MIRA INFORM REPORT

 

 

Report Date :

11.06.2013

 

IDENTIFICATION DETAILS

 

Name :

PHU MY PLASTICS AND CHEMICALS COMPANY LIMITED

 

 

Registered Office :

Cai Mep Industrial Zone, Phuoc Hoa Commune, Tan Thanh District, Ba Ria-Vung Tau Province

 

 

Country :

Vietnam

 

 

Financials (as on) :

31.12.2010

 

 

Year of Incorporation :

1997

 

 

Legal Form :

Limited Liability Company

 

 

Line of Business :

The subject specializes in producing PVC resins and related chemicals

 

 

No. of Employees :

135

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Status :

Moderate

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)

Vietnam

B1

B1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

VIETNAM - ECONOMIC OVERVIEW

 

Vietnam is a densely-populated developing country that has been transitioning from the rigidities of a centrally-planned economy since 1986. Vietnamese authorities have reaffirmed their commitment to economic modernization in recent years. Vietnam joined the World Trade Organization in January 2007, which has promoted more competitive, export-driven industries. Vietnam became an official negotiating partner in the Trans-Pacific Partnership trade agreement in 2010. Agriculture''s share of economic output has continued to shrink from about 25% in 2000 to less than 22% in 2012, while industry''s share increased from 36% to nearly 41% in the same period. State-owned enterprises account for roughly 40% of GDP. Poverty has declined significantly, and Vietnam is working to create jobs to meet the challenge of a labor force that is growing by more than one million people every year. The global recession hurt Vietnam''s export-oriented economy, with GDP in 2012 growing at 5%, the slowest rate of growth since 1999. In 2012, however, exports increased by more than 18%, year-on-year; several administrative actions brought the trade deficit back into balance. Between 2008 and 2011, Vietnam''s managed currency, the dong, was devalued in excess of 20%, but its value remained stable in 2012. Foreign direct investment inflows fell 4.5% to $10.5 billion in 2012. Foreign donors have pledged $6.5 billion in new development assistance for 2013. Hanoi has oscillated between promoting growth and emphasizing macroeconomic stability in recent years. In February 2011, the Government shifted policy away from policies aimed at achieving a high rate of economic growth, which had stoked inflation, to those aimed at stabilizing the economy, through tighter monetary and fiscal control. Although Vietnam unveiled a broad, "three pillar" economic reform program in early 2012, proposing the restructuring of public investment, state-owned enterprises, and the banking sector, little perceptible progress had been made by early 2013. Vietnam''s economy continues to face challenges from an undercapitalized banking sector. Non-performing loans weigh heavily on banks and businesses. In September 2012, the official bad debt ratio climbed to 8.8%, though some independent analysts believe it could be higher than 15%.

Source : CIA


 

SUBJECT IDENTIFICATION & LEGAL FORM

 

Current legal status

English Name

 

PHU MY PLASTICS AND CHEMICALS COMPANY LIMITED

Vietnamese Name

 

CONG TY TNHH NHUA VA HOA CHAT PHU MY

Short name

 

PMPC

Type of Business

 

Limited liability company

Year Established

 

1997

Investment Certificate No

 

492022000054

Date of Issuance

 

08 Aug 2007

Place of Issuance

 

Ba Ria-Vung Tau Industrial Zone Authority

Registered Investment Capital

 

USD 100,000,000

Chartered capital

 

USD   35,000,000

Investment Duration

 

30 years

Tax code

 

3500103859

Total Employees

 

135

 

Historical Identification & Legal form

 

List

Changed Items

Date of changes

1

Subject has got former Board Of Director: Mr. MUHAMMAD AZNAN ZAHID - The former general director

Changed to: Ms. NGUYEN VU KIM LIEN - The current general director

01 Oct 2011

2

Subject has got former Investment Certificate No: 1305/GPDC1 which was issued on August 8th, 1997

Changed to: 492022000054

08 Aug 2007

 

ADDRESSES

 

Head Office

Address

 

Cai Mep Industrial Zone, Phuoc Hoa Commune, Tan Thanh District, Ba Ria-Vung Tau Province, Vietnam

Telephone

 

(84-64) 389 5310

Fax

Q

(84-64) 389 4459

Occupied Area

 

19,000m2

Land-use Right

 

Leased

 

Transaction office in Ho Chi Minh

Address

 

10th Floor - Petronas Tower - Royal centre No. 235 Nguyen Van Cu Street - Nguyen Cu Trinh Ward, District 1, Ho Chi Minh City, Vietnam

Telephone

 

(84-8) 3830 9966

Fax

 

(84-8) 3833 3623

 

Representative office in Ha Noi

Address

 

Unit 12, 10th Floor, Harec Building, No. 4A Lang Ha Ward, Ba Dinh District, Ha Noi City, Vietnam

 

 

DIRECTORS

 

1. NAME

 

Ms. NGUYEN VU KIM LIEN

Position

 

General Director

Date of Birth

 

29 Apr 1976

ID Number/Passport

 

023030760

ID Issue Date

 

18 Apr 2006

ID Issue Place

 

Hochiminh Police Station

Resident

 

45/102 Nguyen Van Dau Ward 6, Binh Thanh District, Ho Chi Minh City, Vietnam

Nationality

 

Vietnamese

 

2. NAME

 

Mr. DANG DINH TUNG

Position

 

Deputy General Director

Nationality

 

Vietnamese

 

3. NAME

 

Mr. YUSA' BIN HASSAN

Position

 

Chairman

Nationality

 

Malaysian

 

4. NAME

 

Mr. LUU THIEU KY

Position

 

Deputy General Director

Nationality

 

Vietnamese

 

5. NAME

 

Mr. MOHD HASHIM MAHMOOD

Position

 

Chief Accountant

Nationality

 

Malaysian

 

 

BUSINESS NATURE AND ACTIVITIES

 

The subject specializes in producing PVC resins and related chemicals. It produces and supplies to the market 5 kinds of PVC resins as follow:
- PM66R- high apparent density for high productivity extrusion pipes, ceiling, panel and others.
- PM66G - For films, profiles, corrupted sheets, cables and conduit pipes
- PM66F – for flexible hoses, leathers, footwears and cables.
- PM70 – For film, leather, sheathing of electric wires and cables.
- PM57 – For pipe Fittings, tiles, bottles and shrinkable film.

 

 

IMPORT & EXPORT ACTIVITIES

 

IMPORT:

·         Market

 

England, Malaysia, Thailand and Japan

·         Mode of payment

 

LC, TT

 

EXPORT:

·         Market

 

India, China, Japan

·         Mode of payment

 

LC, TT

 

 

BANKERS

 

1. VID PUBLIC BANK LIMITED CHO LON BRANCH

Address

 

No.26-28 Tran Hung Dao Str, Ward 7, District 5, Ho Chi Minh City, Vietnam

Telephone

 

(84-8) 6261 0507  

Fax

 

(84-8) 6261 0505

 

2. JOINT STOCK BANK FOR FOREIGN TRADE OF VIETNAM HO CHI MINH BRANCH

Address

 

No.10 Vo Van Kiet Street, District 1, Ho Chi Minh City, Vietnam

Telephone

 

(84-8) 3829 7245

Fax

 

(84-8) 3829 7228

 

 

SHAREHOLDERS

 

1. NAME

 

VUNGTAU SHIPYARD CORPORATION

Business Registration

 

3500100135

Date of Registration

 

01 Apr 2010

Place of Registration

 

Business Registration Office of Ba Ria - Vung Tau Province

Registered Capital

 

VND 110,000,000,000

Tax code

 

3500100135

Address

 

847/4, Street 30/4 , Ward 11 Ward 11, Vung Tau City, Ba Ria-Vung Tau Province, Vietnam

Tel

 

(84-64) 3848 326 - 3522 781

Fax

 

(84-64) 3849 164 - 3852 814

Email

 

info@vungtaushipyard.com.vn 

Website

 

www.vungtaushipyard.com.vn 

Percentage

 

7%

 

2. NAME

 

PETRONAS CHEMICAL GROUP BERHAD

Address

 

Tower I, PETRONAS Twin Towers Kuala Lumpur City Center, 50088 Kuala Lumpur, Malaysia

Percentage

 

93%

 

 

FINANCIAL DATA

 

Despite trying best, the latest financial data is not available.

BALANCE SHEET

Unit: One VND

Balance sheet date

31/12/2010

Number of weeks

52

ASSETS

A – CURRENT ASSETS

515,981,644,972

I. Cash and cash equivalents

179,582,382,596

1. Cash

7,061,654,932

2. Cash equivalents

172,520,727,664

II. Short-term investments

0

1. Short-term investments

0

2. Provisions for devaluation of short-term investments

0

III. Accounts receivable

192,249,064,380

1. Receivable from customers

188,820,819,956

2. Prepayments to suppliers

3,078,911,160

3. Inter-company receivable

0

4. Receivable according to the progress of construction

0

5. Other receivable

349,333,264

6. Provisions for bad debts

0

IV. Inventories

128,829,079,424

1. Inventories

128,829,079,424

2. Provisions for devaluation of inventories

0

V. Other Current Assets

15,321,118,572

1. Short-term prepaid expenses

1,844,298,644

2. VAT to be deducted

13,320,365,880

3. Taxes and other accounts receivable from the State

0

4. Other current assets

156,454,048

B. LONG-TERM ASSETS

656,861,150,648

I. Long term accounts receivable

0

1. Long term account receivable from customers

0

2. Working capital in affiliates

0

3. Long-term inter-company receivable

0

4. Other long-term receivable

0

5. Provisions for bad debts from customers

0

II. Fixed assets

637,641,971,140

1. Tangible assets

611,644,397,284

- Historical costs

1,075,442,540,076

- Accumulated depreciation

-463,798,142,792

2. Financial leasehold assets

0

- Historical costs

0

- Accumulated depreciation

0

3. Intangible assets

25,997,573,856

- Initial costs

44,837,469,676

- Accumulated amortization

-18,839,895,820

4. Construction-in-progress

0

III. Investment property

0

Historical costs

0

Accumulated depreciation

0

IV. Long-term investments

0

1. Investments in affiliates

0

2. Investments in business concerns and joint ventures

0

3. Other long-term investments

0

4. Provisions for devaluation of long-term investments

0

V. Other long-term assets

19,219,179,508

1. Long-term prepaid expenses

12,387,964,880

2. Deferred income tax assets

5,791,298,800

3. Other long-term assets

1,039,915,828

VI. Goodwill

0

1. Goodwill

0

TOTAL ASSETS

1,172,842,795,620

 

LIABILITIES

A- LIABILITIES

982,774,962,688

I. Current liabilities

415,993,877,260

1. Short-term debts and loans

42,616,518,892

2. Payable to suppliers

353,046,510,752

3. Advances from customers

6,459,409,080

4. Taxes and other obligations to the State Budget

3,079,649,508

5. Payable to employees

1,702,479,032

6. Accrued expenses

5,734,332,412

7. Inter-company payable

0

8. Payable according to the progress of construction contracts

0

9. Other payable

3,354,977,584

10. Provisions for short-term accounts payable

0

11. Bonus and welfare funds

 

II. Long-Term Liabilities

566,781,085,428

1. Long-term accounts payable to suppliers

0

2. Long-term inter-company payable

0

3. Other long-term payable

0

4. Long-term debts and loans

563,676,426,748

5. Deferred income tax payable

0

6. Provisions for unemployment allowances

3,104,658,680

7. Provisions for long-term accounts payable

0

8. Unearned Revenue

 

9. Science and technology development fund

 

B- OWNER’S EQUITY

190,067,832,932

I. OWNER’S EQUITY

190,067,832,932

1. Capital

662,620,000,000

2. Share premiums

0

3. Other sources of capital

0

4. Treasury stocks

0

5. Differences on asset revaluation

0

6. Foreign exchange differences

0

7. Business promotion fund

0

8. Financial reserved fund

0

9. Other funds

0

10. Retained earnings

-472,552,167,068

11. Construction investment fund

0

12. Business arrangement supporting fund

0

II. Other sources and funds

0

1. Bonus and welfare funds (Elder form)

0

2. Sources of expenditure

0

3. Fund to form fixed assets

0

MINORITY’S INTEREST

0

TOTAL LIABILITIES AND OWNER’S EQUITY

1,172,842,795,620

 

 

PROFIT & LOSS STATEMENT

 

Description

FY2010

1. Total Sales

1,953,353,609,132

2. Deduction item

0

3. Net revenue

1,953,353,609,132

4. Costs of goods sold

1,798,652,247,828

5. Gross profit

154,701,361,304

6. Financial income

38,476,582,724

7. Financial expenses

72,727,126,544

- In which: Loan interest expenses

-

8. Selling expenses

44,475,792,748

9. Administrative overheads

25,544,379,640

10. Net operating profit

50,430,645,096

11. Other income

21,942,528,776

12. Other expenses

1,421,566,016

13. Other profit /(loss)

20,520,962,760

14. Total accounting profit before tax

70,951,607,856

15. Current corporate income tax

-864,756,964

16. Deferred corporate income tax

4,128,425,512

17. Interest from subsidiaries/related companies

0

18. Profit after tax

75,944,790,332

 

 

FINANCIAL RATIOS AND AVERAGE INDUSTRY RATIOS

 

Description

FY2010

Average Industry

Current liquidity ratio

1.24

1.59

Quick liquidity ratio

0.93

0.85

Inventory circle

13.96

6.51

Average receive period

35.92

98.33

Utilizing asset performance

1.67

1.27

Liability by total assets

83.79

57.42

Liability by owner's equity

517.07

188.33

Ebit / Total assets (ROA)

6.05

7.26

Ebit / Owner's equity (ROE)

37.33

17.71

Ebit / Total revenue (NPM)

3.63

6.23

Gross profit / Total revenue (GPM)

7.92

17.03

Note: The Average Industry was calculated by VietnamCredit based on our own statistical data

 

 


 

 

 

 

 

 

FINANCIAL HIGHLIGHT

 

BALANCE SHEET

Unit: One VND

Balance sheet date

31/12/2009

Number of weeks

52

ASSETS

A. Current Asset

383,087,000,000

Receivables

241,643,000,000

Inventory

78,283,000,000

Cash and other current assets

63,161,000,000

B. Long term Asset

696,917,000,000

1. Long term account receivable

21,935,000,000

2. Fixed assets

674,982,000,000

Tangible fixed assets

646,836,000,000

+ Original cost

1,049,254,000,000

+ Accumulated depreciation value

-402,418,000,000

Financial leasehold assets

0

Intangible fixed assets

28,146,000,000

Construction in progress and other long term asset

0

TOTAL ASSETS

1,080,004,000,000

 

LIABILITIES

Payable loans

980,189,000,000

Owner’s Equity

99,815,000,000

TOTAL LIABILITY AND EQUITY

1,080,004,000,000

 

PROFIT & LOSS STATEMENT

 

1. Total Sales

1,895,143,000,000

2. Deduction item

0

3. Net revenue

1,895,143,000,000

4. Costs of goods sold

1,730,075,000,000

5. Gross profit

165,068,000,000

6. Financial income

24,050,000,000

7. Financial expenses

52,283,000,000

8. Selling expenses and Administrative overheads

53,823,000,000

9. Net operating profit

83,012,000,000

10. Other income

1,504,000,000

11. Other expenses

44,384,000,000

12. Other profit /(loss)

-42,880,000,000

13. Total accounting profit before tax

40,132,000,000

14. Current corporate income tax

2,055,000,000

15. Deferred corporate income tax

0

16. Interest from subsidiaries/related companies

0

17. Profit after tax

38,077,000,000

 

 

PAYMENT HISTORY & PERFORMANCE EXPERIENCES

 

Trade Morality

 

Fair

Liquidity

 

N/A

Payment status

 

N/A

Financial Situation

 

Average

Development trend

 

Even

Litigation data

 

No Record

Bankruptcy

 

No Record

Payment Methods

 

LC, TT

Sale Methods

 

Wholesaler

 

 

 

INTERPRETATION ON THE SCORES

 

The subject - PHU MY PLASTICS AND CHEMICALS COMPANY LIMITED - was established in 1997. The subject is now operating under Investment Certificate No. 492022000054 issued by Ba Ria-Vung Tau Industrial Zone Authority. Its current registered investment capital is USD 100 million and chartered capital is USD 35 million.

Head office and factory of subject is located at Cai Mep Industrial Zone - Phuoc Hoa Commune - Tan Thanh District - Ba Ria-Vung Tau Province – Vietnam with total area 19,000m2. In addition, the subject has a transaction office in Ho Chi Minh City and representative office in Ha Noi City.

The subject is principally engaged in producing PVC resins such as K57, K66R, K66G, K66F, K70 and related chemicals. Besides domestic market, its products are exported to Japan, India and China to supply for industries manufacturing industrial plastic products. The subject imports materials (vinyl chloride monomer (VCM)) from England, Malaysia, Thailand and Japan…

 The management capability of the subject is fairly. Its production operations are busy. The position in the industry of the subject is good. Its market share is stable. According to the financial data, the subject is operating fairly well. Total sales in 2010 was VND 1,953,353,609,132 and profit after tax was VND 75,944,790,332. Those were high numbers. Liquidity of the subject was at average level. ROA, ROE were fairly good. 

In overview, the subject is operating normally. It has no change in recent. The subject has capacity to meet normal business transaction.

 

------------ APPENDIX ----------

 

INDUSTRY DATA

 

Industry code

GDP growth speed by price compared with 1994 (%)

Total enterprises 2010

Total employees 2011

(Thous.pers.)

Annual average capital of enterprises 2010

(billion dongs)

2012

2011

Agriculture, Forestry and Fishing

2.72

4.00

8,887

24,362.9

95,227

Industry and Construction

4.52

5.53

95,217

10,718.9

3,641,376

Trade and Services

6.42

6.69

187,195

15,270.2

6,957,082

 

ECONOMIC INDICATORS

 

 

2012 

2011 

2010 

Population (Million person)

88.78

87.84

86.93

Gross Domestic Products (USD billion)

136

119

102.2

GDP Growth (%)

5.03

5.89

6.78

GDP Per Capita (USD/person/year)

1,540

1,300

1,160

Inflation (% Change in Composite CPI)

9.21

18.58

11.75

State Budget Deficit compared with GDP (%)

4.8

4.9

5.8

 

SERVICE TRADE PERFORMANCE

 

Billion USD 

2012 

2011 

2010 

Exports

114.6

96.3

72.2

Imports

114.3

105.8

84.8

Trade Balance

0.3

-9.5

-12.6

Source: General Statistics Office

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.57.78

UK Pound

1

Rs.89.71

Euro

1

Rs.76.23

 

 

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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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.