MIRA
INFORM REPORT
|
Report Date : |
09.08.2014 |
IDENTIFICATION DETAILS
|
Name : |
THAI-AMBICA
CHEMICALS CO., LTD. |
|
|
|
|
Registered Office : |
7th Floor, Rembrandt Tower Service, Apartment, 22 Soi Sukhumvit 20, [Sainampeung], Sukhumvit Road,, Klongtoey, Bangkok 10110 |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
31.12.2012 |
|
|
|
|
Date of Incorporation : |
16.07.1980 |
|
|
|
|
Com. Reg. No.: |
0105523012253 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Manufacturer, exporter and
distributor of dyeing
and printing chemicals,
such as dyestuff,
pigment, sulphur blue,
sodium molybdate |
|
|
|
|
No. of Employees : |
220 |
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 : |
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 – June 01, 2014
|
Country Name |
Previous Rating (31.03.2014) |
Current Rating (01.06.2014) |
|
Thailand |
B1 |
B1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low Risk |
A2 |
|
Moderate Low Risk |
B1 |
|
Moderate Risk |
B2 |
|
Moderate High Risk |
C1 |
|
High Risk |
C2 |
|
Very High Risk |
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 in 2013 implemented a nation-wide 300 baht ($10) per day minimum
wage policy and deployed 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. This was expected to lead to an economic upsurge but growth has remained
slow, in part due to ongoing political unrest and resulting uncertainties.
Spending on infrastructure will require re-approval once a new government is
seated
|
Source
: CIA |
Company name and address
THAI-AMBICA
CHEMICALS CO., LTD.
SUMMARY
BUSINESS
ADDRESS : 7th FLOOR,
REMBRANDT TOWER SERVICE
APARTMENT, 22
SOI SUKHUMVIT 20
[SAINAMPEUNG], SUKHUMVIT
ROAD,
KLONGTOEY, BANGKOK
10110, THAILAND
TELEPHONE : [66] 2261-5989
FAX
: [66] 2261-5997-8
E-MAIL
ADDRESS : tacl@loxinfo.co.th
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1980
REGISTRATION
NO. : 0105523012253 [Former
: 1227/2523]
TAX
ID NO. : 3101131802
CAPITAL REGISTERED : BHT. 150,000,000
CAPITAL PAID-UP : BHT.
150,000,000
SHAREHOLDER’S PROPORTION : THAI :
98.83%
INDIAN
: 1.17%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR.
SUPHAT SIVASRIAUMPHAI, THAI
PRESIDENT AND
MANAGING DIRECTOR
NO.
OF STAFF : 220
LINES
OF BUSINESS : PRINTING AND
DYEING CHEMICALS
MANUFACTURER, EXPORTER
AND DISTRIBUTOR
CORPORATE PROFILE
OPERATING
TREND : STABLE
PRESENT
SITUATION : OPERATING NORMALLY
REPUTATION : FAIR
WITH NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT
STANDARD : MANAGEMENT WITH
WEAK PERFORMANCE
HISTORY
The subject was established on
July 16, 1980
as a private
limited company under
the name style
THAI-AMBICA CHEMICALS CO., LTD.,
by Thai-Indian groups, in
order to manufacture
printing and dyeing
chemicals to both local and overseas
markets. The subject has
been granted a promotional privilege from Board of Investment
[BOI]. It currently
employs approximately 220
staff.
In 1997, the
subject attained the
ISO 9002 and ISO 14001
certification from M/S
KPMG, United States of
America and also
became a member
of ETAD [The Ecological and
Toxicological Association of
Dyes and Organic
Pigment Manufacturers].
The subject’s registered
address was initially
located at 8th Floor, Deewanchan Building, 219/2
Rajawong Rd., Chakrawad,
Samphantawong, Bangkok 10100.
On
July 17, 2013, the
subject’s registered address
was relocated to 7th Floor,
Rembrandt Tower Service
Apartment, 22 Soi
Sukhumvit 20 [Sainampeung], Sukhumvit
Rd., Klongtoey, Bangkok
10110, and this
is the subject’s
current operation address.
THE BOARD OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Suphat Sivasriaumphai |
|
Thai |
68 |
|
Mr. Ashok Kumar Agarwal |
|
Indian |
65 |
AUTHORIZED PERSON
One of the
above directors can
sign on behalf
of the subject
with company’s affixed.
MANAGEMENT
Mr. Suphat Sivasriaumphai is the
President & Managing
Director.
He is Thai
nationality with the age of
68 years old.
Mr. Ashok Kumar Agarwal
is the Vice
President.
He is Indian
nationality with the
age of 65
years old.
Mr. R.R. Shanbhag
is the Factory
Manager.
He is Indian
nationality.
Mr. Suvir Sivasriaumphai is the Sales
Manager.
He is Thai
nationality
Mr. Shailendra Singh
is the Export
Manager.
He is Indian
nationality.
Mr. Alkesh Shah is
the Plant Manager.
He is Indian
nationality.
BUSINESS OPERATIONS
The subject’s activity
is a manufacturer,
exporter and distributor
of dyeing and
printing chemicals, such
as dyestuff, pigment,
sulphur blue, sodium
molybdate. Its products
lines comprise disperse
dyes for polyester,
disperse dyes for
acetate, reactive dyes
for cellulosic, acid
dyes for wool,
nylon and leathers,
direct dyes for
cellulosics and paper,
leather dyes, vat
dyes, liquid disperse
and reactive dyestuff.
The products are
supplied to textile,
leather and optical
brightening agents industries.
PRODUCTION
10,000- 30,000 tons per annum
PURCHASE
60% of raw materials and
chemicals are imported
from Germany, India,
Republic of China,
Taiwan and Japan,
and the remaining
40% is purchased
through local agents.
MAJOR SUPPLIERS
|
Name |
Country |
|
China National Chemical |
: Republic of China |
|
Vivid Export |
: India |
|
Atul Products |
: India |
|
Mivin Oversea |
: India |
|
Chemi Dyestuff Industries
Pvt. Ltd. |
: India |
EXPORT [COUNTRY]
80% of its
products is exported
to Indonesia, Hong
Kong, Republic of
China,
Malaysia, India, Singapore,
South Korea, United
Kingdom, France, Belgium,
United States of
America, Pakistan, Turkey,
Argentina, Iran, Colombia,
Sri Lanka
and etc.
SALES [LOCAL]
20% of its
products is sold
locally to manufacturers
and dealers.
MAJOR CUSTOMERS
|
Name |
Country |
|
Sampran Printing Co.,
Ltd. |
: Thailand |
|
Chokchai Printing Co.,
Ltd. |
: Thailand |
|
Sripaibul Printing Co.,
Ltd. |
: Thailand |
|
Lee Wiwat Printing
Co., Ltd. |
: Thailand |
|
Impa Oversea Co.,
Ltd. |
: United Kingdom |
|
C & K Co., Ltd. |
: Hong Kong |
|
Textilia S.A.S. |
: Colombia |
SUBSIDIARIES & AFFILIATED
COMPANIES
D.K. Holding Co., Ltd.
Business Type: Holding Company
Thai Filament Textiles
Co., Ltd.
Business Type: Textile Factory
D.K. Textile Co.,
Ltd.
Business Type: Textile Factory
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 according for
the past two
years.
CREDIT
Sales are by
cash or on
the credits term
of 30-60 days.
Local bills are
paid 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
Bangkok Bank Public
Co., Ltd.
[Head Office
: 333 Silom Rd.,
Silom, Bangrak, Bangkok
10500]
The Siam Commercial
Bank Public Co., Ltd.
[Head Office
: 9 Ratchadapisek
Rd., Ladyao, Jatujak,
Bangkok 10900]
Hongkong & Shanghai
Banking Corp.
[Bangkok Office : 64 Silom Rd.,
Silom, Bangrak, Bangkok
10500]
Indian Overseas Bank
Ltd.
[Bangkok Office : 221
Rajawongse Rd., Samphantawong, Bangkok
10100]
EMPLOYMENT
The subject employs
approximately 220 staff.
[office staff and
factory workers]
LOCATION DETAILS
The premise is owned
for operating office
at the heading address. Premise is
located in commercial/residential area.
Factory are warehouse
are located at 199
Moo 3, K.M. 39, Sukhumvit
Rd.,
T. Bangpoomai, A. Muang,
Samutprakarn 10280, on
the land area
of 32,000 square
meters. Tel : [66]
2323-9754-5 Fax : [66]
2323-9753.
COMMENT
All
the company’s products are manufactured and monitored with
state-of-the-art technology. More than
60 percent of the production is exported to premium markets, such as USA, UK,
Germany, France, Canada,
Belgium, Japan and
etc.
Industrial
improvement in 2012 resulted to
many industries’ upward
trend. Increased consumption has
contributed to improve
subject’s sales and
services.
Despite the economic
crisis that has
plagued the country
for the past several
months, the company
was able to
thrive, and is
looking to go
unwaveringly into the
bright future.
FINANCIAL INFORMATION
The capital was
registered at Bht. 25,000,000 divided
into 25,000 shares
of Bht. 1,000
each.
The capital was
increased later as
followings:
Bht. 50,000,000
on March 6,
1987
Bht. 70,000,000
on April 4,
1988
Bht. 75,000,000
on April 22,
1988
Bht. 120,000,000
on April 5,
2000
Bht. 150,000,000
on August 1,
2000
The latest registered capital was
increased to Bht.
150,000,000 divided into 150,000
shares of Bht. 1,000
each with fully
paid.
THE SHAREHOLDERS LISTED WERE
[as at April
30, 2013]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Shiva Heights Co.,
Ltd. Nationality: Thai Address : 22
Sukhumvit 20 Rd.,
Klongtoey, Bangkok |
80,000 |
53.33 |
|
Shiva Holding Co., Ltd. Nationality: Thai Address : 219/2
Rajawong Rd., Chakrawad,
Samphantawong, Bangkok 10100 |
28,750 |
19.17 |
|
Rambrandt Hotel Corporation
Ltd. Nationality: Thai Address : 19
Sukhumvit 18 Rd.,
Klongtoey, Bangkok |
20,000 |
13.33 |
|
Mr. Suphat Sivasriaumphai Nationality: Thai Address : 157-159
Vanich 1 Rd., Chakrawad, Samphantawong, Bangkok
10100 |
7,875 |
5.25 |
|
Krisna Holding Co.,
Ltd. Nationality: Thai Address : 219/2
Rajawong Rd., Chakrawad,
Samphantawong, Bangkok 10100 |
3,500 |
2.33 |
|
Mr. Kasem Sivasriaumphai Nationality: Thai Address : 109
Sukhumvit 12 Rd., Klongtoey,
Bangkok 10100 |
2,000 |
1.33 |
|
Mr. Gripan Singh
Sajdev Nationality: Indian Address : 109
Sukhumvit 12 Rd., Klongtoey, Bangkok 10100 |
1,750 |
1.17 |
|
Mr. Prajim Sajdev Nationality: Thai Address : 109
Sukhumvit 12 Rd., Klongtoey,
Bangkok 10100 |
1,750 |
1.17 |
|
Mr. Surej Sajdev Nationality: Thai Address : 109 Sukhumvit 12 Rd.,
Klongtoey,
Bangkok 10100 |
1,750 |
1.17 |
|
Mrs. Ratana Sajdev Nationality: Thai Address : 109
Sukhumvit 12 Rd., Klongtoey,
Bangkok 10100 |
1,750 |
1.17 |
|
Mr. Pracha Sivasriaumphai Nationality: Thai Address : 109
Sukhumvit 12 Rd., Klongtoey,
Bangkok 10100 |
875 |
0.58 |
Total Shareholders : 11
Share Structure
[as
at April
30, 2013]
|
Nationality |
Shareholders |
No. of
Share |
% Shares |
|
|
|
|
|
|
Thai |
10 |
148,250 |
98.83 |
|
Foreign - Indian |
1 |
1,750 |
1.17 |
|
Total |
11 |
150,000 |
100.00 |
NAME OF AUDITOR & CERTIFIED PUBLIC
ACCOUNTANT NO
Mr. Pichit Srimanjanta No. 1501
Note:
The 2013 financial
statement has not yet
been declared to
public by Commercial
Registration Department during
investigation.
BALANCE SHEET [BAHT]
The
latest financial figures
published for December
31, 2012, 2011
& 2010 were:
ASSETS
|
Current Assets |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Cash in Hand
& at Bank
|
340,567.73 |
207,383.30 |
439,540.56 |
|
Trade Accounts & Notes Receivable |
184,200,372.32 |
187,560,222.38 |
256,999,524.28 |
|
Inventories |
251,319,395.69 |
246,032,716.50 |
245,378,117.12 |
|
Other Current Assets
|
3,534,582.51 |
5,670,411.67 |
6,398,063.89 |
|
Total Current Assets
|
439,394,918.25 |
439,470,733.85 |
509,215,245.85 |
|
|
|
|
|
|
Fixed Assets |
252,385,954.78 |
253,708,303.28 |
271,444,808.59 |
|
Total Assets |
691,780,873.03 |
693,179,037.13 |
780,660,054.44 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Bank Overdraft &
Short-term Loan |
168,057,270.74 |
155,925,980.53 |
40,075,739.17 |
|
Trade Accounts & Other Payable
|
161,328,678.89 |
133,998,464.97 |
194,624,017.88 |
|
Short-term Loans |
20,146,491.58 |
20,146,491.58 |
20,146,491.58 |
|
Other Current Liabilities |
34,947,992.89 |
46,087,134.04 |
43,553,005.64 |
|
Total Current Liabilities |
384,480,434.10 |
356,158,071.12 |
298,399,254.27 |
|
|
|
|
|
|
Long-term Loan from Financial Institutions |
124,960,000.00 |
127,996,689.40 |
233,720,000.00 |
|
Total Liabilities |
509,440,434.10 |
484,154,760.52 |
532,119,254.27 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 1,000
value authorized, issued
and fully paid share
capital 150,000 shares |
150,000,000.00 |
150,000,000.00 |
150,000,000.00 |
|
Capital Paid |
150,000,000.00 |
150,000,000.00 |
150,000,000.00 |
|
Retained Earning -
Unappropriated |
[162,969,135.24] |
[136,285,297.56] |
[96,768,774.00] |
|
Statutory Reserve |
7,500,000.00 |
7,500,000.00 |
7,500,000.00 |
|
Others |
187,809,574.17 |
187,809,574.17 |
187,809,574.17 |
|
Total Shareholders' Equity |
182,340,438.93 |
209,024,276.61 |
248,540,800.17 |
|
Total Liabilities &
Shareholders' Equity |
691,780,873.03 |
693,179,037.13 |
780,660,054.44 |
PROFIT & LOSS ACCOUNT
|
Revenue |
Jan. 1,
2012 - Dec. 31,
2012 |
Jan. 1,
2011 - Dec. 31,
2011 |
Jan. 1,
2010 - Dec. 31,
2010 |
|
|
|
|
|
|
Sales Income |
474,756,608.31 |
546,493,459.87 |
638,840,849.72 |
|
Gain on Exchange Rate |
- |
5,874,771.25 |
- |
|
Other Income |
13,215,687.95 |
5,732,586.46 |
1,949,736.27 |
|
Total Revenues |
487,972,296.26 |
558,100,817.58 |
640,790,585.99 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold |
473,149,698.23 |
514,925,256.36 |
572,873,896.34 |
|
Selling and Administrative Expenses |
20,840,111.77 |
63,145,948.59 |
19,194,544.09 |
|
Loss on Exchange Rate |
1,067,879.97 |
- |
10,689,341.70 |
|
Total Expenses |
495,057,689.97 |
578,071,204.95 |
602,757,782.13 |
|
Profit / [Loss] before Interest
Expenses & Income Tax |
[7,085,393.71] |
[19,970,387.37] |
38,032,803.86 |
|
Interest Expenses |
[19,598,443.97] |
[19,546,136.19] |
[7,142,540.48] |
|
Net Profit / [Loss] |
[26,683,837.68] |
[39,516,523.56] |
30,890,263.38 |
|
Retained Earning [deficit],
Beginning of
Year |
[136,285,297.56] |
[96,768,774.00] |
[127,659,037.38] |
|
Retained Earning [deficit],
End of
Year |
[162,969,135.24] |
[136,285,297.56] |
[96,768,774.00] |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2012 |
2011 |
2010 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
1.14 |
1.23 |
1.71 |
|
QUICK RATIO |
TIMES |
0.48 |
0.53 |
0.86 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
1.88 |
2.15 |
2.35 |
|
TOTAL ASSETS TURNOVER |
TIMES |
0.69 |
0.79 |
0.82 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
193.87 |
174.40 |
156.34 |
|
INVENTORY TURNOVER |
TIMES |
1.88 |
2.09 |
2.33 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
141.62 |
125.27 |
146.84 |
|
RECEIVABLES TURNOVER |
TIMES |
2.58 |
2.91 |
2.49 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
124.45 |
94.98 |
124.00 |
|
CASH CONVERSION CYCLE |
DAYS |
211.04 |
204.68 |
179.17 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
99.66 |
94.22 |
89.67 |
|
SELLING & ADMINISTRATION |
% |
4.39 |
11.55 |
3.00 |
|
INTEREST |
% |
4.13 |
3.58 |
1.12 |
|
GROSS PROFIT MARGIN |
% |
3.12 |
7.90 |
10.63 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
(1.49) |
(3.65) |
5.95 |
|
NET PROFIT MARGIN |
% |
(5.62) |
(7.23) |
4.84 |
|
RETURN ON EQUITY |
% |
(14.63) |
(18.91) |
12.43 |
|
RETURN ON ASSET |
% |
(3.86) |
(5.70) |
3.96 |
|
EARNING PER SHARE |
BAHT |
(177.89) |
(263.44) |
205.94 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.74 |
0.70 |
0.68 |
|
DEBT TO EQUITY RATIO |
TIMES |
2.79 |
2.32 |
2.14 |
|
TIME INTEREST EARNED |
TIMES |
(0.36) |
(1.02) |
5.32 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
(13.13) |
(14.46) |
|
|
OPERATING PROFIT |
% |
(64.52) |
(152.51) |
|
|
NET PROFIT |
% |
32.47 |
(227.93) |
|
|
FIXED ASSETS |
% |
(0.52) |
(6.53) |
|
|
TOTAL ASSETS |
% |
(0.20) |
(11.21) |
|
ANNUAL GROWTH :
RISKY
An annual sales growth is -13.13%. Turnover has decreased from THB
PROFITABILITY :
RISKY
PROFITABILITY
RATIO
|
Gross Profit Margin |
3.12 |
Deteriorated |
Industrial
Average |
43.06 |
|
Net Profit Margin |
(5.62) |
Deteriorated |
Industrial
Average |
3.49 |
|
Return on Assets |
(3.86) |
Deteriorated |
Industrial
Average |
3.06 |
|
Return on Equity |
(14.63) |
Deteriorated |
Industrial
Average |
6.38 |
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 3.12%. 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 -5.62%.
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 -3.86%.
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 -14.63%.
Trend of the
average competitors in the same industry for last 5 years
Return on Assets Uptrend
Return on Equity Uptrend
LIQUIDITY : RISKY
LIQUIDITY RATIO
|
Current Ratio |
1.14 |
Satisfactory |
Industrial
Average |
1.46 |
|
Quick Ratio |
0.48 |
|
|
|
|
Cash Conversion Cycle |
211.04 |
|
|
|
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 1.14 times in 2012, decreased from 1.23 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 0.48 times in 2012,
decreased from 0.53 times, 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 212 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE : RISKY
LEVERAGE RATIO
|
Debt Ratio |
0.74 |
Acceptable |
Industrial
Average |
0.48 |
|
Debt to Equity Ratio |
2.79 |
Risky |
Industrial Average |
0.93 |
|
Times Interest Earned |
(0.36) |
Risky |
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 higher the percentage means that the company is using less
equity and has stronger leverage position.
Times Interest Earned measuring a company's ability to meet its debt
obligations. Ratio is -0.37 lower than 1, so the company is not generating
enough cash from EBIT to meet its
interest obligations.
Debt Ratio shows the proportion of a company's assets which are financed
through debt. The company's figure is 0.74 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 Uptrend
Times Interest Earned Stable
ACTIVITY :
SATISFACTORY
ACTIVITY RATIO
|
Fixed Assets Turnover |
1.88 |
Impressive |
Industrial
Average |
- |
|
Total Assets Turnover |
0.69 |
Satisfactory |
Industrial
Average |
0.88 |
|
Inventory Conversion Period |
193.87 |
|
|
|
|
Inventory Turnover |
1.88 |
Acceptable |
Industrial
Average |
3.73 |
|
Receivables Conversion Period |
141.62 |
|
|
|
|
Receivables Turnover |
2.58 |
Acceptable |
Industrial
Average |
4.72 |
|
Payables Conversion Period |
124.45 |
|
|
|
The company's Account Receivable Ratio is calculated as 2.58 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 increased from 174 days at the
end of 2011 to 194 days at the end of 2012. This represents a negative trend.
And Inventory turnover has decreased from 2.09 times in year 2011 to 1.88 times
in year 2012.
The company's Total Asset Turnover is calculated as 0.69 times and 0.79
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 Stable
Total Assets Turnover Uptrend
Inventory Turnover Uptrend
Receivables Turnover Uptrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.61.55 |
|
|
1 |
Rs.103.50 |
|
Euro |
1 |
Rs.82.41 |
INFORMATION DETAILS
|
Analysis Done by
: |
DIV |
|
|
|
|
Report Prepared
by : |
PDT |
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.