MIRA INFORM REPORT

 

 

Report Date :

05.01.2013

 

IDENTIFICATION DETAILS

 

Name :

P.T. GOKAK INDONESIA

 

 

Registered Office :

Kodel House 8th Floor Jalan H.R. Rasuna Said Kav. B-4 Jakarta Selatan, 12910

 

 

Country :

Indonesia

 

 

Financials (as on) :

31.12.2010

 

 

Date of Incorporation :

06.08.1979

 

 

Com. Reg. No.:

No. AHU-AH.01.10-25838

 

 

Legal Form :

Limited Liability Company

 

 

Line of Business :

Spinning Mills

 

 

No. of Employees :

709 persons

 

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 – June 30th, 2012

 

Country Name

Previous Rating

(31.03.2011)

Current Rating

(30.06.2012)

Indonesia

B1

B1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

INDONESIA - ECONOMIC OVERVIEW

 

Indonesia, a vast polyglot nation, grew an estimated 6.1% and 6.4% in 2010 and 2011, respectively. The government made economic advances under the first administration of President YUDHOYONO (2004-09), introducing significant reforms in the financial sector, including tax and customs reforms, the use of Treasury bills, and capital market development and supervision. During the global financial crisis, Indonesia outperformed its regional neighbors and joined China and India as the only G20 members posting growth in 2009. The government has promoted fiscally conservative policies, resulting in a debt-to-GDP ratio of less than 25%, a small current account surplus, a fiscal deficit below 2%, and historically low rates of inflation. Fitch and Moody's upgraded Indonesia's credit rating to investment grade in December 2011. Indonesia still struggles with poverty and unemployment, inadequate infrastructure, corruption, a complex regulatory environment, and unequal resource distribution among regions. The government in 2012 faces the ongoing challenge of improving Indonesia's insufficient infrastructure to remove impediments to economic growth, labor unrest over wages, and reducing its fuel subsidy program in the face of rising oil prices.

Source : CIA


Name of Company

 

P.T. GOKAK INDONESIA

 

 

Address

 

Head Office

Kodel House 8th Floor

Jalan H.R. Rasuna Said Kav. B-4

Jakarta Selatan, 12910

Indonesia

Phone               - (62-21) 522 1458, 552 1488, 522 1459

Fax                   - (62-21) 522 1515

E-mail               - mangesh@gokakindonesia.com

Website            -           http://www.gokakindonesia.com

Building Area     - 18th Floor

Office Space      - 200 sq. meters

Region              - Commercial

Status               - Rent

 

Factory

Jalan Ateng Ilyas No. 1, RT. 02 RW. 08

Kampung Muhara, Citeurup

Bogor, 16810

West Java

Indonesia

Phone               - (62-21) 875 2672, 875 2686, 875 2687

Fax                   - (62-21) 875 2673

E-mail               - factory@gokakindonesia.com

Land Area         - 10,000 sq. meters

Factory Space   - 6,600 sq. meters

Region              - Industrial Zone

Status               - Owned

 

 

Registration data

 

Date of Incorporation :

06 August 1979

 

Legal Form :

P.T. (Perseroan Terbatas) or Limited Liability Company

 

Company Reg. No. :

The Ministry of Law and Human Rights

- No. Y.A.5/86/10

  Dated 3 March 1980

- No. AHU-08344.AH.01.02.TH.2009

  Dated 19 March 2009

- No. AHU-0080558.AH.01.02.TH.2010

  Dated 5 November 2010

- No. AHU-AH.01.10-25838

  Dated 16 July 2012

 

Company Status :

Foreign Investment (PMA) Company

 

Permit by the Government Department :

The Department of Finance

NPWP No. 01.002.076.6-057.000

 

The President of the Republic of Indonesia

No. B-27/Pres/9/1978

Dated 29 June 1978

 

The Capital Investment Coordinating Board

- No. 94/VI/PMA/1982

  Dated 8 October 1982

- No. 61/III/PMA/1984

  Dated 6 December 1984

- No. 28/II/PMA/1987

  Dated 25 May 1987

- No. 143/II/PMA/2003

  Dated 17 June 2003

 

Related Companies :

a.   EURO ASIAN MANAGERS LTD., Hong Kong (Investment Holding)

b.   SHAPOORJI PALLONJI & COMPANY LTD., India (Investment Holding)

 

 

CAPITAL AND OWNERSHIP

 

Capital Structure :

Authorized Capital                            : US$ 6,250,000.-

Issued Capital                                  : US$ 6,250,000.-

Paid up Capital                                : US$ 6,250,000.-

 

Shareholders/Owners :

a. EURO ASIAN MANAGERS LTD.                                    - US$ 4,562,000.-

    Address : Hong Kong

b. SHAPOORJI PALLONJI & COMPANY LTD                     - US$ 1,375,000.-

    Address : 41/44, Minoo Desai Marg

                    Colaba, Mumbai – 400 005

                    Maharashtra, India                 

c. Mr. Humprey Rithan Djemat, SH, LLM                           - US$    313,000.-

    Address : Jl. Imam Bonjol No. 78

                    Jakarta Pusat

                    Indonesia

 

 

BUSINESS ACTIVITIES

 

Lines of Business :

Spinning Mills

 

Production Capacity :

a.   Polyester/Cotton Yarns              - 16,583 bales p.a.

c.   Cotton Yarns                             -   3,600 tons p.a.

 

Total Investment :

a.   Equity Capital                            - US$   6.2 million

b.   Loan Capital                              - US$ 26.4 million

c.   Total Investment                         - US$ 32.6 million

 

Started Operation :

1982

 

Brand Name :

Gokak Indonesia

 

Technical Assistance :

Gokak India, Ltd., India

 

Number of Employee :

709 persons

 

Marketing Area :

Export      - 75%

Local       - 25%

 

Main Customer :

Buyers in Europe, Middle East and Asian countries

 

Market Situation :

Very Competitive

 

Main Competitors :

a. P.T. GISTEX CHEWON SYSNTHETICS

b. P.T. GOLDEN TATEX INDONESIA

c. P.T. GRAND PINTALAN TEXTILE INDUSTRIES

d. P.T. GLORINDO FILATEX

e. Etc.

 

Business Trend :

Growing

 

 

 

BANKER, AUDITOR & LITIGATION

 

B a n k e r s :

a.   P.T. Bank DANAMON INDONESIA Tbk

      Jalan Prof. Dr. Satrio Kav. E-IV /6

      Jakarta Selatan, 12930

      Indonesia

b.   DEUTSCHE Bank AG

      Wisma Deutsche Bank

      Jalan Imam Bonjol 85

      Jakarta Pusat

      Indonesia

c.   P.T. Bank SBI INDONESIA

      Gedung Graha Mandiri

      Jalan Imam Bonjol No. 61

      Jakarta Pusat

      Indonesia

 

Auditor :

KAP, Paul Hadiwinata, Hidajat, Arsono, Ade Fatma & Rekan

 

Litigation :

No litigation record in our database

 

 

FINANCIAL FIGURE

 

Annual Sales :

2009 – Rp. 219.2 billion

2010 – Rp. 278.3 billion

2011 – Rp. 295.0 billion (estimated)

2012 – Rp. 312.7 billion (estimated)

 

Net Profit :

2009 – Rp.   9.0 billion

2010 – Rp. 16.2 billion

2011 – Rp. 20.6 billion (estimated)

2012 – Rp. 21.9 billion (estimated)

 

Payment Manner :

Average

 

Financial Comments :

Satisfactory

 

 

 

 

KEY EXECUTIVES

 

Board of Management :

President Director                            - Mr. Mahaveer Appasaheb Kolhapuri

Directors                                         - a. Mr. Manguesh Sadanand Kanago

                                                        b. Mr. Humprey Rithan Djemat, SH, LLM

 

Board of Commissioners :

President Commissioner                   - Mr. Kamlesh Chander Mehra

Commissioners                                - a. Mr. Chandrakant Girdharlalshah

                                                        b. Mrs. Buanita Rosiana Djemat

                                                        c. Mr. Mahesh Chelaram Tahilyani

                                                        d. Mr. Khanna Umesh Narain

 

Signatories :

President Director (Mr. Mahaveer Appasaheb Kolhapuri) or one of the Directors (Mr. Manguesh Sadanand Kanago or Mr. Humprey Rithan Djemat, SH, LLM) which must be approved by Board of Commissioner

 

 

CAPABILITIES

 

Management Capability :

Good

 

Business Morality :

Good

 

Credit Risk :

Average

 

Credit Recommendation :

Credit should be proceeded with monitor

 

Proposed Credit Limit :

Small amount – periodical review

 

 

OVERALL PERFORMANCE

 

P.T. GOKAK INDONESIA (P.T. GI) was established in August 1979 in Bogor, West Java with an authorized capital of US$ 2,300,000 issued capital of US$ 460,000 entirely paid up. The founding shareholders of the company are FORBES GOKAK Ltd., of India, EURO ASEAN MANAGERS Ltd., FORBES CAMPBELL HOLDINGS Ltd., WARRIOR INVESTMENT Co. Ltd., of India, THAKRAL BROTHERS Inc., of India, P.T. MULTIBIS PRIMA AGUNG of Indonesia and Mr. Humprey Rithan Djemat, SH, LLM., of Indonesia. The notary deed has been changed frequently. Then in February 2001, the authorized capital was raised to US$ 6,250,000 entirely issued and paid up. With this development the composition of its shareholders are EURO ASIAN MANAGERS LTD., Hong Kong, GOKAK TEXTILE LTD., India and Mr. Humprey Rithan Djemat, SH, LLM. The deed of amendment was made by Mr. Misahardi Wilamarta, SH., a public notary in Jakarta under Company Registration Number W7-HT.01.10-3605, dated November 17, 2006. Later on 19 October 2010, GOKAK TEXTILE LTD., India sold of its share to SHAPOORJI PALLONJI & COMPANY LTD., India as new shareholder. With this time the composition of its shareholders has been changed to become EURO ASIAN MANAGER LTD., Hong Kong (72.99%), SHAPOORJI PALLONJI & COMPANY LTD., India (22.00%) and Mr. Humprey Rithan Djemat, SH, LLM (5.01%). After that based on notary documents of Mr. Misahardi Wilamarta, SH., No. 93 dated 29 May 2012 the company board of director and the board of commissioner had been changed (see profile of this report). The deed of amendments was approved by the Ministry of Law and Human Rights in its decision letter No. AHU-AH.01.10-25838 dated July 16, 2012.

 

P.T. GI is a Foreign Investment (PMA) company licensed by Capital Investment Coordinating Board (BKPM) to deal with spinning mills. Its plant is located at Kampung Muhara, Citeurup, Cibinong, Bogor, West Java on a land of some 1.0 hectares. The plant had been operating since 1982 by produce polyester/cotton yarns of 16,583 bales and cotton yarns of 3,600 tons respectively per annum. P.T. GI manufactures yarns with the highest quality of raw materials from modern equipment to ensure that buyers have a pleasant working experience. The company has a firm focus set on consistent quality, timely deliveries, competitive prices and a customer friendly team. The company is in the business of yarn spinning and began operation in the year 1982. The factory is situated about 45 kms from the capital city of Jakarta and is en route to the garden city of Bogor. The company has a total capacity of 56,880 spindles and 560 open end rotors, manufacturing various types of spun yarns. Since 2007 the company has embarked on a modernization drive and the process is reaching completion.

 

The company manufactures spun yarns using different fibers and blends within these fibers. Below is a list of various products under regular production.

 

 

1.

Combed Cotton Yarns

The company makes 100% combed cotton yarns for knitting as well as for weaving. Count range of Ne 20 to Ne 40 using some of the finest raw materials.

2.

100% Karded Cotton Yarns

100% Karded cotton yarns for knitting and weaving
Count range of Ne 20 to Ne 40, mainly for consumption in the domestic markets.

3.

Polyester Spun Yarns

100% polyester spun yarns for knitting as well as for weaving.
Count range of Ne 20 to Ne 40.

4.

Polyester/Viscose  blended Yarns

PV blended yarns with a blend percentage of 65/35 for knitting as well as for weaving. Count range of Ne 20 to Ne 40.

5.

Open End Yarns

100% cotton open end yarns for weaving.
Count range of Ne 6 upto Ne 12.

6.

Multifold Yarns

The company can offer any of the above products in 2 ply, 3 ply and 4 ply from in house twisting facilities.

7.

100% Poly & PV Slub Yarn

The company can offer 100% Spun polyester Slub yarn & PV 65/35 slub yarn in the count range of Ne 24 to 30.

Source: P.T. Gokak Indonesia

 

P.T. GI has a wide marketing network established in several countries. The company has a loyal customer base which has supported the operations for many years. They trust and support in their partners has helped them grow from a 30,000 spindle unit in 2003 to a 60,000 spindle unit in 2012. The company is regularly exporting yarns to countries such as Germany, Poland, USA, Korea, Brazil, Argentina, Egypt, Portugal, Spain, Italy, Malaysia, Vietnam, Philippines etc. Almost 20 to 25 percent of the production is also sold in the domestic market to a well established customer base.

 

 

Products include polyester viscose and polyester cotton blended yarn and 100% cotton combed yarn both single and founded for knitting and weaving end use. The plant had absorbed an investment of US$ 32.6 million come from owned capital of US$ 6.2 million and the rest from loans. Mr. Wahid, general affairs manager of the company said to our inquiry that some 75% of the products are exported to Europe Union, USA, Middle East, Vietnam, Philippine, Bangladesh, Thailand and other Asian countries and the other 25% for local consumption with using GOKAK brand. The company also supplied some of the products to P.T. KAHATEX, P.T. MALAKATEX and other textile industries operating in Bandung (West Java), Solo (Central Java), Semarang and Tangerang (Banten Province).

 

 

The global economic crisis followed by fast rising local bank interest rates has also had a negative impact on the company's. Meanwhile, the local TPT (Textile and Textile Products) industries and other factors causing the declining competitive ability of the national TPT products are the increasing production costs, high interest rates, expensive customs office costs, illegal retributions, textile and garment machinery restructuring costs and the rising prices of production components (oil fuel prices and electric base tariffs). We observe the operation of P.T. GI has been growing and developing well in the last three years.

 

 

      The demand for textile chemicals tended to be fluctuating within the last five years in line with the fluctuating of Indonesian textile industry in general. According to the Central Bureau of Statistics (BPS) the Indonesian garments export in 2002 amounted to 333,100 tons (US$ 3,887.2 million) to 339,000 tons (US$ 4,037.9 million) in 2003 to 327.300 tons (US$ 4,351.9 million) in 2004 to 369.500 tons (US$ 4,967.0 million) in 2005 to 399,600 tons (US$ 5,608.1 million) in 2006, to 399,800 tons (US$ 5,712.9 million) in 2007 rose to 417,600 tons (US$ 6,092.2 million) in 2008 declined to 393.400 tons (US$ 5,735.6 million) in 2009 and 445,200 tons (US$ 6,598.0 million) in 2010 rose to 450.9 ton (7,801.5 million) in 2011.. The Indonesia textile products export in 2002 amounted to 1,425.9 tons (US$ 3,075.9 million) to 1,307.5 tons (US$ 3,064.6 million) in 2003 to 1,300.4 tons (US$ 3,354.6 million) in 2004 to 1,427.3 tons (US$ 3,704.0 million) in 2005 to 1,477.8 tons (US$ 3,908.6 million) in 2006 to 1,473.6 tons (US$ 4,178.0 million) in 2007 decrease to 1,312.2 tons (US$ 4,127.9 million) in 2008 rose to 1,369.6 tons (US$ 3,602.8 million) in 2009 and to 1,525.9 tons (US$ 4,721.8 million) in 2010 decreased to 1,493.3 tons (5,563.3 million) in 2011.

 

 

The domestic textile producers are pessimism the textile export in 2009 could match the export numbers in 2008. The blow of the global economic crisis is resulted in the reduced of demand from the export destination countries like the United States (U.S.), Japan, and European Union region. While this year’s the exports expected fall into US$ 9.7 billion. The Chairman of the Indonesian Textile Association (API), Mr. Benny Soetrisno said that the decline in global purchasing power caused of the demand in the Indonesian textile products could not be able to grow as tight as 2008. The export volume and value of the national TPT products in 2002 to 2011 are pictured on the following table.


 

Year

Garment

Textile Products

(Thousand Ton)

(US$ Million)

(Thousand Ton)

(US$ Million)

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

333.1

339.9

327.3

369.5

399.6

399.8

417.6

393.4

445.2

450.9

3,887.2

4,037.9

4,351.9

4,967.0

5,608.1

5,712.9

6,092.2

5,735.6

6,598.0

7,801.5

1,425.9

1,307.5

1,300.4

1,427.3

1,477.8

1,473.6

1,312.2

1,369.6

1,525.9

1,493.3

3,075.9

3,064.6

3,354.6

3,704.0

3,908.6

4,178.0

4,127.9

3,602.8

4,721.8

5,563.3

Source: Central Bureau of Statistic     

 

P.T. GI has not been registered with Indonesian Stock Exchange, so that they shall not obliged to announce their financial statement. According to Financial Statement which audited by Paul Hadiwinata, Hidajat, Arsono, Ade Fatma & Rekan which ended 31 December 2009 amounted Rp. 219.2 billion with a net profit of Rp. 9.0 billion increased to Rp. 278.3 billion with a net profit of Rp. 16.2 billion in 2010. We estimated the sales turnover in 2011 amounted at Rp. 295.0 billion with a net profit of Rp. 20.6 billion rose to Rp. 312.7 billion with a net profit of Rp. 21.9 billion in 2012. It is projected the sales revenue will be higher by at least 5% in 2013. We observe that P.T. GI is supported by foreign partner with has financially strong and sound behind it. So far, we did not heard that the company having been black listed by the Central Bank (Bank Indonesia). The company usually pays its debts punctually to suppliers. Financial condense per 31 December 2009 and 2010 is attached below.

 

 

                                                                                    (In Million Rupiah)

 

Descriptions

As per 31 December

2010

2009

A.  ASSETS

 

 

a. Current Assets

91,291

73,199

b. Non Current Assets

83,488

80,238

c. Other Assets

1,318

1,318

TOTAL ASSETS = TOTAL

LIABILITIES & EQUITY

174,779

153,437

B. LIABILITIES

&STOCKHOLDERS EQUITY

 

 

a. Current Liabilities

113,733

103,790

b. Non Current Liabilities

27,914

32,774

c. Stockholders Equity :

-          Paid Up Capital

-          Capital paid in excess Rupiah

-          Retained Earnings

Total Stock holders Equity

 

2,594

1,406

29,132

33,132

 

2,594

1,406

12,873

16,873

C. INCOME STATEMENT

 

 

a. Sales Net

278,326

219,229

b. Gross Profit

36,824

20,322

c. Net Profit

16,259

8,984

           Notes: Ended 31 December 2010 and 2009 Audited by Paulhadiwinata & Rekan

 

The management of P.T. GI is led by Mr. Mahaveer Appasaheb Kolhapuri (49) a professional manager of India with experience in spinning mills. Daily activity he is assisted by Mr. Manguesh Sadanand Kanago (40) and Mr. Humprey Rithan Djemat, SH, LLM (57) as Directors. The company's management is handled by professional staff in the above business. They have wide relations with private businessmen within and outside the country. So far, we did not hear that the management of the company being filed to the district court for detrimental cases or involved in any business malpractices. The company’s litigation record is clean and it has not registered with the black list of Bank of Indonesia. P.T. GOKAK INDONESIA is sufficiently fairly good for business transaction.

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.54.84

UK Pound

1

Rs.88.16

Euro

1

Rs.71.54

 

 

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

 

--

 

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%)

 

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