MIRA
INFORM REPORT
|
Report Date : |
29.06.2013 |
IDENTIFICATION DETAILS
|
Name : |
AMCOR FLEXIBLES BANGKOK PUBLIC COMPANY LIMITED |
|
|
|
|
Formerly Known As : |
ALCAN PACKAGING STRONGPACK PUBLIC COMPANY LIMITED |
|
|
|
|
Registered Office : |
91 Moo 13, Kingkaew Road, T. Rachadhewa, A. Bangplee, Samutprakarn 10540 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
30.06.2012 |
|
|
|
|
Date of Incorporation : |
30.08.1977 |
|
|
|
|
Com. Reg. No.: |
0107536000501 |
|
|
|
|
Legal Form : |
Public Limited Company |
|
|
|
|
Line of Business : |
Manufacture, Distribute and Export of Flexible Packaging Materials |
|
|
|
|
No. of Employees : |
700 |
RATING & COMMENTS
|
MIRA’s Rating : |
A |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Status : |
Good |
|
Payment Behaviour : |
Regular |
|
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
AMCOR
FLEXIBLES BANGKOK PUBLIC
COMPANY LIMITED
[FORMER : ALCAN PACKAGING
STRONGPACK PUBLIC COMPANY
LIMITED]
SUMMARY
BUSINESS ADDRESS : 91
MOO 13, KINGKAEW ROAD, T.
RACHADHEWA,
A. BANGPLEE, SAMUTPRAKARN
10540,
THAILAND
TELEPHONE : [66]
2312-4122-9
FAX :
[66] 2312-4133,
2312-4679, 2312-4130
E-MAIL
ADDRESS : market@amcor.com
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED : 1977
REGISTRATION
NO. : 0107536000501 [Former : BOR.MOR.JOR.124]
TAX
ID NO. : 3101062458
CAPITAL
REGISTERED : BHT.
330,000,000
CAPITAL
PAID-UP : BHT. 330,000,000
SHAREHOLDER’S PROPORTION : THAI :
54%
BRITISH :
46%
FISCAL
YEAR CLOSING DATE : JUNE
30
LEGAL
STATUS : PUBLIC LIMITED
COMPANY
EXECUTIVE : MR.
PALIT LIMPITI, THAI
PRESIDENT
NO.
OF STAFF : 700
LINES
OF BUSINESS : FLEXIBLE
PACKAGING MATERIALS
MANUFACTURE, DISTRIBUTE
AND EXPORT
CORPORATE PROFILE
OPERATING
TREND : STABLE
PRESENT
SITUATION : OPERATING
NORMALLY
REPUTATION : GOOD
FOR NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT
STANDARD : MANAGEMENT
WITH GOOD PERFORMANCE
HISTORY
The subject was
initially established on
August 30, 1977 as
a private limited
company under the
name “Strongpack Co.,
Ltd.” By a
group of Thai investors
and the Industrial
Finance Corporation of
Thailand, with the
business objective to
provide manufacturing service
wide range of
flexible packaging materials
for various industries. On May 16, 1978,
it was listed
on the Stock Exchange of Thailand.
On June 17,
1993, its status
was converted to
public limited company.
In 1984, the
subject’s first joint
venture with AB
Akerlund and Rausing
of Sweden.
In 1995, the subject’s
new joint venture
with VAW Europack GmbH, the
second largest European softpack
company, comprising prominent
operators from France,
Germany and Italy. VAW Europack
GmbH works continuously at the cutting
edge of technology, providing technological
inspiration to the subject.
In 1996, the
subject achieved ISO
9001 Certification and
has acquired Strong
Thai Pack Co., Ltd.,
another flexible packaging
manufacturer.
In 1999, VAW
Europack GmbH, had
merged its business
with VAW Aluminium
AG. And became to
the major suppliers
of the subject.
In 2000, VAW Aluminium
AG. has merged
its business with
VAW Auslands-Beteiligungs GmbH,
and changed its
name to Hydro
Aluminium Foreign Holdings
GmbH.
In May 2003,
Hydro Aluminium Foreign
Holdings GmbH sold
the subject’s shares
to Alcan Inc., and
became a major
shareholder of the
subject.
On July 22,
2003, the subject’s
name was changed
to ALCAN PACKAGING
STRONGPACK PUBLIC COMPANY
LIMITED [APSP].
On November 29,
2005, the subject
revoked its name
from the Stock
Exchange of Thailand
[SET].
On April 21,
2010, its registered
name was finally
changed to AMCOR
FLEXIBLES BANGKOK PUBLIC
COMPANY LIMITED.
At present, the
major shareholders are
Amcor Flexibles Petchburi
Co., Ltd., Thailand, and Amcor
Holdco 3 Limited, England, with
holding around 53.42%
and 46% of
the subject’s shares
respectively. It currently
employs approximate 700
staff.
The subject’s registered
address is 91 Moo
13, Kingkaew Rd., T.
Rachadhewa,
A. Bangplee, Samutprakarn 10540,
and this is
the subject’s current
operation address.
THE BOARD
OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Prof. Toemsakdi Krishnamra |
: Chairman |
Thai |
86 |
|
Mr. Anothai Techamontrikul |
: Vice Chairman |
Thai |
70 |
|
Mr. Udom Vichayabhai |
|
Thai |
78 |
|
Mr. Palit Limpiti |
|
Thai |
52 |
|
Mr. Ralf Klaus Wunderlich |
|
Dutch |
47 |
|
Mr. Rumpai Sukhyanga |
|
Thai |
70 |
|
Mrs. Ampai Chamnanthongsawad |
|
Thai |
56 |
|
Mr. Andrew John
Terry |
|
Australian |
44 |
AUTHORIZED PERSON
Two of the
above directors can jointly
sign on behalf
of the subject
with the
company’s affixed.
MANAGEMENT
Mr. Palit Limpiti
is the President.
He is Thai
nationality with the
age of 52
years old.
Ms. Anthika Boonyasart is
the Sales & Marketing Manager.
She is Thai
nationality.
Mr. Somphop Saengpetphairoj is
the Financial &
Accounting Manager.
He is Thai
nationality.
Mr. Nutthawut Mahavilai is
the Personnel Manager.
He is Thai
nationality.
Ms. Sirinart Chamnanlertkul is
the Purchasing Manager.
She is Thai
nationality.
Mr. Natthapol Siroratanakul is
the Factory Manager.
He is Thai
nationality.
Mr. Vinai Jitkham
is the Engineering
and Products Development
Manager.
He is Thai
nationality.
BUSINESS OPERATIONS
The subject’s activity is a
manufacturing contract of
flexible packaging materials
for various industries
such as food,
cosmetics, pharmaceutical,
chemical and consumer goods. The products
include refills, portion
pack, pouch, bag,
wrapper, specialty film
and etc., under
customer’s own brands.
IMPORT [COUNTRIES]
30% of raw materials
such as flexible
film, paper, aluminium foil, PVC resin,
ink, adhesives, solvents and etc. are imported from Singapore,
Republic of China, Taiwan, India, Germany, France,
Australia, U.S.A., and other
European countries. The majority
of 70% is
purchased from local
suppliers.
MAJOR SUPPLIERS
|
Name |
Country |
|
|
|
|
Dow Chemical Thailand
Ltd. |
Thailand |
|
3TM Plastics Co.,
Ltd. |
Thailand |
|
Thai Film Industries
Public Co., Ltd. |
Thailand |
|
ICI 1996 [Thailand] Ltd. |
Thailand |
|
Toyo Ink [Thailand]
Co., Ltd. |
Thailand |
SALES [LOCAL]
85% of its
products is sold
locally to manufacturers
and end-users e.g. hospitals.
EXPORT [COUNTRIES]
15% of the products
is exported to Pakistan,
Vietnam, Korea, Hong Kong,
Malaysia, Philippines,
Japan, Australia, New
Zealand, Sri Lanka,
India, Indonesia, Bangladesh
and Iran.
MAJOR CUSTOMERS
|
Name |
Country |
|
|
|
|
Unilever Thai Holding
Ltd. |
Thailand |
|
Proctor and Gamble
Manufacturer Co., Ltd. |
Thailand |
|
Frito Lay Thailand
Co., Ltd. |
Thailand |
|
Kao Industrial [Thailand]
Co., Ltd. |
Thailand |
|
Saha Pathana Inter-Holding Co.,
Ltd. |
Thailand |
|
Pepsi-Cola Thai Trading
Co., Ltd. |
Thailand |
|
Nestle [Thailand] Co., Ltd. |
Thailand |
|
IP Manufacturing Co., Ltd. |
Thailand |
|
BIO Manufacturing Co., Ltd. |
Thailand |
|
Johnson & Johnson [Thailand] Co., Ltd. |
Thailand |
|
Colgate Palmolive [Thailand]
Co., Ltd. |
Thailand |
|
Lion Corporation
[Thailand] Ltd. |
Thailand |
SUBSIDIARIES &
AFFILIATED COMPANIES
Amcor Flexibles Chonburi
Co., Ltd.
Business Type :
Manufacturer of Flexible
Packaging Materials
Amcor Flexibles Petchburi
Co., Ltd.
Business Type :
Manufacturer of Flexible
Packaging Materials
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 are by
cash or on
the credits term
of 30-60 days.
Local bills are
paid by cash
or on the
credits of 30-60
days.
Imports are by
L/C on the
credits term of 30-60
days & T/T.
Exports are against
L/C at sight
or T/T.
BANKING
Kasikornbank Public Co.,
Ltd.
Bangkok Bank Public
Co., Ltd.
Citibank, NA
BNP Paribas Banking
Sumitomo-Mitsui Banking Corporation
EMPLOYMENT
The subject employs
approximately 700 staff comprising
office staff and factory
workers.
LOCATION DETAILS
The premise is
owned for administrative an
office, factory and
warehouse on 80,000
square meters of land
at the heading
address. Premise is
located in industrial
area.
COMMENT
The subject has
been firmly established
for over three decades
as a manufacturing
contract of flexible
packaging materials supplying
to various industries.
The subject’s business
is promising in
line with the improvement and
growth of related
industries. In general,
the subject’s business
is solid and
remains profitable for
many consecutive years.
FINANCIAL INFORMATION
The capital was initially
registered at Bht. 50,000,000 divided into
500,000 shares of Bht.
100 each.
On January 19,
1979, its capital was
increased to Bht.
100,000,000 divided into
Bht. 1,000,000 shares
of Bht. 100
each.
The latest capital
was increased to
Bht. 330,000,000 divided into
33,000,000 shares of
Bht. 10 each
with fully paid.
MAIN SHAREHOLDERS : [as at
October 26, 2012]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Amcor Flexibles Petchburi
Co., Ltd. Nationality: Thai Address : 91 Moo 13, Kingkaew
Rd., Rajathewa, Bangplee, Samutprakarn |
17,627,242 |
53.42 |
|
Amcor Holdco 3
Limited Nationality: British Address : A-L House
83 Tower Road
North
Warmley, Bristol BS 30
8 XP, England |
15,179,970 |
46.00 |
|
Others |
192,788 |
0.58 |
Total Shareholders : 120
Share Structure [as
at October 26,
2012]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
119 |
17,820,030 |
54.00 |
|
Foreign - British |
1 |
15,179,970 |
46.00 |
|
Total |
120 |
33,000,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Mr. Prasit Yuengsrikul No.
4174
AMCOR FLEXIBLES BANGKOK PUBLIC COMPANY
LIMITED
BALANCE SHEET [BAHT]
The
latest financial figures
published for June
30, 2012, 2011 &
2010 were:
ASSETS
|
Current Assets |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Cash and Cash Equivalents |
94,709,833 |
24,552,318 |
35,645,869 |
|
Trade Accounts Receivable |
529,703,583 |
547,488,157 |
550,637,772 |
|
Other Receivable |
235,587,953 |
91,553,249 |
- |
|
Short-term Lending to
Related Company |
159,250,000 |
372,933,600 |
290,911,000 |
|
Inventories |
280,525,837 |
301,919,192 |
274,376,104 |
|
Related Company Receivable |
- |
- |
1,584,700 |
|
Deferred Dividend from Subsidiaries Company |
- |
- |
25,000,000 |
|
Current Portion of Financial Lease Contract Receivable Machine |
3,242,781 |
3,223,715 |
3,204,762 |
|
Deferred Value Added Tax |
108,901,308 |
122,995,019 |
93,703,746 |
|
Other Current Assets
|
1,197,245 |
710,825 |
14,807,261 |
|
|
|
|
|
|
Total Current Assets
|
1,413,118,540 |
1,465,376,075 |
1,289,871,214 |
|
Investment in Subsidiary |
139,083,318 |
139,083,318 |
139,083,318 |
|
Fixed Assets |
488,910,165 |
394,781,541 |
377,476,234 |
|
Intangible Assets |
6,622,947 |
2,675,782 |
- |
|
Financial Lease Contract Receivable
Machinery, net |
3,261,959 |
6,504,740 |
9,728,455 |
|
Other Non-current Assets |
1,073,003 |
1,068,003 |
1,068,003 |
|
Total Assets |
2,052,069,932 |
2,009,489,459 |
1,817,227,224 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Trade Accounts Payable |
621,723,556 |
686,469,270 |
643,886,124 |
|
Other Payable |
82,669,693 |
59,790,236 |
- |
|
Related Company Payable |
- |
- |
10,210,395 |
|
Accrued Expenses |
- |
- |
80,472,007 |
|
Accrued Dividend |
- |
- |
65,300,833 |
|
Accrued Income Tax |
9,597,473 |
5,923,043 |
- |
|
Short-term Loan from
Subsidiaries |
- |
153,000,000 |
11,746,894 |
|
|
|
|
|
|
Total Current Liabilities |
713,990,722 |
905,182,549 |
811,616,253 |
|
|
|
|
|
|
Estimated Liabilities for Employee’s Benefit |
59,124,831 |
377,638 |
3,146,588 |
|
Total Liabilities |
773,115,553 |
905,560,187 |
814,762,841 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 10
par value authorized, issued
and fully paid
share capital 33,000,000
shares |
330,000,000 |
330,000,000 |
330,000,000 |
|
|
|
|
|
|
Capital Paid |
330,000,000 |
330,000,000 |
330,000,000 |
|
Premium on Share
Capital |
137,314,000 |
137,314,000 |
137,314,000 |
|
Retained Earning Appropriated for
Statutory Reserve
|
33,000,000 |
33,000,000 |
33,000,000 |
|
Unappropriated |
778,640,379 |
603,615,272 |
502,150,383 |
|
Total Shareholders' Equity |
1,278,954,379 |
1,103,929,272 |
1,002,464,383 |
|
Total Liabilities &
Shareholders' Equity |
2,052,069,932 |
2,009,489,459 |
1,817,227,224 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Sales |
2,398,579,092 |
2,727,379,878 |
1,375,344,523 |
|
Other Income |
258,707,493 |
87,645,175 |
43,955,956 |
|
Total Revenues |
2,657,286,585 |
2,815,025,053 |
1,419,300,479 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold & Rental |
2,252,197,003 |
2,481,498,686 |
1,226,193,881 |
|
Selling Expenses |
27,187,856 |
47,304,358 |
33,158,437 |
|
Administrative Expenses |
129,675,789 |
158,918,759 |
97,613,284 |
|
Remuneration Management |
- |
- |
13,668,268 |
|
Total Expenses |
2,409,060,648 |
2,687,721,803 |
1,370,633,870 |
|
|
|
|
|
|
Profit before Financial Cost &
Income Tax |
248,225,937 |
127,303,250 |
48,666,609 |
|
Financial Cost |
[3,582,853] |
[159,126] |
[13,927] |
|
Profit before Income Tax |
244,643,084 |
127,144,124 |
48,652,682 |
|
Income Tax |
[19,460,500] |
[25,679,235] |
[10,547,500] |
|
|
|
|
|
|
Net Profit / [Loss] |
225,182,584 |
101,464,889 |
38,105,182 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2012 |
2011 |
2010 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
1.98 |
1.62 |
1.59 |
|
QUICK RATIO |
TIMES |
1.43 |
1.15 |
1.08 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
4.91 |
6.91 |
3.64 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.17 |
1.36 |
0.76 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
45.46 |
44.41 |
81.67 |
|
INVENTORY TURNOVER |
TIMES |
8.03 |
8.22 |
4.47 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
80.61 |
73.27 |
146.13 |
|
RECEIVABLES TURNOVER |
TIMES |
4.53 |
4.98 |
2.50 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
100.76 |
100.97 |
191.66 |
|
CASH CONVERSION CYCLE |
DAYS |
25.31 |
16.71 |
36.14 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
93.90 |
90.98 |
89.16 |
|
SELLING & ADMINISTRATION |
% |
6.54 |
7.56 |
9.51 |
|
INTEREST |
% |
0.15 |
0.01 |
0.00 |
|
GROSS PROFIT MARGIN |
% |
16.89 |
12.23 |
14.04 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
10.35 |
4.67 |
3.54 |
|
NET PROFIT MARGIN |
% |
9.39 |
3.72 |
2.77 |
|
RETURN ON EQUITY |
% |
17.61 |
9.19 |
3.80 |
|
RETURN ON ASSET |
% |
10.97 |
5.05 |
2.10 |
|
EARNING PER SHARE |
BAHT |
6.82 |
3.07 |
1.15 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.38 |
0.45 |
0.45 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.60 |
0.82 |
0.81 |
|
TIME INTEREST EARNED |
TIMES |
69.28 |
800.02 |
3,494.41 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
(12.06) |
98.31 |
|
|
OPERATING PROFIT |
% |
94.99 |
161.58 |
|
|
NET PROFIT |
% |
121.93 |
166.28 |
|
|
FIXED ASSETS |
% |
23.84 |
4.58 |
|
|
TOTAL ASSETS |
% |
2.12 |
10.58 |
|
ANNUAL GROWTH :
IMPRESSIVE
An annual sales growth is -12.06%. Turnover has decreased from THB
2,727,379,878.00 in 2011 to THB 2,398,579,092.00 in 2012. While net profit has
increased from THB 101,464,889.00 in 2011 to THB 225,182,584.00 in 2012. And
total assets has increased from THB 2,009,489,459.00 in 2011 to THB
2,052,069,932.00 in 2012.
PROFITABILITY :
SATISFACTORY
PROFITABILITY
RATIO
|
Gross Profit Margin |
16.89 |
Deteriorated |
Industrial
Average |
180.00 |
|
Net Profit Margin |
9.39 |
Impressive |
Industrial
Average |
7.61 |
|
Return on Assets |
10.97 |
Impressive |
Industrial
Average |
9.81 |
|
Return on Equity |
17.61 |
Satisfactory |
Industrial
Average |
18.38 |
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 16.89%. 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 9.39% 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
10.97%, 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. When compared with the
industry average, it was lower, the company's figure is 17.61%.
Trend of the
average competitors in the same industry for last 5 years
Return on Assets Uptrend
Return on Equity Uptrend
LIQUIDITY :
IMPRESSIVE
LIQUIDITY RATIO
|
Current Ratio |
1.98 |
Impressive |
Industrial
Average |
1.89 |
|
Quick Ratio |
1.43 |
|
|
|
|
Cash Conversion Cycle |
25.31 |
|
|
|
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 1.98 times in 2012, increased from 1.62 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 higher, indicated that company
was an efficient operator in a dominant position within its industry.
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 1.43 times in 2012,
increased from 1.15 times, although excluding inventory so the company still
have good short-term financial strength.
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 26 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE :
EXCELLENT
LEVERAGE RATIO
|
Debt Ratio |
0.38 |
Impressive |
Industrial
Average |
0.42 |
|
Debt to Equity Ratio |
0.60 |
Impressive |
Industrial
Average |
0.73 |
|
Times Interest Earned |
69.28 |
Impressive |
Industrial
Average |
- |
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 69.29 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 0.38 less than 0.5, most of the company's
assets are financed through equity.
Trend of the
average competitors in the same industry for last 5 years
Debt Ratio Downtrend
Times Interest Earned Downtrend
ACTIVITY :
IMPRESSIVE
ACTIVITY RATIO
|
Fixed Assets Turnover |
4.91 |
Impressive |
Industrial
Average |
- |
|
Total Assets Turnover |
1.17 |
Satisfactory |
Industrial
Average |
1.29 |
|
Inventory Conversion Period |
45.46 |
|
|
|
|
Inventory Turnover |
8.03 |
Impressive |
Industrial
Average |
3.99 |
|
Receivables Conversion Period |
80.61 |
|
|
|
|
Receivables Turnover |
4.53 |
Impressive |
Industrial
Average |
2.76 |
|
Payables Conversion Period |
100.76 |
|
|
|
The company's Account Receivable Ratio is calculated as 4.53 and 4.98 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 increased from 44 days at the
end of 2011 to 45 days at the end of 2012. This represents a negative trend.
And Inventory turnover has decreased from 8.22 times in year 2011 to 8.03 times
in year 2012.
The company's Total Asset Turnover is calculated as 1.17 times and 1.36
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 Uptrend
Inventory Turnover Downtrend
Receivables Turnover Downtrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.59.70 |
|
|
1 |
Rs.91.14 |
|
Euro |
1 |
Rs.77.97 |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.