MIRA INFORM REPORT
|
Report Date : |
03.08.2013 |
IDENTIFICATION DETAILS
|
Name : |
VISTEON [THAILAND] LIMITED |
|
|
|
|
Registered Office : |
62 Moo 4, Eastern Seaboard Industrial Estate, Pluakdaeng, Rayong 21140 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2012 |
|
|
|
|
Date of Incorporation : |
31.07.1996 |
|
|
|
|
Com. Reg. No.: |
0105539084402 [Former :
1711/2539] |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Manufacturer, Distributor
and Exporter of Automobile Parts
and Interior Parts
|
|
|
|
|
No. of Employees : |
700 |
RATING & COMMENTS
|
MIRA’s Rating : |
A |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Status : |
Good |
|
Payment Behaviour : |
Regular |
|
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
VISTEON [THAILAND]
LIMITED
SUMMARY
BUSINESS ADDRESS : 62
MOO 4, EASTERN SEABOARD INDUSTRIAL ESTATE,
PLUAKDAENG, RAYONG
21140
TELEPHONE : [66]
38 954-400
FAX : [66] 38 954-410-1
REGISTRATION ADDRESS : SAME AS BUSINESS
ADDRESS
ESTABLISHED : 1996
REGISTRATION NO. : 0105539084402 [Former : 1711/2539]
TAX ID NO. : 3201058559
CAPITAL REGISTERED : BHT. 562,000,000
CAPITAL PAID-UP : BHT. 562,000,000
SHAREHOLDER’S PROPORTION : AMERICAN :
100%
FISCAL YEAR CLOSING
DATE : DECEMBER 31
LEGAL STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR.
RAMESH RAMANATHAN, INDIAN
MANAGING DIRECTOR
NO. OF STAFF : 700
LINES OF BUSINESS : AUTOMOBILE PARTS
AND INTERIOR PARTS
MANUFACTURER, DISTRIBUTOR
AND EXPORTER
CORPORATE PROFILE
OPERATING TREND : STABLE
PRESENT SITUATION : OPERATING NORMALLY
REPUTATION : GOOD
FOR NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT STANDARD : MANAGEMENT WITH
GOOD PERFORMANCE
HISTORY
The subject was
established on July
31, 1996 as
a private limited
company under the name “Automotive
Components [Thailand] Ltd.” by
the American Groups, in order to
provide integrated modules
and components for VISTEON’s interior
and electronic system for automobile industry in Thailand. On
November 18, 1997, its
name was changed
to VISTEON [THAILAND] LIMITED.
Visteon is the
world’s second largest producer of
automotive systems and
components. It has more than
80,000 employees in 81 plants,
including 32 joint-ventures, 49 wholly-owned facilities
and 35 sales
offices, engineering and
technical centers. Visteon [Thailand]
Ltd. joins all other Visteon plants
worldwide in their
commitment to the
highest quality automotive
components supplier. The
subject currently employs approximately 700
staff.
The subject is
a subsidiary of
Visteon International Holdings,
Inc., which is a member
of Visteon Corporation
of U.S.A.
AWARDS AND CERTIFICATION
- ISO 14001 Certification – 1998
- QS 9000 Certification – 1998
- ISO/TS 16949 Certification –
2001
The subject’s registered
address is 62
Moo 4, Eastern
Seaboard Industrial Estate, Pluakdaeng, Rayong
21140, and this
is the company’s
current operation address.
THE BOARD OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Sakul Kittipeerachol |
[x] |
Thai |
48 |
|
Mr. Rames Ramanathan |
[x] |
Indian |
41 |
|
Mr. Michael Kenneth Sharnas |
|
American |
42 |
AUTHORIZED PERSON
One of the
mentioned directors [x]
signs on behalf
of the subject
with the company’s
affixed.
MANAGEMENT
Mr. Rames Ramanathan is
the Managing Director.
He is Indian
nationality with the
age of 41
years old.
Mr. Sakul Kittipeerachol is
the General Manager.
He is Thai
nationality with the
age of 48
years old.
Mr. Ramatine Barbosa is
the Commercial & Program
Management Manager.
He is American
nationality.
Mr. Thanawat Pisithvethin
is the Accounting
Manager.
He is Thai
nationality.
BUSINESS OPERATIONS
The subject’s activity
is a manufacturer of
automobile parts and
vehicle interior parts including instrument
such as cluster, meter hood, instrument
panel, consoles and
floor console, door
trim, interior plastic
trim sets, as well as alternator and starter.
Its plant is
the world’s most
advanced injection molding
presses with ranging
from 250 tons to 2,200 tons.
IMPORT [COUNTRIES]
50% of its raw
materials is imported
from United States of
America, India, Japan,
Taiwan, Republic of
China and Germany.
The remaining 50% is purchased
from local suppliers.
MAJOR SUPPLIERS
Visteon Corporation : United States
of America
SALES
80% of the products
are sold locally to
automotive assemblers, such
name as “MAZDA”,
“FORD”, “NISSAN” and etc.,
the remaining 20%
is exported to
Japan, U.S.A. and Europe.
MAJOR CUSTOMERS
|
Name |
Country |
|
|
|
|
Auto Alliance [Thailand]
Co., Ltd. |
Thailand |
|
Honda Car Manufacturing [Thailand]
Co., Ltd. |
Thailand |
|
General Motors [Thailand]
Ltd. |
Thailand |
PARENT COMPANY
Visteon International Holdings,
Inc.
Nationality: American
SUBSIDIARIES
& AFFILIATED COMPANY
Visteon Automobile Electronics
[Thailand] Co., Ltd.
Business Type: Manufacturer of
automobile parts
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
according for the past two years.
CREDIT
Selling terms 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
BUSINESS TRANSACTION
The products are
sold to customers
mainly by credit, with the maximum credit given
at 30-60 days. The subject
is not found to have problem on
its account receivable.
BANKING
Bangkok Bank Public
Co., Ltd.
[Rayong Branch:
56/1 Sukhumvit Rd, Thapradu, Muang,
Rayong]
EMPLOYMENT
The subject employs
currently approximately 700
staff comprising office
staff and factory
workers.
LOCATION DETAILS
The premise is rented
for administrative office,
factory I and warehouse
on 9,000 square
metres at the
heading address. It
is located in
an industrial area.
Factory II :
74 Moo 2,
Bangna-Trad Rd., K.M. 21,
T. Srisajarakaeyai,
A.
Bangsaothong, Samutprakarn 10540.
Factory III :
49/57 Moo 5, T.
Thungsukla, A. Sriracha, Chonburi
20110.
COMMENT
Thailand’s overall economic
growth had decelerated
in the past few
years and remained
vulnerable. The subject
reported an automobile
market expansion particularly
in the year
2012 from an
improvement and growth
in related industries
which would contribute
to a satisfactory
result at the
end of year.
However, automobile market
in 2013 has
to undergo many
changes and been
adjusted for facing
significant pressures, challenges
and extreme downward trend.
The leading automotive parts manufactures
have to compete
with itself to
maintain the industry.
FINANCIAL INFORMATION
The capital was
registered at Baht
500,000,000 divided into
5,000,000 shares of
Baht 100 each.
On December 7, 2001 the
capital was increased
to Baht 562,000,000 divided into 5,620,000 shares of
Baht 100 each with fully
paid.
THE SHAREHOLDERS LISTED WERE
[as at
March 27, 2013]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Visteon International Holdings,
Inc. Nationality: American Address : 1 Van
Buren Township, Michigan, USA
48111 |
5,119,995 |
91.10 |
|
Visteon Asia Holdings, Inc. Nationality: American Address : 1 Van
Buren Township, Michigan, USA 48111 |
500,000 |
8.90 |
|
Visteon Automotive Holdings,
LLC Nationality: American Address : 1 Van
Buren Township, Michigan, USA 48111 |
1 |
- |
|
Visteon Holdings, LLC Nationality: American Address : 1 Van
Buren Township, Michigan, USA 48111 |
1 |
- |
|
Visteon Domestic Holdings,
LLC Nationality: American Address : 1 Van
Buren Township, Michigan, USA 48111 |
1 |
- |
|
Visteon European Holdings
Corporation Nationality: American Address : 1 Van
Buren Township, Michigan, USA 48111 |
1 |
- |
|
Visteon Systems, LLC Nationality: American Address : 1 Van
Buren Township, Michigan, USA 48111 |
1 |
- |
Total Shareholders : 7
Share Structure
[as at March
27, 2013]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
- |
- |
- |
|
Foreign – American |
7 |
5,620,000 |
100.00 |
|
Total |
7 |
5,620,000 |
100.00 |
NAME OF AUDITOR & CERTIFIED PUBLIC ACCOUNTANT
NO.
Ms. Vissuda Jariyatanakorn No.
3853
BALANCE SHEET [BAHT]
The latest financial figures published
as at December
31, 2012, 2011
& 2010 were:
ASSETS
|
Current Assets |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Cash and Cash Equivalents |
576,038,908 |
494,290,823 |
752,515,618 |
|
Trade Accounts and
Other Receivable |
1,222,740,862 |
349,079,510 |
576,681,489 |
|
Receivables Tool |
13,704,173 |
148,793,300 |
21,188,014 |
|
Inventories |
80,349,323 |
90,723,505 |
43,136,127 |
|
Other Current Assets
|
5,346,914 |
12,878,513 |
4,716,984 |
|
|
|
|
|
|
Total Current Assets
|
1,898,180,180 |
1,095,765,651 |
1,392,238,232 |
|
Fixed Assets |
363,111,154 |
330,407,123 |
374,488,373 |
|
Intangible Assets |
11 |
11 |
- |
|
Other Non - current Assets |
9,362,643 |
6,530,200 |
3,615,200 |
|
Total Assets |
2,270,653,988 |
1,432,702,985 |
1,776,341,805 |
LIABILITIES &
SHAREHOLDERS’ EQUITY [BAHT]
|
Current
Liabilities |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Trade Accounts and
Other Payable |
934,862,161 |
383,718,006 |
649,587,188 |
|
Received in Advance
Tools |
128,953,322 |
- |
- |
|
Current Portion of
Financial Lease Contract Liabilities |
4,939,655 |
4,014,205 |
3,955,568 |
|
Accrued Income Tax |
32,608,225 |
21,364,603 |
48,734,623 |
|
Short-term Estimated Liabilities
|
67,046,552 |
25,762,103 |
- |
|
Other Current Liabilities |
13,208,909 |
14,038,761 |
19,281,592 |
|
|
|
|
|
|
Total Current Liabilities |
1,181,618,824 |
448,897,678 |
721,558,971 |
|
|
|
|
|
|
Financial Lease Contract Liabilities, Net
of Current Portion |
15,684,710 |
16,347,609 |
16,460,728 |
|
Reserve for Employee
Benefits |
23,411,631 |
16,587,409 |
- |
|
Total Liabilities |
1,220,715,165 |
481,832,696 |
738,019,699 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized, issued
and fully paid share
capital 5,620,000 shares |
562,000,000 |
562,000,000 |
562,000,000 |
|
|
|
|
|
|
Capital Paid |
562,000,000 |
562,000,000 |
562,000,000 |
|
Retained Earnings: Appropriated for Statutory Reserve |
56,200,000 |
55,695,555 |
33,570,412 |
|
Unappropriated |
431,738,823 |
333,174,734 |
442,751,694 |
|
Total Shareholders' Equity |
1,049,938,823 |
950,870,289 |
1,038,322,106 |
|
Total Liabilities &
Shareholders' Equity |
2,270,653,988 |
1,432,702,985 |
1,776,341,805 |
PROFIT & LOSS ACCOUNT
|
Revenue |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Sales Income |
4,684,258,216 |
3,424,158,374 |
3,753,566,483 |
|
Other Income |
53,461,102 |
18,289,730 |
9,638,067 |
|
Total Revenues |
4,737,719,318 |
3,442,448,104 |
3,763,204,550 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold |
3,804,707,759 |
2,653,456,715 |
2,908,895,471 |
|
Selling Expenses |
3,175,731 |
1,585,384 |
5,448,663 |
|
Administrative Expenses |
401,387,358 |
370,916,080 |
333,737,850 |
|
Total Expenses |
4,209,270,848 |
3,025,958,179 |
3,248,081,984 |
|
|
|
|
|
|
Profit before Financial Expenses & Income
Tax |
528,448,470 |
416,489,925 |
515,122,566 |
|
Financial Expenses |
[1,492,473] |
[1,559,417] |
[1,154,593] |
|
Profit before Income
Expenses |
526,955,997 |
414,930,508 |
513,967,973 |
|
Income Expenses |
[103,613,463] |
[81,781,525] |
[71,465,107] |
|
|
|
|
|
|
Net Profit / [Loss] |
423,342,534 |
333,148,983 |
442,502,866 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2012 |
2011 |
2010 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
1.61 |
2.44 |
1.93 |
|
QUICK RATIO |
TIMES |
1.53 |
2.21 |
1.86 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
12.90 |
10.36 |
10.02 |
|
TOTAL ASSETS TURNOVER |
TIMES |
2.06 |
2.39 |
2.11 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
7.71 |
12.48 |
5.41 |
|
INVENTORY TURNOVER |
TIMES |
47.35 |
29.25 |
67.44 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
95.28 |
37.21 |
56.08 |
|
RECEIVABLES TURNOVER |
TIMES |
3.83 |
9.81 |
6.51 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
89.68 |
52.78 |
81.51 |
|
CASH CONVERSION CYCLE |
DAYS |
13.30 |
(3.09) |
(20.02) |
|
|
|
|
|
|
|
PROFITABILITY RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
81.22 |
77.49 |
77.50 |
|
SELLING & ADMINISTRATION |
% |
8.64 |
10.88 |
9.04 |
|
INTEREST |
% |
0.03 |
0.05 |
0.03 |
|
GROSS PROFIT MARGIN |
% |
19.92 |
23.04 |
22.76 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
11.28 |
12.16 |
13.72 |
|
NET PROFIT MARGIN |
% |
9.04 |
9.73 |
11.79 |
|
RETURN ON EQUITY |
% |
40.32 |
35.04 |
42.62 |
|
RETURN ON ASSET |
% |
18.64 |
23.25 |
24.91 |
|
EARNING PER SHARE |
BAHT |
75.33 |
59.28 |
78.74 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.54 |
0.34 |
0.42 |
|
DEBT TO EQUITY RATIO |
TIMES |
1.16 |
0.51 |
0.71 |
|
TIME INTEREST EARNED |
TIMES |
354.08 |
267.08 |
446.15 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
36.80 |
(8.78) |
|
|
OPERATING PROFIT |
% |
26.88 |
(19.15) |
|
|
NET PROFIT |
% |
27.07 |
(24.71) |
|
|
FIXED ASSETS |
% |
9.90 |
(11.77) |
|
|
TOTAL ASSETS |
% |
58.49 |
(19.35) |
|
ANNUAL GROWTH : EXCELLENT
An annual sales growth is 36.8%.
Turnover has increased from THB 3,424,158,374.00 in 2011 to THB
4,684,258,216.00 in 2012. While net profit has increased from THB 333,148,983.00
in 2011 to THB 423,342,534.00 in 2012. And total assets has increased from THB
1,432,702,985.00 in 2011 to THB 2,270,653,988.00 in 2012.
PROFITABILITY : IMPRESSIVE
PROFITABILITY RATIO
|
Gross Profit Margin |
19.92 |
Satisfactory |
Industrial Average |
24.78 |
|
Net Profit Margin |
9.04 |
Impressive |
Industrial Average |
5.66 |
|
Return on Assets |
18.64 |
Impressive |
Industrial Average |
7.46 |
|
Return on Equity |
40.32 |
Impressive |
Industrial Average |
11.81 |
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 19.92%. 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 9.04%, 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. Return on Assets ratio is 18.64%, 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 40.32%, 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 Downtrend
Return on Equity Downtrend
LIQUIDITY : IMPRESSIVE
LIQUIDITY RATIO
|
Current Ratio |
1.61 |
Satisfactory |
Industrial Average |
1.67 |
|
Quick Ratio |
1.53 |
|
|
|
|
Cash Conversion Cycle |
13.30 |
|
|
|
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 1.61 times in 2012, decreased from 2.44 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 1.53 times in 2012,
decreased from 2.21 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 14 days.
Trend of the average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE : ACCEPTABLE
LEVERAGE RATIO
|
Debt Ratio |
0.54 |
Acceptable |
Industrial Average |
0.40 |
|
Debt to Equity Ratio |
1.16 |
Risky |
Industrial Average |
0.68 |
|
Times Interest Earned |
354.08 |
Impressive |
Industrial Average |
6.38 |
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 354.08 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 0.54 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 |
12.90 |
Impressive |
Industrial Average |
0.60 |
|
Total Assets Turnover |
2.06 |
Impressive |
Industrial Average |
1.31 |
|
Inventory Conversion Period |
7.71 |
|
|
|
|
Inventory Turnover |
47.35 |
Impressive |
Industrial Average |
7.84 |
|
Receivables Conversion Period |
95.28 |
|
|
|
|
Receivables Turnover |
3.83 |
Impressive |
Industrial Average |
3.64 |
|
Payables Conversion Period |
89.68 |
|
|
|
The company's Account Receivable Ratio is calculated as 3.83 and 9.81 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
decreased from 2011. 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 decreased from 12 days at the end of 2011 to 8
days at the end of 2012. This represents a positive trend. And Inventory
turnover has increased from 29.25 times in year 2011 to 47.35 times in year
2012.
The company's Total Asset Turnover is calculated as 2.06 times and 2.39
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 Downtrend
Inventory Turnover Downtrend
Receivables Turnover Downtrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.60.80 |
|
|
1 |
Rs.91.95 |
|
Euro |
1 |
Rs.80.36 |
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.