MIRA INFORM REPORT

 

 

Report Date :

15.03.2013

 

IDENTIFICATION DETAILS

 

Name :

ELITE ULUSLARARASI KUYUMCULUK MUCEVHERAT ITHALAT IHRACAT TICARET LTD. STI. 

 

 

Formerly Known as:

Bati Kuyumculuk Ihracat Ithalat Ticaret Ltd. Sti.

 

 

Registered Office :

Ikitelli Organize Sanayi Bolgesi Turgut Ozal Cad. No:102 B Blok No:407/B Basaksehir Istanbul

 

 

Country :

Turkey

 

 

Financials (as on) :

2012

 

 

Date of Incorporation :

23.02.2001

 

 

Com. Reg. No.:

454316

 

 

Legal Form :

Limited Company

 

 

Line of Business :

Trade of jeweler.

 

 

No. of Employees :

Not available 

 

RATING & COMMENTS

 

MIRA’s Rating :

C

 

RATING

STATUS

PROPOSED CREDIT LINE

<10

C

Absolute credit risk exists. Caution needed to be exercised

Credit not recommended

 

Status :

Poor

 

 

Payment Behaviour :

Unknown 

 

 

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)

Turkey

B1

B1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


 

Turkey - ECONOMIC OVERVIEW

 

Turkey's largely free-market economy is increasingly driven by its industry and service sectors, although its traditional agriculture sector still accounts for about 25% of employment. An aggressive privatization program has reduced state involvement in basic industry, banking, transport, and communication, and an emerging cadre of middle-class entrepreneurs is adding dynamism to the economy and expanding production beyond the traditional textiles and clothing sectors. The automotive, construction, and electronics industries, are rising in importance and have surpassed textiles within Turkey's export mix. Oil began to flow through the Baku-Tbilisi-Ceyhan pipeline in May 2006, marking a major milestone that will bring up to 1 million barrels per day from the Caspian to market. Several gas pipelines projects also are moving forward to help transport Central Asian gas to Europe through Turkey, which over the long term will help address Turkey's dependence on imported oil and gas to meet 97% of its energy needs. After Turkey experienced a severe financial crisis in 2001, Ankara adopted financial and fiscal reforms as part of an IMF program. The reforms strengthened the country's economic fundamentals and ushered in an era of strong growth - averaging more than 6% annually until 2008. Global economic conditions and tighter fiscal policy caused GDP to contract in 2009, but Turkey's well-regulated financial markets and banking system helped the country weather the global financial crisis and GDP rebounded strongly to 8.2% in 2010, as exports returned to normal levels following the recession. Turkey's public sector debt to GDP ratio has fallen to roughly 40%. Continued strong growth has pushed inflation to the 8% level, however, and worsened an already high current account deficit. Turkey remains dependent on often volatile, short-term investment to finance its large trade deficit. The stock value of FDI stood at $99 billion at year-end 2011. Inflows have slowed considerably in light of continuing economic turmoil in Europe, the source of much of Turkey's FDI. Further economic and judicial reforms and prospective EU membership are expected to boost Turkey's attractiveness to foreign investors. However, Turkey's relatively high current account deficit, uncertainty related to monetary policy-making, and political turmoil within Turkey's neighborhood leave the economy vulnerable to destabilizing shifts in investor confidence.

 

Source : CIA

 


 


REMARKS

:

The full name of the company was missing at your inquiry. "ELITE GOLD" is the tradename of "ELITE ULUSLARARASI KUYUMCULUK MUCEVHERAT ITHALAT IHRACAT TICARET LTD. STI.".

 

NOTES

:

Address at your inquiry is not the registered head office but another premise.

 

 

COMPANY IDENTIFICATION

 

 

NAME

:

ELITE ULUSLARARASI KUYUMCULUK MUCEVHERAT ITHALAT IHRACAT TICARET LTD. STI.

HEAD OFFICE ADDRESS

:

Ikitelli Organize Sanayi Bolgesi Turgut Ozal Cad. No:102 B Blok No:407/B Basaksehir Istanbul / Turkey

PHONE NUMBER

:

90-212-455 05 05

90-212-519 28 28

 

FAX NUMBER

:

90-212-528 02 27

 

 

 

LEGAL STATUS AND HISTORY

 

 

TAX OFFICE

:

Gunesli

TAX NO

:

1500197725

REGISTRATION NUMBER

:

454316

REGISTERED OFFICE

:

Istanbul Chamber of Commerce

DATE ESTABLISHED

:

23.02.2001

ESTABLISHMENT GAZETTE DATE /NO

:

28.02.2001/5246

LEGAL FORM

:

Limited Company

TYPE OF COMPANY

:

Private

REGISTERED CAPITAL

:

TL   10.000

PAID-IN CAPITAL

:

TL   10.000

HISTORY

:

Previous Name

:

Bati Kuyumculuk Ihracat Ithalat Ticaret Ltd. Sti.

Changed On

:

03.06.2009 (Commercial Gazette Date /Number 09.06.2009/ 7328)

Previous Address

:

Nuruosmaniye Cad. N:63 Cagaloglu Istanbul

Changed On

:

13.12.2010 (Commercial Gazette Date /Number 17.12.2010/ 7710)

Previous Address

:

Istoc Toptancilar Carsisi 18 Ada No:85 K:1 Bagcilar 34217  Istanbul

Changed On

:

08.03.2013

Previous Shareholder

:

Please vide Previous Shareholders section for the former shareholders' names.

Changed On

:

08.03.2013

 

 

 

PREVIOUS SHAREHOLDERS

:

Tahir Emre Erimli

99 %

Cem Cagatay Sen

1 %

 

 

OWNERSHIP / MANAGEMENT

 

 

SHAREHOLDERS

:

Muhittin Kaya

99 %

Cem Cagatay Sen

1 %

 

 

GROUP

:

GULAYLAR GROUP OF COMPANIES

 

GROUP PARENT COMPANY

:

GULAYLAR HOLDING A.S.

 

SISTER COMPANIES

:

AK ULUSLARARASI KUYUMCULUK MUCEVHERAT TICARET A.S.

AKTIF ULUSLARARASI KUYUMCULUK MUCEVHERAT TICARET A.S.

ALTINGUL KUYUMCULUK MAGAZALARI TICARET A.S.

ASYA ULUSLARARASI KUYUMCULUK MUCEVHERAT TICARET A.S.

BOGAZICI ULUSLARARASI KUYUMCULUK MUCEVHERAT TICARET A.S.

BOGAZICI ULUSLARARASI TURIZM YATIRIMLARI A.S.

CETIBELI TURIZM YATIRIMLARI A.S.

CITYS GAYRIMENKUL GELISTIRME A.S.

DEMIR ULUSLARARASI KUYUMCULUK MUCEVHERAT TICARET A.S.

DUNYA ULUSLARARASI MUCEVHERAT VE KUYUMCULUK SANAYI VE TICARET A.S.

ELEGANCE HOTEL TURIZM ISLETMELERI A.S.

ESENYURT ULUSLARARASI GAYRIMENKUL YATIRIM VE TICARET A.S.

GULAYLAR ALTIN KUYUMCULUK MAGAZALARI TICARET A.S.

GULAYLAR HOLDING A.S.

GULAYLAR PERAKENDE KUYUMCULUK MUCEVHERAT TICARET A.S.

GULAYLAR ULUSLARARASI KUYUMCULUK MUCEVHERAT SANAYI VE TICARET A.S.

GULAYLAR ULUSLARARASI TOPTAN ALTIN ITHALAT IHRACAT VE TICARET A.S.

GUNES KUYUMCULUK MUCEVHERAT TICARET LTD. STI.

GUNEYBATI TURIZM YATIRIMLARI A.S.

HAYAT GAYRIMENKUL GELISTIRME TURIZM INSAAT VE TAAHHUT A.S.

ISTANBUL GAYRIMENKUL YATIRIM SANAYI VE TICARET A.S.

KEMERALTI TURIZM YATIRIMLARI A.S.

KORFEZ ULUSLARARASI KUYUMCULUK MUCEVHERAT TICARET A.S.

MARMARA GAYRIMENKUL YATIRIM SANAYI VE TICARET A.S.

NISANTASI ULUSLARARASI KUYUMCULUK MUCEVHERAT TICARET A.S.

POZITIF KUYUMCULUK MUCEVHERAT TICARET A.S.

TEKTAS ULUSLARARASI MUCEVHERAT VE INTERNET SATIS TICARET A.S.

TEPE ULUSLARARASI KUYUMCULUK MUCEVHERAT TICARET A.S.

 

DIRECTORS

:

Muhittin Kaya

 

 

 

OPERATIONS

 

 

BUSINESS ACTIVITIES

:

Trade of jeweler.

 

NACE CODE

:

G .51.52

 

SECTOR

:

Commerce

 

NET SALES

:

5.935.635 TL

(2010) 

11.631.751 TL

(2011) 

6.322.779 TL

(2012) 

 

 

CAPACITY

:

None

 

PRODUCTION

:

None

 

IMPORT COUNTRIES

:

European Countries

Hong-Kong

India

Bangladesh

Israel

U.A.E.

 

MERCHANDISE IMPORTED

:

Jeweler

 

HEAD OFFICE ADDRESS

:

Ikitelli Organize Sanayi Bolgesi Turgut Ozal Cad. No:102 B Blok No:407/B Basaksehir Istanbul / Turkey

 

BRANCHES

:

Administrative Office  :  Nuruosmaniye Cad. N:63 Cagaloglu Istanbul/Turkey

INVESTMENTS

:

None

 

 

TREND OF BUSINESS

:

There was a decline at business volume in nominal terms in  2012.

SIZE OF BUSINESS

:

Moderate

 

 

FINANCE

 

 

MAIN DEALING BANKS

:

T. Is Bankasi Merkez Branch

Yapi ve Kredi Bankasi Nuruosmaniye Branch

 

CREDIT FACILITIES

:

No credit facility has come to our knowledge.

 

PAYMENT BEHAVIOUR

:

No payment delays have come to our knowledge.

 

KEY FINANCIAL ELEMENTS

:

 

(2010) TL

(2011) TL

(2012) TL

 

 

Net Sales

5.935.635

11.631.751

6.322.779

 

 

Profit (Loss) Before Tax

-31.342

-174.666

57.050

 

 

Stockholders' Equity

-54.740

-234.751

 

 

 

Total Assets

6.137.598

1.976.140

 

 

 

Current Assets

6.115.355

1.931.194

 

 

 

Non-Current Assets

22.243

44.946

 

 

 

Current Liabilities

6.192.338

2.210.891

 

 

 

Long-Term Liabilities

0

0

 

 

 

Gross Profit (loss)

-46.493

2.143.158

2.331.087

 

 

Operating Profit (loss)

-254.958

-59.086

205.440

 

 

Net Profit (loss)

-31.342

-174.666

57.050

 

 

 

 

 

 

COMMENT ON FINANCIAL POSITION

 

Capitalization

Negative Stockholders’ Equity As of 31.12.2011

Liquidity

Insufficient As of 31.12.2011

Remarks On Liquidity

The unfavorable gap between average collection and average payable period has an adverse effect on liquidity. 

 

The liquid assets consist mainly of receivables; the firm has negative cash&banks

 

Profitability

Gross Loss  in 2010

Operating Loss  in 2010

Net Loss  in 2010

Operating Loss  in 2011

Net Loss  in 2011

Fair Operating Profitability  in 2012

Low Net Profitability  in 2012

 

Gap between average collection and payable periods

Unfavorable in 2011

General Financial Position

Poor

 

 

Incr. in producers’ price index

 

Average USD/TL

Average EUR/TL

Average GBP/ TL

 ( 2010 )

8,87 %

1,5128

2,0096

2,3410

 ( 2011 )

13,33 %

1,6797

2,3378

2,6863

 ( 2012 )

2,45 %

1,7995

2,3265

2,8593

 ( 01.01-28.02.2013)

-0,31 %

1,7828

2,3690

2,8041

 

 

BALANCE SHEETS

 

 

 ( 31.12.2010 )  TL

 

 ( 31.12.2011 )  TL

 

 

 

CURRENT ASSETS

6.115.355

1,00

1.931.194

0,98

 

 

Not Detailed Current Assets

0

0,00

0

0,00

 

 

Cash and Banks

191.366

0,03

-70.198

-0,04

 

 

Marketable Securities

0

0,00

0

0,00

 

 

Account Receivable

5.571.873

0,91

1.994.068

1,01

 

 

Other Receivable

0

0,00

0

0,00

 

 

Inventories

109.342

0,02

0

0,00

 

 

Advances Given

205.825

0,03

4.523

0,00

 

 

Accumulated Construction Expense

0

0,00

0

0,00

 

 

Other Current Assets

36.949

0,01

2.801

0,00

 

 

NON-CURRENT ASSETS

22.243

0,00

44.946

0,02

 

 

Not Detailed Non-Current Assets

0

0,00

0

0,00

 

 

Long-term Receivable

0

0,00

0

0,00

 

 

Financial Assets

0

0,00

0

0,00

 

 

Tangible Fixed Assets (net)

22.243

0,00

44.946

0,02

 

 

Intangible Assets

0

0,00

0

0,00

 

 

Deferred Tax Assets

0

0,00

0

0,00

 

 

Other Non-Current Assets

0

0,00

0

0,00

 

 

TOTAL ASSETS

6.137.598

1,00

1.976.140

1,00

 

 

CURRENT LIABILITIES

6.192.338

1,01

2.210.891

1,12

 

 

Not Detailed Current Liabilities

0

0,00

0

0,00

 

 

Financial Loans

0

0,00

0

0,00

 

 

Accounts Payable

5.209.858

0,85

1.221.005

0,62

 

 

Loans from Shareholders

0

0,00

0

0,00

 

 

Other Short-term Payable

0

0,00

0

0,00

 

 

Advances from Customers

0

0,00

0

0,00

 

 

Accumulated Construction Income

0

0,00

0

0,00

 

 

Taxes Payable

170

0,00

848

0,00

 

 

Provisions

0

0,00

0

0,00

 

 

Other Current Liabilities

982.310

0,16

989.038

0,50

 

 

LONG-TERM LIABILITIES

0

0,00

0

0,00

 

 

Not Detailed Long-term Liabilities

0

0,00

0

0,00

 

 

Financial Loans

0

0,00

0

0,00

 

 

Securities Issued

0

0,00

0

0,00

 

 

Long-term Payable

0

0,00

0

0,00

 

 

Loans from Shareholders

0

0,00

0

0,00

 

 

Other Long-term Liabilities

0

0,00

0

0,00

 

 

Provisions

0

0,00

0

0,00

 

 

STOCKHOLDERS' EQUITY

-54.740

-0,01

-234.751

-0,12

 

 

Not Detailed Stockholders' Equity

0

0,00

0

0,00

 

 

Paid-in Capital

10.000

0,00

10.000

0,01

 

 

Cross Shareholding Adjustment of Capital

0

0,00

0

0,00

 

 

Inflation Adjustment of Capital

10.654

0,00

12.756

0,01

 

 

Equity of Consolidated Firms

0

0,00

0

0,00

 

 

Reserves

0

0,00

0

0,00

 

 

Revaluation Fund

0

0,00

0

0,00

 

 

Accumulated Losses(-)

-44.052

-0,01

-82.841

-0,04

 

 

Net Profit (loss)

-31.342

-0,01

-174.666

-0,09

 

 

TOTAL LIABILITIES AND EQUITY

6.137.598

1,00

1.976.140

1,00

 

 

 

REMARKS ON FINANCIAL STATEMENT

:

At the financial statements according to TAS,  "Cheques Received" and "Outstanding Cheques"  figures are under “Cash And Banks" figure. Beginning from the financial statements of 31.12.2011, "Cheques Received" and "Outstanding Cheques"  figures  are given under  "Account Receivable" figure and  "Account Payable" figure respectively                 

 

 

INCOME STATEMENTS

 

 

(2010) TL

 

(2011) TL

 

(2012) TL

 

Net Sales

5.935.635

1,00

11.631.751

1,00

6.322.779

1,00

Cost of Goods Sold

5.982.128

1,01

9.488.593

0,82

3.991.692

0,63

Gross Profit

-46.493

-0,01

2.143.158

0,18

2.331.087

0,37

Operating Expenses

208.465

0,04

2.202.244

0,19

2.125.647

0,34

Operating Profit

-254.958

-0,04

-59.086

-0,01

205.440

0,03

Other Income

224.453

0,04

161.893

0,01

73.557

0,01

Other Expenses

192

0,00

275.382

0,02

218.233

0,03

Financial Expenses

645

0,00

2.091

0,00

3.714

0,00

Minority Interests

0

0,00

0

0,00

0

0,00

Profit (loss) of consolidated firms

0

0,00

0

0,00

0

0,00

Profit (loss) Before Tax

-31.342

-0,01

-174.666

-0,02

57.050

0,01

Tax Payable

0

0,00

0

0,00

0

0,00

Postponed Tax Gain

0

0,00

0

0,00

0

0,00

Net Profit (loss)

-31.342

-0,01

-174.666

-0,02

57.050

0,01

 

 

FINANCIAL RATIOS

 

 

(2010)

(2011)

LIQUIDITY RATIOS

 

 

Current Ratio

0,99

0,87

Acid-Test Ratio

0,93

0,87

Cash Ratio

0,03

-0,03

ASSET STRUCTURE RATIOS

 

 

Inventory/Total Assets

0,02

0,00

Short-term Receivable/Total Assets

0,91

1,01

Tangible Assets/Total Assets

0,00

0,02

TURNOVER RATIOS

 

 

Inventory Turnover

54,71

 

Stockholders' Equity Turnover

-108,43

-49,55

Asset Turnover

0,97

5,89

FINANCIAL STRUCTURE

 

 

Stockholders' Equity/Total Assets

-0,01

-0,12

Current Liabilities/Total Assets

1,01

1,12

Financial Leverage

1,01

1,12

Gearing Percentage

-113,12

-9,42

PROFITABILITY RATIOS

 

 

Net Profit/Stockholders' Eq.

0,57

0,74

Operating Profit Margin

-0,04

-0,01

Net Profit Margin

-0,01

-0,02

Interest Cover

-47,59

-82,53

COLLECTION-PAYMENT

 

 

Average Collection Period (days)

337,94

61,72

Average Payable Period (days)

313,53

46,33

WORKING CAPITAL

-76983,00

-279697,00

 


DIAMOND INDUSTRY – INDIA

 

-          From time immemorial, India is well known in the world as the birthplace for diamonds.  It is difficult to trace the origin of diamonds but history says that in the remote past, diamonds were mined only in India. Diamond production in India can be traced back to almost 8th Century B.C.  India, in fact, remained undisputed leader till 18th Century when Brazilian fields were discovered in 1725 followed by emergence of S. Africa, Russia and Australia.

-          The achievement of the Indian diamond industry was possible only due to combination of the manufacturing skills of the Indian workforce and the untiring and unflagging efforts of the Indian diamantaires, supported by progressive Government policies.

-          The area of study of family owned diamond businesses derives its importance from the huge conglomerate of family run organizations which operate in the diamond industry since many generations.

-          Some of the basic traits of family run business enterprises include spirit of entrepreneurship, mutual trust lowers transaction costs, small, nimble and quick to react, information as a source of advantage and philanthropy.

-          Family owned diamond businesses need to improve on many fronts including higher standard of corporate governance, long-term performance – focused strategies, modern management and technology.

-          The diamond jewellery industry in India today may be more than Rs 60000 mil and is rated amongst the fastest growing  in the world. Indi ranks third in the world in domestic diamond consumption.

-          Utmost caution is to be exercised while dealing with some medium and large diamond traders which are usually engaged in fictitious import – export, inter-company transactions, financially assisted by banks. In the process, several public sector banks lost several hundred million rupees. They mostly diverted borrowed money for diamond business into real estate and capital markets.

-          Excerpts from Times of India dated 30th October 2010 is as under –

 

DIAMOND SAGA – DIRTY DOZEN STUCK WITH 2K CR DEBT

This could be the biggest credibility crisis the Indian diamond industry has ever faced. Fifteen banks run the risk of losing Rs 2000 crore lent to a dozen diamond firms in Surat. Until about two months ago, they had not repaid  these dues. Bankers believe many diamantaires borrowed money during the economic downturn two years ago and diverted funds to businesses like real estate and capital markets. Many of themselves made money from these businesses but their diamond companies have gone sick and declared insolvency.

-          Most of the money borrowed from the banks in the name of their diamond business has been diverted in real estate and the share market. The banks are not in a position to seize their properties because in many cases, these were purchased in the name of their relatives and friends.

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.54.44

UK Pound

1

Rs.81.33

Euro

1

Rs.70.50

 

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%)

 

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.