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Report Date : |
02.04.2014 |
IDENTIFICATION DETAILS
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Name : |
DAVAO CENTRAL CHEMICAL CORPORATION |
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Registered Office : |
Km.19 Tibungco, Davao City Philippines 8000 |
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Country : |
Philippines |
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Financials (as on) : |
2011 |
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Date of Incorporation : |
20.10.1992 |
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Legal Form : |
Private Corporation |
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Line of Business : |
Manufacture, produce, buy, sell, deal on wholesale coconut activated carbon, its immediate and/or allied products & by products. |
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No. of Employees : |
Not Available |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Status : |
Moderate |
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Payment Behaviour : |
Unknown |
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Litigation : |
Clear |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – September 30, 2013
|
Country Name |
Previous Rating (30.06.2013) |
Current Rating (30.09.2013) |
|
Philippines |
B1 |
A2 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
PHILIPPINES - ECONOMIC
OVERVIEW
The economy has weathered global economic and financial downturns better than its regional peers due to minimal exposure to troubled international securities, lower dependence on exports, relatively resilient domestic consumption, large remittances from four- to five-million overseas Filipino workers, and a rapidly expanding business process outsourcing industry. The current account balance had recorded consecutive surpluses since 2003; international reserves are at record highs; the banking system is stable; and the stock market was Asia's second best-performer in 2012. Efforts to improve tax administration and expenditure management have helped ease the Philippines' tight fiscal situation and reduce high debt levels. The Philippines has received several credit rating upgrades on its sovereign debt, and has had little difficulty tapping domestic and international markets to finance its deficits. Economic growth in the Philippines averaged 4.5% during the MACAPAGAL-ARROYO administration, but poverty worsened during her term. Growth has accelerated under the AQUINO government, but with limited progress thus far in bringing down unemployment, which hovers around 7%, and improving the quality of jobs. Underemployment is nearly 20% and more than 40% of the employed are estimated to be working in the informal sector. The AQUINO administration has been working to boost the budgets for education, health, cash transfers to the poor, and other social spending programs, and is relying on the private sector to help fund major infrastructure projects under its Public-Private Partnership program. Long term challenges include reforming governance and the judicial system, building infrastructure, improving regulatory predictability, and the ease of doing business, attracting higher levels of local and foreign investments. The Philippine Constitution and the other laws continue to restrict foreign ownership in important activities/sectors (such as land ownership and public utilities)
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Source
: CIA |
Company: DAVAO CENTRAL CHEMICAL CORPORATION
Address: Km.19 Tibungco, Davao City
Country: Philippines 8000
Phone: 63 (82) 2380042-45
Fax: 63 (82) 2380046
Service Type: Normal
FINDINGS:
We conducted research and verification on DAVAO CENTRAL CHEMICAL CORP. Hereunder, our report, viz:
VERIFICATION WITH
SECURITIES & EXCHANGE COMMISSION (SEC):
DAVAO CENTRAL
CHEMICAL CORPORATION.
Legal Entity - PRIVATE CORPORATION
REGISTRATION – (Per 2013 SEC General Information Sheet)
Certificate No. : 48956
Date : October 20, 1972
Term
: Fifty (50) years
Taxpayer ID No.
: 000-074-707
Address : Km. 19 Tibungco, Davao City
Telephone No. : 63 (082) 238 0042
Fax No. : 63 (082) 238 0042
PRIMARY PURPOSE : To manufacture, produce, buy, sell, deal on wholesale coconut
activated carbon, its immediate and/or allied products & by
products.
PARENT COMPANY : JAPAN ENVIROCHEMICAL LTD., in Japan
(Php)
No. of Shares Par Value/share Amount
Authorized Capital
Stock -
Common - 5,000,000 -
P10. - 50,000,000.
Subscribed & Paid Up -
Filipino - 1 - 10.
Japanese - 2,939,990 - 29,399,990.
29,400,000.
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Names Nationality Designation |
Amount Paid – Up (Php) |
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Motoya Mori Japanese - Chair & President |
P 10. |
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Yoshiaki Eunishi Japanese - Director |
10. |
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Akihiro Hachiya Japanese - Director |
10. |
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Tatsuo Fujii Japanese - Director |
10. |
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Rogelio J. Lu Filipino - Director |
100. |
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Dina D. Lucenario Filipino - Corp. Secretary |
NIL |
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Arsenio T. Roferos Filipino - Treas./Asst. CS |
NIL |
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Japan Envirochemicals Ltd |
23, 519,960. |
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Mitsubishi Corp. |
5,879,900. |
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|
P29,400,000. vvvvvvvvvvv |
As gathered, subject firm, is the premier manufacturer of the purest activated
carbon in the Phils. Operation started in l975. In 1998, subject becomes 100%
Japanese company, a joint venture with Japan Envirochemicals Ltd., Osaka Gas
Group Co., and Mitsubishi Corporation. It uses charcoal from coconut shell as
raw materials, through “Fluidized Bed Steam Activation” technology. Most of its
production are exported to Japan to cater its filtering needs of its cigarettes
industries. Likewise exports to Korea, Indonesia, Venezuela, US, Europe and
others.
Website : www.dccc-activatedcarbon.com.ph
Telephone No. : (63) 82 238 0045
Fax No. : (63) 82 238 0046
FINANCIAL CONDITION (Audited Financial Statement for years 2011, 2010
& 2009, as
compiled)
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|
2011 (PHP) |
2010 (PHP) |
2009 (PHP) |
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Current Assets |
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Cash |
13,005,539 |
21,845,163 |
13,440,730 |
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Trade Receivables |
10,033,326 |
13,137,961 |
18,945,846 |
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Inventories |
196,285,141 |
103,667,805 |
104,737,197 |
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Other Current Assets |
48,182,328 |
42,006,960 |
31,046,431 |
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Total Current Assets |
267,506,334 |
180,657,889 |
168,170,204. |
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Non-Current Assets |
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Investment in an Associate |
7,070,085 |
7,068,681 |
7,099,754 |
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Property, Plant and Equipment |
129,244,264 |
118,417,266 |
67,340,493 |
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Pension Assets |
7,064,054 |
7,650,401 |
1,978,445 |
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Defend Tax Assets-Net |
4,421,239 |
6,006,456 |
5,664,980 |
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Other Non-Current Assets |
2,169,791 |
1,500,469 |
1,810,469 |
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Total Non-Current Assets |
149,969,433 |
140,643,273 |
83,894,141 |
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Total Assets |
417,475,767 vvvvvvvvvvv |
321,301,162 vvvvvvvvvvv |
252,064,345 vvvvvvvvvvvv |
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LIABILITIES AND EQUITY |
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Current Liabilities |
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Bank Loans |
129,674,000 |
26,870,000 |
55,649,000 |
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Trade and Other Payables |
75,264,790 |
72,205,704 |
50,118,937 |
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Current Portion - Long Term Debt |
11,276,000 |
10,748,000 |
------- |
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Income Tax Payable |
2,660,076 |
9,003,515 |
7,643,523 |
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Total Current Liabilities |
218,874,866 |
118,827,219 |
113,411,460 |
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Non-Current Liabilities |
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Long Term Debt- Net of Current Portion |
33,828,000 |
42,992,000 |
NIL |
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Total Non Current Liabilities |
33,828,000 |
42,992,000 |
NIL |
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Total Liabilities |
252,702,866 |
161,819,219 |
113,411,460 |
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EQUITY |
|
|
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Capital Stock - P 10/per value Authorized – 5,000,000 Shares Issued – 2,940,000 Shares |
29,400,000 |
29,400,000 |
29,400,000 |
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Additional Paid in Capital |
45,000 |
45,000 |
45,000 |
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Retained Earnings |
|
|
|
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Appropriated |
106,173,311 |
74,174,911 |
60,174,911 |
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Unappropriated |
29,154,590 |
55,862,032 |
49,032,885 |
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Total Stockholder’s Equity |
164,772,901 |
159,481,943 |
138,652,796 |
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Total Liabilities & Stockholder’s Equity |
417,475,767 |
321,301,162 |
252,064,345 |
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NET SALES |
2011 (PHP) |
2010 (PHP) |
2009 (PHP) |
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Net Sale |
|
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Foreign |
614,665,483 |
476,852,216 |
482,688,506 |
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Local |
9,872,554 |
8,302,811 |
14,516,969 |
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Total Net Sale |
624,538,037 |
485,155,027 |
497,205,475 |
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Gross Income |
93,686,354 |
109,445,127 |
89,913,397 |
|
General and Admin Expense |
( 60,121,562 ) |
( 62,989,204) |
( 61,492,216) |
|
Foreign Exchange Loss - Net |
( 15,232.687 ) |
( 9,024,824) |
( 637,472) |
|
Interest & Other Financing Charges |
( 1,544,242 ) |
( 794,098) |
( 1,097,644) |
|
Equity on Net Earnings of an Associate |
313,404 |
280,927 |
286,865 |
|
Interest Income |
63,164 |
67,747 |
48,391 |
|
Miscellaneous |
1,713,041 |
1,156,271 |
223,368 |
|
Income Before Tax |
18,877,472 |
38,141,946 |
26,798,553
|
|
NET INCOME |
13,317,158 |
26,797,258 |
19,847,203 |
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.60.10 |
|
|
1 |
Rs.99.85 |
|
Euro |
1 |
Rs.82.58 |
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 |
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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 |
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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 |
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26-40 |
B |
Capability to
overcome financial difficulties seems comparatively below average. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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-- |
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.