MIRA
INFORM REPORT
|
Report Date : |
23.08.2014 |
IDENTIFICATION DETAILS
|
Name : |
MTE
LTD. |
|
|
|
|
Formerly Known As : |
MODERN TRANSPORT EQUIPMENT CO., LTD. |
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Registered Office : |
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Country : |
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Financials (as on) : |
31.12.2013 |
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Date of Incorporation : |
20.04.1994 |
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Com. Reg. No.: |
0105537046414 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Subject is engaged
in importing and distributing
wide ranges of
industrial and technical
products, including valve, mechanical
products, tool and special products. |
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|
No of Employees : |
100 |
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 |
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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 – June 01, 2014
|
Country Name |
Previous Rating (31.03.2014) |
Current Rating (01.06.2014) |
|
|
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 |
With a well-developed
infrastructure, a free-enterprise economy, generally pro-investment policies, and
strong export industries,
|
Source
: CIA |
COMPANY NAME
MTE LTD.
SUMMARY
ADDRESS :
TELEPHONE : [66] 2320-2100
FAX : [66] 2320-2967-8
E-MAIL
ADDRESS : info@mte.co.th
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDREESS
ESTABLISHED : 1994
REGISTRATION
NO. : 0105537046414
TAX
ID NO. : 3011409725
CAPITAL REGISTERED : BHT.
85,000,000
CAPITAL PAID-UP : BHT. 75,000,000
SHAREHOLDER’S PROPORTION : THAI : 83.68%
MALAYSIAN :
16.32%
FISCAL
YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR.
VUTHICHAI POONSUPMANEE, THAI
MANAGING DIRECTOR
NO.
OF STAFF : 100
LINES
OF BUSINESS : INDUSTRIAL AND
TECHNICAL PRODUCTS
IMPORTER &
DISTRIBUTOR
CORPORATE PROFILE
OPERATING
TREND : STABLE
PRESENT
SITUATION : OPERATING NORMALLY
REPUTATION : GOOD
WITH
MANAGEMENT
STANDARD : MANAGEMENT WITH
FAIR PERFORMANCE
HISTORY
The subject was
established on April
20, 1994 as
a private limited
company under the
registered name Modern Transport
Equipment Co., Ltd. by
Thai groups. On
January 18, 1995, the
subject’s name was
changed to MTE
LTD. It currently
employs approximately 100 staff.
The
subject is a
leading distributor and
supplier wide range
of industrial and
technical products to
local industrial end-users,
engineering consultants and
contractors.
The subject’s registered address
was initially at 21/1 Sukhumvit
38 Rd.,
Prakanong, Klongtoey,
In
2008, subject’s registered
address was relocated
to 1604 Onnuch
Rd., Suanluang, Bangkok
10250, and this
is the subject’s
current operation address.
THE BOARD
OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr.
Vuthichai Poonsupmanee |
|
Thai |
59 |
|
Mr.
Ratthawit Kij-areechote |
|
Thai |
52 |
|
Mr.
Sompong Raksantiwong |
|
Thai |
50 |
|
Mr.
Mahamad Bin Jaafar |
|
Malaysian |
61 |
AUTHORIZED PERSON
Any
two of the
above mentioned directors
can jointly sign
on behalf of
the subject with
company’s affixed.
MANAGEMENT
Mr.
Vuthichai Poonsupmanee is
the Managing Director.
He
is Thai nationality
with the age
of 59 years
old.
Mr. Sompong Raksanitwong is
the General Manager.
He
is Thai nationality
with the age
of 50 years
old.
Ms. Ganittha
Yamsuan is the
Sales Support Manager.
She
is Thai nationality.
Ms. Jiwassa
Tuntipaibul is the
Accounting & Financial Manager.
She
is Thai nationality.
Mr.
Sinthana Thanaphorn is
the Sales Manager.
He
is Thai nationality.
BUSINESS OPERATIONS
The
subject is engaged
in importing and distributing
wide ranges of
industrial and technical
products, including valve, mechanical
products, tool and special products.
Ranges of products
and brands are
as follows:
Product Brand
- Valves & Accessories “Saunders”, “Crane”,
“Proseal”, “Tecofi”,
“JDV”, “John-Valve”,
“Enolgas”, “Andrex”,
“Dome Valve”,
“MCM”, “Sistag”, “CSV”
- Valve
Automation “HKC”, “K-Controls”,
“Norgren”, “TMG”
- Pumps “Disflo”, “Depa”,
“Elro”, “Grundfos”,
“Maag”
- Fittings “Andrex”, “Remer”,
“Watertec”, “SG”
- Sanitary & Plumbing “Enolgas”
- Plastic
Piping “Durapipe”
- Brass
Chrome Fitting “Remer”
- Service
Station Equipment
- LPG
Dispenser “Compac”
- Fuel
Dispenser “Tokheim”
- LPG
Pump “EBS-Ray
- Double
Wall Piping System “Durapipe”
- Float
Gauge “Rochester Gauges”
- Gas
Leak Detectors “Ewoo”
- LPG
Safety Valves “Rego”
- Fueling
Equipment “OPW”
- LPG
Ball Valve “Universal”
- Industrial
Tool/equipment
- Gas
Turbine Air Filtration “Altair”
- Induction Bearing
Heater “TM”
- Marketing Machine “Techno Mark”
- Huck
Fastener & Tools “Alcoa”
- Hydraulic Lifting
Equipment “Simplex”
- Tube
Expander/Tube Cleaner “Wilson”
- Hot & Cold Water/High Pressure
Cleaner “Idrobase”
- Portable Machine
Tools “Climax”, “Protem”
- Composite Hoses “Novoflex”
- Tools
- Pneumatic Tools “TR”
- Electric Power & Tools “Flex”
- Blind
Riveting Machine Tools “Gesipa”
- Hand
Tools “KS”, “Elora”
- Oil
Pump “IR”
- Non-Sparking Tools “EGA”
The
quality products are supplied
in the following fields of industry:-
Oil
& gas Construction
Petrochemical Cement
Chemical Pulp & Paper
Power
Generation Automotive
Water
& Waste Water
Commercial Transport
PURCHASE
90% of
its products is imported
from United Kingdom, United
States of America, Germany, Italy,
Spain, New Zealand, Australia, Switzerland, France, Netherlands, Japan,
Taiwan, Denmark, Korea,
Malaysia, Republic of
China and etc.,
and the remaining
10% is purchased
from local suppliers
and agents.
MAJOR SUPPLIERS
Altair Filter Technology
Ltd. : United
Kingdom
Mono Pumps Limited : United
Kingdom
Durapipe Ltd. : United
Kingdom
Zeeco, Inc. : United
States of America
Ingersoll-Rand Co., Ltd. : United
States of America
Rochester & Gauges Inc. : United
States of America
Shibata Industrial Co., Ltd. : Japan
Applicot Corporation : Japan
John-Valve Mfg. Factory
Co., Ltd. : Taiwan
Crane Process Flow Technologies GmbH : Germany
Ritter Werkzeuge GmbH : Germany
Willy Vogel AG. : Germany
Flygt AB : Sweden
Carltso Aps. : Denmark
EGA Master S.A. : Spain
EBS-Ray Pumps PTY. Ltd. : Australia
Spinifex Iwt Pty.
Ltd. : Australia
Enolgas Bonomi SPA. : Italy
etc.
SALES [LOCAL]
100% of its
products is sold
locally to wholesalers,
manufactures and end-users.
MAJOR CUSTOMERS
PTT Public Company
Limited
Asia Cement Public
Company Limited
Bangchak Petroleum Public
Company Limited
Bangkok Steel Industry
Co., Ltd.
ESSO Standard [Thailand]
Public Company Limited
Thai Plastic & Chemical
Public Company Limited
Thai Oil Public
Company Limited
Tuntex [Thailand] Public
Company Limited
etc.
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 to
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.
BANKING
Kasikornbank Public Co.,
Ltd.
[Sukhumvit 39
Branch : Sukhumvit Rd.,
Klongtoeynua, Wattana, Bangkok]
Bangkok
Bank Public Co., Ltd.
[Sukhumvit 43
Branch : Sukhumvit
Rd., Klongtoeynua, Wattana,
Bangkok]
EMPLOYMENT
The subject employs
approximately 100 staff.
[office and sales
staff]
LOCATION DETAILS
The
premise is rented
for administrative office
and warehouse at the heading
address. Premise is
located in commercial/residential area.
Branch: 180/130 Moo 5, T.
Banchang, A. Banchang,
Rayong.
Tel : [66] 38
695-796 Fax : [66] 38
695-795
COMMENT
The subject is recognized as a leading distributor of best known quality
technical products from world’s leading manufacturers. The subject has grown
from strength to strength building on its foundation as an expert organization
in supplying industrial and technical products
to major industries in the
country.
The subject’s operating performance has a strong growth during these 1-2 years due to
improvement in domestic industries. As well the subject would attribute
its better sales with no
doubt that the
segment will continue to
see massive growth this year.
FINANCIAL INFORMATION
The
capital was registered
at Bht. 10,000,000
divided into 100,000
shares of Bht. 100
each with fully
paid.
The
capital was increased
later as followings
:
Bht.
15,000,000 on July
10, 1995
Bht. 20,000,000
on February 12,
1997
Bht. 25,000,000
on November 26,
1997
Bht. 45,000,000
on July 20,
2009
Bht. 55,000,000
on October 28,
2011
Bht. 65,000,000
on May 10,
2012
Bht. 75,000,000
on March 10,
2013
Bht. 85,000,000
on May 15,
2014
The
latest registered capital
was increased to
Bht. 85,000,000 divided
into 850,000 shares
of Bht. 100
each, with the
current capital paid-up
at Bht. 75,000,000.
THE SHAREHOLDERS
LISTED WERE
[as at April
30, 2014] at
Bht.
75,000,000 of capitalization
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Vuthichai Poonsupmanee Nationality: Thai Address : 19 Soi Chalermprakiat R.9,
Soi 28, Yaek
14-2, Dokmai, Pravet,
Bangkok |
150,000 |
20.00 |
|
Mr. Karn Pholvisethkul Nationality: Thai Address : 2250/102 Charoenkrung Rd.,
Bangkorlaem, Bangkok 10120 |
145,629 |
19.42 |
|
Mr. Mahamad Bin
Jaafar Nationality: Malaysian Address : Malaysia |
122,431 |
16.32 |
|
Mrs. Krisana Poonsupmanee Nationality: Thai Address : 19 Soi
Chalermprakiat R.9, Soi 28, Yaek
14-2, Dokmai, Pravet,
Bangkok |
71,415 |
9.53 |
|
Mrs. Nuch Ves-ulai Nationality: Thai Address : 542/39 Pracharajbampen Rd.,
Samsennok,
Huaykwang, Bangkok |
57,375 |
7.65 |
|
Mr. Ratthwit Kij-areechote Nationality: Thai Address : 301/3 Rama
6 Rd., Thungphyathai, Phyathai, Bangkok 10400 |
51,050 |
6.81 |
|
Mr. Sompong Raksantiwong Nationality: Thai Address : 74/83 Soi
Soonvijai 14, Bangkapi,
Huaykwang, Bangkok |
41,093 |
5.48 |
|
Mr. Sompong Seksuwan Nationality: Thai Address : 2100/83 Chan Rd.,
Chongnonsee, Bangkok |
38,259 |
5.10 |
|
Mr. Pruth Polvisethkul Nationality: Thai Address : 100/14 Soi
Donkusol, Yannawa, Yannawa, Bangkok 10120 |
25,536 |
3.40 |
|
Ms. Jivassa Tantipaibul Nationality: Thai Address : 209/104 Moo 11,
Bangna, Bangkok |
25,536 |
3.40 |
|
Mr. Rastawat Deesomchok Nationality: Thai Address : 351/1 Soi
Ladprao 122, Wangthonglang, Bangkok |
21,676 |
2.89 |
Total Shareholders : 11
Share Structure [as
at April 30,
2014]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
10 |
627,569 |
83.68 |
|
Foreign-Malaysian |
1 |
122,431 |
16.32 |
|
Total |
11 |
750,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO
Mr. Opas Pacharakeeratikul No.
2809
BALANCE SHEET [BAHT]
The
latest financial figures
published for December
31, 2013, 2012
& 2011 were:
ASSETS
|
Current Assets |
2013 |
2012 |
2011 |
|
|
|
|
|
|
Cash and Cash Equivalents
|
11,660,316.40 |
9,102,969.21 |
2,069,890.42 |
|
Trade Accounts L&
Notes Receivable |
85,971,479.47 |
77,677,056.56 |
49,105,599.29 |
|
Inventories |
114,913,479.99 |
120,675,299.54 |
106,513,638.78 |
|
Value Added Tax |
- |
- |
302,875.00 |
|
Other Current Assets
|
2,269,146.65 |
454,035.17 |
986,863.06 |
|
|
|
|
|
|
Total Current Assets
|
214,814,422.51 |
207,909,360.48 |
158,978,866.55 |
|
Cash at Bank
- Fixed Deposit |
21,903,050.64 |
21,494,605.17 |
18,126,067.15 |
|
Investment in Subsidiary |
3,500,000.00 |
799,600.00 |
799,600.00 |
|
Fixed Assets |
73,534,513.42 |
57,331,190.21 |
58,872,238.47 |
|
Other Non-current Assets |
4,515,919.51 |
4,476,519.51 |
4,801,383.57 |
|
Total Assets |
318,267,906.08 |
292,011,275.37 |
241,578,155.74 |
LIABILITIES & SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2013 |
2012 |
2011 |
|
|
|
|
|
|
Bank Overdraft |
- |
1,375,259.58 |
548,009.66 |
|
Trust Receipt Payable |
78,145,894.22 |
66,985,079.44 |
54,394,486.75 |
|
Trade Accounts &
Notes Payable |
24,200,129.16 |
33,991,955.38 |
30,887,271.54 |
|
Current Portion of
Finance Lease Contract Liabilities |
2,698,273.57 |
2,696,619.28 |
3,553,853.00 |
|
Advance Income |
1,436,102.10 |
2,636,668.33 |
2,657,465.69 |
|
Accrued Income Tax |
2,674,076.02 |
6,524,537.21 |
5,181,991.06 |
|
Accrued Expenses |
15,568,724.18 |
15,923,432.13 |
11,413,117.11 |
|
Other Payable |
1,739,813.50 |
- |
4,640,000.00 |
|
|
|
|
|
|
Total Current Liabilities |
126,463,012.75 |
130,133,551.35 |
113,276,194.81 |
|
Finance Lease Contract
Liabilities |
6,274,757.35 |
8,357,143.99 |
10,669,207.77 |
|
Employee Benefit Obligation |
4,154,454.00 |
2,937,340.00 |
2,585,730.00 |
|
Total Liabilities |
136,892,224.10 |
141,428,035.34 |
126,531,132.58 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100 par
value Authorized &
issued share capital
750,000 shares
in 2013; 650,000 shares
in 2012; 550,000 shares
in 2011 |
75,000,000.00 |
65,000,000.00 |
55,000,000.00 |
|
|
|
|
|
|
Capital Paid |
75,000,000.00 |
65,000,000.00 |
55,000,000.00 |
|
Retained Earning Appropriated for Statutory Reserve |
5,406,607.49 |
3,574,296.70 |
2,833,607.57 |
|
Unappropriated |
100,969,074.49 |
82,008,943.33 |
57,213,415.59 |
|
|
|
|
|
|
Total Shareholders' Equity |
181,375,681.98 |
150,583,240.03 |
115,047,023.16 |
|
Total Liabilities &
Shareholders' Equity |
318,267,906.08 |
292,011,275.37 |
241,578,155.74 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
2013 |
2012 |
2011 |
|
|
|
|
|
|
Sales & Service
Income |
485,954,597.03 |
464,462,283.13 |
372,404,390.37 |
|
Interest Income |
489,216.98 |
450,353.05 |
263,101.45 |
|
Other Income |
503,145.92 |
1,315,576.61 |
1,058,427.52 |
|
Total Revenues |
486,946,959.93 |
466,228,212.79 |
373,725,919.34 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold & Service |
338,299,264.69 |
318,355,921.87 |
258,222,548.96 |
|
Selling Expenses |
63,635,640.99 |
54,096,619.86 |
52,985,536.15 |
|
Administrative Expenses |
40,134,458.05 |
41,772,234.11 |
36,213,566.52 |
|
Total Expenses |
442,069,363.73 |
414,224,775.84 |
347,421,651.63 |
|
|
|
|
|
|
Profit / Loss] before Financial
Cost & Income Tax |
44,877,596.20 |
52,003,436.95 |
26,304,267.71 |
|
Financial Cost |
[4,683,094.59] |
[4,172,527.16] |
[3,211,966.07] |
|
|
|
|
|
|
Profit / [Loss] before Income Tax
|
40,194,501.61 |
47,830,909.79 |
23,092,301.64 |
|
Income Tax |
[8,287,059.66] |
[11,184,693.92] |
[8,278,518.85] |
|
Net Profit / [Loss] |
31,907,441.95 |
36,646,215.87 |
14,813,782.79 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2013 |
2012 |
2011 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
1.70 |
1.60 |
1.40 |
|
QUICK RATIO |
TIMES |
0.77 |
0.67 |
0.45 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
6.61 |
8.10 |
6.33 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.53 |
1.59 |
1.54 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
123.98 |
138.36 |
150.56 |
|
INVENTORY TURNOVER |
TIMES |
2.94 |
2.64 |
2.42 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
64.57 |
61.04 |
48.13 |
|
RECEIVABLES TURNOVER |
TIMES |
5.65 |
5.98 |
7.58 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
26.11 |
38.97 |
43.66 |
|
CASH CONVERSION CYCLE |
DAYS |
162.45 |
160.43 |
155.03 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
69.62 |
68.54 |
69.34 |
|
SELLING & ADMINISTRATION |
% |
21.35 |
20.64 |
23.95 |
|
INTEREST |
% |
0.96 |
0.90 |
0.86 |
|
GROSS PROFIT MARGIN |
% |
30.59 |
31.84 |
31.02 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
9.23 |
11.20 |
7.06 |
|
NET PROFIT MARGIN |
% |
6.57 |
7.89 |
3.98 |
|
RETURN ON EQUITY |
% |
17.59 |
24.34 |
12.88 |
|
RETURN ON ASSET |
% |
10.03 |
12.55 |
6.13 |
|
EARNING PER SHARE |
BAHT |
42.54 |
56.38 |
26.93 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.43 |
0.48 |
0.52 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.75 |
0.94 |
1.10 |
|
TIME INTEREST EARNED |
TIMES |
9.58 |
12.46 |
8.19 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
4.63 |
24.72 |
|
|
OPERATING PROFIT |
% |
(13.70) |
97.70 |
|
|
NET PROFIT |
% |
(12.93) |
147.38 |
|
|
FIXED ASSETS |
% |
28.26 |
(2.62) |
|
|
TOTAL ASSETS |
% |
8.99 |
20.88 |
|
ANNUAL GROWTH :
SATISFACTORY
An annual sales growth is 4.63%. Turnover has increased from THB
PROFITABILITY :
IMPRESSIVE
PROFITABILITY
RATIO
|
Gross Profit Margin |
30.59 |
Acceptable |
Industrial
Average |
59.67 |
|
Net Profit Margin |
6.57 |
Impressive |
Industrial
Average |
5.44 |
|
Return on Assets |
10.03 |
Impressive |
Industrial
Average |
9.76 |
|
Return on Equity |
17.59 |
Satisfactory |
Industrial
Average |
20.27 |
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 30.59%. 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 6.57%,
higher figure when compared with those of its average competitors in the same
industry, indicated that business was an efficient operator in a dominant
position within its industry.
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. Return on Assets ratio is
10.03%, higher figure when compared with those of its average competitors in
the same industry, indicated that business was an efficient profit in a dominant position within its industry.
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 17.59%.
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 |
1.70 |
Satisfactory |
Industrial
Average |
2.17 |
|
Quick Ratio |
0.77 |
|
|
|
|
Cash Conversion Cycle |
162.45 |
|
|
|
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 1.7 times in 2013, increased from 1.6 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 0.77 times in 2013,
increased from 0.67 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 163 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE :
EXCELLENT
LEVERAGE RATIO
|
Debt Ratio |
0.43 |
Impressive |
Industrial
Average |
0.47 |
|
Debt to Equity Ratio |
0.75 |
Impressive |
Industrial Average |
0.88 |
|
Times Interest Earned |
9.58 |
Impressive |
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.
Times Interest Earned measuring a company's ability to meet its debt
obligations. Ratio is 9.59 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 0.43 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 :
IMPRESSIVE
ACTIVITY RATIO
|
Fixed Assets Turnover |
6.61 |
Impressive |
Industrial
Average |
- |
|
Total Assets Turnover |
1.53 |
Satisfactory |
Industrial
Average |
1.79 |
|
Inventory Conversion Period |
123.98 |
|
|
|
|
Inventory Turnover |
2.94 |
Acceptable |
Industrial
Average |
4.10 |
|
Receivables Conversion Period |
64.57 |
|
|
|
|
Receivables Turnover |
5.65 |
Impressive |
Industrial
Average |
4.54 |
|
Payables Conversion Period |
26.11 |
|
|
|
The company's Account Receivable Ratio is calculated as 5.65 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 138 days at the
end of 2012 to 124 days at the end of 2013. This represents a positive trend.
And Inventory turnover has increased from 2.64 times in year 2012 to 2.94 times
in year 2013.
The company's Total Asset Turnover is calculated as 1.53 times and 1.59
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.60.44 |
|
UK Pound |
1 |
Rs.100.24 |
|
Euro |
1 |
Rs.80.35 |
INFORMATION DETAILS
|
Analysis Done by
: |
DIV |
|
|
|
|
Report Prepared
by : |
SMN |
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.