MIRA INFORM REPORT
|
Report Date : |
03.09.2012 |
IDENTIFICATION DETAILS
|
Name : |
K. S. PERFECTION INDUSTRIES CO., LTD. |
|
|
|
|
Formerly Known As : |
K. S. S. PERFECTION INDUSTRIES CO., LTD. |
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|
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Registered Office : |
14 Phohpanich Road, Chakkrawad, Samphantawong, Bangkok 10100 |
|
|
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Country : |
Thailand |
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|
|
|
Financials (as on) : |
30.06.2011 |
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Date of Incorporation : |
17.10.2001 |
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Com. Reg. No.: |
0105544101379 |
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Legal Form : |
Private Limited Company |
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|
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|
Line of Business : |
Manufacturer, Distributor and Exporter of Fabrics |
|
|
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No. of Employees : |
90 |
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 – March 31st, 2012
|
Country Name |
Previous Rating (31.12.2011) |
Current Rating (31.03.2012) |
|
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
K. S. PERFECTION INDUSTRIES CO., LTD.
[FORMER
: K. S. S. PERFECTION
INDUSTRIES CO., LTD.]
SUMMARY
BUSINESS
ADDRESS : 14
PHOHPANICH ROAD, CHAKKRAWAD,
SAMPHANTAWONG, BANGKOK
10100
TELEPHONE : [66] 2861-4280-6
FAX :
[66] 2861-4291,
2438-8351
E-MAIL
ADDRESS : atulgosavi@yahoo.com
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 2001
REGISTRATION
NO. : 0105544101379
CAPITAL REGISTERED : BHT. 80,000,000
CAPITAL PAID-UP : BHT.
80,000,000
SHAREHOLDER’S PROPORTION : THAI :
72.25%
INDIAN
: 27.75%
FISCAL YEAR CLOSING DATE : JUNE
30
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR. BINDERPARLSINGH MADAN,
THAI
MANAGING DIRECTOR
NO.
OF STAFF : 90
LINES
OF BUSINESS : FABRICS
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 October
17, 2001 as
a private limited
company under the originally
registered name “K. S. S.
Perfection Industries Co., Ltd.” by
Thai and Indian groups. On September 19, 2011, its
registered name was changed to K. S.
PERFECTION INDUSTRIES CO.,
LTD. Its business
objective is to
manufacture and distribute
various kinds of fabrics to
both domestic and
international markets. It currently
employs approximate 90
staff.
The
subject’s registered address
is 14 Phohpanich
Rd., Chakkrawad, Samphantawong, Bangkok
10100, and this
is the subject’s
current operation address.
THE BOARD OF
DIRECTOR
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Binderparlsingh Madan |
|
Thai |
51 |
|
Mr. Kamolthip Madan |
|
Thai |
38 |
AUTHORIZED PERSON
One of the
above directors can
sign on behalf
of the subject
with company’s affixed.
MANAGEMENT
Mr. Binderparlsingh Madan is
the Managing Director.
He is Thai
nationality with the
age of 51 years
old.
BUSINESS OPERATIONS
The subject
is engaged in
manufacturing and servicing
various kinds of
fabrics such as
embroidery fabric, lace,
yarn dyed and printed
cotton, polyester, rayon and
etc.
PURCHASE
Raw materials and machinery are
purchased from suppliers
both domestic and overseas,
mainly in India,
Republic of China,
Australia, Japan and
Germany.
MAJOR
SUPPLIER
Hammerle
GmbH. : Austria
SALES
The products are
sold and serviced
to customers both
local and overseas
in U.S.A., Hong
Kong, Singapore, Japan
and Europe.
MAJOR CUSTOMER
Marcus Brothers Textiles
Inc. : U.S.A.
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 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
T/T.
BANKING
The
banker’s name was
not disclosed.
EMPLOYMENT
The
subject employs approximately
90 staff.
LOCATION DETAILS
The
premise is owned
for administrative office
at the heading
address. Premise is
located in commercial
area.
Factory
is located at
39/89 Moo 2,
Rama 2 Rd.,
Bangkrachao, Muang, Samutsakorn
74000.
Branch:
13/2
Soi Sarapee 2,
Isaraphap Rd., Somdejchaopraya, Klongsan,
Bangkok 10600.
REMARK
MAXIMUM
CREDIT SHOULD BE
GRANTED AT US$ 700,000.
COMMENT
Overall
consumption improvement both
domestic and international
markets has potential
for consumer products
including fabrics. Demand
of garments also looks
on the rise, as well
as strong domestic
consumption is a key
to increase demand of
fabric.
FINANCIAL INFORMATION
The capital
was registered at Bht. 10,000,000
divided into 100,000 shares of
Bht. 100 each with
fully paid.
The
capital was increased
later as follows:
Bht. 40,000,000
on December 30,
2004
Bht. 80,000,000
on October 13,
2005
The
latest registered capital
was increased to Bht.
80,000,000 divided into 800,000
shares of Bht. 100
each with fully
paid.
THE SHAREHOLDERS LISTED
WERE
[as at
October 31, 2011]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Kundip Singh Nationality: Indian Address : 382/31
Sukhumvit Rd., Klongtoey,
Bangkok |
222,000 |
27.75 |
|
Mrs. Stinderparlgor Madan Nationality: Thai Address : 13/1
Soi Sarapee 2,
Isarapharp Rd., Somdejchaopraya, Klongsan,
Bangkok |
172,800 |
21.60 |
|
Mr. Binderparlsingh Madan Nationality: Thai Address : 13/1
Soi Sarapee 2,
Isarapharp Rd.,
Somdejchaopraya, Klongsan, Bangkok |
168,000 |
21.00 |
|
Mrs. Paveena Madan Nationality: Thai Address : 70/1
Sukhumvit 20 Rd.,
Klongtoey,
Bangkok |
115,200 |
14.40 |
|
Mr. Kamolthip Madan Nationality: Thai Address : 70/1
Sukhumvit 20 Rd.,
Klongtoey, Bangkok
|
112,000 |
14.00 |
|
|
|
|
|
Mr. Pisal Madan Nationality: Thai Address : 13/1
Soi Sarapee 2,
Isarapharp Rd.,
Somdejchaopraya, Klongsan, Bangkok |
10,000 |
1.25 |
Total Shareholders : 6
Share Structure [as
at October 31,
2011]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
5 |
578,000 |
72.25 |
|
Indian |
1 |
222,000 |
27.75 |
|
Total |
6 |
800,000 |
100.00 |
NAME OF
AUDITOR & CERTIFIED
PUBLIC ACCOUNTANT NO.
Mr. Vichit Thanasarnsophon
No. 7015
BALANCE SHEET [BAHT]
The
latest financial figures
published for June
30, 2011 &
2010 were:
ASSETS
|
Current Assets |
2011 |
2010 |
|
|
|
|
|
Cash and Cash Equivalent |
765,807.46 |
279,261.68 |
|
Trade Accounts Receivable |
182,910,109.82 |
97,046,028.64 |
|
Deferred Income |
39,837,302.10 |
30,851,990.00 |
|
Inventories |
73,174,441.13 |
70,023,738.67 |
|
Sale Department Receivable |
2,582,259.31 |
2,582,259.31 |
|
Other Current Assets |
5,404,061.94 |
2,886,618.52 |
|
|
|
|
|
Total Current Assets
|
304,673,981.76 |
203,669,896.82 |
|
|
|
|
|
Fixed Assets |
89,882,636.71 |
85,557,925.94 |
|
Other Assets |
279,250.00 |
279,250.00 |
|
Total Assets |
394,835,868.47 |
289,507,072.76 |
LIABILITIES &
SHAREHOLDERS’ EQUITY [BAHT]
|
Current
Liabilities |
2010 |
2009 |
|
|
|
|
|
Bank Overdraft & Short-term
Loan from Financial Institution |
79,506,460.37 |
17,114,572.48 |
|
Trade Accounts Payable |
36,942,646.99 |
40,138,326.39 |
|
Current Portion of Long-term Loans |
- |
9,884,074.11 |
|
Advanced Income from
Goods |
120,137.47 |
120,137.47 |
|
Accrued Expenses |
3,594,887.17 |
3,714,515.15 |
|
Other Current Liabilities |
1,808,827.74 |
3,407,022.23 |
|
|
|
|
|
Total Current Liabilities |
121,972,959.74 |
74,378,647.83 |
|
Long-term Loan from Person or Related Company |
191,300,000.00 |
124,400,000.00 |
|
Other Long-term Loans |
- |
10,000,000.00 |
|
Total Liabilities |
313,272,959.74 |
208,778,647.83 |
|
|
|
|
|
Shareholders’ Equity |
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized, issued
and fully paid share
capital 800,000 shares |
80,000,000.00 |
80,000,000.00 |
|
|
|
|
|
Capital Paid |
80,000,000.00 |
80,000,000.00 |
|
Retained Earning- Unappropriated |
1,562,908.73 |
728,424.93 |
|
Total Shareholders' Equity |
81,562,908.73 |
80,728,424.93 |
|
Total Liabilities & Shareholders' Equity |
394,835,868.47 |
289,507,072.76 |
PROFIT & LOSS ACCOUNT
|
Sale |
2010 |
2009 |
|
|
|
|
|
Sales Income |
160,822,613.62 |
94,310,848.87 |
|
Services Income |
26,613,780.00 |
27,351,990.00 |
|
Rental Income |
1,200,000.00 |
1,200,000.00 |
|
Gain on Exchange
Rate |
- |
1,813,575.25 |
|
Other Income |
17,729.69 |
61,027.20 |
|
Total Sales |
188,654,123.31 |
124,737,441.32 |
|
Expenses |
|
|
|
|
|
|
|
Cost of Goods
Sold |
176,480,401.21 |
118,987,193.63 |
|
Selling Expenses |
600,000.00 |
600,000.00 |
|
Administrative Expenses |
7,216,634.77 |
5,695,268.32 |
|
Total Expenses |
184,297,035.98 |
125,282,461.95 |
|
|
|
|
|
Profit / [Loss] before Financial Cost & Income Tax |
4,357,087.33 |
[545,020.63] |
|
Financial Cost |
[3,114,377.48] |
[2,284,771.40] |
|
Profit / [Loss] before Income
Tax |
1,242,709.85 |
[2,829,792.03] |
|
Income Tax |
[408,226.05] |
[386,425.49] |
|
|
|
|
|
Net Profit / [Loss] |
834,483.80 |
[3,216,217.52] |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2011 |
2010 |
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
CURRENT RATIO |
TIMES |
2.50 |
2.74 |
|
QUICK RATIO |
TIMES |
1.83 |
1.72 |
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
2.10 |
1.44 |
|
TOTAL ASSETS TURNOVER |
TIMES |
0.48 |
0.42 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
151.34 |
214.80 |
|
INVENTORY TURNOVER |
TIMES |
2.41 |
1.70 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
353.92 |
288.30 |
|
RECEIVABLES TURNOVER |
TIMES |
1.03 |
1.27 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
76.41 |
123.13 |
|
CASH CONVERSION CYCLE |
DAYS |
428.86 |
379.98 |
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
COST OF GOODS SOLD |
% |
93.56 |
96.85 |
|
SELLING & ADMINISTRATION |
% |
4.14 |
5.12 |
|
INTEREST |
% |
1.65 |
1.86 |
|
GROSS PROFIT MARGIN |
% |
6.45 |
4.68 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
2.31 |
(0.44) |
|
NET PROFIT MARGIN |
% |
0.44 |
(2.62) |
|
RETURN ON EQUITY |
% |
1.02 |
(3.98) |
|
RETURN ON ASSET |
% |
0.21 |
(1.11) |
|
EARNING PER SHARE |
BAHT |
1.04 |
(4.02) |
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
DEBT RATIO |
TIMES |
0.79 |
0.72 |
|
DEBT TO EQUITY RATIO |
TIMES |
3.84 |
2.59 |
|
TIME INTEREST EARNED |
TIMES |
1.40 |
(0.24) |
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
SALES GROWTH |
% |
53.53 |
|
|
OPERATING PROFIT |
% |
(899.44) |
|
|
NET PROFIT |
% |
125.95 |
|
|
FIXED ASSETS |
% |
5.05 |
|
|
TOTAL ASSETS |
% |
36.38 |
|
PROFITABILITY
RATIO
|
Gross Profit Margin |
6.45 |
Acceptable |
Industrial
Average |
10.01 |
|
Net Profit Margin |
0.44 |
Deteriorated |
Industrial
Average |
2.32 |
|
Return on Assets |
0.21 |
Deteriorated |
Industrial
Average |
3.32 |
|
Return on Equity |
1.02 |
Deteriorated |
Industrial
Average |
9.39 |
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 6.45%. When compared with
the industry average, the ratio of the company was lower, indicated that
company was originated from the problems with control over its costs.
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 0.44%.
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 0.21%.
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 1.02%.
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 |
2.50 |
Impressive |
Industrial
Average |
1.37 |
|
Quick Ratio |
1.83 |
|
|
|
|
Cash Conversion Cycle |
428.86 |
|
|
|
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 2.5 times in 2011, decrease from 2.74 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 1.83 times in 2011,
increase from 1.72 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 429 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE RATIO
|
Debt Ratio |
0.79 |
Acceptable |
Industrial
Average |
0.57 |
|
Debt to Equity Ratio |
3.84 |
Risky |
Industrial
Average |
1.26 |
|
Times Interest Earned |
1.40 |
Acceptable |
Industrial
Average |
2.80 |
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 1.4 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 0.79 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 |
2.10 |
Deteriorated |
Industrial
Average |
4.48 |
|
Total Assets Turnover |
0.48 |
Deteriorated |
Industrial
Average |
1.65 |
|
Inventory Conversion Period |
151.34 |
|
|
|
|
Inventory Turnover |
2.41 |
Deteriorated |
Industrial
Average |
5.21 |
|
Receivables Conversion Period |
353.92 |
|
|
|
|
Receivables Turnover |
1.03 |
Deteriorated |
Industrial
Average |
3.86 |
|
Payables Conversion Period |
76.41 |
|
|
|
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 Downtrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.55.72 |
|
UK Pound |
1 |
Rs.87.95 |
|
Euro |
1 |
Rs.69.66 |
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.