MIRA
INFORM REPORT
|
Report Date : |
11.11.2013 |
IDENTIFICATION DETAILS
|
Name : |
BUSICOM CO., LTD. |
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Registered Office : |
23
Soi Sukhumvit 62, Yaek 4 [Tadpring], |
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Country : |
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Financials (as on) : |
31.12.2012 |
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Date of Incorporation : |
29.03.1982 |
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Com. Reg. No.: |
0105525011327 [Former :
1132/2525] |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Importer and Distributor of Pharmaceutical Chemical. |
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No. of Employees : |
27 |
RATING & COMMENTS
|
MIRA’s Rating : |
B |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Status : |
Moderate |
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Payment Behaviour : |
Slow |
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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) |
|
|
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 |
With a well-developed infrastructure, a free-enterprise
economy, generally pro-investment policies, and strong export industries,
|
Source
: CIA |
company Name
BUSICOM CO., LTD.
SUMMARY
BUSINESS ADDRESS : 23
SOI SUKHUMVIT 62, YAEK 4
[TADPRING],
SUKHUMVIT ROAD, BANGCHAK,
PRAKANONG,
BANGKOK 10260,
THAILAND
TELEPHONE : [66] 2332-8290-6
FAX :
[66] 2332-5588
E-MAIL ADDRESS : busicom@busicom.net
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED : 1982
REGISTRATION NO. : 0105525011327 [Former : 1132/2525]
TAX ID NO. : 3101177725
CAPITAL REGISTERED
: BHT.
50,000,000
CAPITAL PAID-UP
: BHT.
50,000,000
SHAREHOLDER’S PROPORTION : THAI : 100%
FISCAL YEAR
CLOSING DATE : DECEMBER 31
LEGAL STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR.
SUDDHINAI THANESVORAKUL, THAI
PRESIDENT
NO. OF
STAFF : 27
LINES OF
BUSINESS : PHARMACEUTICAL CHEMICAL
IMPORTER AND
DISTRIBUTOR
CORPORATE PROFILE
OPERATING TREND : STABLE
PRESENT SITUATION : OPERATING NORMALLY
REPUTATION : FAIR
WITH NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT STANDARD : MANAGEMENT WITH
FAIR PERFORMANCE
HISTORY
The subject was
established on March
29, 1982 as
a private limited
company under the
name style BUSICOM
CO., LTD., by
Thai group, Thanesvorakul
family, in order
to distribute chemicals
for pharmaceutical industry. It currently employs 27
staff.
The subject’s registered address is 23
Soi Sukhumvit 62, Yaek 4 [Tadpring], Sukhumvit Rd., Bangchak,
Prakanong, Bangkok 10260, and
this is the
subject’s current operation
address.
THE BOARD OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr.
Suddhinai Thanesvorakul |
|
Thai |
63 |
|
Mrs.
Kanda Thanesvorakul |
|
Thai |
60 |
AUTHORIZED PERSON
One
of the above
directors signs on
behalf of the
subject with company’s
affixed.
MANAGEMENT
Mr. Suddhinai
Thanesvorakul is the President.
He
is Thai nationality
with the age
of 63 years
old.
Mrs. Kanda
Thanesvorakul is the
Finances & Accounts
Manager.
She
is Thai nationality
with the age
of 60 years
old.
Mr. Somwang
Kittikathakul is the
Sales Manager.
He
is Thai nationality.
BUSINESS OPERATIONS
The
subject is engaged
in importing and
distributing wide range
of pharmaceutical chemicals
especially for pharmaceutical industry,
under customer’s order.
PURCHASE
80%
of the products is imported from overseas
suppliers in Singapore,
Republic of China, Japan, United
Kingdom, Italy, Denmark,
Netherlands, Australia,
Germany, Taiwan, India,
Hong Kong, Malaysia,
Spain and France,
the remaining 20%
is purchased from
local suppliers.
SALES [LOCAL]
100% of
the products is
sold by wholesale
to local pharmaceutical manufacturers
[90%] and dealers
[10%].
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 according
to IRICO’S DATABASE
for the past
two years.
SUBSIDIARY AND AFFILIATED COMPANY
Busicom Engineering
Co., Ltd.
Business
Type : Importer of
chemical products
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.
BUSINESS TRANSACTION
The
products are sold
to customers mainly
by credit, with maximum
credit given at
30-60 days. The subject is not found to have any
problem on its
account receivable.
BANKING
Bangkok Bank
Public Co., Ltd.
[Head
Office : 333 Silom
Rd., Silom, Bangrak,
Bangkok 10500]
Kasikornbank Public
Co., Ltd.
EMPLOYMENT
The
subject currently employs 27 staff. [office
and sales staff]
LOCATION DETAILS
The
premise is owned
for administrative office
in a 3
storey building at
the heading address.
Premise is located
in commercial/residential area.
COMMENT
Chemicals for pharmaceutical industry were
the key element for production processes.
Subject had good business performance
during the past several years. However,
consumption slowdown from
economic uncertainties had
decreased demand of
the products.
Nevertheless, global pharmaceutical
consumption has witnessed an
uptrend. Increase demand of
pharmaceutical chemical has contributed
to an improvement
of subject’s income.
FINANCIAL INFORMATION
The
capital was registered
at Bht. 4,000,000
divided into 40,000
shares of Bht.
100 each with
fully paid.
The
capital was increased
later as follows :
Bht. 5
million on March
13, 1991
Bht. 25
million on December
30, 1998
Bht. 50
million on April
9, 2009
The
latest registered capital
was increased to Bht. 50
million, divided into
500,000 shares of
Bht. 100 each
with fully paid.
THE SHAREHOLDERS LIST WERE:
[as at April
8, 2013]
|
NAME |
HOLDING |
% |
|
Mr. Suddhinai
Thanesvorakul Nationality: Thai Address
: 52 Soi
Ramkhamhaeng 12, Huamark, Bangkapi, Bangkok |
90,000 |
18.00 |
|
Mrs. Kanda
Thanesvorakul Nationality: Thai Address
: 916 Ramkhamhaeng Rd.,
Huamark, Bangkapi, Bangkok |
90,000 |
18.00 |
|
Mrs. Netrthip
Krisadapong Nationality: Thai Address
: 50 Soi
Ramkhamhaeng 12, Huamark, Bangkapi, Bangkok |
80,000 |
16.00 |
|
Ms. Hataithip
Thanesvorakul Nationality: Thai Address :
12/14 Soi Chaiyapruk
12, Sapansung, Buengkum, Bangkok |
80,000 |
16.00 |
|
Ms. Tarnthip
Thanesvorakul Nationality: Thai Address
: 48 Soi
Ramkhamhaeng 12, Huamark, Bangkapi, Bangkok |
80,000 |
16.00 |
|
Mr. Anol
Thanesvorakul Nationality: Thai Address
: 12/14 Soi
Chaiyapruk 12, Sapansung, Bangkok |
80,000 |
16.00 |
Total Shareholders
: 6
Share Structure
[as at April
8, 2013]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
6 |
500,000 |
100.00 |
|
Foreign |
- |
- |
- |
|
Total |
6 |
500,000 |
100.00 |
NAME OF AUDITOR & CERTIFIED PUBLIC ACCOUNTANT NO. :
Mr.
Suracha Suparatsuebwong No.
4446
BALANCE SHEET [BAHT]
The latest
financial figures published
for December 31,
2012, 2011 &
2010 were:
ASSETS
|
Current Assets |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Cash
and Cash Equivalents |
676,087.20 |
57,631.27 |
57,731.27 |
|
Trade
Accounts & Other
Receivable |
56,688,891.38 |
102,428,792.20 |
107,695,790.76 |
|
Short-term
Lending |
30,049,583.50 |
31,499,583.50 |
36,450,971.99 |
|
Inventories |
29,557,367.27 |
31,370,403.74 |
37,645,848.58 |
|
Other
Current Assets |
181,732.71 |
196,500.03 |
866,663.35 |
|
|
|
|
|
|
Total
Current Assets |
117,153,662.09 |
165,552,910.74 |
182,717,005.95 |
|
|
|
|
|
|
Fixed Assets |
7,334,387.47 |
4,975,310.73 |
5,632,005.81 |
|
Other
Non - current Assets |
41,877,023.84 |
41,396,816.52 |
40,754,857.43 |
|
Total
Assets |
166,365,073.37 |
211,925,037.99 |
229,103,869.19 |
LIABILITIES &
SHAREHOLDERS’ EQUITY [BAHT]
|
Current Liabilities |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Bank
Overdraft from
Financial Institutions |
11,415,804.70 |
28,314,762.74 |
34,068,854.16 |
|
Trade
Accounts & Other Payable |
85,492,614.81 |
133,431,997.25 |
141,510,449.78 |
|
Short-term Loan |
26,250,000.00 |
8,600,000.00 |
5,600,000.00 |
|
Other
Current Liabilities |
114,238.38 |
156,711.88 |
657,387.72 |
|
|
|
|
|
|
Total Current Liabilities |
123,272,657.89 |
170,503,471.87 |
181,836,691.66 |
|
|
|
|
|
|
Other
Non-current Liabilities |
16,010,673.42 |
12,928,872.76 |
13,035,292.35 |
|
Total Liabilities |
139,283,331.31 |
183,432,344.63 |
194,871,984.01 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share
capital : Baht 100 value
authorized, issued and
fully
paid share capital
500,000 shares |
50,000,000.00 |
50,000,000.00 |
50,000,000.00 |
|
|
|
|
|
|
Capital
Paid |
50,000,000.00 |
50,000,000.00 |
50,000,000.00 |
|
Retained
Earning - Unappropriated |
[22,918,257.94] |
[21,507,306.64] |
[15,768,114.82] |
|
Total
Shareholders' Equity |
27,081,742.06 |
28,492,693.36 |
34,231,885.18 |
|
Total
Liabilities & Shareholders'
Equity |
166,365,073.37 |
211,925,037.99 |
229,103,869.19 |
PROFIT & LOSS ACCOUNT
|
Revenue |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Sales |
288,551,090.42 |
286,690,085.05 |
321,942,191.94 |
|
Other
Income |
3,014,755.58 |
40,810.46 |
4,696,684.35 |
|
Total
Revenues |
291,565,846.00 |
286,730,895.51 |
326,638,876.29 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost
of Goods Sold
|
265,269,580.18 |
258,603,098.58 |
294,874,014.02 |
|
Selling Expenses |
2,090,942.82 |
2,338,876.57 |
4,558,920.07 |
|
Administrative Expenses |
21,068,655.57 |
27,267,612.62 |
49,982,052.18 |
|
Total Expenses |
288,429,178.57 |
288,209,587.77 |
349,414,986.27 |
|
|
|
|
|
|
Profit / Loss] before
Financial Costs &
Income Tax |
3,136,667.43 |
[1,478,692.26] |
[22,776,109.98] |
|
Financial Costs |
[4,547,618.73] |
[4,260,499.56] |
[4,889,622.52] |
|
|
|
|
|
|
Profit / [Loss] before
Income Tax |
[1,410,951.30] |
[5,739,191.82] |
[27,665,732.50] |
|
Income Tax |
- |
- |
[1,048,110.63] |
|
Net
Profit / [Loss] |
[1,410,951.30] |
[5,739,191.82] |
[28,713,843.13] |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2012 |
2011 |
2010 |
|
|
|
|
|
|
|
LIQUIDITY
RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
0.95 |
0.97 |
1.00 |
|
QUICK RATIO |
TIMES |
0.71 |
0.79 |
0.79 |
|
|
|
|
|
|
|
ACTIVITY
RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
39.34 |
57.62 |
57.16 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.73 |
1.35 |
1.41 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
40.67 |
44.28 |
46.60 |
|
INVENTORY TURNOVER |
TIMES |
8.97 |
8.24 |
7.83 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
71.71 |
130.41 |
122.10 |
|
RECEIVABLES TURNOVER |
TIMES |
5.09 |
2.80 |
2.99 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
117.63 |
188.33 |
175.16 |
|
CASH CONVERSION CYCLE |
DAYS |
(5.26) |
(13.65) |
(6.47) |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
91.93 |
90.20 |
91.59 |
|
SELLING & ADMINISTRATION |
% |
8.03 |
10.33 |
16.94 |
|
INTEREST |
% |
1.58 |
1.49 |
1.52 |
|
GROSS PROFIT MARGIN |
% |
9.11 |
9.81 |
9.87 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
1.09 |
(0.52) |
(7.07) |
|
NET PROFIT MARGIN |
% |
(0.49) |
(2.00) |
(8.92) |
|
RETURN ON EQUITY |
% |
(5.21) |
(20.14) |
(83.88) |
|
RETURN ON ASSET |
% |
(0.85) |
(2.71) |
(12.53) |
|
EARNING PER SHARE |
BAHT |
(2.82) |
(11.48) |
(57.43) |
|
|
|
|
|
|
|
LEVERAGE
RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.84 |
0.87 |
0.85 |
|
DEBT TO EQUITY RATIO |
TIMES |
5.14 |
6.44 |
5.69 |
|
TIME INTEREST EARNED |
TIMES |
0.69 |
(0.35) |
(4.66) |
|
|
|
|
|
|
|
ANNUAL
GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
0.65 |
(10.95) |
|
|
OPERATING PROFIT |
% |
(312.12) |
(93.51) |
|
|
NET PROFIT |
% |
75.42 |
80.01 |
|
|
FIXED ASSETS |
% |
47.42 |
(11.66) |
|
|
TOTAL ASSETS |
% |
(21.50) |
(7.50) |
|
ANNUAL GROWTH: SATISFACTORY
An annual sales growth is 0.65%. Turnover
has increased from THB 286,690,085.05 in 2011 to THB 288,551,090.42 in 2012.
While net profit has increased from THB
-5,739,191.82 in 2011 to THB -1,410,951.30 in 2012. And total assets has
decreased from THB 211,925,037.99 in 2011 to THB 166,365,073.37 in 2012.
PROFITABILITY
: RISKY
PROFITABILITY
RATIO
|
Gross Profit Margin |
9.11 |
Deteriorated |
Industrial Average |
27.90 |
|
Net Profit Margin |
(0.49) |
Deteriorated |
Industrial Average |
2.46 |
|
Return on Assets |
(0.85) |
Deteriorated |
Industrial Average |
4.64 |
|
Return on Equity |
(5.21) |
Deteriorated |
Industrial Average |
9.65 |
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
9.11%. 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 -0.49%. 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 -0.85%.
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
-5.21%.
Trend
of the average competitors in the same industry for last 5 years
Return on Assets Uptrend
Return on Equity Downtrend
LIQUIDITY
: ACCEPTABLE
LIQUIDITY
RATIO
|
Current Ratio |
0.95 |
Risky |
Industrial Average |
1.37 |
|
Quick Ratio |
0.71 |
|
|
|
|
Cash Conversion Cycle |
(5.26) |
|
|
|
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 0.95 times in 2012, decreased from 0.97
times, then the company may have problems meeting its short-term obligations.
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 0.71 times in 2012, decreased from 0.79 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
-6 days.
Trend
of the average competitors in the same industry for last 5 years
Current Ratio Downtrend
LEVERAGE
: RISKY
LEVERAGE
RATIO
|
Debt Ratio |
0.84 |
Acceptable |
Industrial Average |
0.50 |
|
Debt to Equity Ratio |
5.14 |
Risky |
Industrial Average |
0.94 |
|
Times Interest Earned |
0.69 |
Risky |
Industrial Average |
1.20 |
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 0.69 lower than 1, so the
company is not generating enough cash from
EBIT to meet its interest obligations.
Debt Ratio shows the proportion of a
company's assets which are financed through debt. The company's figure is 0.84
greater than 0.5, most of the company's assets are financed through debt.
Trend
of the average competitors in the same industry for last 5 years
Debt Ratio Downtrend
Times Interest Earned Downtrend
ACTIVITY
: IMPRESSIVE
ACTIVITY
RATIO
|
Fixed Assets Turnover |
39.34 |
Impressive |
Industrial Average |
1.55 |
|
Total Assets Turnover |
1.73 |
Satisfactory |
Industrial Average |
1.83 |
|
Inventory Conversion Period |
40.67 |
|
|
|
|
Inventory Turnover |
8.97 |
Impressive |
Industrial Average |
8.85 |
|
Receivables Conversion Period |
71.71 |
|
|
|
|
Receivables Turnover |
5.09 |
Impressive |
Industrial Average |
3.74 |
|
Payables Conversion Period |
117.63 |
|
|
|
The company's Account Receivable Ratio is calculated as 5.09 and 2.80 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
increased from 2011. 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 decreased from 44 days at the
end of 2011 to 41 days at the end of 2012. This represents a positive trend.
And Inventory turnover has increased from 8.24 times in year 2011 to 8.97 times
in year 2012.
The company's Total Asset Turnover is calculated as 1.73 times and 1.35
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 Uptrend
Receivables Turnover Downtrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.62.73 |
|
|
1 |
Rs.100.92 |
|
Euro |
1 |
Rs.84.06 |
INFORMATION DETAILS
|
Report Prepared
by : |
NIT |
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.