MIRA
INFORM REPORT
|
Report Date : |
06.04.2014 |
IDENTIFICATION DETAILS
|
Name : |
SCHAFFNER EMC CO., LTD. |
|
|
|
|
Registered Office : |
67 Moo 4, Northern
Region Industrial Estate, T. Banklang,
A. Muang, Lamphun 51000,
|
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
30.09.2013 |
|
|
|
|
Date of Incorporation : |
06.02.1989 |
|
|
|
|
Com. Reg. No.: |
0105532011604 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Subject is engaged in manufacturing and
exporting of electronic
parts and components,
such as filter,
cable assembly, transformer assembly, power
line filter, PCB
mounting filter and etc.,
for automotive industry. |
|
|
|
|
No. of Employees |
800 |
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 : |
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 – december 01, 2013
|
Country Name |
Previous Rating (30.09.2013) |
Current Rating (01.12.2013) |
|
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. 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 recession severely cut Thailand's exports, with most sectors experiencing double-digit drops. In late 2011 Thailand's recovery was interrupted by historic flooding in the industrial areas in Bangkok and its five surrounding provinces, crippling the manufacturing sector. The government 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 following seven years
|
Source
: CIA |
Company name
SCHAFFNER EMC
CO., LTD.
SUMMARY
BUSINESS
ADDRESS : 67
MOO 4, NORTHERN REGION INDUSTRIAL
ESTATE,
T. BANKLANG,
A. MUANG,
LAMPHUN 51000,
THAILAND
TELEPHONE : [66] 53 581-104-6
FAX :
[66] 53 581-019
E-MAIL
ADDRESS : thailandsales@schaffner.com
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1989
REGISTRATION
NO. : 0105532011604 [Former
: 1157/2532]
TAX
ID NO. : 3101594409
CAPITAL REGISTERED : BHT. 140,000,000
CAPITAL PAID-UP : BHT.
140,000,000
SHAREHOLDER’S PROPORTION : SWISS :
100%
FISCAL YEAR CLOSING DATE : SEPTEMBER 30
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR. GOH AH
BEE, SINGAPOREAN
MANAGING DIRECTOR
NO.
OF STAFF : 800
LINES
OF BUSINESS : ELECTRONIC PARTS
AND COMPONENTS
MANUFACTURER 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 February 6, 1989 as
a private limited
company under the
name style SCHAFFNER
EMC CO., LTD., by Swiss groups,
in order to
manufacture and export
electronic parts and
components for automotive
industry. It currently employs
approximate 800 staff.
It
was granted a
promotional privilege from
Thailand’s Board of
Investment [BOI] for the
production.
The
subject is a
wholly owned subsidiary
of Schaffner EMV
AG., Switzerland.
The
subject’s registered address
is 67 Moo 4, Northern Region
Industrial Estate, T.
Banklang, A. Muang, Lamphun
51000, and this is
the subject’s current
operation address.
THE
BOARD OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Sanan Angubolkul |
|
Thai |
67 |
|
Mr. Goh Ah Bee |
|
Singaporean |
64 |
|
Mr. Alexander Hagemann |
|
German |
52 |
|
Mr. Kute Ledermann |
|
German |
- |
AUTHORIZED PERSON
Two of the
above directors can
jointly sign on
behalf of the
subject with company’s
affixed.
MANAGEMENT
Mr. Goh Ah Bee
is the Managing
Director.
He is Singaporean
nationality with the
age of 64
years old.
Mr. Volker Unland is
the Factory Manager.
He is German
nationality.
Mr. Krue-kanit Sirisathitkul is
the Sales &
Marketing Manager.
He is Thai
nationality.
Ms. Chanthip Sukom is
the Accounting Manager.
She is Thai
nationality.
Ms. Sudsiri Thamthitiwat is
the Human Resources Manager.
She is Thai
nationality.
BUSINESS OPERATIONS
The subject is engaged in manufacturing
and exporting of
electronic parts and
components, such as
filter, cable assembly,
transformer assembly, power line
filter, PCB mounting
filter and etc., for
automotive industry.
PURCHASE
80% of raw
materials such as
plastic resin, aluminium
sheet and steel
are purchased from
local suppliers, and the
remaining 20% is imported
from Japan, Taiwan,
Republic of China,
Switzerland and Germany.
MAJOR SUPPLIERS
Global Connection Co., Ltd. : Thailand
Juthawan Metal Co., Ltd. : Thailand
Schaffner EMV AG. : Switzerland
EXPORT
100% of the
products is exported
to France, Germany,
U.K., U.S.A., Sweden,
Finland, Italy, Spain
and Switzerland.
MAJOR
CUSTOMERS
Schaffner
EMV AG. :
Switzerland
Schaffner
EMC S.A.S. : France
Schaffner
EMC S.r.L. : Italy
Schaffner
Deutschland GmbH. :
Germany
PARENT COMPANY
Schaffner
EMV AG.
Address
: Nordstrasse 11, 4542 Luterbach, Switzerland
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
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
L/C at sight
or T/T.
BANKING
The Siam Commercial
Bank Public Co., Ltd.
[Lamphun Branch :
Muang, Lamphun]
EMPLOYMENT
The
subject employs approximately
800 staff. [office &
sales staff and
factory workers]
LOCATION
DETAILS
The
premise is rented
for administrative office,
factory and warehouse on
16,000 square meters
of land at
the heading address.
Premise is located
in industrial area.
COMMENT
The company’s
international reputations of high-quality,
reliable products, maintaining
world class standard
and contributing to
the adjustment of
new technology has
enabled its business
to grow stronger
each year.
In 2014, it
is estimated that
automotive industries
worldwide would gradually
grow from world
economy improvement, while domestic
automotive industry would contract causing by
economy sluggish, political
turmoil and shrinking
consumer’s spending.
FINANCIAL INFORMATION
The
capital was registered
at Bht. 4,000,000 divided into 40,000
shares of Bht. 100
each.
The
capital was increased
later as following:
Bht. 24,000,000
on July 27,
1989
Bht. 30,000,000
on July 1,
1993
Bht.
140,000,000 on October 29, 1999
The
latest registered capital
was increased to Bht. 140,000,000 divided into
1,400,000 shares of
Bht. 100 each
with fully paid.
THE
SHAREHOLDERS LISTED WERE
: [as at
January 28, 2014]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Schaffner EMV AG. Nationality: Swiss Address : Nordstrasse
11, 4542 Luterbach,
Switzerland |
1,3999,998 |
100.00 |
|
Mr. Sanan Angubolkul Nationality: Thai Address : 46
Soi Somdejchaopraya 11,
Somdejchaopraya Rd.,
Klongsan, Bangkok |
1 |
- |
|
Mr. Sangob Angubolkul Nationality: Thai Address : 1048/4
Somdejchaopraya Rd., Bukkalo,
Thonburi, Bangkok |
1 |
- |
Total Shareholders : 3
Share Structure [as
at January 28,
2014]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
2 |
2 |
- |
|
Foreign - Swiss |
1 |
1,399,998 |
100.00 |
|
Total |
3 |
1,400,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Ms. Kamolthip
Lertwitvorathep No. 4377
BALANCE SHEET [BAHT]
The
latest financial figures
published for September
30, 2013, 2012
& 2011 were:
ASSETS
|
Current Assets |
2013 |
2012 |
2011 |
|
|
|
|
|
|
Cash and Cash Equivalents |
29,834,311 |
43,506,166 |
80,504,677 |
|
Trade Accounts & Other Receivable |
372,707,013 |
321,521,733 |
199,442,718 |
|
Inventories |
173,889,448 |
173,269,258 |
162,779,159 |
|
Other Current Assets
|
10,867,012 |
3,416,546 |
5,551,727 |
|
|
|
|
|
|
Total Current Assets
|
587,297,784 |
541,713,703 |
448,278,281 |
|
Cash at Bank pledged as a Collateral |
1,612,000 |
1,612,000 |
1,612,000 |
|
Fixed Assets |
187,309,332 |
153,077,214 |
157,446,017 |
|
Intangible Assets |
963,258 |
1,481,368 |
695,080 |
|
Other Non-current Assets |
2,842,286 |
2,947,885 |
581,560 |
|
Total Assets |
780,024,660 |
700,832,170 |
608,612,938 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2013 |
2012 |
2011 |
|
|
|
|
|
|
Trade Accounts & Other Payable |
293,204,168 |
252,956,902 |
208,507,373 |
|
Accrued Income Tax |
5,440,886 |
7,418,172 |
1,787,739 |
|
Other Current Liabilities |
1,168,103 |
594,018 |
971,233 |
|
|
|
|
|
|
Total Current Liabilities |
299,813,157 |
260,969,092 |
211,266,345 |
|
|
|
|
|
|
Reserve for Employee
Benefits |
16,765,732 |
14,132,447 |
- |
|
Total Liabilities |
316,578,889 |
275,101,539 |
211,266,345 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized, issued
and fully paid share
capital 1,400,000 shares |
140,000,000 |
140,000,000 |
140,000,000 |
|
|
|
|
|
|
Capital Paid |
140,000,000 |
140,000,000 |
140,000,000 |
|
Retained Earning |
|
|
|
|
Appropriated for Statutory
Reserve |
26,140,860 |
26,140,860 |
26,140,860 |
|
- Unappropriated |
297,304,911 |
259,589,771 |
231,205,733 |
|
Total Shareholders' Equity |
463,445,771 |
425,730,631 |
397,346,593 |
|
Total Liabilities &
Shareholders' Equity |
780,024,660 |
700,832,170 |
608,612,938 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
2013 |
2012 |
2011 |
|
|
|
|
|
|
Sales Income |
1,507,725,653 |
1,366,735,679 |
1,151,001,782 |
|
Other Income |
878,367 |
2,180,635 |
211,371 |
|
Total Revenues |
1,508,604,020 |
1,368,916,314 |
1,151,213,153 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold |
1,427,952,129 |
1,292,301,262 |
1,078,085,774 |
|
Selling Expenses |
1,938,159 |
2,174,491 |
2,062,959 |
|
Administrative Expenses |
27,360,047 |
20,405,136 |
19,377,491 |
|
Total Expenses |
1,457,250,335 |
1,314,880,889 |
1,099,526,224 |
|
Profit before Income Tax |
51,353,685 |
54,035,425 |
51,686,929 |
|
Income Tax |
[13,638,545] |
[14,135,798] |
[3,071,040] |
|
Net Profit / [Loss] |
37,715,140 |
39,899,627 |
48,615,889 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2013 |
2012 |
2011 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
1.96 |
2.08 |
2.12 |
|
QUICK RATIO |
TIMES |
1.34 |
1.40 |
1.33 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
8.05 |
8.93 |
7.31 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.93 |
1.95 |
1.89 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
44.45 |
48.94 |
55.11 |
|
INVENTORY TURNOVER |
TIMES |
8.21 |
7.46 |
6.62 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
90.23 |
85.87 |
63.25 |
|
RECEIVABLES TURNOVER |
TIMES |
4.05 |
4.25 |
5.77 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
74.95 |
71.45 |
70.59 |
|
CASH CONVERSION CYCLE |
DAYS |
59.73 |
63.36 |
47.76 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
94.71 |
94.55 |
93.66 |
|
SELLING & ADMINISTRATION |
% |
1.94 |
1.65 |
1.86 |
|
INTEREST |
% |
- |
- |
- |
|
GROSS PROFIT MARGIN |
% |
5.35 |
5.61 |
6.35 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
3.41 |
3.95 |
4.49 |
|
NET PROFIT MARGIN |
% |
2.50 |
2.92 |
4.22 |
|
RETURN ON EQUITY |
% |
8.14 |
9.37 |
12.24 |
|
RETURN ON ASSET |
% |
4.84 |
5.69 |
7.99 |
|
EARNING PER SHARE |
BAHT |
26.94 |
28.50 |
34.73 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.41 |
0.39 |
0.35 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.68 |
0.65 |
0.53 |
|
TIME INTEREST EARNED |
TIMES |
- |
- |
- |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
10.32 |
18.74 |
|
|
OPERATING PROFIT |
% |
(4.96) |
4.54 |
|
|
NET PROFIT |
% |
(5.47) |
(17.93) |
|
|
FIXED ASSETS |
% |
22.36 |
(2.77) |
|
|
TOTAL ASSETS |
% |
11.30 |
15.15 |
|
ANNUAL GROWTH :
SATISFACTORY
An annual sales growth is 10.32%. Turnover has increased from THB
PROFITABILITY :
RISKY
PROFITABILITY
RATIO
|
Gross Profit Margin |
5.35 |
Deteriorated |
Industrial
Average |
15.89 |
|
Net Profit Margin |
2.50 |
Deteriorated |
Industrial
Average |
10.71 |
|
Return on Assets |
4.84 |
Deteriorated |
Industrial
Average |
22.86 |
|
Return on Equity |
8.14 |
Deteriorated |
Industrial
Average |
34.50 |
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 5.35%. 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 2.5%. 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 4.84%.
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 8.14%.
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 |
1.96 |
Satisfactory |
Industrial
Average |
2.03 |
|
Quick Ratio |
1.34 |
|
|
|
|
Cash Conversion Cycle |
59.73 |
|
|
|
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 1.96 times in 2013, decreased from 2.08 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 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 1.34 times in 2013,
decreased from 1.4 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 60 days.
Trend of the average
competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE :
SATISFACTORY
LEVERAGE RATIO
|
Debt Ratio |
0.41 |
Acceptable |
Industrial Average |
0.31 |
|
Debt to Equity Ratio |
0.68 |
Impressive |
Industrial Average |
0.46 |
|
Times Interest Earned |
- |
|
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.
Debt Ratio shows the proportion of a company's assets which are financed
through debt. The company's figure is 0.41 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 Uptrend
Times Interest Earned Stable
ACTIVITY :
SATISFACTORY
ACTIVITY RATIO
|
Fixed Assets Turnover |
8.05 |
Impressive |
Industrial
Average |
- |
|
Total Assets Turnover |
1.93 |
Satisfactory |
Industrial
Average |
2.14 |
|
Inventory Conversion Period |
44.45 |
|
|
|
|
Inventory Turnover |
8.21 |
Acceptable |
Industrial
Average |
14.51 |
|
Receivables Conversion Period |
90.23 |
|
|
|
|
Receivables Turnover |
4.05 |
Deteriorated |
Industrial
Average |
9.85 |
|
Payables Conversion Period |
74.95 |
|
|
|
The company's Account Receivable Ratio is calculated as 4.05 and
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 decreased from 49 days at the
end of 2012 to 44 days at the end of 2013. This represents a positive trend.
And Inventory turnover has increased from 7.46 times in year 2012 to 8.21 times
in year 2013.
The company's Total Asset Turnover is calculated as 1.93 times and 1.95
times in 2013 and 2012 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 Stable
Total Assets Turnover Uptrend
Inventory Turnover Uptrend
Receivables Turnover Uptrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.60.32 |
|
|
1 |
Rs.100.04 |
|
Euro |
1 |
Rs.82.65 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAR |
|
|
|
|
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.