MIRA
INFORM REPORT
|
Report Date : |
01.02.2014 |
IDENTIFICATION DETAILS
|
Name : |
AMPACET [ |
|
|
|
|
Registered Office : |
Eastern
Seaboard Industrial Estate, 64/19 Moo
4, Highway No.
331, t. Pluakdaeng, a.
Pluakdaeng, Rayong 21140,
|
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
31.12.2012 |
|
|
|
|
Date of Incorporation : |
18.11.1998 |
|
|
|
|
Com. Reg. No.: |
0105541072254 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Subject is engaged in
manufacturing and distributing wide
range of Masterbatch and
additives which can
be used in
virtually, all major
plastics processes such
as blown and
cast film, extrusion
coating, wire and
cable pipe and
conduit, injection molding
and fiber spinning. |
|
|
|
|
No. of Employees : |
200 |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Status : |
Satisfactory |
|
Payment Behaviour : |
No complaints |
|
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, 2013
|
Country Name |
Previous Rating (30.06.2013) |
Current Rating (30.09.2013) |
|
Thailand |
B1 |
B1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
THAILAND - ECONOMIC OVERVIEW
With a well-developed infrastructure, a free-enterprise economy, generally pro-investment policies, and strong export industries, Thailand achieved steady growth due largely to industrial and agriculture exports - mostly electronics, agricultural commodities, automobiles and parts, and processed foods. Thailand is trying to maintain growth by encouraging domestic consumption and public investment to offset weak exports in 2012. Unemployment, at less than 1% of the labor force, stands as one of the lowest levels in the world, which puts upward pressure on wages in some industries. Thailand also attracts nearly 2.5 million migrant workers from neighboring countries. The Thai government is implementing a nation-wide 300 baht ($10) per day minimum wage policy and deploying new tax reforms designed to lower rates on middle-income earners. The Thai economy has weathered internal and external economic shocks in recent years. The global economic crisis severely cut Thailand's exports, with most sectors experiencing double-digit drops. In 2009, the economy contracted 2.3%. However, in 2010, Thailand's economy expanded 7.8%, its fastest pace since 1995, as exports rebounded. In late 2011 growth was interrupted by historic flooding in the industrial areas in Bangkok and its five surrounding provinces, crippling the manufacturing sector. Industry recovered from the second quarter of 2012 onward with GDP growth at 5.5% in 2012. The government has 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 next seven years with a plan to start in 2013
|
Source
: CIA |
Company name
AMPACET
[THAILAND] CO., LTD.
SUMMARY
BUSINESS
ADDRESS : EASTERN SEABOARD
INDUSTRIAL ESTATE,
64/19 MOO
4, HIGHWAY NO.
331,
T.
PLUAKDAENG, A. PLUAKDAENG,
RAYONG
21140, THAILAND
TELEPHONE : [66] 38
927-999, 38 955-247-52
FAX
: [66] 38
955-250, 38 927-970
E-MAIL
ADDRESS : ampacet@ampacet.co.th
tmatjnd@ampacet.com
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1998
REGISTRATION
NO. : 0105541072254 [Former : 1089/2541]
TAX
ID NO. : 3011978689
CAPITAL REGISTERED : BHT. 615,534,000
CAPITAL PAID-UP : BHT.
615,534,000
SHAREHOLDER’S PROPORTION : FOREIGN
: 100%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR.
ROBERT A. DE
FALGO, AMERICAN
PRESIDENT
& CHIEF EXECUTIVE OFFICER
NO.
OF STAFF : 200
LINES
OF BUSINESS : PETROCHEMICAL PRODUCTS
MANUFACTURER, DISTRIBUTOR
& EXPORTER
CORPORATE PROFILE
OPERATING
TREND : STABLE
PRESENT
SITUATION : OPERATING NORMALLY
REPUTATION : GOOD
WITH NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT
STANDARD : MANAGEMENT WITH
FAIR PERFORMANCE
HISTORY
The subject was
established on November 18,
1998 as a
private limited company
under the name
style AMPACET [THAILAND]
CO., LTD. by
foreign groups, with
the objective to be
engaged in the
petrochemical industry particularly
the polymer business.
It currently employs
approximately 200 staff.
Subject is a
wholly owned subsidiary
of Ampacet Belgium
SPRL, Belgium.
Ampacet has been
a technology leader
in the plastic industry,
with 17 manufacturing
plants located on
four continents.
AMPACET WORLDWIDE
Ampacet
World Headquarters: Tarrytown,
NY
World Technology Center:
Terre Haute, IN
Manufacturing Sites: Terre
Haute, IN; Cartersville,
GA; DeRidder, LA;
Crockett, TX; Heath,
OH
Ampacet Europe
Headquarters: Howald Luxembourg
Technology Center: Messancy,
Belgium Manufacturing Sites: Messancy,
Belgium; Telgate, Italy
Ampacet Canada
Headquarters: Kitchener, Ontario
Technology Center: Kitchener,
Ontario Manufacturing Sites:
Kitchener, Ontario; Delta,
British Columbia
Ampacet Asia
Headquarters: ESIE - Rayong, Thailand
Technology Center: ESIE - Rayong,
Thailand
Manufacturing Site:
ESIE-Rayong, Thailand
Ampacet South America
Headquarters: Tortuguitas, Pcia.
Buenos Aires, Argentina
Technology Center: Tortuguitas,
Argentina Manufacturing Sites:
Tortuguitas, Argentina; Santiago,
Chile
The subject is also serving as Ampacet Asia’s headquarters, providing a
technical, administrative and
financial function. The
sales office is
in Malaysia.
The subject also
received promotional privilege
from Board of
Investment for the production.
The
subject’s registered address
is Eastern Seaboard
Industrial Estate, 64/19
Moo 4, Highway
No. 331, T. Pluakdaeng, A. Pluakdaeng, Rayong 21140, and this is
the company’s current
operation address.
THE BOARD OF
DIRECTOR
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Robert A.
De Falgo |
|
American |
79 |
|
Ms. Udomsri Sak-arpa |
|
Thai |
47 |
|
Mr. Kam Ming
Mui |
|
Chinese |
61 |
|
Mr. Joel Slutsky |
|
American |
80 |
|
Mr. Christian Carnevali |
|
Belgian |
59 |
|
Mr. Yves A. J.
Carette |
|
Belgian |
60 |
|
Mr. Bennett L.
Schwartz |
|
American |
47 |
|
Mr. Kamthon Sa-nguanpruk |
|
Thai |
43 |
|
Mrs. Nathakamol Klin-udom |
|
Thai |
51 |
|
Mr. Gustavo Javier Lidzki |
|
Argentine |
50 |
AUTHORIZED PERSON
Any two of
the above directors
can jointly sign
on behalf of
the subject with
company’s affixed.
MANAGEMENT
Mr. Robert A. De Falgo
is the President
& Chief Executive
Officer.
He is American
nationality with the
age of 79
years old.
Mr. Christian Carnevali is
the Vice President
[Technical & Manufacturing].
He is Belgian
nationality with the
age of 59
years old.
Mr. Gustavo Javier
Lidzki is the
Managing Director.
He is Argentine
nationality with the
age of 50
years old.
Ms. Udomsri Sak-arpa
is the Deputy
Managing Director.
She is Thai
nationality with the
age of 47
years old.
Mrs. Nathakamol Klin-udom is
the Human Resources
Manager.
She is Thai
nationality with the
age of 51
years old.
BUSINESS OPERATIONS
The
subject is engaged
in manufacturing and
distributing wide range
of Masterbatch and
additives which can
be used in
virtually, all major
plastics processes such
as blown and
cast film, extrusion
coating, wire and
cable pipe and
conduit, injection molding
and fiber spinning. Its
products are supplied
to various industries,
such as agricultural,
foods and non-foods,
consumer products, textile, plastic,
non-woven, packaging and others.
The
products are as
follows:
MASTERBATCHES:
·
White - used
for utilities and
high - quality thick/ thin wall
applications for injection
and blow molding,
cast, blown and
extrusion coating films,
ease of incorporation, food
contact acceptable grades,
weatherable grades, UV
blocking grades, photographic
paper grades, engineering
resin grades and
highly loaded products
up to 80%.
·
Black - used
for ultra dispersion,
ease of processability
and distribution at its
customer, durability from
ultra violet light,
durability against extreme
weather conditions, electro-static conductive
grades, food contact
acceptable grades, photo-degradable products,
super-jet-blanks/deep-black
colors, photographic paper
grades, high temperature
resistance grades, highly
loaded products up
to 60%, low
loaded products for
tinting, and custom
compounds.
·
Color - comprising
pearlescents, metallic, phosphorescents, fluorescents,
scented, laser marking,
granite & marble effects.
ADDITIVE
MASTERBATCHES:
Comprising antistats, antiblock,
antifog, antioxidants, BOPP
specialty additives, chemical
foaming, flame retardants,
mineral fillers, optical brighteners,
process aids, purge
compounds, release agents,
scents, shut-down compounds,
slips, slip and antiblock
combinations, ultraviolet absorbers
and ultraviolet absorbers
inhibitors.
PRODUCTION CAPACITY
6,500 tons per
year
IMPORT [COUNTRIES]
80% of raw material and
chemical are imported
from United States
of America, Canada,
France, Germany, Belgium, Republic of
China and Taiwan,
and the remaining 20% is
purchased from local
suppliers.
MAJOR SUPPLIERS
Ampacet Corporation : United States
of America
Ampacet Belgium SPRL : Belgium
Du Pont [Thailand]
Ltd. : Thailand
EXPORT [COUNTRY]
80% of its
products is exported to
countries in Asian
region such as
Singapore, Taiwan, India,
Philippines, Malaysia, Hong
Kong, Indonesia, Australia,
Canada, New Zealand,
Vietnam and Republic
of China.
SALES [LOCAL]
20% of its
products is sold
locally to manufacturers.
SUBSIDIARY AND AFFILIATED
COMPANY
The subject is
not found to
have any subsidiary
or affiliated company
here in Thailand.
LITIGATION
Bankruptcy and Receivership
There are no
litigation on bankruptcy
and receivership cases
filed against the
subject found at
Legal Execution Department
for the past
five years.
Others
There are no
legal suits filed
against the subject
for the past
two years.
CREDIT
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.
Exports
are against L/C
at sight or
T/T.
BANKING
United Overseas Bank
[Thai] Public Co.,
Ltd.
[ Rayong Branch ]
Bangkok Bank Public
Co., Ltd.
[ Sriracha Branch ]
EMPLOYMENT
The subject employs
approximately 200 staff.
[office staff and
factory workers]
LOCATION DETAILS
The premise is
owned for administrative office,
factory and warehouse
on the land
area of 65,000
square meters at
the heading address.
Premise is located
in an industrial
area.
Branches/Representative Office:
HCMC-Resident Representative Office :
- Suite No. 19,
4th Floor, Saigon
Centre, 65 Le Loi
HCMC
Vietnam
India Branch Office
:
- 408, B
Wing, Everest Chambers,
Andheri Kurla Rd.,
Marol Naka Andheri [East],
Mumbai, India
Philippines Branch Office
:
- CEVA Warehouse
Building 2, 1 Sta.
Agueda St., Along
Pascor Drive, Sto.
Nino
Paranaque City,
Philippines
COMMENT
Ampacet [Thailand] Co., Ltd. has
served Ampacet Asia’s
headquarters, providing a
technical, administrative and
financial function due to an
expanding sales in
this region. The company has the full capability to produce full range of white
and additive masterbatches, with
an emphasis on
specialty products, which
has a better
position to serve
the Asian market.
Since establishment, customers
have relied on
Ampacet for consistency
of product quality.
Ampacet masterbatches are
recognized worldwide for their quality
and consistency.
In 2012, the demand of
petrochemical products in Asia
has drastically declined especially
in Republic of
China. Subject reported
slightly dropped of
sales revenue in
2012, while its
sales in 2013
remained still. Generally,
its business prospect
this year is
still promising despite
of a political
unrest and low
consumer spending.
FINANCIAL INFORMATION
The capital was initially registered
at Bht. 130,000,000
divided into 1,300,000
shares of Bht.
100 each.
The capital were
increased later as
follows:
Bht.
574,000,000 on January
5, 2001
Bht.
615,534,000 on November
11, 2005
The latest registered
capital was increased
to Bht. 615,534,000
divided into 6,155,340
shares of Bht.
100 each with
fully paid.
THE SHAREHOLDERS LISTED
WERE : [as
at April 29,
2013]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Ampacet Belgium SPRL
Nationality: Belgian Address : Belgium |
6,155,334 |
100.00 |
|
Mr. Robert A. De Falco Nationality: American Address : U.S.A. |
1 |
- |
|
Mr. Joel Slutsky Nationality: American Address : New
York, U.S.A. |
1 |
- |
|
Mr. Bennett L. Schwartz Nationality: American Address : U.S.A. |
1 |
- |
|
Mr. Andrew Mccallan Nationality: American Address : U.S.A. |
1 |
- |
|
Mrs. Gel Binderman Nationality: American Address : New
York, U.S.A. |
1 |
- |
|
Mr. Christian Carnevali Nationality: Belgian Address : JHL
Golf Villa House,
12 Burapa Golf Club, Moo 4 ,
Sriracha, Chonburi |
1 |
- |
Total Shareholders : 7
Share Structure [as
at April 29,
2013]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
- |
- |
- |
|
Foreign |
7 |
6,155,340 |
100.00 |
|
Total |
7 |
6,155,340 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Mr. Somkid Tiatrakul
No. 2785
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
|
61,079,495 |
20,573,729 |
86,778,666 |
|
Trade Accounts & Other
Receivable |
496,086,292 |
473,891,216 |
453,041,024 |
|
Accounts Receivable
Related Company |
358,168,089 |
254,459,197 |
138,263,495 |
|
Inventories |
530,496,746 |
693,223,699 |
478,732,756 |
|
Other Current Assets
|
53,113,338 |
44,742,756 |
15,582,772 |
|
|
|
|
|
|
Total Current Assets
|
1,498,943,960 |
1,486,890,597 |
1,172,398,713 |
|
Investment in Subsidiaries |
43,899,443 |
50,599,443 |
50,599,443 |
|
Cash at bank under
Restriction |
3,350,000 |
3,350,000 |
3,350,000 |
|
Fixed Assets |
439,932,877 |
365,038,018 |
377,591,320 |
|
Computer Programme |
3,079,447 |
1,281,711 |
956,590 |
|
Non-operating Land |
- |
22,000,000 |
22,000,000 |
|
Other Non-current Assets |
2,167,573 |
1,570,821 |
1,439,167 |
|
Total Assets |
1,991,373,300 |
1,930,730,590 |
1,628,335,233 |
LIABILITIES & SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Trade Accounts Payable |
61,943,065 |
107,775,932 |
174,860,005 |
|
Accounts Payable Related Company
|
110,873,403 |
124,974,292 |
46,124,720 |
|
Loan from Related
Company |
29,895,300 |
27,708,836 |
25,122,674 |
|
Other Current Liabilities |
89,014,121 |
112,476,055 |
93,653,281 |
|
|
|
|
|
|
Total Current Liabilities |
291,725,889 |
372,935,115 |
339,760,680 |
|
Total Liabilities |
291,725,889 |
372,935,115 |
339,760,680 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100
value authorized, issued
and fully paid share
capital 6,155,340 shares |
615,534,000 |
615,534,000 |
615,534,000 |
|
|
|
|
|
|
Capital Paid |
615,534,000 |
615,534,000 |
615,534,000 |
|
Accumulating from Conversion
of Foreign Exchange Rate |
11,988,938 |
11,988,938 |
13,192,510 |
|
Retained Earning Appropriated for Statutory Reserve |
38,220,000 |
23,220,000 |
16,020,000 |
|
Unappropriated |
1,034,861,704 |
907,052,537 |
643,828,043 |
|
Total Shareholders' Equity |
1,699,647,411 |
1,557,795,475 |
1,288,574,553 |
|
Total Liabilities & Shareholders' Equity |
1,991,373,300 |
1,930,730,590 |
1,628,335,233 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Sales Income |
3,051,154,080 |
3,131,759,062 |
2,651,275,879 |
|
Other Income |
1,960,195 |
191,706 |
481,476 |
|
Total Revenues |
3,053,114,275 |
3,131,950,768 |
2,651,757,355 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold |
2,452,620,610 |
2,470,715,233 |
2,136,529,837 |
|
Selling Expenses |
152,777,809 |
156,669,327 |
161,189,832 |
|
Administrative Expenses |
231,764,483 |
215,671,618 |
168,278,289 |
|
Profit/[Loss] on Exchange Rate |
2,771,309 |
[29,772,749] |
16,449,475 |
|
Total Expenses |
2,839,934,211 |
2,813,283,429 |
2,482,447,433 |
|
|
|
|
|
|
Profit before Financial Cost & Income Tax |
213,180,164 |
318,667,339 |
169,309,922 |
|
Financial Cost |
[2,111,564] |
[1,905,288] |
[1,664,938] |
|
Profit before Income Tax |
211,068,600 |
316,762,051 |
167,644,984 |
|
Income Tax |
[23,940,973] |
[24,178,333] |
[25,113,489] |
|
Net Profit / [Loss] |
187,127,627 |
292,583,718 |
142,531,495 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2012 |
2011 |
2010 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
5.14 |
3.99 |
3.45 |
|
QUICK RATIO |
TIMES |
3.14 |
2.01 |
2.00 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
6.94 |
8.58 |
7.02 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.53 |
1.62 |
1.63 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
78.95 |
102.41 |
81.79 |
|
INVENTORY TURNOVER |
TIMES |
4.62 |
3.56 |
4.46 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
59.35 |
55.23 |
62.37 |
|
RECEIVABLES TURNOVER |
TIMES |
6.15 |
6.61 |
5.85 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
9.22 |
15.92 |
29.87 |
|
CASH CONVERSION CYCLE |
DAYS |
129.08 |
141.72 |
114.28 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
80.38 |
78.89 |
80.58 |
|
SELLING & ADMINISTRATION |
% |
12.60 |
11.89 |
12.43 |
|
INTEREST |
% |
0.07 |
0.06 |
0.06 |
|
GROSS PROFIT MARGIN |
% |
19.68 |
21.11 |
19.43 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
6.99 |
10.18 |
6.39 |
|
NET PROFIT MARGIN |
% |
6.13 |
9.34 |
5.38 |
|
RETURN ON EQUITY |
% |
11.01 |
18.78 |
11.06 |
|
RETURN ON ASSET |
% |
9.40 |
15.15 |
8.75 |
|
EARNING PER SHARE |
BAHT |
30.40 |
47.53 |
23.16 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.15 |
0.19 |
0.21 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.17 |
0.24 |
0.26 |
|
TIME INTEREST EARNED |
TIMES |
100.96 |
167.25 |
101.69 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
(2.57) |
18.12 |
|
|
OPERATING PROFIT |
% |
(33.10) |
88.22 |
|
|
NET PROFIT |
% |
(36.04) |
105.28 |
|
|
FIXED ASSETS |
% |
20.52 |
(3.32) |
|
|
TOTAL ASSETS |
% |
3.14 |
18.57 |
|
ANNUAL GROWTH :
ACCEPTABLE
An annual sales growth is -2.57%. Turnover has decreased from THB 3,131,759,062.00
in 2011 to THB 3,051,154,080.00 in 2012. While net profit has decreased from
THB 292,583,718.00 in 2011 to THB 187,127,627.00 in 2012. And total assets has
increased from THB 1,930,730,590.00 in 2011 to THB 1,991,373,300.00 in 2012.
PROFITABILITY :
ACCEPTABLE
PROFITABILITY
RATIO
|
Gross Profit Margin |
19.68 |
Deteriorated |
Industrial
Average |
42.14 |
|
Net Profit Margin |
6.13 |
Satisfactory |
Industrial
Average |
8.07 |
|
Return on Assets |
9.40 |
Acceptable |
Industrial
Average |
13.02 |
|
Return on Equity |
11.01 |
Deteriorated |
Industrial
Average |
23.08 |
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 19.68%. 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 6.13%. 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 9.4%.
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 11.01%.
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 |
5.14 |
Impressive |
Industrial
Average |
1.20 |
|
Quick Ratio |
3.14 |
|
|
|
|
Cash Conversion Cycle |
129.08 |
|
|
|
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 5.14 times in 2012, increased from 3.99 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 3.14 times in 2012,
increased from 2.01 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 130 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Downtrend
LEVERAGE :
EXCELLENT
LEVERAGE RATIO
|
Debt Ratio |
0.15 |
Impressive |
Industrial
Average |
0.42 |
|
Debt to Equity Ratio |
0.17 |
Impressive |
Industrial
Average |
0.72 |
|
Times Interest Earned |
100.96 |
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 100.96 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 0.15 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 Downtrend
Times Interest Earned Downtrend
ACTIVITY :
IMPRESSIVE
ACTIVITY RATIO
|
Fixed Assets Turnover |
6.94 |
Impressive |
Industrial
Average |
- |
|
Total Assets Turnover |
1.53 |
Satisfactory |
Industrial
Average |
1.61 |
|
Inventory Conversion Period |
78.95 |
|
|
|
|
Inventory Turnover |
4.62 |
Acceptable |
Industrial
Average |
8.76 |
|
Receivables Conversion Period |
59.35 |
|
|
|
|
Receivables Turnover |
6.15 |
Impressive |
Industrial
Average |
3.71 |
|
Payables Conversion Period |
9.22 |
|
|
|
The company's Account Receivable Ratio is calculated as 6.15 and 6.61 in
2012 and 2011 respectively. This ratio measures the efficiency of the company
in managing its trade debtors to generate revenue. A lower ratio may indicate
over extension and collection problems. Conversely, a higher ratio may indicate
an overtly stringent policy. In this case, the company's A/R ratio in 2012 decreased
from 2011. This would suggest the company had deteriorated in the management of
its debt collections.
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 102 days at the end of 2011 to
79 days at the end of 2012. This represents a positive trend. And Inventory
turnover has increased from 3.56 times in year 2011 to 4.62 times in year 2012.
The company's Total Asset Turnover is calculated as 1.53 times and 1.62 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 Downtrend
Total Assets Turnover Uptrend
Inventory Turnover Uptrend
Receivables Turnover Downtrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.62.48 |
|
|
1 |
Rs.102.95 |
|
Euro |
1 |
Rs.84.60 |
INFORMATION DETAILS
|
Report Prepared
by : |
NIS |
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit transaction.
It has above average (strong) capability for payment of interest and
principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General unfavourable
factors will not cause fatal effect. Satisfactory capability for payment of
interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall
operation is considered normal. Capable to meet normal commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with full
security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
-- |
NB |
New Business |
-- |
This score serves as a reference to assess SC’s credit risk and
to set the amount of credit to be extended. It is calculated from a composite
of weighted scores obtained from each of the major sections of this report. The
assessed factors and their relative weights (as indicated through %) are as
follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.