MIRA INFORM
REPORT
|
Report Date : |
17.09.2013 |
IDENTIFICATION DETAILS
|
Name : |
WATER
DOCTOR CO., LTD. |
|
|
|
|
Registered Office : |
1687 Soi Ladprao 94, Ladprao Road, Plubpla, Wangthonglang, Bangkok 10310 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2012 |
|
|
|
|
Date of Incorporation : |
14.06.1994 |
|
|
|
|
Com. Reg. No.: |
0105537068426 [Former : ( 2 ) 2533/2537] |
|
|
|
|
Legal Form : |
Private
Limited Company |
|
|
|
|
Line of Business : |
importer, distributor and service provider various
kinds of specialty
chemicals and additives
such as cosmetic additives,
ion exchange resin,
water treatment chemicals
and other specialty chemicals
to various industries and
market segments |
|
|
|
|
No. of Employees : |
150 |
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 : |
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) |
|
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 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
WATER DOCTOR CO., LTD.
SUMMARY
BUSINESS
ADDRESS : 1687
SOI LADPRAO 94,
LADPRAO ROAD,
PLUBPLA, WANGTHONGLANG,
BANGKOK 10310
TELEPHONE : [66] 2559-2920-2
FAX :
[66] 2559-2923
E-MAIL
ADDRESS : thedoctor@waterdoctor.co.th
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1994
REGISTRATION
NO. : 0105537068426 [Former : ( 2 ) 2533/2537]
TAX
ID NO. : 3011432914
CAPITAL REGISTERED : BHT. 69,000,000
CAPITAL PAID-UP : BHT.
69,000,000
SHAREHOLDER’S PROPORTION : THAI : 100%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR.
SOMCHAI UNGPITAKPHAN, THAI
MANAGING DIRECTOR
NO.
OF STAFF : 150
LINES
OF BUSINESS : INDUSTRIAL CHEMICALS
IMPORTER &
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 June 14,
1994 as a
private limited company under
the name style
WATER DOCTOR CO., LTD., by
Thai group, Ungpitakphan
family to supply and service
of industrial and
specialty chemicals and
technical engineering services
to domestic industrial
sector. It currently
employs approximately 150
staff.
The
subject’s registered address
is 1687 Soi
Ladprao 94, Ladprao
Rd., Plubpla, Wangthonglang, Bangkok
10310, and this
is the subject’s
current operation address.
THE BOARD
OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Somchai Ungpitakphan |
|
Thai |
49 |
|
Ms. Pathraporn Ungpitakphan |
|
Thai |
46 |
AUTHORIZED PERSON
One of the
above directors can
sign on behalf
of the subject
with company’s affixed.
MANAGEMENT
Mr. Somchai Ungpitakphan is
the Managing Director.
He is Thai
nationality with the
age of 49
years old.
He has been
in this position
since 1994.
Ms. Pathraporn Ungpitakphan is
the Deputy Managing
Director.
She is Thai
nationality with the
age of 46
years old.
Mr. Araya Sukhonkajorn is
the Sales & Marketing Manager.
He is Thai nationality.
BUSINESS OPERATIONS
The subject’s activities
are importer, distributor
and service provider various
kinds of specialty
chemicals and additives
such as cosmetic additives,
ion exchange resin,
water treatment chemicals and other
specialty chemicals to various
industries and market
segments. The products
are distributed and
served through 3 major industry
segments, such as
water treatment, specialty
chemicals and engineering.
PRODUCTS AND SERVICES:
[Water Treatment]
The products are
used in areas
as diverse as
refineries and five
star hotels as
well as the
full range of
Thailand’s industries from food
factories to engineering
works. The products
include boiler & water treatment
systems, cooling water
treatment systems, pool & spa equipment
and waste water
treatment equipment.
SPECIALTY CHEMICALS
The products are
supplied to various
industries such as
personal care, pulp
& paper, automotive,
sugar and engineering.
CONSTRUCTION/TECHNICAL
SERVICES [Turnkey Project]:
The subject has
developed a range
of equipment designed
for simple installation
and low capacity
cost. Whether it
is a packaged
or pre-engineered system
or a turnkey
project.
The subject also
offers a complete
range of technical and
support services to
a wide range
of industries from
technical cleaning to
environmental impact studies.
MAJOR BRANDS
“SANNI TREE”, “SNF”,
“NORIT”, “CALGON”, “FLOEGER”,
“ROHM & HAAS”, “BUCKMAN”, “ATOFINA”,
“US FILTER”, “LUBRIZOL”,
“BRENTWOOD”, “LAVIBOND”, “PAHARPUR”,
“DUPONT”, “LONZA GROUP”,
“MILTON ROY”
and etc.
IMPORT
[COUNTRY]
Most
of the products
are imported from
overseas such as
United States of
America, Germany, Italy,
France, United Kingdom, Japan,
Korea, Republic of
China, India, Taiwan,
Malaysia, Singapore, Netherlands
and Spain, and
the remaining is
purchased from local suppliers.
MAJOR SUPPLIERS
Rohm & Haas Chemical
[Thailand] Ltd. : Thailand
Floccotan Pte. Ltd. : Singapore
MC Intyre Group
Ltd. : United
States of America
ELF Atochem Inc. : United
States of America
Norit [France] S.A.R.L. : France
U S Filter Inc. : United
States of America
Milton Roy Company : United
States of America
Atofina Inc. : United
States of America
Buckman Laboratories International
Inc.: United States
of America
Liquid Minerals Group
Inc. : United
States of America
Tintometer GmbH. : Germany
Dupont Inc. : United
States of America
Trojan Technologies Inc. : United
States of America
Colonial Chemical Inc. : United
States of America
SALES
AND SERVICES
The products
and services are for 100 local
dealers and contractors,
and over 50 customers comprising
industrial factories and
government organization.
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 and services
are by cash
or on the
credits term of
30-60-90 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
In term of
sales and services,
the subject sells
and services to
local customers with
the maximum credit
given at 90
days. The subject is
found to have
late payment from
some customers in the industrial
sector. For an
import, the subject
purchases its products
mainly by T/T
and occasionally by
L/C at sight.
The subject is
found no record
of payment problem
with any suppliers.
BANKING
Bangkok Bank Public
Co., Ltd.
[Bangkapi Branch : 182
Sukhumvit Rd., Klongtoey,
Bangkok 10110]
Kasikornbank Public Co.,
Ltd.
EMPLOYMENT
The
subject employs approximately
150 staff and
sales staff. [head
office and all
branches].
LOCATION
DETAILS
The
premise is owned
for administrative office in
a 3.5 storey
building of 1
row shop house at
the heading address.
Premise is located
in residential/commercial area.
Branch
Office:
The
subject currently has
3 sales and
services center as
the followings:
- Hadyai
Branch : 864/15
Moo 1, T. Klualuang,
A. Hadyai, Songkla
90010
Tel:
[66] 74 423-557
- Chiangmai
Branch : 441
Moo 3, T. Sansainoi,
A. Sansai Chiangmai
50000
Tel:
[66] 53 396-048-9
- Rayong
Branch : 32/1 Liebchayfang
Rd., T. Paknam, A. Muang,
Rayong 21000
Warehouse
is located at
93 Soi Lasalle
17, Bangna Rd.,
Bangna, Bangkok 10260.
COMMENT
The
subject is the market
leader in the water
treatment and specialty
chemicals market. Its products
involved in various
industries from household consumer goods to construction
industry.
The
subject has added
some of the worlds
leading brand names
of products and
also represents the worlds
best companies in
every areas of
its operations. This
has enabled Water Doctor diagnose its
customers plan requirements
and design a
treatment program for their best
solutions.
FINANCIAL INFORMATION
The
capital was registered
at Bht. 1,000,000 divided into
10,000 shares of Bht.
100 each.
The
capital was increased
later as following:
Bht. 7,000,000
on August 28, 1995
Bht. 10,000,000
on September 9,
1998
Bht. 20,000,000
on December 15,
1999
Bht. 60,000,000
on December 22,
2000
Bht. 74,000,000
on December 27,
2002
On January
13, 2004 the
registered capital was
decreased to Bht. 69,000,000
divided into 690,000 shares of
Bht. 100 each
with fully paid.
THE
SHAREHOLDERS LISTED WERE
: [as at
April 30, 2013]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Ms. Pathraporn Ungpitakphan Nationality: Thai Address : 28/43
Moo 6, Bangbon,
Bangkok 10150 |
541,000 |
78.40 |
|
Mr. Somchai Ungpitakphan Nationality: Thai Address : 35/122
Moo 3, Bangkhunthien, Jomthong,
Bangkok 10150 |
147,000 |
21.30 |
|
Ms. Sirimon Kosolmontri Nationality: Thai Address : 275
Pahurad Rd., Wangburapa,
Phranakorn Bangkok 10200
|
1,000 |
0.15 |
|
Mr. Araya Sukonkajorn Nationality: Thai Address : 166
Ladprao Rd., Samsennok,
Huaykwang,
Bangkok 10310 |
1,000 |
0.15 |
Total Shareholders : 4
Share Structure [as
at April 30,
2013]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
4 |
690,000 |
100.00 |
|
Foreign |
- |
- |
- |
|
Total |
4 |
690,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Mr. Thanadol Wongtaveepkij
No. 3395
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 |
1,361,571.81 |
1,153,920.96 |
26,467,074.02 |
|
Short-term Investment |
1,027,538.00 |
1,026,538.00 |
971,813.33 |
|
Trade Accounts &
Other Receivable |
110,662,230.57 |
102,582,453.55 |
98,971,699.69 |
|
Short-term Lending |
38,700,000.00 |
18,741,250.00 |
8,011,000.00 |
|
Inventories |
59,611,597.74 |
47,230,733.40 |
24,970,530.07 |
|
Other Current Assets
|
3,044,963.13 |
2,040,448.69 |
470,702.44 |
|
|
|
|
|
|
Total Current Assets
|
214,407,901.25 |
172,775,344.60 |
159,862,819.55 |
|
Fixed Assets |
149,591,025.35 |
134,953,779.43 |
133,379,032.07 |
|
Other Non-current Assets |
1,422,017.80 |
1,202,017.80 |
1,250,264.15 |
|
Total Assets |
365,420,944.40 |
308,931,141.83 |
294,492,115.77 |
LIABILITIES & SHAREHOLDERS’
EQUITY [BAHT]
|
Current
Liabilities |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Bank Overdraft & Short-term Loan from Financial Institutions |
173,034,762.65 |
112,333,072.57 |
103,859,410.96 |
|
Trade Accounts & Other
Payable |
85,726,494.15 |
98,704,728.06 |
93,870,066.39 |
|
Current Portion of
Long-term Loans |
4,233,932.00 |
2,622,988.00 |
940,000.00 |
|
Short-term Loan |
- |
- |
1,300,000.00 |
|
|
|
|
|
|
Total Current Liabilities |
262,995,188.80 |
213,660,788.63 |
199,969,477.35 |
|
Employee Benefit Obligation |
12,537,191.00 |
12,228,623.04 |
- |
|
Long-term Loan from Financial Institution |
17,475,509.92 |
10,861,182.36 |
11,508,369.19 |
|
Total Liabilities |
293,007,889.72 |
236,750,594.03 |
211,477,846.54 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized, issued
and fully paid share
capital 690,000 shares |
69,000,000.00 |
69,000,000.00 |
69,000,000.00 |
|
|
|
|
|
|
Capital Paid |
69,000,000.00 |
69,000,000.00 |
69,000,000.00 |
|
Retained Earning - Unappropriated |
3,413,054.68 |
3,180,547.80 |
14,014,269.23 |
|
Total Shareholders' Equity |
72,413,054.68 |
72,180,547.80 |
83,014,269.23 |
|
Total Liabilities &
Shareholders' Equity |
365,420,944.40 |
308,931,141.83 |
294,492,115.77 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Sales Income |
318,250,670.99 |
347,671,405.41 |
316,656,601.01 |
|
Service Income |
121,540,230.75 |
78,495,248.01 |
93,317,650.24 |
|
Other Income |
4,110,817.29 |
906,387.01 |
6,467,333.32 |
|
Total Revenues |
443,901,719.03 |
427,073,040.43 |
416,441,584.57 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold & Service |
314,754,381.99 |
310,008,420.35 |
301,644,575.53 |
|
Selling Expenses |
37,942,787.69 |
31,254,812.74 |
31,555,754.65 |
|
Administrative Expenses |
80,264,013.15 |
78,063,075.72 |
74,736,123.15 |
|
Total Expenses |
432,961,182.83 |
419,326,308.81 |
407,936,453.33 |
|
|
|
|
|
|
Profit / [Loss] before Financial Cost & Income
Tax |
10,940,536.20 |
7,746,731.62 |
8,505,131.24 |
|
Financial Costs |
[10,333,175.27] |
[7,589,754.44] |
[6,025,697.31] |
|
|
|
|
|
|
Profit / [Loss] before Income
Tax |
607,360.93 |
156,977.18 |
2,479,433.93 |
|
Income Tax |
[374,854.05] |
[634,763.50] |
[849,977.89] |
|
|
|
|
|
|
Net Profit / [Loss] |
232,506.88 |
[477,786.32] |
1,629,456.04 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2012 |
2011 |
2010 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
0.82 |
0.81 |
0.80 |
|
QUICK RATIO |
TIMES |
0.58 |
0.58 |
0.67 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
2.94 |
3.16 |
3.07 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.20 |
1.38 |
1.39 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
69.13 |
55.61 |
30.22 |
|
INVENTORY TURNOVER |
TIMES |
5.28 |
6.56 |
12.08 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
91.84 |
87.86 |
88.11 |
|
RECEIVABLES TURNOVER |
TIMES |
3.97 |
4.15 |
4.14 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
99.41 |
116.21 |
113.59 |
|
CASH CONVERSION CYCLE |
DAYS |
61.56 |
27.25 |
4.74 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
71.57 |
72.74 |
73.58 |
|
SELLING & ADMINISTRATION |
% |
26.88 |
25.65 |
25.93 |
|
INTEREST |
% |
2.35 |
1.78 |
1.47 |
|
GROSS PROFIT MARGIN |
% |
29.37 |
27.47 |
28.00 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
2.49 |
1.82 |
2.07 |
|
NET PROFIT MARGIN |
% |
0.05 |
(0.11) |
0.40 |
|
RETURN ON EQUITY |
% |
0.32 |
(0.66) |
1.96 |
|
RETURN ON ASSET |
% |
0.06 |
(0.15) |
0.55 |
|
EARNING PER SHARE |
BAHT |
0.34 |
(0.69) |
2.36 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.80 |
0.77 |
0.72 |
|
DEBT TO EQUITY RATIO |
TIMES |
4.05 |
3.28 |
2.55 |
|
TIME INTEREST EARNED |
TIMES |
1.06 |
1.02 |
1.41 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
3.20 |
3.95 |
|
|
OPERATING PROFIT |
% |
41.23 |
(8.92) |
|
|
NET PROFIT |
% |
148.66 |
(129.32) |
|
|
FIXED ASSETS |
% |
10.85 |
1.18 |
|
|
TOTAL ASSETS |
% |
18.29 |
4.90 |
|
ANNUAL GROWTH :
EXCELLENT
An annual sales growth is 3.2%. Turnover has increased from THB
426,166,653.42 in 2011 to THB 439,790,901.74 in 2012. While net profit has
increased from THB -477,786.32 in 2011 to THB 232,506.88 in 2012. And total
assets has increased from THB 308,931,141.83 in 2011 to THB 365,420,944.40 in
2012.
PROFITABILITY :
RISKY
PROFITABILITY
RATIO
|
Gross Profit Margin |
29.37 |
Acceptable |
Industrial Average |
40.70 |
|
Net Profit Margin |
0.05 |
Deteriorated |
Industrial Average |
5.11 |
|
Return on Assets |
0.06 |
Deteriorated |
Industrial Average |
4.22 |
|
Return on Equity |
0.32 |
Deteriorated |
Industrial Average |
7.30 |
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 29.37%. 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 0.05%. 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 0.06%.
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 0.32%.
Trend of the
average competitors in the same industry for last 5 years
Return on Assets Uptrend
Return on Equity Downtrend
LIQUIDITY : RISKY
LIQUIDITY RATIO
|
Current Ratio |
0.82 |
Risky |
Industrial Average |
1.72 |
|
Quick Ratio |
0.58 |
|
|
|
|
Cash Conversion Cycle |
61.56 |
|
|
|
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 0.82 times in 2012, increase from 0.81 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 0.58 times in 2012,
same figure as in 2011, 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 62 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE : RISKY
LEVERAGE RATIO
|
Debt Ratio |
0.80 |
Acceptable |
Industrial Average |
0.39 |
|
Debt to Equity Ratio |
4.05 |
Risky |
Industrial Average |
0.65 |
|
Times Interest Earned |
1.06 |
Deteriorated |
Industrial Average |
2.13 |
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 1.06 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 0.8 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 :
EXCELLENT
ACTIVITY RATIO
|
Fixed Assets Turnover |
2.94 |
Impressive |
Industrial Average |
0.38 |
|
Total Assets Turnover |
1.20 |
Impressive |
Industrial Average |
0.82 |
|
Inventory Conversion Period |
69.13 |
|
|
|
|
Inventory Turnover |
5.28 |
Impressive |
Industrial Average |
5.15 |
|
Receivables Conversion Period |
91.84 |
|
|
|
|
Receivables Turnover |
3.97 |
Impressive |
Industrial Average |
2.38 |
|
Payables Conversion Period |
99.41 |
|
|
|
The company's Account Receivable Ratio is calculated as 3.97 and 4.15 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 56 days at the
end of 2011 to 69 days at the end of 2012. This represents a negative trend.
And Inventory turnover has decreased from 6.56 times in year 2011 to 5.28 times
in year 2012.
The company's Total Asset Turnover is calculated as 1.2 times and 1.38
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.62.48 |
|
UK Pound |
1 |
Rs.99.66 |
|
Euro |
1 |
Rs.83.50 |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.