MIRA
INFORM REPORT
|
Report Date : |
13.04.2013 |
IDENTIFICATION DETAILS
|
Name : |
VICHAI TRADING REGISTERED ORDINARY PARTNERSHIP |
|
|
|
|
Registered Office : |
573/2 Soi Ramkhamhaeng 39 [Thepleela], Racha-Uthit
Road, Wangthonglang,
Bangkok 10310 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2011 |
|
|
|
|
Date of Incorporation : |
31.07.1953 |
|
|
|
|
Com. Reg. No.: |
0102496002555 |
|
|
|
|
Legal Form : |
Registered Ordinary Partnership |
|
|
|
|
Line of Business : |
Distributor and Services of Electronics Goods |
|
|
|
|
No. of Employees : |
19 |
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 : |
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 – 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 |
|
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
VICHAI TRADING REGISTERED ORDINARY PARTNERSHIP
SUMMARY
BUSINESS
ADDRESS : 573/2
SOI RAMKHAMHAENG 39 [THEPLEELA],
RACHA-UTHIT ROAD,
WANGTHONGLANG,
BANGKOK 10310,
THAILAND
TELEPHONE : [66] 2559-0956-8
FAX
: [66] 2559-0959
E-MAIL
ADDRESS : rictorco@truemail.com
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1953
REGISTRATION
NO. : 0102496002555 [Former : 2500]
TAX
ID NO. : 3103002674
CAPITAL REGISTERED : BHT. 2,000,000
CAPITAL PAID-UP : BHT.
2,000,000
PARTNER’S
PROPORTION : THAI : 100%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : REGISTERED ORDINARY
PARTNERSHIP
EXECUTIVE : MR. SUTHICHAI SOPCHOKCHAI,
THAI
MANAGING PARTNER
NO.
OF STAFF : 19
LINES
OF BUSINESS : ELECTRONICS GOODS
DISTRIBUTOR AND
SERVICES
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 July 31,
1953 as an
ordinary partnership under
the name style
VICHAI TRADING REGISTERED
ORDINARY PARTNERSHIP, in
order to supply product
and provide service
various kinds of
electronics equipment to
domestic market. It
currently employs 19 staff.
The subject’s registered
address is 573/2
Soi Ramkhamhaeng 39
[Thepleela], Pracha-uthit Rd.,
Wangthonglang, Bangkok 10310,
and this is
the subject’s current
operation address.
AUTHORIZED PERSON
Mr. Suthichai Sopchokchai
signs on behalf
of the subject
with seal affixed.
He also bears
full financial responsibility by
law.
MANAGEMENT
Mr. Suthichai Sopchokchai
is the Managing
Partner.
He is Thai
nationality with the
age of 49 years
old.
He is the
second generation, who
is currently run
the business.
BUSINESS OPERATIONS
The subject’s core
business is engaged in
importing and distributing
various kinds of electronics equipment for
light and sound
systems as follows:
Product Brand
Louspeaker “APART”
Volume Control “APART”
Microphone “APART”
Cables/ Transformers “APART”
Conference System “BEYERDYNAMIC”
Music Performance “BEYERDYNAMIC”
Broadcast, Studio, Video “BEYERDYNAMIC”
Consumer Products “BEYERDYNAMIC”
Aviation Equipment “BEYERDYNAMIC”
HFO Interfacing “CANARE”
Optical Products “CANARE”
Connectors/ Cable Reels “CANARE”
Cables/ Patch Bays “CANARE”
Snake System/ Tools “CANARE”
Audio Processing System “LECTROSONICS”
Professional Loudspeaker System “MARTIN”
Audio/ Video/ Lighting “NEUTRIK”
Data Connector “NEUTRIK”
Audio Accessories “REAN”
Mixer Amplifiers “ROLLS”
Power Amplifiers “ROLLS”
Signal Sound “ROLLS”
Wireless System “SABINE”
Wireless Accessories “SABINE”
Subject also provides light, sound,
AV systems and
vision systems design
and installation, as
well as MATV and
CCTV systems.
PURCHASE
Most of the products
are imported from
U.S.A., Germany, United Kingdom, Switzerland, Republic
of China, Malaysia,
Singapore, Taiwan and
Japan, the remaining
is purchased from
local suppliers.
MAJOR SUPPLIERS
Beyerdynamic
GmbH. : Germany
Canare
Corporation : U.S.A.
Neutrik
Inc. : U.S.A.
Rolls
Corporation : U.S.A.
Sabine
Inc. : U.S.A.
SALES
100% of the
products are sold
and serviced locally
to dealers, retailers
and end-users, such as
hotel, hospital and
others both private
and government sectors.
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.
Kasikornbank Public Co.,
Ltd.
EMPLOYMENT
The
subject employs 19
staff.
LOCATION DETAILS
The
premise is owned
for administrative office
and showroom at
the heading address.
Premise is located
in commercial/residential area.
COMMENT
The
company has been
established in 1953
by Mr. Suthichai
Sopchokchai’s parents, whose names
were not disclosed. Its business is
engaged in providing
high-end electronic goods to
local market. Subject posted
its sales revenue
in 2011 at
moderate level.
However,
current positive factors,
such as baht
excessively appreciating has
benefit to subject
in term of import goods
at lower prices.
FINANCIAL INFORMATION
The
capital was registered
at Bht. 2,000,000
which was carried
by 2 person
as followed:
Name Age Amount
Mr. Suthichai Sopchokchai [49] Bht.
1,750,000 [Unlimited Partner]
Mrs. Nopharat Sopchokchai [49] Bht.
250,000
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Mr. Preecha Bunyakita No.
3890
Note:
The 2012 financial
statement was not
available during investigation.
BALANCE SHEET [BAHT]
The latest financial figures published
as at December
31, 2011, 2010
& 2009 were:
ASSETS
|
Current Assets |
2011 |
2010 |
2009 |
|
|
|
|
|
|
Cash and Cash Equivalents |
57,509.40 |
28,306.15 |
70,182.42 |
|
Trade Accounts Receivable
|
19,036,017.76 |
16,287,459.76 |
15,024,136.30 |
|
Inventories |
21,889,758.00 |
14,097,004.17 |
17,190,650.00 |
|
Other Current Assets
|
70,940.45 |
111,567.29 |
1,255.17 |
|
|
|
|
|
|
Total Current Assets
|
41,054,225.61 |
30,524,337.37 |
32,286,223.89 |
|
Loan to Partner |
- |
- |
1,390,000.00 |
|
Fixed Assets |
10,475,910.90 |
8,604,986.00 |
3,621,111.13 |
|
Other Non – current Assets |
782,108.58 |
777,641.29 |
734,372.99 |
|
Total Assets |
52,312,245.09 |
39,906,964.66 |
38,031,708.01 |
LIABILITIES &
SHAREHOLDERS’ EQUITY [BAHT]
|
Current
Liabilities |
2011 |
2010 |
2009 |
|
|
|
|
|
|
Bank Overdraft & Short-term Loan From Financial Institutions |
7,830,595.50 |
412,275.72 |
4,747,468.11 |
|
Trade Accounts Payable
|
21,118,990.97 |
19,809,491.84 |
14,793,097.09 |
|
Other Current Liabilities |
238,710.17 |
709,866.97 |
167,076.17 |
|
|
|
|
|
|
Total Current Liabilities |
29,188,296.64 |
20,931,634.53 |
19,707,641.37 |
|
Long-term Loan from Financial Institutions |
2,981,282.19 |
3,803.63 |
1,084,047.63 |
|
Total Liabilities |
32,169,578.83 |
20,935,438.16 |
20,791,689.00 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Capital Paid |
2,000,000.00 |
2,000,000.00 |
2,000,000.00 |
|
Retained Earning Unappropriated |
18,142,666.26 |
16,971,526.50 |
15,240,019.01 |
|
Total Shareholders' Equity |
20,142,666.26 |
18,971,526.50 |
17,240,019.01 |
|
Total Liabilities &
Shareholders' Equity |
52,312,245.09 |
39,906,964.66 |
38,031,708.01 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
2011 |
2010 |
2009 |
|
|
|
|
|
|
Sales Income |
59,531,308.17 |
63,278,585.45 |
59,889,134.96 |
|
Service Income |
1,736,866.80 |
2,136,559.29 |
- |
|
Rental Income |
97,105.62 |
171,933.18 |
- |
|
Gain on Disposal of Assets |
635,513.02 |
473,467.07 |
- |
|
Other Income |
58,989.83 |
144,285.11 |
34,750.75 |
|
Total Revenues |
62,059,783.44 |
66,204,830.10 |
59,923,885.71 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold |
48,682,274.05 |
53,535,382.43 |
47,017,080.46 |
|
Administrative Expenses |
9,643,741.03 |
8,534,882.03 |
9,354,963.86 |
|
Other Expenses |
1,841,956.61 |
1,661,257.40 |
1,669,924.50 |
|
Total Expenses |
60,167,971.69 |
63,731,521.86 |
58,041,968.82 |
|
|
|
|
|
|
Profit / [Loss] before Financial Cost & Income
Tax |
1,891,811.75 |
2,473,308.24 |
1,881,916.89 |
|
Financial Costs |
[334,299.79] |
[188,831.66] |
[323,586.39] |
|
Profit / [Loss] before Income
Tax |
1,557,511.96 |
2,284,476.58 |
1,558,330.50 |
|
Income Tax |
[386,372.20] |
[552,969.09] |
[441,192.82] |
|
|
|
|
|
|
Net Profit / [Loss] |
1,171,139.76 |
1,731,507.49 |
1,117,137.68 |
|
Retained Earning,
Beginning of Year |
16,971,526.50 |
15,240,019.01 |
14,122,881.33 |
|
|
|
|
|
|
Retained Earning, End
of Year |
18,142,666.26 |
16,971,526.50 |
15,240,019.01 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2011 |
2010 |
2009 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
1.41 |
1.46 |
1.64 |
|
QUICK RATIO |
TIMES |
0.65 |
0.78 |
0.77 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
5.86 |
7.62 |
16.54 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.17 |
1.64 |
1.57 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
164.12 |
96.11 |
133.45 |
|
INVENTORY TURNOVER |
TIMES |
2.22 |
3.80 |
2.74 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
113.23 |
90.64 |
91.57 |
|
RECEIVABLES TURNOVER |
TIMES |
3.22 |
4.03 |
3.99 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
158.34 |
135.06 |
114.84 |
|
CASH CONVERSION CYCLE |
DAYS |
119.00 |
51.69 |
110.18 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
79.33 |
81.62 |
78.51 |
|
SELLING & ADMINISTRATION |
% |
15.72 |
13.01 |
15.62 |
|
INTEREST |
% |
0.54 |
0.29 |
0.54 |
|
GROSS PROFIT MARGIN |
% |
21.80 |
19.32 |
21.55 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
3.08 |
3.77 |
3.14 |
|
NET PROFIT MARGIN |
% |
1.91 |
2.64 |
1.87 |
|
RETURN ON EQUITY |
% |
5.81 |
9.13 |
6.48 |
|
RETURN ON ASSET |
% |
2.24 |
4.34 |
2.94 |
|
EARNING PER SHARE |
BAHT |
58.56 |
86.58 |
55.86 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.61 |
0.52 |
0.55 |
|
DEBT TO EQUITY RATIO |
TIMES |
1.60 |
1.10 |
1.21 |
|
TIME INTEREST EARNED |
TIMES |
5.66 |
13.10 |
5.82 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
(6.44) |
9.51 |
|
|
OPERATING PROFIT |
% |
(23.51) |
31.42 |
|
|
NET PROFIT |
% |
(32.36) |
54.99 |
|
|
FIXED ASSETS |
% |
21.74 |
137.63 |
|
|
TOTAL ASSETS |
% |
31.09 |
4.93 |
|
ANNUAL GROWTH :
ACCEPTABLE
An annual sales growth is -6.44%. Turnover has decreased from THB
65,587,077.92 in 2010 to THB 61,365,280.59 in 2011. While net profit has
decreased from THB 1,731,507.49 in 2010 to THB 1,171,139.76 in 2011. And total assets
has increased from THB 39,906,964.66 in 2010 to THB 52,312,245.09 in 2011.
PROFITABILITY :
SATISFACTORY
PROFITABILITY
RATIO
|
Gross Profit Margin |
21.80 |
Impressive |
Industrial
Average |
14.70 |
|
Net Profit Margin |
1.91 |
Impressive |
Industrial
Average |
1.40 |
|
Return on Assets |
2.24 |
Acceptable |
Industrial
Average |
3.07 |
|
Return on Equity |
5.81 |
Acceptable |
Industrial
Average |
8.28 |
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 21.8%. When compared with the industry average, the
ratio of the company was higher, 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 1.91%, higher figure
when 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. When compared with the
industry average, it was lower, the company's figure is 2.24%.
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 5.81%.
Trend of the
average competitors in the same industry for last 5 years
Return on Assets Uptrend
Return on Equity Downtrend
LIQUIDITY : RISKY
LIQUIDITY RATIO
|
Current Ratio |
1.41 |
Satisfactory |
Industrial
Average |
1.51 |
|
Quick Ratio |
0.65 |
|
|
|
|
Cash Conversion Cycle |
119.00 |
|
|
|
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 1.41 times in 2011, decreased from 1.46 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 0.65 times in 2011,
decreased from 0.78 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 120 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE :
IMPRESSIVE
LEVERAGE RATIO
|
Debt Ratio |
0.61 |
Impressive |
Industrial
Average |
0.63 |
|
Debt to Equity Ratio |
1.60 |
Acceptable |
Industrial
Average |
1.67 |
|
Times Interest Earned |
5.66 |
Impressive |
Industrial
Average |
3.28 |
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 5.66 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 0.61 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 :
ACCEPTABLE
ACTIVITY RATIO
|
Fixed Assets Turnover |
5.86 |
Acceptable |
Industrial
Average |
11.17 |
|
Total Assets Turnover |
1.17 |
Acceptable |
Industrial
Average |
2.18 |
|
Inventory Conversion Period |
164.12 |
|
|
|
|
Inventory Turnover |
2.22 |
Deteriorated |
Industrial
Average |
4.99 |
|
Receivables Conversion Period |
113.23 |
|
|
|
|
Receivables Turnover |
3.22 |
Acceptable |
Industrial
Average |
4.65 |
|
Payables Conversion Period |
158.34 |
|
|
|
The company's Account Receivable Ratio is calculated as 3.22 and 4.03 in
2011 and 2010 respectively. This ratio measures the efficiency of the company in
managing its trade debtors to generate revenue. A lower ratio may indicate over
extension and collection problems. Conversely, a higher ratio may indicate an
overtly stringent policy. In this case, the company's A/R ratio in 2011
decreased from 2010. This would suggest the company had deteriorated in the
management of its debt collections.
Inventory Turnover in Days Ratio indicates the liquidity of inventory.
It estimates the number of days that it will take to sell the current
inventory. Inventory is particularly sensitive to change in business
activities. The inventory turnover in days has increased from 96 days at the
end of 2010 to 164 days at the end of 2011. This represents a negative trend.
And Inventory turnover has decreased from 3.8 times in year 2010 to 2.22 times
in year 2011.
The company's Total Asset Turnover is calculated as 1.17 times and 1.64
times in 2011 and 2010 respectively. This ratio is determined by dividing total
assets into total sales turnover. The ratio measures the activity of the assets
and the ability of the firm to generate sales through the use of the assets.
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.54.44 |
|
|
1 |
Rs.83.77 |
|
Euro |
1 |
Rs.71.33 |
INFORMATION DETAILS
|
Report
Prepared by : |
PRL |
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 |
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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.