MIRA
INFORM REPORT
|
Report Date : |
03.07.2013 |
IDENTIFICATION DETAILS
|
Name : |
ROONGTHAVORN PLASTIC CO., LTD. |
|
|
|
|
Registered Office : |
Gateway Industrial Estate, 231-231/1 Moo 7, Huasamrong, Plaengyao, Chachoengsao 24190 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2012 |
|
|
|
|
Date of Incorporation : |
14.09.1992 |
|
|
|
|
Com. Reg. No.: |
0115535006881 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Manufacture Contractor
Plastic Injection Service
|
|
|
|
|
No. of Employees : |
780 |
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 : |
Slow but Correct |
|
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
ROONGTHAVORN
PLASTIC CO., LTD.
SUMMARY
BUSINESS ADDRESS : GATEWAY INDUSTRIAL ESTATE,
231-231/1 MOO
7, HUASAMRONG, PLAENGYAO,
CHACHOENGSAO 24190,
THAILAND
TELEPHONE : [66] 38
575-363-6
FAX : [66] 38
575-362
E-MAIL ADDRESS : rt2000@roongthavorn.co.th
REGISTRATION ADDRESS : WELLGROW
INDUSTRIAL ESTATE,
83 MOO
5, BANGNA-TRAD ROAD,
BANGSAMAK,
BANGPAKONG, CHACHOENGSAO
24180
ESTABLISHED : 1992
REGISTRATION NO. : 0115535006881
TAX ID NO. : 3271041963
CAPITAL REGISTERED : BHT.
180,000,000
CAPITAL PAID-UP : BHT.
180,000,000
SHAREHOLDER’S PROPORTION : THAI : 57.00%
TAIWANESE :
43.00%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR.
HU WEN CHUNG,
TAIWANESE
PRESIDENT
NO. OF STAFF : 780
LINES OF BUSINESS : PLASTIC INJECTION
SERVICE
MANUFACTURE CONTRACTOR
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 September
14, 1992 as
a private limited
company under the name
style ROONGTHAVORN PLASTIC CO.,
LTD., by Thai
and Taiwanese groups, with the business
objective to provide plastic injection
service for wide
range of industrial
parts to both
domestic and international
markets. It currently
employs 780 staff.
It achieved the
standard ISO 9001:2000,
ISO 14000, ISO 9001/TS16949
[2002] and ISO
14001:2004 certifications.
The subject’s registered address
is Wellgrow Industrial Estate,
83 Moo 5, Bangna-Trad Rd., Bangsamak,
Bangpakong, Chachoengsao
24180, while the
subject’s current operation
address is at
Gateway Industrial Estate,
231-231/1 Moo 7,
Huasamrong, Plaengyao, Chachoengsao
24190.
THE BOARD OF DIRECTOR
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Hu, Wen Chung |
|
Taiwanese |
65 |
|
Mr. Hu, Hong Zen |
|
Taiwanese |
35 |
|
Ms. Oranand Rangsanchinda |
|
Thai |
40 |
AUTHORIZED PERSON
Any of the
above directors can
sign on behalf
of the subject
with company’s affixed.
MANAGEMENT
Mr. Hu, Wen
Chung is the
President.
He is Taiwanese
nationality with the
age of 65 years
old.
Mr. Ho Hadanich
is the Managing
Director.
He is Australian
nationality.
Mr. Chinnapat [Former :
Suchai] Pitakmongkolsin is the Factory
Manager I [Gateway].
He is Thai
nationality.
Mr. Chokechai Sirikanchanapai is
the Factory Manager
II [Wellgrow].
He is Thai
nationality.
BUSINESS OPERATIONS
The subject is engaged in
manufacturing services of
plastic injection and
assembly, as well as providing spray
painting, hot stamping to
silk screen, assembly
and insert film on plastic parts for industrial parts
and components for electrical appliances
and home appliances industries, such as monitor, LCD,
refrigerator, plasma frame,
as well as
automotive parts and
handle.
The subject has
the mold shop
in order to
design and build
molds up to
L2000xW1500 mm., covering
sectors of their
products with a
monthly capacity of
25 molds.
CUSTOMER BRANDS
Electric Appliances [TV/ LCD] :
“LG”, “WISTRON”, “TATUNG”
Home Appliances : “TOSHIBA”,
“PANASONIC”, “HITACHI”,
“SHARP”,
“LG”, “HAIRE”
Automotive : “TOYOTA”,
“OMRON”, “ALPHA”, “SAS”
“TOPWING”
PURCHASE
Most of raw
materials are purchased
from local suppliers,
the remaining as
well as machinery
are imported from
Taiwan, U.S.A., Germany,
Japan and Republic
of China.
MAJOR SUPPLIERS
Mitutoyu Corporation :
Japan
Master-Tech Chemical Co.,
Ltd. : Thailand
SALES/SERVICES
80% of the
products is sold
and serviced locally
to manufacturers and
end-users, the remaining 20%
is exported to Taiwan, Japan,
U.S.A., Republic of
China, Indonesia, Malaysia,
Hong Kong, Korea,
Germany and Singapore.
MAJOR CUSTOMERS
World Electric [Thailand]
Co., Ltd : Thailand
Tatung [Thailand] Co.,
Ltd. : Thailand
Wistron Corporation : Taiwan
Top Wing Auto
Accessories Co., Ltd. : Thailand
Toshiba [Thailand] Co.,
Ltd. : Thailand
SUBSIDIARY AND AFFILIATED COMPANY
Roongthavorn Surface Technology
Co., Ltd.
Business Type :
Manufacturer of plastic
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
for the past
two years.
CREDIT
Sales/services 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.
Exports are against
T/T.
BANKING
Bangkok Bank Public
Co., Ltd.
Kasikornbank Public Co.,
Ltd.
EMPLOYMENT
The subject employs
approximately 780 staff.
LOCATION DETAILS
The premise is
owned for administrative office
and factory I
on 36,800 square
meters of land
at the heading
address. Premise is
located in industrial
area.
Factory II is located
on 6,500 square
meters of land,
at Wellgrow Industrial
Estate, 83 Moo 5, Bangna-Trad
Rd., Bangsamak, Bangpakong,
Chachoengsao 24180.
Tel : [66]
38 570-170-2, Fax
: [66] 38
570-169.
Mould shop is
located on 6,500
square meters of
land, at 231-231/3
Moo 7,
Huasamrong, Plaengyao,
Chachoengsao 24190. Tel.:
[66] 38 575-686-8.
Warehouse is located
at 398/1 Moo
7, Klongkiew, Banbueng,
Chonburi 20170.
COMMENT
The subject was formed
in 1992 as a professional
plastic injection
manufacturing services of
industrial parts for automobile,
electrical appliance, house hold goods and etc. Its
products have been served to
domestic and international.
Expanding market globally
and strong domestic
consumption have enabled
the subject to
become the leading
supplier of plastic
mold and injection
manufacturer. Despite the
growth of industrial
sector is relatively slowdown,
subject still maintains
a good business.
FINANCIAL INFORMATION
The capital was
registered at Bht.
5,000,000 divided into
50,000 shares of
Bht. 100 each.
The capital was
increased later as
following:
Bht. 30,000,000
on November 17,
1995
Bht. 70,000,000
on July 3,
1998
Bht. 150,000,000
on December 14,
1999
Bht. 170,000,000
on November 30,
2000
Bht. 180,000,000
on April 11,
2005
The latest registered
capital was increased to Bht. 180 million, divided into 1,800,000 shares of
Bht. 100 each
with fully paid.
THE SHAREHOLDERS
LISTED WERE
[as at April
30, 2013]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Ms. Oranand Rangsanchinda Nationality: Thai Address : 246/20
Ramkhamhaeng 196 Rd.,
Saensab,
Minburi, Bangkok |
806,000 |
44.78 |
|
Mr. Hu, Wen Chung Nationality: Taiwanese Address : 231
Moo 7, Huasamrong,
Plaengyao,
Chachoengsao |
500,000 |
27.78 |
|
Mrs. Wanphen Chitsoosuk Nationality: Thai Address : 322
Klongchan, Bangkapi, Bangkok |
220,000 |
12.22 |
|
Mr. Hu, Chao Chung Nationality: Taiwanese Address : Taiwan |
174,000 |
9.67 |
|
Mr. Hu, Hong Zen Nationality: Taiwanese Address : 231
Moo 7, Huasamrong,
Plaengyao,
Chachoengsao |
100,000 |
5.55 |
Total Shareholders : 5
Share Structure
[as at April
30, 2013]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
2 |
1,026,000 |
57.00 |
|
Foreign - Taiwanese |
3 |
774,000 |
43.00 |
|
Total |
5 |
1,800,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO.
Mr. Preeda Permpusri No.
466
BALANCE SHEET [BAHT]
The latest financial
figures published for
December 31, 2012,
2011 & 2010
were:
ASSETS
|
Current Assets |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Cash and Cash Equivalents
|
1,880,831.88 |
1,319,210.37 |
1,146,798.39 |
|
Trade Accounts &
Other Receivable |
197,336,231.12 |
197,996,761.89 |
263,365,736.70 |
|
Short-term Lending to Related Company |
- |
12,800,000.00 |
31,550,000.00 |
|
Inventories |
105,740,260.48 |
128,727,214.18 |
118,274,388.98 |
|
Other Current Assets
|
668,760.75 |
1,786,229.81 |
3,464,361.37 |
|
|
|
|
|
|
Total Current Assets
|
305,626,084.23 |
342,629,416.25 |
417,801,285.44 |
|
Cash at Bank pledged
as a Collateral |
4,719,250.09 |
7,219,831.83 |
- |
|
Investment in Affiliated Company |
85,000,000.00 |
75,000,000.00 |
50,000,000.00 |
|
Fixed Assets |
394,219,080.89 |
455,790,261.63 |
644,100,503.77 |
|
Intangible Assets |
552,509.99 |
956,935.29 |
1,565,765.46 |
|
Other Non-current Assets |
6,826,932.30 |
8,869,011.07 |
8,699,811.07 |
|
Total Assets |
796,943,857.50 |
890,465,456.07 |
1,122,167,365.74 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Bank Overdraft & Short-term Loan from Bank |
252,653,459.26 |
274,656,637.43 |
243,923,839.20 |
|
Trade Accounts &
Other Payable |
152,598,261.57 |
169,129,455.45 |
233,016,431.41 |
|
Current Portion of Long-term
Loans |
38,185,322.46 |
64,992,000.00 |
60,293,111.12 |
|
Short-term Loan |
- |
3,811,748.78 |
34,071,500.85 |
|
Other Short-term Loan |
66,103,400.46 |
65,772,166.31 |
88,029,679.00 |
|
Current Portion of Hire-purchase Assets Payable |
11,767,016.56 |
14,198,053.21 |
7,756,675.60 |
|
Accrued Income Tax |
51,773.70 |
36,477.37 |
- |
|
Other Current Liabilities |
3,399,984.42 |
3,302,871.49 |
22,446,850.15 |
|
|
|
|
|
|
Total Current Liabilities |
524,759,218.43 |
595,899,410.04 |
689,538,087.33 |
|
Long-term Loan |
12,556,817.89 |
32,035,817.89 |
174,123,080.46 |
|
Hire-purchase Assets Payable |
11,649,607.37 |
15,676,280.13 |
12,835,061.32 |
|
Total Liabilities |
548,965,643.69 |
643,611,508.06 |
876,496,229.11 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100 par
value authorized, issued
and fully paid share
capital 1,800,000 shares |
180,000,000.00 |
180,000,000.00 |
180,000,000.00 |
|
|
|
|
|
|
Capital Paid |
180,000,000.00 |
180,000,000.00 |
180,000,000.00 |
|
Retained Earning Appropriated for Statutory Reserve |
17,000,000.00 |
17,000,000.00 |
17,000,000.00 |
|
Unappropriated |
50,978,213.81 |
49,853,948.01 |
48,671,136.63 |
|
Total Shareholders' Equity |
247,978,213.81 |
246,853,948.01 |
245,671,136.63 |
|
Total Liabilities &
Shareholders' Equity |
796,943,857.50 |
890,465,456.07 |
1,122,167,365.74 |
PROFIT & LOSS ACCOUNT
|
Revenue |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Sales & Services Income
|
1,073,052,734.26 |
1,196,690,610.33 |
1,240,903,180.01 |
|
Sales - Overseas |
49,085,779.51 |
29,922,729.56 |
38,125,321.67 |
|
Gain on Disposal of Assets |
543,522.59 |
33,969,552.87 |
- |
|
Other Income |
3,932,200.22 |
17,136,901.06 |
5,371,497.04 |
|
Total Revenues |
1,126,614,236.58 |
1,277,719,793.82 |
1,284,399,998.72 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold & Services |
986,303,057.86 |
1,121,853,050.80 |
1,140,979,466.88 |
|
Selling Expenses |
14,065,489.29 |
18,484,741.46 |
12,395,724.70 |
|
Administrative Expenses |
92,920,491.33 |
95,820,444.78 |
87,500,622.98 |
|
Total Expenses |
1,093,289,038.48 |
1,236,158,237.04 |
1,240,875,814.56 |
|
|
|
|
|
|
Profit / [Loss] before Financial
Cost & Income Tax |
33,325,198.10 |
41,561,556.78 |
43,524,184.16 |
|
Financial Cost |
[29,507,134.87] |
[36,928,231.31] |
[35,879,078.82] |
|
|
|
|
|
|
Profit / [Loss] before Income
Tax |
3,818,063.23 |
4,633,325.47 |
7,645,105.34 |
|
Income Tax |
[2,693,797.43] |
[3,450,514.09] |
[3,005,661.01] |
|
Net Profit / [Loss] |
1,124,265.80 |
1,182,811.38 |
4,639,444.33 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2012 |
2011 |
2010 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
0.58 |
0.57 |
0.61 |
|
QUICK RATIO |
TIMES |
0.38 |
0.36 |
0.43 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
2.85 |
2.69 |
1.99 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.41 |
1.38 |
1.14 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
39.13 |
41.88 |
37.84 |
|
INVENTORY TURNOVER |
TIMES |
9.33 |
8.71 |
9.65 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
64.19 |
58.92 |
75.16 |
|
RECEIVABLES TURNOVER |
TIMES |
5.69 |
6.20 |
4.86 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
56.47 |
55.03 |
74.54 |
|
CASH CONVERSION CYCLE |
DAYS |
46.85 |
45.77 |
38.45 |
|
|
|
|
|
|
|
PROFITABILITY RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
87.89 |
91.46 |
89.21 |
|
SELLING & ADMINISTRATION |
% |
9.53 |
9.32 |
7.81 |
|
INTEREST |
% |
2.63 |
3.01 |
2.81 |
|
GROSS PROFIT MARGIN |
% |
12.50 |
12.71 |
11.21 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
2.97 |
3.39 |
3.40 |
|
NET PROFIT MARGIN |
% |
0.10 |
0.10 |
0.36 |
|
RETURN ON EQUITY |
% |
0.45 |
0.48 |
1.89 |
|
RETURN ON ASSET |
% |
0.14 |
0.13 |
0.41 |
|
EARNING PER SHARE |
BAHT |
0.62 |
0.66 |
2.58 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.69 |
0.72 |
0.78 |
|
DEBT TO EQUITY RATIO |
TIMES |
2.21 |
2.61 |
3.57 |
|
TIME INTEREST EARNED |
TIMES |
1.13 |
1.13 |
1.21 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
(8.52) |
(4.10) |
|
|
OPERATING PROFIT |
% |
(19.82) |
(4.51) |
|
|
NET PROFIT |
% |
(4.95) |
(74.51) |
|
|
FIXED ASSETS |
% |
(13.51) |
(29.24) |
|
|
TOTAL ASSETS |
% |
(10.50) |
(20.65) |
|
ANNUAL GROWTH : RISKY
An annual sales growth is -8.52%. Turnover has decreased from THB
1,226,613,339.89 in 2011 to THB 1,122,138,513.77 in 2012. While net profit has decreased
from THB 1,182,811.38 in 2011 to THB 1,124,265.80 in 2012. And total assets has
decreased from THB 890,465,456.07 in 2011 to THB 796,943,857.50 in 2012.
PROFITABILITY : RISKY
PROFITABILITY RATIO
|
Gross Profit Margin |
12.50 |
Deteriorated |
Industrial Average |
29.56 |
|
Net Profit Margin |
0.10 |
Deteriorated |
Industrial Average |
2.51 |
|
Return on Assets |
0.14 |
Deteriorated |
Industrial Average |
3.23 |
|
Return on Equity |
0.45 |
Deteriorated |
Industrial Average |
6.75 |
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 12.5%. 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 0.1%. 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. When compared with the
industry average, it was lower, the company's figure is 0.14%.
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 0.45%.
Trend of the average competitors in the same industry for last 5 years
Return on Assets Uptrend
Return on Equity Uptrend
LIQUIDITY : RISKY
LIQUIDITY RATIO
|
Current Ratio |
0.58 |
Risky |
Industrial Average |
1.34 |
|
Quick Ratio |
0.38 |
|
|
|
|
Cash Conversion Cycle |
46.85 |
|
|
|
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 0.58 times in 2012, increased
from 0.57 times, then the company may not be efficiently using its current
assets. 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 0.38 times in 2012,
increased from 0.36 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 47 days.
Trend of the average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE : ACCEPTABLE
LEVERAGE RATIO
|
Debt Ratio |
0.69 |
Acceptable |
Industrial Average |
0.52 |
|
Debt to Equity Ratio |
2.21 |
Risky |
Industrial Average |
1.05 |
|
Times Interest Earned |
1.13 |
Impressive |
Industrial Average |
1.01 |
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 1.13 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 0.69 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 |
2.85 |
Impressive |
Industrial Average |
0.53 |
|
Total Assets Turnover |
1.41 |
Impressive |
Industrial Average |
1.26 |
|
Inventory Conversion Period |
39.13 |
|
|
|
|
Inventory Turnover |
9.33 |
Impressive |
Industrial Average |
6.07 |
|
Receivables Conversion Period |
64.19 |
|
|
|
|
Receivables Turnover |
5.69 |
Impressive |
Industrial Average |
2.87 |
|
Payables Conversion Period |
56.47 |
|
|
|
The company's Account Receivable Ratio is calculated as 5.69 and 6.20 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 42 days at the
end of 2011 to 39 days at the end of 2012. This represents a positive trend.
And Inventory turnover has increased from 8.71 times in year 2011 to 9.33 times
in year 2012.
The company's Total Asset Turnover is calculated as 1.41 times and 1.38 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.59.41 |
|
|
1 |
Rs.90.38 |
|
Euro |
1 |
Rs.77.61 |
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.