|
Report Date : |
13.03.2013 |
IDENTIFICATION DETAILS
|
Name : |
P.T. KSW BATAM |
|
|
|
|
Registered Office : |
Ladtrade Industrial Park Block G Lot 1-4, Jalan Sei Binti Tanjung Uncang, Sagulung, Kepulauan Riau, Batam 29432 |
|
|
|
|
Country : |
Indonesia |
|
|
|
|
Financials (as on) : |
31.12.2011 |
|
|
|
|
Date of Incorporation : |
08.12.2004 |
|
|
|
|
Com. Reg. No.: |
No.
AHU-AH.01.10-04194 |
|
|
|
|
Legal Form : |
Limited
Liability Company |
|
|
|
|
Line of Business : |
Safety Shoe
Manufacturing |
|
|
|
|
No. of Employees : |
689 |
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 : |
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 – June 30th, 2012
|
Country Name |
Previous Rating (31.03.2012) |
Current Rating (30.06.2012) |
|
Indonesia |
B1 |
B1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
Indonesia - ECONOMIC OVERVIEW
Indonesia, a vast polyglot nation, grew an estimated 6.1% and 6.4% in
2010 and 2011, respectively. The government made economic advances under the first
administration of President YUDHOYONO (2004-09), introducing significant
reforms in the financial sector, including tax and customs reforms, the use of
Treasury bills, and capital market development and supervision. During the
global financial crisis, Indonesia outperformed its regional neighbors and
joined China and India as the only G20 members posting growth in 2009. The
government has promoted fiscally conservative policies, resulting in a
debt-to-GDP ratio of less than 25%, a small current account surplus, a fiscal
deficit below 2%, and historically low rates of inflation. Fitch and Moody's
upgraded Indonesia's credit rating to investment grade in December 2011.
Indonesia still struggles with poverty and unemployment, inadequate
infrastructure, corruption, a complex regulatory environment, and unequal
resource distribution among regions. The government in 2012 faces the ongoing
challenge of improving Indonesia's insufficient infrastructure to remove
impediments to economic growth, labor unrest over wages, and reducing its fuel
subsidy program in the face of rising oil prices.
|
Source
: CIA |
P.T. KSW BATAM
Head Office &
Factory
Ladtrade
Industrial Park Block G Lot 1-4
Jalan Sei Binti
Tanjung Uncang
Sagulung, Kepulauan
Riau
Batam 29432
Indonesia
Phone -
(62-778) 392777 (hunting)
Fax. - (62-778) 393777
Email - kswbatam@kingsafetywear.com
Website - http://www.kingsafetywear.com
Land Area - 30,000 sq.
meters
Office Space - 12,500 sq.
meters
Region - Industrial
Estate
Status - Rent
08 December 2004
P.T. (Perseroan
Terbatas) or Limited Liability Company
a. No.
AHU-91259.ah.01.02.Tahun 2008
Dated 28 November 2008
b. No.
AHU-AH.01.10-04194
Dated 22 April 2009
Foreign Investment Company (PMA)
a. The Capital
Investment Coordinating Board
No.
828/I/PMA/2004
Dated 23 November 2004
b. The Department of Finance
NPWP No.02.437.167.6-215.000
TDP No. 041011903559
A member of the KING’S SAFETYWEAR Group of Singapore
Capital Structure :
Authorized Capital -
US$. 8,000,000.- (Rp. 71,864,000,000.-)
Issued Capital -
US$. 8,000,000.- (Rp. 71,864,000,000.-)
Paid Up Capital -
US$. 8,000,000.- (Rp. 71,864,000,000.-)
Shareholders/Owners :
a. KING’S SAFETYWEAR
INDONESIA Pte. Ltd. - US$. 7,999,000.-
(99.99%)
Address : 22 Defu Lane 1,
Defu
Industrial Estate
Singapore
539493
b. Mr. Chan Sian
Lek -
US$ 1,000.- ( 0.01%)
Address : 70 Sommerville Road
Singapore
358301
Passport No. S
1456029 G
Lines of Business
:
Safety Shoe
Manufacturing
Production
Capacity :
Safety Shoes – 3,600,000 pairs p.a.
Total Investment :
a. Equity Capital - US$.
8.0 million
b. Loan Capital -
US$. 4.0 million
c. Total Investment -
US$. 12.0 million
Started Operation :
February 2005
Brand Name :
KING’S SAFETY
SHOES
Technical Assistance :
KING’S SAFETYWEAR INDONESIA Pte. Ltd.
Number of Employee :
689 persons
Marketing Area :
a.
Export -
90%
b.
Local - 10%
Main Customer :
Buyers in Asia,
Europe and USA
Market Situation :
Very Competitive
Main Competitors :
a. P.T. OSHA ASIA
b. P.T. HENGTRACO
PROTECSINDO
c. P.T. GRAND SHOE
INDUSTRY
d. P.T. MITRA GABATA DINAMIKA
e. Etc.
Business Trend :
Growing
Bankers :
a. P.T. Bank UOB
INDONESIA
Komp. New Holiday Blok B/12-14
Lubuk Baja, Batam 29444
Kepri Province
b. P.T. Bank MEGA Tbk.
Gedung Dana Graha, Lt. 1
Jl. Imam Bonjol, Nagoya
Nongsa (Batu Ampar)
Sungai Beduk, Batam 29432
Kepri Province
Auditor :
Purwantono, Suherman & Surya (a member of Ernst & Young)
Litigation :
No litigation record in our database
Annual Sales
:
2009 – US$.
26,566,714
2010 – US$.
35,088,715
2011 – US$.
39,492,758
2012 – US$.
42,785,120 (estimated)
Net Profit :
2009 – US$. 344,319
2010 – US$. 736,594
2011 – US$. 989,816
2012 –
US$.1,072,333 (estimated)
Payment Manner :
Almost promptly
Financial Comments :
Satisfactory
Board of Management :
President Director - Mr. Tan Wai Kang AKA Chen Wei Kang
Director - Mr. Chan Sen Meng
Board of Commissioners :
Commissioner - Mr. Teo Mui Kwang
Signatories :
President Director (Mr. Tan Wai Kang)
or Director (Mr. Chan Sen Meng) which must be approved by the Commissioner (Mr.
Teo Mui Kwang)
Management Capability :
Good
Business Morality :
Good
P.T. KSW BATAM was established on December 8, 2004 with the authorized capital of US$ 4,000,000 of which US$. 1,000,000 was issued and fully paid up. The founding shareholders of the company are KING’S SAFETYWEAR INDONESIA Pte Ltd, a private company of Singapore (99.9%) and Mr. Chan Sian Lek, a businessman of Singapore (0.1%). The Article of Association was made by Soehendro Gautama, SH., a public notary in Batam and it was approved by the Ministry of Law and Human Right in its Decision Letter No. C-03946 HT.01.01.TH.2005 dated 16 February 2005. The Articles of Association of the company have frequently been changed. In September 2008 the authorized capital was raised to US$. 8,000,000.- entirely was issued and fully paid up. The shareholder’s structures of the company are KING’S SAFETYWEAR INDONESIA Pte Ltd, (99.99%) and Mr. Chan Sian Lek (0.01%). In November 2008, the company’s composition of the board of directors and commissioners was changed. The amendment Article of Association was approved by the Ministry of Law and Human Right in its Decision Letter No. AHU-AH.01.10-04194 dated 22 April 2009. No changes have been effected in term of its shareholding composition and capital structures to date.
We are extremely difficult to
trace or investigate the shareholders of KING’S SAFETYWEAR INDONESIA Pte. Ltd.,
as this company is incorporated under law of Singapore. But we allege or
estimate that the owners of this company are KING’S SAFETYWEAR Ltd., of
Singapore and Mr. Sasmita Winata, an Indonesian businessman of Chinese
extraction.
P.T. KSW BATAM has been in operation since early 2005
dealing with safety shoe manufacturing by managing a plant doubling as its head
office located in Latrade Industrial park Block G Lot 1-4, Jalan Sei Binti,
Tanjung Uncang, Sagulung, Batam.
Originally, the plant has annual production of 1,250,000 pairs of safety
shoes. The plant has absorbed an investment of US$ 4.0 million come from
company capital of US$ 1.0 million and the balance from loans. Mrs. Yanti Irawati,
administrative staff of P.T. KSW BATAM
said that currently P.T. KSW BATAM had a production capacity of 300,000 pairs
of safety shoes per month and 80% of the production was exported to various
countries in Europe (UK, Netherlands, and Germany), Australia, Middle East,
China, Singapore, Malaysia, Thailand and Vietnam, while domestic market was
about 20%. For the
domestic market, production of P.T. KSW BATAM was distributed by its
affiliates P.T. ASIAKARYA DUTADUNIA and P.T. WORLD
SAFTINDO, both were engaged in trading and distributor of safety products among
them fire, security, marine and environmental production. As for the export market was supported by
KING'S SAFETYWEAR Pte. Ltd. based in Singapore. P.T. KSW BATAM is classified as a large sized
company in the country dealing with safety shoe industry.
Generally, demand for safety shoes has been increasing by 5% to 6% the last five years in which it had drastically been decreasing s the impact of the economic crisis in the country in 1997. However, the competition is very tight on account of lots of similar companies dealing with safety shoe manufacturing such as P.T. OSHA ASIA, P.T. HENGTRACO PROTECSINDO, P.T. GRAND SHOE INDUSTRY, P.T. MITRA GABATA DINAMIKA and others. Beside in domestic markets, the safety shoes of the company are also exported to Asia, Europe and the USA. The business position of P.T. KSW BATAM is favorable for having established wide marketing networks within and outside the country. Besides, he company is backed up by its holding company KING’S SAFETYWEAR INDONESIA Pte., Ltd., based in Singapore.
According to statement of income (source: the Department of Trade and Industry), the total income/revenue of P.T. KSW BATAM in fiscal 2009 amounted to US$.26,566,714 with a net profit of US$.344,319 increased to US$. 35,088,715 with a net profit of US$.736,594 in 2010 and rose again to US$ 39,492,758 with a net profit of US$.989,816 in 2011. Up to present, we have yet to gain the statement of income of P.T. KSW BATAM in fiscal 2012. However, we estimated that net income of the company in 2012 rose again to US$.42,785,120 with a net profit of US$.1,072,333. The company’s balance sheets and statement of income in fiscal 2009, 2010 and 2011 are attached. So far we did not hear that the P.T. KSW BATAM has been black listed by Bank Indonesia (Central Bank) or having detrimental cases being settled in local district court. The company usually pays its debts punctually to suppliers.
The management of the company is headed by Mr. Tan Wai Kang AKA Chen Wei
Kang (42) as President Director and Mr. Chan Seng Meng (57) as Director, both
are businessmen of Singapore with more than 20 years experience in safety shoe
manufacturing and trading. He is also
one of top-figure of KING’S SAFETYWEAR INDONESIA Pte., Ltd. Daily activities, They are assisted by a
number of experienced professional managers from Singapore and Indonesia having
wide relation with private businessmen of hoe and overseas as well as with the
government sectors. So far, we did not
hear that the company’s management involved in a business malpractices or
detrimental cases that settled in the country. The company’s litigation record
is clean and it has not registered with the black list of Bank of
Indonesia. We observed that the
company’s management is not actively joined in any political party activity in
the country.
P.T. KSW BATAM is fairly good for business transaction. However, in view
of the unstable political condition in the country we recommend to treat
prudently in extending a loan to the company.
P.T.
KSW BATAM
Financial
Statement
Per
31 December 2009, 2010 and 2011
(Expressed
in United States Dollar)
|
DESCRIPTION |
31 December |
||
|
2011 |
2010 |
2009 |
|
|
A. ASSETS |
|
|
|
|
Current Assets |
|
|
|
|
- Cash on hand and in banks |
355,446 |
880,273 |
714,608 |
|
- Accounts receivable |
4,319,038 |
5,127,179 |
4,958,018 |
|
- Inventories |
8,021,824 |
6,934,271 |
4,459,244 |
|
- Taxes receivable |
-- |
-- |
10,065 |
|
- Other current assets |
59,967 |
273,523 |
19,295 |
|
TOTAL CURRENT
ASSETS |
12,756,275 |
13,215,246 |
10,161,230 |
|
Non-Current
Assets |
|
|
|
|
- Fixed assets, net |
5,671,071 |
5,663,448 |
6,003,138 |
|
- Deferred tax assets |
294,685 |
263,841 |
212,142 |
|
- Refundable deposits |
28,892 |
29,137 |
27,739 |
|
TOTAL
NON-CURRENT ASETS |
5,994,648 |
5,956,426 |
6,243,019 |
|
TOTAL ASSETS =
TOTAL LIABILITIES & SHAREHOLDERS’ EQUITY |
18,750,923 |
19,171,672 |
16,404,249 |
|
B. LIABILITIES
& SHAREHOLDERS EQUITY |
|
|
|
|
Current
Liabilities |
|
|
|
|
- Accounts payable |
2,584,835 |
3,948,947 |
2,106,516 |
|
- Accrued expenses |
458,364 |
530,804 |
463,963 |
|
- Taxes payable |
93,180 |
118,632 |
59,105 |
|
Total Current
Liabilities |
3,136,379 |
4,607,788 |
2,629,584 |
|
Non-Current
Liabilities |
|
|
|
|
- Long term loan from related party |
-- |
-- |
5,000,000 |
|
- Provision for employee benefits |
231,129 |
170,285 |
117,660 |
|
Total
Non-current Liabilities |
231,129 |
170,285 |
5,117,660 |
|
|
|
|
|
|
SHAREHOLDERS’
EQUITY |
|
|
|
|
- Authorized, Issued and Paid up Capital |
8,000,000 |
8,000,000 |
8,000,000 |
|
- Other additional paid in capital |
5,000,000 |
5,000,000 |
-- |
|
- Retained earnings |
2,383,415 |
1,393,599 |
657,005 |
|
TOTAL
SHAREHOLDERS’ EQUITY |
15,383,415 |
14,393,599 |
8,657,005 |
|
C. INCOME
STATEMENT |
|
|
|
|
a. Net Sales/Revenue |
39,492,758 |
35,088,715 |
26,566,714 |
|
b. Cost of Sales |
(37,440,270) |
(33,431,968) |
(25,446,595) |
|
c. Gross Profit |
2,052,488 |
1,656,747 |
1,120,119 |
|
d. Operating Expenses |
(708,143) |
(618,933) |
(524,539) |
|
e. Operating Income |
1,344,345 |
1,037,814 |
595,580 |
|
f. Other (Expenses) Income |
(3,105) |
(3,209) |
(50,134) |
|
g. Profit (loss) before
income tax |
1,341,240 |
1,034,605 |
545,446 |
|
h. Income Tax Expense |
(351,424) |
(298,011) |
(201,127) |
|
i. Net Income / Net Profit |
989,816 |
736,594 |
344,319 |
Remarks: Audited by Purwantono, Suherman & Surya
(a member of Ernst & Young)
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.54.34 |
|
UK Pound |
1 |
Rs.80.89 |
|
Euro |
1 |
Rs.70.73 |
INFORMATION DETAILS
|
Report Prepared
by : |
MNL |
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.