MIRA INFORM REPORT
|
Report Date : |
29.03.2012 |
IDENTIFICATION DETAILS
|
Name : |
ECOLAB
LIMITED |
|
|
|
|
Registered Office : |
15th Floor, President Tower, 971, 973 Ploenchit Road, Lumpini, Pathumwan, Bangkok 10330 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
30.11.2010 |
|
|
|
|
Date of Incorporation : |
08.12.1986 |
|
|
|
|
Com. Reg. No.: |
0105529044785 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Manufacturer, distributor & exporter of cleaning and disinfectant chemicals |
|
|
|
|
No. of Employees
: |
250 |
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 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
ECOLAB LIMITED
SUMMARY
BUSINESS
ADDRESS : 15th FLOOR,
PRESIDENT TOWER,
971,
973 PLOENCHIT ROAD,
LUMPINI,
PATHUMWAN, BANGKOK
10330
TELEPHONE : [66] 2126-9499,
2656-0022
FAX :
[66] 2656-0033
E-MAIL
ADDRESS : suntareeya.yodkraisri@ecolab.com
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1986
REGISTRATION
NO. : 0105529044785 [Former : 4481/2529]
CAPITAL REGISTERED : BHT. 48,000,000
CAPITAL PAID-UP : BHT.
48,000,000
SHAREHOLDER’S PROPORTION : AMERICAN : 100%
FISCAL YEAR CLOSING DATE : NOVEMBER 30
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR. DAVID F. DUWICK,
AMERICAN
MANAGING DIRECTOR
NO.
OF STAFF : 250
LINES
OF BUSINESS : CLEANING AND
DISINFECTANT CHEMICALS MANUFACTURER, DISTRIBUTOR
& 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 December
8, 1986 as
a private limited
company under the initially
registered name “Grade - A Holding
Co., Ltd.” by American
groups. On June
5, 1987 subject
changed its name
to be ECOLAB
LIMITED. The business
objective is a manufacture wide range of
cleaning and disinfectant
chemicals for industrial users. The subject
currently employs approximate
250 staff. It
is a wholly
owned subsidiary of
Ecolab Inc., in
U.S.A.
The subject’s registered
address was initially
at 21th Flr., Grand Amarin
Tower, 1550 New Petchburi
Rd., Makkasan, Rajthewee,
Bangkok 10400.
In October 2006,
the subject’s registered
address was relocated
to 15th Flr., President Tower,
971, 973 Ploenchit Rd.,
Lumpini, Pathumwan, Bangkok 10330, and
this is the
subject’s current operation
address.
THE BOARD OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mrs. Ladda Chatchaluay |
|
Thai |
53 |
|
Mr. David F. Duwick |
|
American |
47 |
|
Ms. Siriporn Tesuangnon |
|
Thai |
50 |
AUTHORIZED PERSON
Any of the
above directors signs
on behalf of
the subject with
company’s affixed.
MANAGEMENT
Mr. David F. Duwick is
the Managing Director.
He is American
nationality with the age
of 47 years
old.
Mrs. Ladda Chatchaluay
is the G.M.
and Factory Manager.
She is Thai
nationality with the
age of 53
years old.
Mr. Thanaseth Premataisak
is the Sales
Manager.
He is Thai
nationality.
Mr. Samrit Chiakittisak is
the Marketing Manager.
He is Thai
nationality.
BUSINESS OPERATIONS
The subject’s activity is a manufacture
wide range of
cleaning and disinfectant chemicals,
using for cleaning,
sanitizing and food safety and
infection prevention. Range of products are Potassium
Hydroxide, Sodium Hypochlorite, Sodium Hydroxide, Lactic
Acid, Dodecyl Benzene Sulfonic
Acid, Sodium Olefin Sulfonate, Phosphoric Acid, Nitric Acid, Alkyl Polyglycoside, Triethanolamine, Sodium
Alkane Sulfonate, Linear Alkyl
Benzene Sulfonic Acid,
Sodium Xylene Sulfonate,
Polyethoxylated Alkyl Alcohol
and etc.
MAJOR BRAND
“ECOLAB”
IMPORT [COUNTRIES]
Most of raw materials
are imported from
U.S.A., Singapore, Republic of
China, Taiwan and
Germany.
MAJOR SUPPLIER
Ecolab Inc. :
U.S.A.
SALES [LOCAL]
95% of the
products is sold
locally to manufactures,
wholesalers and end-users.
EXPORT [COUNTRY]
5% of the products
is exported to Laos,
Malaysia, Singapore, Vietnam,
Taiwan and Indonesia.
MAJOR CUSTOMERS
SSN Distributor Co.,
Ltd. : Thailand
Curtain Clean Co.,
Ltd. : Thailand
Synergy Square Co.,
Ltd. : Thailand
PARENT COMPANY
Ecolab Inc. : U.S.A.
Business Address :
370 Wabaza Street,
St. Paul, Minnesota
55102, U.S.A.
SUBSIDIARY AND AFFILIATED
COMPANY
The subject is
not found to
have any subsidiary
nor 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 or T/T.
Exports are against
T/T.
BANKING
Bangkok Bank Public
Co., Ltd.
[Head Office : 333
Silom Rd., Silom,
Bangrak, Bangkok]
Citibank N.A.
[Bangkok Branch : 82
North Sathorn Rd.,
Silom, Bangrak, Bangkok]
EMPLOYMENT
The subject employs
approximately 250 staff.
[office and factory
workers]
LOCATION DETAILS
The premise is
rented for operating
office at the
heading address. Premise
is located in
commercial area.
Factory & warehouse
are located at
101/97 Phaholyothin Rd.,
Klongnueng, Klongluang, Pathumthani
12120, Tel: [66]
2909-7030, Fax : [66] 2909-2274.
REMARK
MAXIMUM CREDIT SHOULD
BE GRANTED AT
US$ 5,000,000.
COMMENT
The cleaning chemical
industry is set
to improve earnings
because of expansion of
industrial users.
The market outlook of
industrial cleaning chemical
is positive. Its
performance during this
few years has
been good because
of strong demand.
The company’s sales
had improved moderately
from the upswing in the
chemical prices, industrial
expansion based on
domestic industrial substantial
improved.
FINANCIAL INFORMATION
The capital was
registered at Bht.
100,000 divided into
1,000 shares of
Bht. 100 each.
The capital was
increased later as
followings:
Bht. 2,000,000
on August 17,
1989
Bht. 4,000,000
on August 28,
1990
Bht. 19,000,000
on May 21,
1991
Bht. 48,000,000
on August 1,
1991
The latest registered
capital was increased
to Bht. 48 million, divided into
480,000 shares of
Bht. 100 each
with fully paid.
THE SHAREHOLDERS LISTED
WERE : [as
at March 30,
2011]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Ecolab Inc. Nationality: American Address : 370
Wabaza Street, St. Paul,
Minnesota, 55102, U.S.A. |
479,994 |
99.99 |
|
Mr. Michael K.
Maccormick Nationality: American Address : 4920
Del Drive, Idena,
Minnesota, U.S.A. |
1 |
|
|
Mr. David F. Duwick Nationality: American Address : 370
Wabaza Street, St. Paul,
Minnesota, 55102, U.S.A |
1 |
|
|
Ecolab Finance Inc. Nationality: American Address : 370
Wabaza Street, St. Paul,
Minnesota, 55102, U.S.A |
1 |
= 0.01 |
|
Mrs. Zara C. Ericson Nationality: American Address : 370
Wabaza Street, St. Paul,
Minnesota, 55102, U.S.A |
1 |
|
|
Mr. Cherdkiat Monserinusorn Nationality: Thai Address : 236
Rimklongprapa Rd., Bangsue,
Bangkok |
1 |
|
|
Mrs. Ladda Chatchaluay Nationality: Thai Address : 194
Soi Pattanakarn 56, Suanluang,
Bangkok |
1 |
|
Total Shareholders : 7
Share Structure [as
at March 30,
2011]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
2 |
2 |
- |
|
American |
5 |
479,998 |
100.00 |
|
Total |
7 |
480,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Mrs. Anuthai Phumsurakul No.
3873
BALANCE SHEET [BAHT]
The latest financial figures published for November 30, 2010 & 2009 were:
ASSETS
|
Current Assets |
2010 |
2009 |
|
|
|
|
|
Cash and Cash Equivalent |
119,901,791 |
53,174,473 |
|
Trade Accounts Receivable |
|
|
|
- Related company |
6,464,753 |
4,936,170 |
|
- Other company |
196,558,389 |
193,055,499 |
|
Related Company Receivable |
- |
14,537,644 |
|
Inventories |
94,180,195 |
87,382,026 |
|
Prepaid Expenses |
2,105,119 |
1,015,405 |
|
Current Portion of Prepaid Rental Expenses |
1,150,000 |
1,150,000 |
|
Other Current Assets |
2,280,293 |
1,915,281 |
|
|
|
|
|
Total Current Assets
|
422,640,540 |
357,166,498 |
|
|
|
|
|
Fixed Assets |
134,621,957 |
124,905,676 |
|
Intangible Assets |
75,588,431 |
83,104,987 |
|
Prepaid Rental Expense-net of
Current Portion |
6,995,833 |
8,145,833 |
|
Other Assets |
4,074,460 |
3,442,625 |
|
Total Assets |
643,921,221 |
576,765,619 |
LIABILITIES &
SHAREHOLDERS’ EQUITY [BAHT]
|
Current
Liabilities |
2010 |
2009 |
|
|
|
|
|
Short-term Loan from
Financial Institution |
- |
23,000,000 |
|
Trade Accounts Payable |
|
|
|
- Related company |
14,261,525 |
18,165,796 |
|
- Other company |
47,490,811 |
43,931,176 |
|
Related Company Payable |
14,257,224 |
9,163,596 |
|
Other Payable |
25,640,392 |
16,145,476 |
|
Accrued Income Tax |
42,164,642 |
45,747,294 |
|
Accrued Expenses |
74,647,492 |
65,960,741 |
|
Other Current Liabilities |
20,002,651 |
18,826,000 |
|
|
|
|
|
Total Current Liabilities |
238,464,737 |
240,940,079 |
|
|
|
|
|
Estimated Liabilities for
Employee Benefit |
48,597,736 |
33,229,259 |
|
Total Liabilities |
287,062,473 |
274,169,338 |
|
|
|
|
|
Shareholders’ Equity |
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized, issued
and fully paid share
capital 480,000 shares |
48,000,000 |
48,000,000 |
|
|
|
|
|
Capital Paid |
48,000,000 |
48,000,000 |
|
Retained Earnings Appropriated for
Statutory Reserve |
4,800,000 |
4,800,000 |
|
Unappropriated |
304,058,748 |
249,796,281 |
|
Total Shareholders' Equity |
356,858,748 |
302,596,281 |
|
Total Liabilities & Shareholders' Equity |
643,921,221 |
576,765,619 |
PROFIT & LOSS ACCOUNT
|
Revenue |
2010 |
2009 |
|
|
|
|
|
Sales Income |
1,104,808,158 |
971,648,051 |
|
Other Income |
2,926,224 |
6,245,679 |
|
Total Revenues |
1,107,734,382 |
977,893,730 |
|
Expenses |
|
|
|
|
|
|
|
Cost of Goods
Sold |
422,218,868 |
376,525,710 |
|
Selling Expenses |
252,998,152 |
192,101,440 |
|
Administrative Expenses |
133,092,314 |
136,422,083 |
|
Total Expenses |
808,309,334 |
705,049,233 |
|
|
|
|
|
Profit before Financial Cost & Income
Tax |
299,425,048 |
272,844,497 |
|
Financial Cost |
[131,737] |
[358,515] |
|
Profit before Income Tax |
299,293,311 |
272,485,982 |
|
Income Tax |
[95,030,844] |
[83,288,037] |
|
|
|
|
|
Net Profit / [Loss] |
204,262,467 |
189,197,945 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2010 |
2009 |
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
CURRENT RATIO |
TIMES |
1.77 |
1.48 |
|
QUICK RATIO |
TIMES |
1.35 |
1.10 |
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
8.21 |
7.78 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.72 |
1.68 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
81.42 |
84.71 |
|
INVENTORY TURNOVER |
TIMES |
4.48 |
4.31 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
64.94 |
72.52 |
|
RECEIVABLES TURNOVER |
TIMES |
5.62 |
5.03 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
41.05 |
42.59 |
|
CASH CONVERSION CYCLE |
DAYS |
105.30 |
114.64 |
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
COST OF GOODS SOLD |
% |
38.22 |
38.75 |
|
SELLING & ADMINISTRATION |
% |
34.95 |
33.81 |
|
INTEREST |
% |
0.01 |
0.04 |
|
GROSS PROFIT MARGIN |
% |
62.05 |
61.89 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
27.10 |
28.08 |
|
NET PROFIT MARGIN |
% |
18.49 |
19.47 |
|
RETURN ON EQUITY |
% |
57.24 |
62.52 |
|
RETURN ON ASSET |
% |
31.72 |
32.80 |
|
EARNING PER SHARE |
BAHT |
425.55 |
394.16 |
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
DEBT RATIO |
TIMES |
0.45 |
0.48 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.80 |
0.91 |
|
TIME INTEREST EARNED |
TIMES |
2,272.90 |
761.04 |
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
SALES GROWTH |
% |
13.70 |
|
|
OPERATING PROFIT |
% |
9.74 |
|
|
NET PROFIT |
% |
7.96 |
|
|
FIXED ASSETS |
% |
7.78 |
|
|
TOTAL ASSETS |
% |
11.64 |
|
PROFITABILITY RATIO
|
Gross Profit Margin |
62.05 |
Impressive |
Industrial Average |
24.25 |
|
Net Profit Margin |
18.49 |
Impressive |
Industrial
Average |
3.28 |
|
Return on Assets |
31.72 |
Impressive |
Industrial
Average |
6.58 |
|
Return on Equity |
57.24 |
Impressive |
Industrial
Average |
15.44 |
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 62.05%. 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 18.49% 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
31.72%, 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 57.24%, 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 Uptrend
Return on Equity Uptrend
LIQUIDITY RATIO
|
Current Ratio |
1.77 |
Impressive |
Industrial
Average |
1.46 |
|
Quick Ratio |
1.35 |
|
|
|
|
Cash Conversion Cycle |
105.30 |
|
|
|
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 1.77 times in 2010, increased from 1.48 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 1.35 times in 2010,
increased from 1.1 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 106 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE RATIO
|
Debt Ratio |
0.45 |
Impressive |
Industrial
Average |
0.57 |
|
Debt to Equity Ratio |
0.80 |
Impressive |
Industrial
Average |
1.32 |
|
Times Interest Earned |
2,272.90 |
Impressive |
Industrial
Average |
5.30 |
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 2272.91 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 0.45 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 |
8.21 |
Impressive |
Industrial
Average |
4.67 |
|
Total Assets Turnover |
1.72 |
Satisfactory |
Industrial
Average |
2.01 |
|
Inventory Conversion Period |
81.42 |
|
|
|
|
Inventory Turnover |
4.48 |
Acceptable |
Industrial
Average |
6.44 |
|
Receivables Conversion Period |
64.94 |
|
|
|
|
Receivables Turnover |
5.62 |
Impressive |
Industrial
Average |
4.64 |
|
Payables Conversion Period |
41.05 |
|
|
|
Trend of the
average competitors in the same industry for last 5 years
Fixed Assets Turnover Downtrend
Total Assets Turnover Uptrend
Inventory Turnover Uptrend
Receivables Turnover Uptrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.50.92 |
|
UK Pound |
1 |
Rs.81.21 |
|
Euro |
1 |
Rs.67.85 |
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.