MIRA INFORM REPORT
|
Report Date : |
30.03.2013 |
IDENTIFICATION DETAILS
|
Name : |
MODERN
DYESTUFFS & PIGMENTS
CO., LTD. |
|
|
|
|
Registered Office : |
2nd Floor, Town In
Town Building, 324 Ladprao
94 Road, Wangthonglang, Bangkok 10310 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2011 |
|
|
|
|
Date of Incorporation : |
02.01.1990 |
|
|
|
|
Com. Reg. No.: |
0105533000223 [Former :
22/2533] |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Manufacturer, distributor &
exporter of dyestuffs
& pigments |
|
|
|
|
No. of Employees : |
210 |
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 : |
Usually Correct |
|
|
|
|
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
MODERN DYESTUFFS & PIGMENTS CO., LTD.
SUMMARY
BUSINESS
ADDRESS : 2nd FLOOR, TOWN
IN TOWN BUILDING,
324 LADPRAO
94 ROAD, WANGTHONGLANG,
BANGKOK 10310,
THAILAND
TELEPHONE :
[66] 2530-3890-5,
2539-4619
FAX :
[66] 2539-2488,
2530-7612
E-MAIL
ADDRESS : mdp@moderndyestuffs.com
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1990
REGISTRATION
NO. : 0105533000223 [Former : 22/2533]
TAX
ID NO. : 3101809978
CAPITAL REGISTERED : BHT. 450,000,000
CAPITAL PAID-UP : BHT.
450,000,000
SHAREHOLDER’S PROPORTION : THAI :
48.69%
FOREIGN :
51.31%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR.
LUECHA UPRAPAKORN, THAI
MANAGING DIRECTOR
NO.
OF STAFF : 210
LINES
OF BUSINESS : DYESTUFFS &
PIGMENTS
MANUFACTURER, DISTRIBUTOR
& EXPORTER
CORPORATE PROFILE
OPERATING
TREND : STABLE
PRESENT
SITUATION : OPERATING NORMALLY
REPUTATION : GOOD
WITH NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT STANDARD : MANAGEMENT WITH
FAIR PERFORMANCE
HISTORY
The subject was
established on January
2, 1990 as
a private limited
company under the
name style MODERN
DYESTUFFS & PIGMENTS
CO., LTD. by
Thai - Taiwanese groups. MDP
has set up
its excellent fundamental
through the continuously
utilizing of advanced
technologies and modern
equipment together with
computerized management system
to manufacture dyestuffs
and pigments products
for leather, textile
and paper industries
both in domestic
and export market
with the promotional
privilege granted by the Board
of Investment in
June 1990. The
subject currently employs
approximate 210 staff.
It is one
of the leading
dye manufacturers in
Asia, specializing in
leather, textile & paper dyes.
Its products are
currently under production
and free from
banned amines in
order to comply
with the German’s
legislature in term
of product compassion.
Awards/Certifications
In 1997 : ISO 9001
achievement award was
obtained.
In 2001 :
ISO 14001 achievement
award was obtained
In 2002 :
Overseas Taiwanese SMEs
Award was obtained.
In 2008 : TLS
8001 : 2003 the Thai
Labour Stanadrd obtained
In 2009 :
OHSAS 18001 : 2007, TIS 18001 :
1999 certification
In 2010 : Certificate
of Energy Management
Systems from Thailand
Productivity
Association
In 2011 :
Thailand Green Corporate
certificate from Thailand
Industrial Development
Bureau.
The subject’s registered
address is 2nd Flr.,
Town In Town
Building, 324 Ladprao
94 Rd., Wangthonglang, Bangkok
10310, and this
is the company’s
current operation address.
THE BOARD OF
DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mrs. Wu Chen
Li Hsia |
|
Taiwanese |
64 |
|
Mr. Luecha Uprapakorn [Richard, L.H. Wu] |
[x] |
Thai |
67 |
|
Ms. Emika Uprapakorn |
|
Thai |
30 |
Note:
Mr. Richard, L.H. Wu changed his name to Mr. Luecha Uprapakorn, on April 28, 2010.
AUTHORIZED PERSON
Only the mentioned
director [x] can sign
on behalf of
the subject with
company’s affixed.
MANAGEMENT
Mr. Luecha Uprapakorn [Richard L.H.
Wu] is the
Managing Director.
He is Thai
nationality with the
age of 67
years old.
He has been
in this position
since 1990.
Ms. Samorn Wongwattanakul is
the Marketing Manager.
She is Thai
nationality.
Ms. Jintana Prasutchai
is the Account
& Finance Manager.
She is
Thai nationality.
Mr. Boonlue Aksornlertsawad is
the G.M. and
Factory Manager.
He is Thai
nationality.
BUSINESS OPERATIONS
The subject’s activity
is a manufacturer
of dyestuff and
pigment. Its products
consist of leather
dyes, textile dyes,
paper dyes, PU dyes,
dyes for inkjet,
pigment, chemical [DCA properties],
aluminium dyes, nanotech
chemical, finishing [wool
& leather coating and
liquid chemical]. For
textile dyes, the
subject manufacture for
the European major
chemicals company both
ODM and OEM
customers with more
than 70 countries
worldwide
MAJOR BRAND
“M D P”
PRODUCTION
Dyestuff : 10,000
tons/year
PURCHASE
50% of raw materials
mainly dyestuff intermediates
and chemical are
imported from Japan, India,
Republic of China, Taiwan,
Singapore, Switzerland, United States
of America and
Germany, and another
50% is purchased
from local suppliers.
MAJOR SUPPLIER
BASF [Thai] Ltd. : Thailand
SALES [LOCAL]
20% of the
products is distributed
locally by Current Tech Co., Ltd., the
subject’s affiliated company.
EXPORT [COUNTRY]
80% of the
products is exported
to over 200
customers in 70
countries worldwide, such
as Japan, Taiwan,
Philippines, Spain, United
States of America,
Italy, Singapore, Vietnam,
Republic of China,
Indonesia, Brazil, Switzerland,
France, Netherlands, United Kingdom, Australia, Canada, Germany,
New Zealand, and
Africa.
MAJOR CUSTOMER
Organic Dyestuffs Corporation : U.S.A.
Hong Phat New
Trading Co., Ltd. : Vietnam
Four Colors Acquisitions Inc. : U.S.A.
BRANCH OFFICE
Taipei, Taiwan
SUBSIDIARY & AFFILIATED COMPANY
Current Tech Co., Ltd.
Country : Thailand
Business Type : Sole
distributor of dyestuff
and pigments
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 on
the credits term
of 30-60-90 days.
Local bills are paid by
cash or on
the credits term
of 30-60 days.
Imports are by
L/C on the
credit term of
180 days &
T/T.
Exports are against
T/T.
BANKING
Kasikornbank Public
Co., Ltd.
Krung Thai Bank
Public Co., Ltd.
[Srinakarin Branch
: Srinakarin Rd.,
Praves, Bangkok 10250]
EMPLOYMENT
The subject employs
approximately 210 staff. [office,
sales staff and
factory workers]
LOCATION DETAILS
The premise is
rented for administrative office
on 2nd Floor,
in a 6
storey building on approximately 80
square meters at
the heading address.
Premise is located
in commercial/residential area.
The factory is
located at Eastern
Seaboard, 688/3 Moo 1, Cholburi-Rayong Road, T.
Klongkiw, A. Banbueng,
Cholburi. Tel. : [66]
38 742-324, 38 742-462-3,
38 158-864-8 Fax
: [66] 38
742-325.
The total area
of factory is on
102,400 square meters
plot of land,
and also located
in the Eastern
coast of the
Gulf of Thailand.
COMMENT
The subject has set up its excellent
fundamental through the
continuous utilizing of advanced technology and modern equipment
together with computerized management
system. As well, it has
technical cooperation with
the traditional dye
manufacturers from Europe,
Japan and Taiwan.
As one of
the most sophisticated
and advanced production
plants, the subject
has been trusted
by its customers
around the world.
Subject is one of
the world leaders
in high quality dyestuffs and
pigment industries.
With many new
products have been
introduced to the
market each year.
This enabled the subject
to sustain a leading
company in the industry.
FINANCIAL INFORMATION
The capital was
registered at Bht.
25,000,000 divided into
250,000 shares of
Bht. 100 each.
Capital was increased
later as followings:
Bht. 50,000,000 on
March 27, 1990
Bht. 100,000,000
on October 26,
1994
Bht. 200,000,000
on May 13,
1999
Bht. 400,000,000 on
April 4, 2002
Bht. 450,000,000 on
February 19, 2004
The latest registered
capital was increased
to Bht. 450,000,000
divided into 45,000,000
shares of Bht.
10 each with
fully paid.
MAIN SHAREHOLDERS : [as at
April 18, 2012]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Luecha Uprapakorn Nationality : Thai Address : 324
Ladprao 94 Rd.,
Pubpla,
Wangthonglang, Bangkok |
17,939,556 |
39.87 |
|
Mrs. Wu Chen Li Hsia Nationality : Taiwanese Address : 324
Ladprao 94 Rd.,
Pubpla,
Wangthonglang, Bangkok |
9,623,767 |
21.39 |
|
Mr. Wu Chong Cher Nationality: Taiwanese Address : 324
Ladprao 94 Rd.,
Pubpla,
Wangthonglang, Bangkok |
3,585,570 |
7.97 |
|
Ms. Wu Pin Chee Nationality : Taiwanese Address : 324
Ladprao 94 Rd.,
Pubpla,
Wangthonglang, Bangkok |
3,449,087 |
7.66 |
|
Ms. Emika Uprapakorn Nationality : Thai Address : 324
Ladprao 94 Rd.,
Pubpla,
Wangthonglang, Bangkok |
3,403,595 |
7.56 |
|
Mr. Chai Cheng
Fu Nationality: Taiwanese Address : 48
Lane 198 Dong-Der
Rd., Taoyuan, Taiwan |
2,050,000 |
4.55 |
|
Other Shareholders |
4,948,425 |
11.00 |
Total Shareholders : 43
Share Structure [as
at April 18,
2012]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Chinese |
24 |
22,926,569 |
50.95 |
|
Malaysian |
1 |
164,852 |
0.36 |
|
Thai |
18 |
21,908,579 |
48.69 |
|
Total |
43 |
45,000,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Ms. Tipawal Nananuwat
No. 3459
BALANCE SHEET [BAHT]
The latest
financial figures published
for December 31,
2011, 2010 &
2009 were:
ASSETS
|
Current Assets |
2011 |
2010 [Adjusted] |
2009 |
|
|
|
|
|
|
Cash and Cash
Equivalents |
6,709,467 |
27,227,198 |
10,265,463 |
|
Trade Accounts & Other Receivable |
164,521,728 |
230,975,181 |
319,888,231 |
|
Short-term Loan |
17,200,000 |
21,200,000 |
20,800,000 |
|
Inventories |
395,226,765 |
340,180,456 |
271,526,305 |
|
Other Current Assets
|
6,640,974 |
22,586,834 |
9,933,941 |
|
|
|
|
|
|
Total Current Assets
|
590,298,934 |
642,166,669 |
632,413,940 |
|
Fixed Assets |
289,049,791 |
274,494,175 |
290,294,562 |
|
Intangible Assets |
100,027,470 |
83,434,988 |
69,901,855 |
|
Other Non-current Assets
- Deposit |
616,130 |
557,830 |
155,936 |
|
Total Assets |
979,992,325 |
1,000,653,662 |
992,766,293 |
LIABILITIES & SHAREHOLDERS' EQUITY
[BAHT]
|
Current
Liabilities |
2011 |
2010 [Adjusted] |
2009 |
|
|
|
|
|
|
Bank Overdraft &
Short-term Loan from Financial Institution |
276,176,402 |
286,555,982 |
410,543,121 |
|
Trade Accounts Payable
& Other Payable |
83,868,555 |
158,098,206 |
71,354,731 |
|
Current Portion of
Long-term Loan |
20,245,088 |
- |
- |
|
Current Portion of Financial Lease / Hire- purchase Contract Liabilities |
1,363,985 |
553,932 |
- |
|
Accrued Income Tax |
3,424,781 |
13,698,476 |
762,929 |
|
Accrued Expenses |
- |
- |
16,618,627 |
|
Other Current Liabilities |
1,129,826 |
1,491,349 |
1,291,247 |
|
|
|
|
|
|
Total Current Liabilities |
386,208,637 |
460,397,945 |
500,570,655 |
|
Long-term Loan -
Net of Current Portion |
28,754,392 |
- |
- |
|
Financial Lease/Hire-purchase Contract
Liabilities - Net of
Current Portion |
1,958,897 |
1,061,919 |
- |
|
Reserve for Long-term Employee Benefits |
13,276,061 |
11,846,346 |
- |
|
Total Liabilities |
430,197,987 |
473,306,210 |
500,570,655 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 10
par value authorized, issued
and fully paid share capital
45,000,000 shares |
450,000,000 |
450,000,000 |
450,000,000 |
|
|
|
|
|
|
Capital Paid |
450,000,000 |
450,000,000 |
450,000,000 |
|
Retained Earning Appropriated -
Statutory Reserve |
16,495,088 |
16,495,088 |
16,495,088 |
|
Unappropriated |
83,299,250 |
60,852,364 |
25,700,550 |
|
Total Shareholders' Equity |
549,794,338 |
527,347,452 |
492,195,638 |
|
Total Liabilities &
Shareholders' Equity |
979,992,325 |
1,000,653,662 |
992,766,293 |
PROFIT & LOSS ACCOUNT
|
Revenue |
2011 |
2010 [Adjusted] |
2009 |
|
|
|
|
|
|
Sales |
758,633,811 |
924,538,363 |
624,197,746 |
|
Other Income Gain on Exchange Rate |
2,060,686 |
- |
1,016,974 |
|
Others |
10,323,854 |
6,853,427 |
2,857,568 |
|
Total Revenues |
771,018,351 |
931,391,790 |
628,072,288 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold |
604,149,802 |
696,708,285 |
493,646,948 |
|
Selling Expenses |
19,529,348 |
34,011,482 |
18,104,802 |
|
Administrative Expenses |
103,772,846 |
111,264,597 |
85,975,081 |
|
Loss on Exchange Rate |
- |
12,509,747 |
- |
|
Total Expenses |
727,451,996 |
854,494,111 |
597,726,831 |
|
|
|
|
|
|
Profit before Finance
Cost & Income Tax |
43,566,355 |
76,897,679 |
30,345,457 |
|
Finance Cost |
[13,164,221] |
[11,371,379] |
[16,413,891] |
|
|
|
|
|
|
Profit before Income
Tax |
30,402,134 |
65,526,300 |
13,931,566 |
|
Income Tax |
[7,955,248] |
[19,726,709] |
[786,299] |
|
|
|
|
|
|
Net Profit / [Loss] |
22,446,886 |
45,799,591 |
13,145,267 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2011 |
2010 |
2009 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
1.53 |
1.39 |
1.26 |
|
QUICK RATIO |
TIMES |
0.49 |
0.61 |
0.70 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
2.62 |
3.37 |
2.15 |
|
TOTAL ASSETS TURNOVER |
TIMES |
0.77 |
0.92 |
0.63 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
238.78 |
178.22 |
200.77 |
|
INVENTORY TURNOVER |
TIMES |
1.53 |
2.05 |
1.82 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
79.16 |
91.19 |
187.05 |
|
RECEIVABLES TURNOVER |
TIMES |
4.61 |
4.00 |
1.95 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
50.67 |
82.83 |
52.76 |
|
CASH CONVERSION CYCLE |
DAYS |
267.26 |
186.58 |
335.06 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
79.64 |
75.36 |
79.09 |
|
SELLING & ADMINISTRATION |
% |
16.25 |
15.71 |
16.67 |
|
INTEREST |
% |
1.74 |
1.23 |
2.63 |
|
GROSS PROFIT MARGIN |
% |
22.00 |
25.38 |
21.54 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
5.74 |
8.32 |
4.86 |
|
NET PROFIT MARGIN |
% |
2.96 |
4.95 |
2.11 |
|
RETURN ON EQUITY |
% |
4.08 |
8.68 |
2.67 |
|
RETURN ON ASSET |
% |
2.29 |
4.58 |
1.32 |
|
EARNING PER SHARE |
BAHT |
0.50 |
1.02 |
0.29 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.44 |
0.47 |
0.50 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.78 |
0.90 |
1.02 |
|
TIME INTEREST EARNED |
TIMES |
3.31 |
6.76 |
1.85 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
(17.94) |
48.12 |
|
|
OPERATING PROFIT |
% |
(43.35) |
153.41 |
|
|
NET PROFIT |
% |
(50.99) |
248.41 |
|
|
FIXED ASSETS |
% |
5.30 |
(5.44) |
|
|
TOTAL ASSETS |
% |
(2.06) |
0.79 |
|
ANNUAL GROWTH :
RISKY
An annual sales growth is -17.94%.
Turnover has decreased from THB 924,538,363.00 in 2010 to THB 758,633,811.00 in
2011. While net profit has decreased from THB 45,799,591.00 in 2010 to THB
22,446,886.00 in 2011. And total assets has decreased from THB 1,000,653,662.00
in 2010 to THB 979,992,325.00 in 2011.
PROFITABILITY :
SATISFACTORY
PROFITABILITY
RATIO
|
Gross Profit Margin |
22.00 |
Impressive |
Industrial
Average |
13.98 |
|
Net Profit Margin |
2.96 |
Acceptable |
Industrial
Average |
4.31 |
|
Return on Assets |
2.29 |
Acceptable |
Industrial
Average |
4.00 |
|
Return on Equity |
4.08 |
Acceptable |
Industrial
Average |
7.52 |
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. Gross Profit Margin is 22%. When compared with the industry average,
the ratio of the company was higher, indicated that company was more profitable
than the same industry.
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 2.96%.
When compared with the industry average, the ratio of the company was lower.
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. When compared with the
industry average, it was lower, the company's figure is 2.29%.
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 4.08%.
Trend of the
average competitors in the same industry for last 5 years
Return on Assets Downtrend
Return on Equity Downtrend
LIQUIDITY : RISKY
LIQUIDITY RATIO
|
Current Ratio |
1.53 |
Satisfactory |
Industrial
Average |
1.63 |
|
Quick Ratio |
0.49 |
|
|
|
|
Cash Conversion Cycle |
267.26 |
|
|
|
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 1.53 times in 2011, increase from 1.39 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 0.49 times in 2011,
decrease from 0.61 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 268 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE :
SATISFACTORY
LEVERAGE RATIO
|
Debt Ratio |
0.44 |
Acceptable |
Industrial
Average |
0.41 |
|
Debt to Equity Ratio |
0.78 |
Impressive |
Industrial
Average |
0.75 |
|
Times Interest Earned |
3.31 |
Acceptable |
Industrial
Average |
6.16 |
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 3.31 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 0.44 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 :
SATISFACTORY
ACTIVITY RATIO
|
Fixed Assets Turnover |
2.62 |
Impressive |
Industrial
Average |
1.65 |
|
Total Assets Turnover |
0.77 |
Satisfactory |
Industrial
Average |
0.94 |
|
Inventory Conversion Period |
238.78 |
|
|
|
|
Inventory Turnover |
1.53 |
Deteriorated |
Industrial
Average |
5.52 |
|
Receivables Conversion Period |
79.16 |
|
|
|
|
Receivables Turnover |
4.61 |
Satisfactory |
Industrial
Average |
4.67 |
|
Payables Conversion Period |
50.67 |
|
|
|
The company's Account Receivable Ratio is calculated as 4.61 and 4.00 in
2011 and 2010 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 2011
increased from 2010. This would suggest the company had good performance 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 178 days at the
end of 2010 to 239 days at the end of 2011. This represents a negative trend.
And Inventory turnover has decreased from 2.05 times in year 2010 to 1.53 times
in year 2011.
The company's Total Asset Turnover is calculated as 0.77 times and 0.92
times in 2011 and 2010 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 Downtrend
Inventory Turnover Downtrend
Receivables Turnover Downtrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.54.39 |
|
UK Pound |
1 |
Rs.82.32 |
|
Euro |
1 |
Rs.69.54 |
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.