MIRA
INFORM REPORT
|
Report Date : |
16.06.2012 |
IDENTIFICATION DETAILS
|
Name : |
GLOBAL CHEMICAL COMPANY LIMITED |
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Registered Office : |
376 Moo 4,
Bangpoo Industrial Estate, Samutprakarn 10280 |
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Country : |
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Financials (as on) : |
31.12.2011 |
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Date of Incorporation : |
14.09.1978 |
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Com. Reg. No.: |
0115521000363 |
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Legal Form : |
Private
Limited Company |
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Line of Business : |
Manufacturer, distributor &
exporter of zinc
chlorides |
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No. of Employees : |
200 |
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 |
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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 – March 31st, 2012
|
Country Name |
Previous Rating (31.12.2011) |
Current Rating (31.03.2012) |
|
|
B1 |
B1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
Company name
GLOBAL CHEMICAL
COMPANY LIMITED
SUMMARY
BUSINESS
ADDRESS : 376
MOO 4, BANGPOO
INDUSTRIAL ESTATE,
TELEPHONE : [66] 2324-0473-5, 2324-0868
FAX :
[66] 2324-0472,
2709-3969
E-MAIL
ADDRESS : export@glochem.com
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1978
REGISTRATION
NO. : 0115521000363 [Former
: SOR. POR.
68]
TAX
ID NO. : 3271000069
CAPITAL REGISTERED : BHT. 76,000,000
CAPITAL PAID-UP : BHT.
76,000,000
SHAREHOLDER’S PROPORTION : THAI :
5.11%
FOREIGN
: 94.89%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR.
RAYMOND LEENIB, AMERICAN
MANAGING DIRECTOR
NO.
OF STAFF : 200
LINES
OF BUSINESS : ZINC
CHLORIDES
MANUFACTURER, DISTRIBUTOR
& EXPORTER
CORPORATE PROFILE
OPERATING
TREND : STABLE
PRESENT
SITUATION : OPERATING NORMALLY
REPUTATION : GOOD
WITH
MANAGEMENT
STANDARD : MANAGEMENT WITH
GOOD PERFORMANCE
HISTORY
The subject was
established on September
14, 1978 as
a private limited
company under the name style
GLOBAL CHEMICAL COMPANY LIMITED
by Thai and
foreign partners in order to
produce Zinc Chloride
to both domestic
and international markets.
It currently employs approximate
200 staff.
The subject’s registered
address was initially
located at 525/176
Moo 1, Sukhumvit
Rd., Samrongnua, Muang,
Samutprakarn 10270.
On March 24,
1987, the registered
address was relocated
to 376 Moo 4,
Bangpoo Industrial Estate, Sukhumvit
Rd., Praeksa, Muang,
Samutprakarn 10280, and
this is the
subject’s current operation
address.
THE BOARD OF DIRECTOR
|
NAME |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Raymond Leenib |
[x] |
American |
65 |
|
Mrs. Florence Nib Wong |
|
Chinese |
62 |
|
Mrs. Kanokvorawan Leenib |
[x] |
Thai |
52 |
|
Mrs. Niki Nip Rabier |
|
American |
59 |
AUTHORIZED PERSON
One of the
mentioned directors [x]
can sign on
behalf of the
subject with company’s
affixed.
MANAGEMENT
Mr. Raymond Leenib
is the Managing
Director.
He is American
nationality with the
age of 65 years
old.
Mrs. Kanokvorawan Leenib
is the Deputy
Managing Director.
She is Thai
nationality with the
age of 52
years old.
Mr. Chookiat Prasangsit
is the Personnel
Manager.
He is Thai
nationality.
Mr. Somboon Somchaikulsap is
the Export Sales
Manager.
He is Thai nationality.
Mr. Kittisak Phujit is
the Local Sales
Manager.
He is Thai
nationality.
Ms. Pak-ampai Jiraprapakarn is
the Factory Manager.
She is Thai
nationality.
BUSINESS OPERATIONS
The
subject is engaged
in manufacturing, distributing
and exporting of
Zinc Chloride and
others zinc chemicals
including Zinc Oxide Active,
Zinc Cabonate, Zinc
Ammonium Chloride, Zinc
Sulphate and etc., mainly
supply to rubbers,
cosmetics and pharmaceutical industries.
Company’s products
are as follows:
Zinc
Chemical
1.
Zinc Ammonium Chloride:
1.Double salts
2. Triple salts
3 .Triple salts with wetting agent
4. Galvanizing flux
Application field : Galvanizing
2. Zinc Chloride:
1. Granular
2. Solution
Application field : Dry cell, Water Treatment
& etc.
3. Zinc Oxide:
1. Zinc oxide Active
2. Zinc Oxide transparent
3. Zinc Oxide RA
Application field : Rubber products, Latex, Glue etc.
4. Zinc Sulphate:
1.Zinc Sulphate Monohydrate
2. Zinc Sulphate Heptahydrate
Application field : Animal feed,
Fertilizers, Paper, Rayon,
Textile, Glue, Pesticide
spray, Water treatment &
etc.
5. Zinc Carbonate:
1. Zinc Carbonate Industrial grade
2. Zinc Carbonate B.P.C. grade
Application field : Cosmetic,
Pharmaceutical Products
& etc.
The
products are supplied
to various industries
such as rubber,
latex, adhesive, agro
chemical, water treatment,
textile, paper, cosmetic,
pharmaceutical and etc.
MAJOR BRAND
“GCC”
The subject has
three laboratories and a small pilot plant in
its two manufacturing
plants for quality
control, new product
development, application research,
testing and process
improvement.
PURCHASE
80% of the
raw material mainly
base chemical and
specialty chemical are
purchased from local
suppliers and agents,
the remaining 20%
is imported directly
from Japan, Republic
of China, Singapore,
U.S.A., Germany and
Taiwan.
DISTRIBUTION
60% of its
products is exported to
France, United Kingdom,
Germany, Africa, Australia,
United States of America, Malaysia, Japan,
New Zealand, Pakistan,
Philippines, Spain, Turkey,
Vietnam, Korea, Sri
Lanka, Indonesia and
others, the remaining
40% is sold locally by
wholesales to end-users
and dealers all
over the country.
AFFILIATED/RELATED 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 credits term
of 30-60 days.
Local bills are
paid by cash
or on the
credits term of
30-60 days.
Imports are by
L/C at sight
or T/T.
Exports are against
L/C at sight
or T/T.
BUSINESS TRANSACTION
In term of
sales, most of
the products are
sold by credit,
with the maximum
credit given at
30-60 days. The subject is found to have late payment
from its customers but they can negotiate.
BANKING
Bangkok Bank Public
Co., Ltd.
Head Office : 333 Silom
Rd., Silom, Bangrak,
Bangkok 10500
Samrong Branch: 1788
Sukhumvit Rd., Samrongnua,
Muang, Samutprakarn 10270
EMPLOYMENT
The subject employs
approximately 200 staff
comprising office staff,
sales staff, chemists
and engineers.
LOCATION DETAILS
The premise is
owned for administrative office
and factory I
on 4,800 square meters
of area at the heading
address. Premise is
located in an
industrial area.
Factory II is
located at 545
Moo 4, Bangpoo
Industrial Estate, Sukhumvit
Rd., Praekasa, Muang,
Samutprakarn 10280.
COMMENT
The subject grows steadily and
diversifies into industrial
phosphates via its
patented process. The products
are of high quality and more competitive. With well equipped laboratories and
strict quality control, customers are widely accepted its products in the large area of industrial
sectors both domestic and
international markets.
Domestic consumption of zinc chemical products in the future would continue growing at
unsaturation demand from
local industries.
FINANCIAL INFORMATION
The capital was
initially registered at
Bht. 1,200,000 divided
into 1,000 shares
of Bht. 1,200
each.
The capital was
increased later as
follows:
Bht. 4,080,000
on June 4,
1982
Bht. 9,000,000
on May 4,
1989
Bht. 60,000,000
on November 22,
1995
Bht. 76,000,000
on December 25,
1997
The latest registered
capital was increased
to Bht. 76,000,000
divided into 760,000
shares of Bht.
100 each with
fully paid.
THE SHAREHOLDERS LISTED
WERE : [as
at April 30,
2012]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Raymond Leenib Nationality: American Address : 149 Soi
Bangna-Trad 16, Bangna, Bangkok |
377,974 |
49.73 |
|
Mrs. Florence Nib
Wong Nationality: Chinese Address : 2/F,
On Kwai Bldg.,
Whampoa Estata Block C,
7 Man Tai
St Hung Hum,
Kowloon, Hong Kong |
171,604 |
22.58 |
|
Mrs. Sing Nib Nationality: Chinese Address : 2/F,
On Kwai Bldg.,
Whampoa Estata Block C,
7 Man Tai
St Hung Hum,
Kowloon, Hong
Kong |
171,604 |
22.58 |
|
Mrs. Kanovorawan Leenib Nationality: Thai Address : 149
Soi Bangna-Trad 16,
Bangna, Bangkok |
38,000 |
5.00 |
|
Mrs. Pakampai Jiraprapakarn Nationality: Thai Address : 509
Srinakarin Rd., Bangkaew,
Bangplee,
Samutprakarn |
816 |
0.11 |
|
Mr. Lerwuth Leenib Nationality: Thai Address : 149
Soi Bangna-Trad 16,
Bangna, Bangkok |
1 |
- |
|
|
|
|
|
Mr. Kornkris Leenib Nationality: Thai Address : 149
Soi Bangna-Trad 16,
Bangna, Bangkok |
1 |
- |
Total Shareholders : 7
Share Structure [as
at April 30,
2012]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
4 |
38,818 |
5.11 |
|
Foreign |
3 |
721,182 |
94.89 |
|
Total |
7 |
760,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Mr. Mangkorn Kanchanasay No.
3467
BALANCE SHEET [BAHT]
The
latest financial figures
published for December
31, 2011 &
2010 were:
ASSETS
|
Current Assets |
2011 |
2010 |
|
|
|
|
|
Cash and Cash Equivalents |
37,492,304.45 |
67,034,214.60 |
|
Short-term Investment |
75,600,000.00 |
20,136,571.96 |
|
Trade Accounts Receivable
|
57,509,118.91 |
62,513,042.27 |
|
Inventories |
25,206,642.00 |
42,349,474.00 |
|
|
|
|
|
Total Current Assets
|
195,808,065.36 |
192,033,302.83 |
|
|
|
|
|
Fixed Assets |
139,612,507.99 |
125,682,577.48 |
|
Other Assets |
173,205.24 |
173,205.24 |
|
Total Assets |
335,593,778.59 |
317,889,085.55 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2011 |
2010 |
|
|
|
|
|
Trade Accounts & Other
Payable |
33,391,265.98 |
33,265,462.74 |
|
Accrued Income Tax |
1,799,248.63 |
3,994,777.98 |
|
|
|
|
|
Total Current Liabilities |
35,190,514.61 |
37,260,240.72 |
|
Total Liabilities |
35,190,514.61 |
37,260,240.72 |
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
Share capital : Baht 100
value authorized, issued
and fully paid share
capital 760,000 shares |
76,000,000.00 |
76,000,000.00 |
|
|
|
|
|
Capital Paid |
76,000,000.00 |
76,000,000.00 |
|
Premium on Share Capital |
4,000,000.00 |
4,000,000.00 |
|
Retained Earning -
Unappropriated |
220,403,263.98 |
200,628,844.83 |
|
Total Shareholders' Equity [Deficit] |
300,403,263.98 |
280,628,844.83 |
|
Total Liabilities & Shareholders' Equity |
335,593,778.59 |
317,889,085.55 |
PROFIT & LOSS ACCOUNT
|
Revenue |
2011 |
2010 |
|
Sales |
387,292,511.71 |
388,866,127.05 |
|
Other Income |
8,112,313.06 |
6,129,378.79 |
|
Total Revenues |
395,404,824.77 |
394,995,505.84 |
|
Expenses |
|
|
|
Cost of Goods
Sold |
315,811,975.17 |
298,780,770.70 |
|
Selling Expenses |
4,774,541.11 |
4,341,066.98 |
|
Administrative Expenses |
46,045,343.44 |
46,808,810.25 |
|
Total Expenses |
366,631,859.72 |
349,930,647.93 |
|
|
|
|
|
Profit / Loss] before Finance Costs & Income Tax |
28,772,965.05 |
45,064,857.91 |
|
Finance Costs |
[70,338.25] |
[185,005.35] |
|
|
|
|
|
Profit / [Loss] before Income Tax |
28,702,626.80 |
44,879,852.56 |
|
Income Tax |
[8,928,207.65] |
[13,823,550.77] |
|
Net Profit / [Loss] |
19,774,419.15 |
31,056,301.79 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2011 |
2010 |
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
CURRENT RATIO |
TIMES |
5.56 |
5.15 |
|
QUICK RATIO |
TIMES |
4.85 |
4.02 |
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
2.77 |
3.09 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.15 |
1.22 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
29.13 |
51.74 |
|
INVENTORY TURNOVER |
TIMES |
12.53 |
7.06 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
54.20 |
58.68 |
|
RECEIVABLES TURNOVER |
TIMES |
6.73 |
6.22 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
38.59 |
40.64 |
|
CASH CONVERSION CYCLE |
DAYS |
44.74 |
69.77 |
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
COST OF GOODS SOLD |
% |
81.54 |
76.83 |
|
SELLING & ADMINISTRATION |
% |
13.12 |
13.15 |
|
INTEREST |
% |
0.02 |
0.05 |
|
GROSS PROFIT MARGIN |
% |
20.55 |
24.74 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
7.43 |
11.59 |
|
NET PROFIT MARGIN |
% |
5.11 |
7.99 |
|
RETURN ON EQUITY |
% |
6.58 |
11.07 |
|
RETURN ON ASSET |
% |
5.89 |
9.77 |
|
EARNING PER SHARE |
BAHT |
26.02 |
40.86 |
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
DEBT RATIO |
TIMES |
0.10 |
0.12 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.12 |
0.13 |
|
TIME INTEREST EARNED |
TIMES |
409.07 |
243.59 |
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
SALES GROWTH |
% |
(0.40) |
|
|
OPERATING PROFIT |
% |
(36.15) |
|
|
NET PROFIT |
% |
(36.33) |
|
|
FIXED ASSETS |
% |
11.08 |
|
|
TOTAL ASSETS |
% |
5.57 |
|
PROFITABILITY
RATIO
|
Gross Profit Margin |
20.55 |
Impressive |
Industrial
Average |
13.98 |
|
Net Profit Margin |
5.11 |
Impressive |
Industrial
Average |
4.31 |
|
Return on Assets |
5.89 |
Impressive |
Industrial Average |
4.00 |
|
Return on Equity |
6.58 |
Satisfactory |
Industrial
Average |
7.52 |
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 20.55%. 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 5.11%,
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 5.89%, 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. When compared with the
industry average, it was lower, the company's figure is 6.58%.
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 |
5.56 |
Impressive |
Industrial
Average |
1.63 |
|
Quick Ratio |
4.85 |
|
|
|
|
Cash Conversion Cycle |
44.74 |
|
|
|
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 5.56 times in 2011, increased from 5.15 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 higher, indicated that company
was an efficient operator in a dominant position within its industry.
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 4.85 times in 2011,
increased from 4.02 times, although excluding inventory so the company still
have good short-term financial strength.
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 45 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE RATIO
|
Debt Ratio |
0.10 |
Impressive |
Industrial
Average |
0.41 |
|
Debt to Equity Ratio |
0.12 |
Impressive |
Industrial
Average |
0.75 |
|
Times Interest Earned |
409.07 |
Impressive |
Industrial
Average |
6.16 |
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 409.07 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 0.1 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 Downtrend
Times Interest Earned Uptrend
ACTIVITY RATIO
|
Fixed Assets Turnover |
2.77 |
Impressive |
Industrial
Average |
1.65 |
|
Total Assets Turnover |
1.15 |
Impressive |
Industrial
Average |
0.94 |
|
Inventory Conversion Period |
29.13 |
|
|
|
|
Inventory Turnover |
12.53 |
Impressive |
Industrial
Average |
5.52 |
|
Receivables Conversion Period |
54.20 |
|
|
|
|
Receivables Turnover |
6.73 |
Impressive |
Industrial
Average |
4.67 |
|
Payables Conversion Period |
38.59 |
|
|
|
Trend of the average
competitors in the same industry for last 5 years
Fixed Assets Turnover Downtrend
Total Assets Turnover Downtrend
Inventory Turnover Downtrend
Receivables Turnover Downtrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.55.76 |
|
UK Pound |
1 |
Rs.86.69 |
|
Euro |
1 |
Rs.70.44 |
INFORMATION DETAILS
|
Report Prepared
by : |
MNL |
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively below
average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
---- |
NB |
New Business |
---- |
This score serves as a reference to assess SC’s credit risk and
to set the amount of credit to be extended. It is calculated from a composite
of weighted scores obtained from each of the major sections of this report. The
assessed factors and their relative weights (as indicated through %) are as
follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.