MIRA INFORM REPORT
|
Report Date : |
26.12.2014 |
IDENTIFICATION DETAILS
|
Name : |
KONGKIAT TEXTILE
CO., LTD. |
|
|
|
|
Registered Office : |
19/9 Moo 3, Bualoy, Nongkae, Saraburi 18230 |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
31.12.2013 |
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|
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Date of Incorporation : |
22.09.1993 |
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|
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Com. Reg. No.: |
0105536108874 |
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|
Legal Form : |
Private Limited Company |
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|
|
Line of Business : |
Manufacturer, Distributor and Exporter of Yarns and Knitted Fabrics |
|
|
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|
No. of Employees : |
420 |
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 |
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Payment Behaviour : |
Slow but correct |
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Litigation : |
Clear |
NOTES:
Any query related to this report can be made
on e-mail: infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – September 30, 2014
|
Country Name |
Previous Rating (30.06.2014) |
Current Rating (30.09.2014) |
|
|
B1 |
B1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
With a well-developed
infrastructure, a free-enterprise economy, generally pro-investment policies,
and strong export industries,
|
Source
: CIA |
Company Name
KONGKIAT TEXTILE CO., LTD.
SUMMARY
BUSINESS ADDRESS : 19/9
MOO 3, BUALOY,
NONGKAE,
TELEPHONE : [66] 36
726-048
FAX :
[66] 36
726-045
E-MAIL ADDRESS : sales@kongkiat.com
REGISTRATION ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED : 1993
REGISTRATION NO. : 0105536108874 [Former : [3]
568/2536]
TAX ID NO. : 3011327937
CAPITAL REGISTERED
: BHT.
450,000,000
CAPITAL PAID-UP
: BHT.
404,700,000
SHAREHOLDER’S PROPORTION : THAI : 100 %
FISCAL YEAR
CLOSING DATE : DECEMBER 31
LEGAL STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR. DAMRONG KONGKIATKRAI, THAI
MANAGING DIRECTOR
NO. OF
STAFF : 420
LINES OF
BUSINESS : YARNS
AND KNITTED FABRICS
MANUFACTURER,
DISTRIBUTOR AND EXPORTER
CORPORATE PROFILE
OPERATING TREND : STABLE
PRESENT SITUATION : OPERATING NORMALLY
REPUTATION : FAIR
WITH
MANAGEMENT STANDARD : MANAGEMENT WITH
FAIR PERFORMANCE
HISTORY
The
subject was established
on September 22, 1993
as a private
limited company under
the name style
KONGKIAT TEXTILE CO., LTD.,
by Thai group,
Kongkiatkrai family, in
order to
manufacture top dyed
mélange yarn and
knitted fabrics. It
is one of
the largest spinning
factories in
The
subject has been
awarded the ISO 9002
certification by SGS [Thailand], Certificate
Number : Q 18142.
The
subject’s registered address
is 19/9 Moo 3,
Bualoy, Nongkae, Saraburi
18230, and this
is the subject’s
current operation address.
THE BOARD OF DIRECTOR
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Damrong Kongkiatkrai |
|
Thai |
59 |
|
Mr. Adul
Kongkiatkrai |
|
Thai |
62 |
AUTHORIZED PERSON
One
of the above
directors can sign
on behalf of
the subject with
company’s affixed.
MANAGEMENT
Mr. Damrong
Kongkiatkrai is the Managing Director.
He
is Thai nationality
with the age of
59 years old.
Mr. Adul
Kongkiatkrai is the
Sales Director.
He
is Thai nationality
with the age
of 62 years
old.
Mr. Samrej
Khawpuerk is the
Factory Manager.
He is
Thai
nationality.
Mr. Rungroj
Ratwongviroon is the
International Sales Director.
He
is Thai nationality.
Mrs. Ladda Kongkiatkrai is
the G.M., Administration and
Personnel Manager.
She
is Thai nationality.
BUSINESS OPERATIONS
The subject is
engaged in manufacturing
and dyeing service
various kinds of
fabric yarns, including
top dyed, fancy
mélange yarn, PFD yarn [prepare for
dyed yarn], raw
white effect yarn [RWRW],
NEP yarn, novelty
mélange effect yarn, space dyed
yarn, stripy effect yarn, fancy
effect yarn, luminous effect yarn, elegance
& luxury yarn, eco
& natural yarn, cotton
dyed yarn, linens yarn,
triblend yarn and
etc., as well as
knitted fabrics under
customer’s requirement.
MAJOR BRAND
“KONGKIAT”
PRODUCTION CAPACITY
4,800,000
tons/year
PURCHASE
80% of
raw materials is
purchased from local
suppliers, and the
remaining 20% such
as cotton and chemicals
are imported from Germany,
Republic of China,
Australia, India, France, Japan,
Malaysia, Indonesia and
Switzerland.
MAJOR SUPPLIERS
BASF [Thai]
Ltd. : Thailand
Louis T. Leonowens [Thailand] Ltd. :
Thailand
Indorama Ventures
Public Company Limited :
Thailand
Jong Stit
Co., Ltd. : Thailand
SALES [LOCAL]
The products
are supplied and
serviced to a variety of
knitting and weaving
products as follows:
Knitting : sportswear,
t-shirts, dresses, gloves,
underwear, under garments
and socks.
Weaving : suit, shirts,
blouses, denim, curtain
and flat knitting
for sweater
DISTRIBUTION
60%
of the products
is sold locally,
and 40% is
exported directly to
Vietnam, Republic of
China, India, Malaysia,
Taiwan, Sri Lanka,
Hong Kong, Bangladesh, Pakistan,
U.S.A., Egypt, Korea
and the countries
in Europe.
MAJOR CUSTOMERS
Sisic
Imp Corp : Egypt
Sun
Kook Trading Co.,
Ltd. : Korea
Yagi & Co [H.K.]
Ltd. : Hong
Kong
Bolan
Trading Company LLC : U.S.A.
World
Knitting Textile Co.,
Ltd. : Thailand
Thai
Interknit Factory Co.,
Ltd. : Thailand
Lee
Viwat Textile Industry
Co., Ltd. : Thailand
Freetex
Elastic Fabric Factory
Co., Ltd. : Thailand
Raja
Uchino Co., Ltd. : Thailand
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
according 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 T/T.
Exports are
against T/T.
BANKING
Kasikornbank Public Co.,
Ltd.
[Head Office : 1 Kasikorn Lane,
Rajburana Rd., Rajburana,
Bangkok 10140]
Bank of
Ayudhya Public Co., Ltd.
[Head Office
: 1222 Rama 3 Rd., Bangpongpang,
Yannawa, Bangkok 10120]
[Hinkong Branch : Hinkong,
Nongkae, Saraburi 18230]
EMPLOYMENT
The subject
employs approximately 420
staff [office staff
and factory workers].
LOCATION DETAILS
The premise is owned for administrative
office, factory and warehouse at the heading address. Premise is in provincial.
Bangkok Office: 23 Soi
Ratburana 44, Ratburana Rd., Ratburana, Bangkok 10140.
Tel: [66]
2463-0020-1, 2816-6960, Fax: [66] 2463-1914, 2464-1527
COMMENT
The subject was formed in 1993 engaged in manufacturing, distributing and
exporting of dyed yarn. Subject’s
sales were steadily
grown and had a
strong sales in
the past years.
However, industrial downturn
has resulted to
slow sales in
the previous year.
Improvement in export
markets especially U.S.A.
and some European
countries may contribute
a good business
this year.
FINANCIAL INFORMATION
The capital
was initially registered
at Bht. 2,000,000 divided into 20,000
shares of Bht.
100 each.
The capital
was increased later
as follows:
Bht. 210,000,000
on October 20,
1997
Bht. 299,000,000
on September 9,
1999
Bht. 450,000,000
on February 21,
2002
The latest
registered capital was increased to Bht. 450,000,000 divided into 4,500,000 shares
of Bht. 100
each, with the current capital paid-up at
Bht. 404,700,000 or
1,510,000 shares of
Bht. 70 each
and 2,990,000 shares
of Bht. 100
each.
THE SHAREHOLDERS LISTED WERE
[as at
April 30, 2014]
at Bht. 404,700,000
of capitalization.
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Damrong
Kongkiatkrai Nationality: Thai Address
: 30 Soi
Ratburana 44, Ratburana, Bangkok |
1,197,030 |
26.60 |
|
Mr. Boonchuay
Kongkiatkrai Nationality: Thai Address
: 208/79 Moo 8,
Rajburana, Bangkok 10140 |
1,197,030 |
26.60 |
|
Mr. Adul
Kongkiatkrai Nationality: Thai Address
: 38 Soi
Ratburana 44, Ratburana, Bangkok |
1,196,030 |
26.58 |
|
Mrs. Ladda
Kongkiatkrai Nationality: Thai Address
: 32 Soi
Ratburana 44, Ratburana, Bangkok |
908,910 |
20.20 |
|
Mrs. Manee
Kongkiatkrai Nationality: Thai Address
: 133 Moo 6, Suksawad 35
Rd., Ratburana, Bangkok 10140 |
1,000 |
0.02 |
Total Shareholders
: 5
Share Structure
[as at April
30, 2014]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
5 |
4,500,000 |
100.00 |
|
Foreign |
- |
- |
- |
|
Total |
5 |
4,500,000 |
100.00 |
NAME OF AUDITOR & CERTIFIED
PUBLIC ACCOUNTANT NO.
Mr.
Sitthichai Chantornsiripas No.
5953
BALANCE SHEET [BAHT]
The latest
financial figures published
for December 31, 2013,
2012 & 2011 were:
ASSETS
|
Current Assets |
2013 |
2012 |
2011 |
|
|
|
|
|
|
Cash
in hand &
at Bank |
15,235,129.97 |
20,021,466.49 |
11,659,140.78 |
|
Short-term
Investment |
27,598,667.99 |
- |
- |
|
Trade
Accounts & Other
Receivable |
92,952,929.93 |
103,834,100.38 |
73,541,533.42 |
|
Inventories |
108,590,616.34 |
127,522,289.82 |
198,751,558.84 |
|
Other
Current Assets |
- |
- |
3,644,312.99 |
|
|
|
|
|
|
Total Current
Assets |
244,377,344.23 |
251,377,856.69 |
287,596,546.03 |
|
Fixed
Assets |
112,210,696.62 |
128,841,345.55 |
149,858,762.53 |
|
Deferred
Income Tax Assets |
1,685,049.90 |
1,317,004.57 |
- |
|
Other
Non-current Assets
|
82,500.00 |
87,413.94 |
87,413.94 |
|
Total Assets
|
358,355,590.75 |
381,623,620.75 |
437,542,722.50 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2013 |
2012 |
2011 |
|
|
|
|
|
|
Bank
Overdraft & Short-term
Loan from
Financial Institution |
19,851,197.06 |
15,728,447.86 |
69,595,257.18 |
|
Trade
Accounts & Other
Payable |
21,712,693.78 |
24,921,276.68 |
3,508,932.52 |
|
Current
Portion of Finance Lease Contract
Liabilities |
1,309,397.45 |
1,234,764.96 |
1,034,033.12 |
|
Current
Portion of Long-term
Loan |
- |
1,404,000.00 |
- |
|
Other
Current Liabilities |
- |
- |
6,317,667.47 |
|
|
|
|
|
|
Total Current
Liabilities |
42,873,288.29 |
43,288,489.50 |
80,455,890.29 |
|
Finance
Lease Contract Liabilities
- Net |
690,527.82 |
1,999,908.30 |
2,904,237.62 |
|
Long-term
Loan |
- |
4,679,444.06 |
- |
|
Employee
Benefit Obligation |
4,731,192.00 |
2,639,954.00 |
1,429,748.00 |
|
Other
Non-current Liabilities |
238,985.00 |
248,985.00 |
248,985.00 |
|
|
|
|
|
|
Total Liabilities |
48,533,993.11 |
52,856,780.86 |
85,038,860.91 |
|
|
|
|
|
|
Shareholders'
Equity |
|
|
|
|
|
|
|
|
|
Share
capital : Baht 100 par
value
Authorized & issued share
capital
4,500,000 shares |
450,000,000.00 |
450,000,000.00 |
450,000,000.00 |
|
|
|
|
|
|
Capital
Paid |
404,700,000.00 |
404,700,000.00 |
404,700,000.00 |
|
Retained Earning - Unappropriated
[Deficit] |
[94,878,402.36] |
[75,933,160.11] |
[52,196,138.41] |
|
Total
Shareholders' Equity |
309,821,597.64 |
328,766,839.89 |
352,503,861.59 |
|
Total
Liabilities & Shareholders' Equity |
358,355,590.75 |
381,623,620.75 |
437,542,722.50 |
PROFIT & LOSS ACCOUNT
|
Revenue |
2013 |
2012 |
2011 |
|
|
|
|
|
|
Sales
& Services Income |
406,377,187.15 |
439,581,790.93 |
411,291,768.41 |
|
Other
Income |
2,699,705.70 |
4,852,115.89 |
1,437,563.47 |
|
Total Revenues
|
409,076,892.85 |
444,433,906.82 |
412,729,331.88 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost
of Sales &
Services |
367,883,132.20 |
420,365,226.53 |
355,425,459.44 |
|
Selling
Expenses |
15,627,089.10 |
15,047,829.44 |
12,511,851.94 |
|
Administrative Expenses |
43,510,783.16 |
31,421,092.69 |
53,572,719.10 |
|
Total Expenses |
427,021,004.46 |
466,834,148.66 |
421,510,030.48 |
|
|
|
|
|
|
Profit / [Loss] before
Financial Cost |
[17,944,111.61] |
[22,400,241.84] |
[8,780,698.60] |
|
Financial
Cost |
[1,001,130.64] |
[1,336,779.86] |
[1,664,079.58] |
|
|
|
|
|
|
Net Profit / [Loss] |
[18,945,242.25] |
[23,737,021.70] |
[10,444,778.18] |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2013 |
2012 |
2011 |
|
|
|
|
|
|
|
LIQUIDITY
RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
5.70 |
5.81 |
3.57 |
|
QUICK RATIO |
TIMES |
3.17 |
2.86 |
1.06 |
|
|
|
|
|
|
|
ACTIVITY
RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
3.62 |
3.41 |
2.74 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.13 |
1.15 |
0.94 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
107.74 |
110.73 |
204.11 |
|
INVENTORY TURNOVER |
TIMES |
3.39 |
3.30 |
1.79 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
83.49 |
86.22 |
65.26 |
|
RECEIVABLES TURNOVER |
TIMES |
4.37 |
4.23 |
5.59 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
21.54 |
21.64 |
3.60 |
|
CASH CONVERSION CYCLE |
DAYS |
169.69 |
175.30 |
265.77 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
90.53 |
95.63 |
86.42 |
|
SELLING & ADMINISTRATION |
% |
14.55 |
10.57 |
16.07 |
|
INTEREST |
% |
0.25 |
0.30 |
0.40 |
|
GROSS PROFIT MARGIN |
% |
10.14 |
5.48 |
13.93 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
(4.42) |
(5.10) |
(2.13) |
|
NET PROFIT MARGIN |
% |
(4.66) |
(5.40) |
(2.54) |
|
RETURN ON EQUITY |
% |
(6.11) |
(7.22) |
(2.96) |
|
RETURN ON ASSET |
% |
(5.29) |
(6.22) |
(2.39) |
|
EARNING PER SHARE |
BAHT |
(4.68) |
(5.87) |
(2.58) |
|
|
|
|
|
|
|
LEVERAGE
RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.14 |
0.14 |
0.19 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.16 |
0.16 |
0.24 |
|
TIME INTEREST EARNED |
TIMES |
(17.92) |
(16.76) |
(5.28) |
|
|
|
|
|
|
|
ANNUAL
GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
(7.55) |
6.88 |
|
|
OPERATING PROFIT |
% |
(19.89) |
155.11 |
|
|
NET PROFIT |
% |
20.19 |
(127.26) |
|
|
FIXED ASSETS |
% |
(12.91) |
(14.02) |
|
|
TOTAL ASSETS |
% |
(6.10) |
(12.78) |
|
ANNUAL GROWTH: RISKY
An annual sales growth is -7.55%. Turnover has decreased from THB
PROFITABILITY
: RISKY
PROFITABILITY
RATIO
|
Gross Profit Margin |
10.14 |
Acceptable |
Industrial Average |
19.11 |
|
Net Profit Margin |
(4.66) |
Deteriorated |
Industrial Average |
0.38 |
|
Return on Assets |
(5.29) |
Deteriorated |
Industrial Average |
0.30 |
|
Return on Equity |
(6.11) |
Deteriorated |
Industrial Average |
0.66 |
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 10.14%. 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 -4.66%.
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 -5.29%.
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 -6.11%.
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 |
5.70 |
Impressive |
Industrial Average |
1.68 |
|
Quick Ratio |
3.17 |
|
|
|
|
Cash Conversion Cycle |
169.69 |
|
|
|
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 5.7 times in 2013, decreased from 5.81 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 higher, indicated that company
was an efficient operator in a dominant position within its industry.
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 3.17 times in 2013,
increased from 2.86 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 170 days.
Trend
of the average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE
: SATISFACTORY
LEVERAGE
RATIO
|
Debt Ratio |
0.14 |
Impressive |
Industrial Average |
0.71 |
|
Debt to Equity Ratio |
0.16 |
Impressive |
Industrial Average |
1.55 |
|
Times Interest Earned |
(17.92) |
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 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 -17.93 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 0.14 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 |
3.62 |
Impressive |
Industrial Average |
- |
|
Total Assets Turnover |
1.13 |
Impressive |
Industrial Average |
1.01 |
|
Inventory Conversion Period |
107.74 |
|
|
|
|
Inventory Turnover |
3.39 |
Impressive |
Industrial Average |
3.01 |
|
Receivables Conversion Period |
83.49 |
|
|
|
|
Receivables Turnover |
4.37 |
Satisfactory |
Industrial Average |
4.73 |
|
Payables Conversion Period |
21.54 |
|
|
|
The company's Account Receivable Ratio is calculated as 4.37 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 111 days at the
end of 2012 to 108 days at the end of 2013. This represents a positive trend.
And Inventory turnover has increased from 3.3 times in year 2012 to 3.39 times
in year 2013.
The company's Total Asset Turnover is calculated as 1.13 times and 1.15
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.63.45 |
|
|
1 |
Rs.98.88 |
|
Euro |
1 |
Rs.77.62 |
INFORMATION DETAILS
|
Analysis Done by
: |
SUM |
|
|
|
|
Report Prepared
by : |
NIT |
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.