MIRA
INFORM REPORT
|
Report Date : |
01.08.2012 |
IDENTIFICATION DETAILS
|
Name : |
EIAM
LOHA CO., LTD. |
|
|
|
|
Formerly Known As : |
EIAM LOHA
LIMITED PARTNERSHIP |
|
|
|
|
Registered Office : |
23/22 - 24
Soi Sukorn, Charoenkrung Road, Taladnoi, Samphantawong, Bangkok
10100 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2011 |
|
|
|
|
Date of Incorporation : |
16.04.1976 |
|
|
|
|
Com. Reg. No.: |
0105554028771 |
|
|
|
|
Legal Form : |
Private
Limited Company |
|
|
|
|
Line of Business : |
importer
and distributor of steels
and metal products |
|
|
|
|
No. of Employees : |
30 |
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 – March 31st, 2012
|
Country Name |
Previous Rating (31.12.2011) |
Current Rating (31.03.2012) |
|
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
EIAM LOHA
CO., LTD.
[FORMER
: EIAM LOHA
LIMITED PARTNERSHIP]
SUMMARY
BUSINESS
ADDRESS : 23/22 - 24 SOI
SUKORN, CHAROENKRUNG ROAD,
TALADNOI, SAMPHANTAWONG, BANGKOK
10100
TELEPHONE : [66] 2236-2462,
2236-8732-4, 2236-0056, 2266-9410-1
FAX :
[66] 2238-4029
E-MAIL
ADDRESS : info@eiamloha.co.th
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1976
REGISTRATION
NO. : 0105554028771 [Former
: 0103519006480]
TAX
ID NO. : -
CAPITAL REGISTERED : BHT. 60,000,000
CAPITAL PAID-UP : BHT.
60,000,000
SHAREHOLDER’S PROPORTION : THAI : 100%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR. EIAM EIAMKANCHANALAI, THAI
MANAGING DIRECTOR
NO.
OF STAFF : 30
LINES
OF BUSINESS : STEELS AND
METAL PRODUCTS
IMPORTER AND
DISTRIBUTOR
CORPORATE PROFILE
OPERATING
TREND : STABLE
PRESENT
SITUATION : OPERATING NORMALLY
REPUTATION : GOOD
WITH NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT
STANDARD : MANAGEMENT WITH
GOOD PERFORMANCE
HISTORY
The subject was
established on April
16, 1976 originally
as a limited
partnership under the registered
name “Eiam Loha
Limited Partnership”, by
Thai partners, the
Eiamkanchanalai family, with
the business objective
to distribute wide
range of steels
and metal products
for local market.
On February
25, 2011, its
registered status was
converted to a
private limited company,
namely EIAM LOHA
CO., LTD. It
currently employs 30
staff.
The
subject’s registered address
is 23/22-24 Soi
Sukorn, Charoenkrung Rd.,
Taladnoi, Samphantawong, Bangkok
10100, and this
is the subject’s
current operation address.
THE BOARD
OF DIRECTOR
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Eiam Eiamkanchanalai |
|
Thai |
73 |
|
Mr. Boonsom Eiamkanchanalai |
|
Thai |
51 |
AUTHORIZED PERSON
One of the
above directors can
sign on behalf
of the subject
with company’s affixed.
MANAGEMENT
Mr. Eiam Eiamkanchanalai is
the Managing Director.
He is Thai
nationality with the
age of 73 years
old.
Mr. Boonsom Eiamkanchanalai is
the Deputy Managing
Director.
He is Thai
nationality with the
age of 51
years old.
BUSINESS OPERATIONS
The subject is
engaged in importing
and distributing wide
range of steels
and metal products,
such as aluminium
sheet, stainless steel
sheet/coil, brass sheet,
galvanized sheet/coil, electro-galvanized sheet/coil,
cold rolled plate/coil,
stainless steel round
bar, copper steel
round bar, brass
round bar, stainless
steel square bar,
stainless steel tube,
stainless steel square
tube, stainless steel
rectangular tube, stainless
steel angle bar,
copper flat bar,
stainless steel flat
bar, brass flat
bar, hot rolled
coil, hot rolled
coil pickled and
oiled and etc.
PURCHASE
85% of the
products is purchased
from local suppliers,
the remaining 15%
is imported from
Taiwan, Republic of
China, Hong Kong,
Australia, India and
Germany.
MAJOR
SUPPLIERS
Sahaviriya
Steel Industries Public Company Limited. : Thailand
Thai
Metal Trade Public
Company Limited. : Thailand
LPN Plate
Mill Public Company
Limited :
Thailand
SALES
100% of the
products is sold
locally to wholesalers
and end-users [90%],
and retailers [10%].
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.
BANKING
Bangkok Bank Public
Co., Ltd.
EMPLOYMENT
The
subject employs approximately
30 staff.
LOCATION
DETAILS
The
premise is owned
for administrative office,
showroom and warehouse
at the heading
address. Premise is
located in commercial
area.
COMMENT
Steel and metals
will continue growing at a strong level, especially for structural and industrial productions.
The subject’s sales
revenue was increased in line
with a strong
demand of steel
and metal products
from local industries.
Current economic improvement
would raise its
sales this year.
FINANCIAL INFORMATION
The
capital was registered
at Bht. 10,000,000
divided into 100,000
shares of Bht. 100
each.
On
June 26, 2012,
the capital was
increased to Bht.
60,000,000 divided into
600,000 shares of
Bht. 100 each
with fully paid.
THE
SHAREHOLDERS LISTED WERE
: [as at
June 25, 2012]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Eiam Eiamkanchanalai Nationality: Thai Address : 23/22-23/24
Charoenkrung Rd., Taladnoi,
Samphantawong, Bangkok |
120,000 |
20.00 |
|
Mr. Boonsom Eiamkanchanalai Nationality: Thai Address : 23/22-23/24
Charoenkrung Rd., Taladnoi,
Samphantawong, Bangkok |
120,000 |
20.00 |
|
Ms. Kulwadee Eiamkanchanalai Nationality: Thai Address : 23/22-23/24
Charoenkrung Rd., Taladnoi,
Samphantawong, Bangkok |
90,000 |
15.00 |
|
Ms. Varittha Eiamkanchanalai Nationality: Thai Address : 23/22-23/24
Charoenkrung Rd., Taladnoi,
Samphantawong, Bangkok |
90,000 |
15.00 |
|
Ms. Achiraya Eiamkanchanalai Nationality: Thai Address : 23/22-23/24
Charoenkrung Rd., Taladnoi,
Samphantawong, Bangkok |
90,000 |
15.00 |
|
Ms. Thitirat Eiamkanchanalai Nationality: Thai Address : 23/22-23/24
Charoenkrung Rd., Taladnoi,
Samphantawong, Bangkok |
90,000 |
15.00 |
Total Shareholders : 6
Share Structure [as
at June 25,
2012]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
6 |
600,000 |
100.00 |
|
Foreign |
- |
- |
- |
|
Total |
6 |
600,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Ms. Sriporn Puthavuthikrai No.
2880
BALANCE SHEET [BAHT]
The
latest financial figures
published for December
31, 2011 &
2010 were:
ASSETS
|
Current Assets |
2011 |
2010 |
|
|
|
|
|
Cash and Cash Equivalents |
16,251,149.15 |
13,775,616.55 |
|
Trade Accounts & Notes
Receivable |
190,230,345.68 |
101,278,266.54 |
|
Inventories |
139,516,763.33 |
87,879,249.03 |
|
Other Current Assets
|
1,165,815.62 |
625,851.62 |
|
Total Current Assets
|
347,164,073.78 |
203,558,983.74 |
|
|
|
|
|
Fixed Assets |
1,453,819.05 |
1,557,938.60 |
|
Total Assets |
348,617,892.83 |
205,116,922.34 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2011 |
2010 |
|
|
|
|
|
Bank Overdraft &
Short-term Loan from Financial Institution |
15,217.50 |
968.38 |
|
Trade Accounts & Notes
Payable |
140,378,897.88 |
118,933,549.91 |
|
Other Current Liabilities |
3,376,264.46 |
3,192,898.65 |
|
Total Current Liabilities |
143,770,379.84 |
122,127,416.94 |
|
Long-term Loan from Person or Related Company |
110,703,387.00 |
- |
|
Total Liabilities |
254,473,766.84 |
122,127,416.94 |
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
Share capital : Baht 100
value authorized, issued
and fully paid share capital
100,000 shares |
10,000,000.00 |
10,000,000.00 |
|
Capital Paid |
10,000,000.00 |
10,000,000.00 |
|
Retained Earning -
Unappropriated |
84,144,125.99 |
72,989,505.40 |
|
Total Shareholders' Equity |
94,144,125.99 |
82,989,505.40 |
|
Total Liabilities & Shareholders' Equity |
348,617,892.83 |
205,116,922.34 |
PROFIT & LOSS ACCOUNT
|
Revenue |
2011 |
2010 |
|
|
|
|
|
Sales |
883,063,860.90 |
855,127,697.75 |
|
Gain on Exchange Rate |
- |
3,691,366.12 |
|
Gain on Disposal of
Assets |
373,829.78 |
- |
|
Other Income |
213,745.64 |
74,491.87 |
|
Total Revenues |
883,651,436.32 |
858,893,555.74 |
|
Expenses |
|
|
|
|
|
|
|
Cost of Goods
Sold |
844,822,425.30 |
827,278,342.77 |
|
Selling Expenses |
- |
48,000.00 |
|
Administrative Expenses |
19,575,901.46 |
15,365,701.07 |
|
Total Expenses |
864,398,326.76 |
842,692,043.84 |
|
Profit / [Loss] before
Financial Cost & Income Tax |
19,253,109.56 |
16,201,511.90 |
|
Financial Cost |
[3,077,755.09] |
[1,512,591.62] |
|
Profit / [Loss] before
Income Tax |
16,175,354.47 |
14,688,920.28 |
|
Income Tax |
[5,020,733.88] |
[4,597,417.77] |
|
Net Profit / [Loss] |
11,154,620.59 |
10,091,502.51 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2011 |
2010 |
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
CURRENT RATIO |
TIMES |
2.41 |
1.67 |
|
QUICK RATIO |
TIMES |
1.44 |
0.94 |
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
607.41 |
548.88 |
|
TOTAL ASSETS TURNOVER |
TIMES |
2.53 |
4.17 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
60.28 |
38.77 |
|
INVENTORY TURNOVER |
TIMES |
6.06 |
9.41 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
78.63 |
43.23 |
|
RECEIVABLES TURNOVER |
TIMES |
4.64 |
8.44 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
60.65 |
52.47 |
|
CASH CONVERSION CYCLE |
DAYS |
78.26 |
29.53 |
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
COST OF GOODS SOLD |
% |
95.67 |
96.74 |
|
SELLING & ADMINISTRATION |
% |
2.22 |
1.80 |
|
INTEREST |
% |
0.35 |
0.18 |
|
GROSS PROFIT MARGIN |
% |
4.40 |
3.70 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
2.18 |
1.89 |
|
NET PROFIT MARGIN |
% |
1.26 |
1.18 |
|
RETURN ON EQUITY |
% |
11.85 |
12.16 |
|
RETURN ON ASSET |
% |
3.20 |
4.92 |
|
EARNING PER SHARE |
BAHT |
111.55 |
100.92 |
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
DEBT RATIO |
TIMES |
0.73 |
0.60 |
|
DEBT TO EQUITY RATIO |
TIMES |
2.70 |
1.47 |
|
TIME INTEREST EARNED |
TIMES |
6.26 |
10.71 |
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
SALES GROWTH |
% |
3.27 |
|
|
OPERATING PROFIT |
% |
18.84 |
|
|
NET PROFIT |
% |
10.53 |
|
|
FIXED ASSETS |
% |
(6.68) |
|
|
TOTAL ASSETS |
% |
69.96 |
|
PROFITABILITY
RATIO
|
Gross Profit Margin |
4.40 |
Deteriorated |
Industrial
Average |
9.89 |
|
Net Profit Margin |
1.26 |
Impressive |
Industrial
Average |
0.69 |
|
Return on Assets |
3.20 |
Impressive |
Industrial
Average |
1.60 |
|
Return on Equity |
11.85 |
Impressive |
Industrial
Average |
3.90 |
Gross Profit Margin used to assess a firm's financial health by
revealing the proportion of money left over from revenues 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 4.4%. When
compared with the industry average, the ratio of the company was lower,
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 1.26%,
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
3.2%, 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 11.85%, 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 |
2.41 |
Impressive |
Industrial
Average |
1.58 |
|
Quick Ratio |
1.44 |
|
|
|
|
Cash Conversion Cycle |
78.26 |
|
|
|
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 2.41 times in 2011, increased from 1.67 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 higher, indicated that company
was an efficient operator in a dominant position within its industry.
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 1.44 times in 2011,
increased from 0.94 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 79 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE RATIO
|
Debt Ratio |
0.73 |
Acceptable |
Industrial
Average |
0.61 |
|
Debt to Equity Ratio |
2.70 |
Risky |
Industrial
Average |
1.63 |
|
Times Interest Earned |
6.26 |
Impressive |
Industrial
Average |
1.21 |
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 6.26 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 0.73 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 Downtrend
Times Interest Earned Downtrend
ACTIVITY RATIO
|
Fixed Assets Turnover |
607.41 |
Impressive |
Industrial
Average |
7.73 |
|
Total Assets Turnover |
2.53 |
Impressive |
Industrial
Average |
2.39 |
|
Inventory Conversion Period |
60.28 |
|
|
|
|
Inventory Turnover |
6.06 |
Impressive |
Industrial
Average |
5.17 |
|
Receivables Conversion Period |
78.63 |
|
|
|
|
Receivables Turnover |
4.64 |
Satisfactory |
Industrial
Average |
5.41 |
|
Payables Conversion Period |
60.65 |
|
|
|
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.55.81 |
|
UK Pound |
1 |
Rs.87.67 |
|
Euro |
1 |
Rs.68.45 |
INFORMATION DETAILS
|
Report Prepared
by : |
MNL |
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.