MIRA
INFORM REPORT
|
Report Date : |
09.11.2012 |
IDENTIFICATION DETAILS
|
Name : |
SMILE HEART FOODS CO., LTD. |
|
|
Registered Office : |
19/8 Moo 8,
T. Bangkrachao, A. Muang, Samutsakorn 74000 |
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Country : |
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Financials (as on) : |
31.12.2011 |
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Date of Incorporation : |
2000 |
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Com. Reg. No.: |
0745543001049 |
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Legal Form : |
PRIVATE LIMITED COMPANY |
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Line of Business : |
Manufacturer, Distributor and Exporter
of Frozen Processed Foods &
Seafood Products |
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No. of Employees : |
90 |
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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 – June 30th, 2012
|
Country Name |
Previous Rating (31.03.2011) |
Current Rating (30.06.2012) |
|
Thailand |
B1 |
B1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
THAILAND - ECONOMIC OVERVIEW
With a well-developed infrastructure, a free-enterprise
economy, generally pro-investment policies, and strong export industries,
Thailand enjoyed solid growth from 2000 to 2007 - averaging more than 4% per
year - as it recovered from the Asian financial crisis of 1997-98. Thai exports
- mostly machinery and electronic components, agricultural commodities, and
jewelry - continue to drive the economy, accounting for more than half of GDP.
The global financial crisis of 2008-09 severely cut Thailand's exports, with
most sectors experiencing double-digit drops. In 2009, the economy contracted
2.3%. In 2010, Thailand's economy expanded 7.8%, its fastest pace since 1995,
as exports rebounded from their depressed 2009 level. Steady economic growth at
just below 4% during the first three quarters of 2011 was interrupted by
historic flooding in October and November in the industrial areas north of
Bangkok, crippling the manufacturing sector and leading to a revised growth
rate of only 0.1% for the year. The industrial sector is poised to recover from
the second quarter of 2012 onward, however, and the government anticipates the
economy will probably grow between 5.5 and 6.5% for 2012, while private sector
forecasts range between 3.8% and 5.7%.
Source
: CIA
COMPANY NAME
SMILE HEART FOODS CO., LTD.
SUMMARY
BUSINESS ADDRESS : 19/8 MOO 8, T.
BANGKRACHAO, A. MUANG,
SAMUTSAKORN 74000,
THAILAND
TELEPHONE : [66] 34
869-080
FAX : [66] 34 845-397
E-MAIL ADDRESS : mkt@aroymark.com
REGISTRATION ADDRESS : SAME AS BUSINESS
ADDRESS
ESTABLISHED : 2000
REGISTRATION NO. : 0745543001049
TAX ID NO. : 3751024721
CAPITAL REGISTERED : BHT.
75,000,000
CAPITAL PAID-UP : BHT.
75,000,000
SHAREHOLDER’S PROPORTION : THAI
: 100%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MRS. THARARAT NIMITCHAI,
THAI
MANAGING DIRECTOR
NO. OF STAFF : 90
LINES OF BUSINESS : FROZEN PROCESSED FOODS & SEAFOOD
PRODUCTS
MANUFACTURER, DISTRIBUTOR
AND EXPORTER
CORPORATE PROFILE
OPERATING TREND : STABLE
PRESENT SITUATION : OPERATING NORMALLY
REPUTATION : GOOD
WITH NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT STANDARD : MANAGEMENT
WITH FAIR PERFORMANCE
HISTORY
The subject was
established on May
10, 2000 as
a private limited
company under the
name style SMILE
HEART FOODS CO.,
LTD., by Thai
groups, with the
business objective to
manufacture and market
various kinds of
frozen processed foods
and seafood products
to both domestic
and overseas markets.
It currently employs
approximate 90 staff.
The subject’s registered
address is 19/8
Moo 8, T.
Bangkrachao, A. Muang,
Samutsakorn 74000, and
this is the
subject’s current operation
address.
THE BOARD OF DIRECTOR
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mrs. Thararat Nimitchai |
|
Thai |
46 |
|
Mr. Rojanin Patcharareungkit |
|
Thai |
45 |
Note : Mr. Rojanin Patcharareungkit changed
his name and last name
from
Mr. Damrong Boonyanukrohsuk
on December 15,
2008.
AUTHORIZED PERSON
Both of the
above directors can
jointly sign on
behalf of the
subject with company’s
affixed.
MANAGEMENT
Mrs. Thararat Nimitchai is
the Managing Director.
She is Thai
nationality with the
age of 46
years old.
Mr. Rojanin Patcharareungkit is
the Deputy Managing
Director.
He is Thai
nationality with the
age of 45
years old.
Mr. Jiraphat Kronghen is
the Marketing Manager.
He is Thai
nationality.
BUSINESS OPERATIONS
The subject is
engaged in manufacturing
and marketing various
kinds of frozen
processed foods and
seafood products [fish, crab,
squid, lobster], such
as fish ball,
fried products, sausage,
breaded products, imitation
foods, as well
as other products,
such as frozen
Chikuwa, frozen durian & sticky rice
in coconut cream,
frozen Ginko nuts
with sweet Toto
mousse, frozen Sakura,
frozen Taro ball
in coconut cream,
frozen Thai dessert
assortment in coconut
milk, frozen tropioca
pearl in coconut
cream, Hoyjor, and
spring roll, under
its own brand
“AROYMARK” with the
production capacity of
300 tons per
annum.
PURCHASE
100% of raw
material is purchased
from local suppliers.
SALES
70% of the
products is exported
to Japan, Singapore, Malaysia,
Taiwan, Australia, Denmark,
Italy, Sweden, U.S.A.,
United Kingdom, New
Zealand, India, Hong
Kong, Korea and
Russia, the remaining
30% is sold
locally.
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
according to IRICO’S
DATABASE 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.
Exports are against
T/T.
BANKING
Kasikornbank Public Co.,
Ltd.
Bangkok Bank Public
Co., Ltd.
EMPLOYMENT
The subject employs
approximately 90 office
staff and factory
workers.
LOCATION DETAILS
The premise is
owned for administrative office,
factory and warehouse
at the heading
address. Premise is
located in provincial.
COMMENT
Subject was formed in
2000 as a
manufacturer, distributor and
exporter of processed foods
and seafood products. Its
products are variety
to serve both
local and export
markets. Its products have performed well in international
markets. Since its
commencement, subject’s business
has grown steadily
and expected to
expand more products to
serve strong market
demand.
FINANCIAL INFORMATION
The capital was
registered at Bht. 1,000,000 divided into 10,000 shares of Bht. 100
each.
The capital was
increased later as
following:
Bht. 11,500,000 on
June 15, 2001
Bht. 12,500,000 on
May 31, 2002
Bht. 13,750,000 on
November 15, 2004
Bht. 25,000,000 on June 5,
2007
Bht. 75,000,000 on
November 18, 2010
The latest registered
capital was increased
to Bht. 75 million,
divided into 750,000
shares of Bht.
100 each with
fully paid.
THE SHAREHOLDERS LISTED WERE
[as at April
30, 2012]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mrs. Thararat Nimitchai Nationality: Thai Address : 1/213
Moo 7, Kokham,
Muang, Samutsakorn |
196,152 |
26.15 |
|
Mr. Rojanin Patcharareungkit Nationality: Thai Address : 191
Ekachai Rd., Bangbon,
Bangkok |
126,924 |
16.92 |
|
Ms. Thidaphan Pongsopa Nationality: Thai Address : 923/160
Sethakij 1 Rd., Mahachai,
Muang, Samutsakorn |
69,231 |
9.23 |
|
Mrs. Chintana Nimitchai Nationality: Thai Address : 258/1
Dermbang Rd., Mahachai,
Muang, Samutsakorn |
69,231 |
9.23 |
|
Ms. Hataiwan Tangmankong Nationality: Thai Address : 207/4 Dermbang Rd.,
Mahachai, Muang, Samutsakorn |
69,231 |
9.23 |
|
Ms. Ampornsri Lertlathaporn Nationality: Thai Address : 364/4
Thawai Rd., Thachalom,
Muang, Samutsakorn
|
69,231 |
9.23 |
|
Mrs. Phongphen Rattakul Nationality: Thai Address : 102/249 Moo
4, Klongsongtonnoon,
Ladkrabang, Bangkok |
69,231 |
9.23 |
|
Mrs. Pathitta Amornpreechachai Nationality: Thai Address : 191
Ekachai Rd., Bangbon,
Bangkok |
46,155 |
6.16 |
|
Mrs. Kimjoo Nimitchai Nationality: Thai Address : 258/1
Dermbang Rd., Mahachai,
Muang, Samutsakorn |
23,076 |
3.08 |
|
Mr. Preeda Nimitchai Nationality: Thai Address : 258/1
Dermbang Rd., Mahachai,
Muang, Samutsakorn |
11,538 |
1.54 |
Total Shareholders : 10
Share Structure
[as at April
30, 2012 ]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
10 |
750,000 |
100.00 |
|
Foreign |
- |
- |
- |
|
Total |
10 |
750,000 |
100.00 |
NAME OF AUDITOR & CERTIFIED
PUBLIC ACCOUNTANT NO.
Mr. Suwit Temsukyang No.
4634
BALANCE SHEET [BAHT]
The latest financial
figures published for
December 31, 2011
& 2010 were:
ASSETS
|
Current Assets |
2011 |
2010 |
|
|
|
|
|
Cash in hand
& at Bank
|
882,700.37 |
1,338,400.81 |
|
Trade Account & Other Receivable
|
41,191,691.89 |
26,454,580.76 |
|
Short-term Lending |
27,500.00 |
47,500.00 |
|
Inventories |
38,283,805.97 |
38,007,063.28 |
|
Total Current Assets
|
80,385,698.23 |
65,847,544.85 |
|
Foreclosed Investment |
3,300,000.00 |
3,300,000.00 |
|
Other Long-term Investment |
1,080,609.05 |
1,070,775.13 |
|
Long-term Lending |
150,000.00 |
150,000.00 |
|
Fixed Assets |
93,878,026.54 |
62,856,517.74 |
|
Other Non-current Assets |
1,108,332.91 |
5,285,589.67 |
|
Total Assets |
179,902,666.73 |
138,510,427.39 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current Liabilities |
2011 |
2010 |
|
|
|
|
|
Bank Overdraft &
Short-term Loan from Financial Institution |
16,543,134.49 |
5,028,869.60 |
|
Trade Accounts & Other Payable |
55,244,405.79 |
28,233,795.25 |
|
Current Portion of Long-term Liabilities |
4,471,483.88 |
8,051,792.09 |
|
Other Current Liabilities |
1,216,016.09 |
330,233.41 |
|
Total Current Liabilities |
77,475,040.25 |
41,644,690.35 |
|
|
|
|
|
Hire-purchase Payable |
762,500.00 |
- |
|
Hire-purchase Contract Payable |
5,114,348.76 |
5,112,611.06 |
|
Long-term Loan from Financial
Institution |
7,449,738.83 |
- |
|
Other Long-term Loan |
9,851,352.00 |
15,213,315.73 |
|
Employee Benefit Obligation |
614,497.54 |
- |
|
Other Non-current Liabilities |
6,200.00 |
6,200.00 |
|
Total Liabilities |
101,273,677.38 |
61,976,817.14 |
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
Share capital : Baht 100
value authorized, issued
and fully paid share
capital 750,000 shares |
75,000,000.00 |
75,000,000.00 |
|
Capital Paid |
75,000,000.00 |
75,000,000.00 |
|
Retained Earning -
Unappropriated |
3,628,989.35 |
1,533,610.25 |
|
Total Shareholders' Equity |
78,628,989.35 |
76,533,610.25 |
|
Total Liabilities &
Shareholders' Equity |
179,902,666.73 |
138,510,427.39 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
2011 |
2010 |
|
|
|
|
|
Sales & Services Income |
335,309,124.47 |
271,850,662.96 |
|
Other Income |
2,075,271.45 |
292,847.17 |
|
Total Revenues |
337,384,395.92 |
272,143,510.13 |
|
Expenses |
|
|
|
|
|
|
|
Cost of Goods
Sold |
294,181,957.91 |
234,402,070.56 |
|
Selling Expenses |
10,767,892.52 |
9,943,679.45 |
|
Administrative Expenses |
27,505,055.19 |
24,943,154.19 |
|
Total Expenses |
332,454,905.62 |
269,288,904.20 |
|
Profit before Financial Cost & Income Tax |
4,929,490.30 |
2,854,605.93 |
|
Financial Cost |
[1,017,976.47] |
[1,220,251.55] |
|
Profit before Income Tax |
3,911,513.83 |
1,634,354.38 |
|
Income Tax |
[1,816,134.73] |
[831,322.50] |
|
Net Profit / [Loss] |
2,095,379.10 |
803,031.88 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2011 |
2010 |
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
CURRENT RATIO |
TIMES |
1.04 |
1.58 |
|
QUICK RATIO |
TIMES |
0.54 |
0.67 |
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
3.57 |
4.32 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.86 |
1.96 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
47.50 |
59.18 |
|
INVENTORY TURNOVER |
TIMES |
7.68 |
6.17 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
44.84 |
35.52 |
|
RECEIVABLES TURNOVER |
TIMES |
8.14 |
10.28 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
68.54 |
43.96 |
|
CASH CONVERSION CYCLE |
DAYS |
23.80 |
50.74 |
|
|
|
|
|
|
PROFITABILITY RATIO |
|
|
|
|
COST OF GOODS SOLD |
% |
87.73 |
86.22 |
|
SELLING & ADMINISTRATION |
% |
11.41 |
12.83 |
|
INTEREST |
% |
0.30 |
0.45 |
|
GROSS PROFIT MARGIN |
% |
12.88 |
13.88 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
1.47 |
1.05 |
|
NET PROFIT MARGIN |
% |
0.62 |
0.30 |
|
RETURN ON EQUITY |
% |
2.66 |
1.05 |
|
RETURN ON ASSET |
% |
1.16 |
0.58 |
|
EARNING PER SHARE |
BAHT |
2.79 |
1.07 |
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
DEBT RATIO |
TIMES |
0.56 |
0.45 |
|
DEBT TO EQUITY RATIO |
TIMES |
1.29 |
0.81 |
|
TIME INTEREST EARNED |
TIMES |
4.84 |
2.34 |
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
SALES GROWTH |
% |
23.34 |
|
|
OPERATING PROFIT |
% |
72.69 |
|
|
NET PROFIT |
% |
160.93 |
|
|
FIXED ASSETS |
% |
49.35 |
|
|
TOTAL ASSETS |
% |
29.88 |
|
PROFITABILITY RATIO
|
Gross Profit Margin |
12.88 |
Impressive |
Industrial Average |
11.27 |
|
Net Profit Margin |
0.62 |
Deteriorated |
Industrial Average |
2.82 |
|
Return on Assets |
1.16 |
Deteriorated |
Industrial Average |
5.10 |
|
Return on Equity |
2.66 |
Deteriorated |
Industrial Average |
10.93 |
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 12.88%. 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 0.62%.
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 1.16%.
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 2.66%.
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 |
1.04 |
Satisfactory |
Industrial Average |
1.19 |
|
Quick Ratio |
0.54 |
|
|
|
|
Cash Conversion Cycle |
23.80 |
|
|
|
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 1.04 times in 2011, decreased from 1.58 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 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 0.54 times in 2011,
decreased from 0.67 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 24 days.
Trend of the average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE RATIO
|
Debt Ratio |
0.56 |
Acceptable |
Industrial Average |
0.56 |
|
Debt to Equity Ratio |
1.29 |
Risky |
Industrial Average |
1.15 |
|
Times Interest Earned |
4.84 |
Impressive |
Industrial Average |
2.60 |
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 4.85 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 0.56 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 Downtrend
Times Interest Earned Uptrend
ACTIVITY RATIO
|
Fixed Assets Turnover |
3.57 |
Satisfactory |
Industrial Average |
3.99 |
|
Total Assets Turnover |
1.86 |
Satisfactory |
Industrial Average |
2.09 |
|
Inventory Conversion Period |
47.50 |
|
|
|
|
Inventory Turnover |
7.68 |
Impressive |
Industrial Average |
3.41 |
|
Receivables Conversion Period |
44.84 |
|
|
|
|
Receivables Turnover |
8.14 |
Impressive |
Industrial Average |
4.72 |
|
Payables Conversion Period |
68.54 |
|
|
|
Trend of the average competitors in the same industry for last 5 years
Fixed Assets Turnover Uptrend
Total Assets Turnover Uptrend
Inventory Turnover Downtrend
Receivables Turnover Downtrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.54.44 |
|
|
1 |
Rs.87.00 |
|
Euro |
1 |
Rs.69.47 |
INFORMATION DETAILS
|
Report
Prepared by : |
SDA |
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.