MIRA INFORM REPORT

 

 

Report Date :

12.09.2013

 

IDENTIFICATION DETAILS

 

Name :

SANKET DIAMONDS BVBA

 

 

Registered Office :

Hoveniersstraat 53 Antwerpen 2018

 

 

Country :

Belgium

 

 

Financials (as on) :

2012

 

 

Date of Incorporation :

16.05.1990

 

 

Com. Reg. No.:

440709701

 

 

Legal Form :

Private Limited Company

 

 

Line of Business :

Wholesale of diamonds and other precious stones

 

 

No. of Employees :

Not Available

 

 

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 :

Satisfactory

Payment Behaviour :

No Complaints

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)

 Belgium

                       A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


 

BELGIUM - ECONOMIC OVERVIEW

 

This modern, open, and private-enterprise-based economy has capitalized on its central geographic location, highly developed transport network, and diversified industrial and commercial base. Industry is concentrated mainly in the more heavily-populated region of Flanders in the north. With few natural resources, Belgium imports substantial quantities of raw materials and exports a large volume of manufactures, making its economy vulnerable to volatility in world markets. Roughly three-quarters of Belgium's trade is with other EU countries, and Belgium has benefited most from its proximity to Germany. In 2011 Belgian GDP grew by 1.8%, the unemployment rate decreased slightly to 7.2% from 8.3% the previous year, and the government reduced the budget deficit from a peak of 6% of GDP in 2009 to 4.2% in 2011 and 3.3% in 2012. Fourth quarter GDP growth in 2012 was at -0.1%, the third consecutive quarter of negative growth. This brought economic growth for the whole of 2012 to negative 0.2%. It also left Belgium on the brink of a possible recession at the end of 2012. However, at year's end, the government appeared close to meeting its 2012 budget deficit goal of 3% of GDP. Despite the relative improvement in Belgium's budget deficit, public debt hovers around 100% of GDP, a factor that has contributed to investor perceptions that the country is increasingly vulnerable to spillover from the euro-zone crisis. Belgian banks were severely affected by the international financial crisis in 2008 with three major banks receiving capital injections from the government, and the nationalization of the Belgian retail arm of a Franco-Belgian bank.

 

Source : CIA

 


 

Company name

 

SANKET DIAMONDS BVBA

 

 

Company Summary

 

Company Name                                   SANKET DIAMONDS BVBA                  

Company Registration Number            440709701

Country                                                BE

Activity Code                                       46761

Activity Description                              Wholesale of diamonds and other precious stones

Company Status                                  Active

Latest Turnover                                   1,415,850.00 (EUR)

Latest Shareholders Equity                  119,779.00 (EUR)

Profit  Before Tax                                 21,055.00 (EUR)

 

 

Company Identification

 

ACTIVITIES

 

Activity Code                                       46761

Activity Description                              Wholesale of diamonds and other precious stones

 

BASIC INFORMATION

Company Name                                   SANKET DIAMONDS BVBA

Registered Company Name                 SANKET DIAMONDS BVBA

Company Registration Number            440709701

Country                                                BE

VAT Registration Number                    BE.0440.709.701

Date of Company Registration             16/05/1990

Date of Starting Operations                 16/05/1990

Commercial Court Legal Form            Private Limited Company (BL/LX)

Company Status                                  Active

Principal Activity Code                        46761

Principal Activity Description               Wholesale of diamonds and other precious stones

Contact Address                                   HOVENIERSSTRAAT 53

ANTWERPEN 2018

Contact Telephone Number                 0475/449093

 

 

Main Address

 

Address                        HOVENIERSSTRAAT 53 ANTWERPEN 2018

Country                        BE

Telephone                   0475/449093

 

Other Addresses

Address                        17 SCHUPSTRAAT, ANTWERPEN 2018

Country                        BE

 

Current Directors Managers

 

Name                           NARESH JAIN

Address                        41 VAN EYCKLEI ANTWERPEN

Position                       Principal Manager

Date Appointed            12/08/2011

 

Name                           RAJIV SHASHIKANT KOTHARI

Address                        26 ARENDSNESTLAAN EDEGEM

Position                       Principal Manager

Date Appointed            12/08/2011

 

Share Capital Structure

Issued Share capital               18,600.00 (EUR)

 

Employee Information

Year                                         2012

Number of Employees             0

 

 

FINANCIAL STATEMENTS

 

Profit & Loss

 

Financial Year                    2012                                     2011                                     2010

Number of Weeks               52                                        52                                         52

Currency                             EUR                                    EUR                                     EUR

Revenue                              1,415,850.00                        1,335,701.00                         1,030,915.00

Operating Costs                  1,388,111.00                        1,280,263.00                         1,023,477.00

Operating Profit                  27,739.00                             55,437.00                              7,438.00

Wages & Salaries               23,841.00                             0.00                                      0.00

Pension Costs                     0.00                                     0.00                                      0.00

Depreciation                       1,909.00                               649.00                                  83.00

Financial Income                826.00                                  923.00                                  588.00

Financial Expenses            7,509.00                               4,464.00                                4,009.00

Profit Before Tax                21,055.00                             51,896.00                              4,017.00

Tax                                      4,928.00                               13,393.00                              -1,048.00

Profit After Tax                   16,127.00                             38,502.00                              5,065.00

Dividends                            0.00                                     0.00                                      0.00

Other Appropriations          227.00                                  0.00                                      0.00

Retained Profit                    16,354.00                             38,502.00                              5,065.00

 

 

Balance Sheet

 

Financial Year                               2012                                                 2011                                                  2010

Number of Weeks                       52                                                     52                                                      52

Currency                                         EUR                                                 EUR                                                  EUR

Land & Buildings                          0.00                                                  0.00                                                   0.00

Plant & Machinery                       1,416.00                                          2,187.00                                           0.00

Other Tangible Assets               4,397.00                                          502.00                                              348.00

Total Tangible Assets                5,814.00                                          2,688.00                                           348.00

Other Intangible Assets             1,796.00                                          2,326.00                                           1,325.00

Total Intangible Assets              1,796.00                                          2,326.00                                           1,325.00

Miscellaneous  Fixed Assets 9,078.00                                             8,139.00                                           4,097.00

Total Other Fixed Assets           9,078.00                                          8,139.00                                           4,097.00

Total Fixed Assets                       16,688.00                                       13,154.00                                        5,770.00

Raw Materials                               0.00                                                  0.00                                                   0.00

Work in Progress                        0.00                                                  0.00                                                   0.00

Finished Goods                             253,389.00                                     227,180.00                                      202,877.00

Other Inventories                         0.00                                                  0.00                                                   0.00

Total Inventories                          253,389.00                                     227,180.00                                      202,877.00

Trade Receivables                      231,310.00                                     421,728.00                                      211,360.00

Miscellaneous  Receivables 10,996.00                                            21,096.00                                        44.00

Total Receivables                        242,306.00                                     442,824.00                                      211,404.00

Cash                                                 21,206.00                                       36,231.00                                        46,068.00

Other Current Assets                12,055.00                                       14,056.00                                        17.00

Total Current Assets                  528,956.00                                     720,291.00                                      460,367.00

Total Assets                                  545,644.00                                     733,445.00                                      466,137.00

Trade Payables                            293,127.00                                     565,848.00                                      345,672.00

Other Loans/Finance                  0.00                                                  0.00                                                   0.00

Miscellaneous  Liabilities           91,052.00                                       64,172.00                                        55,542.00

Total Current Liabilities             384,179.00                                     630,020.00                                      401,214.00

Other Loans/Finance  due

  After 1  year                                        41,686.00                                  0.00                                                     0.00

Miscellaneous  Liabilities due

   after 1 year                                          0.00                                          0.00                                                    0.00

Total Long Term Liabilities      41,686.00                                         0.00                                                   0.00

Total Liabilities                               425,865.00                                   630,020.00                                      401,214.00

Called Up Share Capital              18,600.00                                      18,600.00                                        18,600.00

Share Premium                             0.00                                                 0.00                                                   0.00

Revenue Reserves                       101,179.00                                    84,825.00                                        46,323.00

Other Reserves                             0.00                                                 0.00                                                   0.00

Total Shareholders  Equity    119,779.00                                          103,425.00                                      64,923.00

Other Financials

Working Capital                           144,777.00                                     90,271.00                                        59,153.00

Net Worth                                       117,983.00                                     101,099.00                                      63,598.00

 

 

Ratios

 

Pre-Tax Profit Margin                    1.49                                                 3.89                                                   0.39

Return on Capital Employed         13.04                                               50.18                                                 6.19

Return on Total Assets

Employed                                              3.86                                            7.08                                                    0.86

Return on Net Assets Employed 17.58                                              50.18                                                 6.19

Sales/Net Working Capital             9.78                                               14.80                                                 17.43

Stock Turnover Ratio                      17.90                                              17.01                                                 19.68

Debtor Days                                        59.63                                              115.24                                              74.83

Creditor Days                                    77.08                                               161.32                                              123.28

Current Ratio                                    1.38                                                 1.14                                                   1.15

Liquidity Ratio/Acid Test                0.72                                                 0.78                                                   0.64

Current Debt Ratio                          3.21                                                 6.09                                                   6.18

Gearing                                               34.80                                               0.00                                                   0.00

Equity in Percentage                      22.02                                               14.15                                                 13.97

Total Debt Ratio                                3.56                                                 6.09                                                   6.18

 


 

DIAMOND INDUSTRY – INDIA

 

-            From time immemorial, India is well known in the world as the birthplace for diamonds.  It is difficult to trace the origin of diamonds but history says that in the remote past, diamonds were mined only in India. Diamond production in India can be traced back to almost 8th Century B.C.  India, in fact, remained undisputed leader till 18th Century when Brazilian fields were discovered in 1725 followed by emergence of S. Africa, Russia and Australia.

-            The achievement of the Indian diamond industry was possible only due to combination of the manufacturing skills of the Indian workforce and the untiring and unflagging efforts of the Indian diamantaires, supported by progressive Government policies.

-            The area of study of family owned diamond businesses derives its importance from the huge conglomerate of family run organizations which operate in the diamond industry since many generations.

-            Some of the basic traits of family run business enterprises include spirit of entrepreneurship, mutual trust lowers transaction costs, small, nimble and quick to react, information as a source of advantage and philanthropy.

-            Family owned diamond businesses need to improve on many fronts including higher standard of corporate governance, long-term performance – focused strategies, modern management and technology.

-            Utmost caution is to be exercised while dealing with some medium and large diamond traders which are usually engaged in fictitious import – export, inter-company transactions, financially assisted by banks. In the process, several public sector banks lost several hundred million rupees. They mostly diverted borrowed money for diamond business into real estate and capital markets.

-            Excerpts from Times of India dated 30th October 2010 is as under –

 

-            Gem & Jewellery Export Promotion Council in its statistical data has shown the export of polished diamonds to have increase by 28 % in February 2013. Compared to $ 1.4 bn worth of polished diamond export in February, 2012, India exported $ 1.84 billion worth of polished diamonds in February 2013. A senior executive of GJEPC said, “Export of cut and polished diamonds started falling month-wise after the imposition of 2 % of import duty on the polished diamonds. But February, 2013 has given a new ray of hope to the industry as the export of polished diamonds has actually increased by 28 %. It means the industry  is on the track of recovery and round tripping of diamonds has stopped completely.” Demand has started coming from the US, the UK, Japan and China. India’s polished diamond export is expected to cross $ 21 bn in 2013-14.

 

-            The banking sector has started exercising restraint while following prudent risk management norms when lending money to gems and jewellery sector. This follows the implementation of Basel III accord – a global voluntary regulatory standard on bank capital adequacy, stress testing and market liquidity.

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.63.90

UK Pound

1

Rs.100.46

Euro

1

Rs.84.65

 

INFORMATION DETAILS

 

Report Prepared by :

NLM

 

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.