MIRA INFORM REPORT
|
Report Date : |
21.05.2013 |
IDENTIFICATION DETAILS
|
Name : |
INSULTEC
INTERNATIONAL LIMITED |
|
|
|
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Registered Office : |
Soi Langkaset, Huaypong-Nongbon Road, T. Huaypong, A. Muang, Rayong 21150 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2011 |
|
|
|
|
Date of Incorporation : |
09.09.2005 |
|
|
|
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Com. Reg. No.: |
0105548118993 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
subject is engaged
in providing installation
service of insulations
comprising Heat Insulation,
Cool Insulation and Sound
Insulation, as well
as Scaffold Installation Service
for construction works |
|
|
|
|
No. of Employees : |
180 |
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 |
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Payment Behaviour : |
Regular |
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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) |
|
Thailand |
B1 |
B1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
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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 achieved steady growth due largely to industrial and agriculture exports - mostly electronics, agricultural commodities, automobiles and parts, and processed foods. Thailand is trying to maintain growth by encouraging domestic consumption and public investment to offset weak exports in 2012. Unemployment, at less than 1% of the labor force, stands as one of the lowest levels in the world, which puts upward pressure on wages in some industries. Thailand also attracts nearly 2.5 million migrant workers from neighboring countries. The Thai government is implementing a nation-wide 300 baht ($10) per day minimum wage policy and deploying new tax reforms designed to lower rates on middle-income earners. The Thai economy has weathered internal and external economic shocks in recent years. The global economic severely cut Thailand's exports, with most sectors experiencing double-digit drops. In 2009, the economy contracted 2.3%. However, in 2010, Thailand's economy expanded 7.8%, its fastest pace since 1995, as exports rebounded. In late 2011 growth was interrupted by historic flooding in the industrial areas in Bangkok and its five surrounding provinces, crippling the manufacturing sector. Industry recovered from the second quarter of 2012 onward with GDP growth at 5.5% in 2012. The government has approved flood mitigation projects worth $11.7 billion, which were started in 2012, to prevent similar economic damage, and an additional $75 billion for infrastructure over the next seven years with a plan to start in 2013.
|
Source : CIA |
Company name
INSULTEC INTERNATIONAL LIMITED
SUMMARY
BUSINESS
ADDRESS : 1
SOI LANGKASET, HUAYPONG-NONGBON ROAD,
T.
HUAYPONG, A. MUANG, RAYONG
21150
TELEPHONE : [66] 38
692-121, 81 761-5098
FAX :
[66] 38
692-122
E-MAIL
ADDRESS : kuldip.minhas@insultec.com
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 2005
REGISTRATION
NO. : 0105548118993
TAX
ID NO. : 3032314008
CAPITAL REGISTERED : BHT. 20,000,000
CAPITAL PAID-UP : BHT.
20,000,000
SHAREHOLDER’S PROPORTION : AMERICAN : 100
%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR. DORIAN PUNJ,
AMERICAN
MANAGING DIRECTOR
NO.
OF STAFF : 180
LINES
OF BUSINESS : INSULATION
INSTALLATION SERVICE
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 September 9, 2005 as
a private limited
company under the registered name INSULTEC INTERNATIONAL LIMITED by
American groups. Its business
objective is to
provide installation service
wide range of
insulations. It currently
employs approximately 180
staff.
The subject’s
registered address was
initially located at
267/79 Sukhumvit Rd.,
T. Maptaphut, A.
Muang, Rayong 21150.
On
June 13, 2012, the
subject’s registered address
was relocated to
1 Soi Langkaset,
Huaypong-Nongbon Rd., T. Huaypong,
A. Muang, Rayong 21150,
and this is
the subject’s current
operation address.
THE BOARD OF
DIRECTOR
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Dorian Punj |
|
American |
60 |
|
Mr. Kaori Ramesh Kumar |
|
Indian |
67 |
|
Mr. Minhas Kuldip Singh |
|
Indian |
49 |
|
Mr. Zama Prem |
|
British |
51 |
AUTHORIZED PERSON
Anyone of the
above directors can
sign on behalf
of the subject
with company’s affixed.
MANAGEMENT
Mr. Dorian Punj is the Managing
Director.
He is American
nationality with the
age of 60
years old.
Mr. Minhas Kuldip Singh
is the General Manager.
He is Indian
nationality with the
age of 49 years
old.
BUSINESS OPERATIONS
The subject is engaged
in providing installation
service of insulations
comprising Heat Insulation,
Cool Insulation and Sound
Insulation, as well
as Scaffold Installation
Service for construction
works.
The subject
also imports, distributes,
exports and re-exports of
insulators and related
equipments.
PURCHASE
The products are purchased
from suppliers both
domestic and overseas,
mainly in U.S.A., Germany
and Republic of
China, the remaining
is purchased from
local suppliers.
MAJOR
SUPPLIERS
PU
Foam Insulation and
Trading Co., Ltd. : Thailand
Insultec
Inc. : U.S.A.
Fatek
Works Co., Ltd. : Thailand
SALES/SERVICES
90% of the
products is sold
and serviced locally
to wholesalers, contractors
and
end-users.
EXPORT
10% of the
products is re-exported
to Singapore and
Republic of China.
SUBSIDIARY AND AFFILIATED
COMPANY
The subject is
not found to
have any subsidiary
or affiliated company
here in Thailand.
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 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
T/T.
BANKING
Bangkok
Bank Public Co.,
Ltd.
EMPLOYMENT
The
subject employs approximately
180 office staff
and workers.
LOCATION
DETAILS
The premise
is owned for
administrative office at
the heading address. Premise is
located in provincial,
in the Eastern region.
Overseas
branch: 35 Selegie Road, # 01-21, Parklane
Shopping Mall, Singapore
188307.
COMMENT
The
subject operates as
an insulation installation service for
various purposes. Its operating
performance in 2010 was
outstanding, while the year 2011
its sales were
significantly dropped from
market slowdown from various factors including
massive flood in the large area of the country during the
last quarter.
Nevertheless, market
expansion had seen in the
year 2012, which
resulted to a business improvement.
FINANCIAL INFORMATION
The
capital was registered
at Bht. 4,000,000 divided
into 1,000 shares
of Bht. 4,000 each with
fully paid.
On
November 3, 2006,
the capital was
increased to Bht. 20,000,000 divided
into 5,000 shares of
Bht. 4,000 each with
fully paid.
THE
SHAREHOLDERS LISTED WERE
: [as at
April 27, 2012]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Dorian Punj Nationality: American Address : 508
North 2nd Street,
Fairfield, Iowa, U.S.A. |
4,994 |
99.88 |
|
Mrs. Natalia Punj Nationality: American Address : 508
North 2nd Street,
Fairfield, Iowa, U.S.A. |
1 |
0.02 |
|
Ms. Julia Anjalee Punj Nationality: American Address : 508
North 2nd Street,
Fairfield, Iowa, U.S.A. |
1 |
0.02 |
|
Mr. Mark Rew Anson Nationality: American Address : 104
West Madison Fairfield,
Iowa, U.S.A. |
1 |
0.02 |
|
Ms. Michael Shiwani Punj Nationality: American Address : 508
North 2nd Street,
Fairfield, Iowa, U.S.A. |
1 |
0.02 |
|
Mr. Ira S. Roffel Nationality: American Address : 1932
West Gear 10
Fairfield, Iowa, U.S.A. |
1 |
0.02 |
|
Mr. Terence Edward Weiss Nationality: American Address : 1000
North 4nd Street,
Fairfield, Iowa, U.S.A. |
1 |
0.02 |
Total Shareholders : 7
Share Structure [as
at April 27,
2012]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
- |
- |
- |
|
Foreign |
7 |
5,000 |
100.00 |
|
Total |
7 |
5,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Mr. Pariwuth Panbanditharn No.
5408
BALANCE SHEET [BAHT]
The latest financial figures published for December 31, 2011, 2010 & 2009 were:
ASSETS
|
Current Assets |
2011 |
2010 |
2009 |
|
|
|
|
|
|
Cash and Cash Equivalent |
27,564,434.14 |
51,593,667.15 |
28,023,552.19 |
|
Trade Accounts Receivable |
26,172,268.37 |
80,828,588.11 |
46,657,697.90 |
|
Unbilled Income |
27,145,228.86 |
1,900,000.00 |
26,813,449.39 |
|
Inventories |
3,277,477.35 |
4,642,985.20 |
25,366,924.12 |
|
Other Current Assets |
1,542,933.52 |
1,308,717.93 |
3,541,416.21 |
|
|
|
|
|
|
Total Current Assets
|
85,702,342.24 |
140,273,958.39 |
130,403,039.81 |
|
|
|
|
|
|
Fixed Assets |
22,426,926.39 |
25,267,133.79 |
26,846,281.56 |
|
Long-term Investment in Related Company |
980,000.00 |
- |
- |
|
Long-term Lending and Deferred Interest
|
7,131,250.00 |
- |
- |
|
Other Non-current Assets |
17,320,737.13 |
14,543,493.05 |
4,866,319.24 |
|
Total Assets |
133,561,255.76 |
180,084,585.23 |
162,115,640.61 |
LIABILITIES & SHAREHOLDERS’
EQUITY [BAHT]
|
Current Liabilities |
2011 |
2010 |
2009 |
|
|
|
|
|
|
Trade Accounts Payable |
16,686,600.86 |
15,374,756.92 |
51,762,664.09 |
|
Current Portion of Financial
Lease Contract Liabilities |
691,309.19 |
876,285.00 |
708,894.00 |
|
Short-term Loan from Director- Non interest |
- |
329,545.86 |
329,545.86 |
|
Accrued Expenses & Other
Current Liabilities |
25,884,961.77 |
48,201,376.22 |
27,970,292.44 |
|
|
|
|
|
|
Total Current Liabilities |
43,262,871.82 |
64,781,964.00 |
80,771,396.39 |
|
Long-term Loan from
Financial Institution |
492,464.00 |
1,183,773.19 |
722,826.19 |
|
Long-term Loan from Related Company |
- |
36,355,560.00 |
21,793,966.38 |
|
Total Liabilities |
43,755,335.82 |
102,321,297.19 |
103,288,188.96 |
|
|
|
|
|
|
Shareholders’ Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 4,000
par value authorized,
issued and fully paid
share capital 5,000 shares |
20,000,000.00 |
20,000,000.00 |
20,000,000.00 |
|
|
|
|
|
|
Capital Paid |
20,000,000.00 |
20,000,000.00 |
20,000,000.00 |
|
Statutory Reserve |
2,000,000.00 |
2,000,000.00 |
150,000.00 |
|
Retained Earning-
Unappropriated |
67,724,654.00 |
55,763,288.04 |
38,677,451.65 |
|
Gain on Statement |
81,265.94 |
- |
- |
|
Total Shareholders' Equity |
89,805,919.94 |
77,763,288.04 |
58,827,451.65 |
|
Total Liabilities &
Shareholders' Equity |
133,561,255.76 |
180,084,585.23 |
162,115,640.61 |
PROFIT & LOSS
ACCOUNT
|
Revenue |
2011 |
2010 |
2009 |
|
|
|
|
|
|
Sales & Services Income |
247,786,111.19 |
429,057,058.06 |
250,980,899.25 |
|
Other Income |
632,381.69 |
9,474,106.69 |
1,996,865.37 |
|
Total Revenues |
248,418,492.88 |
438,531,164.75 |
252,977,764.62 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold and Services |
197,318,537.94 |
380,937,681.47 |
204,183,950.69 |
|
Selling and Administrative Expenses |
27,434,949.91 |
26,154,744.87 |
24,987,577.73 |
|
Total Expenses |
224,753,487.85 |
407,092,426.34 |
229,171,528.42 |
|
|
|
|
|
|
Profit Before Interest Expenses & Income Tax |
23,665,005.03 |
31,438,738.41 |
23,806,236.20 |
|
Interest Expenses |
[77,752.95] |
[69,140.91] |
[87,921.06] |
|
Income Tax |
[7,225,886.12] |
[9,530,281.11] |
[7,203,999.89] |
|
|
|
|
|
|
Net Profit / [Loss] |
16,361,365.96 |
21,839,316.39 |
16,514,315.25 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2011 |
2010 |
2009 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
1.98 |
2.17 |
1.61 |
|
QUICK RATIO |
TIMES |
1.87 |
2.07 |
1.26 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
11.05 |
16.98 |
9.35 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.86 |
2.38 |
1.55 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
6.06 |
4.45 |
45.35 |
|
INVENTORY TURNOVER |
TIMES |
60.20 |
82.05 |
8.05 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
38.55 |
68.76 |
67.85 |
|
RECEIVABLES TURNOVER |
TIMES |
9.47 |
5.31 |
5.38 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
30.87 |
14.73 |
92.53 |
|
CASH CONVERSION CYCLE |
DAYS |
13.75 |
58.48 |
20.67 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
79.63 |
88.78 |
81.35 |
|
SELLING & ADMINISTRATION |
% |
11.07 |
6.10 |
9.96 |
|
INTEREST |
% |
0.03 |
0.02 |
0.04 |
|
GROSS PROFIT MARGIN |
% |
20.62 |
13.42 |
19.44 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
9.55 |
7.33 |
9.49 |
|
NET PROFIT MARGIN |
% |
6.60 |
5.09 |
6.58 |
|
RETURN ON EQUITY |
% |
18.22 |
28.08 |
28.07 |
|
RETURN ON ASSET |
% |
12.25 |
12.13 |
10.19 |
|
EARNING PER SHARE |
BAHT |
3,272.27 |
4,367.86 |
3,302.86 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.33 |
0.57 |
0.64 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.49 |
1.32 |
1.76 |
|
TIME INTEREST EARNED |
TIMES |
304.36 |
454.71 |
270.77 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
(42.25) |
70.95 |
|
|
OPERATING PROFIT |
% |
(24.73) |
32.06 |
|
|
NET PROFIT |
% |
(25.08) |
32.24 |
|
|
FIXED ASSETS |
% |
(11.24) |
(5.88) |
|
|
TOTAL ASSETS |
% |
(25.83) |
11.08 |
|
ANNUAL GROWTH :
RISKY
An annual sales growth is -42.25%. Turnover has decreased from THB
429,057,058.06 in 2010 to THB 247,786,111.19 in 2011. While net profit has decreased
from THB 21,839,316.39 in 2010 to THB 16,361,365.96 in 2011. And total assets
has decreased from THB 180,084,585.23 in 2010 to THB 133,561,255.76 in 2011.
PROFITABILITY :
IMPRESSIVE
PROFITABILITY
RATIO
|
Gross Profit Margin |
20.62 |
Acceptable |
Industrial Average |
36.30 |
|
Net Profit Margin |
6.60 |
Impressive |
Industrial Average |
1.50 |
|
Return on Assets |
12.25 |
Impressive |
Industrial Average |
3.82 |
|
Return on Equity |
18.22 |
Impressive |
Industrial Average |
10.19 |
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 20.62%. When
compared with the industry average, the ratio of the company was lower. This
indicated that company may have 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 6.6%,
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
12.25%, 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.
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 18.22%, 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 :
IMPRESSIVE
LIQUIDITY RATIO
|
Current Ratio |
1.98 |
Impressive |
Industrial Average |
1.31 |
|
Quick Ratio |
1.87 |
|
|
|
|
Cash Conversion Cycle |
13.75 |
|
|
|
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 1.98 times in 2011, decreased from 2.17 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 higher, indicated that company
was an efficient operator in a dominant position within its industry.
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 1.87 times in 2011,
decreased from 2.07 times, although excluding inventory so the company still
have good short-term financial strength.
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 14 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Downtrend
LEVERAGE :
EXCELLENT
LEVERAGE RATIO
|
Debt Ratio |
0.33 |
Impressive |
Industrial Average |
0.64 |
|
Debt to Equity Ratio |
0.49 |
Impressive |
Industrial Average |
1.76 |
|
Times Interest Earned |
304.36 |
Impressive |
Industrial Average |
- |
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 304.37 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 0.33 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 Stable
Times Interest Earned Downtrend
ACTIVITY :
IMPRESSIVE
ACTIVITY RATIO
|
Fixed Assets Turnover |
11.05 |
Impressive |
Industrial Average |
- |
|
Total Assets Turnover |
1.86 |
Acceptable |
Industrial Average |
2.56 |
|
Inventory Conversion Period |
6.06 |
|
|
|
|
Inventory Turnover |
60.20 |
Impressive |
Industrial Average |
6.68 |
|
Receivables Conversion Period |
38.55 |
|
|
|
|
Receivables Turnover |
9.47 |
Impressive |
Industrial Average |
4.08 |
|
Payables Conversion Period |
30.87 |
|
|
|
The company's Account Receivable Ratio is calculated as 9.47 and 5.31 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 4 days at the end of 2010 to
6 days at the end of 2011. This represents a negative trend. And Inventory
turnover has decreased from 82.05 times in year 2010 to 60.2 times in year
2011.
The company's Total Asset Turnover is calculated as 1.86 times and 2.38
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 Uptrend
Inventory Turnover Uptrend
Receivables Turnover Downtrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.55.04 |
|
UK Pound |
1 |
Rs.83.61 |
|
Euro |
1 |
Rs.70.68 |
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.