MIRA
INFORM REPORT
|
Report Date : |
04.02.2014 |
IDENTIFICATION DETAILS
|
Name : |
SCG PLASTICS CO.,
LTD. |
|
|
|
|
Formerly Known As : |
CCC CHEMICAL COMMERCE
CO., LTD. |
|
|
|
|
Registered Office : |
|
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
31.12.2012 |
|
|
|
|
Date of Incorporation : |
25.04.1995 |
|
|
|
|
Com. Reg. No.: |
0105538050741 |
|
|
|
|
Legal Form : |
Private
Limited Company |
|
|
|
|
Line of Business : |
distributor
and exporter of
Poly-olefins, such as
Polyethylene [PE], [EL-Lene
Polyethylene Plastic
Resin], Polypropylene [PP],
[EL-Pro Polypropylene Plastic
Resin], High Density
Polyethylene [HDPE], Low
Density Polyethylene [LDPE],
and Linear Low
Density Polyethylene
[LLDPE], as well
as Pulverized Powders
and Compounded Resins. |
|
|
|
|
No. of Employees : |
100 |
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 : |
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 – december 01, 2013
|
Country Name |
Previous Rating (30.09.2013) |
Current Rating (01.12.2013) |
|
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
SCG PLASTICS
CO., LTD.
[FORMER : CCC CHEMICAL COMMERCE
CO., LTD.]
SUMMARY
BUSINESS
ADDRESS : 1
SIAM CEMENT ROAD, KWAENG BANGSUE,
KHET BANGSUE,
TELEPHONE : [66] 2586-6262,
2586-5809, 2586-5897, 2586-5988
FAX :
[66] 2586-5514,
2586-2093, 2586-3907
E-MAIL
ADDRESS : chalermh@scg.co.th
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1995
REGISTRATION
NO. : 0105538050741 [Former : [1]
1129/]2538]
TAX
ID NO. : 3011580127
CAPITAL REGISTERED : BHT. 10,000,000
CAPITAL PAID-UP : BHT. 5,000,000
FISCAL YEAR CLOSING DATE : DECEMBER 31
SHAREHOLDER’S PROPORTION : THAI :
100%
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR.
SAKCHAI PATIPARNPREECHAVUD, THAI
MANAGING DIRECTOR
NO.
OF STAFF : 100
LINES
OF BUSINESS : PETROCHEMICAL DISTRIBUTOR AND
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 April
25, 1995 as
a private limited
company under the
registered name “Siam Chemical
Trading Co., Ltd.” with
the business objective
to distribute petrochemical
products, specialized in
Poly-olefins to both
domestic and export
markets. On January
2, 2002, subject’s name
was changed to “CCC Chemical
Commerce Co., Ltd.”, and
finally changed to “SCG
PLASTICS CO., LTD.” on
January 3, 2007.
It currently employs
approximately 100 staff.
At present, subject
is a wholly
owned subsidiary of
“SCG Chemicals Co.,
Ltd.” [Former : Cementhai
Chemicals Co., Ltd.], which
is a wholly
owned subsidiary of
Siam Cement Public
Company Limited, and
is also a
member of The
Siam Cement Group
in petrochemicals business,
which has over
30 affiliated companies.
The
subject’s registered address
is 1 Siam Cement Rd., Kwaeng Bangsue, Khet
Bangsue, Bangkok 10800,
and this is
the subject’s current
operation address.
THE BOARD
OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Rungroj Rangsiyopas |
|
Thai |
50 |
|
Mr. Somchai Wangwattanapanich |
|
Thai |
54 |
|
Mr. Cholanat Yanaranop |
|
Thai |
54 |
|
Mr. Sakchai Patiparnpreechavud |
|
Thai |
46 |
|
Mr. Chavalit Ekabut |
|
Thai |
54 |
|
Mr. Yuttana Jiamtragan |
|
Thai |
50 |
AUTHORIZED PERSON
Any two of
the above directors
can jointly sign on
behalf of the
subject with company’s
affixed.
MANAGEMENT
Mr. Sakchai
Patiparnpreechavud is the
Managing Director.
He is Thai
nationality with the
age of 46
years old.
Mr. Visith Trichaivichitkul is
the Export Sales
Manager.
He is Thai
nationality.
Mr. Chaovakit Treechak is
the Local Sales
Manager.
He is Thai nationality.
BUSINESS OPERATIONS
The subject’s activities are
distributor and exporter of
wide range of
Poly-olefins, such as
Polyethylene [PE], [EL-Lene
Polyethylene Plastic Resin], Polypropylene
[PP], [EL-Pro Polypropylene
Plastic Resin], High
Density Polyethylene [HDPE],
Low Density Polyethylene
[LDPE], and Linear
Low Density Polyethylene [LLDPE], as
well as Pulverized
Powders and Compounded
Resins.
PURCHASE
100% of the
products is purchased
from associated companies in
Petrochemical Business Group
of Siam Cement
Group.
MAJOR SUPPLIERS
Thai Polyethylene Co.,
Ltd : Thailand
Thai Polypropylene Co., Ltd. : Thailand
SCG Polyolefins Co.,
Ltd. : Thailand
SALES [LOCAL]
40% of its
products is sold
locally to manufacturers, wholesalers
and end-users.
EXPORT [COUNTRIES]
60% of its
products is exported
to Hong Kong, Indonesia, Malaysia, India, Singapore,
Australia, Republic of
China, Vietnam, Japan,
Myanmar, Laos, Taiwan, Chile, United
States of America
and Philippines.
The subject has
representatives and overseas
branches in Guizhou,
Shanghai, Myanmar, Laos
and Vietnam.
MAJOR CUSTOMERS
CCC Chemical Commerce
[China] Co., Ltd. : Republic
of China
Grand Siam Composites
Co., Ltd. : Thailand
SCG Trading [U.S.A]
Inc. : United
States of America
Universal Polymer Co.,
Ltd. : Thailand
MC Industrial Chemical
Co., Ltd. :
Thailand
SUBSIDIARIES &
AFFILIATED COMPANIES
The Siam Cement Group
[Petrochemical Business]:
|
Name |
Country |
Line of
Business |
|
|
|
|
|
Thai Polyethylene Co., Ltd. |
Thailand |
Manufacturer of polyethylene [HDPE,
MDPE, LLDPE] |
|
Thai Polypropylene Co., Ltd. |
Thailand |
Manufacturer of polypropylene |
|
SCG Plastics Co.,
Ltd. |
Thailand |
Trading company |
|
SCG Performance Chemicals Co., Ltd. |
Thailand |
Trading company |
|
SCG Polyolefins Co.,
Ltd. |
Thailand |
Trading company |
|
Rayong Engineering &
Plant Service Co.,
Ltd. |
Thailand |
Engineering and plant
service |
|
RIL 1996 Co.,
Ltd. |
Thailand |
Industrial estate |
|
SCG Chemicals [Singapore] Pte. Ltd. |
Thailand |
Holding company |
|
Tuban Petrochemicals Pte.
Ltd. |
Thailand |
Holding company |
|
Rayong Pipeline Co.,
Ltd. |
Thailand |
Rights of way
and use |
|
Map Ta Phut
Tank Terminal Co., Ltd. |
Thailand |
Warehouse and transportation services |
|
PT. TPC Indo Plastic &
Chemical |
Thailand |
PVC resins |
|
Map Ta Phut Olefins Co., Ltd. |
Thailand |
Raw material for plastic
resins |
|
Thai Plastic and
Chemicals Plc. |
Thailand |
Plastic resins and
PVC compound |
|
TPC Paste Resin Co., Ltd. |
Thailand |
PVC paste resins |
|
Nawa Plastic Industries Co., Ltd. |
Thailand |
PVC pipe and PVC products |
|
Nawa Intertech Co., Ltd. |
Thailand |
Molding |
|
& 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
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.
Exports are against
L/C at sight
and T/T.
BANKING
Kasikornbank Public Co., Ltd.
[Head Office
: 1 Kasikorn
Lane, Rajburana Rd.,
Rajburana, Bangkok ]
The Siam Commercial
Bank Public Co., Ltd.
[Head Office
: 9 Ratchadapisek
Rd., Ladyao, Jatujak,
Bangkok 10900]
EMPLOYMENT
The subject employs
approximately 100 office
staff and sales
staff.
LOCATION DETAILS
The premise is
rented for administrative office
at the heading address.
Premise is located
in commercial/residential area.
COMMENT
Subject was formed
in 1995 as a distributor
and exporter of petrochemical products.
Its products are mostly
for industrial users.
Insufficient production capacity of
crude oil and other petrochemical products continued to stimulate the fast
growth of the petrochemical. The products
have been served
to PVC and plastic
production industries.
Subject’s business is
solid and continued
expanding.
FINANCIAL INFORMATION
The capital was
registered at Bht.
10,000,000 divided into
100,000 shares of
Bht. 100 each, with
the current capital
paid-up at Bht.
5,000,000 or Bht.
50 @ 100,000 shares.
THE SHAREHOLDERS LISTED
WERE : [as
at April 11,
2013] at Bht.
5,000,000 of capitalization.
|
NAME |
HOLDING |
% |
|
|
|
|
|
SCG Chemicals Co., Ltd. Nationality: Thai Address : 1 Siam Cement
Rd., Kwaeng Bangsue,
Khet Bangsue,
Bangkok |
99,998 |
100.00 |
|
Mrs. Veeranuch Setthamethikul Nationality: Thai Address : 40/29 Moo
6, Kukot, Lamlukka,
Pathumthani |
1 |
- |
|
Ms. Chaliya Bhanubhongs Nationality: Thai Address : 32/29 Ladprao
23 Rd., Kwaeng
Chankasem, Khet Chatuchak,
Bangkok |
1 |
- |
Total Shareholders : 3
Share Structure [as
at April 11,
2013]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
3 |
100,000 |
100.00 |
|
Foreign |
- |
- |
- |
|
Total |
3 |
100,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Ms. Sureerat
Thong-aroonsaeng No. 4409
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
|
171,208,542 |
220,595,130 |
169,172,932 |
|
Trade Accounts and Other
Receivable |
5,020,080,613 |
5,171,531,741 |
3,559,319,906 |
|
Receivable & Short-term Lending
to Related Company |
- |
111,447,597 |
453,816,629 |
|
Goods available for Sale |
368,973,174 |
137,245,954 |
415,388,316 |
|
Value Added Tax Receivable |
348,726,292 |
381,017,126 |
225,357,582 |
|
Other Current Assets
|
61,085,553 |
45,270,229 |
44,273,611 |
|
|
|
|
|
|
Total Current Assets
|
5,970,074,174 |
6,067,107,777 |
4,867,328,976 |
|
Investment in Subsidiaries |
2,607,053,578 |
2,607,053,578 |
2,607,053,578 |
|
Other Long-term Investment |
61,198 |
61,198 |
61,198 |
|
Unutilised Property |
19,739,634 |
25,867,528 |
24,311,071 |
|
Intangible Assets |
60,132,029 |
73,613,648 |
91,138,051 |
|
Deferred Income Tax |
- |
- |
206,285 |
|
Other Non-current Assets |
594,019 |
997,692 |
945,715 |
|
Total Assets |
8,657,654,632 |
8,774,701,421 |
7,591,044,874 |
LIABILITIES & SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Bank Overdraft |
26,000,128 |
7,954,380 |
32,104,750 |
|
Trade Accounts and Other
Payable |
5,883,919,441 |
6,831,617,645 |
32,104,750 |
|
Short-term Loan from Related Company |
2,068,650,496 |
1,158,684,448 |
1,505,972,385 |
|
Accrued Income Tax |
69,566,686 |
96,738,114 |
24,119,243 |
|
Other Current Liabilities |
4,048,797 |
4,371,291 |
177,637,944 |
|
Total Current Liabilities |
8,052,185,548 |
8,099,365,878 |
7,120,961,976 |
|
Deferred Income Tax Liabilities
|
9,316,654 |
14,639,535 |
14,635,826 |
|
Liabilities from Employee
Benefit |
13,658,700 |
4,339,712 |
- |
|
Total Liabilities |
8,075,160,902 |
8,118,345,125 |
7,135,597,802 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100
value Authorized &
issued share capital
100,000 shares |
10,000,000 |
10,000,000 |
10,000,000 |
|
Capital Paid |
5,000,000 |
5,000,000 |
5,000,000 |
|
Retained Earning Appropriated for Statutory Reserve |
1,000,000 |
1,000,000 |
1,000,000 |
|
Unappropriated |
576,493,730 |
650,356,296 |
449,447,072 |
|
Total Shareholders' Equity |
582,493,730 |
656,356,296 |
455,447,072 |
|
Total Liabilities & Shareholders' Equity |
8,657,654,632 |
8,774,701,421 |
7,591,044,874 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Sales Income |
68,788,922,777 |
65,593,646,442 |
53,015,413,419 |
|
Other Income |
189,112,443 |
157,569,302 |
195,909,551 |
|
Gain on Exchange Rate |
123,006,512 |
342,387,889 |
181,015,207 |
|
Total Revenues |
69,101,041,732 |
66,093,603,633 |
53,392,338,177 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold |
66,544,237,250 |
63,582,265,868 |
51,278,811,175 |
|
Selling Expenses |
1,196,721,122 |
1,028,610,528 |
935,673,560 |
|
Administrative Expenses |
622,406,566 |
592,764,344 |
597,832,984 |
|
Total Expenses |
68,363,364,938 |
65,203,640,740 |
52,812,317,719 |
|
Profit before Financial Cost
& Income Tax |
737,676,794 |
889,962,893 |
580,020,458 |
|
Financial Cost |
[45,496,077] |
[36,449,041] |
[36,142,371] |
|
Profit before Income Tax |
692,180,717 |
853,513,852 |
543,878,087 |
|
Income Tax |
[121,043,283] |
[209,473,463] |
[115,346,109] |
|
Net Profit / [Loss] |
571,137,434 |
644,040,389 |
428,531,978 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2012 |
2011 |
2010 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
0.74 |
0.75 |
0.68 |
|
QUICK RATIO |
TIMES |
0.64 |
0.68 |
0.59 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
- |
- |
- |
|
TOTAL ASSETS TURNOVER |
TIMES |
7.95 |
7.48 |
6.98 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
2.02 |
0.79 |
2.96 |
|
INVENTORY TURNOVER |
TIMES |
180.35 |
463.27 |
123.45 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
26.64 |
28.78 |
24.51 |
|
RECEIVABLES TURNOVER |
TIMES |
13.70 |
12.68 |
14.89 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
32.27 |
39.22 |
38.30 |
|
CASH CONVERSION CYCLE |
DAYS |
(3.61) |
(9.65) |
(10.84) |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
96.74 |
96.93 |
96.72 |
|
SELLING & ADMINISTRATION |
% |
2.64 |
2.47 |
2.89 |
|
INTEREST |
% |
0.07 |
0.06 |
0.07 |
|
GROSS PROFIT MARGIN |
% |
3.72 |
3.83 |
3.99 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
1.07 |
1.36 |
1.09 |
|
NET PROFIT MARGIN |
% |
0.83 |
0.98 |
0.81 |
|
RETURN ON EQUITY |
% |
98.05 |
98.12 |
94.09 |
|
RETURN ON ASSET |
% |
6.60 |
7.34 |
5.65 |
|
EARNING PER SHARE |
BAHT |
11,422.75 |
12,880.81 |
8,570.64 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.93 |
0.93 |
0.94 |
|
DEBT TO EQUITY RATIO |
TIMES |
13.86 |
12.37 |
15.67 |
|
TIME INTEREST EARNED |
TIMES |
16.21 |
24.42 |
16.05 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
4.87 |
23.73 |
|
|
OPERATING PROFIT |
% |
(17.11) |
53.44 |
|
|
NET PROFIT |
% |
(11.32) |
50.29 |
|
|
FIXED ASSETS |
% |
- |
- |
|
|
TOTAL ASSETS |
% |
(1.33) |
15.59 |
|
ANNUAL GROWTH :
RISKY
An annual sales growth is 4.87%. Turnover has increased from THB
65,593,646,442.00 in 2011 to THB 68,788,922,777.00 in 2012. While net profit has
decreased from THB 644,040,389.00 in 2011 to THB 571,137,434.00 in 2012. And
total assets has decreased from THB 8,774,701,421.00 in 2011 to THB
8,657,654,632.00 in 2012.
PROFITABILITY :
SATISFACTORY
PROFITABILITY
RATIO
|
Gross Profit Margin |
3.72 |
Deteriorated |
Industrial
Average |
27.90 |
|
Net Profit Margin |
0.83 |
Deteriorated |
Industrial
Average |
2.46 |
|
Return on Assets |
6.60 |
Impressive |
Industrial
Average |
4.64 |
|
Return on Equity |
98.05 |
Impressive |
Industrial
Average |
9.65 |
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 3.72%. 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 0.83%.
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. Return on Assets ratio is
6.6%, 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. Return on Equity ratio
is 98.05%, 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.
Trend of the average
competitors in the same industry for last 5 years
Return on Assets Uptrend
Return on Equity Downtrend
LIQUIDITY :
ACCEPTABLE
LIQUIDITY RATIO
|
Current Ratio |
0.74 |
Risky |
Industrial
Average |
1.37 |
|
Quick Ratio |
0.64 |
|
|
|
|
Cash Conversion Cycle |
(3.61) |
|
|
|
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 0.74 times in 2012, decrease from 0.75 times, then the company may not be
efficiently using its current assets. 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 0.64 times in 2012,
decrease from 0.68 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 -4 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Downtrend
LEVERAGE :
ACCEPTABLE
LEVERAGE RATIO
|
Debt Ratio |
0.93 |
Acceptable |
Industrial
Average |
0.50 |
|
Debt to Equity Ratio |
13.86 |
Risky |
Industrial
Average |
0.94 |
|
Times Interest Earned |
16.21 |
Impressive |
Industrial
Average |
1.20 |
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 16.22 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 0.93 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 Downtrend
Times Interest Earned Downtrend
ACTIVITY :
EXCELLENT
ACTIVITY RATIO
|
Fixed Assets Turnover |
- |
|
Industrial
Average |
1.55 |
|
Total Assets Turnover |
7.95 |
Impressive |
Industrial
Average |
1.83 |
|
Inventory Conversion Period |
2.02 |
|
|
|
|
Inventory Turnover |
180.35 |
Impressive |
Industrial
Average |
8.85 |
|
Receivables Conversion Period |
26.64 |
|
|
|
|
Receivables Turnover |
13.70 |
Impressive |
Industrial
Average |
3.74 |
|
Payables Conversion Period |
32.27 |
|
|
|
The company's Account Receivable Ratio is calculated as 13.70 and 12.68
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 increased from 2011. This would suggest the company had good performance
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 increased from 1 day at the end
of 2011 to 2 days at the end of 2012. This represents a negative trend. And
Inventory turnover has decreased from 463.27 times in year 2011 to 180.35 times
in year 2012.
The company's Total Asset Turnover is calculated as 7.95 times and 7.48
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 Downtrend
Inventory Turnover Uptrend
Receivables Turnover Downtrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.62.68 |
|
|
1 |
Rs.102.96 |
|
Euro |
1 |
Rs.84.57 |
INFORMATION DETAILS
|
Report
Prepared by : |
DPT |
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.