MIRA INFORM REPORT
|
Report Date : |
12.01.2012 |
IDENTIFICATION DETAILS
|
Name : |
FIRST
PRIORITY PRODUCTS CO.,
LTD. |
|
|
|
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Registered Office : |
27/149 Moo 5, Rama 2 Road, T. Phantainorasing, A. Muang, Samutsakorn 74000 |
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Country : |
Thailand |
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|
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Financials (as on) : |
31.12.2010 |
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Date of Incorporation : |
03.03.2000 |
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Com. Reg. No.: |
0105543022459 |
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Legal Form : |
Private
Limited Company |
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Line of Business : |
Importer and distributor of writing equipments and accessories |
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No. of Employees
: |
2 |
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 |
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Payment
Behaviour : |
Unknown |
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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 30th, 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 |
Company name
FIRST PRIORITY
PRODUCTS CO., LTD.
SUMMARY
BUSINESS
ADDRESS : 27/149
MOO 5, RAMA
2 ROAD,
T.
PHANTAINORASING, A. MUANG,
SAMUTSAKORN 74000, THAILAND
TELEPHONE : [66] 34
458-275, 081 615-9730
FAX : [66]
34 458-275
E-MAIL
ADDRESS : surachateghoger@hotmail.com
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 2000
REGISTRATION
NO. : 0105543022459
CAPITAL REGISTERED : BHT.
1,000,000
CAPITAL PAID-UP : BHT.
1,000,000
SHAREHOLDER’S PROPORTION : THAI
: 100%
FISCAL
YEAR CLOSING DATE : DECEMBER
31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MRS.
ANCHALEE GHOGER, THAI MANAGING DIRECTOR
NO.
OF STAFF : 2
LINES
OF BUSINESS : WRITING
EQUIPMENTS AND ACCESSORIES
IMPORTER AND
DISTRIBUTOR
CORPORATE PROFILE
OPERATING
TREND : STABLE
PRESENT
SITUATION : OPERATING NORMALLY
REPUTATION : FAIR
WITH NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT
STANDARD : MANAGEMENT WITH
FAIR PERFORMANCE
HISTORY
The subject was
established on March
3, 2000 as
a private limited
company under the
name style FIRST
PRIORITY PRODUCTS CO.,
LTD. by Thai-Indian
group, Ghoger family,
in order to import and
distribute wide range of
writing equipment and
accessories for local
market. It currently
employs 2 staff.
The subject’s registered
address was initially
located at 825/166
Moo 1, Prachauthit
58 Rd., Thungkru,
Bangkok 10140.
On
June 1, 2007, it
was relocated to 27/149
Moo 5, Rama 2
Rd., T. Phantainorasing, A. Muang,
Samutsakorn 74000, and
this is the
company’s current operation
address.
THE BOARD OF DIRECTOR
Mrs. Anchalee Ghoger
AUTHORIZED PERSON
The above director
can sign on
behalf of the
subject with company’s
affixed.
MANAGEMENT
Mrs. Anchalee Ghoger is
the Managing Director.
She is Thai
nationality with the
age of 50
years old.
Mr. Surachate Ghoger
is the Deputy
Managing Director, Sales &
Marketing Manager.
He is Thai
nationality with the
age of 53 years old.
BUSINESS OPERATIONS
The subject is engaged in importing
and distributing writing
equipments, chemicals and
related products such
as inks, ball-point
pen, refills, blades
and etc. The
products are supplied
to writing, printing
and stationery industry.
PURCHASE
Most of the products are imported from Germany, India, Republic of China and Switzerland, and
the remaining is
purchased from local
manufacturers and suppliers.
MAJOR SUPPLIER
European Ink GmbH :
Germany
SALES [LOCAL]
100% of the
products is sold
locally by wholesale
to stationery manufacturers.
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 credit terms
of 30-60 days.
Local bills are
paid by cash
or on the
credit terms of 30-60 days.
Imports are
by T/T on
negotiated term.
BUSINESS TRANSACTION
The products are
sold by cash
and credit, with
the maximum credit
given at 30-60
days. The subject
is found to
have delay and
default payment by some customers.
BANKING
Thanachart Bank Public
Co., Ltd.
[Prapradaeng Branch
: 123 Moo
4, Suksawad Rd.,
Phrapadaeng, Samutprakarn]
EMPLOYMENT
The subject employs
2 staff.
LOCATION DETAILS
The premise is rented
for administrative office
at the heading
address. Premise is located
in provincial.
REMARK
CREDIT OF US$ 125,000
AGAINST DA TERMS
IS NOT RECOMMENDED.
COMMENT
The subject was formed in 2000 as
an importer and
distributor of writing equipment
and accessories. Its
business rather grows
slowly in local
market because of
intensified competition from cheap products like
Republic of China.
The subject’s sales
revenue and the
profit in 2010
were drastically dropped
comparing to the
previous year, its
business is stagnant.
FINANCIAL INFORMATION
The capital was
registered at Bht. 1,000,000 divided into 10,000 shares of
Bht. 100 each with
fully paid.
THE SHAREHOLDERS LISTED
WERE : [as
at September 20, 2011]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mrs. Anchalee Ghoger Nationality: Thai Address : 27/149
Moo 5, T. Phanthainorasing, A.
Muang, Samutsakorn |
5,500 |
55.00 |
|
Mr. Surachate Ghoger Nationality: Thai Address :
27/149 Moo 5,
T. Phanthainorasing, A.
Muang, Samutsakorn |
4,000 |
40.00 |
|
Mrs. Yindergor Nationality: Thai Address : 577/134
Charansanitwong 13 Rd.,
Watthaphra, Bangkokyai Bangkok
10700 |
100 |
1.00 |
|
Mrs. Ratanaporn Smitthinant Nationality: Thai Address : 3
Moo 4, Chonabot,
Khonkaen Province |
100 |
1.00 |
|
Ms. Supaporn Arjharn Nationality: Thai Address : 262/1
Sukhumvit 21 Rd.,
Bangchak, Phrakanong, Bangkok
10260 |
100 |
1.00 |
|
Mr. Pritaveepal Patak Nationality: Thai Address : 106/64
Moo 19, Salathammasop,
Taweewatana, Bangkok |
100 |
1.00 |
|
Mr. Zagbirasingh Ghoger Nationality: Thai Address : 577/134
Charansanitwong 13 Rd.,
Watthaphra, Bangkokyai Bangkok
10700 |
100 |
1.00 |
Total Shareholders : 7
Share Structure [as
at September 20,
2011]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
7 |
10,000 |
100.00 |
|
Foreign |
- |
- |
- |
|
Total |
7 |
10,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Mrs. Punnitta Boonkrong
No. 3852
BALANCE SHEET [BAHT]
The
latest financial figures
published for December
31, 2010 &
2009 were:
ASSETS
|
Current Assets |
2010 |
2009 |
|
|
|
|
|
Cash and Cash Equivalent |
15,543.55 |
23,921.81 |
|
Trade Accounts Receivable |
22,280.95 |
407,190.31 |
|
Inventories |
1,105,033.00 |
671,658.00 |
|
Other Current Assets |
305,413.85 |
215,928.54 |
|
|
|
|
|
Total Current Assets
|
1,448,271.35 |
1,318,698.66 |
|
|
|
|
|
Fixed Assets |
1,050,481.66 |
933,360.92 |
|
Total Assets |
2,498,753.01 |
2,252,059.58 |
LIABILITIES &
SHAREHOLDERS’ EQUITY [BAHT]
|
Current
Liabilities |
2010 |
2009 |
|
|
|
|
|
Trade Accounts Payable |
128,988.45 |
450,049.18 |
|
Current Portion of Financial Lease Contract Liabilities |
244,860.00 |
153,239.14 |
|
Short-term Loan from Related Person |
2,585,000.00 |
85,000.00 |
|
Other Current Liabilities |
37,307.91 |
737,267.00 |
|
|
|
|
|
Total Current Liabilities |
2,996,156.36 |
1,425,555.32 |
|
|
|
|
|
Hire-purchase Payable, net of Current Portion |
757,574.40 |
608,504.87 |
|
Total Liabilities |
3,753,730.76 |
2,034,060.19 |
|
|
|
|
|
Shareholders’ Equity |
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized, issued
and fully paid share
capital 10,000 shares |
1,000,000.00 |
1,000,000.00 |
|
|
|
|
|
Capital Paid |
1,000,000.00 |
1,000,000.00 |
|
Retained Earning-
Unappropriated |
[2,254,977.75] |
[782,000.61] |
|
Total Shareholders' Equity |
[1,254,977.75] |
217,999.39 |
|
Total Liabilities & Shareholders' Equity |
2,498,753.01 |
2,252,059.58 |
PROFIT & LOSS ACCOUNT
|
Sale |
2010 |
2009 |
|
|
|
|
|
Sales Income |
2,189,663.90 |
3,104,308.80 |
|
Other Income |
261,787.92 |
821,937.25 |
|
Total Sales |
2,451,451.82 |
3,926,246.05 |
|
Expenses |
|
|
|
|
|
|
|
Cost of Goods
Sold |
1,768,036.54 |
2,320,723.82 |
|
Administrative Expenses |
2,110,257.10 |
2,145,584.76 |
|
Other Expenses |
18,702.04 |
23,626.04 |
|
Total Expenses |
3,896,995.68 |
4,489,934.62 |
|
|
|
|
|
Loss before Financial Cost & Income
Tax |
[1,445,543.86] |
[563,688.57] |
|
Financial Cost |
[27,433.28] |
[2,768.68] |
|
Income Tax |
- |
[11,139.26] |
|
|
|
|
|
Net Profit / [Loss] |
[1,472,977.14] |
[577,596.51] |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2010 |
2009 |
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
CURRENT RATIO |
TIMES |
0.48 |
0.93 |
|
QUICK RATIO |
TIMES |
0.01 |
0.30 |
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
2.08 |
3.33 |
|
TOTAL ASSETS TURNOVER |
TIMES |
0.88 |
1.38 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
228.13 |
105.64 |
|
INVENTORY TURNOVER |
TIMES |
1.60 |
3.46 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
3.71 |
47.88 |
|
RECEIVABLES TURNOVER |
TIMES |
98.28 |
7.62 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
26.63 |
70.78 |
|
CASH CONVERSION CYCLE |
DAYS |
205.21 |
82.73 |
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
COST OF GOODS SOLD |
% |
80.74 |
74.76 |
|
SELLING & ADMINISTRATION |
% |
96.37 |
69.12 |
|
INTEREST |
% |
1.25 |
0.09 |
|
GROSS PROFIT MARGIN |
% |
31.21 |
51.72 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
(66.02) |
(18.16) |
|
NET PROFIT MARGIN |
% |
(67.27) |
(18.61) |
|
RETURN ON EQUITY |
% |
117.37 |
(264.95) |
|
RETURN ON ASSET |
% |
(58.95) |
(25.65) |
|
EARNING PER SHARE |
BAHT |
(147.30) |
(57.76) |
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
DEBT RATIO |
TIMES |
1.50 |
0.90 |
|
DEBT TO EQUITY RATIO |
TIMES |
(2.99) |
9.33 |
|
TIME INTEREST EARNED |
TIMES |
(52.69) |
(203.59) |
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
SALES GROWTH |
% |
(29.46) |
|
|
OPERATING PROFIT |
% |
156.44 |
|
|
NET PROFIT |
% |
(155.02) |
|
|
FIXED ASSETS |
% |
12.55 |
|
|
TOTAL ASSETS |
% |
10.95 |
|
PROFITABILITY RATIO
|
Gross Profit Margin |
31.21 |
Satisfactory |
Industrial
Average |
40.77 |
|
Net Profit Margin |
(67.27) |
Deteriorated |
Industrial
Average |
1.99 |
|
Return on Assets |
(58.95) |
Deteriorated |
Industrial
Average |
2.50 |
|
Return on Equity |
117.37 |
Impressive |
Industrial
Average |
9.76 |
Gross Profit Margin used to assess a firm's financial health by revealing
the proportion of money left over from sales 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 31.21%. When compared with
the industry average, the ratio of the company was lower. This 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 -67.27%.
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 -58.95%.
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 117.37%,
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 Uptrend
LIQUIDITY RATIO
|
Current Ratio |
0.48 |
Risky |
Industrial
Average |
32.75 |
|
Quick Ratio |
0.01 |
|
|
|
|
Cash Conversion Cycle |
205.21 |
|
|
|
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 0.48 times in 2010, decrease from 0.93 times, then the company may not be
efficiently using its current assets. 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 0.01 times in 2010,
decrease from 0.3 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 206 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE RATIO
|
Debt Ratio |
1.50 |
Risky |
Industrial
Average |
0.71 |
|
Debt to Equity Ratio |
(2.99) |
Risky |
Industrial
Average |
0.69 |
|
Times Interest Earned |
(52.69) |
Risky |
Industrial
Average |
311.35 |
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 -52.7 lower than 1, so the company is not generating
enough cash from EBIT to meet its interest obligations.
Debt Ratio shows the proportion of a company's assets which are financed
through debt. The company's figure is 1.5 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 Uptrend
Times Interest Earned Uptrend
ACTIVITY RATIO
|
Fixed Assets Turnover |
2.08 |
Deteriorated |
Industrial
Average |
2,188.90 |
|
Total Assets Turnover |
0.88 |
Acceptable |
Industrial
Average |
1.30 |
|
Inventory Conversion Period |
228.13 |
|
|
|
|
Inventory Turnover |
1.60 |
Deteriorated |
Industrial
Average |
46.10 |
|
Receivables Conversion Period |
3.71 |
|
|
|
|
Receivables Turnover |
98.28 |
Impressive |
Industrial
Average |
30.19 |
|
Payables Conversion Period |
26.63 |
|
|
|
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.51.75 |
|
UK Pound |
1 |
Rs.80.01 |
|
Euro |
1 |
Rs.65.99 |
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.