MIRA INFORM REPORT

 

 

Report Date :

28.11.2013

 

IDENTIFICATION DETAILS

 

Name :

TIEN THANH TRADING & PRODUCTION CO LTD

 

 

Registered Office :

Ham Rong Hamlet Ha Mo Commune, Dan Phuong Dist, Hanoi

 

 

Country :

Vietnam

 

 

Financials (as on) :

December 2012

 

 

Date of Incorporation :

13.04.2009

 

 

Legal Form :

Private Company with Limited Liability

 

 

Line of Business :

Exporter of Agricultural Products, Cinnamon, Star anise

 

 

No. of Employees :

70

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Status :

Moderate

Payment Behaviour :

Slow but 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 – September 30th, 2013

 

Country Name

Previous Rating

(30.06.2013)

Current Rating

(30.09.2013)

Vietnam

B1

B1

 

Risk Category

ECGC Classification

 

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

vietnam ECONOMIC OVERVIEW

 

Vietnam is a densely-populated developing country that has been transitioning from the rigidities of a centrally-planned economy since 1986. Vietnamese authorities have reaffirmed their commitment to economic modernization in recent years. Vietnam joined the World Trade Organization in January 2007, which has promoted more competitive, export-driven industries. Vietnam became an official negotiating partner in the Trans-Pacific Partnership trade agreement in 2010. Agriculture's share of economic output has continued to shrink from about 25% in 2000 to less than 22% in 2012, while industry's share increased from 36% to nearly 41% in the same period. State-owned enterprises account for roughly 40% of GDP. Poverty has declined significantly, and Vietnam is working to create jobs to meet the challenge of a labor force that is growing by more than one million people every year. The global recession hurt Vietnam's export-oriented economy, with GDP in 2012 growing at 5%, the slowest rate of growth since 1999. In 2012, however, exports increased by more than 18%, year-on-year; several administrative actions brought the trade deficit back into balance. Between 2008 and 2011, Vietnam's managed currency, the dong, was devalued in excess of 20%, but its value remained stable in 2012. Foreign direct investment inflows fell 4.5% to $10.5 billion in 2012. Foreign donors have pledged $6.5 billion in new development assistance for 2013. Hanoi has oscillated between promoting growth and emphasizing macroeconomic stability in recent years. In February 2011, the Government shifted policy away from policies aimed at achieving a high rate of economic growth, which had stoked inflation, to those aimed at stabilizing the economy, through tighter monetary and fiscal control. Although Vietnam unveiled a broad, "three pillar" economic reform program in early 2012, proposing the restructuring of public investment, state-owned enterprises, and the banking sector, little perceptible progress had been made by early 2013. Vietnam's economy continues to face challenges from an undercapitalized banking sector. Non-performing loans weigh heavily on banks and businesses. In September 2012, the official bad debt ratio climbed to 8.8%, though some independent analysts believe it could be higher than 15%.

 

Source : CIA

 

 

REGISTERED NAME & COMPANY SUMMARY

 

Organization Name

:

TIEN THANH TRADING & PRODUCTION CO LTD

Address

:

Ham Rong Hamlet Ha Mo Commune, Dan Phuong Dist, Hanoi

Country

:

Vietnam

Phone (S)

:

[+84] 4-33816399

Facsimile

:

[+84] 4-33886504

Primary Business Activity

:

Exporter

Key Industry

:

Agricultural Products

Registered Legal Address

:

Ham Rong Hamlet Ha Mo Commune, Dan Phuong Dist, Hanoi

 

Operational Address

:

Ham Rong Hamlet Ha Mo Commune, Dan Phuong Dist, Hanoi

 

Issuing Authority

:

Dept. of Planning & Investment - Hanoi

 

License Number

:

0102038430

 

License Status

:

License exists - Normal.

 

Legal Form - Category

:

Private Company with Limited Liability

 

Legal Form

:

Company Limited

 

Legal Form - Abbreviation

:

CO LTD

 

Operational Status of Business

:

Normal

 

Date of Registration

:

13 Apr, 2009

 

Employees

:

70

 

Capital

:

US$ 71,055

 

 

DIRECTORS/MANAGEMENT

 

COMPANY MANAGEMENT

Management Listings

 

Name

Nationality

Job Description

Dept. / Division

1

Mr. Bui Tien Vinh

Vietnamese

Vice Director

-

 

Management Details - 1

Personal Unique Identifier

:

MI03570157

Name

:

Mr. Bui Tien Vinh

 

 

COMPANY DIRECTORS

1

 

 

Personal Unique Identifier

:

MI03570107

Name

:

Mr. Bui Quang Sac

Date of Birth

:

1974

Nationality

:

Vietnamese

 

NEGATIVE INFORMATION

 

REPUTATION

Reference checking for the purpose of establishing the TIEN THANH TRADING & PRODUCTION CO LTD's reputation within the respective industry failed to reveal any adverse information.

 

 

NEGA-SCAN - ADVERSE DATA MONITORING

 

 

DISHONORED CHECKS

 

No Record Found

 

 

DEBT

 

No Record Found

 

 

LITIGATION

 

No Record Found

 

 

PERFORMANCE DEFAULTS

 

No Record Found

 

 

ADVERSE LOCAL MEDIA COVERAGE / ADVERSE FILING HISTORY

 

No Record Found

 

 

 

 

SHARE & SHARE CAPITAL INFORMATION

 

CAPITAL (Currency: VND - Vietnam Dong)

Authorized Capital

:

1,500,000,000

 

SHAREHOLDERS

Total number of shareholders

:

3

Total number of shares

:

n/a

 

Currency

:

VND - Vietnam Dong

 

No.

Shareholders

Country

Shares

Number

Amount (VND)

%

1

Mr. Bui Tien Quoc

Vietnam

n/a

n/a

40.00

2

Mr. Bui Quang Sac

Vietnam

n/a

n/a

30.00

3

Mr. Bui Tien Vinh

Vietnam

n/a

n/a

30.00

Total

n/a

n/a

100.00

Based on corporate statutory laws / regulations in Vietnam, there is no requirement for public disclosure of Shareholders. In this case, the Shareholders information was supplied by the Subject Business Entity.
However in the absence of data normally obtained from local Statutory Authorities, it is not possible to verify the accuracy of data supplied and hence is provided as reference ONLY.

 

PAYMENT INFORMATION

 

DOMESTIC SALES & PURCHASES

Annual Sales Analysis

Percentage

International Sales (Export)

100%

 

 

Annual Purchases Analysis

Percentage

Local Purchases

100%

 

 

PAYMENT TERMS

Selling

Type

Terms

Export

Letter of Credit (At-sight)

Telegraphic Transfer (T/T) - Received at time of transaction

 

Purchasing

Type

Terms

Local

Cash on delivery (COD)

Credit - Unsecured 30~90 days

 

FINANCIAL INFORMATION

 

Financials - Summary  (Currency: USD - US Dollar)

Year

Sales

Assets

Net Income

2011 Annual  

4,059,289

2,190,446

28,661

2012 Annual  

3,060,170

1,489,532

2,113

 

Sales Trend – Analysis

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

-

-

-

-

-

-

-

-

-

 

FINANCIAL STATEMENT - DETAILED

Balance Sheet

Currency

:

VND

Denomination

:

1

Financial Year Ending

:

December

Financial Highlights

2011 Annual

2012 Annual

Current Assets

43,850,000,000

27,585,000,000

Non Current Assets

1,777,000,000

3,434,000,000

Share Capital

1,500,000,000

1,500,000,000

Other long term assets 

Total Assets

45,627,000,000

31,019,000,000

Total Liabilities

43,355,000,000

32,207,000,000

Current Liabilities

43,355,000,000

32,207,000,000

Long term liabilities 

Shareholders Funds

2,272,000,000

(1,188,000,000)

 

ASSETS 

Current assets & short term investments

43,850,000,000

27,585,000,000

Cash & cash equivalents

153,000,000

19,554,000,000

Cash

153,000,000

19,554,000,000

Accounts receivable

2,411,000,000

3,445,000,000

Accounts receivable trade

2,411,000,000

3,445,000,000

Inventories

40,535,000,000

4,043,000,000

Other short term asset

751,000,000

543,000,000

VAT deductible

735,000,000

526,000,000

Other tax receivables

16,000,000

17,000,000

Long term assets

1,777,000,000

3,434,000,000

Fixed assets

1,777,000,000

1,720,000,000

Tangible fixed assets

1,777,000,000

1,720,000,000

Cost

2,503,000,000

2,576,000,000

Accumulated depreciation

726,000,000

856,000,000

Other long term assets

-

1,714,000,000

Total assets

45,627,000,000

31,019,000,000

LIABILITIES AND EQUITY 

Liabilities

43,355,000,000

32,207,000,000

Current liabilities

43,355,000,000

32,207,000,000

Short term borrowings

39,336,000,000

32,134,000,000

Accounts payables-trade

3,896,000,000

67,000,000

Taxes and payable to state budget

123,000,000

6,000,000

Owner's equity

2,272,000,000

(1,188,000,000)

Business capital

1,500,000,000

1,500,000,000

Retained earnings

772,000,000

(2,688,000,000)

Total resources

45,627,000,000

31,019,000,000

 

Income Statement

Currency

:

VND

Denomination

:

1

Financial Year Ending

:

December

Financial Highlights

2011 Annual

2012 Annual

Turnover

84,555,000,000

63,727,000,000

Profit (Loss) Before Tax

724,000,000

53,000,000

Profit After Tax attributable to Shareholders

597,000,000

44,000,000

 

Gross sales

84,555,000,000

63,727,000,000

Net income

84,555,000,000

63,727,000,000

Cost of goods sold

74,514,000,000

58,087,000,000

Gross margin

10,041,000,000

5,640,000,000

Income from financial activities

715,000,000

213,000,000

Expenses from financial activities

3,090,000,000

835,000,000

In which: Interest expenses

0

835,000,000

General & administration expenses

6,942,000,000

4,965,000,000

Net income from operating activities

724,000,000

53,000,000

Net profit before tax

724,000,000

53,000,000

Income tax

127,000,000

9,000,000

Net profit after tax

597,000,000

44,000,000

 

Financial Ratios

Financial Highlights

2011 Annual

2012 Annual

Growth % 

Year-on-Year Growth

-

(24.63)

Profitability 

Profit Margin (%)

0.71

0.07

Return on Equity (%)

26.28

(3.70)

Return on Assets (%)

1.31

0.14

Leverage 

Total Debt Equity (Times)

19.08

(27.11)

Current Debt Equity (Times)

19.08

(27.11)

Total Asset To Total Equity

20.08

(26.11)

Asset Management 

Total Assets Turnover (Times)

1.85

2.05

Fixed Assets Turnover (Times)

47.58

18.56

Liquidity 

Current Ratio

1.01

0.86

Based on the corporate laws of Vietnam, legal entities which are Private Company with Limited Liability are not required to make public disclosure of their annual financials. Although financials were obtained for reference.

 

FOREIGN EXCHANGE RATES

 

Today's Exchange rate

:

1.00 VND
Vietnam Dong

=

0.000047 USD
United States Dollars

 

ADDITIONAL INFORMATION

 

Country

:

Vietnam

Business Entity Name

:

TIEN THANH TRADING & PRODUCTION CO LTD

Primary Business Activity

:

Exporter

Primary Industry

:

Agricultural Products

 

Office Contact Details

Operating Address

:

Ham Rong Hamlet Ha Mo Commune, Dan Phuong Dist, Hanoi

Tel

:

[+84] 4-33816399

Fax

:

[+84] 4-33886504

 

Tax / VAT Details

Tax Issuing Authority

:

Ministry of Finance

Local Name Used

:

Gia Trj Gia Tang (Value Added Tax)

Acronym

:

GTGT / VAT

GTGT / VAT Number

:

0500462725

 

Primary Products

Products / Materials / Services Description

Activity

Agricultural products

Exporting

Cinnamon

Exporting

Star anise

Exporting

 

International Trade - Statistics  (Currency: USD - US Dollar)

Year

Imports

Exports

Total

2011

n/a

4,059,289

4,059,289

2012

n/a

3,060,170

3,060,170

 

SIC PRODUCT CLASSIFICATION & ACTIVITY

Product/Service Description

Code

Activity

Agricultural Production-Crops

0100

Exporting

 

HARMONIZED PRODUCT CLASSIFICATION & ACTIVITY

Product/Service Description

Code

Activity

Cinnamon and cinnamon-tree flowers

0906

Exporting

Seeds, anise, badian, fennel, coriander, cumin etc

0909

Exporting

 

CORE BUSINESS DESCRIPTION

Core Business

The primary business focus of TIEN THANH TRADING & PRODUCTION CO LTD is Exporting - Finished products.

Key products include :

Agricultural products

Cinnamon

Star anise


An integral part of the core business includes:

Distribution

 

BANK DETAILS

Bank Name

:

ASIA COMMERCIAL JOINT STOCK BANK

Global Identifier

:

P2057686

Branch

:

Ho Chi Minh

Branch Address

:

HANOI

SWIFT Code

:

ASCBVNVX

 

Bank Name

:

VIETNAM EXPORT IMPORT COMMERCIAL JOINT STOCK BANK

Global Identifier

:

32408823

Branch

:

District 1,Ho Chi Minh

Branch Address

:

VIETNAM EXPORT IMPORT COMMERCIAL JOINT STOCK BANK CO - HANOI

SWIFT Code

:

EBVIVNVX

 

INTERNATIONAL TRADE - Activity & Markets

Country / Region

Estimated level of importance

Trading Activity

Asia / Pacific

Medium

Exporting

China

Medium

Exporting

 

OFFICE & FACILITIES

Name

:

TIEN THANH TRADING & PRODUCTION CO LTD - DAN PHUONG DIST, HANOI

Address

:

Ham Rong Hamlet Ha Mo Commune, Dan Phuong Dist, Hanoi

Country

:

Vietnam

Status

:

Operational

 

PREVIOUS BUSINESS LICENSE/S

License Date

License No.

3 Dec, 2004

0302001035

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.62.36

UK Pound

1

Rs.101.11

Euro

1

Rs.84.68

 

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%)

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.