jaengtrakul |
|
Thai |
56 |
|
Mr. Ekasith Nilaratanaporn |
|
Thai |
43 |
|
Mr. Eyal Aspler |
|
French |
49 |
|
Mr. Thiti Rasmeethamachote |
[x] |
Thai |
33 |
AUTHORIZED PERSON
Both mentioned directors
[x] can jointly
sign on behalf
of the subject
with company’s affixed.
MANAGEMENT
Mr. Thiti Rasmeethamachote is
the Managing Director.
He is Thai
nationality with the
age of 33
years old.
Ms. Jariya Saefa is
the Administration Manager.
She is Thai
nationality with the
age of 56
years old.
BUSINESS OPERATIONS
The subject is engaged in manufacturing various styles of silver
and gold jewelry
products, specialized in
fine jewelry in
925 sterling silver
and 10k, 14k, 18k white
and yellow gold.
Its products include
sterling silver rings,
sterling silver earring,
sterling silver pendant,
sterling silver bracelet,
sterling silver necklace
and sterling silver
brooch, with over
400 designs. Its
gemstone production capacity
is approximately 500,000
carats per month,
and jewelry production
capacity in excess
to 50,000-70,000 pieces
per month.
PURCHASE
Raw materials and components are purchased from
suppliers both in
domestic and overseas,
mainly U.S.A., Brazil,
India and Canada.
EXPORT [COUNTRIES]
90% of the
products is exported
to Japan, Hong Kong,
Singapore, Canada, U.S.A., Europe,
Middle East and
South East Asia region.
SALES [LOCAL]
10%
of the products
is also sold
locally.
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
L/C at sight
or T/T.
BANKING
Bangkok Bank Public
Co., Ltd.
EMPLOYMENT
The
subject employs approximately
1,000 office staff
and factory workers.
LOCATION DETAILS
The premise is owned for administrative office, factory and warehouse at the
heading address. Premise
is located in
industrial area.
REMARK
CREDIT
OF US$ 125,000
AGAINST D/A TERMS
SHOULD BE IN
ORDER.
COMMENT
The subject
is one of
the top jewelry manufacturers
and exporters in
Thailand. With over
40 years of experience in gemstones and jewelry
industry, it has
become one of the
most respected names
in the world
of quality silver and gold jewelry.
Subject has
achieved remarkable results
in quality and management proven
by the international
quality accreditation. Building
on its year
of efforts, it
has strategically established
a wide-cover distribution
network, with steady business
growth in Europe, USA,
Middle East and South East Asia regions.
The subject
sustains core competencies
in gemstone and
jewelry business.
FINANCIAL INFORMATION
The
capital was registered
at Bht. 400,000,000
divided into 400
million shares of
Bht. 1 each.
THE
SHAREHOLDERS LISTED WERE
: [as at
January 30, 2010]
at Bht. 300
million of capitalization.
|
NAME |
HOLDING |
% |
|
|
|
|
|
TGI [Thailand] Co.,
Ltd. Nationality: Thai Address : 126/1
Thonburi Rd., Banglamphulang, Klongsan, Bangkok |
189,999,930 |
63.33 |
|
Mr. Thiti Rasmeethamachote Nationality: Thai Address : 59/18
Charoenkrung Rd., Yannawa,
Sathorn, Bangkok |
110,000,000 |
36.67 |
|
Others |
70 |
- |
Total Shareholders : 9
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Ms. Suwanna Kongsathitaporn No. 3696
BALANCE SHEET [BAHT]
The latest
financial figures published
for September 30,
2009 & 2008 were:
ASSETS
|
Current Assets |
2009 |
2008 |
|
|
|
|
|
Cash and Cash Equivalent |
3,195,503.42 |
1,113,639.40 |
|
Trade Accounts & Notes Receivable |
494,262,384.13 |
657,846,283.21 |
|
Inventories |
406,837,653.95 |
498,976,481.94 |
|
Refundable Value Added Tax |
- |
10,459,625.74 |
|
Advance Deposit for Goods |
87,616,437.89 |
19,699,328.34 |
|
Other Current Assets |
11,368,243.06 |
10,830,721.16 |
|
|
|
|
|
Total Current Assets
|
1,003,280,222.45 |
1,198,926,079.79 |
|
|
|
|
|
Fixed Assets |
40,440,997.93 |
43,810,521.60 |
|
Other Assets |
1,594,515.40 |
1,258,815.40 |
|
Total Assets |
1,045,315,735.78 |
1,243,995,416.79 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2009 |
2008 |
|
|
|
|
|
Bank Overdraft & Short-term
Loan from Financial Institute |
149,915,463.70 |
99,987,613.57 |
|
Trade Accounts & Notes Payable |
47,158,624.82 |
56,018,313.37 |
|
Current Portion of Long-term
Loan |
11,040,000.00 |
11,640,000.00 |
|
Current Portion of Hire-purchase Payable |
1,298,674.18 |
1,073,281.00 |
|
Other Current Liabilities |
13,393,175.91 |
11,588,187.27 |
|
|
|
|
|
Total Current Liabilities |
222,805,938.61 |
180,307,395.21 |
|
Long-term Loan from Related Person |
40,009,346.73 |
47,093,691.92 |
|
Hire-purchase Payable, net of Current Portion |
3,314,865.85 |
2,464,779.00 |
|
Total Liabilities |
266,130,151.19 |
229,865,866.13 |
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
Share capital : Baht 1 par
value authorized, issued
and fully paid share
capital 400,000,000 shares |
400,000,000.00 |
400,000,000.00 |
|
|
|
|
|
Capital Paid |
300,000,000.00 |
300,000,000.00 |
|
Statutory Reserve |
30,000,000.00 |
30,000,000.00 |
|
Retained Earning-
Unappropriated |
449,185,584.59 |
684,129,550.66 |
|
Total Shareholders' Equity |
779,185,584.59 |
1,014,129,550.66 |
|
Total Liabilities & Shareholders' Equity |
1,045,315,735.78 |
1,243,995,416.78 |
PROFIT & LOSS ACCOUNT
|
Sale |
2009 |
2008 |
|
|
|
|
|
Sales |
808,143,212.90 |
829,018,524.34 |
|
Other Income |
3,263,319.89 |
1,640,376.96 |
|
Total Sale s |
811,406,532.79 |
830,658,901.30 |
|
Expenses |
|
|
|
|
|
|
|
Cost of Goods
Sold |
626,883,049.02 |
644,593,749.84 |
|
Selling and Administrative
Expenses |
99,094,783.76 |
93,873,955.12 |
|
Total Expenses |
725,977,832.78 |
738,467,704.96 |
|
|
|
|
|
Profit / [Loss] Before Financial Cost & Income Tax |
85,428,700.01 |
92,161,196.34 |
|
Financial Cost |
[20,372,666.08] |
[12,466,367.01] |
|
|
|
|
|
Net Profit / [Loss] |
65,056,033.93 |
79,724,829.33 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2009 |
2008 |
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
CURRENT RATIO |
TIMES |
4.50 |
6.65 |
|
QUICK RATIO |
TIMES |
2.23 |
3.65 |
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
19.98 |
18.92 |
|
TOTAL ASSETS TURNOVER |
TIMES |
0.77 |
0.67 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
236.88 |
282.54 |
|
INVENTORY TURNOVER |
TIMES |
1.54 |
1.29 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
223.23 |
289.64 |
|
RECEIVABLES TURNOVER |
TIMES |
1.64 |
1.26 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
27.46 |
31.72 |
|
CASH CONVERSION CYCLE |
DAYS |
432.66 |
540.46 |
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
COST OF GOODS SOLD |
% |
77.57 |
77.75 |
|
SELLING & ADMINISTRATION |
% |
12.26 |
11.32 |
|
INTEREST |
% |
2.52 |
1.50 |
|
GROSS PROFIT MARGIN |
% |
22.83 |
22.44 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
10.57 |
11.12 |
|
NET PROFIT MARGIN |
% |
8.05 |
9.62 |
|
RETURN ON EQUITY |
% |
8.35 |
7.86 |
|
RETURN ON ASSET |
% |
6.22 |
6.41 |
|
EARNING PER SHARE |
BAHT |
0.22 |
0.27 |
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
DEBT RATIO |
TIMES |
0.25 |
0.18 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.34 |
0.23 |
|
TIME INTEREST EARNED |
TIMES |
4.19 |
7.40 |
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
SALES GROWTH |
% |
(2.52) |
|
|
OPERATING PROFIT |
% |
(7.34) |
|
|
NET PROFIT |
% |
(18.40) |
|
|
FIXED ASSETS |
% |
(7.69) |
|
|
TOTAL ASSETS |
% |
(15.97) |
|
PROFITABILITY RATIO
|
Gross Profit Margin |
22.83 |
Impressive |
Industrial Average |
13.43 |
|
Net Profit Margin |
8.05 |
Impressive |
Industrial Average |
0.49 |
|
Return on Assets |
6.22 |
Impressive |
Industrial Average |
0.80 |
|
Return on Equity |
8.35 |
Impressive |
Industrial Average |
2.09 |
Gross Profit Margin used to assess a firm's financial health by
revealing the proportion of money left over from sale s 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 22.83%. 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 8.05% 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 6.22%, 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 8.35%, 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 |
4.50 |
Impressive |
Industrial Average |
1.66 |
|
Quick Ratio |
2.23 |
|
|
|
|
Cash Conversion Cycle |
432.66 |
|
|
|
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 4.5 times in 2009, decrease from 6.65 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 higher, indicated that company was an
efficient operator in a dominant position within its industry.
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 2.23 times in 2009,
decrease from 3.65 times, although excluding inventory so the company still
have good short-term financial strength.
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 433 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE RATIO
|
Debt Ratio |
0.25 |
Impressive |
Industrial Average |
0.52 |
|
Debt to Equity Ratio |
0.34 |
Impressive |
Industrial Average |
1.30 |
|
Times Interest Earned |
4.19 |
Impressive |
Industrial Average |
1.01 |
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 4.2 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 0.25 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 |
19.98 |
Impressive |
Industrial Average |
5.82 |
|
Total Assets Turnover |
0.77 |
Deteriorated |
Industrial Average |
1.61 |
|
Inventory Conversion Period |
236.88 |
|
|
|
|
Inventory Turnover |
1.54 |
Acceptable |
Industrial Average |
2.78 |
|
Receivables Conversion Period |
223.23 |
|
|
|
|
Receivables Turnover |
1.64 |
Deteriorated |
Industrial Average |
4.16 |
|
Payables Conversion Period |
27.46 |
|
|
|
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 Uptrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.44.33 |
|
UK Pound |
1 |
Rs.70.74 |
|
Euro |
1 |
Rs.63.65 |
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.