MIRA
INFORM REPORT
|
Report Date : |
09.03.2013 |
IDENTIFICATION DETAILS
|
Name : |
THAI
ACRYLIC FIBRE CO., LTD. |
|
|
|
|
Registered Office : |
16th Floor, Mahatun Plaza Building, 888/168-169 Ploenchit Road, Lumpini, Pathumwan,
Bangkok 10330 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2011 |
|
|
|
|
Date of Incorporation : |
10.04.1987 |
|
|
|
|
Com. Reg. No.: |
0105530016978 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Manufacturer, distributor &
exporter of acrylic
fibre |
|
|
|
|
No. of Employees : |
500 employees |
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
THAI ACRYLIC FIBRE
CO., LTD.
SUMMARY
BUSINESS
ADDRESS : 16th FLOOR,
MAHATUN PLAZA BUILDING,
888/168-169 PLOENCHIT
ROAD, LUMPINI,
PATHUMWAN, BANGKOK
10330, THAILAND
TELEPHONE : [66] 2253-6745-54
FAX :
[66] 2253-4679,
2253-6734
E-MAIL
ADDRESS : marketing@thaiacrylic.com
nkdalan@thaiacrylic.com
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1987
REGISTRATION
NO. : 0105530016978 [Former: 1695/2530]
TAX
ID NO. : 3101440195
CAPITAL REGISTERED : BHT. 712,500,000
CAPITAL PAID-UP : BHT.
712,500,000
SHAREHOLDER’S PROPORTION : THAI :
83.59%
FOREIGN :
16.41%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR.
NIRINT SAJDEV, THAI
PRESIDENT
AND CHIEF EXECUTIVE
OFFICER
NO.
OF STAFF : 500
LINES
OF BUSINESS : ACRYLIC FIBRE
MANUFACTURER, 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 April
10, 1987 as
a private limited
company under the
name style THAI
ACRYLIC FIBRE CO.,
LTD. The subject
is the flagship company of
the Aditya Birla
Group, set up
in technical collaboration
with Japan Exlan Co., Ltd., to
manufacture acrylic fibre
by being granted the
promotional privilege from the
Board of Investment
[BOI]. Its production
facility is located
in Kaengkhoi, Saraburi
Province. The subject currently
employs approximately 500
staff.
The company has
a strong focus
on systems improvement
and has established comprehensive standards
of ISO 9001:2000, ISO 14001, OHSAS 18000
and SA 8000.
The company also has
achieved Level 7 in the
International Quality Rating System (IQRS) of DNV, Norway
and has received
the Qimpro Benchmark
Award 2001 and 2003;
the Golden Peacock Global
Quality Award – 2003; the
National Award for Excellence in Energy
Management 2003 and
the Golden Peacock
Global Environment Management Award 2004.
The subject is a subsidiary
of India-based Aditya
Birla Group, the
first synthetic yarn
plant in Thailand
which came on
stream in 1970.
The subject is also the
first acrylic fibre
manufacturer in ASEAN,
and one of
the top two
service providers of
acrylic application development.
The
subject’s registered address
is 16th Floor, Mahatun
Plaza Building, 888/168-169 Ploenchit
Rd., Lumpini, Pathumwan,
Bangkok 10330, and
this is the
subject’s current operation
address.
THE
BOARD OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Shyam Sunder
Mahansaria |
|
Indian |
77 |
|
Mr. Nirint Sajdev |
|
Thai |
73 |
|
Mr. Deepak Mittal |
|
Indian |
68 |
|
Mrs. Ratchanee Kajiji |
|
Thai |
71 |
|
Mr. Kumara Mangalam
Birla : Chairman of
the Group |
|
Indian |
46 |
|
Mrs. Rajashree Birla |
|
Indian |
66 |
|
Mr. Songkram Chivapravatdamrong |
|
Thai |
68 |
|
Mr. Hari Krishna
Agarwal |
|
Indian |
53 |
|
Mr. Krishna Kishore
Maheehwari |
|
Indian |
57 |
|
Mr. Vikram Dhondu Rao |
|
Indian |
62 |
AUTHORIZED PERSON
Two of the
above directors can
jointly sign on
behalf of the
subject with company’s
affixed.
MANAGEMENT
Mr. Nirint Sajdev
is the President & Chief Executive
Officer.
He is Thai
nationality with the
age of 73
years old.
Mr. Krishna Kishore
Maheehwari is the
Vice President - Technical.
He is Indian
nationality with the
age of 57
years old.
Mr. Lahvindra Singh
is the Vice
President - Manufacturing.
He is Indian
nationality.
Mr. Anil Kumar
is the Vice
President - Marketing & Sales
Manager.
He is Indian
nationality.
Mr. Pirom Areephan is
the General Manager.
He is Thai
nationality.
Ms. Karuna Choonint is
the Human Resources
Manager.
She is Thai
nationality.
Ms. Arunabha Bhattacharya is
the Customer Technical
Support Department Manager.
She is Thai
nationality.
Mr. Sushil K. Chaudhari is the Purchasing
Department Manager.
He is Indian
nationality.
BUSINESS OPERATIONS
The subject
is engaged in
manufacturing wide range
of Acrylic Fibre
and Acrylic Tow
from Micro Denier
0.8 to 15 denier and
staple lengths, in the range
of 38 to
150 mm. for
spinning in cotton, modified
cotton, semi-worsted, and
worsted spinning system. The products are
used in textile,
knitwear, sportswear, carpet,
toys, blanket & bedding set,
upholstery and apparel
industries.
The subject
received the production
technology from Japan
Exlan Co., Ltd., Japan.
The subject
produces more than 30
different types of fibre
including specialty fibres
for high-end applications. The product range comprises a variety
of acrylic fibres used
for making sweaters, jogging suits,
socks, stuffed toys, blankets,
carpets and upholstery.
BRAND NAME
“BIRLACRIL”
PRODUCTION CAPACITY
110,000 tons per
annum
IMPORT [COUNTRIES]
Raw material, chemical,
cotton and computer
technology are imported
from
Japan, Hong Kong,
Republic of China,
Taiwan, Singapore, India,
Switzerland and
United States of
America.
MAJOR SUPPLIERS
Gutor Electronic Ltd. :
Switzerland
Thai Rayon Public Company Limited : Thailand
Thai Sulphites and Chemicals Co., Ltd. : Thailand
Asahi Kasei Chemical
Corporation : Japan
Mitsui & Co [Thailand] Ltd. : Thailand
BASF [Thai] Ltd. : Thailand
SALES [LOCAL]
15% of its
products is sold
locally by wholesale
to manufacturers and
end-users.
EXPORT [COUNTRY]
85% of products is
exported to India,
Indonesia, Philippines, Republic of China, Pakistan,
Iran, Vietnam, Nepal, Australia,
Bangladesh, South African,
South Korea, Sri Lanka, Turkey
and other countries
in Europe and
Middle East region.
RELATED & AFFILIATED
COMPANIES
The Aditya Birla
Group; consists of:
Indo Thai Synthetics
Co., Ltd.
Business Type : Manufacturer of
synthetics yarn
Thai Rayon Public
Co., Ltd.
Business Type : Manufacturer of
viscose rayon staple
fibre and anhydrous
sodium sulphate
Thai Carbon Black Public Co., Ltd.
Business Type : Manufacturer of
carbon black
Thai Polyphosphate & Chemicals Co., Ltd.
Business Type : Manufacturer of
sodium tripoly - phosphate
Thai Epoxy and Allied
Products Co., Ltd
Business Type : Manufacturer of
expoxy resin
Thai Sulphites &
Chemicals Co., Ltd.
Business Type : Manufacturer of
sulphate
P.T. Indo Liberty
Textile Co., Ltd.
Business Type : Manufacturer of
spun yarn
Thai Peroxide Co., Ltd.
Business Type : Manufacturer of
hydrogen peroxide
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
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
L/C at sight
or T/T.
Exports are against
L/C at sight or
T/T.
BANKING
Deutsche Bank AG
[Bangkok Office : 208
Wireless Rd., Lumpini,
Pathumwan, Bangkok 10330]
The Siam Commercial
Bank Public Co., Ltd.
[Head Office
: 9 Ratchadapisek
Rd., Ladyao, Jatujak,
Bangkok 10900]
Bangkok Bank Public
Co., Ltd.
[Head Office
: 333 Silom
Rd., Silom, Bangrak,
Bangkok 10500]
Kasikornbank Public Co., Ltd.
[Head Office
: 1 Kasikorn
Lane, Rajburana Rd.,
Rajburana, Bangkok 10140]
EMPLOYMENT
The subject employs
approximately 500 staff. [office
staff and factory
workers]
LOCATION DETAILS
The premise is
rented for administrative office
at the heading
address in a
prime commercial area.
The factory is
located at 54
Moo 5, Sudbantad,
Tarndiew, Kaengkhoi, Saraburi Province 18110 Thailand,
on approximately 160,000
square meters plot of
land.
Tel : [66] 36
251-316-24, 36 240-100
Fax : [66]
36 251-325-6
COMMENT
Thai Acrylic
Fibre (TAF) ranks
among the top three quality acrylic fibre producers globally. It is one of the
top two service providers of acrylic application development. The company has
also been rated as a top class acrylic producer for the manufacture of special
blanket applications.
Texlan is produced at TAF’s state-of-the-art plant, which has highly
sophisticated machineries, equipments
and computer technology
which are mainly
sourced from Japan, Europe
and USA. The
combination of cutting edge
technology, the TQM
system and employee’s
commitment to total
customer satisfaction, makes Textan
a
first choice product
for both commodity and
specialty end products
on both local
and international markets.
Thai Acrylic’s superior product quality,
ongoing process improvements
and unmatched technical services
have made the company
one of the world’s lowest-cost
producers of acrylic fibre.
FINANCIAL INFORMATION
The capital was registered
at Bht. 205,000,000 divided into
2,050,000 shares of
Bht. 100 each.
The capital was
increased later as
followings :
Bht. 570,000,000
on October 21,
1993
Bht. 712,500,000
on April 23,
1996
The latest registered
capital was increased
to Bht. 712,500,000
divided into 71,250,000
shares of Bht.
10 each with
fully paid.
MAIN SHAREHOLDERS : [as at
April 30, 2012]
|
NAME |
HOLDING |
% |
|
Thai Rayon Public
Co., Ltd. Nationality: Thai Address : 888/160-161 Ploenchit
Rd., Lumpini, Pathumwan,
Bangkok 10330 |
21,373,173 |
30.00 |
|
Thai Carbon Black
Public Co., Ltd. Nationality: Thai Address : 888/122, 888/128
Ploenchit Rd.,
Lumpini, Pathumwan, Bangkok
10330 |
11,386,503 |
15.98 |
|
Mr. Songkram Chivapravatdamrong Nationality: Thai Address : 470 Bangkhunthienchaitalay Rd.,
Samaedam, Bangkhunthien, Bangkok |
8,906,250 |
12.50 |
|
Asseau Company Ltd.
Nationality: British Address : Barclays House
Wickhams Cay Road
Town, Tortola, BVI |
6,115,000 |
8.58 |
|
Mr. Direk Panichkraiwalkosin Nationality: Thai Address : 25/1 Charansanitwongse Rd.,
Thaphra,
Bangkokyai, Bangkok |
1,196,153 |
1.68 |
|
Thai Acrylic Co.,
Ltd. Nationality: Thai Address : 85 Sukhumvit
42 Rd., Prakanong, Bangkok |
975,000 |
1.37 |
|
Centex International [Pte]
Co. Ltd. Nationality: Singaporean Address : C/O Pat
Brox 01-04 High Street
Plaza, Singapore |
926,923 |
1.30 |
|
Mr. Dawinder Takral Nationality: Thai Address : 190/11 Anuwong
Rd., Chakrawad,
Samphantawong, Bangkok |
803,603 |
1.13 |
|
Eureka Commercial Enterprises
Ltd. Nationality: New Zealander Address : Level 4,
18 Vladuct Harbour
Avenue,
Auckland, New Zealand |
803,603 |
1.13 |
|
Other Shareholders |
18,763,792 |
26.33 |
Total Shareholders : 105
Share Structure [as at April
30, 2012]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
86 |
59,554,948 |
83.59 |
|
Foreign |
19 |
11,695,052 |
16.41 |
|
Total |
105 |
71,250,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Mr. Vichien Kingmontri No.
3977
BALANCE SHEET [BAHT]
The
latest financial figures
published for December
31, 2011 &
2010 were:
ASSETS
|
Current Assets |
2011 |
2010 |
|
|
|
|
|
Cash and Cash Equivalents |
111,554,421 |
6,497,671 |
|
Trade Accounts Receivable |
1,150,896,416 |
1,252,458,725 |
|
Related Company Receivable |
53,744,757 |
68,554,253 |
|
Inventories |
1,021,022,473 |
1,119,652,658 |
|
Other Current Assets
|
155,380,808 |
150,865,499 |
|
|
|
|
|
Total Current Assets
|
2,492,598,875 |
2,598,028,806 |
|
Loan to Related Company |
276,697,886 |
- |
|
Investment in Related
Company |
504,060,714 |
504,060,714 |
|
Fixed Assets |
2,265,147,548 |
2,404,875,228 |
|
Intangible Assets |
1,437,884 |
- |
|
Other Assets |
3,743,530 |
3,617,030 |
|
Total Assets |
5,543,686,437 |
5,510,581,778 |
LIABILITIES &
SHAREHOLDERS’ EQUITY [BAHT]
|
Current
Liabilities |
2011 |
2010 |
|
|
|
|
|
Short-term Loan from
Financial Institutions |
279,165,763 |
177,262,062 |
|
Trade Accounts Payable |
1,485,466,751 |
1,354,770,123 |
|
Related Company Payable |
7,389,547 |
2,192,654 |
|
Other Payable |
1,079,302 |
12,456,785 |
|
Current Portion of Long-term
Loan from Financial Institutions |
220,000,000 |
367,500,000 |
|
Accrued Expenses |
37,254,719 |
37,544,900 |
|
Accrued Income Tax |
49,885,275 |
66,948,458 |
|
Advance Received from Customer |
6,760,568 |
25,359,135 |
|
Other Current Liabilities |
7,813,474 |
6,795,921 |
|
|
|
|
|
Total Current Liabilities |
2,094,815,399 |
2,050,830,038 |
|
Long-term Loan Financial
Institutions |
50,000,000 |
270,000,000 |
|
Employee Benefits Obligation |
76,964,914 |
- |
|
Long-term Employee Benefits
Obligation |
33,537,308 |
- |
|
Total Liabilities |
2,255,317,621 |
2,320,830,038 |
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
Share capital : Baht 10
par value Authorized, issued
& fully paid-up
share capital 71,250,000
shares |
712,500,000 |
712,500,000 |
|
|
|
|
|
Capital Paid |
712,500,000 |
712,500,000 |
|
Premium on Share
Capital |
603,000,000 |
603,000,000 |
|
Retained Earning Appropriated for
Statutory Reserve |
71,250,000 |
71,250,000 |
|
Unappropriated |
1,901,618,816 |
1,803,001,740 |
|
Total Shareholders' Equity |
3,288,368,816 |
3,189,751,740 |
|
Total Liabilities & Shareholders' Equity |
5,543,686,437 |
5,510,581,778 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
2011 |
2010 |
|
|
|
|
|
Sales Income |
9,399,081,102 |
8,607,869,460 |
|
Gain / [Loss] on Exchange
Rate |
[12,239,151] |
92,097,224 |
|
Other Income |
21,337,379 |
43,068,212 |
|
Total Revenues |
9,408,179,330 |
8,743,034,896 |
|
Expenses |
|
|
|
|
|
|
|
Cost of Goods
Sold |
8,738,640,960 |
7,900,609,695 |
|
Selling Expenses |
169,730,614 |
156,352,040 |
|
Administrative Expenses |
92,688,724 |
61,333,602 |
|
Total Expenses |
9,001,060,298 |
8,118,295,337 |
|
|
|
|
|
Profit before Financial Cost &
Income Tax |
407,119,032 |
624,739,559 |
|
Financial Cost |
[41,009,987] |
[39,970,140] |
|
Profit before Income
Tax |
366,109,045 |
584,769,419 |
|
Income Tax |
[94,812,652] |
[89,154,232] |
|
|
|
|
|
Net Profit / [Loss] |
271,296,393 |
495,615,187 |
fINANCIAL ANALYSIS
|
ITEM |
UNIT |
2011 |
2010 |
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
CURRENT RATIO |
TIMES |
1.19 |
1.27 |
|
QUICK RATIO |
TIMES |
0.63 |
0.65 |
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
4.15 |
3.58 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.70 |
1.56 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
42.65 |
51.73 |
|
INVENTORY TURNOVER |
TIMES |
8.56 |
7.06 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
44.69 |
53.11 |
|
RECEIVABLES TURNOVER |
TIMES |
8.17 |
6.87 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
62.05 |
62.59 |
|
CASH CONVERSION CYCLE |
DAYS |
25.29 |
42.25 |
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
COST OF GOODS SOLD |
% |
92.97 |
91.78 |
|
SELLING & ADMINISTRATION |
% |
2.79 |
2.53 |
|
INTEREST |
% |
0.44 |
0.46 |
|
GROSS PROFIT MARGIN |
% |
7.12 |
9.79 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
4.33 |
7.26 |
|
NET PROFIT MARGIN |
% |
2.89 |
5.76 |
|
RETURN ON EQUITY |
% |
8.25 |
15.54 |
|
RETURN ON ASSET |
% |
4.89 |
8.99 |
|
EARNING PER SHARE |
BAHT |
3.81 |
6.96 |
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
DEBT RATIO |
TIMES |
0.41 |
0.42 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.69 |
0.73 |
|
TIME INTEREST EARNED |
TIMES |
9.93 |
15.63 |
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
SALES GROWTH |
% |
9.19 |
|
|
OPERATING PROFIT |
% |
(34.83) |
|
|
NET PROFIT |
% |
(45.26) |
|
|
FIXED ASSETS |
% |
(5.81) |
|
|
TOTAL ASSETS |
% |
0.60 |
|
PROFITABILITY
RATIO
|
Gross Profit Margin |
7.12 |
Acceptable |
Industrial
Average |
11.02 |
|
Net Profit Margin |
2.89 |
Impressive |
Industrial Average |
0.97 |
|
Return on Assets |
4.89 |
Impressive |
Industrial
Average |
1.78 |
|
Return on Equity |
8.25 |
Impressive |
Industrial
Average |
4.43 |
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 7.12%. When compared with
the industry average, the ratio of the company was lower, indicated that
company was originated from the 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 2.89%,
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
4.89%, 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 8.25%, 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.
Trend of the
average competitors in the same industry for last 5 years
Return on Assets Uptrend
Return on Equity Uptrend
LIQUIDITY RATIO
|
Current Ratio |
1.19 |
Satisfactory |
Industrial
Average |
1.50 |
|
Quick Ratio |
0.63 |
|
|
|
|
Cash Conversion Cycle |
25.29 |
|
|
|
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 1.19 times in 2011, decreased from 1.27 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 0.63 times in 2011,
decreased from 0.65 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 26 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE RATIO
|
Debt Ratio |
0.41 |
Impressive |
Industrial
Average |
0.59 |
|
Debt to Equity Ratio |
0.69 |
Impressive |
Industrial
Average |
1.48 |
|
Times Interest Earned |
9.93 |
Impressive |
Industrial
Average |
1.77 |
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 9.93 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 0.41 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 Uptrend
ACTIVITY RATIO
|
Fixed Assets Turnover |
4.15 |
Satisfactory |
Industrial
Average |
4.73 |
|
Total Assets Turnover |
1.70 |
Impressive |
Industrial
Average |
1.57 |
|
Inventory Conversion Period |
42.65 |
|
|
|
|
Inventory Turnover |
8.56 |
Impressive |
Industrial
Average |
2.90 |
|
Receivables Conversion Period |
44.69 |
|
|
|
|
Receivables Turnover |
8.17 |
Impressive |
Industrial
Average |
3.61 |
|
Payables Conversion Period |
62.05 |
|
|
|
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.54.40 |
|
UK Pound |
1 |
Rs.81.56 |
|
Euro |
1 |
Rs.71.23 |
INFORMATION DETAILS
|
Report Prepared
by : |
NLM |
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.