MIRA
INFORM REPORT
|
Report Date : |
19.09.2013 |
IDENTIFICATION DETAILS
|
Name : |
FREETEX ELASTIC FABRIC FACTORY CO., LTD. |
|
|
|
|
Registered Office : |
622 Ladya Road,
Klongsan, Bangkok 10600 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2012 |
|
|
|
|
Date of Incorporation : |
12.04.1983 |
|
|
|
|
Com. Reg. No.: |
0105526014672 [Former :
1469/2526] |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Manufacturer, Distributor and
Exporter of Innerwear
Materials and Accessories |
|
|
|
|
No. of Employees : |
320 |
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) |
|
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
FREETEX ELASTIC
FABRIC FACTORY CO., LTD.
SUMMARY
BUSINESS ADDRESS : 622 LADYA ROAD,
KLONGSAN,
BANGKOK 10600,
THAILAND
TELEPHONE : [66] 2438-8079-80, 2437-9072,
2437-7064
FAX : [66] 2439-0604
E-MAIL ADDRESS : info@freetexelastic.com
REGISTRATION ADDRESS : SAME AS BUSINESS
ADDRESS
ESTABLISHED : 1983
REGISTRATION NO. : 0105526014672 [Former : 1469/2526]
TAX ID NO. : 3101233049
CAPITAL REGISTERED : BHT.
240,000,000
CAPITAL PAID-UP : BHT.
240,000,000
SHAREHOLDER’S PROPORTION : THAI :
100%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR.
NARONG ORAWATTANASRIKUL, THAI
PRESIDENT AND
MANAGING DIRECTOR
NO. OF STAFF : 320
LINES OF BUSINESS : INNERWEAR MATERIALS
AND ACCESSORIES
MANUFACTURER, DISTRIBUTOR
AND EXPORTER
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 April
12, 1983 as
a private limited
company under the
registered name FREETEX
ELASTIC FABRIC FACTORY
CO., LTD., by
Thai groups, with
the business objective
to manufacture and
supply wide range
of innerwear and
swimwear materials and
accessories to both
domestic and international
markets. It currently
employs approximately 320
staff.
The subject’s registered
address is 622
Ladya Rd., Klongsan,
Bangkok 10600, and
this is also
the subject’s current
business address.
THE BOARD OF DIRECTOR
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Narong Orawattanasrikul |
|
Thai |
67 |
|
Ms. Pasiri Orawattanasrikul |
|
Thai |
38 |
|
Mr. Sirichai Orawattanasrikul |
|
Thai |
37 |
|
Mr. Kritsupoj Orawattanasrikul |
|
Thai |
31 |
|
Mr. Thanuphon Orawattanasrikul |
|
Thai |
31 |
|
Mrs. Kamollux Orawattanasrikul |
|
Thai |
62 |
AUTHORIZED PERSON
Any two of
the above directors
can jointly sign
on behalf of
the subject with
company’s affixed.
MANAGEMENT
Mr. Narong Orawattanasrikul is
the President and
Managing Director.
He is Thai
nationality with the
age of 67
years old.
Ms. Pasiri Orawattanasrikul is
the Sales & Marketing Manager.
She is Thai
nationality with the
age of 38
years old.
Mr. Sirichai
Orawattanasrikul is the
Organization Development Director.
He is Thai nationality with
the age of 37 years
old.
Mr. Kritsupoj
Orawattanasrikul is the
Product Development Director.
He is Thai
nationality with the
age of 31
years old.
BUSINESS OPERATIONS
The subject’s activities are manufacturer and supplier wide range
of innerwear and
swimwear materials and
accessories, mainly elastic
webbings, ribbons, hook
and loop tapes.
Range of the
products are as
follows:
Materials: all kinds
of woven and
knitted elastic tapes,
V-tapes, shoulder straps,
bra wire tube,
jacquard elastics, elastic
laces, anti-runback elastic,
medical elastics and
ribbons.
Accessories: bra hook & eye tapes,
ready made shoulder straps,
ultrasonic embossed, hook
& eye tapes,
bow, ultrasonic welding and etc.
Colorful elastic, and high
quality ribbons in all
the colors of the
spectrum and in a
variety of widths and
textures as well
as hooks, the
materials which are
primarily used in
the production of underwear and
other textiles.
MAJOR BRAND
“FREETEX”
PURCHASE
80% of its
raw materials and
accessories are purchased
from local suppliers,
and the remaining
20% is imported
from United Kingdom,
Japan, Republic of China and
Germany.
SALES [LOCAL]
70% of its products
is sold locally
by wholesale to
manufacturers and end-users.
EXPORT [COUNTRY]
30% of the
products is exported
to the United States of
America, France, Tunisia, United Kingdom,
Germany, Italy, Japan,
Hong Kong, Malaysia
and Singapore.
MAJOR CUSTOMERS
Sabina Public Company
Limited : Thailand
Thai Wacoal Public
Company Limited :
Thailand
Triumph International [Thailand]
Ltd. : Thailand
Jintana Intertrade Co.,
Ltd. : Thailand
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 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.
Exports are against
T/T.
BANKING
Kasikornbank Public Co.,
Ltd. [Klongsan Branch]
Bangkok Bank Public
Co., Ltd. [Klongsan Branch]
EMPLOYMENT
The subject employs
approximately 320 staff.
[office staff and
factory workers]
LOCATION DETAILS
The premise is
owned for operating
administrative office in
a 3 storey
building of 1
row shophouse at
the heading address.
Premise is located
in residential/commercial area.
Factory & warehouse are located at 153 Moo 5,
Rama 2 Rd., T. Thasai, A.
Muang,
Samutsakorn 74000. Tel. :
[66] 34 822-300-1,
Fax: [66] 34
462-613.
Branch office is
located at 944/34-5
Soi Ladya 18, Ladya
Rd., Klongsan, Bangkok 10600.
COMMENT
The high quality
materials for innerwear and
swimwear which are
produced by the
company are exported
around the world
including the United
States of America,
France and the
United Kingdom as well
as to neighboring
countries such as Malaysia and
Singapore. With long term
experience more than
three decades has
enabled the subject
convey its products
to meet with
industrial demand.
FINANCIAL INFORMATION
The capital was
initially registered at
Bht. 1 million,
divided into 100
shares of Bht.
10,000 each.
The capital was
increased later as followings:
Bht. 3
million on July
1, 1985
Bht. 15
million on November
21, 1991
Bht. 50
million on December
19, 1995
Bht. 80
million on December
29, 1997
Bht. 95
million on June
9, 1999
Bht. 240
million on December
26, 2011
The latest registered
capital was increased
to Bht. 240
million, divided into
2,400,000 shares of
Bht. 100 each
with fully paid.
THE SHAREHOLDERS LISTED WERE
[as at
April 30, 2013]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Narong Orawattanasrikul Nationality: Thai Address : 622
Ladya Rd., Klongsan,
Bangkok |
720,000 |
30.00 |
|
Mrs. Kamollux Orawattanasrikul Nationality: Thai Address : 622
Ladya Rd., Klongsan,
Bangkok |
720,000 |
30.00 |
|
Ms. Pasiri Orawattanasrikul Nationality: Thai Address : 622
Ladya Rd., Klongsan,
Bangkok |
240,000 |
10.00 |
|
Mr. Sirichai Orawattanasrikul Nationality: Thai Address : 622
Ladya Rd., Klongsan,
Bangkok |
240,000 |
10.00 |
|
Mr. Kritsupoj Orawattanasrikul Nationality: Thai Address : 622
Ladya Rd., Klongsan,
Bangkok |
240,000 |
10.00 |
|
Mr. Thanuphon Orawattanasrikul Nationality: Thai Address : 622
Ladya Rd., Klongsan,
Bangkok |
240,000 |
10.00 |
Total Shareholders : 6
Share Structure
[as at April
30, 2013]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
6 |
2,400,000 |
100.00 |
|
Foreign |
- |
- |
- |
|
Total |
6 |
2,400,000 |
100.00 |
NAME OF
AUDITOR & CERTIFIED
PUBLIC ACCOUNTANT NO.
Mr. Paisal Sriboonyong
No. 2969
BALANCE SHEET [BAHT]
The latest financial
figures published for
December 31, 2012,
2011 & 2010 were:
ASSETS
|
Current Assets |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Cash and Cash Equivalent |
31,202,571.17 |
27,909,307.13 |
1,096,393.05 |
|
Trade Accounts & Other Receivable |
114,577,601.04 |
139,340,279.00 |
132,252,299.63 |
|
Inventories |
76,593,277.72 |
33,812,695.58 |
32,160,185.45 |
|
Other Current Assets |
- |
- |
5,275,245.70 |
|
|
|
|
|
|
Total Current Assets
|
222,373,449.93 |
201,063,281.71 |
170,784,123.89 |
|
|
|
|
|
|
Fixed Assets |
136,000,831.13 |
149,331,970.94 |
164,150,479.14 |
|
Other Non-current Assets |
5,600.00 |
9,100.00 |
7,616,043.92 |
|
Total Assets |
358,379,881.06 |
350,404,352.65 |
342,550,646.89 |
LIABILITIES &
SHAREHOLDERS’ EQUITY [BAHT]
|
Current
Liabilities |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Bank Overdraft |
- |
- |
9,579,023.22 |
|
Trade Accounts & Other Payable |
54,261,099.98 |
49,589,583.99 |
87,436,104.63 |
|
Promissory Notes |
- |
- |
10,000,000.00 |
|
Current Portion of Long-term Loans |
1,782,020.00 |
1,782,120.00 |
1,782,120.00 |
|
Current Portion of Financial
Lease Contract Liabilities |
338,960.75 |
362,688.00 |
685,529.00 |
|
Accrued Income Tax |
585,300.67 |
1,336,754.87 |
- |
|
Other Current Liabilities |
- |
- |
33,393,587.06 |
|
|
|
|
|
|
Total Current Liabilities |
56,967,381.40 |
53,071,146.86 |
142,876,363.91 |
|
Long-term Loan from Person or Related Company |
- |
1,782,020.00 |
51,340,000.00 |
|
Long-term Loan from Person or Other Company |
- |
- |
3,564,140.00 |
|
Long-term Financial Lease
Liabilities |
269,290.57 |
504,064.25 |
344,793.86 |
|
Total Liabilities |
57,236,671.97 |
55,357,231.11 |
198,125,297.77 |
|
|
|
|
|
|
Shareholders’ Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized, issued
and fully paid share
capital 2,400,000 shares in 2012 & 2011; 950,000
shares in 2010 |
240,000,000.00 |
240,000,000.00 |
95,000,000.00 |
|
|
|
|
|
|
Capital Paid |
240,000,000.00 |
240,000,000.00 |
95,000,000.00 |
|
Retained Earning Unappropriated |
61,143,209.09 |
55,047,121.54 |
49,425,349.12 |
|
Total Shareholders' Equity |
301,143,209.09 |
295,047,121.54 |
144,425,349.12 |
|
Total Liabilities &
Shareholders' Equity |
358,379,881.06 |
350,404,352.65 |
342,550,646.89 |
PROFIT & LOSS ACCOUNT
|
Revenue |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Sales Income |
505,194,459.25 |
539,133,847.68 |
479,445,109.31 |
|
Other Income |
1,499,739.72 |
3,311,271.33 |
980,231.02 |
|
Total Revenues |
506,694,198.97 |
542,445,119.01 |
480,425,340.33 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold |
452,745,213.56 |
487,850,545.82 |
431,148,877.82 |
|
Selling Expenses |
30,115,419.79 |
29,746,910.98 |
23,068,007.59 |
|
Administrative Expenses |
15,688,745.59 |
16,258,116.21 |
19,845,059.49 |
|
Total Expenses |
498,549,378.94 |
533,855,573.01 |
474,061,944.90 |
|
|
|
|
|
|
Profit / [Loss] before Financial Cost & Income Tax |
8,144,820.03 |
8,589,546.00 |
6,363,395.43 |
|
Financial Cost |
[188,079.45] |
[445,369.27] |
[810,348.41] |
|
Profit / [Loss] before Income
Tax |
7,956,740.58 |
8,144,176.73 |
5,553,047.02 |
|
Income Tax |
[1,860,653.03] |
[2,522,404.31] |
[2,349,463.89] |
|
|
|
|
|
|
Net Profit / [Loss] |
6,096,087.55 |
5,621,772.42 |
3,203,583.13 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2012 |
2011 |
2010 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
3.90 |
3.79 |
1.20 |
|
QUICK RATIO |
TIMES |
2.56 |
3.15 |
0.93 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
3.71 |
3.61 |
2.92 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.41 |
1.54 |
1.40 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
61.75 |
25.30 |
27.23 |
|
INVENTORY TURNOVER |
TIMES |
5.91 |
14.43 |
13.41 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
82.78 |
94.34 |
100.68 |
|
RECEIVABLES TURNOVER |
TIMES |
4.41 |
3.87 |
3.63 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
43.74 |
37.10 |
74.02 |
|
CASH CONVERSION CYCLE |
DAYS |
100.79 |
82.53 |
53.89 |
|
|
|
|
|
|
|
PROFITABILITY RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
89.62 |
90.49 |
89.93 |
|
SELLING & ADMINISTRATION |
% |
9.07 |
8.53 |
8.95 |
|
INTEREST |
% |
0.04 |
0.08 |
0.17 |
|
GROSS PROFIT MARGIN |
% |
10.68 |
10.13 |
10.28 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
1.61 |
1.59 |
1.33 |
|
NET PROFIT MARGIN |
% |
1.21 |
1.04 |
0.67 |
|
RETURN ON EQUITY |
% |
2.02 |
1.91 |
2.22 |
|
RETURN ON ASSET |
% |
1.70 |
1.60 |
0.94 |
|
EARNING PER SHARE |
BAHT |
2.54 |
2.34 |
3.37 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.16 |
0.16 |
0.58 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.19 |
0.19 |
1.37 |
|
TIME INTEREST EARNED |
TIMES |
43.31 |
19.29 |
7.85 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
(6.30) |
12.45 |
|
|
OPERATING PROFIT |
% |
(5.18) |
34.98 |
|
|
NET PROFIT |
% |
8.44 |
75.48 |
|
|
FIXED ASSETS |
% |
(8.93) |
(9.03) |
|
|
TOTAL ASSETS |
% |
2.28 |
2.29 |
|
ANNUAL GROWTH : ACCEPTABLE
An annual sales growth is -6.3%. Turnover has decreased from THB
539,133,847.68 in 2011 to THB 505,194,459.25 in 2012. While net profit has
increased from THB 5,621,772.42 in 2011 to THB 6,096,087.55 in 2012. And total
assets has increased from THB 350,404,352.65 in 2011 to THB 358,379,881.06 in
2012.
PROFITABILITY : ACCEPTABLE
PROFITABILITY RATIO
|
Gross Profit Margin |
10.68 |
Satisfactory |
Industrial Average |
12.75 |
|
Net Profit Margin |
1.21 |
Acceptable |
Industrial Average |
2.10 |
|
Return on Assets |
1.70 |
Satisfactory |
Industrial Average |
2.03 |
|
Return on Equity |
2.02 |
Deteriorated |
Industrial Average |
5.22 |
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 10.68%. 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 1.21%.
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 1.7%.
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 2.02%.
Trend of the average competitors in the same industry for last 5 years
Return on Assets Uptrend
Return on Equity Uptrend
LIQUIDITY : SATISFACTORY
LIQUIDITY RATIO
|
Current Ratio |
3.90 |
Impressive |
Industrial Average |
1.43 |
|
Quick Ratio |
2.56 |
|
|
|
|
Cash Conversion Cycle |
100.79 |
|
|
|
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 3.9 times in 2012, increased from 3.79 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 2.56 times in 2012,
decreased from 3.15 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 101 days.
Trend of the average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE : EXCELLENT
LEVERAGE RATIO
|
Debt Ratio |
0.16 |
Impressive |
Industrial Average |
0.56 |
|
Debt to Equity Ratio |
0.19 |
Impressive |
Industrial Average |
1.40 |
|
Times Interest Earned |
43.31 |
Impressive |
Industrial Average |
0.56 |
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 43.31 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 0.16 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 : EXCELLENT
ACTIVITY RATIO
|
Fixed Assets Turnover |
3.71 |
Impressive |
Industrial Average |
0.49 |
|
Total Assets Turnover |
1.41 |
Impressive |
Industrial Average |
0.97 |
|
Inventory Conversion Period |
61.75 |
|
|
|
|
Inventory Turnover |
5.91 |
Impressive |
Industrial Average |
2.40 |
|
Receivables Conversion Period |
82.78 |
|
|
|
|
Receivables Turnover |
4.41 |
Impressive |
Industrial Average |
1.96 |
|
Payables Conversion Period |
43.74 |
|
|
|
The company's Account Receivable Ratio is calculated as 4.41 and 3.87 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 increased from 25 days at the
end of 2011 to 62 days at the end of 2012. This represents a negative trend.
And Inventory turnover has decreased from 14.43 times in year 2011 to 5.91
times in year 2012.
The company's Total Asset Turnover is calculated as 1.41 times and 1.54
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.63.14 |
|
|
1 |
Rs.100.48 |
|
Euro |
1 |
Rs.84.37 |
INFORMATION DETAILS
|
Report Prepared
by : |
SDA |
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.