MIRA INFORM REPORT

 

 

Report Date :

27.12.2012

 

IDENTIFICATION DETAILS

 

Name :

GULF STONE CO. SAOG

 

 

Registered Office :

Industrial Estate P.O.Box 47Sohar Sohar, 327

 

 

Country :

Oman

 

 

Financials (as on) :

31.12.2011

 

 

Date of Incorporation :

31.03.1999

 

 

Legal Form :

Public Independent

 

 

Line of Business :

Subject is engaged in the manufacture of agglomerated quartz stone.

 

 

No. of Employees :

65

 

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 – June 30th, 2012

 

Country Name

Previous Rating

(31.03.2011)

Current Rating

(30.06.2012)

Oman

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

 

oman - ECONOMIC OVERVIEW

 

Oman is a middle-income economy that is heavily dependent on dwindling oil resources. Because of declining reserves and a rapidly growing labor force, Muscat has actively pursued a development plan that focuses on diversification, industrialization, and privatization, with the objective of reducing the oil sector's contribution to GDP to 9% by 2020 and creating more jobs to employ the rising numbers of Omanis entering the workforce. Tourism and gas-based industries are key components of the government's diversification strategy. By using enhanced oil recovery techniques, Oman succeeded in increasing oil production, giving the country more time to diversify, and the increase in global oil prices through 2011 provided the government greater financial resources to invest in non-oil sectors.

 

Source : CIA

 

 

 

Company name and address

 

GULF STONE CO. SAOG                     

 

Industrial Estate

P.O.Box 47Sohar

Sohar, 327

Oman

 

Tel:                               968-26-751675

Fax:                              968-26-750186

 Website:                      www.gulfstone-oman.com

 

Employees:                   65

Company Type:             Public Independent

Traded:                         Muscat Securities Market:          GSCI

 

Incorporation Date:         31-Mar-1999

Auditor:                         KPMG

Financials in:                 USD  (In Millions)

             

Fiscal Year End:            31-Dec-2011

Reporting Currency:       Rial Omani

Annual Sales:                9.7  1

Net Income:                  1.2

Total Assets:                 15.9  2

Market Value:                8.5

                                    (04-Dec-2011)

 

 

Business Description        

 

 

Gulf Stone Co SAOG (GSC) is an Oman-based company engaged in the manufacture of agglomerated quartz stone. The Company’s products fall into three categories namely mirror, non-mirror and mosaic products that are used in a variety of applications as indoor flooring, raised floor systems, internal wall cladding, table tops, vanity tops, kitchen counters, tables for laboratories, stairs and sills, bathrooms and swimming pools among other application purposes. GSC operates through its production unit located in Sohar, Oman, with exports to Europe, Australia, United Kingdom, United States of America, India, Asia and the Middle East regions. As of December 31, 2011, the Company's main shareholders included First National LLC (29.64%), Arab Mining Co. (25%) and Bitumat Company Limited (20%). For the nine months ended 30 September 2012, Gulf Stone Co. SAOG revenues increased 4% to OMR2.8M. Net income decreased 38% to OMR195K. Revenues reflect an increase in demand for the Company's products and services due to favorable market conditions. Net income was offset by Marketing & Selling Expenses increase of 20% to OMR112K (expense), Other Income decrease of 84% to OMR3K (income).

 

 

 

Industry

 

 

Industry

Construction - Supplies and Fixtures

ANZSIC 2006:

2029 - Other Ceramic Product Manufacturing

NACE 2002:

2630 - Manufacture of ceramic tiles and flags

NAICS 2002:

327122 - Ceramic Wall and Floor Tile Manufacturing

UK SIC 2003:

2630 - Manufacture of ceramic tiles and flags

UK SIC 2007:

2331 - Manufacture of ceramic tiles and flags

US SIC 1987:

3253 - Ceramic Wall and Floor Tile

 

 

Key Executives     

      

 

Name

Title

Abdul Moneim Mohammed Abdullah Al Murshidi

General Manager

Shammas Bin Khalid Al Reesi

Secretary to the Board

Ahmad Mohammed Al Rasbi

Non-Executive Chairman of the Board

Mohammed Said Al Ajeel

Non-Executive Vice Chairman of the Board

Suleiman Ahmad Al Haqani

Non-Executive Member of the Board

 

 

 

Significant Developments

           

 

Topic

#*

Most Recent Headline

Date

Mergers & Acquisitions

1

Gulf Stone Co SAOG Approves To Acquire New Production Line

25-Jul-2012

Dividends

1

Gulf Stone Co SAOG Issues Further Information Concerning Capital Increase Through Bonus Share Issue

24-Mar-2012

 

* number of significant developments within the last 12 months     

 

 

 Financial Summary

 

As of 30-Sep-2012

 

Key Ratios

Company

Industry

Current Ratio (MRQ)

1.93

2.04

Quick Ratio (MRQ)

0.92

1.12

Debt to Equity (MRQ)

0.25

1.04

Sales 5 Year Growth

2.28

-0.71

Net Profit Margin (TTM) %

9.06

-1.38

Return on Assets (TTM) %

5.72

-0.0060

Return on Equity (TTM) %

8.43

-2.72

 

 

Stock Snapshot        

 

Traded: Muscat Securities Market: GSCI

 

As of 31-Dec-2011

   Financials in: OMR

Recent Price

0.08

 

Price/Book

0.73

Avg. Volume (mil)

0.0000

 

 

 

Market Value (mil)

3.27

 

 

 

 

Price % Change

Rel S&P 500%

4 Week

0.0000%

1.49%

13 Week

0.0000%

-1.14%

52 Week

0.0000%

-1.37%

Year to Date

0.0000%

1.25%

 

 

1 - Profit & Loss Item Exchange Rate: USD 1 = OMR 0.385032
2 - Balance Sheet Item Exchange Rate: USD 1 = OMR 0.385

 

 

Corporate Overview

 

Location
Industrial Estate
P.O.Box 47Sohar
Sohar, 327
Oman

 

Tel:                                           968-26-751675

Fax:                                          968-26-750186

 

Website:                                   www.gulfstone-oman.com

Quote Symbol – Exchange         GSCI - Muscat Securities Market

Sales OMR(mil):                        3.7

Assets OMR(mil):                      6.1

Employees:                               65

Fiscal Year End:                        31-Dec-2011

 

Industry:                                    Construction - Supplies and Fixtures

Incorporation Date:                     31-Mar-1999

Company Type:                         Public Independent

Quoted Status:                          Quoted

 

Secretary to the Board:              Shammas Bin Khalid Al Reesi

Industry Codes

 

ANZSIC 2006 Codes:

2029

-

Other Ceramic Product Manufacturing

2090

-

Other Non-Metallic Mineral Product Manufacturing

 

NACE 2002 Codes:

2630

-

Manufacture of ceramic tiles and flags

2670

-

Cutting, shaping and finishing of ornamental and building stone

 

NAICS 2002 Codes:

327122

-

Ceramic Wall and Floor Tile Manufacturing

327991

-

Cut Stone and Stone Product Manufacturing

 

US SIC 1987:

3253

-

Ceramic Wall and Floor Tile

3281

-

Cut Stone and Stone Products

 

UK SIC 2003:

2630

-

Manufacture of ceramic tiles and flags

2670

-

Cutting, shaping and finishing of ornamental and building stone

 

UK SIC 2007:

2331

-

Manufacture of ceramic tiles and flags

2370

-

Cutting, shaping and finishing of stone

 

 

Business Description

 

Gulf Stone Co SAOG (GSC) is an Oman-based company engaged in the manufacture of agglomerated quartz stone. The Company’s products fall into three categories namely mirror, non-mirror and mosaic products that are used in a variety of applications as indoor flooring, raised floor systems, internal wall cladding, table tops, vanity tops, kitchen counters, tables for laboratories, stairs and sills, bathrooms and swimming pools among other application purposes. GSC operates through its production unit located in Sohar, Oman, with exports to Europe, Australia, United Kingdom, United States of America, India, Asia and the Middle East regions. As of December 31, 2011, the Company's main shareholders included First National LLC (29.64%), Arab Mining Co. (25%) and Bitumat Company Limited (20%). For the nine months ended 30 September 2012, Gulf Stone Co. SAOG revenues increased 4% to OMR2.8M. Net income decreased 38% to OMR195K. Revenues reflect an increase in demand for the Company's products and services due to favorable market conditions. Net income was offset by Marketing & Selling Expenses increase of 20% to OMR112K (expense), Other Income decrease of 84% to OMR3K (income).

 

More Business Descriptions

Production of quartz agglomerate stone

Flooring Tile & Stone Product Mfr

 

Financial Data

 

Financials in:

OMR(mil)

1 Year Growth

Revenue:

3.7

8.4%

Net Income:

0.5

21.0%

Assets:

6.1

3.7%

Long Term Debt:

0.6

Total Liabilities:

2.0

Working Capital:

0.0

Date of Financial Data:

31-Dec-2011

 

 

Market Data

 

Quote Symbol:

GSCI

Exchange:

Muscat Securities Market

Currency:

OMR

Stock Price:

0.1

Stock Price Date:

12-04-2011

52 Week Price Change %:

0.0

Market Value (mil):

3,267.0

SEDOL:

6560490

ISIN:

OM0000002671

Equity and Dept Distribution:

03/2008, Scrip Issue, 5 new shares for every 100 shares held. 03/2009, Script Issue, 19.05 shares for every 100 shares held. 03/2010, Scrip Issue, 20 new shares for every 100 shares held. 03/2011, Scrip Issue, 10 new shares for every 100 shares held (Factor: 1.1). 3/2012, Scrip Issue, 10 new shares for every 100 shares held (Factor: 1.1).

 

 

Shareholders

 

 

Major Shareholders

 

First National LLC (29.64%); Arab Mining Co (25%); Bitumat Company Limited (20%)

 

 

Key Corporate Relationships

 

Auditor: KPMG

Auditor: KPMG, KPMG

 

Board of Directors

 

Name

Title

Function

Ahmad Mohammed Al Rasbi

 

Non-Executive Chairman of the Board

Chairman

Mohammed Said Al Ajeel

 

Non-Executive Vice Chairman of the Board

Vice-Chairman

Hirki, Nawwar Abdul Karim Al

 

Board Member

Director/Board Member

Suleiman Ahmad Al Haqani

 

Non-Executive Member of the Board

Director/Board Member

Biography:

Mr. Suleiman Ahmad Al Haqani serves as Non-Executive Member of the Board of Gulf Stone Co SAOG since March 22, 2009. He also serves as Chairman of the Board at another two Companies, as well as Member of the Board of another Company.

Nawwar Abdul Karim Al Hirki

 

Non-Executive Member of the Board, representing Bitumat Company Limited

Director/Board Member

 

Saliaman Ahmaed Al Hookani

 

Director

Director/Board Member

 

Mohammed Ahmad Abdul Aziz Al Shehhi

 

Non-Executive Member of the Board, representing Arab Mining Co.

Director/Board Member

 

Fares Mahmoud Fadl Allah

 

Non-Executive Member of the Board

Director/Board Member

 

Biography:

Mr. Fares Mahmoud Fadl Allah serves as Non-Executive Member of the Board of Gulf Stone Co SAOG since 2010. He also serves as Member of the Board at another two Companies.

Haifa A. Hamid

 

Board Member

Director/Board Member

 

 

Executives

 

Name

Title

Function

Abdul Moneim Mohammed Abdullah Al Murshidi

 

General Manager

Division Head Executive

Age: 38

Shammas Bin Khalid Al Reesi

 

Secretary to the Board

Company Secretary

 

 

 

Significant Developments

 

 

 

 

Gulf Stone Co SAOG Approves To Acquire New Production Line

Jul 25, 2012


Gulf Stone Co SAOG announced that its Board of Directors has approved to acquire new production line to enhance the Company's production.

 

Gulf Stone Co SAOG Issues Further Information Concerning Capital Increase Through Bonus Share Issue

Mar 24, 2012


Gulf Stone Co SAOG announced that its Shareholders, during their Annual General Meeting held on March 24, 2012, has approved to issue bonus shares of 10% of the paid up capital, representing 10 bonus shares for each 100 outstanding shares and thus increasing the Company's capital from OMR 3,300,000 to OMR 3,630,000.

 

Annual Income Statement

 

Financials in: USD (mil)                                                                

Except for share items (millions) and per share items (actual units)  

 

 

 

31-Dec-2011

31-Dec-2010

31-Dec-2009

31-Dec-2008

31-Dec-2007

Period Length

12 Months

12 Months

12 Months

12 Months

12 Months

UpdateType/Date

Updated Normal
31-Dec-2011

Updated Normal
31-Dec-2010

Restated Normal
31-Dec-2010

Updated Normal
31-Dec-2008

Updated Normal
31-Dec-2007

Filed Currency

OMR

OMR

OMR

OMR

OMR

Exchange Rate (Period Average)

0.385032

0.385008

0.384999

0.384956

0.384897

Auditor

KPMG

KPMG

Khalid Majid Rahman

Deloitte & Touche LLP

Deloitte & Touche LLP

Auditor Opinion

Unqualified

Unqualified

Unqualified

Unqualified

Unqualified

 

 

 

 

 

 

    Net Sales

9.7

8.9

10.0

12.9

11.9

Revenue

9.7

8.9

10.0

12.9

11.9

Total Revenue

9.7

8.9

10.0

12.9

11.9

 

 

 

 

 

 

    Cost of Revenue

7.2

6.8

7.4

9.7

8.4

Cost of Revenue, Total

7.2

6.8

7.4

9.7

8.4

Gross Profit

2.5

2.1

2.6

3.2

3.6

 

 

 

 

 

 

    Selling/General/Administrative Expense

1.2

1.0

1.1

1.5

1.2

Total Selling/General/Administrative Expenses

1.2

1.0

1.1

1.5

1.2

    Other Operating Expense

-

-

-

0.2

-

    Other, Net

-0.1

0.0

0.0

-0.1

-0.1

Other Operating Expenses, Total

-0.1

0.0

0.0

0.2

-0.1

Total Operating Expense

8.4

7.7

8.4

11.4

9.5

 

 

 

 

 

 

Operating Income

1.3

1.2

1.6

1.5

2.4

 

 

 

 

 

 

        Interest Expense - Non-Operating

-0.2

-0.2

-0.3

-0.3

-0.3

    Interest Expense, Net Non-Operating

-0.2

-0.2

-0.3

-0.3

-0.3

Interest Income (Expense) - Net Non-Operating Total

-0.2

-0.2

-0.3

-0.3

-0.3

Income Before Tax

1.2

1.0

1.3

1.2

2.2

 

 

 

 

 

 

Total Income Tax

0.0

0.0

0.0

0.0

0.1

Income After Tax

1.2

1.0

1.3

1.2

2.0

 

 

 

 

 

 

Net Income Before Extraord Items

1.2

1.0

1.3

1.2

2.0

Net Income

1.2

1.0

1.3

1.2

2.0

 

 

 

 

 

 

Income Available to Common Excl Extraord Items

1.2

1.0

1.3

1.2

2.0

 

 

 

 

 

 

Income Available to Common Incl Extraord Items

1.2

1.0

1.3

1.2

2.0

 

 

 

 

 

 

Basic/Primary Weighted Average Shares

36.3

36.3

36.3

36.3

36.3

Basic EPS Excl Extraord Items

0.03

0.03

0.04

0.03

0.06

Basic/Primary EPS Incl Extraord Items

0.03

0.03

0.04

0.03

0.06

Diluted Net Income

1.2

1.0

1.3

1.2

2.0

Diluted Weighted Average Shares

36.3

36.3

36.3

36.3

36.3

Diluted EPS Excl Extraord Items

0.03

0.03

0.04

0.03

0.06

Diluted EPS Incl Extraord Items

0.03

0.03

0.04

0.03

0.06

Dividends per Share - Common Stock Primary Issue

-

0.00

0.00

0.29

0.07

Gross Dividends - Common Stock

-

0.0

0.0

-

-

Interest Expense, Supplemental

0.2

0.2

0.3

0.3

0.3

Depreciation, Supplemental

0.7

0.7

0.6

0.6

0.0

Normalized Income Before Tax

1.2

1.0

1.3

1.2

2.2

 

 

 

 

 

 

Inc Tax Ex Impact of Sp Items

0.0

0.0

0.0

0.0

0.1

Normalized Income After Tax

1.2

1.0

1.3

1.2

2.0

 

 

 

 

 

 

Normalized Inc. Avail to Com.

1.2

1.0

1.3

1.2

2.0

 

 

 

 

 

 

Basic Normalized EPS

0.03

0.03

0.04

0.03

0.06

Diluted Normalized EPS

0.03

0.03

0.04

0.03

0.06

Rental Expenses

-

-

-

0.0

0.0

Advertising Expense, Supplemental

-

-

-

0.0

0.0

Normalized EBIT

1.3

1.2

1.6

1.5

2.4

Normalized EBITDA

2.0

1.9

2.2

2.1

2.5

    Deferred Tax - Domestic

0.0

0.0

0.0

0.0

0.1

Deferred Tax - Total

0.0

0.0

0.0

0.0

0.1

Income Tax - Total

0.0

0.0

0.0

0.0

0.1

 

 

Annual Balance Sheet

 

Financials in: USD (mil)

 

 

 

31-Dec-2011

31-Dec-2010

31-Dec-2009

31-Dec-2008

31-Dec-2007

UpdateType/Date

Updated Normal
31-Dec-2011

Reclassified Normal
31-Dec-2011

Updated Normal
31-Dec-2009

Updated Normal
31-Dec-2008

Updated Normal
31-Dec-2007

Filed Currency

OMR

OMR

OMR

OMR

OMR

Exchange Rate

0.385

0.385

0.38495

0.38505

0.385

Auditor

KPMG

KPMG

Khalid Majid Rahman

Deloitte & Touche LLP

Deloitte & Touche LLP

Auditor Opinion

Unqualified

Unqualified

Unqualified

Unqualified

Unqualified

 

 

 

 

 

 

    Cash & Equivalents

0.5

0.5

0.5

1.0

0.8

Cash and Short Term Investments

0.5

0.5

0.5

1.0

0.8

        Accounts Receivable - Trade, Gross

3.0

1.8

1.1

1.1

1.2

        Provision for Doubtful Accounts

-0.1

-0.1

-0.1

-0.2

-0.2

    Trade Accounts Receivable - Net

2.9

1.7

0.9

0.9

1.0

    Other Receivables

0.0

0.0

0.0

0.0

-

Total Receivables, Net

2.9

1.7

1.0

0.9

1.0

    Inventories - Finished Goods

1.0

1.0

1.1

0.4

0.4

    Inventories - Work In Progress

0.2

0.2

0.3

0.1

0.2

    Inventories - Raw Materials

2.0

2.2

2.4

3.3

2.4

    Inventories - Other

0.0

0.0

-0.1

-0.2

0.0

Total Inventory

3.2

3.3

3.6

3.7

2.9

Prepaid Expenses

0.3

0.2

0.2

0.4

0.3

Total Current Assets

6.9

5.8

5.3

5.9

5.1

 

 

 

 

 

 

        Buildings

-

-

-

3.4

3.4

        Machinery/Equipment

-

-

-

9.8

9.5

        Construction in Progress

-

-

-

0.2

0.1

    Property/Plant/Equipment - Gross

13.8

13.7

13.8

13.5

13.1

    Accumulated Depreciation

-4.8

-4.2

-3.6

-3.1

-2.5

Property/Plant/Equipment - Net

8.9

9.5

10.1

10.3

10.5

Total Assets

15.9

15.3

15.4

16.3

15.6

 

 

 

 

 

 

Accounts Payable

1.2

0.7

0.9

1.3

1.1

Accrued Expenses

0.2

0.2

-

-

-

Notes Payable/Short Term Debt

0.0

4.0

2.8

0.9

0.0

Current Portion - Long Term Debt/Capital Leases

1.4

0.0

0.3

1.9

1.6

    Customer Advances

0.0

0.0

-

-

-

    Other Payables

0.1

0.1

-

-

-

Other Current liabilities, Total

0.1

0.1

-

-

-

Total Current Liabilities

3.0

5.0

4.0

4.1

2.7

 

 

 

 

 

 

    Long Term Debt

1.5

0.2

2.3

4.3

6.3

Total Long Term Debt

1.5

0.2

2.3

4.3

6.3

Total Debt

2.9

4.1

5.4

7.1

7.9

 

 

 

 

 

 

    Deferred Income Tax - LT Liability

0.7

0.7

0.7

0.7

0.8

Deferred Income Tax

0.7

0.7

0.7

0.7

0.8

    Pension Benefits - Underfunded

0.1

0.1

0.1

0.1

0.0

Other Liabilities, Total

0.1

0.1

0.1

0.1

0.0

Total Liabilities

5.3

5.9

7.0

9.2

9.7

 

 

 

 

 

 

    Common Stock

8.6

8.6

6.5

5.5

5.2

Common Stock

8.6

8.6

6.5

5.5

5.2

Retained Earnings (Accumulated Deficit)

2.0

0.8

1.9

1.6

0.7

Total Equity

10.6

9.4

8.4

7.1

5.9

 

 

 

 

 

 

Total Liabilities & Shareholders’ Equity

15.9

15.3

15.4

16.3

15.6

 

 

 

 

 

 

    Shares Outstanding - Common Stock Primary Issue

36.3

36.3

36.3

36.3

36.3

Total Common Shares Outstanding

36.3

36.3

36.3

36.3

36.3

Number of Common Shareholders

-

-

41

41

43

Deferred Revenue - Current

0.0

0.0

0.0

0.1

-

Total Long Term Debt, Supplemental

1.5

2.9

5.1

6.2

7.9

Long Term Debt Maturing within 1 Year

1.5

2.8

2.8

1.9

1.6

Long Term Debt Maturing in Year 2

0.0

0.2

1.9

1.9

1.9

Long Term Debt Maturing in Year 3

0.0

0.0

0.1

0.8

1.4

Long Term Debt Maturing in Year 4

0.0

0.0

0.1

0.8

1.4

Long Term Debt Maturing in Year 5

0.0

0.0

0.1

0.8

1.4

Long Term Debt Maturing in 2-3 Years

0.0

0.2

2.1

2.7

3.4

Long Term Debt Maturing in 4-5 Years

0.0

0.0

0.2

1.6

2.9

Long Term Debt Matur. in Year 6 & Beyond

0.0

0.0

0.0

0.0

0.0

Total Operating Leases, Supplemental

-

-

-

0.6

0.6

Operating Lease Payments Due in Year 1

-

-

-

0.0

0.0

Operating Lease Payments Due in Year 2

-

-

-

0.0

0.0

Operating Lease Payments Due in Year 3

-

-

-

0.0

0.0

Operating Lease Payments Due in Year 4

-

-

-

0.0

0.0

Operating Lease Payments Due in Year 5

-

-

-

0.0

0.0

Operating Lease Pymts. Due in 2-3 Years

-

-

-

0.1

0.1

Operating Lease Pymts. Due in 4-5 Years

-

-

-

0.1

0.1

Oper. Lse. Pymts. Due in Year 6 & Beyond

-

-

-

0.4

0.5

 

 

Annual Cash Flows

 

Financials in: USD (mil)

 

 

 

31-Dec-2011

31-Dec-2010

31-Dec-2009

31-Dec-2008

31-Dec-2007

Period Length

12 Months

12 Months

12 Months

12 Months

12 Months

UpdateType/Date

Updated Normal
31-Dec-2011

Reclassified Normal
31-Dec-2011

Updated Normal
31-Dec-2009

Updated Normal
31-Dec-2009

Updated Normal
31-Dec-2007

Filed Currency

OMR

OMR

OMR

OMR

OMR

Exchange Rate (Period Average)

0.385032

0.385008

0.384999

0.384956

0.384897

Auditor

KPMG

KPMG

Khalid Majid Rahman

Deloitte & Touche LLP

Deloitte & Touche LLP

Auditor Opinion

Unqualified

Unqualified

Unqualified

Unqualified

Unqualified

 

 

 

 

 

 

Net Income/Starting Line

1.2

1.0

1.3

1.2

2.2

    Depreciation

0.7

0.7

0.6

0.6

0.5

Depreciation/Depletion

0.7

0.7

0.6

0.6

0.5

    Unusual Items

0.1

0.0

0.0

-

-

    Other Non-Cash Items

0.2

0.2

0.3

0.5

0.3

Non-Cash Items

0.2

0.2

0.3

0.5

0.3

    Accounts Receivable

-1.3

-0.8

0.1

0.0

-0.5

    Inventories

0.2

0.3

0.0

-0.9

-0.5

    Payable/Accrued

0.6

0.1

-0.4

0.3

0.1

Changes in Working Capital

-0.6

-0.4

-0.3

-0.7

-0.9

Cash from Operating Activities

1.5

1.5

1.9

1.7

2.1

 

 

 

 

 

 

    Purchase of Fixed Assets

-0.1

0.0

-0.4

-0.4

-0.7

Capital Expenditures

-0.1

0.0

-0.4

-0.4

-0.7

    Sale of Fixed Assets

0.0

0.0

0.0

0.0

-

Other Investing Cash Flow Items, Total

0.0

0.0

0.0

0.0

-

Cash from Investing Activities

-0.1

0.0

-0.4

-0.4

-0.7

 

 

 

 

 

 

    Other Financing Cash Flow

0.1

0.7

-0.8

0.6

-0.3

Financing Cash Flow Items

0.1

0.7

-0.8

0.6

-0.3

        Long Term Debt Issued

-

-

-

-

0.1

        Long Term Debt Reduction

-

-

-

-

-1.3

    Long Term Debt, Net

-1.4

-2.1

-1.1

-1.7

-1.2

Issuance (Retirement) of Debt, Net

-1.4

-2.1

-1.1

-1.7

-1.2

Cash from Financing Activities

-1.4

-1.5

-2.0

-1.1

-1.5

 

 

 

 

 

 

Net Change in Cash

0.0

0.0

-0.5

0.2

-0.2

 

 

 

 

 

 

Net Cash - Beginning Balance

0.5

0.5

1.0

0.8

1.0

Net Cash - Ending Balance

0.5

0.5

0.5

1.0

0.8

Cash Interest Paid

0.2

0.2

0.3

0.3

0.3

 

 

Annual Income Statement

 

Financials in: USD (mil)                                                                

Except for share items (millions) and per share items (actual units)  

 

 

 

31-Dec-2011

31-Dec-2010

31-Dec-2009

31-Dec-2008

31-Dec-2007

Period Length

12 Months

12 Months

12 Months

12 Months

12 Months

UpdateType/Date

Updated Normal
31-Dec-2011

Updated Normal
31-Dec-2010

Restated Normal
31-Dec-2010

Updated Normal
31-Dec-2008

Updated Normal
31-Dec-2007

Filed Currency

OMR

OMR

OMR

OMR

OMR

Exchange Rate (Period Average)

0.385032

0.385008

0.384999

0.384956

0.384897

Auditor

KPMG

Khalid Majid Rahman

Deloitte & Touche LLP

Deloitte & Touche LLP

Deloitte & Touche LLP

Auditor Opinion

Unqualified

Unqualified

Unqualified

Unqualified

Unqualified

 

 

 

 

 

 

    Revenue

9.7

8.9

10.0

12.9

11.9

Total Revenue

9.7

8.9

10.0

12.9

11.9

 

 

 

 

 

 

    Cost of Sales

7.2

6.8

7.4

9.7

8.4

    Administrative & General Expenses

0.9

0.7

0.8

1.0

0.9

    Selling & Marketing Expenses

0.3

0.3

0.3

0.5

0.4

    Provision for Slow Moving Stock

-

-

-

0.2

-

    Other Operating Income

-0.1

0.0

0.0

-0.1

-0.1

Total Operating Expense

8.4

7.7

8.4

11.4

9.5

 

 

 

 

 

 

    Interest Expense

-0.2

-0.2

-0.3

-0.3

-0.3

Net Income Before Taxes

1.2

1.0

1.3

1.2

2.2

 

 

 

 

 

 

Provision for Income Taxes

0.0

0.0

0.0

0.0

0.1

Net Income After Taxes

1.2

1.0

1.3

1.2

2.0

 

 

 

 

 

 

Net Income Before Extra. Items

1.2

1.0

1.3

1.2

2.0

Net Income

1.2

1.0

1.3

1.2

2.0

 

 

 

 

 

 

Income Available to Com Excl ExtraOrd

1.2

1.0

1.3

1.2

2.0

 

 

 

 

 

 

Income Available to Com Incl ExtraOrd

1.2

1.0

1.3

1.2

2.0

 

 

 

 

 

 

Basic Weighted Average Shares

36.3

36.3

36.3

36.3

36.3

Basic EPS Excluding ExtraOrdinary Items

0.03

0.03

0.04

0.03

0.06

Basic EPS Including ExtraOrdinary Items

0.03

0.03

0.04

0.03

0.06

Diluted Net Income

1.2

1.0

1.3

1.2

2.0

Diluted Weighted Average Shares

36.3

36.3

36.3

36.3

36.3

Diluted EPS Excluding ExtraOrd Items

0.03

0.03

0.04

0.03

0.06

Diluted EPS Including ExtraOrd Items

0.03

0.03

0.04

0.03

0.06

DPS-Common Stock

-

0.00

0.00

0.29

0.07

Gross Dividends - Common Stock

-

0.0

0.0

-

-

Normalized Income Before Taxes

1.2

1.0

1.3

1.2

2.2

 

 

 

 

 

 

Inc Tax Ex Impact of Sp Items

0.0

0.0

0.0

0.0

0.1

Normalized Income After Taxes

1.2

1.0

1.3

1.2

2.0

 

 

 

 

 

 

Normalized Inc. Avail to Com.

1.2

1.0

1.3

1.2

2.0

 

 

 

 

 

 

Basic Normalized EPS

0.03

0.03

0.04

0.03

0.06

Diluted Normalized EPS

0.03

0.03

0.04

0.03

0.06

Depreciation

0.7

0.7

0.6

0.6

0.0

Rental Expenses

-

-

-

0.0

0.0

Interest Expense

0.2

0.2

0.3

0.3

0.3

Advertising Expense

-

-

-

0.0

0.0

    Deferred Tax

0.0

0.0

0.0

0.0

0.1

Deferred Tax - Total

0.0

0.0

0.0

0.0

0.1

Income Tax - Total

0.0

0.0

0.0

0.0

0.1

 

 

Annual Balance Sheet

 

Financials in: USD (mil)

 

 

 

31-Dec-2011

31-Dec-2010

31-Dec-2009

31-Dec-2008

31-Dec-2007

UpdateType/Date

Updated Normal
31-Dec-2011

Reclassified Normal
31-Dec-2011

Updated Normal
31-Dec-2009

Updated Normal
31-Dec-2008

Updated Normal
31-Dec-2007

Filed Currency

OMR

OMR

OMR

OMR

OMR

Exchange Rate

0.385

0.385

0.38495

0.38505

0.385

Auditor

KPMG

Khalid Majid Rahman

Deloitte & Touche LLP

Deloitte & Touche LLP

Deloitte & Touche LLP

Auditor Opinion

Unqualified

Unqualified

Unqualified

Unqualified

Unqualified

 

 

 

 

 

 

    Raw Material

2.0

2.2

2.4

3.3

2.4

    Material in Process

0.2

0.2

0.3

0.1

0.2

    Finished Goods

1.0

1.0

1.1

0.4

0.4

    Allowances for Contingencies

0.0

0.0

-0.1

-0.2

0.0

    Trade Receivables

3.0

1.8

1.1

1.1

1.2

    Impairment Loss

-0.1

-0.1

-0.1

-0.2

-0.2

    Prepaid Expenses

0.0

0.1

0.0

0.0

0.0

    Other Advances

0.3

0.2

0.2

0.4

0.3

    Other Receivables

0.0

0.0

0.0

0.0

-

    Cash & Equivalents

0.5

0.5

0.5

1.0

0.8

Total Current Assets

6.9

5.8

5.3

5.9

5.1

 

 

 

 

 

 

    Tangibles, Gross

13.8

13.7

13.8

-

-

    Plant & Machinery

-

-

-

8.8

8.7

    Building

-

-

-

3.4

3.4

    Motor Vehicles

-

-

-

0.6

0.5

    Furnitures & Fixtures

-

-

-

0.1

0.1

    Computer & Other Equipments

-

-

-

0.1

0.1

    Tools

-

-

-

0.2

0.2

    Work in Progress

-

-

-

0.2

0.1

    Depreciation

-4.8

-4.2

-3.6

-3.1

-2.5

Total Assets

15.9

15.3

15.4

16.3

15.6

 

 

 

 

 

 

    Interest Bearing Loans

-

-

0.3

1.9

1.6

    Bank Borrowings

0.0

4.0

2.8

0.9

-

    Payables & Accruals

-

-

0.9

1.3

1.1

    Trade Payables

1.2

0.7

-

-

-

    Accrued Expense

0.2

0.2

-

-

-

    Leave Provision

0.1

0.1

-

-

-

    Working Capital Facilities

1.4

0.0

-

-

-

    Advances from Customers

0.0

0.0

-

-

-

Total Current Liabilities

3.0

5.0

4.0

4.1

2.7

 

 

 

 

 

 

    Interest Bearing Loans

0.0

0.2

2.3

3.7

5.3

    Term Loans

1.5

-

-

-

-

    Deferred Government Grants

-

-

-

0.6

0.9

Total Long Term Debt

1.5

0.2

2.3

4.3

6.3

 

 

 

 

 

 

    Deferred Tax

0.7

0.7

0.7

0.7

0.8

    Provision for End of Services Indemnity

0.1

0.1

0.1

0.1

0.0

Total Liabilities

5.3

5.9

7.0

9.2

9.7

 

 

 

 

 

 

    Share Capital

8.6

8.6

6.5

5.5

5.2

    Legal Reserve

0.8

0.7

0.6

0.5

0.3

    Accumulated Losses

0.1

0.1

1.3

1.2

0.3

    Net Income after Tax

1.1

0.0

-

-

-

Total Equity

10.6

9.4

8.4

7.1

5.9

 

 

 

 

 

 

Total Liabilities & Shareholders' Equity

15.9

15.3

15.4

16.3

15.6

 

 

 

 

 

 

    S/O-Common Stock

36.3

36.3

36.3

36.3

36.3

Total Common Shares Outstanding

36.3

36.3

36.3

36.3

36.3

Advance Payment

0.0

0.0

0.0

0.1

-

Shareholders

-

-

41

41

43

Payable within 1 Year

1.5

2.8

2.8

1.9

1.6

Payable within 1-2 Years

0.0

0.2

1.9

1.9

1.9

Payable within 2-5 Years

0.0

0.0

0.4

2.4

4.3

More than 5 Year

0.0

0.0

0.0

-

0.0

Total Long Term Debt, Supplemental

1.5

2.9

5.1

6.2

7.9

Operating Lease Maturing Within 1 Year

-

-

-

0.0

0.0

Operating Lease Maturing Within 1-5 Year

-

-

-

0.1

0.1

Operating Lease Maturing After 5 Years

-

-

-

0.4

0.5

Total Operating Leases

-

-

-

0.6

0.6

 

 

Annual Cash Flows

 

Financials in: USD (mil)

 

 

 

31-Dec-2011

31-Dec-2010

31-Dec-2009

31-Dec-2008

31-Dec-2007

Period Length

12 Months

12 Months

12 Months

12 Months

12 Months

UpdateType/Date

Updated Normal
31-Dec-2011

Reclassified Normal
31-Dec-2011

Updated Normal
31-Dec-2009

Updated Normal
31-Dec-2009

Updated Normal
31-Dec-2007

Filed Currency

OMR

OMR

OMR

OMR

OMR

Exchange Rate (Period Average)

0.385032

0.385008

0.384999

0.384956

0.384897

Auditor

KPMG

Khalid Majid Rahman

Deloitte & Touche LLP

Deloitte & Touche LLP

Deloitte & Touche LLP

Auditor Opinion

Unqualified

Unqualified

Unqualified

Unqualified

Unqualified

 

 

 

 

 

 

Net Income

1.2

1.0

1.3

1.2

2.2

    Depreciation

0.7

0.7

0.6

0.6

0.5

    Allowance for Impairment in Other Advanc

-

-

-

-

0.0

    Loss on Dispos. of Capital Work in Progr

0.1

0.0

-

-

-

    Net Finance Costs

0.2

0.2

0.3

0.3

0.3

    Provision for End of Services Indemnity

0.0

0.0

0.0

0.0

0.0

    Loss on Disposal of Prop., Plant & Equi.

0.0

0.0

0.0

-

-

    Provision for Slow Moving Stock

-

-

-

0.2

-

    Adjustment for Prop., Plant & Equip.

-

-

0.0

-

-

    Inventories

0.2

0.3

0.0

-0.9

-0.5

    Receivables & Prepayments

-1.3

-0.8

0.1

0.0

-0.5

    Payables & Accruals

0.6

0.1

-0.4

0.3

0.1

Cash from Operating Activities

1.5

1.5

1.9

1.7

2.1

 

 

 

 

 

 

    Purchase of Prop., Plant, Equip.

-0.1

0.0

-0.4

-0.4

-

    Sale of Prop., Plant, Equipment

0.0

0.0

0.0

0.0

-

    Capital Expenditure

-

-

-

-

-0.7

Cash from Investing Activities

-0.1

0.0

-0.4

-0.4

-0.7

 

 

 

 

 

 

    Term Loan

-1.4

-2.1

-1.1

-1.7

-

    Government Loan Received

-

-

-

-

0.1

    Government Loan Repayment

-

-

-

-

-1.3

    Bank Borrowings

0.2

0.9

-0.6

0.9

-

    Net Finance Costs

-0.2

-0.2

-0.3

-0.3

-0.3

Cash from Financing Activities

-1.4

-1.5

-2.0

-1.1

-1.5

 

 

 

 

 

 

Net Change in Cash

0.0

0.0

-0.5

0.2

-0.2

 

 

 

 

 

 

Cash Beginning Balance

0.5

0.5

1.0

0.8

1.0

Cash Ending Balance

0.5

0.5

0.5

1.0

0.8

    Cash Interest Paid

0.2

0.2

0.3

0.3

0.3

 

 

Financial Health

 

Financials in: USD (mil)                                                                

Except for share items (millions) and per share items (actual units)  

Key Indicators USD (mil)

 

Quarter
Ending
30-Sep-2012

Quarter
Ending
Yr Ago

Annual
Year End
31-Dec-2011

1 Year
Growth

3 Year
Growth

5 Year
Growth

Total Revenue1 (?)

2.2

-15.94%

9.7

8.41%

-9.05%

2.28%

Operating Income1 (?)

0.1

-62.75%

1.3

11.19%

-3.58%

-5.70%

Income Available to Common Excl Extraord Items1 (?)

0.1

-72.85%

1.2

21.05%

-0.72%

-1.59%

Basic EPS Excl Extraord Items1 (?)

0.00

-74.19%

0.03

20.75%

-0.77%

-1.64%

Capital Expenditures2 (?)

0.1

0.20%

0.1

206.17%

-29.73%

-33.86%

Cash from Operating Activities2 (?)

0.1

-92.49%

1.5

-0.34%

-3.66%

-13.73%

Free Cash Flow (?)

0.0

-99.01%

1.3

-6.99%

2.39%

-7.51%

Total Assets3 (?)

16.1

5.15%

15.9

3.68%

-0.90%

1.77%

Total Liabilities3 (?)

5.0

-2.17%

5.3

-10.91%

-17.01%

-13.27%

Total Long Term Debt3 (?)

0.2

-89.97%

1.5

815.45%

-29.62%

-28.56%

Total Common Shares Outstanding3 (?)

36.3

0.00%

36.3

0.00%

0.00%

0.00%

1-ExchangeRate: OMR to USD Average for Period

0.384701

 

0.385032

 

 

 

2-ExchangeRate: OMR to USD Average for Period

0.384874

 

0.385032

 

 

 

3-ExchangeRate: OMR to USD Period End Date

0.385050

 

0.385000

 

 

 

Key Ratios

 

31-Dec-2011

31-Dec-2010

31-Dec-2009

31-Dec-2008

31-Dec-2007

Profitability

Gross Margin (?)

25.54%

23.64%

26.00%

24.62%

29.99%

Operating Margin (?)

13.69%

13.35%

15.65%

11.49%

20.46%

Pretax Margin (?)

12.11%

10.86%

13.01%

9.27%

18.01%

Net Profit Margin (?)

12.48%

11.17%

13.04%

9.59%

17.14%

Financial Strength

Current Ratio (?)

2.33

1.17

1.34

1.45

1.89

Long Term Debt/Equity (?)

0.14

0.02

0.27

0.61

1.07

Total Debt/Equity (?)

0.28

0.44

0.64

1.00

1.34

Management Effectiveness

Return on Assets (?)

7.75%

6.49%

8.22%

7.74%

13.58%

Return on Equity (?)

12.07%

11.21%

16.85%

19.05%

42.30%

Efficiency

Receivables Turnover (?)

4.23

6.78

10.87

13.45

15.47

Inventory Turnover (?)

2.21

1.96

2.03

2.94

3.14

Asset Turnover (?)

0.62

0.58

0.63

0.81

0.79

Market Valuation USD (mil)

P/E (TTM) (?)

8.58

.

Enterprise Value2 (?)

11.0

Price/Sales (TTM) (?)

0.86

.

Enterprise Value/Revenue (TTM) (?)

1.11

Price/Book (MRQ) (?)

0.69

.

Enterprise Value/EBITDA (TTM) (?)

6.17

Market Cap as of 04-Dec-20111 (?)

8.5

.

 

 

1-ExchangeRate: OMR to USD on 4-Dec-2011

0.385000

 

 

 

2-ExchangeRate: OMR to USD on 30-Sep-2012

0.385050

 

 

 

 

 

Annual Ratios

 

Financials in: USD (mil)                                                                

Except for share items (millions) and per share items (actual units)  



 

 

31-Dec-2011

31-Dec-2010

31-Dec-2009

31-Dec-2008

31-Dec-2007

Financial Strength

Current Ratio (?)

2.33

1.17

1.34

1.45

1.89

Quick/Acid Test Ratio (?)

1.15

0.45

0.37

0.46

0.68

Working Capital1 (?)

4.0

0.9

1.4

1.9

2.4

Long Term Debt/Equity (?)

0.14

0.02

0.27

0.61

1.07

Total Debt/Equity (?)

0.28

0.44

0.64

1.00

1.34

Long Term Debt/Total Capital (?)

0.11

0.01

0.17

0.30

0.46

Total Debt/Total Capital (?)

0.22

0.31

0.39

0.50

0.57

Payout Ratio (?)

-

0.00%

0.00%

841.22%

127.19%

Effective Tax Rate (?)

-3.00%

-2.88%

-0.23%

-3.49%

4.83%

Total Capital1 (?)

13.5

13.5

13.8

14.2

13.7

 

 

 

 

 

 

Efficiency

Asset Turnover (?)

0.62

0.58

0.63

0.81

0.79

Inventory Turnover (?)

2.21

1.96

2.03

2.94

3.14

Days In Inventory (?)

165.22

186.50

179.58

124.05

116.27

Receivables Turnover (?)

4.23

6.78

10.87

13.45

15.47

Days Receivables Outstanding (?)

86.21

53.83

33.57

27.15

23.60

 

 

 

 

 

 

Profitability

Gross Margin (?)

25.54%

23.64%

26.00%

24.62%

29.99%

Operating Margin (?)

13.69%

13.35%

15.65%

11.49%

20.46%

EBITDA Margin (?)

20.42%

20.97%

22.01%

16.24%

20.79%

EBIT Margin (?)

13.69%

13.35%

15.65%

11.49%

20.46%

Pretax Margin (?)

12.11%

10.86%

13.01%

9.27%

18.01%

Net Profit Margin (?)

12.48%

11.17%

13.04%

9.59%

17.14%

COGS/Revenue (?)

74.46%

76.36%

74.00%

75.38%

70.01%

SG&A Expense/Revenue (?)

12.41%

10.68%

10.61%

11.91%

10.24%

 

 

 

 

 

 

Management Effectiveness

Return on Assets (?)

7.75%

6.49%

8.22%

7.74%

13.58%

Return on Equity (?)

12.07%

11.21%

16.85%

19.05%

42.30%

 

 

 

 

 

 

Valuation

Free Cash Flow/Share2 (?)

0.04

0.04

0.04

0.03

0.04

Operating Cash Flow/Share 2 (?)

0.04

0.04

0.05

0.05

0.06

1-ExchangeRate: OMR to USD Period End Date

0.385

0.385

0.38495

0.38505

0.385

2-ExchangeRate: OMR to USD Average for Period

0.385

0.385

0.38495

0.38505

0.385

 

Current Market Multiples

Market Cap/Earnings (TTM) (?)

9.43

Market Cap/Equity (MRQ) (?)

0.76

Market Cap/Revenue (TTM) (?)

0.86

Market Cap/EBIT (TTM) (?)

7.49

Market Cap/EBITDA (TTM) (?)

4.76

Enterprise Value/Earnings (TTM) (?)

12.22

Enterprise Value/Equity (MRQ) (?)

0.99

Enterprise Value/Revenue (TTM) (?)

1.11

Enterprise Value/EBIT (TTM) (?)

9.70

Enterprise Value/EBITDA (TTM) (?)

6.17

 

 

 

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.54.96

UK Pound

1

Rs.88.68

Euro

1

Rs.72.45

 

 

INFORMATION DETAILS

 

Report Prepared by :

PRL

 

 

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%)