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Report Date : |
25.04.2014 |
IDENTIFICATION DETAILS
|
Correct Name : |
PROUDS JEWELLERS
PTY LTD |
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Formerly Known as : |
PASCOES AUST. PTY LTD |
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Registered Office : |
28 Parramatta
Road, Summer Hill, New South Wales, Zip code 2130 |
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Country : |
Australia |
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Financials (as on) : |
31.05.2013 (Consolidated) |
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Date of Incorporation : |
27.02.1996 |
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Com. Reg. No.: |
073053273 |
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Legal Form : |
Australian Proprietary Company |
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Line of Business : |
· Subject operates as a retailer of jewellery, watches and giftware with 210 retail stores located across Australia. · Subject jewellery includes diamonds, precious stones, gold jewellery, and silver as well as pearls. · Subject also offers watches and giftware. · Subject offers jewellery valuations; jewellery repairs, including resizing, chain and bracelet soldering, charm soldering, clean and polish, claw re-tipping, remakes and remodeling, and hand-made pieces; and watch repairs, such as batteries, watch band adjustment or replacement, pin replacement, watch service and clean, and glass replacement. |
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No of Employees : |
6,667 (Subject) |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Good |
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Payment Behaviour : |
No Complaints |
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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 – March 31, 2014
|
Country Name |
Previous Rating (31.12.2013) |
Current Rating (31.03.2014) |
|
Australia |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low Risk |
A2 |
|
Moderate Low Risk |
B1 |
|
Moderate Risk |
B2 |
|
Moderate High Risk |
C1 |
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High Risk |
C2 |
|
Very High Risk |
D |
australia ECONOMIC OVERVIEW
The Australian economy has experienced continuous growth and features
low unemployment, contained inflation, very low public debt, and a strong and stable
financial system. By 2012, Australia had experienced more than 20 years of
continued economic growth, averaging 3.5% a year. Demand for resources and
energy from Asia and especially China has grown rapidly, creating a channel for
resources investments and growth in commodity exports. The high Australian
dollar has hurt the manufacturing sector, while the services sector is the
largest part of the Australian economy, accounting for about 70% of GDP and 75%
of jobs. Australia was comparatively unaffected by the global financial crisis
as the banking system has remained strong and inflation is under control.
Australia has benefited from a dramatic surge in its terms of trade in recent
years, stemming from rising global commodity prices. Australia is a significant
exporter of natural resources, energy, and food. Australia's abundant and
diverse natural resources attract high levels of foreign investment and include
extensive reserves of coal, iron, copper, gold, natural gas, uranium, and
renewable energy sources. A series of major investments, such as the US$40
billion Gorgon Liquid Natural Gas project, will significantly expand the
resources sector. Australia is an open market with minimal restrictions on
imports of goods and services. The process of opening up has increased
productivity, stimulated growth, and made the economy more flexible and
dynamic. Australia plays an active role in the World Trade Organization, APEC,
the G20, and other trade forums. Australia has bilateral free trade agreements
(FTAs) with Chile, Malaysia, New Zealand, Singapore, Thailand, and the US, has
a regional FTA with ASEAN and New Zealand, is negotiating agreements with
China, India, Indonesia, Japan, and the Republic of Korea, as well as with its
Pacific neighbors and the Gulf Cooperation Council countries, and is also
working on the Trans-Pacific Partnership Agreement with Brunei Darussalam,
Canada, Chile, Malaysia, Mexico, New Zealand, Peru, Singapore, the US, and
Vietnam.
|
Source : CIA |
Verified Address
Subject name :
PROUDS JEWELLERS
PTY LTD
Other style /
Business name : PROUDS THE JEWELLERS /
PROUDS, THE JEWELLERS
Business
address : 28 Parramatta
Road
Town : Summer Hill
Province : New South Wales
Zip/postal
code : 2130
Country : Australia
Tel : +61 2
95816999
Fax : +61 2
95816953
Website : www.prouds.com.au
Registered
address : 28 Parramatta
Road
Town : Summer Hill
Province : New South Wales
Zip/postal code
: 2130
Country : Australia
Executive Summary
Date founded
or registered : 27/02/1996
Legal form : Australian
Proprietary Company
Chief
executive : Terence
Edmond Johnstone
Issued &
paid up capital : AUD 1
Sales turnover
: AUD 584,692,000
(Consolidated 12 months, 31/05/2013)
Net income : AUD 17,926,000
(Consolidated 12 months, 31/05/2013)
Total fixed
assets : AUD
382,601,000 (Consolidated 12 months, 31/05/2013)
Line of
business : Jewellery,
watches and giftware retailer.
Staff employed
: 6,667 employees
(Subject)
Credit Risk
Interpretation
Credit risk theory : Sound
financial and operational base. Small to medium credits may be
considered with confidence that the commitment will be
sustained in almost all cases. This is
based on criterions such as years of establishment, number of employees, sales
turnover, profit after tax, total assets, reserve, and others. Normal credit
control policy applies.
Company Analysis
Country risk :
Country risk
is minimal
Operation
trend : Operational
trend is steady
Management
experience : Management is
adequately experienced
Financial
performance : Financial
performance is very good
Organization
structure : Organizational
structure is consistent
Detrimental : No detrimental found
Payment
history : No payment
delays noted
Comments : The Subject is
known to be one of the largest jewellery chain retailers in
Australia.
Registry Data
Registration
date : 27/02/96
Legal form : Australian
Proprietary Company
Registration
no Australian
Company Number: 073053273
Registered
authority : Australian
Securities and Investments Commission
Fiscal/ Tax no
: Australian
Business Number: 99073053273
Registry
status : Live/Active
Previous name
: The Subject was
previously known as PASCOES AUST. PTY LTD and changed
to the current style on 01-09-1997.
Change of
legal form : None reported.
Other
registration : PROUDS,
THE JEWELLERS is a business name owned by the Subject
registered under business registration no: VIC 1360782D / TAS
115483B / QLD BN6724589 / NSW U4455241 / ACT F 00087375.
PROUDS THE JEWELLERS is a business name owned by the Subject registered under business registration no: SA BN03842617 / NT BN00859461 / WA BN09241486.
Key Management
Name : Terence Edmond
Johnstone
Designation : Chief Executive Officer
Appointments
Name : Anne Norman
Designation : Director
Appointment date
: 29/03/96
Address : 6 Te Kowhai Place
Remuera, Auckland 1050
New Zealand
Biography : Born on 10-07-1945 in New
Zealand.
Name : David Norman
Designation : Director
Appointment
date : 29/03/96
Address : 6 Te Kowhai Place
Remuera, Auckland 1050
New Zealand
Biography : Born on 02-03-1949 in United
Kingdom.
Name : Terence Edmond
Johnstone
Designation : Director and Company Secretary
Appointment
date : 01/07/11
Address : 6 Leverton Close
St Ives, NSW 2075
Australia
Biography : Born on 15-10-1943 in Waratah,
New South Wales, Australia.
Staff employed
: 6,667 employees (Subject)
Key Advisors
Auditors : PRICEWATERHOUSECOOPERS
Darling
Park Tower, Suite 2
201
Sussex Street
Sydney,
NSW 2000
Australia
Composition
Authorized
Capital : AUD 1
No of shares :
1 Ordinary Share
Share par
value : AUD 1
Issued capital
: AUD 1
Paid up
capital : AUD 1
How listed : Full List
Composition
Shareholder
name : JAMES PASCOE LIMITED
Address : 29 Union Street
Auckland Central, Auckland 1010
New Zealand
No. of shares
: 1 Ordinary Share
% of shares : 100%
Structure
Name : JAMES PASCOE LIMITED
Affiliation
type : Parent
Company
Address : 29 Union Street
Auckland Central, Auckland 1010
New Zealand
Name : ANGUS & COOTE PTY
LTD
Affiliation
type : Wholly-owned
Subsidiary
Address : 28 Parramatta Road
Summer Hill, NSW 2130
Australia
Name : ANGUS & COOTE
INDUSTRIES PTY LTD
Affiliation type
: Wholly-owned
Subsidiary
Address : 28 Parramatta Road
Summer Hill, NSW 2130
Australia
Name : ANGUS & COOTE
PROPERTIES PTY LIMITED
Affiliation type : Wholly-owned Subsidiary
Address : 28 Parramatta Road
Summer
Hill, NSW 2130
Australia
Name : ANGUS & COOTE
SUPERANNUATION PTY. LTD.
Affiliation type : Wholly-owned Subsidiary
Address : 28 Parramatta Road
Summer
Hill, NSW 2130
Australia
Name : ANGUS & COOTE
(HOLDINGS) LTD
Affiliation type : Wholly-owned Subsidiary
Address : 4/27 Leeds Street
Rhodes,
NSW 2138
Australia
Name : ANGUS & COOTE (VIC)
PTY. LTD.
Affiliation type : Wholly-owned Subsidiary
Address : 28 Parramatta Road
Summer
Hill, NSW 2130
Australia
Name : GOLDMARK JEWELLERS
LIMITED
Affiliation type : Wholly-owned Subsidiary
Address : 29 Union Street
Auckland
Central, Auckland 1010
New
Zealand
Name : GOLDMARK JEWELLERS PTY
LTD
Affiliation type : Wholly-owned Subsidiary
Address : 28 Parramatta Road
Summer
Hill, NSW 2130
Australia
Name : HARBOUR CITY JEWELLERS
PTY LTD
Affiliation type : Wholly-owned Subsidiary
Address : 28 Parramatta Road
Summer
Hill, NSW 2130
Australia
Related companies
and corporate affiliations comments
Other companies of the James
Pascoe Group should be considered affiliates of the Subject.
Bank Details
Name of bank :
Australia and New
Zealand Banking Group Limited
Address : Australia
Account
details : Current Account
Comments : It is generally not the policy
of local banks to provide credit status information to
non related parties, however interested parties would be advised
to consult first
with the Subject if banker's references are required.
Mortgages : None
reported.
Legal Fillings
Bankruptcy
fillings : None
reported.
Court
judgements : None
reported.
Tax liens : None reported.
Others : None
reported.
Description
Source of
financial statement : Commercial
Registry Filings
Financial
statement date : 31/05/13
Type of
accounts Full audited
Currency : Australia
Dollar (AUD)
Exchange rate
: 1 USD = AUD 1.07
as of 19-04-2014
Summarized
Financial Information
Consolidation
type : Consolidated Consolidated Consolidated
Currency : Australia
Dollar (AUD) Australia Dollar (AUD) Australia Dollar (AUD)
Denomination :
(x1) One (x1) One (x1) One
Date of
financial year end : 31/05/13 31/05/12 31/05/11
Length of
accounts : 12 months 12 months 12 months
Sale turnover
/ Income : 584,692,000 597,333,000 592,223,000
Profit before
tax : 25,561,000 22,166,000 27,043,000
Net income : 17,926,000 15,612,000 18,803,000
Non current
assets : 119,237,000 119,850,000 129,243,000
Current assets
: 263,364,000 271,315,000 264,657,000
Inventories : 236,228,000 244,414,000 236,234,000
Total assets 382,601,000 391,165,000 393,900,000
Current
liabilities : 178,906,000
244,397,000 259,728,000
Non current
liabilities : 49,533,000 12,041,000 12,886,000
Total liabilities
: 228,439,000 256,438,000 272,614,000
Share equity : 154,162,000 134,727,000
121,286,000
Retained
earning : 153,824,000 135,898,000 120,286,000
Comments : The consolidated financial
information above relates to the Subject and its subsidiaries.
Main
activities : The
Subject operates as a retailer of jewellery, watches and giftware with
210 retail stores located across
Australia.
Its jewellery includes diamonds, precious
stones, gold jewellery, and silver as well as pearls. The company also offers
watches and giftware. In addition, it offers jewellery valuations; jewellery
repairs, including resizing, chain and bracelet soldering, charm soldering,
clean and polish, claw re-tipping, remakes and remodeling, and hand made
pieces; and watch repairs, such as batteries, watch band adjustment or
replacement, pin replacement, watch service and clean, and glass replacement.
The Subject is a subsidiary of James
Pascoe Limited which owns and operates a
chain of jeweler shops in New Zealand
and Australia. It offers diamond and gold earrings, pendants, bangles,
bracelets, and rings, as well as a selection of gemstone jewellery; gold chains
and charms; and jewellery for everyday wear. The company also provides gents
jewellery; watches; and giftware products, including display pieces, wall
clocks, barometers, and jewellery boxes/cases. In addition, it offers jewellery
repair/resizing, watch repair and battery replacement, and jewellery valuation
services, as well as quotations for lost, damaged, and jewellery items. The
company was founded in 1937 and is headquartered in Auckland, New Zealand. It
has store locations in Whangarei, Auckland, Hamilton, Rotorua, Mt Maunganui,
Palmerston North, Napier/Hastings, New Plymouth, Wellington, Nelson/Richmond,
Christchurch, Timaru, Dunedin, and Invercargill, New Zealand; and Australia.
Product & services :
· Jewellery (iamonds, precious stones, gold jewellery, pearls and silver)
· Watches
· Giftware
Purchases
International
: Mainly from Asia, Europe,
Africa
Sales
Local : Yes
International
: No exports.
Property &
Assets
Premises : The Subject operates from
head office located at the verified heading
address consisting of an administrative office.
Branches : In addition, the Subject
operates from approximately 210 retail stores
located across Australia.
Other property
: Total Net Book Value of
property, plant and equipment as of 31-05-2013 was 79,001,000
Gross Domestic
Products (GDP) & Economic Overview
Central bank : Reserve
Bank of Australia
Reserve of foreign exchange & gold : US$ 46.714 billion
Gross domestic product - GDP : US$
1.586 trillion
GPP (Purchasing power parity) : 954.296
billion of International dollars
GDP per capita - current prices : US$
68,916
GDP - composition by sector : agriculture: 4%
industry: 25.6%
services: 70.4%
Inflation : 2010:
2.8%
2011: 3.4%
2012: 2.7%
Unemployment rate : 2010:
5.2%
2011: 5.1%
2012: 5.2%
Public debt
(General Government
gross debt as a % GDP) 2010:
20.4%
2011: 22.9%
2012: 24%
Government bond ratings : Standard
& Poors: AAA
Moodys rating: Aaa
Moodys outlook: STA
Market value of publicly traded shares
US$1.198 trillion
Largest companies in the country : Qantas
Airways (Airline),Coca-Cola Amatil (Beverages), CSL
(Biotechs), Brambles (Business & Personal Services),Crown Ltd
(Casinos & Gaming), Amcor (Containers & Packaging),Suncorp-Metway
(Diversified Insurance), BHP Billiton (Diversified Metals &
Mining),Newcrest Mining (Diversified Metals & Mining), Orica (Diversified
Metals & Mining), Iluka Resources (Diversified Metals & Mining), Origin
Energy (Electric Utilities), AGL Energy
(Electric Utilities), Wesfarmers (Food Retail), Woolworths (Food
Retail), Metcash (Food Retail), Macquarie Group (Investment services), AMP
(Investment services), Challenger Ltd (Investment services), Fortescue Metals
Group (Iron & Steel), Bluescope Steel (Iron & Steel), Commonwealth Bank
(Major Banks), Westpac Banking Group (Major Banks), National Australia Bank
(Major Banks), ANZ (Major Banks), Woodside Petroleum (Oil & Gas
Operations), Santos (Oil & Gas Operations), Caltex Australia (Oil & Gas
Operations), WorleyParsons (Oil Services & Equipment), Toll Holdings (Other
Transportation), Transurban Group (Other Transportation), QBE Insurance Group
(Property & Casualty Insurance), Insurance Australia Group (Property &
Casualty Insurance), QR National (Railroads), Westfield Group (Real Estate),
Stockland Australia (Real Estate), Westfield Retail Trust (Real Estate), Lend
Lease
(Real Estate), CFS Retail Property Trust (Real Estate), Goodman Group
(Real Estate), Bendigo & Adelaide Bank (Regional Banks), Bank of Queensland
(Regional Banks), Incitec Pivot (Specialized Chemicals), Telstra
(Telecommunications Services)
Trade &
Competitiveness Overview
Total exports : US$263.9
billion
Exports commodities : Coal,
iron ore, gold, meat, wool, alumina, wheat, machinery and
Transport
equipment
Total imports : US$239.7
billion
Imports commodities : Machinery and transport equipment,
computers and office
machines, telecommunication equipment and parts;
crude oil and petroleum products
Export - major partners : China
27.4%, Japan 19.2%, South Korea 8.9%, India 5.8%
Import - major partners : China
18.5%, US 11.4%, Japan 7.9%, Singapore 6.3%,
Germany 4.7%
FDI Inflows : 2009:
US$26,554 million
2010: US$35,556 million
2011: US$41,317 million
FDI Outflows : 2009:
US$16,693 million
2010: US$12,791 million
2011: US$19,999 million
Best countries for doing business : 10
out of 185 countries
Global competitiveness ranking : 20
(ranking by country on a basis of 144, the first is the best)
Country and
Population Overview
Total population : 22.68
million
Total area : 7,692,024
km2
Capital : Canberra
Currency : Australian
dollars (AUD)
Internet users as % of total
Population 79%
Purchase Term
International
: L/C, Cash against
document, Telegraphic transfer, Credit up to 180 days
Sales Term
Local : Cash, Credit card, Bank
transfer
Trade Reference/
Payment Behaviour
Comments : As local and international
trade references were not supplied, the Subject's
payment track record history cannot be appropriately determined
but based
on our research, payments are believed to be met without delay.
Investigation Note
Sources : Interviews and material
provided by the Subject
Other official and local business sources
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.61.07 |
|
|
1 |
Rs.102.77 |
|
Euro |
1 |
Rs.84.49 |
INFORMATION DETAILS
|
Analysis Done by
: |
DIV |
|
|
|
|
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.