MIRA
INFORM REPORT
|
Report Date : |
02.05.2011 |
IDENTIFICATION DETAILS
|
Name : |
TANG TIHUA HENG COMPANY LIMITED |
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Registered Office : |
141 Rama 2
Road, Chomthong, |
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Country : |
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Financials (as on) : |
31.12.2009 |
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Date of Incorporation : |
24.09.1974 |
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Com. Reg. No.: |
0105517010821 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Importer & distributor of dyestuff & chemical products |
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 |
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Payment Behaviour : |
No Complaints |
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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) |
|
|
B1 |
B1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
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Restricted |
C2 |
|
Off-credit |
D |
Company name
TANG
TIHUA HENG COMPANY
LIMITED
SUMMARY
BUSINESS
ADDRESS : 141
RAMA 2 ROAD,
CHOMTHONG,
TELEPHONE : [66] 2427-0096,
428-7762, 427-8612, 2874-2003-9
FAX :
[66] 2427-8615-6
E-MAIL
ADDRESS : tthh@loxinfo.co.th
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1974
REGISTRATION
NO. : 0105517010821 [Former : 1093/2517]
CAPITAL REGISTERED : BHT. 60,000,000
CAPITAL PAID-UP : BHT.
60,000,000
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR.
PONGMITR CHERNVIRIYAKUL, THAI
MANAGING DIRECTOR
NO.
OF STAFF : 65
LINES
OF BUSINESS : DYESTUFF &
CHEMICAL PRODUCTS
IMPORTER &
DISTRIBUTOR
CORPORATE PROFILE
OPERATING
TREND : STABLE
PRESENT
SITUATION : OPERATING NORMALLY
REPUTATION : GOOD
WITH
MANAGEMENT
STANDARD : MANAGEMENT WITH
FAIR PERFORMANCE
HISTORY
The subject was established on September 24,
1974 as a
private limited company
under the name
style TANG TIHUA
HENG COMPANY LIMITED
by Thai Groups,
in order to distribute industrial
chemicals to local
industries. It currently employs
approximate 65 staff.
The subject received
the International Standard
ISO 9001:2000 by AJA
on September 24,
2003.
The subject’s registered address
was initially located
to 455 Moo 3, Rama 2, Rd.,
Chomthong, Bangkok 10150.
On September 28,
2009, the subject’s registered
address was changed
from “455 Moo 3” to “141” by the
Jomthong District Office,
actually both are
the same location.
This is also
the subject’s current
operation address
THE BOARD
OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Pramote Chernviriyakul |
|
Thai |
61 |
|
Mr. Somsak Chernviriyakul |
|
Thai |
56 |
|
Mr. Pongmitr Chernviriyakul |
|
Thai |
58 |
AUTHORIZED PERSON
Two of the
above directors can
jointly sign on
behalf of the
subject with company’s
affixed.
MANAGEMENT
Mr. Pongmitr Chernviriyakul is
the Managing Director.
He is Thai nationality
with the age
of 58 years
old.
Ms. Narumol Itti-anuwat is
the General Manager.
She is Thai
Nationality.
BUSINESS OPERATIONS
The subject’s activities are importer and distributor
of industrial chemicals
such as dyestuff, auxiliary, pigments, solvents and others for
textile, paper, tannery industries. Range of
products are as
follows:
- Dyestuff; direct,
direct fast, pigment,
reactive, fluorescent pigment,
disperse, acid, O.B.A.,
vat superfine, basic,
naphthol and sulphur.
- Textile
Auxiliary; sizing [Gohsenol PVA], GH-17Y & various grades,
desizing, scouring dyeing
assistant such as leveling, wetting
carrier, softener, fixing,
printing [thickening
agent], printing
pbinder, special binder],
resin finishing.
- Basic chemical; H2O2 50%,
Soda Ash, caustic
soda, Sod. Persulphate, Sod. Hydrosulphate, Sod.
Bicarbonate, 65%/ 90%
Trichlorolsocyanuric acid, and
etc.
IMPORT [COUNTRIES]
80% of the products
is imported from Japan, Spain, Germany, Republic of
China, Singapore and Taiwan,
and the remaining
20% is purchased
from local suppliers.
MAJOR SUPPLIERS
|
Name |
Country |
|
|
: |
|
Showa Kako Corporation |
: |
|
Farbchemine Branuk AG. |
: |
|
Freedom Chemical Diamalt |
: |
|
Chorng Lung Machinery
Co., Ltd. |
: |
|
Dow Chemical Thailand
Co., Ltd. |
: |
|
BAFS [Thai] Ltd. |
: |
|
Clariant Chemical Co.,
Ltd. |
: |
|
Cheinyee Chemical Industries
Ltd. |
: |
|
ADI Asia Dyestuff
Industries Ltd. |
: |
SALES [LOCAL]
100% the products
is sold locally
to manufacturers, wholesalers
and end-users.
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.
BANKING
Bangkok Bank Public
Co., Ltd.
Krung Thai Bank
public Co., Ltd.
EMPLOYMENT
The subject employs
65 staff. [office and
sales staff]
LOCATION DETAILS
The premise is
owned for administrative office
and warehouse at
the heading address
in a 4 storey building of 1
row shop houses. Premise
is located in
commercial/residential area.
REMARK
MAXIMUM CREDIT SHOULD
BE GRANTED AT
US$ 500,000.
COMMENT
The subject’s
sales revenues in
2009 was drastically
decreased comparing to the
previous year due
economic uncertainty and
political setback. As well industrial sector downturn has
caused to slow
consumption of industrial
chemicals.
However, the subject
anticipates a slightly
increase in sales
revenues this year.
FINANCIAL INFORMATION
The capital was
registered at Bht. 1,000,000 divided
into 1,000 shares
of Bht. 1,000
each.
The capital was
increased later as
following:
Bht. 4,000,000
on August 5,
1976
Bht. 12,000,000
on April 15,
1980
Bht. 32,000,000
on July 29,
1983
Bht. 60,000,000
on August 20,
1992
The latest registered
capital was increased
to Bht. 60,000,000 divided
into 60,000 shares
of Bht. 1,000
each with fully
paid.
THE SHAREHOLDERS
LISTED WERE
[as at April
30, 2010]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Pongmitr Chernviriyakul Nationality: Thai
Address :
46/110 Moo 9, Bangmod,
Chomthong, |
19,900 |
33.17 |
Mr.
Somsak Chernviriyakul
Nationality: Thai
Address : 455
Moo 3, Rama 2, Chomthong, |
19,900 |
33.17 |
Mr.
Pramote Chernviriyakul
Nationality: Thai
Address : 3/23
Moo 2, Bangmod, Chomthong, |
19,900 |
33.17 |
|
Ms. Rattiya Kor-anurak Nationality: Thai
Address : Muang, Nakornpathom |
100 |
|
Ms.
Saifon Pongtheekayu
Nationality: Thai
Address : 28/45
Moo 8, Bangmod, Chomthong,
|
100 |
= 0.49 |
Ms.
Naruemol Ithianuwatr
Nationality: Thai
Address : 665, 665/1
Moo 11, Bangpakok,
Rajburana, |
100 |
|
Total Shareholders : 6
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Mr. Viroon Charoensantiphap No.
5717
BALANCE SHEET [BAHT]
The latest
financial figures published
for December 31,
2009 & 2008
were:
ASSETS
|
Current Assets |
2009 |
2008 |
|
|
|
|
|
Cash and Cash Equivalent |
13,739,938.23 |
2,536,933.53 |
|
Trade Accts. Receivable |
88,391,021.19 |
86,802,230.10 |
|
Inventories |
50,847,359.70 |
68,367,164.31 |
|
Other Current Assets |
526,512.04 |
431,544.67 |
|
Total Current Assets
|
153,504,831.16 |
158,137,872.61 |
|
Cash at Bank
under Commitment |
661,495.00 |
643,985.08 |
|
Fixed Assets |
19,700,753.72 |
25,278,461.72 |
|
Other Assets |
122,700.00 |
122,700.00 |
|
Total Assets |
173,989,779.88 |
184,183,019.41 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2009 |
2008 |
|
|
|
|
|
Bank Overdraft |
- |
31,780,590.73 |
|
Trade Accts. Payable |
24,712,136.63 |
8,573,728.00 |
|
Accrued Expenses |
8,843,040.00 |
5,698,846.11 |
|
Accrued Income Tax |
1,511,289.51 |
1,210,554.67 |
|
Other Current Liabilities |
90,506.06 |
1,948,827.95 |
|
Total Current Liabilities |
35,156,972.20 |
49,212,547.46 |
|
Total Liabilities |
35,156,972.20 |
49,212,547.46 |
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
Share capital : Baht 1,000
par value authorized, issued
and fully paid share
capital 60,000 shares |
60,000,000.00 |
60,000,000.00 |
|
Capital Paid |
60,000,000.00 |
60,000,000.00 |
|
Retained Earning -
Unappropriated |
78,832,807.68 |
74,970,471.95 |
|
Total Shareholders' Equity |
138,832,807.68 |
134,970,471.95 |
|
Total Liabilities & Shareholders' Equity |
173,989,779.88 |
184,183,019.41 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
2009 |
2008 |
|
|
|
|
|
Sales |
197,565,723.00 |
288,414,571.63 |
|
Other Income |
163,604.49 |
70,114.37 |
|
Total Revenues |
197,729,327.49 |
288,484,686.00 |
|
Expenses |
|
|
|
|
|
|
|
Cost of Goods
Sold |
144,303,529.10 |
236,478,847.17 |
|
Selling Expenses |
5,043,215.60 |
4,715,522.16 |
|
Administrative Expenses |
41,788,527.60 |
39,005,011.62 |
|
Total Expenses |
191,135,272.30 |
280,199,380.95 |
|
Profit / [Loss] Before Financial Cost & Income Tax |
6,594,055.19 |
8,285,305.05 |
|
Financial Cost |
[432,929.95] |
[2,865,219.87] |
|
Profit / [Loss] Before Income
Tax |
6,161,125.24 |
5,420,085.18 |
|
Income Tax |
[2,298,789.51] |
[2,083,104.67] |
|
Net Profit / [Loss] |
3,862,335.73 |
3,336,980.51 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2009 |
2008 |
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
CURRENT RATIO |
TIMES |
4.37 |
3.21 |
|
QUICK RATIO |
TIMES |
2.90 |
1.82 |
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
10.03 |
11.41 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.14 |
1.57 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
128.61 |
105.52 |
|
INVENTORY TURNOVER |
TIMES |
2.84 |
3.46 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
163.30 |
109.85 |
|
RECEIVABLES TURNOVER |
TIMES |
2.24 |
3.32 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
62.51 |
13.23 |
|
CASH CONVERSION CYCLE |
DAYS |
229.41 |
202.14 |
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
COST OF GOODS SOLD |
% |
73.04 |
81.99 |
|
SELLING & ADMINISTRATION |
% |
23.70 |
15.16 |
|
INTEREST |
% |
0.22 |
0.99 |
|
GROSS PROFIT MARGIN |
% |
27.04 |
18.03 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
3.34 |
2.87 |
|
NET PROFIT MARGIN |
% |
1.95 |
1.16 |
|
RETURN ON EQUITY |
% |
2.78 |
2.47 |
|
RETURN ON ASSET |
% |
2.22 |
1.81 |
|
EARNING PER SHARE |
BAHT |
64.37 |
55.62 |
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
DEBT RATIO |
TIMES |
0.20 |
0.27 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.25 |
0.36 |
|
TIME INTEREST EARNED |
TIMES |
15.23 |
2.89 |
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
SALES GROWTH |
% |
(31.50) |
|
|
OPERATING PROFIT |
% |
(20.41) |
|
|
NET PROFIT |
% |
15.74 |
|
|
FIXED ASSETS |
% |
(22.07) |
|
|
TOTAL ASSETS |
% |
(5.53) |
|
PROFITABILITY
RATIO
|
Gross Profit Margin |
27.04 |
Impressive |
Industrial Average |
10.07 |
|
Net Profit Margin |
1.95 |
Impressive |
Industrial Average |
1.37 |
|
Return on Assets |
2.22 |
Acceptable |
Industrial Average |
3.50 |
|
Return on Equity |
2.78 |
Deteriorated |
Industrial Average |
10.32 |
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 27.04%. When
compared with the industry average, the ratio of the company was higher,
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 1.95% 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. When compared with the
industry average, its was lower, the company's figure is 2.22%.
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. When compared with the
industry average, its was lower, the company's figure is 2.78%.
Trend of the
average competitors in the same industry for last 5 years
Return on Assets Uptrend
Return on Equity Downtrend
LIQUIDITY RATIO
|
Current Ratio |
4.37 |
Impressive |
Industrial Average |
1.41 |
|
Quick Ratio |
2.90 |
|
|
|
|
Cash Conversion Cycle |
229.41 |
|
|
|
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 4.37 times in 2009, increase from 3.21 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 operators 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 2.9 times in 2009,
increase from 1.82 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 230 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE RATIO
|
Debt Ratio |
0.20 |
Impressive |
Industrial Average |
0.61 |
|
Debt to Equity Ratio |
0.25 |
Impressive |
Industrial Average |
1.74 |
|
Times Interest Earned |
15.23 |
Impressive |
Industrial Average |
2.23 |
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 stronger equity position.
Times Interest Earned measuring a company's ability to meet its debt
obligations. Ratio is 15.24 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 0.2 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 Uptrend
ACTIVITY RATIO
|
Fixed Assets Turnover |
10.03 |
Satisfactory |
Industrial Average |
10.31 |
|
Total Assets Turnover |
1.14 |
Deteriorated |
Industrial Average |
2.56 |
|
Inventory Conversion Period |
128.61 |
|
|
|
|
Inventory Turnover |
2.84 |
Deteriorated |
Industrial Average |
7.30 |
|
Receivables Conversion Period |
163.30 |
|
|
|
|
Receivables Turnover |
2.24 |
Deteriorated |
Industrial Average |
4.60 |
|
Payables Conversion Period |
62.51 |
|
|
|
Trend of the average
competitors in the same industry for last 5 years
Fixed Assets Turnover Downtrend
Total Assets Turnover Uptrend
Inventory Turnover Uptrend
Receivables Turnover Uptrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.44.38 |
|
|
1 |
Rs.73.88 |
|
Euro |
1 |
Rs.65.83 |
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.