MIRA INFORM REPORT
|
Report Date : |
25.01.2013 |
IDENTIFICATION DETAILS
|
Name : |
GIOVANI CO., LTD. |
|
|
|
|
Registered Office : |
204 Soi Luanrit, Chakrawad Road, Chakrawad, Samphantawong, Bangkok 10100 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2011 |
|
|
|
|
Date of Incorporation : |
09.03.1992 |
|
|
|
|
Com. Reg. No.: |
0105535041393 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Engaged in importing and
distributing various kinds of fabrics, such as
cotton, polyester, denim,
linen, lace, silk,
printed fabric, worsted
wool, poly wool,
poly viscose and
etc |
|
|
|
|
No. of Employees : |
9 |
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 (31.03.2012) |
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
GIOVANI CO., LTD.
SUMMARY
BUSINESS
ADDRESS : 204
SOI LUANRIT, CHAKRAWAD
ROAD,
CHAKRAWAD, SAMPHANTAWONG,
BANGKOK 10100,
THAILAND
TELEPHONE : [66] 2622-7570-1
FAX :
[66] 2622-7571
E-MAIL
ADDRESS : contract@giovanico.com
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1992
REGISTRATION
NO. : 0105535041393
TAX
ID NO. : 3011100349
CAPITAL REGISTERED : BHT. 3,000,000
CAPITAL PAID-UP : BHT.
3,000,000
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MRS. ORAWAN SIRISAJJADECHA, THAI
MANAGING DIRECTOR
NO.
OF STAFF : 9
LINES
OF BUSINESS : FABRICS
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 established
on March 9,
1992 as a
private limited company
under the name
style GIOVANI CO., LTD., by
Thai groups, with
the business objective
to distribute various
kinds of fabrics to
both domestic and
international markets. It currently employs
9 staff.
The
subject’s registered address is 204 Soi
Luanrit, Chakrawad Rd.,
Chakrawad, Samphantawong, Bangkok
10100, and this
is the subject’s
current operation address.
THE
BOARD OF DIRECTOR
Mrs. Orawan Sirisajjadecha
AUTHORIZED PERSON
The above director
signs on behalf
of the subject
with company’s affixed.
MANAGEMENT
Mrs. Orawan Sirisajjadecha is
the Managing Director.
She is Thai
nationality with the
age of 39
years old.
BUSINESS OPERATIONS
The subject is engaged in
importing and distributing various kinds
of fabrics, such as
cotton, polyester, denim,
linen, lace, silk,
printed fabric, worsted
wool, poly wool,
poly viscose and
etc. for garment
and sporting products,
as well as
exporting and re-exporting
fabrics.
PURCHASE
The products are
purchased from suppliers
in both domestic
and overseas, mainly
India, Hong Kong
and Republic of
China.
SALES
90% of the products
is sold locally
by wholesale to
dealers and garment
manufacturers.
EXPORT
10% of
the products is
exported and re-exported
to India, Pakistan,
Singapore,
Hong Kong,
Dubai and Bangladesh.
RELATED AND AFFILIATED
COMPANY
Wooltex Co., Ltd.
Business Type
: Distributor of
fabrics
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
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
T/T.
Exports are against
T/T.
BANKING
Kasikornbank Public Co.,
Ltd.
EMPLOYMENT
The
subject employs 9
staff.
LOCATION
DETAILS
The
premise is owned
for administrative office
and warehouse at the
heading address. Premise
is located in
commercial area.
Warehouse
is located at
182 Soi Charansanitwong 1,
Charansanitwong Rd., Watthaphra,
Bangkokyai, Bangkok 10600.
COMMENT
The
subject was formed in 1992 as
an importer, distributor,
exporter and re-exporter
of fabrics. Strong
consumption of garments
in both domestic
and international markets
has benefit to
fabric industry. Subject’s
sales in 2011 has
increased significantly from high
demand of the
products from both
local and overseas
markets and continued
throughout 2012. Though
the subject might
have an impact
from a strong
Thai baht in
the beginning of
2013, but it expects
the situation would
remain for a short
period. In general,
the subject expects
a good business
this year as
well.
FINANCIAL
INFORMATION
The
capital was registered
at Bht. 1,000,000 divided
into 1,000 shares of
Bht. 1,000 each.
On
May 24, 1995,
the capital was
increased to Bht.
3,000,000 divided into
3,000 shares of
Bht. 1,000 each
with fully paid.
THE
SHAREHOLDERS LISTED WERE
: [as at
April 30, 2012]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Suthep Singpathom Nationality: Thai Address : 423
Sukhumvit Rd., Klongtoeynua,
Wattana, Bangkok |
2,400 |
80.00 |
|
Ms. Thanawadee Hirankanokmas Nationality: Thai Address : 343-345
Promram Rd., T. Naimuang, A. Muang, Ubol
Ratchathani |
300 |
10.00 |
|
Mrs. Orawan Sirisajjadecha Nationality: Thai Address : 143/28
Sukhumvit 21 Rd.,
Klongtoeynua,
Wattana, Bangkok |
300 |
10.00 |
Total Shareholders : 3
Share Structure [as
at April 30,
2012]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
3 |
3,000 |
100.00 |
|
Foreign |
- |
- |
- |
|
Total |
3 |
3,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Mr. Somchai Wongpanyaporn No.
2930
BALANCE SHEET [BAHT]
The
latest financial figures
published for December
31, 2011, 2010
& 2009 were:
ASSETS
|
Current Assets |
2011 |
2010 |
2009 |
|
|
|
|
|
|
Cash and Cash Equivalent |
7,411,572.23 |
7,171,911.18 |
6,298,665.44 |
|
Trade Accounts &
Other Receivable |
4,254,329.85 |
2,403,977.99 |
388,269.10 |
|
Short-term Loan to Related
Person |
- |
- |
2,380,000.00 |
|
Inventories |
58,604,307.77 |
38,694,703.35 |
17,407,165.48 |
|
Other Current Assets
|
- |
- |
1,935,256.10 |
|
|
|
|
|
|
Total Current Assets
|
70,270,209.85 |
48,270,592.52 |
28,409,356.12 |
|
Fixed Assets |
14,273.95 |
7,429.08 |
32,145.94 |
|
Total Assets |
70,284,483.80 |
48,278,021.60 |
28,441,502.06 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2011 |
2010 |
2009 |
|
|
|
|
|
|
Trade Account & Other
Payable |
30,448,565.72 |
30,763,883.96 |
12,778,948.01 |
|
Short-term Loan |
18,094,508.99 |
- |
- |
|
Accrued Income Tax |
904,220.15 |
369,532.93 |
- |
|
Other Current Liabilities |
- |
- |
716,347.04 |
|
|
|
|
|
|
Total Current Liabilities |
49,447,294.86 |
31,133,416.89 |
13,495,295.05 |
|
Total Liabilities |
49,447,294.86 |
31,133,416.89 |
13,495,295.05 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 1,000
par value authorized, issued
and fully paid share
capital 3,000 shares |
3,000,000.00 |
3,000,000.00 |
3,000,000.00 |
|
|
|
|
|
|
Capital Paid |
3,000,000.00 |
3,000,000.00 |
3,000,000.00 |
|
Retained Earning -
Unappropriated |
17,837,188.94 |
14,144,604.71 |
11,946,207.01 |
|
Total Shareholders' Equity |
20,837,188.94 |
17,144,604.71 |
14,946,207.01 |
|
Total Liabilities & Shareholders' Equity |
70,284,483.80 |
48,278,021.60 |
28,441,502.06 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
2011 |
2010 |
2009 |
|
|
|
|
|
|
Sales |
166,918,683.94 |
99,751,947.57 |
68,794,607.25 |
|
Other Income |
2,330,447.41 |
3,523,908.43 |
1,760,137.00 |
|
Total Revenues |
169,249,131.35 |
103,275,856.00 |
70,554,744.25 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold |
155,396,036.85 |
92,400,149.70 |
62,831,683.80 |
|
Selling Expenses |
3,900,715.79 |
2,974,157.46 |
1,281,245.18 |
|
Administrative Expenses |
4,586,130.80 |
4,808,831.83 |
3,932,211.01 |
|
Total Expenses |
163,882,883.44 |
100,183,138.99 |
68,045,139.99 |
|
|
|
|
|
|
Profit / [Loss] before Financial
Cost & Income Tax |
5,366,247.91 |
3,092,717.01 |
2,509,604.26 |
|
Financial Cost |
[439,358.76] |
[284,411.38] |
[211,631.31] |
|
|
|
|
|
|
Profit / [Loss] before Income
Tax |
4,926,889.15 |
2,808,305.63 |
2,297,972.95 |
|
Income Tax |
[1,234,304.92] |
[609,907.93] |
[463,049.58] |
|
|
|
|
|
|
Net Profit / [Loss] |
3,692,584.23 |
2,198,397.70 |
1,834,923.37 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2011 |
2010 |
2009 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
1.42 |
1.55 |
2.11 |
|
QUICK RATIO |
TIMES |
0.24 |
0.31 |
0.67 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
11,693.94 |
13,427.23 |
2,140.07 |
|
TOTAL ASSETS TURNOVER |
TIMES |
2.37 |
2.07 |
2.42 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
137.65 |
152.85 |
101.12 |
|
INVENTORY TURNOVER |
TIMES |
2.65 |
2.39 |
3.61 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
9.30 |
8.80 |
2.06 |
|
RECEIVABLES TURNOVER |
TIMES |
39.24 |
41.49 |
177.18 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
71.52 |
121.52 |
74.24 |
|
CASH CONVERSION CYCLE |
DAYS |
75.44 |
40.12 |
28.95 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
93.10 |
92.63 |
91.33 |
|
SELLING & ADMINISTRATION |
% |
5.08 |
7.80 |
7.58 |
|
INTEREST |
% |
0.26 |
0.29 |
0.31 |
|
GROSS PROFIT MARGIN |
% |
8.30 |
10.90 |
11.23 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
3.21 |
3.10 |
3.65 |
|
NET PROFIT MARGIN |
% |
2.21 |
2.20 |
2.67 |
|
RETURN ON EQUITY |
% |
17.72 |
12.82 |
12.28 |
|
RETURN ON ASSET |
% |
5.25 |
4.55 |
6.45 |
|
EARNING PER SHARE |
BAHT |
1,230.86 |
732.80 |
611.64 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.70 |
0.64 |
0.47 |
|
DEBT TO EQUITY RATIO |
TIMES |
2.37 |
1.82 |
0.90 |
|
TIME INTEREST EARNED |
TIMES |
12.21 |
10.87 |
11.86 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
67.33 |
45.00 |
|
|
OPERATING PROFIT |
% |
73.51 |
23.24 |
|
|
NET PROFIT |
% |
67.97 |
19.81 |
|
|
FIXED ASSETS |
% |
92.14 |
(76.89) |
|
|
TOTAL ASSETS |
% |
45.58 |
69.74 |
|
ANNUAL GROWTH :
EXCELLENT
An annual sales growth is 67.33%. Turnover has increased from THB 99,751,947.57
in 2010 to THB 166,918,683.94 in 2011. While net profit has increased from THB
2,198,397.70 in 2010 to THB 3,692,584.23 in 2011. And total assets has
increased from THB 48,278,021.60 in 2010 to THB 70,284,483.80 in 2011.
PROFITABILITY :
IMPRESSIVE
PROFITABILITY
RATIO
|
Gross Profit Margin |
8.30 |
Acceptable |
Industrial
Average |
11.62 |
|
Net Profit Margin |
2.21 |
Impressive |
Industrial
Average |
1.23 |
|
Return on Assets |
5.25 |
Impressive |
Industrial
Average |
2.12 |
|
Return on Equity |
17.72 |
Impressive |
Industrial
Average |
5.83 |
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 8.3%. 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. Net Profit Margin ratio is 2.21% ,
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
5.25%, 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 17.72%, 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 :
ACCEPTABLE
LIQUIDITY RATIO
|
Current Ratio |
1.42 |
Satisfactory |
Industrial
Average |
1.61 |
|
Quick Ratio |
0.24 |
|
|
|
|
Cash Conversion Cycle |
75.44 |
|
|
|
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 1.42 times in 2011, decrease from 1.55 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 0.24 times in 2011,
decrease from 0.31 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 76 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Downtrend
LEVERAGE :
ACCEPTABLE
LEVERAGE RATIO
|
Debt Ratio |
0.70 |
Acceptable |
Industrial
Average |
0.63 |
|
Debt to Equity Ratio |
2.37 |
Risky |
Industrial
Average |
1.74 |
|
Times Interest Earned |
12.21 |
Impressive |
Industrial
Average |
1.68 |
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 12.22 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 0.7 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 :
IMPRESSIVE
ACTIVITY RATIO
|
Fixed Assets Turnover |
11,693.94 |
Impressive |
Industrial
Average |
9.48 |
|
Total Assets Turnover |
2.37 |
Impressive |
Industrial
Average |
1.68 |
|
Inventory Conversion Period |
137.65 |
|
|
|
|
Inventory Turnover |
2.65 |
Acceptable |
Industrial
Average |
4.77 |
|
Receivables Conversion Period |
9.30 |
|
|
|
|
Receivables Turnover |
39.24 |
Impressive |
Industrial
Average |
2.93 |
|
Payables Conversion Period |
71.52 |
|
|
|
The company's Account Receivable Ratio is calculated as 39.24 and 41.49
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 decreased from 153 days at the
end of 2010 to 138 days at the end of 2011. This represents a positive trend.
And Inventory turnover has increased from 2.39 times in year 2010 to 2.65 times
in year 2011.
The company's Total Asset Turnover is calculated as 2.37 times and 2.07
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 Uptrend
Total Assets Turnover Downtrend
Inventory Turnover Downtrend
Receivables Turnover Downtrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.53.85 |
|
|
1 |
Rs.85.25 |
|
Euro |
1 |
Rs.71.72 |
INFORMATION DETAILS
|
Report Prepared
by : |
PDT |
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.