MIRA INFORM REPORT

 

 

Report Date :

25.04.2012

 

IDENTIFICATION DETAILS

 

Name :

NATIONAL BISCUITS INDUSTRIES LTD (SAOG)

 

 

Registered Office :

Al Rusayl Industrial Estate, 29, Al Rusayl 124

 

 

Country :

Oman

 

 

Financials (as on) :

31.12.2010

 

 

Date of Incorporation :

01.01.1982

 

 

Com. Reg. No.:

1/14866/4

 

 

Legal Form :

Omani Public Joint Stock Company

 

 

Line of Business :

Manufacture and marketing of biscuits, wafers, chocolate enrobed wafers and snacks.

 

 

No. of Employees :

400

 

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

 

Maximum Credit Limit :

US$ 500,000

 

 

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 – March 31st, 2012

 

Country Name

Previous Rating

                   (31.12.2011)                  

Current Rating

(31.03.2012)

Oman

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

SUMMARY

 

Company Name                         : NATIONAL BISCUITS INDUSTRIES LTD (SAOG)

Country of Origin                                    : Oman

Legal Form                                            : Omani Public Joint Stock Company

Registration Date                                   : 1st January 1982

Commercial Registration Number            : 1/14866/4

Issued Capital                                        : RO 1,000,000

Paid up Capital                                      : RO 1,000,000

Total Workforce                         : 400

Activities                                               : Manufacture and marketing of biscuits, wafers, chocolate enrobed wafers and snacks.

Financial Condition                                 : Good

Payments                                             : Nothing detrimental uncovered

Operating Trend                         : Steady

Recommended Credit Limit                     : US$ 500,000

 

COMPANY NAME

 

NATIONAL BISCUITS INDUSTRIES LTD (SAOG)

 

 

company ADDRESS

 

Registered & Physical Address

Street               : Road No 2

Area                 : Al Rusayl Industrial Estate

PO Box             : 29

Town                 : Al Rusayl 124

Country : Sultanate of Oman

Telephone         : (968) 24446034 / 24446035 / 24446036

Facsimile          : (968) 24446048

Mobile               : (968) 99310329

Email                : nabil@nabilbiscuits.com

 

Premises

Subject operates from a large suite of offices and a factory that are owned and located in the Industrial Area of Al Rusayl.

 

 

KEY PRINCIPALS

 

     Name                                                                                               Position

 

·       Nooh Bin Mohammed Al Zidjalt                                                           Chairman

 

·       Naeem I Khokhar                                                                              Deputy Chairman

 

·       Satrajit Choudhury                                                                             Director

 

·       Taimur Hasan                                                                                   Director

 

·       Iqbal Usman                                                                                     Director

 

·       N Radhakrishnan                                                                               Director

 

·       Abdul Mahdi Abdul Baqi                                                                     Director

 

·       Rahul Shinde                                                                                    Chief Executive Officer

 

·       N S S Subramanian                                                                           Marketing Manager

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 1st January 1982

 

Legal Form                  : Sharikat Al Mousahama Al Omania (Societe Anonyme Omani

  General - SAOG) (Omani Public Joint Stock Company)

 

Commercial Reg. No.  : 1/14866/4

 

Issued Capital              : RO 1,000,000

 

Paid up Capital            : RO 1,000,000

 

Name of Shareholder (s)                                                                                  Percentage

 

·         Amfis Holding Limited                                                                                      55.24%

 

·         Oman International Development and Investment Company SAOG                      28.92%

 

·         Members of the general public & private investors                                              15.84%

 

 

AFFILIATED COMPANIES

 

     Name                                                                                              Shareholding %

 

·       Nabil Food Industries LLC                                                                          98%

 

 

OPERATIONS

 

Activities: Engaged in the manufacture and marketing of biscuits, wafers, chocolate enrobed wafers and snacks.

 

Import Countries: India and Europe.

 

Export Countries: Subject exports to more than 45 countries worldwide.

 

Brand Names: NABIL, ORYX, TRENTS and TIVOLI

 

Operating Trend: Steady

 

Subject has a workforce of approximately 400 employees.

 

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: Riyal Omani (RO)

 

Consolidated Balance Sheet                   31/12/10            31/12/09              31/12/10           31/12/09

                                                                              Group                                 Parent Company

 

ASSETS

 

 

 

 

 

Non-current:

 

 

 

 

 

Property, plant and equipment

 

3,454,610

3,765,629

3,335,811

3,636,542

Investment in subsidiary

 

-

-

98,000

98,000

Total non - current assets

 

3,454,610

3,765,629

3,433,811

3,734,542

Current :

 

 

 

 

 

Inventories

 

912,255

1,354,500

718,921

1,159,270

Accounts receivable and prepayments

 

1,838,009

1,756,775

1,838,009

1,756,429

Amounts due from related parties

 

99,919

12,982

99,919

12,982

Cash at bank and in hand

  

282,180

205,958

282,180

205,958

Total current assets

 

3,132,363

3,330,215

2,939,029

3,134,639

Total assets

 

6,586,973

7,095,844

6,372,840

6,869,181

EQUITY AND LIABILITIES

EQUITY

 

 

 

 

 

Share capital

 

1,000,000

1,000,000

1,000,000

1,000,000

Legal reserve

 

367,078

367,078

333,333

333,333

Retained earnings

 

816,608

618,166

461,344

340,356

 

 

2,183,686

1,985,244

1,794,677

1,673,689

Non - controlling interest

 

17,791

16,217

-

-

 

 

2,201,477

2,001,461

1,794,677

1,673,689

LIABILITIES

 

 

 

 

 

Non-current:

 

 

 

 

 

Deferred taxation

 

143,609

154,617

130,574

139,782

Borrowings

 

926,000

1,450,000

926,000

1,450,000

Total non -current liabilities

 

1,069,609

1,604,617

1,056,574

1,589,782

Current:

 

 

 

 

 

Borrowings

 

1,653,801

2,055,275

1,621,982

1,987,635

Accounts payable and accruals

 

1,574,325

1,421,537

1,354,041

1,291,001

Amounts due to related parties

 

55,532

5,445

521,821

327,074

Taxation

 

32,229

7,509

23,745

-

Total current liabilities

 

3,315,887

3,489,766

3,521,589

3,605,710

Total liabilities

 

4,385,496

5,094,383

4,578,163

5,195,492

Total equity and liabilities

 

6,586,973

7,095,844

6,372,840

6,869,181

 

 

 

Consolidated Income Statement             31/12/10            31/12/09              31/12/10           31/12/09

                                                                              Group                                 Parent Company

 

Revenue

 

9,361,540

8,434,104

9,361,540

8,434,104

Cost of sales

 

(8,031,837)

(7,194,556)

(8,150,769)

(7,321,575)

Gross profit

 

1,329,703

1,239,548

1,210,771

1,112,529

Other income

 

28,584

24,777

45,181

40,086

Administrative expenses

 

(344,125)

(280,640)

(333,863)

(269,271)

Selling and distribution expenses

 

(584,323)

(525,554)

(580,375)  

(521,306)

Operating profit

 

429,839

458,131

341,714

362,038

Finance cost-net

 

(193,000)

(260,035)

(190,588)

(255,001)

Profit before taxation

 

236,839

198,096

151,126

107,037

Taxation

 

(36,823)

(26,369)

(30,138)

(12,004)

Net profit for the year

 

200,016

171,727

120,988

95,033

 

 

 

 

 

 

Attributable to:

 

 

 

 

 

Equity holders of parent company

 

198,442

170,193

120,988

95,033

Non-controlling interest

 

1,574

1,534

-

-

 

 

200,016

171,727

120,988

95,033

 

Local sources consider subject’s financial condition to be Good.

 

 

BANKERS

 

·       Bank Muscat SAOG

Ruwi Main Branch

     PO Box: 6326

     Muscat

     Tel: (968) 24561399 / 24708543

     Fax: (968) 24561036

 

·       Bank of Oman, Bahrain & Kuwait

     BOBK House

     Al Burj Street

     PO Box: 4708, Ruwi 112

     Muscat

     Tel: (968) 24701528 / 24701532 / 24701788

     Fax: (968) 24705607 / 24793536

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

GENERAL COMMENTS

 

National Biscuits Industries Ltd (SAOG) has been in business for over 30 years and is engaged in the manufacture and marketing of biscuits, wafers, chocolate enrobed wafers and snacks.

 

During the course of this investigation nothing detrimental was uncovered regarding the manner in which payment obligations are fulfilled. The operating history is clear and the financial situation is satisfactory. As such we are of the opinion that the subject is a fair trade risk.

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.52.79

UK Pound

1

Rs.85.17

Euro

1

Rs.69.53

 

 

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%)

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.