MIRA INFORM REPORT
|
Report Date : |
26.05.2011 |
IDENTIFICATION DETAILS
|
Name : |
SIAM
INDO TOOLS LIMITED |
|
|
|
|
Registered Office : |
Suite 505, Sita
Building, 388 Mahaesak
Road, Suriyawongse,
Bangrak, Bangkok 10500 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
24.07.2010 |
|
|
|
|
Date of Incorporation : |
25.06.1976 |
|
|
|
|
Com. Reg. No.: |
0105519006775 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Manufacturer, Distributor and Exporter of Cutting Tools |
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 |
|
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 – 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
SIAM INDO
TOOLS LIMITED
SUMMARY
BUSINESS
ADDRESS : SUITE
505, SITA BUILDING,
388 MAHAESAK ROAD,
SURIYAWONGSE, BANGRAK,
BANGKOK 10500
TELEPHONE : [66] 2233-3960,
2266-3514-5
FAX :
[66] 2236-6923
E-MAIL
ADDRESS : ucgunecha@asia.com
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1976
REGISTRATION
NO. : 0105519006775
CAPITAL REGISTERED : BHT. 6,500,000
CAPITAL PAID-UP : BHT.
6,500,000
FISCAL YEAR CLOSING DATE : JUNE
24
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR. UDAI CHAND
GUNECHA, INDIAN
MANAGING DIRECTOR
NO.
OF STAFF : 35
LINES
OF BUSINESS : CUTTING TOOLS
MANUFACTURER, DISTRIBUTOR
AND EXPORTER
CORPORATE PROFILE
OPERATING
TREND : STABLE
PRESENT
SITUATION : OPERATING NORMALLY
REPUTATION : FAIR
WITH NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT
STANDARD : MANAGEMENT WITH
FAIR PERFORMANCE
HISTORY
The
subject was established
on June 25,
1976 as a
private limited company
under the name
style SIAM INDO
TOOLS LIMITED by
Indian groups, with
the business objective
to manufacture various
kinds of cutting
tools to both
domestic and overseas
markets. It currently
employs 35 staff.
The
subject’s registered address
is 388 Mahaesak
Rd., Suriyawongse, Bangrak,
Bangkok 10500, and
this is the subject’s
current operation address.
THE BOARD OF
DIRECTOR
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Udai Chand Gunecha |
|
Indian |
60 |
|
Mr. Nash Purswani |
|
Indian |
48 |
|
Mr. Vikram Hata |
|
Indian |
36 |
|
Mr. Nirin Sajdev |
|
Thai |
82 |
|
Mr. Jaturong Polnil |
|
Thai |
49 |
|
Mrs. Chantana
Thamrongveerachart |
|
Thai |
43 |
AUTHORIZED PERSON
Two of the
above directors can
jointly sign on
behalf of the
subject with company’s
affixed.
MANAGEMENT
Mr. Udai Chand Gunecha
is the Managing
Director.
He is Indian
nationality with the
age of 60
years old.
BUSINESS OPERATIONS
The subject is
engaged in manufacturing
and distributing various
kinds of cutting
tools, such as
hack saw blade,
jig saws, slitting
saws, band saws,
tool bits, bow
saws and etc.
MAJOR BRANDS
“HADA” and “ROCKET”
PURCHASE
Raw materials and
equipments are purchased
from suppliers in both
domestic and overseas, mainly
Japan, Taiwan and
Germany.
SALES
95% of the products
is sold locally
by wholesale to
dealers, manufacturers and
end-users, the remaining
5% is exported
to India.
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
T/T.
BANKING
Bangkok Bank Public
Co., Ltd.
Bharat Overseas Bank
Ltd. : [Bangkok
Branch]
EMPLOYMENT
The
subject employs 35
staff.
LOCATION DETAILS
The
premise is rented
for administrative office
at the heading
address. Premise is
located in a
prime commercial area.
Factory
is located at
57 Moo 7, Sai
Asia Rd., T.
Banmai, A. Maharaj,
Ayudhya 13150. Tel
: [66] 35 389-186
REMARK
CREDIT
OF US$ 2,000 AGAINST
DA TERMS SHOULD
BE IN ORDER.
COMMENT
The
company was formed
in 1976 as
a manufacturer, distributor
and exporter of cutting
tools in response
to the demand
of industrial sectors.
Its business performance
closely links with
the condition of industrial sector
which is likely to
expand. In 2010,
the subject’s operating
performance was considered at
a moderate level
with small amount
of net profit.
However, the subject
claims to have
more orders from its
customers at the
first quarter of
2011, as well
as the market
is expanding considerably.
Subject anticipates a
good business in
2011.
FINANCIAL INFORMATION
The
capital was registered
at Bht. 5,500,000 divided
into 55,000 shares of
Bht. 100 each.
On
February 28, 1984,
the capital was
increased to Bht. 6,500,000
divided into 65,000
shares of Bht.
100 each with fully paid.
THE
SHAREHOLDERS LISTED WERE
: [as at October
22, 2010]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mrs. Bimladebi Gunecha Nationality: Indian Address : 64/16
Sukhumvit 20 Rd.,
Klongtoey, Bangkok |
26,000 |
40.00 |
|
Mr. Prawan Gunecha Nationality: Indian Address : 64/16
Sukhumvit 20 Rd.,
Klongtoey, Bangkok |
25,270 |
38.88 |
|
Mr. Prawin Kumar Gunecha Nationality: Indian Address : 57
Moo 1, Asia
Highway, Banmai,
Maharaj, Ayuthaya |
7,590 |
11.68 |
|
Mr. Udai Chand Gunecha Nationality: Indian Address : 25/6
Sukhumvit 20 Rd.,
Klongtoey, Bangkok |
3,240 |
4.98 |
|
Ms. Busaba Kumaree Gunecha Nationality: Indian Address : 64/16
Sukhumvit 20 Rd.,
Klongtoey, Bangkok |
2,900 |
4.46 |
Total Shareholders : 5
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Mr. Pichit Srimabchantha No.
1501
BALANCE SHEET [BAHT]
The latest financial figures published for June 24, 2010 & 2009 were:
ASSETS
|
Current Assets |
2010 |
2009 |
|
|
|
|
|
Current Assets |
|
|
|
Cash in
Hand |
62,225.94 |
53,707.84 |
|
Cash at
Bank |
12,941.52 |
- |
|
Trade Accts.
Receivable |
4,729,655.52 |
6,129,983.95 |
|
Inventories |
|
|
|
Finished Goods |
1,789,408.40 |
1,847,472.70 |
|
Goods in
Process |
75,952.00 |
114,400.00 |
|
Raw Material |
9,771,441.79 |
9,404,149.77 |
|
Factory Supplies |
616,067.62 |
927,580.53 |
|
Other Current Assets |
|
|
|
Goods in
Transit |
4,178.03 |
5,622.07 |
|
Withholding Income Tax |
- |
4,302.76 |
|
Other Assets |
- |
70,848.66 |
|
|
|
|
|
Total Current Assets
|
17,061,870.82 |
18,558,068.28 |
|
|
|
|
|
Fixed Assets Land |
2,400,000.00 |
2,400,000.00 |
|
Building |
10,587,538.01 |
9,759,039.81 |
|
Machinery &
Equipment |
16,522,397.77 |
16,302,394.77 |
|
Office Appliance
& Office Equipment |
1,301,208.76 |
1,132,485.59 |
|
Vehicle |
2,665,000.00 |
2,665,000.00 |
|
|
33,476,141.54 |
32,258,920.17 |
|
Less: Accumulated
Depreciation |
19,694,692.31 |
18,559,218.89 |
|
Fixed Assets -
Net |
13,781,449.23 |
13,699,701.28 |
|
Other Assets |
220,700.00 |
220,700.00 |
|
Total Assets |
31,064,020.05 |
32,478,469.56 |
LIABILITIES & SHAREHOLDERS'
EQUITY [BAHT]
|
Current
Liabilities |
2010 |
2009 |
|
|
|
|
|
Bank Overdraft &
Loan from Bank |
11,073,404.63 |
10,865,554.35 |
|
Accrued Auditor Account |
15,000.00 |
15,000.00 |
|
Trade Accts. Payable |
1,986,691.01 |
2,482,969.63 |
|
Other Liabilities |
135,066.79 |
129,881.46 |
|
Liabilities Contract T.R. |
1,974,595.53 |
2,031,209.47 |
|
Value Added Tax |
19,302.14 |
70,901.85 |
|
Loans |
5,650,000.00 |
6,820,000.00 |
|
Advance Deposit |
4,485.47 |
4,485.47 |
|
Accrued Withholding Tax |
1,043.08 |
- |
|
Accrued Expenses |
141,318.04 |
25,874.00 |
|
|
|
|
|
Total Current Liabilities |
21,000,906.69 |
22,445,876.23 |
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized, issued
and fully paid share
capital 65,000 shares |
6,500,000.00 |
6,500,000.00 |
|
|
|
|
|
Capital Paid |
6,500,000.00 |
6,500,000.00 |
|
Retained Earning Appropriated for Statutory Reserve |
650,000.00 |
650,000.00 |
|
Unappropriated |
2,913,113.36 |
2,882,593.33 |
|
Total Shareholders' Equity |
10,063,113.36 |
10,032,593.33 |
|
Total Liabilities & Shareholders' Equity |
31,064,020.05 |
32,478,469.56 |
PROFIT & LOSS ACCOUNT
|
Sale |
2010 |
2009 |
|
|
|
|
|
Sales |
14,184,035.42 |
15,909,132.09 |
|
Compensation Income |
12,941.52 |
- |
|
Total Sale s |
14,196,976.94 |
15,909,132.09 |
|
Expenses |
|
|
|
|
|
|
|
Cost of Goods
Sold |
10,729,112.43 |
13,028,107.39 |
|
Selling & Administrative Expenses |
2,911,834.89 |
2,192,729.19 |
|
Total Expenses |
13,640,947.32 |
15,220,836.58 |
|
|
|
|
|
Profit / [Loss] before Interest
Expenses & Income Tax |
556,029.62 |
688,295.51 |
|
Interest Expenses |
[174,730.18] |
[51,782.30] |
|
Income Tax |
[350,779.41] |
[362,226.10] |
|
|
|
|
|
Net Profit / [Loss] |
30,520.03 |
274,287.11 |
|
Retained Earnings
[deficit], beginning of
year |
2,882,593.33 |
[7,391,693.78] |
|
General Reserve |
- |
10,000,000.00 |
|
Retained Earnings
[deficit], end of
year |
2,913,113.36 |
2,882,593.33 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2010 |
2009 |
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
CURRENT RATIO |
TIMES |
0.81 |
0.83 |
|
QUICK RATIO |
TIMES |
0.23 |
0.28 |
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
0.88 |
0.99 |
|
TOTAL ASSETS TURNOVER |
TIMES |
0.46 |
0.49 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
416.98 |
344.58 |
|
INVENTORY TURNOVER |
TIMES |
0.88 |
1.06 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
121.71 |
140.64 |
|
RECEIVABLES TURNOVER |
TIMES |
3.00 |
2.60 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
67.59 |
69.56 |
|
CASH CONVERSION CYCLE |
DAYS |
471.10 |
415.65 |
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
COST OF GOODS SOLD |
% |
75.64 |
81.89 |
|
SELLING & ADMINISTRATION |
% |
20.53 |
13.78 |
|
INTEREST |
% |
1.23 |
0.33 |
|
GROSS PROFIT MARGIN |
% |
24.45 |
18.11 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
3.92 |
4.33 |
|
NET PROFIT MARGIN |
% |
0.22 |
1.72 |
|
RETURN ON EQUITY |
% |
0.30 |
2.73 |
|
RETURN ON ASSET |
% |
0.10 |
0.84 |
|
EARNING PER SHARE |
BAHT |
0.47 |
4.22 |
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
DEBT RATIO |
TIMES |
0.68 |
0.69 |
|
DEBT TO EQUITY RATIO |
TIMES |
2.09 |
2.24 |
|
TIME INTEREST EARNED |
TIMES |
3.18 |
13.29 |
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
SALES GROWTH |
% |
(10.84) |
|
|
OPERATING PROFIT |
% |
(19.22) |
|
|
NET PROFIT |
% |
(88.87) |
|
|
FIXED ASSETS |
% |
0.51 |
|
|
TOTAL ASSETS |
% |
(4.36) |
|
PROFITABILITY RATIO
|
Gross Profit Margin |
24.45 |
Impressive |
Industrial Average |
20.92 |
|
Net Profit Margin |
0.22 |
Impressive |
Industrial Average |
(3.66) |
|
Return on Assets |
0.10 |
Deteriorated |
Industrial Average |
1.33 |
|
Return on Equity |
0.30 |
Deteriorated |
Industrial Average |
2.07 |
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. Gross Profit Margin is 24.45%. 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. Net Profit Margin ratio is 0.22%
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, it was lower, the company's figure is 0.1%.
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, it was lower, the company's figure is 0.3%.
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 |
0.81 |
Risky |
Industrial Average |
1.32 |
|
Quick Ratio |
0.23 |
|
|
|
|
Cash Conversion Cycle |
471.10 |
|
|
|
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 0.81 times in 2010, decrease from 0.83 times, then the company may have
problems meeting its short-term obligations. 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 0.23 times in 2010,
decrease from 0.28 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 472 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Downtrend
LEVERAGE RATIO
|
Debt Ratio |
0.68 |
Impressive |
Industrial Average |
0.44 |
|
Debt to Equity Ratio |
2.09 |
Risky |
Industrial Average |
0.46 |
|
Times Interest Earned |
3.18 |
Deteriorated |
Industrial Average |
1,818.40 |
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 3.19 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 0.68 greater than 0.5, most of the
company's assets are financed through debt.
Trend of the
average competitors in the same industry for last 5 years
Debt Ratio Uptrend
Times Interest Earned Downtrend
ACTIVITY RATIO
|
Fixed Assets Turnover |
0.88 |
Deteriorated |
Industrial Average |
3.00 |
|
Total Assets Turnover |
0.46 |
Deteriorated |
Industrial Average |
0.93 |
|
Inventory Conversion Period |
416.98 |
|
|
|
|
Inventory Turnover |
0.88 |
Deteriorated |
Industrial Average |
8.38 |
|
Receivables Conversion Period |
121.71 |
|
|
|
|
Receivables Turnover |
3.00 |
Satisfactory |
Industrial Average |
3.13 |
|
Payables Conversion Period |
67.59 |
|
|
|
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 Downtrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.45.38 |
|
UK Pound |
1 |
Rs.73.31 |
|
Euro |
1 |
Rs.63.70 |
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.