MIRA INFORM REPORT
|
Report Date : |
11.10.2011 |
IDENTIFICATION DETAILS
|
Name : |
DERS
INTERNATIONAL CO., LTD. |
|
|
|
|
Registered Office : |
3rd
Floor, Room 301,
Rama Jewelry Building, 987 Silom Road,
Silom, Bangrak, Bangkok
10500 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
30.04.2011 |
|
|
|
|
Date of Incorporation : |
15.05.1990 |
|
|
|
|
Com. Reg. No.: |
0105533054994 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Importer, Distributor and Exporter of Diamonds and Jewelry 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 |
|
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
DERS INTERNATIONAL
CO., LTD.
SUMMARY
BUSINESS
ADDRESS : 3rd FLOOR,
ROOM 301, RAMA
JEWELRY BUILDING,
987
SILOM ROAD, SILOM,
BANGRAK,
BANGKOK 10500,
THAILAND
TELEPHONE : [66] 2234-5813,
2234-0845, 2635-2144-5
FAX :
[66] 2236-2777
E-MAIL
ADDRESS : dersintl@samarts.com
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1990
REGISTRATION
NO. : 0105533054994
CAPITAL REGISTERED : BHT. 19,000,000
CAPITAL PAID-UP : BHT.
19,000,000
FISCAL YEAR CLOSING DATE : APRIL
30
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR. NAHETA ROHIT
SUSHIL, INDIAN
MANAGING DIRECTOR
NO.
OF STAFF : 5
LINES OF
BUSINESS : DIAMONDS AND
JEWELRY PRODUCTS
IMPORTER, DISTRIBUTOR
AND 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 May 15,
1990 as
a private limited
company under the
registered name style
DERS INTERNATIONAL CO., LTD.,
by Thai and Indian groups,
with the objective to
operate in diamonds
and jewelry trading
business. It currently
employs 5 staff.
The
subject’s registered address
is 987 Silom
Rd., Silom, Bangrak,
Bangkok 10500, and
this is the
subject’s current operation
address.
THE BOARD OF DIRECTOR
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Sushil Milapchand Naheta |
|
Indian |
38 |
|
Mr. Pipat Ruengrongpanya |
|
Thai |
62 |
|
Mr. Naheta Rohit Sushil |
|
Indian |
38 |
AUTHORIZED PERSON
Any two of
the above directors
can jointly sign
on behalf of
the subject with
company’s affixed.
MANAGEMENT
Mr. Naheta Rohit Sushil
is the Managing
Director.
He is Indian
nationality with the
age of 38
years old.
BUSINESS OPERATIONS
The subject
is engaged in
importing and distributing
various kinds of
diamonds, including rough
white diamond, polished
white diamond, pink
diamond, as well
as precious gemstones
such as polished
emerald, polished ruby
and polished sapphire.
The subject
is also exporter
of diamonds, precious
stones and jewelry
products.
PURCHASE
90%
of its products
is imported from
India, the remaining 10% is purchased
from local supplier.
SALES
The imported products
are sold locally to
local manufacturers and
traders.
EXPORT
Diamonds, precious stones
and jewelry products are
exported to Hong
Kong, Japan, Taiwan,
Korea and Europe.
SUBSIDIARY AND AFFILIATED
COMPANY
The subject is
not found to
have any subsidiary
or 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
T/T.
Exports are against
T/T.
BANKING
Kasikornbank
Public Co., Ltd.
EMPLOYMENT
The
subject employs 5
staff.
LOCATION
DETAILS
The
premise is rented
for administrative office
at the heading
address. Premise is
located in a
prime commercial area.
REMARK
MAXIMUM
CREDIT SHOULD BE
GRANTED AT US$
500,000.
COMMENT
The
subject’s business performance
as of April
30, 2011 is
impressive with higher
sales sale and
net profit comparing
to the previous
year. This is
resulted by higher
demand of the
products from both
local and overseas
customers in jewelry and
gemstones industries. Generally,
its business is
moderately grown with
good business prospect.
FINANCIAL INFORMATION
The capital
was initially registered
at Bht. 5,000,000 divided into 5,000
shares of Bht. 1,000 each
with fully paid.
The
capital was increased
later as follows:
Bht. 9,000,000
on December 12,
1995
Bht. 19,000,000
on December 11,
2001
The
latest registered capital
was increased to
Bht. 19,000,000 divided into
19,000 shares of
Bht. 1,000 each with
fully paid.
THE
SHAREHOLDERS LISTED WERE
: [as at August
30, 2010]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Naheta Rohit Sushil Nationality: Indian Address : Bombay,
India |
9,309 |
49.00 |
|
Mr. Pipat Ruengrongpanya Nationality: Thai Address : 281/31
Surawong Rd., Suriyawongse,
Bangrak, Bangkok |
4,370 |
23.00 |
|
Mr. Sutthichai Chuenchomlada Nationality: Thai Address : 281/16
Surawong Rd., Suriyawongse,
Bangrak, Bangkok |
4,140 |
21.79 |
|
Ms. Krishaya Yuktirat Nationality: Thai Address : 71
Phaholyothin 33 Rd.,
Ladyao, Jatujak, Bangkok |
1,000 |
5.26 |
|
Ms. Kalaya Narkpong Nationality: Thai Address : 295/4
Moo 4, Parkpool,
Muang,
Nakornsrithammarat |
90 |
0.47 |
|
Ms. Pornthira Meekam Nationality: Thai Address : 406/2
Moo 8, Soongmen,
Phrae |
90 |
0.47 |
|
|
|
|
|
Mr. Sushil Milapchand Naheta Nationality: Indian Address : Bombay,
India |
1 |
0.01 |
Total Shareholders : 7
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Mrs. Chayasri
Chaijirachayakul No. 4546
BALANCE SHEET [BAHT]
The latest
financial figures published
for April 30,
2011 & 2010
were:
ASSETS
|
Current Assets |
2011 |
2010 |
|
|
|
|
|
Cash and Cash Equivalent |
2,898,832.14 |
1,000,764.81 |
|
Short-term Investment |
7,041,736.82 |
4,031,680.00 |
|
Trade Accounts Receivable |
46,669,207.77 |
25,028,324.28 |
|
Inventories |
62,854,369.75 |
90,155,209.44 |
|
Other Current Assets |
835,148.40 |
482,444.31 |
|
|
|
|
|
Total Current Assets
|
120,299,294.88 |
120,698,422.84 |
|
Short-term Loan to Related
Person |
246,000.00 |
149,000.00 |
|
Fixed Assets |
1,387,090.46 |
1,733,863.10 |
|
Other Assets |
28,716.78 |
73,121.45 |
|
Total Assets |
121,961,102.12 |
122,654,407.39 |
LIABILITIES &
SHAREHOLDERS’ EQUITY [BAHT]
|
Current
Liabilities |
2011 |
2010 |
|
|
|
|
|
Trade Accounts Payable |
52,028,362.85 |
66,378,305.36 |
|
Short-term Loan from Financial
Institution |
36,392,720.05 |
388,945.80 |
|
Current Portion of Hire-purchase Payable |
388,945.80 |
25,128,503.00 |
|
Other Current Liabilities |
729,725.20 |
535,414.49 |
|
|
|
|
|
Total Current Liabilities |
89,539,753.90 |
92,431,168.65 |
|
Hire-purchase Payable, Net
of Current Portion |
217,031.78 |
605,977.58 |
|
Long-term Loan from Other
Person |
400,000.00 |
500,000.00 |
|
Total Liabilities |
90,156,785.68 |
93,537,146.23 |
|
|
|
|
|
Shareholders’ Equity |
|
|
|
Share capital : Baht 1,000
par value authorized, issued
and fully paid share
capital 19,000 shares |
19,000,000.00 |
19,000,000.00 |
|
|
|
|
|
Capital Paid |
19,000,000.00 |
19,000,000.00 |
|
Retained Earning- Unappropriated |
12,804,316.45 |
10,117,261.16 |
|
Total Shareholders' Equity |
31,804,316.45 |
29,117,261.16 |
|
Total Liabilities & Shareholders' Equity |
121,961,102.12 |
122,654,407.39 |
PROFIT & LOSS ACCOUNT
|
Sale |
2011 |
2010 |
|
|
|
|
|
Sales Income |
428,629,303.42 |
387,682,918.82 |
|
Less: Refundable Goods |
[235,986,240.74] |
[245,298,004.96] |
|
Discount Payment |
[292,884.24] |
[32,484.71] |
|
|
192,350,178.44 |
142,352,429.15 |
|
Other Income |
5,878,606.47 |
1,931,188.10 |
|
Total Sales |
198,228,784.91 |
144,283,617.25 |
|
Expenses |
|
|
|
|
|
|
|
Cost of Goods
Sold |
186,689,868.84 |
133,869,994.67 |
|
Selling Expenses |
2,365,817.91 |
2,769,927.34 |
|
Administrative Expenses |
3,518,304.45 |
3,648,343.40 |
|
Total Expenses |
192,573,991.20 |
140,288,265.41 |
|
|
|
|
|
Profit / [Loss] before Financial Cost & Income Tax |
5,654,793.71 |
3,995,351.84 |
|
Financial Cost |
[1,782,702.00] |
[1,050,433.99] |
|
Profit before Income Tax |
3,872,091.71 |
2,944,917.85 |
|
Income Tax |
[1,185,036.43] |
[960,776.28] |
|
|
|
|
|
Net Profit / [Loss] |
2,687,055.29 |
1,984,141.57 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2011 |
2010 |
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
CURRENT RATIO |
TIMES |
1.34 |
1.31 |
|
QUICK RATIO |
TIMES |
0.63 |
0.33 |
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
309.01 |
223.59 |
|
TOTAL ASSETS TURNOVER |
TIMES |
3.51 |
3.16 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
122.89 |
245.81 |
|
INVENTORY TURNOVER |
TIMES |
2.97 |
1.48 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
39.74 |
23.56 |
|
RECEIVABLES TURNOVER |
TIMES |
9.18 |
15.49 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
101.72 |
180.98 |
|
CASH CONVERSION CYCLE |
DAYS |
60.91 |
88.39 |
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
COST OF GOODS SOLD |
% |
43.56 |
34.53 |
|
SELLING & ADMINISTRATION |
% |
1.37 |
1.66 |
|
INTEREST |
% |
0.42 |
0.27 |
|
GROSS PROFIT MARGIN |
% |
2.69 |
2.69 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
1.32 |
1.03 |
|
NET PROFIT MARGIN |
% |
0.63 |
0.51 |
|
RETURN ON EQUITY |
% |
8.45 |
6.81 |
|
RETURN ON ASSET |
% |
2.20 |
1.62 |
|
EARNING PER SHARE |
BAHT |
141.42 |
104.43 |
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
DEBT RATIO |
TIMES |
0.74 |
0.76 |
|
DEBT TO EQUITY RATIO |
TIMES |
2.83 |
3.21 |
|
TIME INTEREST EARNED |
TIMES |
3.17 |
3.80 |
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
SALES GROWTH |
% |
10.56 |
|
|
OPERATING PROFIT |
% |
41.53 |
|
|
NET PROFIT |
% |
35.43 |
|
|
FIXED ASSETS |
% |
(20.00) |
|
|
TOTAL ASSETS |
% |
(0.57) |
|
PROFITABILITY RATIO
|
Gross Profit Margin |
2.69 |
Deteriorated |
Industrial Average |
31.14 |
|
Net Profit Margin |
0.63 |
Impressive |
Industrial Average |
(19.96) |
|
Return on Assets |
2.20 |
Impressive |
Industrial Average |
(14.88) |
|
Return on Equity |
8.45 |
Impressive |
Industrial Average |
(10.85) |
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 2.69%. When compared with
the industry average, the ratio of the company was lower. This indicated that
company was originated from the problems with control over its costs.
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 0.63%,
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
2.2%, 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 8.45%, 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 Downtrend
LIQUIDITY RATIO
|
Current Ratio |
1.34 |
Deteriorated |
Industrial Average |
42.39 |
|
Quick Ratio |
0.63 |
|
|
|
|
Cash Conversion Cycle |
60.91 |
|
|
|
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 1.34 times in 2011, increase from 1.31 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 0.63 times in 2011,
increase from 0.33 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 61 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE RATIO
|
Debt Ratio |
0.74 |
Impressive |
Industrial Average |
1.64 |
|
Debt to Equity Ratio |
2.83 |
Risky |
Industrial Average |
2.49 |
|
Times Interest Earned |
3.17 |
Deteriorated |
Industrial Average |
739.70 |
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 3.18 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 0.74 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 Uptrend
ACTIVITY RATIO
|
Fixed Assets Turnover |
309.01 |
Impressive |
Industrial Average |
282.92 |
|
Total Assets Turnover |
3.51 |
Impressive |
Industrial Average |
1.83 |
|
Inventory Conversion Period |
122.89 |
|
|
|
|
Inventory Turnover |
2.97 |
Deteriorated |
Industrial Average |
25.07 |
|
Receivables Conversion Period |
39.74 |
|
|
|
|
Receivables Turnover |
9.18 |
Deteriorated |
Industrial Average |
33.40 |
|
Payables Conversion Period |
101.72 |
|
|
|
Trend of the
average competitors in the same industry for last 5 years
Fixed Assets Turnover Uptrend
Total Assets Turnover Uptrend
Inventory Turnover Uptrend
Receivables Turnover Uptrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.49.07 |
|
UK Pound |
1 |
Rs.76.65 |
|
Euro |
1 |
Rs.66.17 |
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.