MIRA
INFORM REPORT
|
Report Date : |
08.11.2013 |
IDENTIFICATION DETAILS
|
Name : |
DANA SPICER
[ |
|
|
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Registered Office : |
375
Ladkrabang Industrial Estate, Chalongkrung Road,
Lamplatiew, Ladkrabang,
Bangkok 10520 |
|
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Country : |
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|
|
|
Financials (as on) : |
31.12.2012 |
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|
|
|
Date of Incorporation : |
09.04.1992 |
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|
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Com. Reg. No.: |
0105535061874 |
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|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Manufacturing wide range
of driveshaft and machine components
assembly |
|
|
|
|
No. of Employees : |
700 |
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 – 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 |
|
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 crisis 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 and address
DANA
SPICER [THAILAND] LIMITED
SUMMARY
BUSINESS
ADDRESS : 375
LADKRABANG INDUSTRIAL ESTATE,
LADKRABANG, BANGKOK
10520
TELEPHONE : [66] 2326-0054,
2739-4300, 2326-1145-7
FAX :
[66] 2326-0055
E-MAIL
ADDRESS : thiti.suksawat@dana.com
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1992
REGISTRATION
NO. : 0105535061874 [Former : 6186/ 2535]
TAX
ID NO. : 3011070871
CAPITAL REGISTERED : BHT. 1,084,000,000
CAPITAL PAID-UP : BHT.
1,084,000,000
SHAREHOLDER’S PROPORTION : FOREIGN :
100%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR. MICHAEL DIAMENTE,
AMERICAN
MANAGING DIRECTOR
NO.
OF STAFF : 700
LINES
OF BUSINESS : MACHINES AND
DRIVESHAFT COMPONENTS
ASSEMBLER
CORPORATE PROFILE
OPERATING
TREND : STABLE
PRESENT
SITUATION : OPERATING NORMALLY
REPUTATION : GOOD
WITH NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT
STANDARD : MANAGEMENT WITH
GOOD PERFORMANCE
HISTORY
The
subject was established on April 9,
1992 as a
private limited company under
the registered name “Spicer
Asia [Thailand] Ltd.” by foreign groups, to manufacture machines
and driveshafts components
assembly with a
promotional privilege granted
by the Board
of Investment [BOI]
in Thailand.
On
January 5, 1999, the subject’s
name was changed to “DANA
SPICER [THAILAND] LIMITED.”
It currently employs
700 staff.
It
achieved the international
standard ISO 9001 and
ISO 14001 certificates from
UL institutes, as
well as ISO/TS
16949 : 2002 certification, with
a technical specification
designed to meet
US, German, French,
and Italian automotive
quality system standards
within the international
automotive industry.
In 2005,
the company also won
the prestigious Thailand
Quality Class Award.
This award was set
up to improve
the competitiveness of
businesses in Thailand
and to encourage
businesses to compete and
globalise. By winning
this award, the
company is widely
recognised for its
achievements in developing
world-class standards.
The
major shareholders are
Dana Worldtrade Corporation of USA,
and ROC-Spicer Limited
of Republic of
China, with holding
around 84% and
15%, of the
subject’s shares respectively.
It is a
member of Dana
Holding Corporation in
U.S.A., the leading
independent global automotive
Original Equipment Manufacturing
[OEM] supplier to
manufacturers of light
vehicles, including passenger
cars, SUVs, light
trucks and vans.
Dana Corporation group employs
over 45,900 people
with more than
175 facilities in
28 countries around
the world.
The
subject’s registered address
is 375 Ladkrabang
Industrial Estate, Chalongkrung
Rd., Lamplatiew, Ladkrabang,
Bangkok 10520, and this
is the subject’s
current operation address.
THE
BOARD OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Robert David Pyle |
|
American |
46 |
|
Mr. Michael Diamente |
|
American |
60 |
|
Mr. Timothy John Klaus |
|
American |
49 |
|
Mr. Cheng-Yu Cho |
|
Chinese |
62 |
AUTHORIZED PERSON
Anyone of the
above directors can
sign on behalf
of the subject
with company’s affixed.
MANAGEMENT
Mr. Michael Diamente is
the Managing Director.
He is American
nationality with the
age of 60 years
old.
Mr. Vasan Kritboonchu is
the Purchasing Manager.
He is Thai
nationality.
Mr. Kanchid Vasavorn is
the Factory Manager.
He is Thai
nationality.
Mr. Danupap Chiewthanasoonthorn is
the Tooling Manager.
He is Thai
nationality.
Mr. Cholayuth Yomdoy is
the Human Resources
Manager.
He is Thai
nationality.
BUSINESS OPERATIONS
The subject is
engaged in manufacturing
wide range of
driveshaft and machine
components assembly, including
driveshaft assembly, axle components and axle
assembly for machinery
and automotive industry
under its own
brand “DANA”.
PRODUCTION
Driveshafts : 235,000
sets/annum
Axles : 190,000
sets/annum
PURCHASE
80%
of raw material
and equipment are
purchased from local
suppliers, the remaining
20% are imported
from Japan, Germany
and Republic of China.
SALES
80% of the
products is sold
locally to manufacturers, wholesalers
and end-users, the
remaining 20% is exported
to Japan, Germany,
South Korea and
Malaysia.
PARENT
COMPANY
Dana
Worldtrade Corporation
Business
: Manufacturer of
light vehicle for
automotive industry
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
700 staff. [office
staff and factory workers]
LOCATION DETAILS
The
premise is owned
for administrative office,
factory I and warehouse
at the heading
address. Premise is
located in an
industrial area.
Factory
II is located
at 64/7 Eastern
Seaboard Industrial Estate,
Moo 4, Pluakdaeng, Rayong
21140. Tel. [66] 38 954-330-7,
Fax. [66] 38 954-341
Warehouse
is located at
64/61, 64/231-232 Eastern
Seaboard Industrial Estate,
Moo 4, Pluakdaeng, Rayong
21140.
COMMENT
The company is
one of the world’s leading manufacturers of driveshafts and has built up an
excellent reputation among the big name in automobile manufacturers who have
based themselves in the kingdom. Its valued customers now include vehicle
manufacturers such as General Motors, Nissan and Chrysler.
The company have made the products with
great reputation throughout automotive sector and also contributed to its
recent success here in Thailand.
The
company has grown
precisely in line
with expansion of automotive
industry.
FINANCIAL INFORMATION
The
capital was registered
at Bht. 145,000,000 divided
into 1,450,000 shares
of Bht. 100 each.
The
capital was increased
later as following:
Bht. 404,000,000
on May 13,
1997
Bht.
1,404,000,000 on December
29, 1998
Bht.
1,084,000,000 on April
29, 2004
The
latest registered capital
was increased to
Bht. 1,084,000,000 divided into
10,840,000 shares of
Bht. 100 each
with fully paid.
THE
SHAREHOLDERS LISTED WERE
: [as at
April 25, 2013]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Dana Worldtrade Corporation Nationality: American Address : 4500
Dorstreet, Toledo, Ohio,
U.S.A. |
9,120,419 |
84.14 |
|
ROC - Spicer Limited Nationality: Chinese Address : Taoyuan
Zian, Taiwan |
1,626,000 |
15.00 |
|
Najico Spicer Company
Limited Nationality: Japanese Address : Tokyo,
Japan |
93,577 |
0.86 |
|
Dana Korea Company
Limited Nationality: Korean Address : Seoul,
Korea |
1 |
- |
|
Dana Australia [Holdings]
Pty. Ltd. Nationality: Australian Address : 39-45
Wedgwood Rd., Hollam,
Victoria 3803 Australia
|
1 |
- |
|
Dana Japan Limited Nationality: Japanese Address : Tokyo,
Japan |
1 |
- |
|
Dana [Asia] Hong
Kong Limited Nationality: Hong Kong - Chinese Address : Wan
Jay, Hong Kong
|
1 |
- |
Total Shareholders : 7
Share Structure [as
at April 25,
2013]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
- |
- |
- |
|
Foreign |
7 |
10,840,000 |
100.00 |
|
Total |
7 |
10,840,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC ACCOUNTANT NO. :
Ms. Varaporn Vorathitikul No.
4474
BALANCE SHEET [BAHT]]
The latest financial figures published
as at December
31, 2012, 2011
& 2010 were:
ASSETS
|
Current Assets |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Cash and Cash Equivalents |
1,678,786,611 |
292,636,045 |
883,246,538 |
|
Trade Accounts & Other Receivable |
1,382,016,596 |
802,438,323 |
924,164,329 |
|
Inventories |
1,009,184,253 |
1,093,581,633 |
568,768,126 |
|
Other Current Assets
|
44,370,070 |
46,497,519 |
32,053,250 |
|
|
|
|
|
|
Total Current Assets
|
4,114,357,530 |
2,235,153,520 |
2,408,232,243 |
|
|
|
|
|
|
Cash at Bank pledged as a Collateral |
4,650,100 |
3,943,600 |
4,743,600 |
|
Fixed Assets |
1,685,476,351 |
1,820,871,719 |
1,888,687,073 |
|
Intangible Assets |
5,927,969 |
105,796,985 |
82,480,877 |
|
Other Non-current Assets |
6,296,556 |
3,874,470 |
11,380,479 |
|
Total Assets |
5,816,708,506 |
4,169,640,294 |
4,395,524,272 |
LIABILITIES & SHAREHOLDERS’
EQUITY [BAHT]
|
Current
Liabilities |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Bank Overdraft & Short-term Loan From Financial Institutions |
- |
20,000,000 |
- |
|
Trade Accounts & Other Payable
|
2,096,336,718 |
1,408,682,493 |
1,636,417,022 |
|
Current Portion of
financial Lease Contract Liabilities
|
13,031 |
52,151 |
75,862 |
|
Accrued Income Tax |
23,360,872 |
18,001,938 |
62,345,896 |
|
Provision for Insurance
Products |
28,143,848 |
21,914,941 |
26,617,864 |
|
Other Current Liabilities |
9,329,704 |
5,671,504 |
5,694,117 |
|
|
|
|
|
|
Total Current Liabilities |
2,157,184,173 |
1,474,323,027 |
1,731,150,761 |
|
Financial Lease Contract Liabilities, Net |
- |
13,031 |
41,471 |
|
Employee Benefits Obligation |
15,615,920 |
15,615,920 |
- |
|
Total Liabilities |
2,172,800,093 |
1,489,951,978 |
1,731,192,232 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized, issued
and fully paid share
capital 10,840,000 shares |
1,084,000,000 |
1,084,000,000 |
1,084,000,000 |
|
|
|
|
|
|
Capital Paid |
1,084,000,000 |
1,084,000,000 |
1,084,000,000 |
|
Retained Earnings: Appropriated for Statutory Reserve |
27,100,000 |
27,100,000 |
11,924,000 |
|
Unappropriated |
2,532,808,413 |
1,568,588,316 |
1,568,408,040 |
|
Total Shareholders' Equity |
3,643,908,413 |
2,679,688,316 |
2,664,332,040 |
|
Total Liabilities & Shareholders' Equity |
5,816,708,506 |
4,169,640,294 |
4,395,524,272 |
PROFIT & LOSS
ACCOUNT
|
Revenue |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Sales Income |
9,508,595,216 |
6,692,023,120 |
6,849,701,360 |
|
Other Income |
65,305,313 |
20,566,750 |
47,792,948 |
|
Total Revenues |
9,573,900,529 |
6,712,589,870 |
6,897,494,308 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold |
8,221,289,732 |
5,938,951,018 |
6,030,233,180 |
|
Selling Expenses |
10,630,212 |
8,999,862 |
12,508,338 |
|
Administrative Expenses |
311,583,306 |
365,096,121 |
191,423,428 |
|
Other Expenses |
- |
6,955,450 |
2,116,715 |
|
Total Expenses |
8,543,503,250 |
6,320,002,451 |
6,236,281,661 |
|
|
|
|
|
|
Profit / [Loss] before Financial
Cost & Income Tax |
1,030,397,279 |
392,587,419 |
661,212,647 |
|
Financial Cost |
[418,692] |
[618,623] |
[23,711] |
|
Profit / [Loss] before Income Tax |
1,029,978,587 |
391,968,796 |
661,188,936 |
|
Income Tax |
[65,758,490] |
[73,092,520] |
[107,652,597] |
|
|
|
|
|
|
Net Profit / [Loss] |
964,220,097 |
318,876,276 |
553,536,339 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2012 |
2011 |
2010 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
1.91 |
1.52 |
1.39 |
|
QUICK RATIO |
TIMES |
1.42 |
0.74 |
1.04 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
5.64 |
3.68 |
3.63 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.63 |
1.60 |
1.56 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
44.80 |
67.21 |
34.43 |
|
INVENTORY TURNOVER |
TIMES |
8.15 |
5.43 |
10.60 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
53.05 |
43.77 |
49.25 |
|
RECEIVABLES TURNOVER |
TIMES |
6.88 |
8.34 |
7.41 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
93.07 |
86.58 |
99.05 |
|
CASH CONVERSION CYCLE |
DAYS |
4.78 |
24.40 |
(15.38) |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
86.46 |
88.75 |
88.04 |
|
SELLING & ADMINISTRATION |
% |
3.39 |
5.59 |
2.98 |
|
INTEREST |
% |
0.00 |
0.01 |
0.00 |
|
GROSS PROFIT MARGIN |
% |
14.23 |
11.56 |
12.66 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
10.84 |
5.87 |
9.65 |
|
NET PROFIT MARGIN |
% |
10.14 |
4.77 |
8.08 |
|
RETURN ON EQUITY |
% |
26.46 |
11.90 |
20.78 |
|
RETURN ON ASSET |
% |
16.58 |
7.65 |
12.59 |
|
EARNING PER SHARE |
BAHT |
88.95 |
29.42 |
51.06 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.37 |
0.36 |
0.39 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.60 |
0.56 |
0.65 |
|
TIME INTEREST EARNED |
TIMES |
2,460.99 |
634.61 |
27,886.32 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
42.09 |
(2.30) |
|
|
OPERATING PROFIT |
% |
162.46 |
(40.63) |
|
|
NET PROFIT |
% |
202.38 |
(42.39) |
|
|
FIXED ASSETS |
% |
(7.44) |
(3.59) |
|
|
TOTAL ASSETS |
% |
39.50 |
(5.14) |
|
ANNUAL GROWTH :
IMPRESSIVE
An annual sales growth is 42.09%. Turnover has increased from THB
6,692,023,120.00 in 2011 to THB 9,508,595,216.00 in 2012. While net profit has increased
from THB 318,876,276.00 in 2011 to THB 964,220,097.00 in 2012. And total assets
has increased from THB 4,169,640,294.00 in 2011 to THB 5,816,708,506.00 in
2012.
PROFITABILITY :
IMPRESSIVE
PROFITABILITY
RATIO
|
Gross Profit Margin |
14.23 |
Acceptable |
Industrial
Average |
24.78 |
|
Net Profit Margin |
10.14 |
Impressive |
Industrial
Average |
5.66 |
|
Return on Assets |
16.58 |
Impressive |
Industrial
Average |
7.46 |
|
Return on Equity |
26.46 |
Impressive |
Industrial
Average |
11.81 |
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 14.23%. 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 10.14%, 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
16.58%, 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 26.46%, 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 Downtrend
Return on Equity Downtrend
LIQUIDITY :
IMPRESSIVE
LIQUIDITY RATIO
|
Current Ratio |
1.91 |
Impressive |
Industrial
Average |
1.67 |
|
Quick Ratio |
1.42 |
|
|
|
|
Cash Conversion Cycle |
4.78 |
|
|
|
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 1.91 times in 2012, increased from 1.52 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 1.42 times in 2012,
increased from 0.74 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 5 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE :
EXCELLENT
LEVERAGE RATIO
|
Debt Ratio |
0.37 |
Impressive |
Industrial
Average |
0.40 |
|
Debt to Equity Ratio |
0.60 |
Impressive |
Industrial
Average |
0.68 |
|
Times Interest Earned |
2,460.99 |
Impressive |
Industrial
Average |
6.38 |
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 2461 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 0.37 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 Downtrend
ACTIVITY :
EXCELLENT
ACTIVITY RATIO
|
Fixed Assets Turnover |
5.64 |
Impressive |
Industrial
Average |
0.60 |
|
Total Assets Turnover |
1.63 |
Impressive |
Industrial
Average |
1.31 |
|
Inventory Conversion Period |
44.80 |
|
|
|
|
Inventory Turnover |
8.15 |
Impressive |
Industrial
Average |
7.84 |
|
Receivables Conversion Period |
53.05 |
|
|
|
|
Receivables Turnover |
6.88 |
Impressive |
Industrial
Average |
3.64 |
|
Payables Conversion Period |
93.07 |
|
|
|
The company's Account Receivable Ratio is calculated as 6.88 and 8.34 in
2012 and 2011 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 2012
decreased from 2011. This would suggest the company had deteriorated 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 decreased from 67 days at the
end of 2011 to 45 days at the end of 2012. This represents a positive trend.
And Inventory turnover has increased from 5.43 times in year 2011 to 8.15 times
in year 2012.
The company's Total Asset Turnover is calculated as 1.63 times and 1.6
times in 2012 and 2011 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.62.57 |
|
|
1 |
Rs.100.63 |
|
Euro |
1 |
Rs.84.62 |
INFORMATION DETAILS
|
Report
Prepared by : |
NIS |
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.