MIRA
INFORM REPORT
|
Report Date : |
11.05.2011 |
IDENTIFICATION DETAILS
|
Name : |
CENTRAL RETAIL
CORPORATION LIMITED |
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Registered Office : |
14th/Floor, |
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Country : |
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Financials (as on) : |
31.12.2009 |
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Date of Incorporation : |
23.07.1990 |
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Com. Reg. No.: |
0105533085504 |
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Legal Form : |
Private
Limited Company |
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Line of Business : |
Holding
Company |
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 |
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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
CENTRAL
RETAIL CORPORATION LIMITED
SUMMARY
BUSINESS
ADDRESS : 14th/FLOOR,
22
PATHUMWAN,
TELEPHONE : [66] 2650-3600
FAX :
[66] 2650-3721
E-MAIL
ADDRESS : crcpr@central.co.th
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1990
REGISTRATION
NO. : 0105533085504
CAPITAL REGISTERED : BHT. 2,114,285,710
CAPITAL PAID-UP : BHT.
2,114,285,710
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR. TOS CHIRATHIWAT,
THAI
CHIEF EXECUTIVE
OFFICER
NO.
OF STAFF : 600
LINES
OF BUSINESS : HOLDING COMPANY
CORPORATE PROFILE
OPERATING
TREND : STABLE
PRESENT
SITUATION : OPERATING NORMALLY
REPUTATION : GOOD
WITH
MANAGEMENT
STANDARD : MANAGEMENT WITH
GOOD PERFORMANCE
HISTORY
The
subject was registered
on July 23,
1990 as a
private limited company
under the registered
name “Rainbow Global Holding
Co., Ltd.,” by Chirathiwat
family.
On
August 22, 1996, the subject’s name was
changed to “CENTRAL RETAIL
CORPORATION LIMITED” with
the objective to
operate as a holding
and investment company
of retail business
group. It currently
employs approximate 600
staff.
The
subject is a
wholly owned subsidiary
of Harng Central
Department Store Co., Ltd.,
which is the leading retail business in Thailand
and a member
of the Central
Group.
The
subject’s registered address
is 22 Ploenchit
Rd, Lumpini, Pathumwan,
Bangkok 10330, and
this is the
subject’s current operation
address.
THE BOARD
OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Wanchai Chirathiwat |
|
Thai |
84 |
|
Mr. Sutthichai Chirathiwat |
|
Thai |
71 |
|
Mr. Sutthikiat Chirathiwat |
|
Thai |
69 |
|
Mr. Sutthisak Chirathiwat |
|
Thai |
66 |
|
Mr. Sutthilak Chirathiwat |
|
Thai |
55 |
|
Mr. Sutthitham Chirathiwat |
|
Thai |
64 |
|
Mr. Prin Chirathiwat |
|
Thai |
49 |
|
Mr. Narongrith Chirathiwat |
|
Thai |
53 |
|
Mr. Tos Chirathiwat |
|
Thai |
47 |
|
Ms. Sukulya Uawatanasakul |
|
Thai |
42 |
|
Mrs. Vimolmas Kuakomoldej |
|
Thai |
52 |
AUTHORIZED PERSON
Two of the
above directors can
jointly sign on
behalf of the
subject with company’s
affixed.
MANAGEMENT
Mr. Tos Chirathiwat is
the Chief Executive
Officer.
He is Thai
nationality with the
age of 47
years old.
BUSINESS OPERATIONS
The subject’s core
business is a
holding and investment
company in its
subsidiary and affiliated companies. It is
the largest non-food
retailer in Southeast
Asia, with multibrand
and multiformat retail
entities and specialty
stores, under the name “CENTRAL DEPARTMENT
STORES” which currently has 14
branches in Bangkok
and other major
provinces, as well
as other department
and specialty stores
including “ROBINSON DEPARTMENT STORES”, “POWER BUY”,
“SUPERSPORTS”, “B2S”, “OFFICE
DEPOT” and “HOMEWORKS”.
The subject also provides
retail business management
service, operates in
three department stores,
one supermarket and
six specialty retail
stores, consists as
the following:
- Department
Store
-
Central
Department Store
-
Robinson
Department Store
-
Zen
Department Store
- Supermarket
-
Top
Supermarket
- Special
Retail Store
-
Power Buy
-
Super Sport
-
B2S
-
Home Work
-
Office Depot
-
Thai Watsadu
PARENT COMPANY
Harng Central Department
Store Co., Ltd.
Business Type : Department
Store
Address :
SUBSIDIARY AND AFFILIATED
COMPANIES
Central Department Store
Ltd.
Business Type : Department Store
Office Club [Thai]
Co., Ltd.
Business Type :
Import and distribute
of Office Automation
CRC Power Retail
Co. Ltd.
Business Type :
Distribute of Homework
products
Powerbuy Co., Ltd.
Business Type :
Distribute of Home
Electric Appliances
B2S Co., Ltd.
Business Type :
Book Stores
Ratchada Nonsi Department
Store Co., Ltd.
Business Type :
Service & for
rent
Mass Concept Co.,
Ltd.
Business Type :
Department store
Central Online Co.,
Ltd.
Business Type :
IT business
CRC Sport Co.,
Ltd.
Business Type :
Distributor of sport
products
Pinkao Department Store
Co., Ltd.
Business Type :
Department store
CG Broker Co.,
Ltd.
Business Type :
Broker business
CG Life Broker
Co., Ltd.
Business Type :
Broker business
CRC Power Retail
Ltd.
Business Type :
Distributor of home
work equipment
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.
BANKING
Bangkok Bank Public
Co., Ltd.
Siam Commercial Bank
Public Co., Ltd.
Bank of Ayudhya
Public Co., Ltd.
EMPLOYMENT
The
subject employs approximately
600 staff.
LOCATION DETAILS
The
premise is rented
for administrative office
at the heading
address. Premise is located
in a prime commercial
area.
Branch
office [Organizing
Communication Department]
: 16th Floor,
Zen World Building,
4, 4/5 Rajdamri Rd.,
Pathumwan, Pathumwan,
REMARK
MAXIMUM
CREDIT SHOULD BE
GRANTED AT US$
20,000,000.
COMMENT
The company created a leading department
store which attracts
middle to high income
consumers. Its image
is clearly for middle to high-class
segment, who can afford
prices of luxuries
goods.
It is the leading retail business
in the country. Sales are likely
to grow consistently from strong domestic consumption.
FINANCIAL INFORMATION
The
capital was registered
at Bht. 1,000,000 divided
into 10,000 shares
of Bht. 100 each.
The
capital was increased
later as following:
Bht. 135,000,000 on
September 11, 1990
Bht. 1,700,000,000
on December 22,
1995
Bht. 2,114,285,710
on March 12,
1996
The
latest registered capital
was increased to Bht. 2,114,285,710 divided
into 211,428,571 shares
of Bht. 10
each with fully
paid.
THE SHAREHOLDERS
LISTED WERE
[as
at April 30,
2010]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Harng Central Department
Store Co., Ltd. Nationality: Thai Address : |
211,428,565 |
100.00 |
|
Mr. Wanchai Chirathiwat Nationality: Thai Address : |
1 |
- |
|
Mr. Sutthiporn Chirathiwat Nationality: Thai Address : |
1 |
- |
|
Mr. Sutthichai Chirathiwat Nationality: Thai Address : |
1 |
- |
|
Mr. Sutthikiat Chirathiwat Nationality: Thai Address : 22/5
Moo 9, Phaholyothin 23 Rd.,
Ladyao,
Jatujak, |
1 |
- |
|
Mr. Sutthichart Chirathiwat Nationality: Thai Address : |
1 |
- |
|
Mr. Prin Chirathiwat Nationality: Thai Address : 22/15
Phaholyothin 23 Rd.,
Ladyao,
Jatujak, |
1 |
- |
Total Shareholders : 7
NAME OF AUDITOR
& CERTIFIED PUBLIC ACCOUNTANT NO.
Mr. Vinij Silamongkol No.
3378
BALANCE SHEET [BAHT]
The
latest financial figures
published for December
31, 2009 &
2008 were:
ASSETS
|
Current Assets |
2009 |
2008 |
|
|
|
|
|
Cash in Hand
& at Bank |
421,290,186 |
94,333,355 |
|
Short-term Investment |
388,875 |
349,987 |
|
Trade Accounts Receivable |
256,691,804 |
365,065,991 |
|
Other Current Assets |
16,404,407 |
15,663,163 |
|
|
|
|
|
Total Current Assets
|
694,775,272 |
475,412,496 |
|
Investment in Subsidiary |
4,887,920,140 |
4,887,920,140 |
|
Investment in Associated
Company |
1,569,693,505 |
1,527,193,505 |
|
Other Long-term Investment |
51,554,000 |
41,954,000 |
|
Long-term Loan to
& Deferred Interest
from Related Company |
2,227,402,048 |
1,585,273,276 |
|
Fixed Assets |
79,327,626 |
72,801,053 |
|
Intangible Assets |
138,604,945 |
121,665,204 |
|
Other Assets |
29,533,306 |
14,436,825 |
|
Total Assets |
9,678,810,842 |
8,726,656,499 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2009 |
2008 |
|
|
|
|
|
Short-term Loan from &
Accrued Interest to Related Company |
1,173,823,892 |
714,847,054 |
|
Other Current Liabilities |
359,290,497 |
320,760,725 |
|
|
|
|
|
Total Current Liabilities |
1,533,114,389 |
1,035,607,779 |
|
Total Liabilities |
1,533,114,389 |
1,035,607,779 |
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
Share capital : Baht 10
par value authorized, issued
and fully paid share
capital 211,428,571 shares |
2,114,285,710 |
2,114,285,710 |
|
|
|
|
|
Capital Paid |
2,114,285,710 |
2,114,285,710 |
|
Surplus on Share
Capital |
1,612,071,460 |
1,612,071,460 |
|
Unrealized Loss from
Change in Fair
Value of Investment |
[4,461,112] |
[14,100,000] |
|
Retained Earning Appropriated for
Statutory Reserve |
211,428,571 |
2111,428,571 |
|
Unappropriated |
4,212,371,824 |
3,767,362,979 |
|
Total Shareholders' Equity |
8,145,696,453 |
9,591,048,720 |
|
Total Liabilities & Shareholders' Equity |
9,678,810,842 |
8,726,656,499 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
2009 |
2008 |
|
|
|
|
|
Dividend Income |
2,458,679,790 |
1,831,099,200 |
|
Administrative Income |
702,368,014 |
722,767,586 |
|
Rental & Service Income |
557,155,336 |
495,347,302 |
|
Interest Income |
53,475,058 |
45,970,511 |
|
Other Income |
32,332,976 |
59,339,243 |
|
Total Revenues |
3,804,011,174 |
3,154,523,842 |
|
Expenses |
|
|
|
|
|
|
|
Administrative Expenses |
1,214,926,386 |
1,149,510,045 |
|
Total Expenses |
1,214,926,386 |
1,149,510,045 |
|
|
|
|
|
Profit / [Loss] before Financial
Cost & Income Tax |
2,589,084,788 |
2,005,013,797 |
|
Financial Cost |
[7,769,952] |
[30,406,885] |
|
Income Tax |
[36,249,424] |
[29,857,316] |
|
|
|
|
|
Net Profit / [Loss] |
2,545,065,412 |
1,944,749,596 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2009 |
2008 |
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
CURRENT RATIO |
TIMES |
0.45 |
0.46 |
|
QUICK RATIO |
TIMES |
0.44 |
0.44 |
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
46.87 |
41.88 |
|
TOTAL ASSETS TURNOVER |
TIMES |
0.38 |
0.35 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
- |
- |
|
INVENTORY TURNOVER |
TIMES |
- |
- |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
25.20 |
43.70 |
|
RECEIVABLES TURNOVER |
TIMES |
14.49 |
8.35 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
- |
- |
|
CASH CONVERSION CYCLE |
DAYS |
25.20 |
43.70 |
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
COST OF GOODS SOLD |
% |
- |
- |
|
SELLING & ADMINISTRATION |
% |
32.68 |
37.70 |
|
INTEREST |
% |
0.21 |
1.00 |
|
GROSS PROFIT MARGIN |
% |
102.31 |
103.45 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
69.63 |
65.76 |
|
NET PROFIT MARGIN |
% |
68.45 |
63.78 |
|
RETURN ON EQUITY |
% |
31.24 |
20.28 |
|
RETURN ON ASSET |
% |
26.30 |
22.29 |
|
EARNING PER SHARE |
BAHT |
12.04 |
9.20 |
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
DEBT RATIO |
TIMES |
0.16 |
0.12 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.19 |
0.11 |
|
TIME INTEREST EARNED |
TIMES |
333.22 |
65.94 |
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
SALES GROWTH |
% |
21.94 |
|
|
OPERATING PROFIT |
% |
29.13 |
|
|
NET PROFIT |
% |
30.87 |
|
|
FIXED ASSETS |
% |
8.96 |
|
|
TOTAL ASSETS |
% |
10.91 |
|
PROFITABILITY
RATIO
|
Gross Profit Margin |
102.31 |
Impressive |
Industrial Average |
50.78 |
|
Net Profit Margin |
68.45 |
Impressive |
Industrial Average |
8.10 |
|
Return on Assets |
26.30 |
Impressive |
Industrial Average |
8.63 |
|
Return on Equity |
31.24 |
Impressive |
Industrial Average |
12.95 |
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 102.31%. 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 68.45% 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 26.3%,
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
31.24%, 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 Uptrend
Return on Equity Uptrend
LIQUIDITY RATIO
|
Current Ratio |
0.45 |
Risky |
Industrial Average |
2.98 |
|
Quick Ratio |
0.44 |
|
|
|
|
Cash Conversion Cycle |
25.20 |
|
|
|
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 0.45 times in 2009, decrease from 0.46 times, then the company may not be
efficiently using its current assets. 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 0.44 times in 2009,
decrease from 0.44 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 26 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Downtrend
LEVERAGE RATIO
|
Debt Ratio |
0.16 |
Impressive |
Industrial Average |
0.29 |
|
Debt to Equity Ratio |
0.19 |
Impressive |
Industrial Average |
0.42 |
|
Times Interest Earned |
333.22 |
Impressive |
Industrial Average |
7.60 |
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 333.22 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 0.16 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 |
46.87 |
Impressive |
Industrial Average |
2.49 |
|
Total Assets Turnover |
0.38 |
Deteriorated |
Industrial Average |
1.07 |
|
Inventory Conversion Period |
- |
|
|
|
|
Inventory Turnover |
- |
|
Industrial Average |
50.34 |
|
Receivables Conversion Period |
25.20 |
|
|
|
|
Receivables Turnover |
14.49 |
Impressive |
Industrial Average |
4.33 |
|
Payables Conversion Period |
- |
|
|
|
Trend of the average
competitors in the same industry for last 5 years
Fixed Assets Turnover Downtrend
Total Assets Turnover Uptrend
Inventory Turnover Downtrend
Receivables Turnover Downtrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.44.73 |
|
|
1 |
Rs.73.21 |
|
Euro |
1 |
Rs.63.90 |
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.