MIRA INFORM REPORT
|
Report Date : |
01.08.2013 |
IDENTIFICATION DETAILS
|
Name : |
SCG TRADING CO., LTD. |
|
|
|
|
Formerly Known As : |
SCT CO., LTD |
|
|
|
|
Registered Office : |
1 Siam Cement
Road, Bangsue, Bangkok 10800 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2012 |
|
|
|
|
Date of Incorporation : |
23.03.1962 |
|
|
|
|
Com. Reg. No.: |
0105505000494 [Former :
66/2505] |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Importer, Distributor &
Exporter of International
Trading Company |
|
|
|
|
No. of Employees : |
380 |
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, 2013
|
Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
|
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 achieved steady growth due largely to industrial and agriculture
exports - mostly electronics, agricultural commodities, automobiles and parts,
and processed foods. Thailand is trying to maintain growth by encouraging
domestic consumption and public investment to offset weak exports in 2012.
Unemployment, at less than 1% of the labor force, stands as one of the lowest levels
in the world, which puts upward pressure on wages in some industries. Thailand
also attracts nearly 2.5 million migrant workers from neighboring countries.
The Thai government is implementing a nation-wide 300 baht ($10) per day
minimum wage policy and deploying new tax reforms designed to lower rates on
middle-income earners. The Thai economy has weathered internal and external
economic shocks in recent years. The global economic severely cut Thailand's
exports, with most sectors experiencing double-digit drops. In 2009, the
economy contracted 2.3%. However, in 2010, Thailand's economy expanded 7.8%,
its fastest pace since 1995, as exports rebounded. In late 2011 growth was
interrupted by historic flooding in the industrial areas in Bangkok and its five
surrounding provinces, crippling the manufacturing sector. Industry recovered
from the second quarter of 2012 onward with GDP growth at 5.5% in 2012. The
government has approved flood mitigation projects worth $11.7 billion, which
were started in 2012, to prevent similar economic damage, and an additional $75
billion for infrastructure over the next seven years with a plan to start in
2013.
|
Source
: CIA |
company name
SCG TRADING CO., LTD.
[FORMER :
SCT CO., LTD.]
SUMMARY
BUSINESS ADDRESS : 1 SIAM CEMENT
ROAD, BANGSUE,
BANGKOK
10800, THAILAND
TELEPHONE : [66] 2586-1888
FAX : [66] 2587-2159,
2587-2203
E-MAIL ADDRESS : webmaster@scgtrading.com
REGISTRATION ADDRESS : SAME AS BUSINESS
ADDRESS
ESTABLISHED : 1962
REGISTRATION NO. : 0105505000494 [Former : 66/2505]
TAX ID NO. : 3101004137
CAPITAL REGISTERED : BHT.
400,000,000
CAPITAL PAID-UP : BHT.
400,000,000
SHAREHOLDER’S PROPORTION : THAI :
100%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR.
KALIN SARASIN, THAI
MANAGING DIRECTOR
NO. OF STAFF : 380
LINES OF BUSINESS : INTERNATIONAL TRADING
COMPANY
IMPORTER, DISTRIBUTOR
& EXPORTER
CORPORATE PROFILE
OPERATING TREND : STABLE
PRESENT SITUATION : OPERATING NORMALLY
REPUTATION : GOOD
WITH NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT STANDARD : MANAGEMENT
WITH GOOD PERFORMANCE
HISTORY
The subject was
initially established on
March 23, 1962
as a private
limited company under
the registered name “Construction Material Marketing Co.,
Ltd.” by a joint
venture between Siam
Cement Public Co.,
Ltd. and The
Thai Commercial Banks to
operate as a
trading company in
Thailand.
Later, the subject
has become a
wholly owned subsidiary
of the Siam Cement
Group,
then subject’s name
was changed to
SIAM CEMENT TRADING
CO., LTD. on
October 14, 1964.
On October 12,
1978 the subject’s
name was changed
again to SCT
CO., LTD., and
was finally changed
to SCG TRADING
CO., LTD., on
November 30, 2010.
In 1998, subject
was awarded the
Prime Minister’s Export
Award as the
Best Exporter.
SCT was also
the first international
trading company in
Thailand to receive
the TIS/ISO 9002
certification for quality assurance
production.
Presently, the major
shareholder is SCG
Distribution Co., Ltd.,
which is a
subsidiary of The
Siam Cement Public
Company Limited, and also a member
of SCG group
of companies. The subject
operates in 4 core
business areas: energy,
recycling, construction materials
and industrial supplies.
It currently employs
approximately 380 staff.
The subject’s registered
address is 1
Siam Cement Rd.,
Bangsue, Bangkok 10800, and
this is the
subject’s current operation
address.
THE BOARD OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Kajorndej Saengsuphan |
[x] |
Thai |
60 |
|
Mr. Kalin Sarasin |
|
Thai |
52 |
|
Mr. Pichit Maipoom |
[x] |
Thai |
57 |
|
Mr. Aree Chavalitchewinkul |
[x] |
Thai |
50 |
|
Mr. Ban Kasemsap |
[x] |
Thai |
- |
AUTHORIZED PERSON
Two of the
mentioned directors [x] can jointly
sign on behalf of
the subject with
company’s affixed.
MANAGEMENT
Mr. Kalin Sarasin
is the Managing
Director.
He is Thai
nationality with the
age of 52
years old.
Mr. Visan Uthanesuta
is the Products
Manager.
He is Thai
nationality.
Mr. Somwang Virachsilp
is the Business
Division Manager.
He is Thai
nationality.
Mr. Akaraphon Decharak
is the Overseas
Division Manager.
He is Thai
nationality.
Mr. Sarayuth Saengchan
is the Finance
& Administration Manager.
He is Thai
nationality.
BUSINESS OPERATIONS
The subject’s activity
is an international
trading company to
import, distribute and export a
variety of products
from Siam Cement
Group of Companies.
Its products are
as the followings:
Energy
Alternative Energy
Nonferrous Scrap &
Plastic Scrap
Steel Scrap
Waste Paper
Bathroom and Decoration
Cement
Ceiling and Partition
Insulation
Roofing Products
Steel
Wooden and Decorative
Products
Agro-Industry
Aluminum & Non-Ferrous
Paper & Pulp
Plastic & Chemical
Raw Material and Minerals
Oil and Gas
Food & Beverage
IMPORT [COUNTRIES]
The products are imported from
United States of
America, Australia, European
and
Asian countries, as
well as purchasing
from local suppliers.
MAJOR SUPPLIERS
Siam Cement Group
of Companies
SALES [LOCAL]
Its products are
sold to manufacturers, wholesalers,
end-users and Thai Government.
EXPORT [COUNTRIES]
The major export
products are food
products and construction
materials. Its products
are exported to
over 30 countries
worldwide, such as
Indonesia, Korea, Singapore,
Hong Kong, Laos,
U.A.E., Bangladesh, United
States of America,
Vietnam, Myanmar, Taiwan, India, Australia, Republic of China,
Malaysia, Canada, Hungary,
Russia, Cambodia,
Philippines, Brazil, Africa
and Middle East
countries.
MAJOR CUSTOMERS
SCG Trading [USA]
Inc. : United
States of America
SCG Trading [Cambodia]
Co., Ltd. : Cambodia
SCG Trading Guangzhou
Co., Ltd. : Republic of
China
SCG Trading Hong
Kong Ltd. :
Hong Kong
SCGT Malaysia Sdn. Bhd. : Malaysia
SCG Trading Philippines
Inc. : Philippines
SCG Singapore Trading
Pte. Ltd. : Singapore
SCG Trading Australia
Pty. Ltd. : Australia
SCG Trading Emirates
L.L.C. : United
Arab Emirate
PT. SCG Trading Indonesia : Indonesia
Siam Cement Myanmar
Trading Ltd. :
Myanmar
PARENT COMPANY
SCG Distribution Co.,
Ltd.
Branches office/Distribution Center:
There are currently
36 branches and
distribution centers in
25 worldwide countries.
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 30-60-90 days.
Local bills are
paid by cash
or on the
credits term of
30-60-90 days.
Imports are by
L/C at sight
or T/T.
Exports are against
L/C at sight
or T/T.
BANKING
Kasikornbank Public Co.,
Ltd.
[Head Office : 1 Kasikorn Lane,
Rajburana Rd., Rajburana,
Bangkok 10140]
The Siam Commercial
Bank Public Co., Ltd.
[Head Office : 9
Ratchadapisek Rd., Ladyao,
Jatujak, Bangkok 10900]
Export-Import Bank of
Thailand
[Head Office :
1193 Phaholyothin Rd.,
Samsennai, Phyathai, Bangkok
10400]
Bangkok Bank Public
Co., Ltd.
[Head Office : 333
Silom Rd., Silom,
Bangrak, Bangkok 10500
Citibank, NA
[Head Office : 82
North Sathorn Rd.,
Bangrak, Bangkok 10500]
EMPLOYMENT
The subject employs
approximately 380 office
and sales staff.
LOCATION DETAILS
The premise is
rented for administrative office
at the heading
address in commercial/ residential area.
Premise is shared
with Siam Cement
Group.
COMMENT
SCG Trading Co.,
Ltd. is one of Thailand’s
long established and
most prestigious international
trading companies. Formerly known
as Siam Cement Trading Co.,
Ltd., it was
established over 40
years ago to
promote the growth
of Thai industries
and the export
of Thai products to the
world market. Notable were
canned foods, frozen seafood,
garments, minerals, paper
and construction materials.
The company is
determined to provide
the highest level
of customer satisfaction,
and developing a
customer relationship and management program
to fully cater
needs and requirements
of its customers.
The subject is
considered to have a
solid business.
FINANCIAL INFORMATION
The capital was
initially registered at
Bht. 60,000,000 divided
into 600,000 shares
of Bht. 100
each.
Capital was increased
later as followings
:
Bht. 120,000,000
in April 1968
Bht. 400,000,000
on March 26,
2000
The latest registered
capital was increased
to Bht. 400,000,000
divided into 4,000,000
shares of Bht.
100 each with
fully paid.
MAIN OF SHAREHOLDERS
[as at
April 26, 2013]
|
NAME |
HOLDING |
% |
|
SCG Distribution Co.,
Ltd. Nationality: Thai Address : 1 Siam Cement
Rd., Bangsue, Bangkok |
3,998,812 |
99.97 |
|
Mrs. Pasanuch Suphanvanich Nationality: Thai Address : 26/9 Ngamwongwan
Rd., Thungsonghong, Laksi, Bangkok |
260 |
|
|
Mr. Kittiphan Hetrakul Nationality: Thai Address : 8 Sakhumvit
21 Rd., Klongtoey,
Bangkok |
228 |
=0.03 |
|
Mrs. Tanpien Chiamvichit Nationality: Thai Address : 160/29 Soi
Mooban Panya, Suanluang,
Bangkok |
195 |
|
|
Others |
505 |
|
Total Shareholders : 33
Share Structure
[as at April 26,
2013]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
33 |
4,000,000 |
100.00 |
|
Foreign |
- |
- |
- |
|
Total |
33 |
4,000,000 |
100.00 |
NAME OF AUDITOR & CERTIFIED PUBLIC ACCOUNTANT
NO.
Ms. Sureerat Thongsaeng-aroon No.
4409
BALANCE SHEET [BAHT]
The latest financial
figures published for
December 31, 2012,
2011 and 2010 were:
ASSETS
|
Current Assets |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Cash and Cash Equivalent |
19,755,729 |
22,895,336 |
29,523,484 |
|
Trade Accounts and
Other Receivable |
2,229,940,832 |
2,149,677,644 |
1,951,718,496 |
|
Short-term Lending to Related Company |
174,211,401 |
121,978,461 |
|
|
Goods for Sales |
1,649,941,495 |
1,654,811,268 |
1,522,808,537 |
|
Other Current Assets
|
182,740,965 |
112,679,002 |
189,803,244 |
|
|
|
|
|
|
Total Current Assets
|
4,256,590,422 |
4,062,041,711 |
3,790,759,441 |
|
Investment in Subsidiaries and Associated Companies |
265,523,622 |
317,495,284 |
310,590,668 |
|
Other Long-term Investment |
1,040,304 |
1,009,973 |
1,015,600 |
|
Long-term Lending to Related Company |
33,706,490 |
34,919,953 |
39,697,611 |
|
Fixed Assets |
195,721,773 |
153,478,284 |
130,378,329 |
|
Intangible Assets |
71,025,779 |
75,689,069 |
73,773,480 |
|
Deferred Income Tax
Assets |
79,304,336 |
63,875,592 |
110,950,091 |
|
Other Non-current Assets
|
108,909,570 |
47,343,684 |
49,725,044 |
|
Total Assets |
5,011,822,296 |
4,755,853,550 |
4,506,890,264 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Trade Accounts and
Other Payable |
2,923,360,601 |
2,870,377,953 |
2,139,560,884 |
|
Short-term Loan from
Related Company |
648,700,845 |
620,439,548 |
644,770,270 |
|
Accrued Income Tax |
2,608,972 |
34,278,729 |
36,639,499 |
|
Short-term Estimated
Liabilities |
3,778,193 |
4,228,667 |
- |
|
Other Current Liabilities |
24,568,866 |
22,954,848 |
431,289,943 |
|
|
|
|
|
|
Total Current Liabilities |
3,603,017,477 |
3,552,279,745 |
3,252,260,596 |
|
Deferred Income Tax
Liabilities |
- |
- |
27,908,767 |
|
Liabilities from Employee
Benefits |
43,030,056 |
30,653,771 |
9,696,453 |
|
Total Liabilities |
3,646,047,533 |
3,582,933,516 |
3,289,865,816 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized, issued
and fully paid share
capital 4,000,000 shares |
400,000,000 |
400,000,000 |
400,000,000 |
|
|
|
|
|
|
Capital Paid |
400,000,000 |
400,000,000 |
400,000,000 |
|
Premium on Share
Capital |
25,023,100 |
25,023,100 |
25,023,100 |
|
Retained Earning Appropriated for
Statutory Reserve
|
14,976,900 |
14,976,900 |
14,976,900 |
|
Unappropriated |
925,714,254 |
732,883,789 |
776,988,796 |
|
Other Components of Shareholders’ Equity |
60,509 |
36,245 |
35,652 |
|
Total Shareholders' Equity |
1,365,774,763 |
1,172,920,034 |
1,217,024,448 |
|
Total Liabilities &
Shareholders' Equity |
5,011,822,296 |
4,804,195,876 |
4,506,890,264 |
PROFIT & LOSS ACCOUNT
|
Revenue |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Sales & Service
Income |
30,524,445,557 |
28,064,635,936 |
27,943,679,431 |
|
Other Income |
235,032,247 |
134,315,487 |
167,067,339 |
|
Gain on Exchange
Rate |
139,103,752 |
304,892,537 |
372,690,648 |
|
Total Revenues |
30,898,581,556 |
28,503,843,960 |
28,483,437,418 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold & Service |
25,699,900,867 |
23,409,976,542 |
22,889,058,819 |
|
Selling Expenses |
3,721,692,622 |
3,545,542,071 |
4,216,519,526 |
|
Administrative Expenses |
1,114,806,286 |
1,016,047,113 |
856,208,964 |
|
Total Expenses |
30,536,399,775 |
27,971,565,726 |
27,961,787,309 |
|
|
|
|
|
|
Profit before Financial
Cost & Income Tax
|
362,181,781 |
532,278,234 |
521,650,109 |
|
Financial Cost |
- |
- |
[2,471,215] |
|
|
|
|
|
|
Profit before Income
Tax |
362,181,781 |
532,278,234 |
519,178,894 |
|
Income Tax |
[61,351,316] |
[154,678,376] |
[136,605,336] |
|
|
|
|
|
|
Net Profit / [Loss] |
300,830,465 |
377,599,858 |
382,573,558 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2012 |
2011 |
2010 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
1.18 |
1.14 |
1.17 |
|
QUICK RATIO |
TIMES |
0.67 |
0.65 |
0.64 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
155.96 |
182.86 |
214.33 |
|
TOTAL ASSETS TURNOVER |
TIMES |
6.09 |
5.90 |
6.20 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
23.43 |
25.80 |
24.28 |
|
INVENTORY TURNOVER |
TIMES |
15.58 |
14.15 |
15.03 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
26.66 |
27.96 |
25.49 |
|
RECEIVABLES TURNOVER |
TIMES |
13.69 |
13.06 |
14.32 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
41.52 |
44.75 |
34.12 |
|
CASH CONVERSION CYCLE |
DAYS |
8.58 |
9.01 |
15.66 |
|
|
|
|
|
|
|
PROFITABILITY RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
84.19 |
83.41 |
81.91 |
|
SELLING & ADMINISTRATION |
% |
15.84 |
16.25 |
18.15 |
|
INTEREST |
% |
- |
- |
0.01 |
|
GROSS PROFIT MARGIN |
% |
17.03 |
18.15 |
20.02 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
1.19 |
1.90 |
1.87 |
|
NET PROFIT MARGIN |
% |
0.99 |
1.35 |
1.37 |
|
RETURN ON EQUITY |
% |
22.03 |
32.19 |
31.44 |
|
RETURN ON ASSET |
% |
6.00 |
7.94 |
8.49 |
|
EARNING PER SHARE |
BAHT |
75.21 |
94.40 |
95.64 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.73 |
0.75 |
0.73 |
|
DEBT TO EQUITY RATIO |
TIMES |
2.67 |
3.05 |
2.70 |
|
TIME INTEREST EARNED |
TIMES |
- |
- |
211.09 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
8.76 |
0.43 |
|
|
OPERATING PROFIT |
% |
(31.96) |
2.04 |
|
|
NET PROFIT |
% |
(20.33) |
(1.30) |
|
|
FIXED ASSETS |
% |
27.52 |
17.72 |
|
|
TOTAL ASSETS |
% |
5.38 |
5.52 |
|
ANNUAL GROWTH : SATISFACTORY
An annual sales growth is 8.76%. Turnover has increased from THB
28,064,635,936.00 in 2011 to THB 30,524,445,557.00 in 2012. While net profit
has decreased from THB 377,599,858.00 in 2011 to THB 300,830,465.00 in 2012.
And total assets has increased from THB 4,755,853,550.00 in 2011 to THB
5,011,822,296.00 in 2012.
PROFITABILITY : SATISFACTORY
PROFITABILITY RATIO
|
Gross Profit Margin |
17.03 |
Acceptable |
Industrial Average |
31.50 |
|
Net Profit Margin |
0.99 |
Acceptable |
Industrial Average |
1.46 |
|
Return on Assets |
6.00 |
Impressive |
Industrial Average |
3.55 |
|
Return on Equity |
22.03 |
Impressive |
Industrial Average |
9.30 |
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 17.03%. When
compared with the industry average, the ratio of the company was lower. This
indicated that company may have 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 0.99%.
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. Return on Assets ratio is 6%,
higher figure when compared with those of its average competitors in the same
industry, indicated that business was an efficient profit in a dominant position within its industry.
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. Return on Equity ratio
is 22.03%, higher figure when compared with those of its average competitors in
the same industry, indicated that business was an efficient profit in a dominant position within its industry.
Trend of the average competitors in the same industry for last 5 years
Return on Assets Uptrend
Return on Equity Uptrend
LIQUIDITY : SATISFACTORY
LIQUIDITY RATIO
|
Current Ratio |
1.18 |
Satisfactory |
Industrial Average |
1.38 |
|
Quick Ratio |
0.67 |
|
|
|
|
Cash Conversion Cycle |
8.58 |
|
|
|
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 1.18 times in 2012, increased from 1.14 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 0.67 times in 2012,
increased from 0.65 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 9 days.
Trend of the average competitors in the same industry for last 5 years
Current Ratio Downtrend
LEVERAGE : RISKY
LEVERAGE RATIO
|
Debt Ratio |
0.73 |
Acceptable |
Industrial Average |
0.62 |
|
Debt to Equity Ratio |
2.67 |
Risky |
Industrial Average |
1.66 |
|
Times Interest Earned |
- |
|
Industrial Average |
0.52 |
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.
Debt Ratio shows the proportion of a company's assets which are financed
through debt. The company's figure is 0.73 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 Downtrend
ACTIVITY : EXCELLENT
ACTIVITY RATIO
|
Fixed Assets Turnover |
155.96 |
Impressive |
Industrial Average |
1.44 |
|
Total Assets Turnover |
6.09 |
Impressive |
Industrial Average |
2.40 |
|
Inventory Conversion Period |
23.43 |
|
|
|
|
Inventory Turnover |
15.58 |
Impressive |
Industrial Average |
6.08 |
|
Receivables Conversion Period |
26.66 |
|
|
|
|
Receivables Turnover |
13.69 |
Impressive |
Industrial Average |
4.25 |
|
Payables Conversion Period |
41.52 |
|
|
|
The company's Account Receivable Ratio is calculated as 13.69 and 13.06
in 2012 and 2011 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
2012 increased from 2011. This would suggest the company had good performance
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 decreased from 26 days at the end of 2011 to 23
days at the end of 2012. This represents a positive trend. And Inventory
turnover has increased from 14.15 times in year 2011 to 15.58 times in year
2012.
The company's Total Asset Turnover is calculated as 6.09 times and 5.9
times in 2012 and 2011 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 Uptrend
Inventory Turnover Uptrend
Receivables Turnover Downtrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.61.11 |
|
|
1 |
Rs.92.97 |
|
Euro |
1 |
Rs.80.93 |
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.