MIRA
INFORM REPORT
|
Report Date : |
27.09.2012 |
IDENTIFICATION DETAILS
|
Name : |
BRAIN
GROUP CO., LTD. |
|
|
|
|
Registered Office : |
8 Soi Bangna-Trad
25, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
31.12.2011 |
|
|
|
|
Date of Incorporation : |
17.03.1986 |
|
|
|
|
Com. Reg. No.: |
0105529009165 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Importer
and distributor of tanning chemical
and supplies |
|
|
|
|
No. of Employees : |
60 employees |
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 : |
Slow but Correct |
|
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
BRAIN GROUP CO., LTD.
SUMMARY
BUSINESS
ADDRESS : 8
SOI BANGNA-TRAD 25,
BANGNA-TRAD ROAD,
K.M. 3,
BANGNA, BANGKOK
10260
TELEPHONE : [66] 2361-8901-5,
2744-1760
FAX :
[66] 2361-8907
E-MAIL
ADDRESS : brainbkk@asiaaccess.net.th
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1986
REGISTRATION
NO. : 0105529009165 [Former : 917/ 2529]
TAX
ID NO. : 3101381375
CAPITAL REGISTERED : BHT. 37,500,000
CAPITAL PAID-UP : BHT.
37,500,000
SHAREHOLDER’S PROPORTION : THAI : 100%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR. SURACHART CHUENCHOKESANT, THAI
MANAGING DIRECTOR
NO.
OF STAFF : 60
LINES
OF BUSINESS : TANNING CHEMICAL
AND SUPPLIES
IMPORTER AND
DISTRIBUTOR
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 March 17,
1986 as a
private limited company
under the name
style BRAIN GROUP CO., LTD.,
by Thai groups,
with the business
objective to distribute
various kinds of
tanning and leather
chemicals to local market.
It currently employs approximate
60 staff.
The
subject’s registered address
was initially located
at 947/152 Moo 12, Bangna-Trad
Rd., Bangna, Bangkok
10260.
On
January 28, 2010,
its registered address
was relocated to
8 Soi Bangna-Trad
25, Bangna-Trad Rd.,
K.M. 3, Bangna, Bangkok
10260, and this
is the subject’s
current operation address.
THE BOARD OF
DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Surachart Chuenchokesant |
[x] |
Thai |
63 |
|
Mrs. Wallapa Chuenchokesant |
|
Thai |
59 |
|
Mr. Chusak Cheungtanasomboon |
|
Thai |
57 |
|
Mr. Kanin Methisariyapong |
|
Thai |
42 |
|
Mr. Sacha Chuenchokesant |
|
Thai |
32 |
AUTHORIZED PERSON
Only the mentioned director
[x] can sign on behalf of the
subject with company’s
affixed.
MANAGEMENT
Mr. Surachart Chuenchokesant is
the Managing Director.
He is Thai
nationality with the
age of 63 years
old.
BUSINESS OPERATIONS
The subject is engaged in distributing various kinds of
tanning chemicals including
pigment, solvent and
tanning supplies for
tanning industry.
PURCHASE
The products are
purchased from suppliers
and agents both
domestic and overseas,
mainly in Germany,
Netherlands, France, Taiwan, Republic of
China, India, Singapore,
South Korea and
United States of
America.
MAJOR SUPPLIERS
Shahl Asia Pacific
Pte. Ltd. : Singapore
Abhilash Chemical Pvt.
Ltd. : India
Clariant Chemical GmbH. : Germany
Orjet Dyestuffs Pvt.
Ltd. : India
Basic Chemical Co.,
Ltd. : Taiwan
SALES
80% of the
products is sold
locally by wholesale
to dealers, and
the remaining 20%
to tannery.
MAJOR CUSTOMER
Chaiyong Tannery
Co., Ltd. :
Thailand
World Imex
Co., Ltd. : Thailand
C.P.L. Group
Public Company Limited : Thailand
J.P. Tannery
Limited Partnership : Thailand
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.
BANKING
Bangkok Bank Public
Co., Ltd.
[Bangna Branch : Bangna-Trad
Rd., Bangna, Bangkok]
Krung Thai Bank
Public Co., Ltd.
Bank of Ayudhya
Public Co., Ltd.
ICBC [Thai] Public
Co., Ltd.
Kasikornbank Public Co.,
Ltd.
EMPLOYMENT
The subject employs
approximately 60 staff.
LOCATION
DETAILS
The
premise is rented
for administrative office
at the heading
address. Premise is located
in commercial/residential area.
Warehouse
: - 42 Moo 2,
Sukhumvit Rd., Taiban,
Muang, Samutprakarn.
-
83/45-49 Moo 14, Sukhumvit
Rd., Taiban, Muang,
Samutprakarn.
COMMENT
The
subject reported a
slightly decrease in
sales in 2011
compared to the previous year. However, sales and service in the year 2012
were disclosed an
increasing due to
economic improvement and
market expansion in
the second quarter
of 2012. The
subject is optimistic
for a healthy
business this year.
FINANCIAL INFORMATION
The
capital was registered
at Bht. 2,500,000
divided into 25,000
shares of Bht. 100
each.
The
capital was increased
later as following:
Bht. 5,000,000
on February
1, 1988
Bht. 7,500,000
on July 3,
1990
Bht. 12,500,000
on July
2, 1991
Bht. 25,000,000
on March 16,
1999
Bht. 37,500,000
on December 16,
2003
The
latest registered capital
was increased to
Bht. 37,500,000 divided into
375,000 shares of
Bht. 100 each
with fully paid.
THE
SHAREHOLDERS LISTED WERE
: [as at
April 30, 2012]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mrs. Wallapa Chuenchokesant Nationality: Thai Address : 157
Ramkhamhaeng 58/4 Rd.,
Huamark,
Bangkapi, Bangkok |
200,661 |
53.51 |
|
Mr. Surachart Chuenchokesant Nationality: Thai Address : 17/36
Moo 14, Bangpleeyai, Bangplee,
Samutprakarn |
78,000 |
20.80 |
|
Mr. Sacha Chuenchokesant Nationality: Thai Address : 17/36
Moo 14, Bangpleeyai, Bangplee,
Samutprakarn |
56,250 |
15.00 |
|
Mr. Chusak Cheungtanasomboon Nationality: Thai Address : 669/12
Sukhumvit 101 Rd.,
Bangna, Bangkok |
23,499 |
6.27 |
|
Mr. Virat Prasertkul Nationality: Thai Address : 68/133
Moo 8, Bangbon,
Bangkok |
11,490 |
3.06 |
|
Mr. Kanin Methisariyapong Nationality: Thai Address : 167/2 Wad Thaphra, Bangkokyai, Bangkok |
1,500 |
0.40 |
|
Mrs. Taweeporn Watanariyachart Nationality: Thai Address : 102/70
Moo 9, Bangmod,
Jomthong, Bangkok |
1,500 |
0.40 |
|
|
|
|
|
Mr. Sara Chuenchokesant Nationality: Thai Address : 947/402
Moo 12, Bangna,
Bangkok |
1,500 |
0.40 |
|
Mrs. Siriporn Phanpruek Nationality: Thai Address : 2326/58
Ramkhamhaeng Rd., Huamark,
Bangkapi, Bangkok |
600 |
0.16 |
Total Shareholders : 9
Share Structure [as
at April 30,
2012]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
9 |
375,000 |
100.00 |
|
Foreign |
- |
- |
- |
|
Total |
9 |
375,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Ms. Suchitra Pongvarin No.
5798
BALANCE SHEET [BAHT]
The
latest financial figures
published for December
31, 2011 &
2010 were:
ASSETS
|
Current Assets |
2011 |
2010 |
|
|
|
|
|
Cash and Cash Equivalents |
726,090.17 |
670,750.40 |
|
Trade Accounts &
Notes Receivable |
138,946,527.81 |
139,052,728.95 |
|
Inventories |
55,744,513.92 |
42,663,369.78 |
|
|
|
|
|
Total Current Assets
|
195,417,131.90 |
182,386,849.13 |
|
Other Long-term Investment
|
10,775,000.00 |
10,775,000.00 |
|
Long-term Loan to Person
or Related Company |
15,067,304.17 |
10,867,304.17 |
|
Fixed Assets |
24,140,470.86 |
26,817,028.16 |
|
Other Non-current Assets |
30,707.48 |
30,907.48 |
|
Total Assets |
245,430,614.41 |
230,877,088.94 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2011 |
2010 |
|
|
|
|
|
Bank Overdraft & Short-term Loan from Financial Institutions |
124,352,599.69 |
107,664,949.92 |
|
Trade Accounts &
Other Payable |
48,732,175.71 |
40,854,970.99 |
|
Current Portion of
Financial Lease Contract Liabilities |
350,996.00 |
298,512.00 |
|
Accrued Income Tax |
1,286,585.74 |
5,470,755.04 |
|
|
|
|
|
Total Current Liabilities |
174,722,367.14 |
154,289,187.95 |
|
Financial Lease Contract, Net
of Current Portion |
863,670.70 |
652,181.35 |
|
Obligation from Employee Benefit |
873,194.52 |
- |
|
Total Liabilities |
176,459,232.36 |
154,941,369.30 |
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized, issued
and fully paid share
capital 375,000 shares |
37,500,000.00 |
37,500,000.00 |
|
|
|
|
|
Capital Paid |
37,500,000.00 |
37,500,000.00 |
|
Retained Earning Appropriated for
Statutory Reserve |
1,050,000.00 |
750,000.00 |
|
Unappropriated |
30,421,382.05 |
37,685,719.64 |
|
Total Shareholders' Equity |
68,971,382.05 |
75,935,719.64 |
|
Total Liabilities & Shareholders' Equity |
245,430,614.41 |
230,877,088.94 |
PROFIT &
LOSS ACCOUNT
|
Sale |
2011 |
2010 |
|
|
|
|
|
Sales & Service Income |
278,588,978.87 |
284,113,314.38 |
|
Other Income |
1,566,487.81 |
2,822,351.59 |
|
Total Sales |
280,155,466.68 |
286,935,665.97 |
|
Expenses |
|
|
|
|
|
|
|
Cost of Goods
Sold & Service |
213,339,252.95 |
217,559,501.52 |
|
Selling Expenses |
14,258,991.02 |
14,655,201.43 |
|
Administrative Expenses |
39,876,880.12 |
42,910,548.99 |
|
Other Expenses |
1,681,117.62 |
157,195.83 |
|
Total Expenses |
269,156,241.71 |
275,282,447.77 |
|
|
|
|
|
Profit / [Loss] before Financial
Cost & Income Tax |
10,999,224.97 |
11,653,218.20 |
|
Financial Cost |
[6,532,694.03] |
[5,438,828.23] |
|
Profit / [Loss] before Income
Tax |
4,466,530.94 |
6,214,389.97 |
|
Income Tax |
[4,671,554.14] |
[6,842,547.54] |
|
|
|
|
|
Net Profit / [Loss] |
[205,023.20] |
[628,157.57] |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2011 |
2010 |
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
CURRENT RATIO |
TIMES |
1.12 |
1.18 |
|
QUICK RATIO |
TIMES |
0.80 |
0.91 |
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
11.54 |
10.59 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.14 |
1.23 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
95.37 |
71.58 |
|
INVENTORY TURNOVER |
TIMES |
3.83 |
5.10 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
182.04 |
178.64 |
|
RECEIVABLES TURNOVER |
TIMES |
2.01 |
2.04 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
83.38 |
68.54 |
|
CASH CONVERSION CYCLE |
DAYS |
194.04 |
181.67 |
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
COST OF GOODS SOLD |
% |
76.58 |
76.57 |
|
SELLING & ADMINISTRATION |
% |
19.43 |
20.26 |
|
INTEREST |
% |
2.34 |
1.91 |
|
GROSS PROFIT MARGIN |
% |
23.98 |
24.42 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
3.95 |
4.10 |
|
NET PROFIT MARGIN |
% |
(0.07) |
(0.22) |
|
RETURN ON EQUITY |
% |
(0.30) |
(0.83) |
|
RETURN ON ASSET |
% |
(0.08) |
(0.27) |
|
EARNING PER SHARE |
BAHT |
(0.55) |
(1.68) |
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
DEBT RATIO |
TIMES |
0.72 |
0.67 |
|
DEBT TO EQUITY RATIO |
TIMES |
2.56 |
2.04 |
|
TIME INTEREST EARNED |
TIMES |
1.68 |
2.14 |
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
SALES GROWTH |
% |
(1.94) |
|
|
OPERATING PROFIT |
% |
(5.61) |
|
|
NET PROFIT |
% |
67.36 |
|
|
FIXED ASSETS |
% |
(9.98) |
|
|
TOTAL ASSETS |
% |
6.30 |
|
PROFITABILITY
RATIO
|
Gross Profit Margin |
23.98 |
Impressive |
Industrial
Average |
12.07 |
|
Net Profit Margin |
(0.07) |
Deteriorated |
Industrial
Average |
1.82 |
|
Return on Assets |
(0.08) |
Deteriorated |
Industrial
Average |
4.28 |
|
Return on Equity |
(0.30) |
Deteriorated |
Industrial
Average |
11.66 |
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. Gross Profit Margin is
23.98%. 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 -0.07%.
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 -0.08%.
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 -0.3%.
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 |
1.12 |
Acceptable |
Industrial
Average |
1.50 |
|
Quick Ratio |
0.80 |
|
|
|
|
Cash Conversion Cycle |
194.04 |
|
|
|
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 1.12 times in 2011, decrease from 1.18 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 0.8 times in 2011,
decrease from 0.91 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 195 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE RATIO
|
Debt Ratio |
0.72 |
Acceptable |
Industrial
Average |
0.58 |
|
Debt to Equity Ratio |
2.56 |
Risky |
Industrial
Average |
1.51 |
|
Times Interest Earned |
1.68 |
Acceptable |
Industrial
Average |
3.36 |
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 1.69 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 0.72 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 |
11.54 |
Impressive |
Industrial
Average |
10.00 |
|
Total Assets Turnover |
1.14 |
Deteriorated |
Industrial
Average |
2.32 |
|
Inventory Conversion Period |
95.37 |
|
|
|
|
Inventory Turnover |
3.83 |
Acceptable |
Industrial
Average |
6.90 |
|
Receivables Conversion Period |
182.04 |
|
|
|
|
Receivables Turnover |
2.01 |
Deteriorated |
Industrial
Average |
4.46 |
|
Payables Conversion Period |
83.38 |
|
|
|
Trend of the
average competitors in the same industry for last 5 years
Fixed Assets Turnover Downtrend
Total Assets Turnover Downtrend
Inventory Turnover Downtrend
Receivables Turnover Uptrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.53.58 |
|
UK Pound |
1 |
Rs.86.60 |
|
Euro |
1 |
Rs.68.94 |
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.