MIRA
INFORM REPORT
|
Report Date : |
01.08.2012 |
IDENTIFICATION DETAILS
|
Name : |
LF
ASIA [THAILAND] LIMITED |
|
|
|
|
Formerly Known As : |
IDS MARKETING [THAILAND]
LIMITED |
|
|
|
|
Registered Office : |
10TH-11TH Floor, Maneeya Center Building, 518/5 Ploenchit Road, Lumpini, Pathumwan, Bangkok 10330 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2011 |
|
|
|
|
Date of Incorporation : |
21.03.1969 |
|
|
|
|
Com. Reg. No.: |
0105512001280 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
subject is engaged in distributing and marketing
various kinds of products, such
as medical instruments, pharmaceuticals, general
healthcare products, consumer
goods, personal care,
“TIMAX” watches & accessories, and
“OKAMOTO” condom, as
well as home
decorative products, fashion
garment, beauty and
cosmetic products. |
|
|
|
|
No. of Employees : |
500 |
RATING & COMMENTS
|
MIRA’s Rating : |
Ca |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Status : |
Moderate |
|
Payment Behaviour : |
Slow |
|
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
LF
ASIA [THAILAND] LIMITED
[FORMER
: IDS MARKETING
[THAILAND] LIMITED]
SUMMARY
BUSINESS ADDRESS : 10th-11th FLOOR,
MANEEYA CENTER BUILDING,
518/5 PLOENCHIT
ROAD, LUMPINI,
PATHUMWAN, BANGKOK
10330
TELEPHONE : [66] 2257-3500
FAX :
[66] 2257-3555,
2257-3799
E-MAIL
ADDRESS : brucehemmingsen@lfasia.com
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1969
REGISTRATION
NO. : 0105512001280 [Former
: 149/2512
TAX
ID NO. : 3101067965
CAPITAL REGISTERED : BHT. 21,500,000
CAPITAL PAID-UP : BHT.
17,375,000
SHAREHOLDER’S PROPORTION : THAI : 60.00%
FOREIGN :
40.00%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR.
BRUCE GRAHAM HEMMINGSEN,
NEW ZEALANDER
GENERAL MANAGER
NO.
OF STAFF : 200
LINES
OF BUSINESS : TRADING COMPANY
IMPORTER &
DISTRIBUTOR
CORPORATE PROFILE
OPERATING
TREND : STABLE
PRESENT
SITUATION : OPERATING NORMALLY
REPUTATION : FAIR
WITH NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT
STANDARD : MANAGEMENT WITH
FAIR PERFORMANCE
HISTOR
The subject was
established on March
21, 1969 as
a private limited
company under the name
style “Anglo-Thai
Engineering Co., Ltd.”
by British groups, which
was a member
of Inchcape group.
Later the subject’s
name was changed
to “Anglo-Thai [Thailand]
Corp. Ltd.” , “Inchcape Healthcare
Corp. Ltd.”, “JDH Borneo
[Thailand] Co., Ltd.”,
“IDS Marketing [Thailand] Limited”
and was
finally changed to LF ASIA
[THAILAND] LIMITED, on
January 5, 2012.
Its business objective is
to import and
distribute various kinds
of products to
domestic market. It
currently employs approximate
200 staff.
The subject currently
is a joint
venture between JDH
Services Co., Ltd.,
Thailand and IDS Group
Co., Ltd., British
Virgin Islands, with
holding around 60%
and 40%, of
the subject’s total
shares respectively.
The subject’s registered
and business address
was initially located
at 2160/1 Ramkhamhaeng
Rd., Huamark, Bangkapi,
Bangkok 10240.
On November 2, 2006, it
was relocated to
505 Moo 2, Udom-sorayuth
Rd., T. Klongjik, A. Bangpa-in,
Ayutthaya 13160.
On January 5, 2012,
it was relocated
to 10th - 11th Floor, 518/5
Maneeya Center Building,
Ploenchit Rd., Lumpini, Pathumwan,
Bangkok 10330, and
this is the
subject’s current operation address.
THE BOARD
OF DIRECTOR
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Bruce Graham Hemmingsen |
|
New Zealander |
55 |
|
Ms. Pavinee Ajchariyahiranchai |
|
Thai |
55 |
|
Mr. Bancha Suratanachaikul |
|
Thai |
52 |
AUTHORIZED PERSON
Any one of the above directors can
sign on behalf
of the subject
with company’s affixed.
MANAGEMENT
Mr. Bruce Graham
Hemmingsen is the
General Manager.
He is New
Zealander nationality with
the age of
55 years old.
Mr. Bancha Suratanachaikul is
the Sales &
Marketing Manager.
He is Thai
nationality witrh the
age of 52
years old.
Ms. Pavinee Ajchariyahiranchai is
the Office Management
Manager.
She is Thai
nationality with the
age of 55
years old.
BUSINESS OPERATIONS
The subject is engaged in distributing and marketing various kinds of products, such
as medical instruments,
pharmaceuticals, general healthcare
products, consumer goods,
personal care, “TIMAX” watches &
accessories, and “OKAMOTO”
condom, as well
as home decorative
products, fashion garment,
beauty and cosmetic
products.
IMPORT [COUNTRIES]
90% of its products is
imported from United Kingdom, U.S.A., Germany, France, Australia,
Japan, Singapore, Taiwan,
Republic of China,
Hong Kong and
Spain.
MAJOR SUPPLIERS
Timax Corporation International
Ltd. : U.S.A.
Li & Fung Ltd. : Hong
Kong
Heng Ten Group
Holding Ltd. :
Hong Kong
SALES [LOCAL]
100% of its
products is sold
locally to wholesalers
& end-users such
as drug-stores, hospitals
and clinics both
private company and
government sectors.
RELATED/AFFILIATED COMPANIES
IDS Manufacturing Co., Ltd.
: Thailand
Business Type: Manufacturer
of foods & beverage, health & personnel care
products
LF Logistics [Thailand] Co.,
Ltd. : Thailand
Business Type: Warehousing &
distribution
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
L/C at sight
or T/T.
BANKING
Bangkok Bank Public
Co., Ltd.
[Head Office : 333 Silom
Rd., Silom, Bangrak,
Bangkok]
The Siam Commercial
Bank Public Co.,
Ltd.
[Head Office : 9 Ratchadapisek Rd., Jatujak,
Jatujak, Bangkok]
Krung Thai Bank
Public Co., Ltd.
[Head Office : 35 Sukhumvit
Rd., Klongtoeynua, Wattana,
Bangkok]
Kasikornbank Public Co., Ltd.
EMPLOYMENT
The subject employs
approximately 200 staff.
[office and sales
staff]
LOCATION DETAILS
The premise is
rented for operating
office at the
heading address. Premise
is located in
commercial/residential area.
Warehouse is located
at 505 Moo
2, Bangpa-in Industrial
Estate, Udomsorayuth Rd.,
T. Klongjik, A. Bangpa-in, Ayutthaya
13160. Tel. 35
258-500, Fax. 35
258-475.
Note:
Refer to your
given name “LF
Asia [formerly : IDS Manufacturing
Co. Ltd.]” at 21/7
Moo 6, Liabklong
2, Kookot, Lamlukka,
Pathumthani 12130, please
be informed that
the correct former
name is “IDS
Marketing [Thailand] Limited”.
“IDS Manufacturing Co., Ltd.”
is the subject’s related
company, and the
given address belongs
to “IDS Manufacturing
Co., Ltd.”.
COMMENT
Domestic health and
pharmaceutical products consumption
is likely to be
on a
rise as a result
of overall economy expansion.
The improvement has
gradually seen since
the year 2011. Subject’s
business outlook is bright
FINANCIAL INFORMATION
The capital was
registered at Bht. 1,000,000 divided
into 10,000 shares of
Bht. 100 each.
The capital was
increased later as
follows:
Bht. 16,000,000
on July 29,
1981
Bht. 21,500,000
on July 12,
2000
The latest registered
capital was increased
to Bht. 21,500,000
divided into 215,000
shares of Bht.
100 each with
the current capital
paid-up of Bht.
17,375,000.
THE SHAREHOLDERS LISTED
WERE : [as
at April 30,
2012]
|
NAME |
HOLDING |
% |
|
|
|
|
|
JDH Services Ltd. Nationality: Thai Address : 505
Moo 2, Udomsorayuth Rd.,
Klongjik, Bangpa-in, Ayutthaya |
128,999 |
60.00 |
|
IDS Group Co.,
Ltd. Nationality: BVI Address : Tortola,
British Virgin Islands |
86,000 |
40.00 |
|
Butler and Webster
[Thailand] Ltd. Nationality: Thai Address : 505
Moo 2, Udomsorayuth Rd.,
Klongjik, Bangpa-in, Ayutthaya |
1 |
- |
Total Shareholders : 3
Share Structure [as
at April 30,
2012]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
2 |
129,000 |
60.00 |
|
Foreign - BVI |
1 |
86,000 |
40.00 |
|
Total |
3 |
215,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Mr. Sudwin Panyawongkhanti No. 3534
BALANCE SHEET [BAHT]
The latest financial figures published for December 31, 2011 & 2010 were:
ASSETS
|
Current Assets |
2011 |
2010 |
|
|
|
|
|
Cash and Cash
Equivalents |
23,297,498 |
11,671,059 |
|
Trade Accounts & Other Receivable |
786,335,920 |
823,236,046 |
|
Inventories |
153,034,805 |
213,746,152 |
|
Total Current Assets
|
962,668,223 |
1,048,653,257 |
|
Fixed Assets |
21,855,530 |
12,311,117 |
|
Intangible Assets |
637,271 |
685,036 |
|
Deferred Income Tax |
76,222,476 |
63,469,849 |
|
Other Non-current
Assets-Deposit |
1,875,780 |
1,859,942 |
|
Total Assets |
1,063,259,280 |
1,126,979,201 |
LIABILITIES & SHAREHOLDERS'
EQUITY [BAHT]
|
Current
Liabilities |
2011 |
2010 |
|
|
|
|
|
Trade Accounts & Other Payable |
757,847,950 |
737,970,825 |
|
Short-term Loan from Related Company |
281,052,668 |
396,366,911 |
|
Accrued Income Tax |
30,081,467 |
11,072,299 |
|
Other Current Liabilities |
3,256,802 |
6,714,433 |
|
Total Current Liabilities |
1,072,238,887 |
1,152,124,468 |
|
|
|
|
|
Reserve for Employee’s Benefit |
22,378,420 |
14,953,420 |
|
Total Liabilities |
1,094,617,307 |
1,167,077,888 |
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
Share capital : Baht 100
value authorized, issued
and fully paid share
capital 215,000 shares |
21,500,000 |
21,500,000 |
|
Capital Paid |
17,375,000 |
17,375,000 |
|
Retained Earning -
Unappropriated |
[48,733,027] |
[57,473,687] |
|
Total Shareholders' Equity |
[31,358,027] |
[40,098,687] |
|
Total Liabilities &
Shareholders' Equity |
1,063,259,280 |
1,126,979,201 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
2011 |
2010 |
|
|
|
|
|
Sales Income |
2,892,404,803 |
2,815,465,373 |
|
Other Income |
76,927,958 |
63,864,479 |
|
Total Revenues |
2,969,332,761 |
2,879,329,852 |
|
Expenses |
|
|
|
|
|
|
|
Cost of Goods
Sold |
2,295,987,947 |
2,270,787,446 |
|
Selling Expenses |
453,490,436 |
436,460,997 |
|
Administrative Expenses |
82,784,751 |
79,147,177 |
|
Other Expenses |
79,718,147 |
699,610 |
|
Total Expenses |
2,911,981,281 |
2,787,095,230 |
|
Profit before Financial Cost &
Income Tax |
57,351,480 |
92,234,622 |
|
Financial Cost- Interest
Expenses |
[7,164,205] |
[9,313,297] |
|
Profit before Income
Tax |
50,187,275 |
82,921,325 |
|
Income Tax |
[41,446,615] |
[25,620,426] |
|
Net Profit / [Loss] |
8,740,660 |
57,300,899 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2011 |
2010 |
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
CURRENT RATIO |
TIMES |
0.90 |
0.91 |
|
QUICK RATIO |
TIMES |
0.76 |
0.72 |
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
132.34 |
228.69 |
|
TOTAL ASSETS TURNOVER |
TIMES |
2.72 |
2.50 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
24.33 |
34.36 |
|
INVENTORY TURNOVER |
TIMES |
15.00 |
10.62 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
99.23 |
106.73 |
|
RECEIVABLES TURNOVER |
TIMES |
3.68 |
3.42 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
120.48 |
118.62 |
|
CASH CONVERSION CYCLE |
DAYS |
3.08 |
22.46 |
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
COST OF GOODS SOLD |
% |
79.38 |
80.65 |
|
SELLING & ADMINISTRATION |
% |
18.54 |
18.31 |
|
INTEREST |
% |
0.25 |
0.33 |
|
GROSS PROFIT MARGIN |
% |
23.28 |
21.61 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
1.98 |
3.28 |
|
NET PROFIT MARGIN |
% |
0.30 |
2.04 |
|
RETURN ON EQUITY |
% |
- |
- |
|
RETURN ON ASSET |
% |
0.82 |
5.08 |
|
EARNING PER SHARE |
BAHT |
50.31 |
329.79 |
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
DEBT RATIO |
TIMES |
1.03 |
1.04 |
|
DEBT TO EQUITY RATIO |
TIMES |
(34.91) |
(29.11) |
|
TIME INTEREST EARNED |
TIMES |
8.01 |
9.90 |
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
SALES GROWTH |
% |
2.73 |
|
|
OPERATING PROFIT |
% |
(37.82) |
|
|
NET PROFIT |
% |
(84.75) |
|
|
FIXED ASSETS |
% |
77.53 |
|
|
TOTAL ASSETS |
% |
(5.65) |
|
PROFITABILITY
RATIO
|
Gross Profit Margin |
23.28 |
Impressive |
Industrial
Average |
14.27 |
|
Net Profit Margin |
0.30 |
Deteriorated |
Industrial
Average |
1.23 |
|
Return on Assets |
0.82 |
Deteriorated |
Industrial
Average |
3.05 |
|
Return on Equity |
- |
|
Industrial
Average |
9.17 |
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 23.28%. 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 0.3%. When
compared with the industry average, the ratio of the company was lower.
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. When compared with the
industry average, it was lower, the company's figure is 0.82%.
Trend of the
average competitors in the same industry for last 5 years
Return on Assets Uptrend
Return on Equity Uptrend
LIQUIDITY RATIO
|
Current Ratio |
0.90 |
Risky |
Industrial
Average |
1.61 |
|
Quick Ratio |
0.76 |
|
|
|
|
Cash Conversion Cycle |
3.08 |
|
|
|
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 0.9 times in 2011, decreased from 0.91 times, then the company may have
problems meeting its short-term obligations. 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 0.76 times in 2011,
increased from 0.72 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 4 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE RATIO
|
Debt Ratio |
1.03 |
Risky |
Industrial
Average |
0.61 |
|
Debt to Equity Ratio |
(34.91) |
Risky |
Industrial
Average |
1.72 |
|
Times Interest Earned |
8.01 |
Impressive |
Industrial Average |
2.33 |
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 higher the percentage means that the company is using
less equity and has stronger leverage position.
Times Interest Earned measuring a company's ability to meet its debt
obligations. Ratio is 8.01 higher than 1, so the company can pay interest
expenses on outstanding debt.
Trend of the
average competitors in the same industry for last 5 years
Debt Ratio Downtrend
Times Interest Earned Uptrend
ACTIVITY RATIO
|
Fixed Assets Turnover |
132.34 |
Impressive |
Industrial
Average |
10.44 |
|
Total Assets Turnover |
2.72 |
Impressive |
Industrial Average |
2.40 |
|
Inventory Conversion Period |
24.33 |
|
|
|
|
Inventory Turnover |
15.00 |
Impressive |
Industrial
Average |
6.20 |
|
Receivables Conversion Period |
99.23 |
|
|
|
|
Receivables Turnover |
3.68 |
Acceptable |
Industrial
Average |
5.36 |
|
Payables Conversion Period |
120.48 |
|
|
|
Trend of the
average competitors in the same industry for last 5 years
Fixed Assets Turnover Downtrend
Total Assets Turnover Downtrend
Inventory Turnover Uptrend
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.