MIRA INFORM REPORT

 

 

Report Date :

26.03.2012

 

IDENTIFICATION DETAILS

 

Name :

CENTURY SYNTHETIC FIBER CORPORATION

 

 

Registered Office :

Block B1-1 Tay Bac (North-West) Cu Chi Industrial Zone - Cu Chi District - Ho Chi Minh City

 

 

Country :

Viet Nam

 

 

Financials (as on) :

30.06.2011

 

 

Date of Incorporation :

2000

 

 

Legal Form :

Joint stock company

 

 

Line of Business :

Subject Specializes in Producing all Kinds of Synthetic Fibers

 

 

No. of Employees :

629

 

 

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 – September 30, 2011

 

Country Name

Previous Rating

(30.06.2011)

Current Rating

(30.09.2011)

Viet Nam

B1

B1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


SUBJECT IDENTIFICATION & LEGAL FORM

 

 

Current legal status

English Name

 

CENTURY SYNTHETIC FIBER CORPORATION

Vietnamese Name

 

CONG TY CO PHAN SOI THE KY

Trade name

 

CENTURY SYNTHETIC FIBER CORPORATION

Short name

 

CENTURY CORP

Type of Business

 

Joint stock company

Year Established

 

2000

Business Registration No.

 

0302018927

Date of  Registration

 

13 Jan 2010

Date of 8th Adjustment

 

19 Oct 2011

Place of Registration

 

Business Registration Office - Planning and Investment Department of Ho Chi Minh City

Current registered capital

 

VND 229,888,340,000

Status

 

Unlisted

Tax code

 

0302018927

Total Employees

 

629

 

Historical Identification & Legal form

 

List

Changed Items

Date of changes

1

Subject has got former registered capital: VND 201,000,000,0000

Changed to: VND 229,888,340,000

19 Oct 2011

2

Subject has got former Business Registration No: 4103003288 which was issued on 11 Apr 2005

Changed to: 0302018927

13 Jan 2010

3

Subject has got former Business Registration No: 4102001242 which was issued on 01 Jun 2000

Changed to: 4103003288

11 Apr 2005

4

Subject has got former Registered Vietnamese Name: CONG TY TNHH SAN XUAT THUONG MAI THE KY

Changed to: CONG TY CO PHAN SOI THE KY

11 Apr 2005

 

 

ADDRESSES

 

Head Office

Address

 

Block B1-1 Tay Bac (North-West) Cu Chi Industrial Zone - Cu Chi District - Ho Chi Minh City - Vietnam

Telephone

 

(84-8) 3790 7565

Fax

 

(84-8) 3790 7566

Email

 

century@hcm.vnn.vn  

Website

 

www.theky.vn 

 

Branch in Tay Ninh

Address

 

Road No. 8 – Trang Bang Industrial Zone – Trang Bang District – Tay Ninh Province - Vietnam

 

 

 

DIRECTORS

 

 

1. NAME

 

Mr. DANG TRIEU HOA

Position

 

Chairman and General Director

Date of Birth

 

19 Oct 1969

ID Number/Passport

 

023323686

ID Issue Date

 

25 Dec 2006

ID Issue Place

 

Police Station of Ho Chi Minh City

Resident

 

No. A30 Bau Cat Residential Quarter - Ward 14 - Tan Binh District - Ho Chi Minh City -  Vietnam

Nationality

 

Vietnamese

Qualification

 

Management

 

2. NAME

 

Mr. HUANG WEI LING

Position

 

Vice General Director

Nationality

 

Taiwanese

 

3. NAME

 

Ms. TRAN THI TRANG LIEN

Position

 

HR Director

Nationality

 

Vietnamese

Qualification

 

Management

 

4. NAME

 

Mr. PHAN NHU BICH

Position

 

Chief Accountant

Nationality

 

Vietnamese

 

5. NAME

 

Ms. NGUYEN THI NGOC BINH

Position

 

Director of Manufacturing

Nationality

 

Vietnamese

 

 

BUSINESS NATURE AND ACTIVITIES

 

The subject specializes in producing all kinds of synthetic fibers

 

 

IMPORT & EXPORT ACTIVITIES

 

 

IMPORT:

·         Types of products

 

Machines

·         Market

 

Germany, Taiwan, South Korea, Hong Kong, China

 

EXPORT:

·         Market

 

Turkey, France, Switzerland, Japan, Taiwan, South Korea, Thailand, Malaysia, Pakistan, Indonesia

 

 

BANKERS

 

1. VIETNAM EXPORT IMPORT COMMERCIAL JOINT STOCK BANK

Address

 

8th Floor, VinCom Center, No. 72 Le Thanh Ton Str -   District 1 -  Ho Chi Minh City - Vietnam

Telephone

 

(84-8) 3821 0055

Fax

 

(84-8) 3829 6063

 

2. DONGA COMMERCIAL JOINT STOCK BANK

Address

 

No.130 Phan Dang Luu Str - Ward 3 - Phu Nhuan District - Ho Chi Minh City - Vietnam

Telephone

 

(84-8) 3995 1483

Fax

 

(84-8) 3995 1614

 

3. HSBC BANK (VIETNAM) LTD

Address

 

6th Floor, The Metropolitan Building – No.  235 Dong Khoi Str -  District 1 -  Ho Chi Minh City - Vietnam

Telephone

 

(84 8) 3829 2288

Fax

 

(84 8) 3299 0018

 

4. ANZ BANK HOCHIMINH CITY BRANCH

Address

 

No. 11 Me Linh Square - Ben Nghe Ward – District 1 - Ho Chi Minh City - Vietnam

Telephone

 

(84-8) 3829 9319

Fax

 

(84-8) 3829 9316

 

 

SHAREHOLDERS

 

 

1. NAME

 

Mr. DANG TRIEU HOA

Position

 

Chairman and General Director

Date of Birth

 

19 Oct 1969

ID Number/Passport

 

023323686

Issued on

 

25 Dec 2006

Issued Place

 

Police Station of Ho Chi Minh City

Resident

 

No. A30 Bau Cat Residential Quarter  - Ward 14 - Tan Binh District - Ho Chi Minh City -  Vietnam

Nationality

 

Vietnamese

Number of Shares

 

3,285,000

Value of shares

 

VND 32,850,000,000

Percentage

 

14.29%

 

2. NAME

 

Ms. DANG MY LINH

ID Number/Passport

 

023323687

Resident

 

No.65/39 Phu Tho Str - Ward 1 -  District 11 - Ho Chi Minh City - Vietnam

Nationality

 

Vietnamese

Number of Shares

 

1,288,250

Value of shares

 

VND 12,882,500,000

Percentage

 

5.604%

 

3. NAME

 

Mr. DANG HUONG CUONG

ID Number/Passport

 

023323688

Resident

 

No.65/39 Phu Tho Str - Ward 1 - District 11 - Ho Chi Minh City - Vietnam

Nationality

 

Vietnamese

Number of Shares

 

1,288,250

Value of shares

 

VND 12,882,500,000

Percentage

 

5.604%

 

 

FINANCIAL DATA

 

 

BALANCE SHEET

Unit: One VND

Balance sheet date

30/06/2011

31/12/2010

31/12/2009

Number of weeks

26

52

52

ASSETS

A – CURRENT ASSETS

331,582,990,085

221,756,881,708

157,200,000,000

I. Cash and cash equivalents

137,910,492,079

36,060,781,013

75,452,000,000

1. Cash

16,146,812,079

13,235,581,013

10,452,000,000

2. Cash equivalents

121,763,680,000

22,825,200,000

65,000,000,000

II. Short-term investments

0

0

0

1. Short-term investments

 

 

0

2. Provisions for devaluation of short-term investments

 

 

0

III. Accounts receivable

62,562,782,020

93,940,142,294

36,204,000,000

1. Receivable from customers

55,477,687,079

32,884,181,106

26,743,000,000

2. Prepayments to suppliers

4,782,169,414

4,759,593,881

8,579,000,000

3. Inter-company receivable

0

 

0

4. Receivable according to the progress of construction

 

 

0

5. Other receivable

2,302,925,527

56,296,367,307

882,000,000

6. Provisions for bad debts

 

 

0

IV. Inventories

92,156,973,315

73,482,231,437

27,493,000,000

1. Inventories

92,156,973,315

73,482,231,437

27,493,000,000

2. Provisions for devaluation of inventories

 

 

0

V. Other Current Assets

38,952,742,671

18,273,726,964

18,051,000,000

1. Short-term prepaid expenses

2,121,393,648

1,111,675,595

325,000,000

2. VAT to be deducted

32,196,367,065

15,903,014,095

13,231,000,000

3. Taxes and other accounts receivable from the State

3,942,318

 

0

4. Other current assets

4,631,039,640

1,259,037,274

4,495,000,000

B. LONG-TERM ASSETS

552,621,484,953

434,273,072,930

272,651,000,000

I. Long term accounts receivable

0

0

0

1. Long term account receivable from customers

 

 

0

2. Working capital in affiliates

 

 

0

3. Long-term inter-company receivable

 

 

0

4. Other long-term receivable

 

 

0

5. Provisions for bad debts from customers

 

 

0

II. Fixed assets

507,251,284,641

422,391,433,873

248,265,000,000

1. Tangible assets

282,853,225,306

190,134,658,947

216,884,000,000

- Historical costs

407,122,569,393

293,914,098,914

216,884,000,000

- Accumulated depreciation

-124,269,344,087

-103,779,439,967

0

2. Financial leasehold assets

118,277,058,972

 

0

- Historical costs

122,355,578,248

 

0

- Accumulated depreciation

-4,078,519,276

 

0

3. Intangible assets

0

29,375,238,198

30,423,000,000

- Initial costs

113,300,000

30,502,330,000

30,423,000,000

- Accumulated amortization

-113,300,000

-1,127,091,802

0

4. Construction-in-progress

106,121,000,363

202,881,536,728

958,000,000

III. Investment property

 

 

0

Historical costs

 

 

0

Accumulated depreciation

 

 

0

IV. Long-term investments

1,000,000,000

0

11,411,000,000

1. Investments in affiliates

1,000,000,000

 

0

2. Investments in business concerns and joint ventures

 

 

0

3. Other long-term investments

 

 

11,411,000,000

4. Provisions for devaluation of long-term investments

 

 

0

V. Other long-term assets

44,370,200,312

11,881,639,057

12,975,000,000

1. Long-term prepaid expenses

39,007,332,672

6,518,771,417

8,008,000,000

2. Deferred income tax assets

5,362,867,640

5,362,867,640

0

3. Other long-term assets

 

 

4,967,000,000

VI. Goodwill

 

 

 

1. Goodwill

 

 

 

TOTAL ASSETS

884,204,475,038

656,029,954,638

429,851,000,000

 

LIABILITIES

A- LIABILITIES

512,418,433,462

326,879,606,691

260,343,000,000

I. Current liabilities

287,947,556,980

153,340,957,379

186,512,000,000

1. Short-term debts and loans

106,270,966,450

29,641,836,000

50,184,000,000

2. Payable to suppliers

141,191,460,461

104,595,623,309

50,641,000,000

3. Advances from customers

10,211,332,905

3,560,909,060

973,000,000

4. Taxes and other obligations to the State Budget

15,255,566,166

4,694,367,822

5,541,000,000

5. Payable to employees

2,927,629,395

1,850,203,535

832,000,000

6. Accrued expenses

9,497,723,051

7,750,988,457

2,079,000,000

7. Inter-company payable

 

 

0

8. Payable according to the progress of construction contracts

 

 

0

9. Other payable

2,592,878,552

1,247,029,196

76,262,000,000

10. Provisions for short-term accounts payable

 

 

0

II. Long-Term Liabilities

224,470,876,482

173,538,649,312

73,831,000,000

1. Long-term accounts payable to suppliers

224,237,169,807

173,281,822,356

0

2. Long-term inter-company payable

 

 

0

3. Other long-term payable

 

 

0

4. Long-term debts and loans

 

 

73,831,000,000

5. Deferred income tax payable

 

 

0

6. Provisions for unemployment allowances

233,706,675

256,826,956

0

7. Provisions for long-term accounts payable

 

 

0

B- OWNER’S EQUITY

371,786,041,576

329,150,347,947

169,508,000,000

I. OWNER’S EQUITY

371,786,041,576

329,150,347,947

169,321,000,000

1. Capital

229,888,340,000

201,000,000,000

140,000,000,000

2. Share premiums

40,145,500,800

40,557,750,800

13,913,000,000

3. Other sources of capital

-11,650,560,000

 

0

4. Treasury stocks

 

 

0

5. Differences on asset revaluation

11,995,362,983

 

0

6. Foreign exchange differences

 

 

0

7. Business promotion fund

 

 

0

8. Financial reserved fund

 

1,219,011,000

1,219,000,000

9. Other funds

1,219,011,000

 

0

10. Retained earnings

100,188,386,793

86,373,586,147

14,189,000,000

11. Construction investment fund

 

 

0

II. Other sources and funds

 

 

187,000,000

1. Bonus and welfare funds

 

 

187,000,000

2. Sources of expenditure

 

 

0

3. Fund to form fixed assets

 

 

0

MINORITY’S INTEREST

 

 

0

TOTAL LIABILITIES AND OWNER’S EQUITY

884,204,475,038

656,029,954,638

429,851,000,000

 

 

PROFIT & LOSS STATEMENT

 

Description

First Half/ FY2011

FY2010

FY2009

1. Total Sales

444,689,516,366

505,959,194,077

372,576,000,000

2. Deduction item

 

 

0

3. Net revenue

444,689,516,366

505,959,194,077

372,576,000,000

4. Costs of goods sold

347,970,900,266

387,698,528,690

297,875,000,000

5. Gross profit

96,718,616,100

118,260,665,387

74,701,000,000

6. Financial income

18,041,898,212

17,339,657,203

1,532,000,000

7. Financial expenses

35,460,151,984

21,158,462,332

29,070,000,000

- In which: Loan interest expenses

10,260,638,103

7,043,015,410

8,617,000,000

8. Selling expenses

7,687,698,024

8,666,584,943

2,774,000,000

9. Administrative overheads

15,107,295,204

22,200,529,946

9,576,000,000

10. Net operating profit

56,505,369,100

83,574,745,369

34,813,000,000

11. Other income

301,872,452

46,591,300

481,000,000

12. Other expenses

10,962,421

497,026,127

16,000,000

13. Other profit /(loss)

290,910,031

-450,434,827

465,000,000

14. Total accounting profit before tax

56,796,279,131

83,124,310,542

35,278,000,000

15. Current corporate income tax

9,392,452,477

4,779,543,727

3,686,000,000

16. Deferred corporate income tax

 

 

-570,000,000

17. Interest from subsidiaries/related companies

 

 

 

18. Profit after tax

47,403,826,654

78,344,766,815

31,022,000,000

 

 

FINANCIAL RATIOS AND AVERAGE INDUSTRY RATIOS

 

Description

FY2010

FY2009

Average Industry

Current liquidity ratio

1.45

0.84

1.18

Quick liquidity ratio

0.97

0.70

0.72

Inventory circle

5.28

10.83

9.18

Average receive period

67.77

35.47

64.20

Utilizing asset performance

0.77

0.87

1.50

Liability by total assets

49.83

60.57

69.79

Liability by owner's equity

99.31

153.59

238.92

Ebit / Total assets (ROA)

13.74

10.21

6.08

Ebit / Owner's equity (ROE)

27.39

25.90

21.50

Ebit / Total revenue (NPM)

17.82

11.78

4.89

Gross profit / Total revenue (GPM)

23.37

20.05

12.63

Note: The Average Industry was calculated by VietnamCredit based on our own statistical data

 

 

PAYMENT HISTORY & PERFORMANCE EXPERIENCES

 

 

Trade Morality

 

Fair

Liquidity

 

Medium

Payment status

 

Average

Financial Situation

 

Above Average

Development trend

 

Even

Litigation data

 

No

Bankruptcy

 

No

Payment Methods

 

Through its corresponding bank. Foreign remittance by L/C, T/T.

Sale Methods

 

To contracts

 

 

 

INTERPRETATION ON THE SCORES

 

The subject was formerly a liability limited company which was found on June 2000. Since 2005, the subject has officially changed to joint stock company. Currently, the subject is operating under Business Registration No. 0302018927, issued by Business Registration Office - Planning and Investment Department of Ho Chi Minh City with registered capital VND 229,888,340,000.

Its head office is located at “Block B1-1 North-West Cu Chi Industrial Zone - Cu Chi District - Ho Chi Minh City – Vietnam”. Total workforce is about 629 employees.

The subject is specializing in producing synthetic fibers. Its main products are Drawn Texture Yarn (DTY) & Polyester Textured Yarn (PTY). It is supplying all kinds of fibers with high quality for knitted, metal machines to produce fabric, shoes accessories by orders of the multinational corporation such as Nike, Adidas, Columbia, Ikea, Reebok, Guess, and Decathlon… Main customers of the subject are TCG, Thai Tuan Corp, Formosa Taffeta Vietnam Company, Paiho Group, Tiong Liong Corp, HuGe Bamboo Company; Promax Textile Company…The subject continues expanding product distribution network and sales agents throughout the country. Its import markets are in Germany, Taiwan, South Korea, Hong Kong, China…. The subject exports its products to Turkey, France, Switzerland, Japan, Taiwan, South Korea, Thailand, Malaysia, Pakistan, Indonesia… In 2011, the subject achieved Certificate of Merit from Vietnam Prime Minister for its achievement in attracting investment, developing export processing and contributing to HCMC’s socio-economic development. Its chairman (Mr. Dang Trieu Hoa) achieved many awards and certificates. In 2007, he was achieved award for his outstanding performance in business by Ministry of Industry and Trade. In 2008, he was voted “Typical entrepreneur 2008” by Vietnam Trademark Magazine – The Vietnam Union of Science & Technology Associations.

According to financial statement of the subject, financial situation was stable. Its profit of the first half of 2011 increased in comparison with same period of 2010. In 2010, liquidity was high with current liquidity ratio 1.45. Its turnover and profit are relatively high and increase year after year. The subject is running well. It has financial capacity to meet all normal transactions.


APPENDIX

 

INDUSTRY DATA

Industry code

Growth speed by price compared with 1994 (%)

Total enterprises 2009

Total employees 2010

(Thous.pers.)

Annual average capital of enterprises 2009

(billion dongs)

2010

2009

Agriculture, Forestry and Fishing

2.78

1.82

8,749

23,896.3

81,559

Industry and Construction

7.70

5.52

85,115

10,630

2,751,975

Trade and Services

7.52

6.63

154,978

14,522

4,939,069

 

ECONOMIC INDICATORS

 

 

2010 

2009 

2008 

Population (Million person)

86.93

86.02

86.1

Gross Domestic Products (US$ billion)

102.2

91

84.9

GDP Growth (%)

6.78

5.32

6.2

GDP Per Capita (US$)

1,160

1,080

1,040

Inflation (% Change in Composite CPI)

11.75

6.88

24.4

 

SERVICE TRADE PERFORMANCE

 

Billion USD 

2010 

2009 

2008 

Exports

72.2

57.1

62.7

Imports

84.8

69.9

80.7

Trade Balance

-12.6

-12.8

-18

Source: General Statistics Office


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.50.90

UK Pound

1

Rs.80.77

Euro

1

Rs.67.40

 

 

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%)

 

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.