MIRA INFORM REPORT

 

 

Report Date :           

16.03.2011

 

IDENTIFICATION DETAILS

 

Name :

TRELLEBORG ENGINEERED SYSTEMS AUSTRALIA PTY LTD

 

 

Formerly Known As :

Trelleborg Queensland Rubber P/L

 

 

Registered Office :

515 Zillmere Road, Zillmere, Queensland 4034

 

 

Country :

Australia

 

 

Financials (as on) :

31.12.2009

 

 

Date of Incorporation :

03.05.1955

 

 

Legal Form :

Proprietary Company

 

 

Line of Business :

manufacture and design of specialty engineered products covering

 

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)

Australia

a1

a1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

REGISTERED NAME      

 

TRELLEBORG ENGINEERED SYSTEMS AUSTRALIA PTY LTD

ACN: 009 674 195

ABN: 35 009 674 195

 

 

CORPORATE SEARCH

 

Incorporation Date:                     03 May 1955

 

Incorporation State:                    Queensland

 

Registered Office                       515 ZILLMERE Road

                                                ZILLMERE, Queensland 4034 Australia

 

Number of Shares Issued:           26538

 

Paid Capital:                              53076

 

Shareholders                             QUEENSLAND RUBBER (HOLDINGS) PTY. L

                                                Number of Shares: 26538

 

Directors                                   SMIT, GERRIT

Appointment Date: 01 Nov 2005

Date of Birth: 05 Sep 1953

Gender: Unknown

Address:

Resident Overseas: Yes

 

JOHANSSON, LENNART KARL

Appointment Date: 01 Nov 2005

Date of Birth: 29 Jan 1960

Gender: Unknown

Address:

Resident Overseas: Yes

 

OLSSON, LARS EVALD

Appointment Date: 18 Aug 2003

Date of Birth: 09 Aug 1953

Gender: Unknown

Address:

Resident Overseas: Yes

 

CAGE, JEFFERY BRUCE

Appointment Date: 30 Apr 2001

Date of Birth: 26 Oct 1952

Gender: Male

Address: 33 EVELYN Street GRANGE, Queensland 4051 Australia

Resident Overseas: No

 

Secretary                                  ANDREW ROBERT CRAWFORD

                                                Appointment Date: 10 Jul 2009

 

                                                                       

BUSINESS STRUCTURE

 

TRADING ADDRESS     515 Zillmere Rd

                                    ZILLMERE, QLD 4034

 

 

POSTAL ADDRESS       PO Box 484,

Virginia, QLD 4014

 

 

TELEPHONE                 (617) 3866 7444

 

FACSIMILE                      (617) 3263 4912

 

BRANCH                          KEWDALE, WA

 

HOLDING ENTITY               QUEENSLAND RUBBER (HOLDINGS) P/L

 

ULTIMATE HOLDING

ENTITY                                TRELLEBORG AG

 

BANK                           HSBC  

                                               

EMPLOYEES                61

           

 

BACKGROUND

 

The subject was incorporated in Queensland on 3 May 1955 as Queensland Rubber Company P/L, changing name on 30 May 2001 to Trelleborg Queensland Rubber P/L, before adopting the current style on 4 June 2007.

                       

The Trelleborg Group purchased Queensland Rubber Company Pty Ltd and its associated companies in 2001 and was combined into the Trelleborg Engineered System Division which has a very extensive range of engineered rubber products focused on Offshore, Infrastructure, Construction and Marine Industries.

 

Queensland Rubber Pty Ltd was established in 1946 by entrepreneurial dentist Stratton Russell and focused on specialty engineered rubber products for Infrastructure. In 2001 the company was marketing its products in excess of 40 countries.

 

The Trelleborg Group was established in Sweden in 1905 and concentrated on the manufacture of industrial rubber goods and tyres. Subsequent to the Second World War, Trelleborg built substantial export operations and in 1964 was listed o the Stockholm Exchange. At the beginning of the 1990’s the Trelleborg Groups operations included mining and metals, mineral processing, distribution of products to the building sector and paper and pulp industries. In the 1990’s divested of non-core operations and focused on concentrating and expanding in it original core business of elastomer and polymer related products.

 

OPERATIONS

 

The subject operates in the manufacture and design of specialty engineered products covering:

 

- Anti vibration and acoustic isolation for rail systems

 

- Acoustic isolation for major Performing Arts Complexes

 

- Movement supports and bearings for bridges, buildings and offshore structures

 

- Specialty water seals for dams, dry docks, canals, tunnels and reservoirs

 

- Marine fendering systems

 

- Specialty safety products for electrical utilities

 

- Sheeting for all industrial and mining purposes

 

Activities are conducted from premises located at the above listed trading address.

 

 

ADVERSE

                                               

A search of the of Credit Advantage Limited failed to trace any litigation listed against the subject at that date.

 

 

FINANCES

 

From the subjects most recently lodged financial statements, it is noted that for the financial year ended 31 December 2009 the subject recorded revenue of $24,445,501, which resulted in an operating profit before tax of $1,553,869 and an operating profit after tax of $1,153,006 representing a Net Profit Margin of 4.72%.

 

During the current interview conducted with the subjects Financial Controller she advised that for the last financial year ended 31 December 2010 the subject traded profitably and recorded revenue of $24 million.

 

Below is a summary of the subject’s income results for the past two financial years.

 

 

Trelleborg Engineered Systems Australia Pty Ltd

 

As at 31 December 2009

As at 31 December 2008

Change (%)

Revenue

$24,445,501

$21,883,862

11.71%

Profit b/tax

$1,553,869

$1,042,996

48.98%

Profit a/tax

$1,153,006

$726,699

58.66%

Net Profit Margin

4.72%

3.32%

1.40%

 

During fiscal 2009, the subject recorded Net Cashflows from operating activities totalling $2,701,760

 

As at 31 December 2009 the subject recorded total current assets of $7,805,342. They included cash of $834,936, receivables of $3,307,316 and inventories of $3,663,090.

 

Current liabilities at the same date totalled $21,970,078 and included payables of $20,672,509.

 

As at 31 December 2009 the subject recorded a deficiency in Working Capital of $14,164,736 and a current ratio of 0.36 to 1 indicating some tightness in liquidity levels.

 

Included in the subject’s current liabilities is an amount of $17,805,554 owing to the parent and related entities. The Directors expect that the parent and related entities will not demand repayment of these amounts in the 12 months following the 2009 annual report. The 2009 accounts have subsequently been prepared on a going concern basis.

 

Net Assets totalled $7,753,451 as at 31 December 2009. At this date, the subject further recorded a Debt to Equity ratio of 2.85 to 1.

 

 

Trelleborg Engineered Systems Australia Pty Ltd

 

As at 31 December 2009

As at 31 December 2008

Change (%)

Revenue

$24,445,501

$21,883,862

11.71%

Profit b/tax

$1,553,869

$1,042,996

48.98%

Profit a/tax

$1,153,006

$726,699

58.66%

Net Profit Margin

4.72%

3.32%

1.40%

Current Assets

$7,805,342

$11,501,655

-32.14%

Non-Current Assets

$22,026,308

$12,840,590

71.54%

Total Assets

$29,831,650

$24,342,245

22.55%

Current Liabilities

$21,970,078

$17,656,217

24.43%

Non-Current Liabilities

$108,121

$85,583

26.33%

Total Liabilities

$22,078,199

$17,741,800

24.44%

Net Assets

$7,753,451

$6,600,445

17.47%

Working Capital

($14,164,736)

($6,154,562)

130.15%

Current Ratio

0.36

0.65

-45.46%

Debt to Equity

2.85

2.69

5.94%

 

The subject is ultimately owned by Trelleberg AB, a public listed Swedish based company that employs 21,119 staff globally.

 

For the year ended 31 December 2009, the global group recorded consolidated sales of US$3,763,900,000 which resulted in Net Income of USD 58.3 million.

 

 

TRADE SURVEY

 

A trade survey on the subject traced the following accounts:

 

·         (Elastomix) Purchases average $30,000 to $40,000 per month on 60 day terms. Payment is met to terms and the account is considered satisfactory having been known over 5 years.

 

·         (powerhouse International) Purchases average $5,000 per month on 7 day disbursement and 30 day final terms. Payment is met to terms and the account is considered satisfactory having been known since May 2005.

 

 

SUMMARY

 

The subject was incorporated in Queensland on 3 May 1955, before adopting the current style on 4 June 2007.

                       

For the financial year ended 31 December 2009 the subject recorded revenue of $24,445,501, which resulted in an operating profit before tax of $1,553,869 and an operating profit after tax of $1,153,006 representing a Net Profit Margin of 4.72%.

 

For the last financial year ended 31 December 2010 the subject traded profitably and recorded revenue of $24 million.

 

As at 31 December 2009 the subject recorded a deficiency in Working Capital of $14,164,736 and a current ratio of 0.36 to 1 indicating some tightness in liquidity levels.

 

Included in the subject’s current liabilities is an amount of $17,805,554 owing to the parent and related entities. The Directors expect that the parent and related entities will not demand repayment of these amounts in the 12 months following the 2009 annual report. The 2009 accounts have subsequently been prepared on a going concern basis.

 

Net Assets totalled $7,753,451 as at 31 December 2009.

 

                                               

 

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.45.27

UK Pound

1

Rs.72.95

Euro

1

Rs.63.08

 

 

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%)

 

 

 

 

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.