MIRA
INFORM REPORT
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Report Date : |
11.05.2013 |
IDENTIFICATION DETAILS
|
Name : |
SUPERSTARS GMBH. DIAMOND
EXPORT/IMPORT |
|
|
|
|
Registered Office : |
Friedenstr. 78 D 75173 Pforzheim |
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Country : |
Germany |
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Financials (as on) : |
31.12.2011 |
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Date of Incorporation : |
25.09.1981 |
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Com. Reg. No.: |
HRB 501709 |
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Legal Form : |
Private limited company |
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LINE OF BUSINESS : |
WHOLESALE OF CLOCKS AND WATCHES AND
JEWELRY |
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|
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No. of Employees : |
6 |
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 |
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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 – March, 31st, 2013
|
Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
|
Germany |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
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High |
B2 |
|
Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
GERMANY - ECONOMIC
OVERVIEW
The German economy - the fifth largest economy in the world in
PPP terms and Europe's largest - is a leading exporter of machinery, vehicles,
chemicals, and household equipment and benefits from a highly skilled labor
force. Like its Western European neighbors, Germany faces significant
demographic challenges to sustained long-term growth. Low fertility rates and
declining net immigration are increasing pressure on the country's social
welfare system and necessitate structural reforms. Reforms launched by the
government of Chancellor Gerhard SCHROEDER (1998-2005), deemed necessary to
address chronically high unemployment and low average growth, contributed to
strong growth in 2006 and 2007 and falling unemployment. These advances, as
well as a government subsidized, reduced working hour scheme, help explain the
relatively modest increase in unemployment during the 2008-09 recession - the
deepest since World War II - and its decrease to 6.5% in 2012. GDP contracted
5.1% in 2009 but grew by 4.2% in 2010, and 3.0% in 2011, before dipping to 0.7%
in 2012 - a reflection of low investment spending due to crisis-induced
uncertainty and the decreased demand for German exports from recession-stricken
periphery countries. Stimulus and stabilization efforts initiated in 2008 and
2009 and tax cuts introduced in Chancellor Angela MERKEL's second term
increased Germany's total budget deficit - including federal, state, and
municipal - to 4.1% in 2010, but slower spending and higher tax revenues
reduced the deficit to 0.8% in 2011. In 2012 Germany reached a budget surplus
of 0.1%. A constitutional amendment approved in 2009 limits the federal
government to structural deficits of no more than 0.35% of GDP per annum as of
2016 though the target was already reached in 2012. By 2014, the federal
government wants to balance its budget. Following the March 2011 Fukushima
nuclear disaster, Chancellor Angela Merkel announced in May 2011 that eight of
the country's 17 nuclear reactors would be shut down immediately and the
remaining plants would close by 2022. Germany hopes to replace nuclear power
with renewable energy. Before the shutdown of the eight reactors, Germany
relied on nuclear power for 23% of its electricity generating capacity and 46%
of its base-load electricity production.
|
Source
: CIA |
SUPERSTARS GMBH. DIAMOND EXPORT/IMPORT
Company Status: active
Friedenstr. 78
D 75173 Pforzheim
Telephone:07231/28094-24
Telefax:
07231/28094-10
E-mail: superstars_germany@gmx.de
Business relations are permissible.
LEGAL FORM Private limited company
Date of foundation: 25.09.1981
Registered on: 03.11.1981
Commercial Register: Local court 68159 Mannheim
under: HRB
501709
Share capital: EUR 153,387.56
Shareholder:
Kaushik R. Metha
Carl-Schurz-Str. 127
D 75180 Pforzheim
born: 09.06.1956
Share: EUR 153,387.56
Manager:
Kaushik R. Metha
Carl-Schurz-Str. 127
D 75180 Pforzheim
born: 09.06.1956
Marital status: married
03.11.1981 - 17.07.2000 Superstars
GmbH Diamond Export / Import
Carl-Schurz-Str. 127
D 75180 Pforzheim
Private limited company
Main
industrial sector
46480
Wholesale of clocks and watches and jewelry
Payment experience: within
agreed terms
Negative information: We have no negative information at hand.
Balance sheet year: 2011
Type of ownership: Tenant
Address Friedenstr.
78
D 75173 Pforzheim
Land register documents were not available.
SPARKASSE PFORZHEIM CALW, PFORZHEIM
Sort. code: 66650085, BIC: PZHSDE66XXX
Turnover: 2011 EUR 1,392,010.00
Profit: 2011 EUR 384,436.00
Equipment: EUR 24,071.00
Ac/ts receivable: EUR
5,623,581.00
Liabilities: EUR 7,676,691.00
Total numbers of vehicles: 1
Employees:
6
- thereof permanent staff: 3
- Part-time employees: 3
Balance sheet ratios 01.01.2011 - 31.12.2011
Equity ratio [%]: 15.52
Liquidity ratio: 0.75
Return on total capital [%]: 4.18
Balance sheet grade: 3.3
Balance sheet ratios 01.01.2010 - 31.12.2010
Equity ratio [%]: 17.28
Liquidity ratio: 0.63
Return on total capital [%]: 2.00
Balance sheet ratios 01.01.2009 - 31.12.2009
Equity ratio [%]: 19.04
Liquidity ratio: 0.68
Return on total capital [%]: 6.60
Balance sheet ratios 01.01.2008 - 31.12.2008
Equity ratio [%]: 8.19
Liquidity ratio: 0.70
Return on total capital [%]: 0.22
Equity ratio
The
equity ratio indicates the portion of the equity as compared
to the total capital. The higher the equity
ratio, the better the
economic stability (solvency) and thus the
financial autonomy of
a company.
Liquidity
ratio
The liquidity ratio shows the proportion
between adjusted
receivables and net liabilities. The higher
the ratio, the lower
the company's financial dependancy from
external creditors.
Return on
total capital
The return on total capital shows the
efficiency and return on
the total capital employed in the company. The
higher the return
on total capital, the more economically does
the company work
with the invested capital.
Type of
balance
sheet: Company
balance sheet
Financial year:
01.01.2011 - 31.12.2011
ASSETS EUR 9,225,398.30
Fixed assets
EUR 24,071.00
Tangible assets
EUR 24,071.00
Other tangible assets / fixtures and
fittings EUR 24,071.00
Current assets
EUR 9,200,934.30
Stocks
EUR 3,364,666.00
Accounts receivable
EUR 5,623,581.41
Other debtors and assets
EUR 5,623,581.41
Liquid means
EUR 212,686.89
Remaining other assets
EUR 393.00
Accruals (assets)
EUR 393.00
LIABILITIES EUR 9,225,398.30
Shareholders' equity
EUR 1,458,417.22
Capital
EUR 153,387.56
Subscribed capital (share capital)
EUR 153,387.56
Balance sheet profit/loss (+/-)
EUR 1,305,029.66
Profit / loss brought forward
EUR 920,594.10
Annual surplus / annual deficit
EUR 384,435.56
Provisions EUR 26,200.00
Liabilities
EUR 7,676,691.08
Financial debts
EUR 1,050,416.63
Liabilities due to banks
EUR 1,050,416.63
Other liabilities
EUR 6,626,274.45
Unspecified other liabilities
EUR 6,626,274.45
Other liabilities
EUR 64,090.00
Deferred taxes (not included under
provisions/liabilities) EUR 64,090.00
Guarantees and other commitments
EUR 460,060.81
Discounted bills of exchange
EUR 460,060.81
PROFIT AND LOSS ACCOUNT (cost-summary method)
according to Comm.
Code (HGB)
Gross
result (+/-) EUR 1,392,009.97
Staff expenses
EUR 224,246.09
Wages and salaries
EUR 197,279.01
Social security contributions and
expenses for pension plans and
benefits
EUR 26,967.08
Total depreciation
EUR 6,165.25
Depreciation on tangible / intangible
asssets (incl. start-up and exp. of
bus. EUR 6,165.25
Other operating expenses
EUR 691,482.96
Operating result from continuing
operations
EUR 470,115.67
Interest result (+/-)
EUR -33,680.55
Interest and similar income
EUR 24,421.41
Interest and similar expenses
EUR 58,101.96
thereof paid to related companies
EUR 166.44
Financial result (+/-) EUR -33,680.55
Result from ordinary operations (+/-)
EUR 436,435.12
Income tax / refund of income tax (+/-)EUR -50,894.56
Other taxes / refund of taxes
EUR -1,105.00
Tax (+/-) EUR -51,999.56
Annual surplus / annual deficit
EUR 384,435.56
Type of
balance
sheet: Company
balance sheet
Financial year:
01.01.2010 - 31.12.2010
ASSETS EUR 6,350,598.17
Fixed assets
EUR 160,275.00
Tangible assets
EUR 10,475.00
Other tangible assets / fixtures and
fittings
EUR 10,475.00
Financial assets
EUR 149,800.00
Shares in participations /
subsidiaries and the like
EUR 149,800.00
Shares in related companies
EUR 149,800.00
Current assets
EUR 6,189,987.17
Stocks
EUR 2,887,637.00
Accounts receivable
EUR 3,300,992.71
Trade debtors
EUR 3,240,267.83
Other debtors and assets
EUR 60,724.88
Liquid means
EUR 1,357.46
Remaining other assets
EUR 336.00
Accruals (assets)
EUR 336.00
LIABILITIES EUR 6,350,598.17
Shareholders' equity
EUR 1,123,981.66
Capital
EUR 153,387.56
Subscribed capital (share capital)
EUR 153,387.56
Balance sheet profit/loss (+/-)
EUR 970,594.10
Profit / loss brought forward
EUR 743,006.54
Annual surplus / annual deficit
EUR 227,587.56
Provisions EUR 41,943.00
Liabilities
EUR 5,166,679.91
Financial debts
EUR 1,401,675.36
Liabilities due to banks
EUR 1,401,675.36
Other liabilities
EUR 3,765,004.55
Trade creditors (for IAS incl. bills
of exchange)
EUR 3,217,866.35
Liabilities from received advance
payments
EUR 21,008.40
Liabililties due to related companiesEUR 49,005.98
Unspecified other liabilities
EUR 477,123.82
Other liabilities
EUR 17,993.60
Deferred taxes (not included under
provisions/liabilities)
EUR 17,993.60
PROFIT AND LOSS ACCOUNT (cost-summary method)
according to Comm.
Code (HGB)
Gross result (+/-)
EUR 959,617.06
Staff expenses
EUR 200,582.92
Wages and salaries
EUR 174,848.00
Social security contributions and
expenses for pension plans and
benefits
EUR 25,734.92
Total depreciation EUR 7,137.00
Depreciation on tangible / intangible
asssets (incl. start-up and exp. of
bus.
EUR 7,137.00
Other operating expenses
EUR 544,453.51
Operating result from continuing
operations
EUR 207,443.63
Interest result (+/-)
EUR -28,524.62
Interest and similar income
EUR 24,481.68
Interest
and similar expenses EUR 53,006.30
thereof paid to related companies
EUR 1,345.29
Financial result (+/-)
EUR -28,524.62
Result from ordinary operations (+/-)
EUR 178,919.01
Extraordinary income
EUR 134,018.80
Extraordinary expenses
EUR 32,649.10
Extraordinary result (+/-)
EUR 101,369.70
Income tax / refund of income tax (+/-)EUR -51,643.15
Other taxes / refund of taxes
EUR -1,058.00
Tax (+/-)
EUR -52,701.15
Annual surplus / annual deficit
EUR 227,587.56
DIAMOND INDUSTRY – INDIA
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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.
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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.
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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.
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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.
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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 –
-
Gem & Jewellery Export Promotion Council in its
statistical data has shown the export of polished diamonds to have increase by
28 % in February 2013. Compared to $ 1.4 bn worth of polished diamond export in
February, 2012, India exported $ 1.84 billion worth of polished diamonds in
February 2013. A senior executive of GJEPC said, “Export of cut and polished
diamonds started falling month-wise after the imposition of 2 % of import duty
on the polished diamonds. But February, 2013 has given a new ray of hope to the
industry as the export of polished diamonds has actually increased by 28 %. It
means the industry is on the track of recovery and round tripping of
diamonds has stopped completely.” Demand has started coming from the US, the
UK, Japan and China. India’s polished diamond export is expected to cross $ 21
bn in 2013-14.
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The banking sector has started exercising restraint
while following prudent risk management norms when lending money to gems and
jewellery sector. This follows the implementation of Basel III accord – a
global voluntary regulatory standard on bank capital adequacy, stress testing
and market liquidity.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.54.54 |
|
|
1 |
Rs.84.19 |
|
Euro |
1 |
Rs.71.11 |
INFORMATION DETAILS
|
Report Prepared
by : |
SDA |
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 |
|
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NB |
New Business |
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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.