MIRA
INFORM REPORT
|
Report Date : |
11.06.2012 |
IDENTIFICATION DETAILS
|
Name : |
THAI ETHANOLAMINES COMPANY
LIMITED |
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Registered Office : |
15th
Floor, Energy Complex
Building A, |
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Country : |
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Financials (as on) : |
31.12.2011 |
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Date of Incorporation : |
2005 |
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Com. Reg. No.: |
0105548097686 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Manufacturer and Distributor of Ethanolamine |
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No. of Employees : |
50 |
RATING & COMMENTS
|
MIRA’s Rating : |
B |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Status : |
Moderate |
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Payment Behaviour : |
No Complaints |
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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 30, 2011
|
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 |
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Restricted |
C2 |
|
Off-credit |
D |
Company name
THAI ETHANOLAMINES
COMPANY LIMITED
SUMMARY
BUSINESS ADDRESS : 15th FLOOR,
ENERGY COMPLEX BUILDING
A,
555/1 VIBHAVADI-RANGSIT ROAD,
JATUJAK,
BANGKOK 10900,
THAILAND
TELEPHONE : [66] 2265-8400,
2265-8100
FAX : [66] 2265-8500,
2265-8111
E-MAIL ADDRESS : -
REGISTRATION ADDRESS : SAME AS BUSINESS
ADDRESS
ESTABLISHED : 2005
REGISTRATION NO. : 0105548097686
TAX ID NO. : 3031899612
CAPITAL REGISTERED : BHT.
900,000,000
CAPITAL PAID-UP : BHT.
900,000,000
SHAREHOLDER’S PROPORTION :
THAI : 100%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR. SAKSRI SAWARTSUT,
THAI
MANAGING DIRECTOR
NO. OF STAFF : 50
LINES OF BUSINESS : ETHANOLAMINE
MANUFACTURER 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 July
28, 2005 as
a private limited
company under the
name style THAI
ETHANOLAMINES COMPANY LIMITED by
Thai groups. Its business
objective is to manufacture Ethanolamines, an
essential ingredient in
many personal hygiene
products, made from
Ethylene Oxide [EO] and
Ammonia [EOA], and also
has applications in
industries ranging from paint, pharmaceuticals and
cosmetics to cement, detergent and
fabric softener.
On September 29,
2009, there is order
from The Administrative Court,
with the court
case no. 586/2552 to interim
injunction for the
plant construction with
totally has 76
construction projects, due to
the community protection for health and
environment purposes in
the Mab Ta
Phut Industrial Estate
area.
On January 22,
2010, The Administrative Court
has an order
for a court
case no. 980/2552
regarding the suspension of
the 65 projects to coordinate
with relevant agencies,
in order to
determine whether the
project could continue.
Finally, the subject
could continue the
project. At present,
the production facility
is now fully
completed, and its
actual production has
been taken place
on January 24,
2011. Subject currently
employs approximate 50
staff.
The subject is
currently a wholly
owned subsidiary of
PTT Global Chemical
Public Company Limited [which has
a merger between
PTT Chemical Public
Company Limited and
PTT Aromatics Public
Company Limited], the
leading manufacturer of
olefins and polymer
products, and also is
a member of
PTT group of
companies.
The subject’s registered address
is 15th Flr., Energy
Complex Building A,
555/1 Vibhavadi-Rangsit Rd.,
Jatujak, Bangkok 10900,
and this is
the subject’s current
operation address.
THE BOARD
OF DIRECTOR
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Saksri Sawartsut |
|
Thai |
56 |
|
Mr. Patiparn Sukorndhaman |
|
Thai |
51 |
|
|
Thai |
57 |
AUTHORIZED PERSON
Any two of the above
directors can jointly sign
on behalf of
the subject with
company’s affixed.
MANAGEMENT
Mr. Saksri Sawartsut is
the Managing Director.
He is Thai
nationality with the
age of 56
years old.
BUSINESS OPERATIONS
The subject’s activity
is a manufacturer
of Ethanolamine products,
comprising Monoethanolamine, Triethanolamine and
Diethanolamine, which are
essential ingredients for
personal hygiene products,
as well as
raw material for
variety of industries,
such as paints,
pharmaceuticals, cosmetics, cement,
detergent, cleaning and fabric
softener industries.
The production capacity
of the products
are as follows:
- Monoethanolamine [MEA] :
16,500 tons/annum
- Triethanolamine [DEA] :
15,000 tons/annum
- Dietthanolamine [TEA] :
16,500 tons/annum
The subject has
started its actual
production on January
24, 2011.
PURCHASE
Raw material and
chemical, mainly as
ethylene oxide and ammonia
are purchased from
both local and
overseas suppliers in
United States of
America.
MAJOR SUPPLIERS
Huntsman Petrochemical Corporation : United
States of America
TOC Glycol Co.,
Ltd. : Thailand
SALES
100% of the products is
distributed and marketed
by PPT Global
Chemical Public Company
Limited, the parent
company.
SUBSIDIARY AND
AFFILIATED COMPANY
The subject is
a member of
PTT Global Chemical
group of companies
with around 18 companies.
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
CREDIT
Local bills are
paid by cash
or on the
credit terms of
30-60 days.
Sales are by cash
or on the
credit terms of
30-60 days.
Imports are by
L/C at sight.
BANKING
Bangkok Bank Public
Co., Ltd.
EMPLOYMENT
The subject employs
approximately 50 staff.
LOCATION DETAILS
The premise is
rented for administrative office
at the heading
address. Premise is
located in commercial/residential area.
Factory is located
at 9/1 Soi G12,
Pakornsongkroh Rd., T. Mabtaphut,
A. Muang, Rayong 21150
on 32,000 sq. m.
of area.
COMMENT
The subject is a
manufacturer and distributor of Ethanolamine for industrial users.
Subject has strong production capability in order to
serve the customer
with high technology
processing.
Economic recovery in the year
2010 and continuous expansion in
2011, resulting an
outstanding performance for
industrial sector and
the company. With an
upbeat in production,
sales and marketing,
the subject will
have outstanding performance
this year.
FINANCIAL INFORMATION
The capital was
registered at Bht.
900,000,000 divided into
9,000,000 shares of Bht.
100 each with fully paid.
THE SHAREHOLDERS
LISTED WERE
[as at April
30, 2012]
|
NAME |
HOLDING |
% |
|
|
|
|
|
PTT Global Chemical
Public Company Limited Nationality: Thai Address : 555/1
Vibhavadi-Rangsit Rd., Jatujak,
Bangkok |
8,999,998 |
100.00 |
|
Mr. Kongkraphan Intarachang Nationality: Thai Address : 38/17
Soi Soonvijai 6,
Bangkapi,
Huaykwang, Bangkok |
1 |
- |
|
Mr. Nattawut Puttikarun Nationality: Thai Address : 164
Rajvithi Rd., Samsennai,
Phyathai, Bangkok |
1 |
- |
Total Shareholders : 3
Share Structure
[as at April
30 2012]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
3 |
9,000,000 |
100.00 |
|
Foreign |
- |
- |
- |
|
Total |
3 |
9,000,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO
Mr. Wairoj Chindamaneepitak No.
3565
BALANCE SHEET [BAHT]
The latest financial
figures published for
December 31, 2011
& 2010 were:
ASSETS
|
Current Assets |
2011 |
(Adjusted) 2010 |
|
|
|
|
|
Cash and Cash Equivalents |
99,227,558 |
57,793,538 |
|
Trade Account Receivable |
127,555,951 |
- |
|
Other Receivable |
1,362,113 |
10,244,138 |
|
Inventories |
127,004,562 |
- |
|
Value Added Tax Receivable |
84,168,702 |
12,559,305 |
|
Other Current Assets
|
15,642,991 |
7,326,926 |
|
Total Current Assets
|
454,961,877 |
87,923,907 |
|
|
|
|
|
Fixed Assets |
1,702,009,163 |
1,852,508,292 |
|
Intangible Assets |
121,777,287 |
121,068,471 |
|
Deferred Income Tax |
9,052,326 |
228,766 |
|
Other Assets |
6,167,792 |
21,000 |
|
Total Assets |
2,293,968,445 |
2,061,750,436 |
LIABILITIES & SHAREHOLDERS' EQUITY [BAHT]
|
Current Liabilities |
2011 |
(Adjusted) 2010 |
|
|
|
|
|
Trade Accounts Payable |
66,813,005 |
- |
|
Other Account Payable |
41,467,434 |
32,939,684 |
|
Short-term Loan from Related Company |
1,707,000,000 |
1,397,000,000 |
|
Account Payable-Construction |
9,380,794 |
57,521 |
|
Current Portion of Financial
Lease Contract Liabilities |
1,817,956 |
1,394,147 |
|
Other Current Liabilities |
18,557,641 |
3,211,403 |
|
Total Current Liabilities |
1,845,036,830 |
1,434,602,755 |
|
|
|
|
|
Financial Lease Contract
Liabilities |
1,798,080 |
3,124,535 |
|
Liabilities from Employee
Benefits |
1,818,440 |
825,842 |
|
Total Liabilities |
1,848,653,350 |
1,438,553,132 |
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
Share capital : Baht 100
value Authorized &
issued share capital 9,000,000
shares |
900,000,000 |
900,000,000 |
|
Capital Paid |
900,000,000 |
900,000,000 |
|
Retained Earning -
Unappropriated |
[454,684,905] |
[276,802,696] |
|
Total Shareholders' Equity |
445,315,095 |
623,197,304 |
|
Total Liabilities &
Shareholders' Equity |
2,293,968,445 |
2,061,750,436 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
2011 |
(Adjusted) 2010 |
|
|
|
|
|
Sales Income |
1,198,521,749 |
- |
|
Interest Income |
1,784,380 |
1,124,186 |
|
Gain on Exchange Rate |
8,454,557 |
- |
|
Other Income |
8,675,622 |
30,848,522 |
|
Total Revenues |
1,217,436,308 |
31,972,708 |
|
Expenses |
|
|
|
|
|
|
|
Cost of Goods
Sold |
1,162,569,727 |
- |
|
Selling Expenses |
62,071,793 |
- |
|
Administrative Expenses |
98,757,816 |
131,877,952 |
|
Loss on Exchange Rate |
- |
1,959,047 |
|
Cost of Financial |
80,742,741 |
26,943,476 |
|
Total Expenses |
1,404,142,077 |
160,780,475 |
|
Profit / [Loss] before Income Tax |
[186,705,769] |
[128,807,767] |
|
Reverse Income Tax |
8,823,560 |
91,810 |
|
Net Profit / [Loss] |
[177,882,209] |
[128,715,957] |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2011 |
2010 |
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
CURRENT RATIO |
TIMES |
0.25 |
0.06 |
|
QUICK RATIO |
TIMES |
0.12 |
0.05 |
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
0.70 |
- |
|
TOTAL ASSETS TURNOVER |
TIMES |
0.52 |
- |
|
INVENTORY CONVERSION PERIOD |
DAYS |
39.87 |
- |
|
INVENTORY TURNOVER |
TIMES |
9.15 |
- |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
38.85 |
- |
|
RECEIVABLES TURNOVER |
TIMES |
9.40 |
- |
|
PAYABLES CONVERSION PERIOD |
DAYS |
20.98 |
- |
|
CASH CONVERSION CYCLE |
DAYS |
57.74 |
- |
|
|
|
|
|
|
PROFITABILITY RATIO |
|
|
|
|
COST OF GOODS SOLD |
% |
97.00 |
- |
|
SELLING & ADMINISTRATION |
% |
13.42 |
- |
|
INTEREST |
% |
6.74 |
- |
|
GROSS PROFIT MARGIN |
% |
4.58 |
- |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
(15.58) |
- |
|
NET PROFIT MARGIN |
% |
(14.84) |
- |
|
RETURN ON EQUITY |
% |
(39.95) |
(20.65) |
|
RETURN ON ASSET |
% |
(7.75) |
(6.24) |
|
EARNING PER SHARE |
BAHT |
(19.76) |
(14.30) |
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
DEBT RATIO |
TIMES |
0.81 |
0.70 |
|
DEBT TO EQUITY RATIO |
TIMES |
4.15 |
2.31 |
|
TIME INTEREST EARNED |
TIMES |
(2.31) |
(4.78) |
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
SALES GROWTH |
% |
- |
|
|
OPERATING PROFIT |
% |
44.95 |
|
|
NET PROFIT |
% |
(38.20) |
|
|
FIXED ASSETS |
% |
(8.12) |
|
|
TOTAL ASSETS |
% |
11.26 |
|
PROFITABILITY RATIO
|
Gross Profit Margin |
4.58 |
Impressive |
Industrial Average |
2.15 |
|
Net Profit Margin |
(14.84) |
Deteriorated |
Industrial Average |
1.60 |
|
Return on Assets |
(7.75) |
Deteriorated |
Industrial Average |
9.73 |
|
Return on Equity |
(39.95) |
Deteriorated |
Industrial Average |
17.80 |
Gross Profit Margin used to assess a firm's financial health by
revealing the proportion of money left over from revenues after accounting for the
cost of goods sold. Gross profit margin serves as the source for paying
additional expenses and future savings. The
company’s figure is 4.58%. 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 -14.84%.
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 -7.75%.
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. When compared with the
industry average, it was lower, the company's figure is -39.95%.
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 |
0.25 |
Risky |
Industrial Average |
1.95 |
|
Quick Ratio |
0.12 |
|
|
|
|
Cash Conversion Cycle |
57.74 |
|
|
|
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 0.25 times in 2011, increased from 0.06 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 0.12 times in 2011,
increased from 0.05 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 58 days.
Trend of the average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE RATIO
|
Debt Ratio |
0.81 |
Acceptable |
Industrial Average |
0.41 |
|
Debt to Equity Ratio |
4.15 |
Risky |
Industrial Average |
0.80 |
|
Times Interest Earned |
(2.31) |
Risky |
Industrial Average |
11.11 |
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 -2.32 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 0.81 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 |
0.70 |
Deteriorated |
Industrial Average |
7.79 |
|
Total Assets Turnover |
0.52 |
Deteriorated |
Industrial Average |
4.63 |
|
Inventory Conversion Period |
39.87 |
|
|
|
|
Inventory Turnover |
9.15 |
Acceptable |
Industrial Average |
16.80 |
|
Receivables Conversion Period |
38.85 |
|
|
|
|
Receivables Turnover |
9.40 |
Deteriorated |
Industrial Average |
18.90 |
|
Payables Conversion Period |
20.98 |
|
|
|
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.55.36 |
|
|
1 |
Rs.85.63 |
|
Euro |
1 |
Rs.69.21 |
INFORMATION DETAILS
|
Report Prepared
by : |
PDT |
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.