MIRA INFORM REPORT
|
Report Date : |
15.10.2013 |
IDENTIFICATION DETAILS
|
Name : |
ASSOCIATION OF
3 CO., LTD. |
|
|
|
|
Registered Office : |
40/4
Moo 5, Soi
82, Rama Ii Road,
Samaedam, Bangkhunthien, Bangkok 10150 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2012 |
|
|
|
|
Date of Incorporation : |
13.05.1993 |
|
|
|
|
Legal Form : |
Private
Limited Company |
|
|
|
|
Line of Business : |
Manufacturing, assembling and
distributing variety of
machinery and equipment
for environment protection |
|
|
|
|
No. of Employees : |
33 |
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 – 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
ASSOCIATION OF
3 CO., LTD.
SUMMARY
BUSINESS
ADDRESS : 40/4
MOO 5, SOI
82, RAMA II
ROAD,
SAMAEDAM, BANGKHUNTHIEN,
BANGKOK 10150,
THAILAND
TELEPHONE : [66] 2867-3270-1
FAX :
[66] 2452-6038
E-MAIL
ADDRESS : sale@a3-environmental.com
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1993
REGISTRATION
NO. : 0105536055690
TAX
ID NO. : 3011268308
CAPITAL REGISTERED : BHT. 70,000,000
CAPITAL PAID-UP : BHT.
70,000,000
SHAREHOLDER’S PROPORTION : THAI : 100%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR.
THEPTHAI UDOMCHANYA, THAI
MANAGING DIRECTOR
NO.
OF STAFF : 33
LINES
OF BUSINESS : ENVIRONMENTAL PROTECTION
MACHINERY
AND EQUIPMENT
MANUFACTURER AND
DISTRIBUTOR
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 May 13,
1993 as a
private limited company
under the name
style ASSOCIATION OF 3 CO.,
LTD., by Thai
groups, with the
business objective to
manufacture and distribute
various kinds of
environmental protection machinery
and equipment. It
currently employs 33
staff.
The
subject’s registered address is 40/4 Moo 5, Soi
82, Rama II
Rd., Samaedam, Bangkhunthien, Bangkok
10150, and this is
the subject’s current
operation address.
THE BOARD OF
DIRECTOR
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Thepthai Udomchanya |
|
Thai |
51 |
|
Mr. Vithawas Hutamekalin |
|
Thai |
53 |
AUTHORIZED PERSON
Both of the above directors jointly sign on
behalf of the
subject with company’s
affixed.
MANAGEMENT
Mr. Thepthai Udomchanya is
the Managing Director.
He is Thai
nationality with the
age of 51
years old.
Mr. Vithawas Hutamekalin is
the General Manager.
He is Thai
nationality with the
age of 53
years old.
Ms. Chorthip Saesalub is
the Sales Manager.
She is Thai
nationality.
Mr. Chatnarong Yolsawat is
the Senior Engineering
Manager.
He is Thai
nationality.
Mr. Dave Smith is
the Project Manager.
He is American
nationality.
BUSINESS OPERATIONS
The subject is
engaged in manufacturing, assembling
and distributing variety
of machinery and
equipment for environment protection,
including water & waste water
treatment system and
solid waste system,
as well as
providing after sales
services. The products
are as follows:
·
Waste
water treatment: fine
screen, coarse screen, air diffuser,
dissolved air floatation,
circular clarifier, regtangular
clarifier, shaftless screw,
traveling bridge and
etc.
·
Solid
waste: trommel screen,
bag opener, magnetic
separator, hand sorting,
conveyor belt, bio
shredder, windrow turner,
biogas plant equipment,
compost plant equipment
and etc.
MAJOR
BRANDS
“TIM
ENVIPRO”, “HI DENSE”,
“MIX & MOVE” and etc.
IMPORT
Most
of the products
are imported from
Denmark, United States of
America, Germany, Taiwan,
Republic of China,
India, Malaysia and
Japan.
MAJOR SUPPLIER
Tim
Envipro A/S :
Denmark
SALES
100% of the products
is sold locally
to end-users both
private company and
government sectors.
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 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.
BANKING
Bangkok Bank Public
Co., Ltd.
EMPLOYMENT
The
subject employs 33
staff.
LOCATION DETAILS
The
premise is owned
for administrative office and
factory at the
heading address. Premise
is located in
industrial area.
COMMENT
Subject was formed in 1993
as a manufacturer and
distributor of machinery and equipment
related to environment
protection. Most of
the products and
services are for
industrial users. Subject
reported a drastic decrease
in both sales/service
revenue and net
profit in 2012.
However, it expects
a better operating performance in
2013 due to effective
expansion on its
customer base this
year.
FINANCIAL INFORMATION
The
capital was registered
at Bht. 2,000,000 divided into
20,000 shares of
Bht. 100 each.
The
capital was increased
later as following:
Bht. 10,000,000
on February 20,
1995
Bht. 14,000,000
on May 13,
2002
Bht. 17,000,000
on December 11,
2003
Bht. 25,000,000
on November 14,
2007
Bht. 30,000,000
on February 7,
2008
Bht. 45,000,000
on December
24, 2010
Bht. 73,000,000
on March
18, 2013
On
July 24, 2013,
the registered capital
was decreased to
Bht. 70,000,000 divided
into 700,000 shares
of Bht. 100
each with fully
paid.
MAIN
SHAREHOLDERS : [as
at July 19,
2013]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Thepthai Udomchanya Nationality: Thai Address : 35
St. Louis 1 Rd.,
Yannawa, Sathorn,
Bangkok |
369,764 |
52.82 |
|
Mr. Vithawas Hutamekalin Nationality: Thai Address : 45/83
Moo 5, Samwatawan-ok,
Klongsamwa, Bangkok |
293,374 |
41.91 |
|
Ms. Sukjai Udomchanya Nationality: Thai Address : 35
St. Louis 1 Rd.,
Yannawa, Sathorn,
Bangkok |
8,754 |
1.25 |
|
Mr. Ratchapol Thongsathit Nationality: Thai Address : 47/1
Moo 1, Jomthong
Rd., Jomthong, Bangkok |
8,239 |
1.18 |
|
Ms. Pilailuck Kalayanapradit Nationality: Thai Address : 110
Sukhumvit 64 Rd.,
Bangchak, Prakanong, Bangkok |
5,502 |
0.79 |
|
Mr. Vinyu Pamee Nationality: Thai Address : 169
Moo 17, T. Fangdaeng, A. Naklang,
Nongbualamphu |
3,095 |
0.44 |
|
Mr. Chart Ruabruam Nationality: Thai Address : 41/37
Moo 5, Samaedam,
Bangkhunthien, Bangkok |
3,095 |
0.44 |
|
Mr. Pongsith Jirawassakul Nationality: Thai Address : 89
Soi St. Louis 1,
Yannawa, Sathorn, Bangkok |
1,377 |
0.20 |
|
Others |
6,800 |
0.97 |
Total Shareholders : 21
Share Structure [as
at July 19,
2013]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
21 |
700,000 |
100.00 |
|
Foreign |
- |
- |
- |
|
Total |
21 |
700,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO.
Ms. Naruemol Chantayingyong No.
6976
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 |
395,844.10 |
3,984,327.61 |
3,054,490.00 |
|
Short-term Investment |
- |
8,000,000.00 |
- |
|
Trade Accounts & Other Receivable |
|
|
|
|
Trade Accounts
Receivable |
10,339,958.00 |
13,777,197.34 |
25,167,806.19 |
|
Deferred Interest |
40,185.43 |
- |
- |
|
Other Receivable |
257,939.52 |
207,940.91 |
148,055.31 |
|
Inventories |
21,656,999.31 |
17,321,574.90 |
33,455,437.96 |
|
Deposit for Purchase Goods |
4,687,139.31 |
2,406,287.23 |
273,026.81 |
|
Other Current Assets
|
1,063,867.61 |
1,090,902.27 |
1,738,180.14 |
|
|
|
|
|
|
Total Current Assets
|
38,441,933.28 |
46,788,230.26 |
63,836,996.41 |
|
Cash at Bank pledged as
a Collateral |
8,115,894.03 |
2,019,649.81 |
1,843,320.60 |
|
Fixed Assets |
16,234,607.94 |
14,683,794.06 |
16,405,922.69 |
|
Intangible Assets |
378,486.15 |
617,461.15 |
856,436.15 |
|
Other Non-current Assets |
173,548.60 |
190,748.60 |
172,048.60 |
|
Total Assets |
63,344,470.00 |
64,299,883.88 |
83,114,724.45 |
LIABILITIES & SHAREHOLDERS’ EQUITY [BAHT]
|
Current
Liabilities |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Short-term Loan from Financial Institutions |
- |
- |
5,000,000.00 |
|
Trade Accounts & Other Payable |
|
|
|
|
Trade Accounts
Payable |
6,963,121.27 |
6,146,861.77 |
12,340,388.30 |
|
Other Payable |
377,426.00 |
5,000.00 |
5,000.00 |
|
Accrued Expenses |
625,156.06 |
348,809.20 |
342,983.39 |
|
Current Portion of Long-term
Lease Contract Liabilities |
- |
20,732.85 |
302,718.94 |
|
Current Portion of Long-term
Loans |
164,129.93 |
353,929.90 |
332,197.95 |
|
Accrued Income Tax |
4,986.88 |
542,440.14 |
1,492,896.77 |
|
Pre-received Deposit |
2,244,843.69 |
4,023,192.00 |
11,367,912.69 |
|
Accrued Dividend |
300,000.00 |
300,000.00 |
450,000.00 |
|
Other Current Liabilities |
274,103.92 |
415,168.90 |
462,911.35 |
|
|
|
|
|
|
Total Current Liabilities |
10,953,767.75 |
12,156,134.76 |
32,097,009.39 |
|
Long-term Lease Contract
Liabilities, Net |
- |
- |
20,732.85 |
|
Long-term Loan |
- |
158,237.13 |
504,462.89 |
|
Total Liabilities |
10,953,767.75 |
12,314,371.89 |
32,622,205.13 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100
value authorized, issued
and fully paid share
capital 450,000 shares |
45,000,000.00 |
45,000,000.00 |
45,000,000.00 |
|
|
|
|
|
|
Capital Paid |
45,000,000.00 |
45,000,000.00 |
45,000,000.00 |
|
Retained Earning |
|
|
|
|
Appropriated for
Statutory Reserve |
2,320,000.00 |
2,250,000.00 |
2,250,000.00 |
|
Unappropriated |
5,070,702.25 |
4,735,511.99 |
3,242,519.32 |
|
Total Shareholders' Equity |
52,390,702.25 |
51,985,511.99 |
50,492,519.32 |
|
Total Liabilities &
Shareholders' Equity |
63,344,470.00 |
64,299,883.88 |
83,114,724.45 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Sales and Services |
65,228,688.54 |
103,758,808.53 |
106,251,979.31 |
|
Disposal of Assets Income |
- |
7,475.64 |
7,769.73 |
|
Gain on Exchange Rate |
118,291.68 |
- |
428,478.18 |
|
Other Income |
365,881.71 |
124,760.50 |
100,462.55 |
|
Total Revenues |
65,712,861.93 |
103,891,044.67 |
106,788,689.77 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold |
56,963,934.58 |
90,605,977.21 |
86,683,804.62 |
|
Selling Expenses |
1,923,111.99 |
1,105,743.42 |
1,465,272.34 |
|
Administrative Expenses |
5,303,971.92 |
5,579,715.16 |
7,141,549.52 |
|
Loss on Exchange Rate |
- |
112,211.87 |
- |
|
Total Expenses |
64,191,018.49 |
97,403,647.66 |
95,290,626.48 |
|
|
|
|
|
|
Profit before Financial Costs & Income Tax |
1,521,843.44 |
6,487,397.01 |
11,498,063.29 |
|
Financial Costs |
[512,662.77] |
[350,626.42] |
[289,649.68] |
|
|
|
|
|
|
Profit before Income Tax |
1,099,180.67 |
6,136,770.59 |
11,208,413.61 |
|
Income Tax |
[303,990.41] |
[1,823,777.92] |
[3,315,392.04] |
|
Net Profit / [Loss] |
705,190.26 |
4,312,992.67 |
7,893,021.57 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2012 |
2011 |
2010 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
3.51 |
3.85 |
1.99 |
|
QUICK RATIO |
TIMES |
1.01 |
2.14 |
0.88 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
4.02 |
7.07 |
6.48 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.03 |
1.61 |
1.28 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
138.77 |
69.78 |
140.87 |
|
INVENTORY TURNOVER |
TIMES |
2.63 |
5.23 |
2.59 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
57.86 |
48.47 |
86.46 |
|
RECEIVABLES TURNOVER |
TIMES |
6.31 |
7.53 |
4.22 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
44.62 |
24.76 |
51.96 |
|
CASH CONVERSION CYCLE |
DAYS |
152.01 |
93.48 |
175.37 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
87.33 |
87.32 |
81.58 |
|
SELLING & ADMINISTRATION |
% |
11.08 |
6.44 |
8.10 |
|
INTEREST |
% |
0.79 |
0.34 |
0.27 |
|
GROSS PROFIT MARGIN |
% |
13.41 |
12.80 |
18.92 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
2.33 |
6.25 |
10.82 |
|
NET PROFIT MARGIN |
% |
1.08 |
4.16 |
7.43 |
|
RETURN ON EQUITY |
% |
1.35 |
8.30 |
15.63 |
|
RETURN ON ASSET |
% |
1.11 |
6.71 |
9.50 |
|
EARNING PER SHARE |
BAHT |
1.57 |
9.58 |
17.54 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.17 |
0.19 |
0.39 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.21 |
0.24 |
0.65 |
|
TIME INTEREST EARNED |
TIMES |
2.97 |
18.50 |
39.70 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
(37.13) |
(2.35) |
|
|
OPERATING PROFIT |
% |
(76.54) |
(43.58) |
|
|
NET PROFIT |
% |
(83.65) |
(45.36) |
|
|
FIXED ASSETS |
% |
10.56 |
(10.50) |
|
|
TOTAL ASSETS |
% |
(1.49) |
(22.64) |
|
ANNUAL GROWTH :
RISKY
An annual sales growth is -37.13%. Turnover has decreased from THB
103,758,808.53 in 2011 to THB 65,228,688.54 in 2012. While net profit has
decreased from THB 4,312,992.67 in 2011 to THB 705,190.26 in 2012. And total
assets has decreased from THB 64,299,883.88 in 2011 to THB 63,344,470.00 in
2012.
PROFITABILITY :
RISKY
PROFITABILITY
RATIO
|
Gross Profit Margin |
13.41 |
Deteriorated |
Industrial
Average |
53.82 |
|
Net Profit Margin |
1.08 |
Deteriorated |
Industrial
Average |
6.29 |
|
Return on Assets |
1.11 |
Deteriorated |
Industrial
Average |
9.23 |
|
Return on Equity |
1.35 |
Deteriorated |
Industrial
Average |
19.11 |
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 13.41%. 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 1.08%.
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 1.11%.
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 1.35%.
Trend of the average
competitors in the same industry for last 5 years
Return on Assets Uptrend
Return on Equity Uptrend
LIQUIDITY :
ACCEPTABLE
LIQUIDITY RATIO
|
Current Ratio |
3.51 |
Impressive |
Industrial
Average |
1.75 |
|
Quick Ratio |
1.01 |
|
|
|
|
Cash Conversion Cycle |
152.01 |
|
|
|
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 3.51 times in 2012, decrease from 3.85 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 1.01 times in 2012,
decrease from 2.14 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 153 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE :
EXCELLENT
LEVERAGE RATIO
|
Debt Ratio |
0.17 |
Impressive |
Industrial
Average |
0.51 |
|
Debt to Equity Ratio |
0.21 |
Impressive |
Industrial
Average |
1.05 |
|
Times Interest Earned |
2.97 |
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 2.97 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 0.17 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 :
IMPRESSIVE
ACTIVITY RATIO
|
Fixed Assets Turnover |
4.02 |
Impressive |
Industrial
Average |
- |
|
Total Assets Turnover |
1.03 |
Acceptable |
Industrial
Average |
1.47 |
|
Inventory Conversion Period |
138.77 |
|
|
|
|
Inventory Turnover |
2.63 |
Satisfactory |
Industrial
Average |
3.42 |
|
Receivables Conversion Period |
57.86 |
|
|
|
|
Receivables Turnover |
6.31 |
Impressive |
Industrial
Average |
2.83 |
|
Payables Conversion Period |
44.62 |
|
|
|
The company's Account Receivable Ratio is calculated as 6.31 and 7.53 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 increased from 70 days at the
end of 2011 to 139 days at the end of 2012. This represents a negative trend.
And Inventory turnover has decreased from 5.23 times in year 2011 to 2.63 times
in year 2012.
The company's Total Asset Turnover is calculated as 1.03 times and 1.61
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 Uptrend
Inventory Turnover Uptrend
Receivables Turnover Downtrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.61.69 |
|
|
1 |
Rs.98.59 |
|
Euro |
1 |
Rs.83.67 |
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.