MIRA INFORM REPORT
|
Report Date : |
12.09.2011 |
IDENTIFICATION DETAILS
|
Name : |
HINA ORCHIDS
CO., LTD. |
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Registered Office : |
170
Moo 9, T. Dontoom, A. Banglane, Nakornpathom 73150 |
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Country : |
Thailand |
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Financials (as on) : |
31.12.2010 |
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Date of Incorporation : |
28.06.2006 |
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Com. Reg. No.: |
0105549077590 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Importer, Distributor
and Exporter of Orchids, Diamonds
and Gemstones |
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 : |
Usually Correct |
|
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 |
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Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
Company address
HINA ORCHIDS
CO., LTD.
SUMMARY
BUSINESS
ADDRESS : 170
MOO 9, T. DONTOOM,
A. BANGLANE,
NAKORNPATHOM 73150,
THAILAND
TELEPHONE : [66] 34
995-449
FAX :
[66] 34
995-449
E-MAIL
ADDRESS : mahdnverma2006@yahoo.com.go.in
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 2006
REGISTRATION
NO. : 0105549077590
CAPITAL REGISTERED : BHT. 2,000,000
CAPITAL PAID-UP : BHT. 2,000,000
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR. MAHENDRA BANWARILAL
VERMA, INDIAN
MANAGING DIRECTOR
NO.
OF STAFF : 3
LINES
OF BUSINESS : ORCHIDS, DIAMONDS
AND GEMSTONES
IMPORTER, 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 28,
2006 as a
private limited company
under the name
style HINA ORCHIDS CO.,
LTD., by Thai and
Indian groups, with the business
objective to engage
in international trading
business. It currently
employs 3 staff.
The
subject’s registered address
was initially located
at 191/3 Soi
Wadmaipirane, Isaraphap Rd.,
Wadthaphra, Bangkokyai, Bangkok
10600.
On
January 14, 2011,
its registered address
was relocated to 170 Moo
9, T. Thatoom, A. Banglane,
Nakornpathom 73150, and
this is the
subject’s current operation
address.
THE BOARD OF DIRECTOR
Mr. Mahendra Banwarilal Verma
AUTHORIZED PERSON
The above director
can sign on
behalf of the
subject with company’s
affixed.
MANAGEMENT
Mr. Mahendra Banwarilal Verma is the
Managing Director.
He is Indian
nationality with the
age of 43 years
old.
BUSINESS OPERATIONS
The subject is
engaged in importing
and distributing diamonds
and gemstones, as
well as exporting
fresh cut orchids
by customer’s order.
PURCHASE
Orchids are purchased
from local suppliers.
IMPORT
Diamonds
and gemstone are
imported from India.
SALES [LOCAL]
The products are
sold locally by
wholesale to dealers,
manufacturers and end-users.
EXPORT
Fresh orchids are
exported to India,
Hong Kong and Malaysia.
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 T/T.
Exports are against
or T/T.
BANKING
Bangkok Bank Public
Co., Ltd.
EMPLOYMENT
The
subject employs 3
staff.
LOCATION
DETAILS
The
premise is rented
for administrative office
at the heading
address. Premise is
located in commercial/residential area.
REMARK
CREDIT
OF US$ 125,000 AGAINST D/A
TERMS SHOULD BE ON
SECURED BASIS.
COMMENT
An overall
consumption improvement both
domestic and international
markets has potential
for precious stone and diamond
including cut orchids. Demand
of jewelry also looks on the rise,
as well as
high purchasing from
domestic consumption is
key to increase
demand of products.
FINANCIAL INFORMATION
The
capital was registered
at Bht. 2,000,000 divided
into 20,000 shares
of Bht. 100 each with
fully paid.
THE
SHAREHOLDERS LISTED WERE
: [as at April
30, 2011]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Mahendra Banwarilal Verma Nationality: Indian Address : 191/3 Isaraphap
Rd., Wadthaphra,
Bangkokyai, Bangkok |
9,800 |
49.00 |
|
Mr. Pichet Lao Nationality: Thai Address : 79/3
Moo 6, Maehad,
Klongklung,
Kampaengpetch |
1,700 |
8.50 |
|
Mr. Kritakorn Nanthasane Nationality: Thai Address : 113
Moo 3, Banchaeng,
Arj-samart, Roi-ed |
1,700 |
8.50 |
|
Ms. Rujira Udomkarntong Nationality: Thai Address : 345
Moo 4, Nuamuang,
Muang, Roi-ed |
1,700 |
8.50 |
|
Mr. Suradej Kamolyuthachai Nationality: Thai Address : 3/1
Moo 5, Mokchampae,
Maehongsorn |
1,700 |
8.50 |
|
Mrs. Chutima Saengphrom Nationality: Thai Address : 99
Moo 12, Sumsao,
Phen, Udornthani |
1,700 |
8.50 |
|
Mrs. Sunee Chanthong Nationality: Thai Address : 89
Moo 4, Pangkhao,
Ranode, Songkhla |
1,700 |
8.50 |
Total
Shareholders : 7
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Ms. Dara Parksuchon
No. 1312
BALANCE SHEET [BAHT]
The
latest financial figures
published for December
31, 2010 &
2009 were:
ASSETS
|
Current Assets |
2010 |
2009 |
|
|
|
|
|
Cash and Cash Equivalent |
1,213,689.32 |
438,391.18 |
|
Trade Accounts Receivable |
5,138,669.18 |
1,437,309.86 |
|
|
|
|
|
Total Current Assets
|
6,352,358.50 |
1,875,701.04 |
|
Total Assets |
6,352,358.50 |
1,875,701.04 |
LIABILITIES &
SHAREHOLDERS’ EQUITY [BAHT]
|
Current
Liabilities |
2010 |
2009 |
|
|
|
|
|
Other Current Liabilities |
85,700.00 |
33,970.00 |
|
|
|
|
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Total Current Liabilities |
85,700.00 |
33,970.00 |
|
Long-term Loan from Related Person |
4,650,000.00 |
320,000.00 |
|
Total Liabilities |
4,735,700.00 |
353,970.00 |
|
|
|
|
|
Shareholders’ Equity |
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized, issued
and fully paid share
capital 20,000 shares |
2,000,000.00 |
2,000,000.00 |
|
|
|
|
|
Capital Paid |
2,000,000.00 |
2,000,000.00 |
|
Retained Earning- Unappropriated |
[383,341.50] |
[478,268.96] |
|
Total Shareholders' Equity |
1,616,658.50 |
1,521,731.04 |
|
Total Liabilities & Shareholders' Equity |
6,352,358.50 |
1,875,701.04 |
PROFIT & LOSS ACCOUNT
|
Sale |
2010 |
2009 |
|
|
|
|
|
Sales Income |
5,108,946.33 |
1,750,641.30 |
|
Total Sales |
5,108,946.33 |
1,750,641.30 |
|
Expenses |
|
|
|
|
|
|
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Cost of Goods
Sold |
4,253,957.00 |
1,283,000.00 |
|
Selling Expenses |
156,475.87 |
22,824.00 |
|
Administrative Expenses |
436,059.20 |
737,574.70 |
|
Other Expenses |
119,026.80 |
40,911.58 |
|
Total Expenses |
4,965,518.87 |
2,084,310.28 |
|
|
|
|
|
Profit / [Loss] before Financial Cost |
143,427.46 |
[333,668.98] |
|
Financial Cost |
[48,500.00] |
[7,682.04] |
|
|
|
|
|
Net Profit / [Loss] |
94,927.46 |
[341,351.02] |
fINANCIAL ANALYSIS
|
ITEM |
UNIT |
2010 |
2009 |
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
CURRENT RATIO |
TIMES |
74.12 |
55.22 |
|
QUICK RATIO |
TIMES |
74.12 |
55.22 |
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
- |
- |
|
TOTAL ASSETS TURNOVER |
TIMES |
0.80 |
0.93 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
- |
- |
|
INVENTORY TURNOVER |
TIMES |
- |
- |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
367.12 |
299.67 |
|
RECEIVABLES TURNOVER |
TIMES |
0.99 |
1.22 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
- |
- |
|
CASH CONVERSION CYCLE |
DAYS |
367.12 |
299.67 |
|
|
|
|
|
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PROFITABILITY
RATIO |
|
|
|
|
COST OF GOODS SOLD |
% |
83.26 |
73.29 |
|
SELLING & ADMINISTRATION |
% |
11.60 |
43.44 |
|
INTEREST |
% |
0.95 |
0.44 |
|
GROSS PROFIT MARGIN |
% |
16.74 |
26.71 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
2.81 |
(19.06) |
|
NET PROFIT MARGIN |
% |
1.86 |
(19.50) |
|
RETURN ON EQUITY |
% |
5.87 |
(22.43) |
|
RETURN ON ASSET |
% |
1.49 |
(18.20) |
|
EARNING PER SHARE |
BAHT |
4.75 |
(17.07) |
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
DEBT RATIO |
TIMES |
0.75 |
0.19 |
|
DEBT TO EQUITY RATIO |
TIMES |
2.93 |
0.23 |
|
TIME INTEREST EARNED |
TIMES |
2.96 |
(43.43) |
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
SALES GROWTH |
% |
191.83 |
|
|
OPERATING PROFIT |
% |
(142.98) |
|
|
NET PROFIT |
% |
127.81 |
|
|
FIXED ASSETS |
% |
- |
|
|
TOTAL ASSETS |
% |
238.67 |
|
PROFITABILITY RATIO
|
Gross Profit Margin |
16.74 |
Acceptable |
Industrial Average |
28.85 |
|
Net Profit Margin |
1.86 |
Impressive |
Industrial Average |
(63.18) |
|
Return on Assets |
1.49 |
Impressive |
Industrial Average |
(14.10) |
|
Return on Equity |
5.87 |
Impressive |
Industrial Average |
(0.61) |
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 16.74%. 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. The company's figure is 1.86%,
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 1.49%, 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 5.87%, 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 |
74.12 |
Satisfactory |
Industrial Average |
85.50 |
|
Quick Ratio |
74.12 |
|
|
|
|
Cash Conversion Cycle |
367.12 |
|
|
|
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 74.12 times in 2010, increase from 55.22 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 74.12 times in 2010,
increase from 55.22 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 368 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE RATIO
|
Debt Ratio |
0.75 |
Acceptable |
Industrial Average |
1.75 |
|
Debt to Equity Ratio |
2.93 |
Risky |
Industrial Average |
1.23 |
|
Times Interest Earned |
2.96 |
Impressive |
Industrial Average |
(0.80) |
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 2.96 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 0.75 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 |
- |
|
Industrial Average |
256,498.77 |
|
Total Assets Turnover |
0.80 |
Satisfactory |
Industrial Average |
1.05 |
|
Inventory Conversion Period |
- |
|
|
|
|
Inventory Turnover |
- |
|
Industrial Average |
3.96 |
|
Receivables Conversion Period |
367.12 |
|
|
|
|
Receivables Turnover |
0.99 |
Deteriorated |
Industrial Average |
64.17 |
|
Payables Conversion Period |
- |
|
|
|
Trend of the
average competitors in the same industry for last 5 years
Fixed Assets Turnover Uptrend
Total Assets Turnover Downtrend
Inventory Turnover Uptrend
Receivables Turnover Uptrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.46.38 |
|
UK Pound |
1 |
Rs.74.01 |
|
Euro |
1 |
Rs.64.48 |
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.