MIRA INFORM REPORT
|
Report Date : |
16.11.2011 |
IDENTIFICATION DETAILS
|
Name : |
DANCEMAN
LIMITED |
|
|
|
|
Registered Office : |
52 Export
Processing Zone,
Ladkrabang Industral Estate, Chalongkrung Road,
Lamplathiew, Ladkrabang,
Bangkok 10520 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2010 |
|
|
|
|
Date of Incorporation : |
25.11.1987 |
|
|
|
|
Com. Reg. No.: |
0135530000508 |
|
|
|
|
Legal Form : |
Private
Limited Company |
|
|
|
|
Line of Business : |
Manufacturer &
Exporter of Footwears |
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 – September 30th, 2011
|
Country Name |
Previous Rating (30.06.2011) |
Current Rating (30.09.2011) |
|
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
DANCEMAN LIMITED
SUMMARY
BUSINESS ADDRESS : 52
EXPORT PROCESSING ZONE,
LADKRABANG INDUSTRAL
ESTATE, CHALONGKRUNG ROAD,
LAMPLATHIEW,
LADKRABANG, BANGKOK
10520
TELEPHONE : [66] 2326-0275
FAX :
[66] 2739-4877,
2326-0165
E-MAIL
ADDRESS : danceman@inet.co.th
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1987
REGISTRATION
NO. : 0135530000508 [Former
: POR. TOR. 23]
CAPITAL REGISTERED : BHT. 30,000,000
CAPITAL PAID-UP : BHT.
30,000,000
SHAREHOLDER’S PROPORTION : THAI : 3%
AUSTRALIAN :
97%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR.
SANTI SAENGNAKORN, THAI
MANAGING DIRECTOR
NO.
OF STAFF : 800
LINES
OF BUSINESS : FOOTWEARS
MANUFACTURER &
EXPORTER
CORPORATE PROFILE
OPERATING
TREND : STABLE
PRESENT
SITUATION : OPERATING NORMALLY
REPUTATION : GOOD
WITH NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT
STANDARD : MANAGEMENT WITH
FAIR PERFORMANCE
HISTORY
The subject was established on November
25, 1987 as a
private limited company
under the name style
DANCEMAN LIMITED by Thai and
Australian groups, in
order to manufacture
various kinds of footwear
products for export
markets. At present,
it is a
subsidiary of Danceman
Holding Pty. Ltd.
of Australia, with
is holding around
97% of total shares. It
currently employs approximate
800 staff.
The subject’s registered
address was initially
108/2-3 Moo 4,
Export Processing Zone,
Ladkrabang Industrial Estate,
Chalongkrung Rd., Lamplathew,
Ladkrabang, Bangkok 10520.
On October 12, 2010,
its registered address
has been changed
to 52 Export Processing
Zone, Ladkrabang Industrial
Estate, Chalongkrung Rd., Lamplathew, Ladkrabang,
Bangkok 10520, by the
Ladkrabang District Office, and
this is the
company’s current operation
address.
THE BOARD OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. David Wilkenfield |
|
Australian |
56 |
|
Mr. Simon Wilkenfield |
|
Australian |
49 |
|
Mr. Santi Saengnakorn |
|
Thai |
55 |
AUTHORIZED PERSON
Any of the
above directors can
sign on behalf
of the subject
with company’s affixed.
MANAGEMENT
Mr. Santi Saengnakorn
is the Managing
Director & Factory
Manager.
He is Thai
nationality with the
age of 55
years old.
Mrs. Udomsri Sinjina
is the Personnel
Manager.
She is Thai
nationality.
Mr. Peerasith is
the Account Manager.
He is Thai
nationality.
BUSINESS OPERATIONS
The subject’s activity
is a contractor
to manufacture all types
of dance and
sports shoes for
ballet, tap and
jazz, gymnastic, physical,
exercise and etc.
PRODUCTION CAPACITY
200,000 pairs/month
IMPORT [COUNTRIES]
60% of the
raw materials such as
leather, cloth, binding
& etc. are purchased
from local suppliers, and the
remaining 40% as
well as machinery
& spare parts
are imported from Japan,
Republic of China,
Germany, Taiwan, United
States of America,
Australia, Korea and
Netherlands.
MAJOR SUPPLIERS
Danceman Holding Pty.
Ltd. : Australia
J. Bloch Pty.
Ltd. : Australia
Han Trading Co.,
Ltd. : Korea
EXPORT [COUNTRY]
100% of
the products is
exported to Australia.
PARENT COMPANY
Danceman Holding Pty.
Ltd.
Address : 5-6-8
Mclacland Avenue, Artharmon
NSW, Australia
RELATED AND AFFILIATED
COMPANY
Pointe Russe Co.,
Ltd.
Business Type :
Manufacturer of footwear
products.
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
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.
BUSINESS TRANSACTION
The products are sold
to overseas customers
by L/C and
T/T. The subject
is not found
to have problem
of payment from
both accounts receivable
& account payable.
BANKING
Kasikornbank Public Co.,
Ltd.
[Head Office :
1 Kasikorn Lane,
Rajburana Rd., Rajburana,
Bangkok 10140]
[Ladkrabang Branch
: 220 Moo
1, Onnuch-Ladkrabang Rd.,
Ladkrabang, Bangkok]
Krung Thai Bank
Public Co., Ltd.
[Ladkrabang Branch
: 94 Moo
4, Chalongkrung Rd.,
Ladkrabang, Bangkok]
EMPLOYMENT
The subject employs
approximately 800 staff.
[office staff and
factory workers]
LOCATION DETAILS
The premise is
owned for administrative office,
factory and warehouse
on 2,400 square meters
of area at
the heading address.
Premises is located
in an industrial
area.
Branch office is
located at 50
Export Processing Zone,
Ladkrabang Industrial Estate,
Chalongkrung Rd., Lamplathew,
Ladkrabang, Bangkok 10520.
REMARK
CREDIT OF US$
125,000 AGAINST D/A
SHOULD BE IN
ORDER.
COMMENT
The company’s products
are well known
among its international
customers for a
long time with
high quality that
meet their standards.
As well the
reputation has been
spread over by
its customers, this
has enhanced the
company an adorable
through worldwide customers. Subject is
also the largest
manufacturer of special shoes in the
country.
Despite economic slowdown, subject
still maintains its
good business.
FINANCIAL INFORMATION
The
capital was registered
at Bht. 3,250,000
divided into 3,250
shares of Bht. 1,000
each.
The capital was
increased later as
followings:
Bht. 6,500,000
on May 24,
1988
Bht. 10,000,000
on April 19,
1993
Bht. 20,000,000
on February 12,
1996
Bht. 30,000,000
on February 4,
1997
The latest registered
capital was increased
to Bht. 30,000,000 divided into
30,000 shares of
Bht. 1,000 each
with fully paid.
THE SHAREHOLDERS
LISTED WERE : [as at
April 30, 2011]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Danceman Holding Pty.
Ltd. Nationality: Australian Address : 5-6-8
Mclacland Avenue, Artharmon
NSW, Australia |
29,095 |
96.98 |
|
Mr. Santi Saengnakorn Nationality: Thai Address : 24/624
Bangna, Bangkok 10260 |
900 |
3.00 |
|
Mr. Simon Wilkenfield Nationality: Australian Address : 7A
Cap Road, Watsons Bay, NSW
2030,
Australia |
1 |
|
|
Mr. David Nissan
Wilkenfleld Nationality: Australian Address : 5/6 Mclacland Avenue, Artharmon,
NSW 2064, Australia |
1 |
|
|
Mr. Marcus Uldler Nationality: Australian Address : 20/65
Avoca Street, Randwick,
NSW 2031,
Sydney, Australia |
1 |
= 0.02 |
|
Mr. Loarn Schuck
Nationality: Irish Address : Mclacland
Avenue, Artarmon, NSW
2031,
Sydney, Australia |
1 |
|
|
Mr. Jonathan Harris Nationality: Australian Address : 31
Urimbla Avenue, Randwick, NSW,
Australia |
1 |
|
Total Shareholders : 7
Share Structure [as at
April 30, 2011]
|
Nationality |
Shareholders |
No. of
Share |
% Shares |
|
|
|
|
|
|
Thai |
1 |
900 |
3.00 |
|
Foreign |
6 |
29,100 |
97.00 |
|
Total |
7 |
30,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Mr. Somkid Tiatrakul
No. 2785
BALANCE SHEET [BAHT]
The latest financial figures published for December 31, 2010 & 2009 were:
ASSETS
|
Current Assets |
2010 |
2009 |
|
|
|
|
|
Cash in Hand
& at Bank |
4,702,646 |
4,828,488 |
|
Trade Accounts Receivable - Others |
7,110 |
9,293 |
|
- Related
Company |
57,668,006 |
52,043,292 |
|
Inventories |
106,222,555 |
117,080,439 |
|
Related Company Receivable |
3,998,578 |
3,072,329 |
|
Advance Money to Related
Company |
56,470,639 |
33,166,640 |
|
Other Current Assets
|
2,246,453 |
1,337,589 |
|
|
|
|
|
Total Current Assets
|
231,315,987 |
211,538,070 |
|
Cash at Bank
under Restriction |
5,299,700 |
5,936,313 |
|
Long-term Loan to
Related Company |
17,898,719 |
17,898,719 |
|
Fixed Assets |
22,833,557 |
15,577,348 |
|
Computer Programme |
6,054,840 |
5,623,970 |
|
Other Assets |
355,883 |
177,682 |
|
Total Assets |
283,758,666 |
256,752,102 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2010 |
2009 |
|
|
|
|
|
Bank Overdraft &
Short-term Loan from Bank |
124,892,721 |
114,389,575 |
|
Trade Accounts Payable - Others |
14,458,854 |
21,048,532 |
|
- Related Company |
8,206,352 |
1,809,931 |
|
Current Portion of Finance
Lease Contract Liabilities |
399,205 |
411,510 |
|
Related Company Payable |
8,782,475 |
11,290,257 |
|
Current Portion of
Long-term Loan from Bank |
1,256,786 |
- |
|
Accrued Income Tax |
1,454,955 |
1,124,444 |
|
Accrued Expenses |
8,931,605 |
4,879,331 |
|
Other Current Liabilities |
8,842,250 |
2,024,186 |
|
|
|
|
|
Total Current Liabilities |
177,225,203 |
156,977,766 |
|
Finance Lease Contract
Liabilities |
134,570 |
524,115 |
|
Long-term Loan from
Bank |
1,438,270 |
- |
|
Total Liabilities |
178,798,043 |
157,501,881 |
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
Share capital : Baht 1,000
par value authorized, issued
and fully paid share
capital 30,000 shares |
30,000,000 |
30,000,000 |
|
|
|
|
|
Capital Paid |
30,000,000 |
30,000,000 |
|
Retained Earning Appropriated for Statutory Reserve
|
650,000 |
650,000 |
|
Unappropriated |
74,310,643 |
68,600,221 |
|
Total Shareholders' Equity |
104,960,643 |
99,250,221 |
|
Total Liabilities & Shareholders' Equity |
283,758,686 |
256,752,102 |
PROFIT & LOSS ACCOUNT
|
Sale |
2010 |
2009 |
|
|
|
|
|
Sales |
362,170,965 |
321,917,905 |
|
Service Income |
26,724,875 |
12,616,976 |
|
Other Income |
13,230,109 |
9,666,984 |
|
Total Sales |
402,125,949 |
344,201,865 |
|
Expenses |
|
|
|
|
|
|
|
Cost of
Goods Sold & Service
|
331,221,873 |
287,386,391 |
|
Selling Expenses |
21,775,734 |
14,173,520 |
|
Administrative Expenses |
32,162,752 |
26,193,463 |
|
Total Expenses |
385,160,359 |
327,753,374 |
|
|
|
|
|
Profit / [Loss] before Financial
Cost & Income Tax |
16,965,590 |
16,448,491 |
|
Financial Cost |
[7,481,988] |
[6,880,726] |
|
Income Tax |
[3,773,180] |
[3,072,951] |
|
|
|
|
|
Net Profit / [Loss] |
5,710,422 |
6,494,814 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2010 |
2009 |
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
CURRENT RATIO |
TIMES |
1.31 |
1.35 |
|
QUICK RATIO |
TIMES |
0.35 |
0.36 |
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
17.03 |
21.48 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.37 |
1.30 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
117.06 |
148.70 |
|
INVENTORY TURNOVER |
TIMES |
3.12 |
2.45 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
0.01 |
0.01 |
|
RECEIVABLES TURNOVER |
TIMES |
54,697.02 |
35,998.59 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
15.93 |
26.73 |
|
CASH CONVERSION CYCLE |
DAYS |
101.13 |
121.98 |
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
COST OF GOODS SOLD |
% |
85.17 |
85.91 |
|
SELLING & ADMINISTRATION |
% |
13.87 |
12.07 |
|
INTEREST |
% |
1.92 |
2.06 |
|
GROSS PROFIT MARGIN |
% |
18.23 |
16.98 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
4.36 |
4.92 |
|
NET PROFIT MARGIN |
% |
1.47 |
1.94 |
|
RETURN ON EQUITY |
% |
5.44 |
6.54 |
|
RETURN ON ASSET |
% |
2.01 |
2.53 |
|
EARNING PER SHARE |
BAHT |
190.35 |
216.49 |
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
DEBT RATIO |
TIMES |
0.63 |
0.61 |
|
DEBT TO EQUITY RATIO |
TIMES |
1.70 |
1.59 |
|
TIME INTEREST EARNED |
TIMES |
2.27 |
2.39 |
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
SALES GROWTH |
% |
16.25 |
|
|
OPERATING PROFIT |
% |
3.14 |
|
|
NET PROFIT |
% |
(12.08) |
|
|
FIXED ASSETS |
% |
46.58 |
|
|
TOTAL ASSETS |
% |
10.52 |
|
PROFITABILITY RATIO
|
Gross Profit Margin |
18.23 |
Impressive |
Industrial
Average |
17.71 |
|
Net Profit Margin |
1.47 |
Impressive |
Industrial
Average |
(2.53) |
|
Return on Assets |
2.01 |
Impressive |
Industrial
Average |
(0.07) |
|
Return on Equity |
5.44 |
Impressive |
Industrial
Average |
5.43 |
Gross Profit Margin used to assess a firm's financial health by
revealing the proportion of money left over from sales 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 18.23%. 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 1.47%,
higher figure when 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
2.01%, 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 5.44%, 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 Uptrend
LIQUIDITY RATIO
|
Current Ratio |
1.31 |
Acceptable |
Industrial
Average |
2.00 |
|
Quick Ratio |
0.35 |
|
|
|
|
Cash Conversion Cycle |
101.13 |
|
|
|
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 1.31 times in 2010, decrease from 1.35 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 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 0.35 times in 2010,
decrease from 0.36 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 102 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Downtrend
LEVERAGE RATIO
|
Debt Ratio |
0.63 |
Impressive |
Industrial
Average |
1.74 |
|
Debt to Equity Ratio |
1.70 |
Risky |
Industrial
Average |
1.24 |
|
Times Interest Earned |
2.27 |
Impressive |
Industrial
Average |
(1,425.16) |
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 2.27 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 0.63 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 |
17.03 |
Impressive |
Industrial
Average |
(10,122.35) |
|
Total Assets Turnover |
1.37 |
Satisfactory |
Industrial
Average |
1.62 |
|
Inventory Conversion Period |
117.06 |
|
|
|
|
Inventory Turnover |
3.12 |
Acceptable |
Industrial
Average |
5.04 |
|
Receivables Conversion Period |
0.01 |
|
|
|
|
Receivables Turnover |
54,697.02 |
Impressive |
Industrial
Average |
6.66 |
|
Payables Conversion Period |
15.93 |
|
|
|
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.50.56 |
|
UK Pound |
1 |
Rs.80.30 |
|
Euro |
1 |
Rs.68.79 |
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.