MIRA
INFORM REPORT
|
Report Date : |
17.02.2012 |
IDENTIFICATION DETAILS
|
Correct Name : |
POSCO-THAINOX PUBLIC
COMPANY LIMITED |
|
|
|
|
Formerly Known As : |
THAINOX
STAINLESS PUBLIC COMPANY
LIMITED |
|
|
|
|
Registered Office : |
31st Floor,
Crc Tower, All Season
Place, 87/2 Wireless Road,
Lumpini, Pathumwan,
Bangkok 10330 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2010 |
|
|
|
|
Date of Incorporation : |
1990 |
|
|
|
|
Com. Reg. No.: |
0107547000419 [Former : 0107574700411] |
|
|
|
|
Legal Form : |
Public
Limited Company |
|
|
|
|
Line of Business : |
Manufacturer, Distributor
and Exporter of Cold-Rolled Stainless
Steel Sheets and Coils |
|
|
|
|
No. of Employees : |
630 Staff |
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 : |
Good |
|
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 – September 30, 2011
|
Country Name |
Previous Rating (30.06.2011) |
Current Rating (30.09.2011) |
|
Thailand |
B1 |
B1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
SUMMARY
BUSINESS
ADDRESS : 31st FLOOR,
CRC TOWER, ALL SEASON
PLACE,
87/2 WIRELESS
ROAD, LUMPINI, PATHUMWAN,
BANGKOK 10330,
THAILAND
TELEPHONE : [66] 2250-7061,
2250-7621-32
FAX :
[66] 2250-7633
E-MAIL
ADDRESS : info@thainox.co.th
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1990
REGISTRATION
NO. : 0107547000419 [Former : 0107574700411]
CAPITAL REGISTERED : BHT.
7,795,709,100
CAPITAL PAID-UP : BHT.
7,795,709,100
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PUBLIC LIMITED
COMPANY
EXECUTIVE : MR.
HYO-SEOK SONG, KOREAN
PRESIDENT
& CHIEF EXECUTIVE OFFICER
NO.
OF STAFF : 630
LINES
OF BUSINESS : COLD-ROLLED STAINLESS
STEEL SHEETS
AND COILS
MANUFACTURER, DISTRIBUTOR
AND EXPORTER
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 July 30,
1990 as a private
limited company under
the registered name
THAINOX STEEL LTD.,
by a joint
venture between Thai
and foreign groups,
in order to
manufacture and distribute
premium cold rolled
stainless steel sheets
and coils for
both domestic and
international markets. It was initially
a joint venture
among Arcelor group
of France, Japanese
Consortium and the
Thai PM group
with Board of
Investment [BOI] promoted.
In 2004, the Thai
PM group became
the major shareholder
of the subject,
and changed the
status to a
public company under
the name “THAINOX
STAINLESS PUBLIC COMPANY
LIMITED” on April 26,
2004.
On December 14,
2004, the subject
was listed on
the Stock Exchange
of Thailand under
its symbol “INOX”.
On September 20,
2011, POSCO Ltd.,
the world’s forth
largest steel and stainless
steel maker acquired
Thainox, then its
registered name was changed to
POSCO-THAINOX PUBLIC COMPANY
LIMITED, on November 29, 2011. The
subject currently employs 630
staff.
AWARDS
ISO 9002 : 1994 awarded by
BVQI in 1999
ISO 9001 : 2000 awarded by
BVQI in 2003
ISO/IEC 17025 : 1999 awarded
by TISI in 2004
ISO 14001 : 2004 awarded by
TUSI in 2004
OHSAS 18001 : 1999 awarded
The subject’s registered
address was initially
located on 23rd Floor,
CTI Tower, 191
Ratchadapisek Rd., Klongtoey,
Bangkok 10110.
In 2004 the
subject’s registered address
was relocated to 31st Floor,
CRC Tower, All Season
Place, 87/2 Wireless
Rd., Lumpini, Pathumwan,
Bangkok 10330, and
this is the
subject’s current operation
address.
THE BOARD OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Prayudh Mahagitsiri |
: Chairman |
Thai |
67 |
|
Mr. Young Sea Suh |
|
Korean |
57 |
|
Mr. Chalermchai Mahagitsiri |
|
Thai |
34 |
|
Mr. Hitoshi Ito |
|
Japanese |
58 |
|
Mr. Hyo-Seok Song |
[x] |
Korean |
53 |
|
Mr. Yeong-Hwan Han |
[x] |
Korean |
49 |
|
Mr. Jong-Kug Ahn |
|
Korean |
60 |
|
Mr. Jae-Hyoung Jung |
|
Korean |
- |
|
Mrs. Apiradi Tantraporn |
|
Thai |
63 |
AUTHORIZED PERSON
Both of the mentioned directors
[x] can jointly
sign on behalf
of the subject
with company’s affixed.
MANAGEMENT
Mr. Hyo-Seok Song
is the President
and Chief Executive
Officer.
He is Korean
nationality with the
age of 53
years old.
Mr. Yeong-Hwan Han is
the Chief Financial
Officer.
He is Korean
nationality with the
age of 49
years old.
Mr. Boonmee Vorapatpong is
the Chief Information
Officer.
He is Thai
nationality.
Mr. Prayoon Wonglek
is the Personnel
Manager.
He is Thai
nationality.
Mr. Nantachit Thavornbutr
is the Marketing
Manager.
He is Thai
nationality.
Mr. Polawat Pairojchaikul is
the Sales Director.
He is Thai
nationality.
Dr. Chatchai Somsiri
is the Metal Works Manager.
He is Thai
nationality.
Mr. Chusana Veeraphan is
the Factory Manager.
He is Thai
nationality.
BUSINESS OPERATIONS
The subject’s activity
is a manufacturer
of premium cold-rolled
stainless steel sheets
and coils, which
was divided into 2 product
types: cold rolled
austenitic stainless steel
and cold rolled
ferritic stainless steel.
Both types have
around 0.30 mm.-3 mm. of
thickness and 30
mm.- 1,265 mm. of width.
1. Cold Rolled
Austenitic Stainless Steel
This type of
stainless steel is
non-magnetic. In addition
to chromium, typically
at a level
of 1-14%, austenitic
stainless steel contains
nickel, which increases
corrosion resistance and
makes it easy
to fabricate. This
is the most
widely used type
of stainless steel.
Over 70% of
stainless steel consumed
in Asia is austenitic
grade. INOX main
products in this
category include grade
304 304L and grade
316L.
2. Cold Rolled
Ferritic Stainless Steel
This is a
magnetic type of stainless
steel. It has
a low carbon
content and contain
chromium as a
main element, typically
at a level
of 16%-18%. Ferritic
steel has slightly
higher yield strength
than austenitic steel;
therefore, ferritic steel
finds greater use
where there is
a risk of
stress-corrosion cracking. INOX
main products in
this category included
grade 409, 430
and grade 439.
Its products are used in various
industries especially automotive
assembling, construction, foods
containers, household equipments
and electronic products
both domestic and overseas around
60% and 40%
respectively.
PRODUCTION CAPACITY
300,000 tons/year
MAJOR BRANDS
“TNX”
IMPORT [COUNTRIES]
Some of hot-rolled
steel sheet and
coil as well
as machinery and
spare parts are
imported from France,
South Africa, Japan,
Taiwan, Republic of
China and Korea.
MAJOR SUPPLIERS
Nippon Steel &
Sumikin Stainless Corporation : Japan
Arcelor : France
POSCO Ltd. : Korea
Nippon Metal Industrial
Co., Ltd. :
Japan
SALES
60% of the
products is sold
directly to local
customers and dealers.
EXPORT
40% of the
products is exported
through Arcelor Stainless International
Group to over 40 countries such as Republic of China, Singapore, Malaysia,
United States of America, Australia,
Middle East, India,
Korea, Bangladesh, Denmark,
Germany, France, Russia,
Turkey, Egypt, Indonesia,
Vietnam, Philippines and etc., as well
as export directly
to POSCO Ltd.,
Korea.
REVENUE
[unit : million baht]
|
|
2010 |
2009 |
||
|
|
Amount |
% |
Amount |
% |
|
Sales |
10,473.5 |
97.2 |
7,961.9 |
97.1 |
|
Profit from exchange
rate |
271.3 |
2.5 |
200.4 |
2.5 |
|
Other income |
30.4 |
0.3 |
36.3 |
0.4 |
|
Total revenue |
10,775.4 |
100.0 |
8,198.6 |
100.0 |
ASSOCIATED COMPANIES
NS-Thainox Auto Co.,
Ltd.
Investment : Subject is holding around 49% of the company’s total shares.
Thai Stainless Component
Co., Ltd.
Business Type : Manufacturer and distributor of stainless
sheets and stainless
component
Investment : Subject
is holding around
51% of the
company’s total shares.
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
according the past
two years.
CREDIT
Sales are by
cash or on
the credits term
of 30-60-90 days.
Local bills are
paid by cash
or on the
credits term of
30-60-90 days.
Imports are by
L/C at sight
& T/T.
Exports are against
L/C at sight
& T/T on
the credit term
of 30 days.
BANKING
The Siam Commercial
Bank Public Co., Ltd.
[Head Office :
9 Ratchadapisek Rd., Ladyao, Jatujak, Bangkok
10900]
Credit Agricole
Indosuez Bank
[Bangkok Branch
: 152 Wireless
Rd., Lumpini, Bangkok
10330]
Deutsche Bank AG.
[Bangkok Branch : 208
Wireless Rd., Lumpini,
Pathumwan, Bangkok 10330]
Bangkok Bank Public
Co., Ltd.
[Head Office : 333
Silom Rd., Silom,
Bangrak, Bangkok 10500]
Bank of Ayudhya
Public Co., Ltd.
[Head office
: 1222 Rama
3 Rd., Bangpongpang,
Yannawa, Bangkok]
EMPLOYMENT
The subject employs
approximately 630 staff
[office staff and
factory workers].
LOCATION DETAILS
The premise is rented
for administrative office
at the heading
address. Premise is
located in commercial/residential area.
Factory is located
on the 51
acres of land
at 324 Moo
8, Rayong Industrial Park, Highway
No. 3191, T. Mabkha,
A. Nikompattana, Rayong
21180, Thailand.
Tel : [66]
38 636-125-31, Fax.
[66] 38 636-099.
REMARK
MAXIMUM CREDIT SHOULD
BE GRANTED AT EUR
5,000,000.
COMMENT
Posco-Thainox’s manufacturing
facility is the
first and the
most advanced of its
kind in the
entire ASEAN region. It
has increased its
domestic and global
market share considerably
at an annual
compounded growth rate
of 20%.
Economy improvement had
seen virtually since
2010, demand of stainless steel and
growth of industry started with
a bright and better
as same as the country’s
economy. As Thailand is a
production base for exports (OEM),
demand of stainless steel products
has risen steadily,
as a result, growth
in sales and
profits in 2011
was impressive for
the company and
continued growing steadily
in 2012.
FINANCIAL INFORMATION
The capital was
registered at Bht.
2,300,000,000 divided into
23,000,000 shares of
Bht. 100 each.
The capital was
increased / decreased later as
followings :
Bht. 5,925,900,000
on December 4,
1998
Bht. 6,968,400,000
on May 25,
1999
Bht. 7,804,104,000
on September 29,
1999
Decreased were : Bht.
4,768,913,280 on May
2, 2000
Bht. 4,321,827,660
on November 6,
2003
Increased were : Bht.
7,670,411,666 on November
12, 2003
Bht. 8,000,000,000
on May 8,
2004
The latest registered
capital was decreased to Bht. 7,795,709,100 divided into
7,795,709,100 shares of
Bht. 1 each
with fully paid.
MAIN SHAREHOLDERS
[as at October
6, 2011] at Bht.
7,795,709,100 of capitalization.
|
NAME |
HOLDING |
% |
|
|
|
|
|
POSCO |
5,865,867,598 |
75.24 |
|
POSCO Ltd. |
1,200,000,000 |
15.39 |
|
Nippon Steel & Sumikin Stainless
Steel Corporation |
125,768,070 |
1.61 |
|
Marizon Capital Limited |
84,901,700 |
1.09 |
|
Mr. Suthee Limatiboon |
80,070,000 |
1.03 |
|
Nisshin Steel Co.,
Ltd. |
53,900,000 |
0.69 |
|
Mr. Supachai Sutthipongchai |
51,000,000 |
0.65 |
|
Others |
334,201,732 |
4.30 |
Total shareholders :
1,144
NAME OF AUDITOR & CERTIFIED PUBLIC ACCOUNTANT NO
Mr. Amphol Chamnongwat No.
4663
Note:
The 2011 financial
statement as of
December 31, 2011
has not yet
been submitted to
the Commercial Registration
Department.
BALANCE SHEET [BAHT]
The
latest financial figures
published for December
31, 2010 &
2009 were:
ASSETS
|
Current Assets |
2010 |
2009 |
|
|
|
|
|
Cash and Cash Equivalents |
2,991,887,916.82 |
744,782,565.39 |
|
Current Investment |
- |
318,173,188.11 |
|
Trade Accounts Receivable |
151,833,518.64 |
378,641,814.88 |
|
Trade Accounts Related
Companies |
255,600,991.75 |
140,562,346.57 |
|
Inventories |
3,395,953,914.17 |
3,389,578,974.20 |
|
Other Current Assets
|
|
|
|
Account Receivable - Revenue Department
|
10,029,488.56 |
1,847,710.71 |
|
Inventories Advance
Paid |
6,771,812.81 |
21,962,754.00 |
|
Input Tax
Receivable |
4,216,240.52 |
32,260,715.93 |
|
Others |
13,042,878.72 |
21,126,595.27 |
|
|
|
|
|
Total Current Assets
|
6,829,336,761.99 |
5,048,936,665.06 |
|
Non-Current Assets |
|
|
|
Investment in
Associated Company |
4,900,000.00 |
4,900,000.00 |
|
Investment in Subsidiary Company |
17,849,982.50 |
17,849,982.50 |
|
General Investment |
810,000.00 |
810,000.00 |
|
Property, Plant and Equipment |
7,363,607,293.68 |
7,989,557,985.18 |
|
Land Used in Hotel and Golf
Club Segment |
1,126,001,485.98 |
902,103,024.78 |
|
Land Not
Used in Operations |
1,303,923,538.00 |
1,303,923,538.00 |
|
Other Assets |
|
|
|
Deposit Assets |
27,291,966.22 |
24,973,285.45 |
|
Restricted Bank
Deposits |
4,240,000.00 |
9,040,000.00 |
|
Others |
4,692,094.32 |
3,553,727.48 |
|
Total Non-Current Assets |
9,853,316,360.70 |
10,256,711,543.39 |
|
Total Assets |
16,682,653,122.69 |
15,305,648,208.45 |
LIABILITIES & SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2010 |
2009 |
|
|
|
|
|
Trade Accounts and Notes Payable |
118,640,433.41 |
114,398,185.56 |
|
Accounts Payable Related Company |
2,675,674,616.98 |
752,540,540.08 |
|
Current Portion of
Long-term Loans |
1,458,584,167.12 |
836,384,222.00 |
|
Other Current Liabilities |
|
|
|
Accrued Expenses |
32,528,455.48 |
34,230,984.45 |
|
Accrued Expenses-Related Companies |
931,584.48 |
838,821.85 |
|
Deposit from Customers |
123,687,668.12 |
107,501,302.07 |
|
Others |
42,050,440.47 |
34,589,368.37 |
|
Total Current Liabilities |
4,452,097,366.06 |
1,880,483,424.38 |
|
Non-Current Liabilities |
|
|
|
Long-term Loan-net |
383,812,747.49 |
2,024,411,756.84 |
|
Provident Fund |
72,267,654.04 |
63,685,129.00 |
|
Total Non-Current Liabilities |
456,080,401.53 |
2,088,096,885.84 |
|
Total Liabilities |
4,908,177,767.59 |
3,968,580,310.22 |
|
|
|
|
|
Shareholders' Equity |
|
|
|
Share Capital |
|
|
|
Authorized Share Capital |
|
|
|
7,795,709,100 ordinary share @ Baht. 1.00 |
7,795,709,100.00 |
7,795,709,100.00 |
|
Issued and Paid-up Share Capital |
|
|
|
7,795,709,100 ordinary share @ Baht. 1.00 |
7,795,709,100.00 |
7,795,709,100.00 |
|
Premium on Share-Capital |
332,131,263.64 |
332,131,263.64 |
|
Revaluation Increment in
Property, Plant and Equipment |
2,135,778,971.54 |
2,342,478,380.71 |
|
Retained Earning |
|
|
|
Appropriated |
|
|
|
Statutory Reserve |
585,000,000.00 |
550,000,000.00 |
|
Unappropriated |
925,856,019.92 |
316,749,153.88 |
|
Total Shareholders' Equity |
11,774,475,355.10 |
11,337,067,898.23 |
|
Total Liabilities &
Shareholders' Equity |
16,682,653,122.69 |
15,305,648,208.45 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
2010 |
2009 |
|
|
|
|
|
Revenue from Sale
|
10,473,538,928.31 |
7,961,880,112.71 |
|
Cost of Goods Sold |
[9,529,238,917.76] |
[8,633,456,498.63] |
|
[Loss from Declining
in Value of Inventories] Reversal |
2,520,873.98 |
1,400,731,887.59 |
|
|
|
|
|
Gross Margin |
946,820,884.53 |
729,155,501.67 |
|
Other Income |
|
|
|
Interest Income |
18,324,390.73 |
15,958,112.65 |
|
Gain on
Exchange Rate |
271,500,483.79 |
200,424,645.17 |
|
Gain on
Disposal of Fixed Assets |
2,831,773.70 |
3,750,337.83 |
|
Others |
9,283,222.26 |
16,629,801.78 |
|
|
|
|
|
Profit [Loss] before Expenses |
1,248,760,755.01 |
965,918,399.10 |
|
|
|
|
|
Selling Expenses |
[208,043,396.06] |
[128,273,478.21] |
|
Administrative Expenses |
[199,208,988.31] |
[168,554,461.88] |
|
Loss on Impairment
of Land not
used in Operations |
- |
[3,555,934.00] |
|
Loss from Property, Plant &
Equipment Revaluation |
- |
[34,193,359.78] |
|
Management Benefit Expenses |
[91,703,433.69] |
[87,343,124.36] |
|
|
|
|
|
Total Expenses |
[498,955,818.06] |
[421,920,358.23] |
|
|
|
|
|
Profit [Loss] before
Financial Costs &
Corporate Income
Tax |
749,804,936.95 |
543,998,040.87 |
|
Financial Costs |
|
|
|
Bank Charge |
[6,033,763.45] |
[4,241,573.89] |
|
Interest Expenses |
[99,664,307.46] |
[138,648,628.73] |
|
Profit / [Loss] from Income Tax
|
644,106,866.04 |
401,107,838.25 |
|
Corporate Income Tax |
- |
- |
|
Net Profit / [Loss] |
644,106,866.04 |
401,107,838.25 |
BALANCE SHEET [BAHT]
The
latest financial figures
published for September
30, 2011 was :
[unaudited]
ASSETS
[Thousand Baht]
|
Current Assets |
2011 |
|
|
|
|
Cash and Cash Equivalents |
1,665,750 |
|
Temporary Investment |
2,187,748 |
|
Trade Accounts Receivable |
171,081 |
|
Trade Accounts Receivable -
Associated and Related Companies |
268,656 |
|
Inventories |
3,901,153 |
|
Other Current Assets
|
|
|
Account Receivable - Revenue Department
|
1,708 |
|
Input Tax
Receivable |
9,867 |
|
Others Account Receivable - Department of
Land |
36,506 |
|
Others |
24,225 |
|
|
|
|
Total Current Assets
|
8,266,694 |
|
Non-Current Assets |
|
|
Investment in
Associated Company |
4,900 |
|
Investment in Subsidiary Company |
17,850 |
|
General Investment |
810 |
|
Investment Property |
58,274 |
|
Property, Plant and Equipment |
6,993,567 |
|
Other Non-Current Assets |
|
|
Deposit for
Assets |
3,203 |
|
Restricted Bank
Deposits |
4,251 |
|
Others |
3,471 |
|
Total Non-Current Assets |
7,086,326 |
|
Total Assets |
15,353,020 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
[Thousand
Baht]
|
Current
Liabilities |
2011 |
|
|
|
|
Trade Accounts and Notes Payable |
826,842 |
|
Trade Accounts Payable Parent
Company and Related Companies |
2,818,500 |
|
Current Portion of
Long-term Loans |
75,036 |
|
Provision for Pay
Back from Refund
of Value Added
Tax |
75,877 |
|
Other Current Liabilities |
|
|
Accrued Expenses |
91,291 |
|
Accrued Expenses-Related Companies |
1,013 |
|
Deposit from Customers |
91,283 |
|
Others |
35,621 |
|
|
|
|
Total Current Liabilities |
4,015,463 |
|
Non-Current Liabilities |
|
|
Long-term Loan-net |
224,758 |
|
Provident Fund |
73,330 |
|
Total Non-Current Liabilities |
298,088 |
|
Total Liabilities |
4,313,551 |
|
|
|
|
Shareholders' Equity |
|
|
Share Capital |
|
|
Authorized Share Capital |
|
|
7,795,709,100 ordinary share @ Baht. 1.00 |
7,795,709 |
|
Issued and Paid-up Share Capital |
|
|
7,795,709,100 ordinary share @ Baht. 1.00 |
7,795,709 |
|
Premium on Share
Capital |
332,131 |
|
Retained Earning |
|
|
Appropriated |
|
|
Statutory Reserve |
585,000 |
|
Unappropriated |
398,272 |
|
Other Elements of Shareholders’ Equity |
1,928,357 |
|
Total Shareholders' Equity |
11,039,469 |
|
Total Liabilities &
Shareholders' Equity |
15,353,020 |
PROFIT & LOSS ACCOUNT
For the nine
months period ended
on September 30,
2011:
[Thousand Baht]
|
Revenue |
2011 |
|
|
|
|
Revenue from Sale |
8,376,311 |
|
Cost of Goods Sold |
[7,955,388] |
|
[Loss from Declining
in Value of
Inventories] Reversal |
[100,500] |
|
|
|
|
Gross Margin |
320,423 |
|
Other Income |
|
|
Interest Income |
19,374 |
|
Gain on Disposal
of Fixed Assets |
748 |
|
Others |
18,326 |
|
|
|
|
Profit [Loss] before Expenses |
358,871 |
|
Selling Expenses |
[147,847] |
|
Administrative Expenses |
|
|
Loss on Exchange
Rate |
[59,596] |
|
Loss from Disposal Investment
Property and Hotel and Golf Club Segment |
[192,080] |
|
Others |
[185,044] |
|
Management Benefit
Expenses |
[71,915] |
|
|
|
|
Total Expenses |
[656,482] |
|
|
|
|
Profit [Loss] before
Financial Costs &
Corporate Income Tax |
[297,611] |
|
Financial Costs |
[31,002] |
|
|
|
|
Profit / [Loss] of the Continued Operations
|
[328,613] |
|
Profit / [Loss] of the Discontinued
Operation |
[43,057] |
|
Net Profit / [Loss] |
[371,670] |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2010 |
2009 |
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
CURRENT RATIO |
TIMES |
1.53 |
2.68 |
|
QUICK RATIO |
TIMES |
0.76 |
0.84 |
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
1.10 |
0.77 |
|
TOTAL ASSETS TURNOVER |
TIMES |
0.63 |
0.52 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
(130.08) |
(143.30) |
|
INVENTORY TURNOVER |
TIMES |
(2.81) |
(2.55) |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
5.29 |
17.36 |
|
RECEIVABLES TURNOVER |
TIMES |
68.98 |
21.03 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
(4.54) |
(4.84) |
|
CASH CONVERSION CYCLE |
DAYS |
(120.24) |
(121.11) |
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
COST OF GOODS SOLD |
% |
(90.98) |
(108.43) |
|
SELLING & ADMINISTRATION |
% |
(4.76) |
(4.83) |
|
INTEREST |
% |
0.95 |
1.74 |
|
GROSS PROFIT MARGIN |
% |
193.69 |
211.21 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
107.47 |
108.07 |
|
NET PROFIT MARGIN |
% |
6.15 |
5.04 |
|
RETURN ON EQUITY |
% |
5.47 |
3.54 |
|
RETURN ON ASSET |
% |
3.86 |
2.62 |
|
EARNING PER SHARE |
BAHT |
0.08 |
0.05 |
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
DEBT RATIO |
TIMES |
0.29 |
0.26 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.42 |
0.35 |
|
TIME INTEREST EARNED |
TIMES |
112.94 |
62.06 |
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
SALES GROWTH |
% |
31.55 |
|
|
OPERATING PROFIT |
% |
30.81 |
|
|
NET PROFIT |
% |
60.58 |
|
|
FIXED ASSETS |
% |
(8.06) |
|
|
TOTAL ASSETS |
% |
9.00 |
|
PROFITABILITY
RATIO
|
Gross Profit Margin |
193.69 |
Impressive |
Industrial
Average |
13.13 |
|
Net Profit Margin |
6.15 |
Impressive |
Industrial
Average |
(6.46) |
|
Return on Assets |
3.86 |
Impressive |
Industrial
Average |
(1.65) |
|
Return on Equity |
5.47 |
Impressive |
Industrial
Average |
(8.34) |
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 193.69%. 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 6.15%,
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
3.86%, 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 5.47%, 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 |
1.53 |
Deteriorated |
Industrial
Average |
20.66 |
|
Quick Ratio |
0.76 |
|
|
|
|
Cash Conversion Cycle |
(120.24) |
|
|
|
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 1.53 times in 2010, decrease from 2.68 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 0.76 times in 2010,
decrease from 0.84 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 -121 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE RATIO
|
Debt Ratio |
0.29 |
Impressive |
Industrial
Average |
0.95 |
|
Debt to Equity Ratio |
0.42 |
Impressive |
Industrial
Average |
2.25 |
|
Times Interest Earned |
112.94 |
Impressive |
Industrial
Average |
81.13 |
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 112.95 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 0.29 less than 0.5, most of the company's
assets are financed through equity.
Trend of the
average competitors in the same industry for last 5 years
Debt Ratio Uptrend
Times Interest Earned Uptrend
ACTIVITY RATIO
|
Fixed Assets Turnover |
1.10 |
Deteriorated |
Industrial
Average |
62.51 |
|
Total Assets Turnover |
0.63 |
Deteriorated |
Industrial
Average |
1.66 |
|
Inventory Conversion Period |
(130.08) |
|
|
|
|
Inventory Turnover |
(2.81) |
Deteriorated |
Industrial
Average |
12.67 |
|
Receivables Conversion Period |
5.29 |
|
|
|
|
Receivables Turnover |
68.98 |
Impressive |
Industrial
Average |
14.78 |
|
Payables Conversion Period |
(4.54) |
|
|
|
Trend of the average
competitors in the same industry for last 5 years
Fixed Assets Turnover Uptrend
Total Assets Turnover Uptrend
Inventory Turnover Uptrend
Receivables Turnover Uptrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.49.25 |
|
|
1 |
Rs.77.45 |
|
Euro |
1 |
Rs.64.89 |
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.