MIRA INFORM REPORT
|
Report Date : |
19.10.2012 |
IDENTIFICATION DETAILS
|
Name : |
FASHION
FOOD COMPANY LIMITED |
|
|
|
|
Registered Office : |
105/4 Moo 6, Petchkasem Road, T. Klongmai, A. Sampran, Nakornpathom 73110 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2011 |
|
|
|
|
Date of Incorporation : |
26.12.1988 |
|
|
|
|
Com. Reg. No.: |
0735531000808 |
|
|
|
|
Legal Form : |
Private
Limited Company |
|
|
|
|
Line of Business : |
Manufacturer, distributor
and exporter of Food and
snacks |
|
|
|
|
No. of Employees : |
800 employees |
RATING & COMMENTS
|
MIRA’s Rating : |
B |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively below
average. |
Small |
|
Status : |
Moderate |
|
Payment Behaviour : |
Slow |
|
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 (31.03.2012) |
Current Rating (30.06.2012) |
|
Thailand |
B1 |
B1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
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
FASHION FOOD COMPANY LIMITED
SUMMARY
BUSINESS
ADDRESS : 105/4
MOO 6, PETCHKASEM
ROAD, T. KLONGMAI,
A. SAMPRAN,
NAKORNPATHOM 73110
TELEPHONE : [66] 34
324-777, 34 324-473-6
FAX :
[66] 34
321-195
E-MAIL
ADDRESS : server@fashionfoodthailand.com
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1988
REGISTRATION
NO. : 0735531000808
TAX
ID NO. : 3701004759
CAPITAL REGISTERED : BHT. 210,000,000
CAPITAL PAID-UP : BHT.
210,000,000
SHAREHOLDER’S PROPORTION : THAI : 100 %
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR.
THIRAKIT SATHIRAKUL, THAI
MANAGING DIRECTOR
NO.
OF STAFF : 800
LINES
OF BUSINESS : FOOD
AND SNACKS
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 December 26, 1988
as private limited
company under the
name style FASHION
FOOD COMPANY LIMITED
by Thai groups,
with the business
objective to manufacture
food and snacks
to both local
and overseas markets.
It currently employs
approximate 800 staff.
The
subject’s products have
been certified as Halal by
the Islamic Council
of Thailand. It was
also certified Hazard Analysis
Critical Control Point
System [HACCP] and
Good Manufacturing Practice
[GMP], which assure
all consumer groups
that the subject
is a leader
in hygiene and food
safety standards.
The
subject’s registered address
is 105/4 Moo
6, Petchkasem Rd.,
T. Klongmai,
A.
Sampran, Nakornpathom 73110,
and this is
the subject’s current
operation address.
THE BOARD OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Thirakit Sathirakul |
[x] |
Thai |
59 |
|
Mr. Ong-arj Praepanitchai |
[x] |
Thai |
61 |
|
Ms. Jintana Pongsri |
[x] |
Thai |
48 |
|
Mr. Surasak Pongsri |
|
Thai |
43 |
|
Ms. Kritiya Yingnuanchan |
|
Thai |
57 |
AUTHORIZED PERSON
Two of the
above directors [x]
can jointly sign
on behalf of
the subject with
company’s affixed.
MANAGEMENT
Mr. Thirakit Sathirakul is
the Managing Director.
He is Thai
nationality with the
age of 59 years old.
Mr. Jirachote Sathirakul
is the Sales
& Marketing Manager.
He is Thai
nationality.
Mr. Rungroj Sathirakul
is the Factory
Manager.
He is Thai
nationality.
BUSINESS OPERATIONS
The subject is
engaged in manufacturing, exporting
and distributing wide
range of food
and snacks as the
followings:
|
Products |
Brands |
|
|
|
|
Potato Chip |
“BOMB” |
|
Instant Noodles |
“FF” |
|
Bowl Instant Noodles |
“FF” |
|
Crackers |
“FF” |
|
Instant Rice Soup |
“FF” |
|
Bakery/Cookie |
“YES” |
PURCHASE
80% of raw material
and food ingredient
are purchased from
local suppliers, the
remaining 20% is
imported from Republic
of China, Malaysia
and India.
EXPORT [COUNTRIES]
70% of the
products is exported
to United States
of America, Canada, Europe,
United Kingdom, Australia,
Taiwan, Hong Kong, Singapore,
Malaysia, Myanmar,
Laos, Cambodia, Vietnam,
Indonesia, India, Dubai
and other Middle
East country.
SALES
30% of the
products is sold
locally to wholesalers
mainly supermarket and
convenience store nationwide.
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
for the past
two years.
CREDIT
Sales are by
cash.
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
T/T.
BANKING
Bangkok Bank Public
Co., Ltd.
EMPLOYMENT
The subject employs approximately
800 staff, comprising
300 permanent staff & workers and
500 temporary workers.
LOCATION
DETAILS
The
premise is owned
for administrative office,
factory I and warehouse
at the heading
address. Premise is
located on the
outskirts of Bangkok.
Factory
II is located
at 105/5 Moo
6, Petchkasem Rd.,
T. Klongmai, A. Sampran, Nakornpathom
73110.
COMMENT
Subject
was formed in
1988 as a
manufacturer, distributor and
exporter of food
and snack products.
It has an expanding
export market throughout
the world and are widely
recognized for their popularity
and quality. The
products are mainly
served international markets,
which sales were
strong in the past
several years.
FINANCIAL INFORMATION
The
capital was initially
registered at Bht.
32,000,000 divided into
320,000 shares of
Bht. 100 each.
The
capital was increased
later as the
followings:
Bht.
70,000,000 on February
8, 1993
Bht.
140,000,000 on July 12,
2005
Bht.
210,000,000 on February
9, 2006
The
latest registered capital
was increased to
Bht. 210,000,000 divided
into 2,100,000 shares of
Bht. 100 each
with fully paid.
THE
SHAREHOLDERS LISTED WERE
: [as at
April 28, 2012]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Ong-arj Praepanitchai Nationality: Thai Address : 92
Ratchaprarop Rd., Phyathai, Bangkok |
368,617 |
17.55 |
|
Mr. Surasak Pongsri Nationality: Thai Address : 414/57
Buddhamonthon Sai 2,
Bangkae, Bangkok |
226,330 |
10.78 |
|
Ms. Kritiya Yingnuanchan Nationality: Thai Address : 100 Soi Sukorn,
Trimitr Rd., Taladnoi,
Samphantawong, Bangkok |
201,064 |
9.58 |
|
Mr. Rungroj Sathirakul Nationality: Thai Address : 337
Soi Akarnsongkroh, Thungwatdorn,
Sathorn, Bangkok |
129,787 |
6.18 |
|
Mr. Jirachote Sathirakul Nationality: Thai Address : 337
Soi Akarnsongkroh, Thungwatdorn,
Sathorn, Bangkok |
128,723 |
6.13 |
|
Mr. Choolarp Sathirakul Nationality: Thai Address : 337
Soi Akarnsongkroh, Thungwatdorn,
Sathorn, Bangkok |
128,723 |
6.13 |
|
Ms. Ruangsiri Sathirakul Nationality: Thai Address : 337
Soi Akarnsongkroh, Thungwatdorn,
Sathorn, Bangkok |
128,723 |
6.13 |
|
Mr. Boonchai Lohsawatdikul Nationality: Thai Address : 70/28
Mooban Pongpetch,
Ngamwongwan Rd., Thungsonghong,
Bangkhen, Bangkok |
89,362 |
4.25 |
|
Mr. Lek Kittikhuncharoen Nationality: Thai Address : 42/15
Moo 2, Petchkasem
Rd., T. Omyai,
A. Sampran,
Nakornpathom |
89,362 |
4.25 |
|
Others |
609,309 |
29.02 |
Total Shareholders : 22
Share Structure [as
at April 28,
2012]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
22 |
2,100,000 |
100.00 |
|
Foreign |
- |
- |
- |
|
Total |
22 |
2,100,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Mr. Jarin Limpachote
No. 1983
BALANCE SHEET [BAHT]
The latest financial figures published for December 31, 2011 & 2010 were:
ASSETS
|
Current Assets |
2011 |
2010 |
|
|
|
|
|
Cash and Cash Equivalents |
8,067,548.15 |
9,449,834.46 |
|
Trade Accounts &
Notes Receivable |
149,237,884.88 |
91,233,997.81 |
|
Inventories |
113,841,948.66 |
61,395,499.68 |
|
Other Current Assets
|
20,316,305.19 |
15,038,027.55 |
|
|
|
|
|
Total Current Assets
|
291,463,686.88 |
177,117,359.50 |
|
|
|
|
|
Fixed Assets |
299,581,331.00 |
244,235,850.14 |
|
Other Non-current Assets |
3,961,425.22 |
4,736,719.00 |
|
Total Assets |
595,006,443.10 |
426,089,928.64 |
LIABILITIES &
SHAREHOLDERS’ EQUITY [BAHT]
|
Current
Liabilities |
2011 |
2010 |
|
|
|
|
|
Bank Overdraft from Financial Institutions |
272,632,056.73 |
190,961,938.80 |
|
Trade Accounts Payable |
170,684,560.54 |
94,526,912.25 |
|
Current Portion of Long-term
Loans |
- |
4,152,011.21 |
|
Other Current Liabilities |
17,835,695.43 |
13,997,543.20 |
|
|
|
|
|
Total Current Liabilities |
461,152,312.70 |
303,638,405.46 |
|
|
|
|
|
Long-term Loan from Person or Related Company |
55,409,900.00 |
48,940,400.00 |
|
Total Liabilities |
516,562,212.70 |
352,578,805.46 |
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
Share capital : Baht 100
value authorized, issued
and fully paid share
capital 2,100,000 shares |
210,000,000.00 |
210,000,000.00 |
|
|
|
|
|
Capital Paid |
210,000,000.00 |
210,000,000.00 |
|
Surplus on Revaluation
of Assets |
45,853,205.00 |
45,853,205.00 |
|
Retained Earning - Unappropriated |
[177,408,974.60] |
[182,342,081.82] |
|
Total Shareholders' Equity |
78,444,230.40 |
73,511,123.18 |
|
Total Liabilities & Shareholders' Equity |
595,006,443.10 |
426,089,928.64 |
PROFIT & LOSS
ACCOUNT
|
Sale |
2011 |
2010 |
|
|
|
|
|
Sales |
977,923,253.49 |
700,448,122.27 |
|
Other Income |
4,607,658.71 |
2,816,757.06 |
|
Total Sales |
982,530,912.20 |
703,264,879.33 |
|
Expenses |
|
|
|
|
|
|
|
Cost of Goods
Sold |
804,137,305.27 |
551,861,223.60 |
|
Selling and Administrative Expenses |
162,876,404.57 |
135,668,006.23 |
|
Total Expenses |
967,013,709.84 |
687,529,229.83 |
|
|
|
|
|
Profit before Financial Costs & Income Tax |
15,517,202.36 |
15,735,649.50 |
|
Financial Costs |
[10,584,095.14] |
[7,598,832.31] |
|
|
|
|
|
Net Profit / [Loss] |
4,933,107.22 |
8,136,817.19 |
|
Retained Earning [deficit], Beginning of Year |
[182,342,081.82] |
[190,478,899.01] |
|
Retained Earning [deficit],
End of Year |
[177,408,974.60] |
[182,342,081.82] |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2011 |
2010 |
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
CURRENT RATIO |
TIMES |
0.63 |
0.58 |
|
QUICK RATIO |
TIMES |
0.34 |
0.33 |
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
3.26 |
2.87 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.64 |
1.64 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
51.67 |
40.61 |
|
INVENTORY TURNOVER |
TIMES |
7.06 |
8.99 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
55.70 |
47.54 |
|
RECEIVABLES TURNOVER |
TIMES |
6.55 |
7.68 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
77.47 |
62.52 |
|
CASH CONVERSION CYCLE |
DAYS |
29.90 |
25.63 |
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
COST OF GOODS SOLD |
% |
82.23 |
78.79 |
|
SELLING & ADMINISTRATION |
% |
16.66 |
19.37 |
|
INTEREST |
% |
1.08 |
1.08 |
|
GROSS PROFIT MARGIN |
% |
18.24 |
21.62 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
1.59 |
2.25 |
|
NET PROFIT MARGIN |
% |
0.50 |
1.16 |
|
RETURN ON EQUITY |
% |
6.29 |
11.07 |
|
RETURN ON ASSET |
% |
0.83 |
1.91 |
|
EARNING PER SHARE |
BAHT |
2.35 |
3.87 |
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
DEBT RATIO |
TIMES |
0.87 |
0.83 |
|
DEBT TO EQUITY RATIO |
TIMES |
6.59 |
4.80 |
|
TIME INTEREST EARNED |
TIMES |
1.47 |
2.07 |
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
SALES GROWTH |
% |
39.61 |
|
|
OPERATING PROFIT |
% |
(1.39) |
|
|
NET PROFIT |
% |
(39.37) |
|
|
FIXED ASSETS |
% |
22.66 |
|
|
TOTAL ASSETS |
% |
39.64 |
|
PROFITABILITY
RATIO
|
Gross Profit Margin |
18.24 |
Impressive |
Industrial
Average |
13.79 |
|
Net Profit Margin |
0.50 |
Deteriorated |
Industrial
Average |
2.59 |
|
Return on Assets |
0.83 |
Deteriorated |
Industrial
Average |
5.15 |
|
Return on Equity |
6.29 |
Deteriorated |
Industrial
Average |
13.01 |
Gross Profit Margin used to assess a firm's financial health by revealing
the proportion of money left over from sales 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 18.24%. 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 0.5%. 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 0.83%.
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 6.29%.
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 |
0.63 |
Risky |
Industrial
Average |
1.16 |
|
Quick Ratio |
0.34 |
|
|
|
|
Cash Conversion Cycle |
29.90 |
|
|
|
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 0.63 times in 2011, increased from 0.58 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 0.34 times in 2011,
increased from 0.33 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 30 days.
Trend of the average
competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE RATIO
|
Debt Ratio |
0.87 |
Acceptable |
Industrial
Average |
0.56 |
|
Debt to Equity Ratio |
6.59 |
Risky |
Industrial
Average |
1.41 |
|
Times Interest Earned |
1.47 |
Deteriorated |
Industrial
Average |
3.49 |
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 1.47 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 0.87 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 |
3.26 |
Satisfactory |
Industrial
Average |
3.42 |
|
Total Assets Turnover |
1.64 |
Satisfactory |
Industrial
Average |
1.98 |
|
Inventory Conversion Period |
51.67 |
|
|
|
|
Inventory Turnover |
7.06 |
Impressive |
Industrial
Average |
6.93 |
|
Receivables Conversion Period |
55.70 |
|
|
|
|
Receivables Turnover |
6.55 |
Impressive |
Industrial
Average |
5.28 |
|
Payables Conversion Period |
77.47 |
|
|
|
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.52.96 |
|
UK Pound |
1 |
Rs.85.45 |
|
Euro |
1 |
Rs.69.46 |
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.