MIRA INFORM REPORT

 

 

Report Date :

28.06.2013

 

IDENTIFICATION DETAILS

 

Name :

H.T CO., LTD

 

 

Registered Office :

No. 266 Co Bac Str - Co Giang Ward , 1 District, Ho Chi Minh City

 

 

Country :

Vietnam

 

 

Financials (as on) :

31.12.2012

 

 

Date of Incorporation :

03.10.2002

 

 

Com. Reg. No.:

0302741420

 

 

Legal Form :

Limited Liability Company

 

 

Line of Business :

Trading of household appliances, electrical materials, electronic goods, fabrics, yarns, garments, garment accessories, food, food technology, handicraft goods, rubber products, agro-forestry and aquaculture products.

 

 

No. of Employees :

12

 

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

 

English Name

 

H.T CO., LTD

Vietnamese Name

 

CONG TY TNHH THUONG MAI HOA THUAN

Short name

 

CONG TY TNHH HOA THUAN

Type of Business

 

Limited liability company

Year Established

 

2002

Business Registration No.

 

0302741420

Date of Registration

 

03 Oct 2002

5th revised

 

18 Jan 2012

Place of Registration

 

Business Registration Office - Department of Planning and Investment of Hochiminh City

Chartered capital

 

VND 8,000,000,000

Status

 

Unlisted

Tax code

 

0302741420

Total Employees

 

12

Size

 

Small

 

 

Head Office

Address

 

No. 266 Co Bac Str - Co Giang Ward , 1 District, Ho Chi Minh City, Vietnam

Telephone

 

(84-8) 3836 5703

Fax

 

(84-8) 3837 7457

Email

 

info@hoathuanrubber.com

 

 

DIRECTORS

 

1. NAME

 

Ms. DINH THI THANH TAM

Position

 

Director/ legal representative

Date of Birth

 

24 Oct 1953

ID Number/Passport

 

020057732

ID Issue Date

 

13 Nov 2003

ID Issue Place

 

Police Station of Ho Chi Minh City

Resident

 

No. 266 Co Bac STr - Co Giang Ward , 1 District, Ho Chi Minh City, Vietnam

Nationality

 

Vietnamese

 

2. NAME

 

Mr. MAN VAN CHUC

Position

 

Deputy Director

ID Number/Passport

 

021582495

Resident

 

No. 126 Dien Bien Phu Str - Da Kao Ward , 1 District, Ho Chi Minh City, Vietnam

Nationality

 

Vietnamese

 

3. NAME

 

Mr. MAN DINH THUAN

Position

 

Deputy Director

ID Number/Passport

 

023598529

Resident

 

No. 126 Dien Bien Phu Str - Da Kao Ward , 1 District, Ho Chi Minh City, Vietnam

Nationality

 

Vietnamese

 

4. NAME

 

Ms. QUACH THI GAM

Position

 

Chief Accountant

Nationality

 

Vietnamese

 

 

BUSINESS NATURE AND ACTIVITIES

 

Trading of household appliances, electrical materials, electronic goods, fabrics, yarns, garments, garment accessories, food, food technology, handicraft goods, rubber products, agro-forestry and aquaculture products.
 Purchasing wine, beer, juice, bottled water.
Freight services, transportation brokerage services, air-train ticket agent.

 

 

IMPORT & EXPORT ACTIVITIES

 

IMPORT:

Note: Currently, the subject does not import

 

EXPORT:

·         Market

 

Australia, New Zealand, Japan, USA, UAE, England, Malaysia, France, Singapore, Taiwan, China, Mexico, Brazil, Argentina, Pakistan, Russia, Romania, Bangladesh, Phillipines, Uruguay, Turkey, Spain.

 

 

BANKERS

 

1. ASIA COMMERCIAL BANK SAI GON BRANCH

Address

 

No.30 Mac Dinh Chi Str, 1 District, Ho Chi Minh City, Vietnam

Telephone

 

(84-8) 3824 3770

Fax

 

(84-8) 3824 3946

 

2. VIET NAM BANK FOR AGRICULTURE AND RURAL DEVELOPMENT HO CHI MINH CITY BRANCH

Address

 

No.2A Pho Duc Chinh Street, 1 District, Ho Chi Minh City, Vietnam

Telephone

 

(84-8) 38222752

Fax

 

(84-8) 38294063

 

 

SHAREHOLDERS

 

1. NAME

 

Mr. MAN DINH THUAN

Position

 

Deputy Director

ID Number/Passport

 

023598529

Resident

 

No. 126 Dien Bien Phu Str - Da Kao Ward , 1 District, Ho Chi Minh City, Vietnam

Nationality

 

Vietnamese

Value of shares

 

VND 2,000,000,000

Percentage

 

25%

 

2. NAME

 

Mr. MAN VAN CHUC

Position

 

Deputy Director

ID Number/Passport

 

021582495

Resident

 

No. 126 Dien Bien Phu Str - Da Kao Ward , 1 District, Ho Chi Minh City, Vietnam

Nationality

 

Vietnamese

Value of shares

 

VND 1,000,000,000

Percentage

 

12.5%

 

3. NAME

 

Ms. DINH THI THANH TAM

Position

 

Director

Date of Birth

 

24 Oct 1953

ID Number/Passport

 

020057732

Issued on

 

13 Nov 2003

Issued Place

 

Police Station of Ho Chi Minh City

Resident

 

No. 266 Co Bac STr - Co Giang Ward , 1 District, Ho Chi Minh City, Vietnam

Nationality

 

Vietnamese

Value of shares

 

VND 5,000,000,000

Percentage

 

62.5%

 

 

FINANCIAL DATA

 

BALANCE SHEET

Unit: One VND

Balance sheet date

31/12/2012

31/12/2011

Number of weeks

52

52

ASSETS

A – CURRENT ASSETS

231,311,798,866

167,403,847,583

I. Cash and cash equivalents

22,485,593,250

6,606,644,522

1. Cash

22,485,593,250

6,606,644,522

2. Cash equivalents

0

0

II. Short-term investments

0

0

1. Short-term investments

0

0

2. Provisions for devaluation of short-term investments

0

0

III. Accounts receivable

122,736,232,921

71,294,843,244

1. Receivable from customers

81,756,102,270

55,955,506,444

2. Prepayments to suppliers

40,980,130,651

15,339,336,800

3. Inter-company receivable

0

0

4. Receivable according to the progress of construction

0

0

5. Other receivable

0

0

6. Provisions for bad debts

0

0

IV. Inventories

65,581,482,059

68,854,815,120

1. Inventories

65,581,482,059

68,854,815,120

2. Provisions for devaluation of inventories

 

 

V. Other Current Assets

20,508,490,636

20,647,544,697

1. Short-term prepaid expenses

 

 

2. VAT to be deducted

20,508,490,636

20,647,544,697

3. Taxes and other accounts receivable from the State

0

0

4. Other current assets

0

0

B. LONG-TERM ASSETS

0

0

I. Long term accounts receivable

0

0

1. Long term account receivable from customers

0

0

2. Working capital in affiliates

0

0

3. Long-term inter-company receivable

0

0

4. Other long-term receivable

0

0

5. Provisions for bad debts from customers

0

0

II. Fixed assets

0

0

1. Tangible assets

0

0

- Historical costs

0

0

- Accumulated depreciation

0

0

2. Financial leasehold assets

0

0

- Historical costs

0

0

- Accumulated depreciation

0

0

3. Intangible assets

0

0

- Initial costs

0

0

- Accumulated amortization

0

0

4. Construction-in-progress

0

0

III. Investment property

0

0

Historical costs

0

0

Accumulated depreciation

0

0

IV. Long-term investments

0

0

1. Investments in affiliates

0

0

2. Investments in business concerns and joint ventures

0

0

3. Other long-term investments

0

0

4. Provisions for devaluation of long-term investments

0

0

V. Other long-term assets

0

0

1. Long-term prepaid expenses

0

0

2. Deferred income tax assets

0

0

3. Other long-term assets

0

0

VI. Goodwill

0

0

1. Goodwill

0

0

TOTAL ASSETS

231,311,798,866

167,403,847,583

 

LIABILITIES

A- LIABILITIES

198,662,064,499

148,782,444,786

I. Current liabilities

198,662,064,499

148,782,444,786

1. Short-term debts and loans

108,431,825,401

58,955,138,120

2. Payable to suppliers

 

89,827,306,666

3. Advances from customers

87,127,929,228

 

4. Taxes and other obligations to the State Budget

3,102,309,870

 

5. Payable to employees

0

0

6. Accrued expenses

0

0

7. Inter-company payable

0

0

8. Payable according to the progress of construction contracts

0

0

9. Other payable

0

0

10. Provisions for short-term accounts payable

0

0

11. Bonus and welfare funds

0

0

II. Long-Term Liabilities

0

0

1. Long-term accounts payable to suppliers

0

0

2. Long-term inter-company payable

0

0

3. Other long-term payable

0

0

4. Long-term debts and loans

0

0

5. Deferred income tax payable

0

0

6. Provisions for unemployment allowances

0

0

7. Provisions for long-term accounts payable

0

0

8. Unearned Revenue

0

0

9. Science and technology development fund

0

0

B- OWNER’S EQUITY

32,649,734,367

18,621,402,797

I. OWNER’S EQUITY

32,649,734,367

18,621,402,797

1. Capital

8,000,000,000

8,000,000,000

2. Share premiums

0

0

3. Other sources of capital

0

0

4. Treasury stocks

0

0

5. Differences on asset revaluation

0

0

6. Foreign exchange differences

0

0

7. Business promotion fund

0

0

8. Financial reserved fund

0

0

9. Other funds

0

0

10. Retained earnings

24,649,734,367

10,621,402,797

11. Construction investment fund

0

0

12. Business arrangement supporting fund

0

0

II. Other sources and funds

0

0

1. Bonus and welfare funds (Elder form)

0

0

2. Sources of expenditure

0

0

3. Fund to form fixed assets

0

0

MINORITY’S INTEREST

0

0

TOTAL LIABILITIES AND OWNER’S EQUITY

231,311,798,866

167,403,847,583

 

 

PROFIT & LOSS STATEMENT

 

Description

FY2012

FY2011

1. Total Sales

2,100,669,773,364

2,150,950,649,274

2. Deduction item

4,207,051,484

 

3. Net revenue

2,096,462,721,880

2,150,950,649,274

4. Costs of goods sold

2,051,772,176,965

2,142,858,712,000

5. Gross profit

44,690,544,915

8,091,937,274

6. Financial income

6,876,318,461

23,567,581,228

7. Financial expenses

3,834,473,305

7,753,477,584

- In which: Loan interest expenses

0

0

8. Selling expenses

0

0

9. Administrative overheads

35,657,202,087

28,113,092,402

10. Net operating profit

12,075,187,984

-4,207,051,484

11. Other income

0

0

12. Other expenses

0

0

13. Other profit /(loss)

0

0

14. Total accounting profit before tax

12,075,187,984

-4,207,051,484

15. Current corporate income tax

2,113,157,898

0

16. Deferred corporate income tax

0

0

17. Interest from subsidiaries/related companies

0

0

18. Profit after tax

9,962,030,086

-4,207,051,484

 

 

FINANCIAL RATIOS AND AVERAGE INDUSTRY RATIOS

 

Description

FY2012

FY2011

Average Industry

Current liquidity ratio

1.16

1.13

1.20

Quick liquidity ratio

0.83

0.66

0.65

Inventory circle

30.52

31.12

11.15

Average receive period

21.37

12.10

49.22

Utilizing asset performance

9.06

12.85

2.60

Liability by total assets

85.89

88.88

72.10

Liability by owner's equity

608.46

798.99

396.96

Ebit / Total assets (ROA)

5.22

-2.51

8.25

Ebit / Owner's equity (ROE)

36.98

-22.59

42.15

Ebit / Total revenue (NPM)

0.57

-0.20

4.23

Gross profit / Total revenue (GPM)

2.13

0.38

7.33

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

 

 

PAYMENT HISTORY & PERFORMANCE EXPERIENCES

 

Trade Morality

 

Normal

Liquidity

 

Low/Medium

Payment status

 

Average

Financial Situation

 

Average

Development trend

 

Developing

Litigation data

 

No Record

Bankruptcy

 

No Record

Payment Methods

 

By cash or through the bank

Sale Methods

 

Retailer and Wholesaler

 

 

 

INTERPRETATION ON THE SCORES

 

CONG TY TNHH THUONG MAI HOA THUAN has the shortened Vietnamese name of CONG TY TNHH HOA THUAN and shorten English name is H.T CO., LTD, was established in 2002 under the Business Registration No. 4102011951, issued on Oct 03rd , 2002.

Currently, the subject is operating under the Business Registration No. 0302741420 with chartered capital VND 8 billion.

Its head office is located at No. 266 Co Bac Str - Co Giang Ward -  District 1 - Ho Chi Minh City – Vietnam with about 12 employees in total workforce.

It is specializing in trading rubber products. The main products are the natural rubber products such as SVR 3L, SVR 10, SVR 20, RSS3. SVR5, SVRL. The subject has used the main materials in country. Its goods are consumed in domestic market.

In addition, it exports its products to Australia, New Zealand, Japan, USA, UAE, England, Malaysia, France, Singapore, Taiwan, China, Mexico, Brazil, Argentina, Pakistan, Russia, Romania, Bangladesh, Philippines, Uruguay, Turkey, Spain…. so on.  The market share of the subject is remarkable (Asian Market 50%, European Market 25%, Middle East Market 10%, American Market 15%).

Generally, the subject has operated normally at the small-medium scale and can be able to meet all normal business transactions.

 

------------ 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.59.70

UK Pound

1

Rs.92.25

Euro

1

Rs.78.38

 

 

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%)

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

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