MIRA INFORM REPORT

 

 

Report Date :

04.01.2014

 

IDENTIFICATION DETAILS

 

Name :

P.T. JAYKAY FILES INDONESIA

 

 

Registered Office :

Sari Pan Pacific Hotel 3rd Floor Room 403, Jalan M.H. Thamrin No. 6, Jakarta 10340

 

 

Country :

Indonesia

 

 

Date of Incorporation :

27.05.1974

 

 

Com. Reg. No.:

No. AHU-AH.01.10-20603

 

 

Legal Form :

Limited Liability Company

 

 

Line of Business :

Manufacturer & trader of hand tools

 

 

No. of Employees :

424

 

 

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)

Indonesia

B1

B1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

INDONESIA - ECONOMIC OVERVIEW

 

Indonesia, a vast polyglot nation, grew more than 6% annually in 2010-12. The government made economic advances under the first administration of President YUDHOYONO (2004-09), introducing significant reforms in the financial sector, including tax and customs reforms, the use of Treasury bills, and capital market development and supervision. During the global financial crisis, Indonesia outperformed its regional neighbors and joined China and India as the only G20 members posting growth in 2009. The government has promoted fiscally conservative policies, resulting in a debt-to-GDP ratio of less than 25%, a fiscal deficit below 3%, and historically low rates of inflation. Fitch and Moody's upgraded Indonesia's credit rating to investment grade in December 2011. Indonesia still struggles with poverty and unemployment, inadequate infrastructure, corruption, a complex regulatory environment, and unequal resource distribution among regions. The government in 2013 faces the ongoing challenge of improving Indonesia''s insufficient infrastructure to remove impediments to economic growth, labor unrest over wages, and reducing its fuel subsidy program in the face of high oil prices

 

Source : CIA


Name of Company

 

P.T. JAYKAY FILES INDONESIA

 

 

company Address

 

Registered Office

Sari Pan Pacific Hotel 3rd Floor Room 403

Jalan M.H. Thamrin No. 6

Jakarta 10340

Indonesia

Phones             - (62-21) 31922503, 3902707

Fax                   - (62-21) 31922503

Building Area     - 12 storey

Office Space      - 100 sq. meters

Region              - Commercial

Status               - Rent

 

Operation Office & Factory

Jalan Sukodono, Gedangan

Tromol Pos 33, Sidoarjo 61202

East Java, Indonesia

Phones             - (62-31) 8912712, 8910209, 8912181, 8912414

Fax                   - (62-31) 8912850, 8012306

E-mail               - jaykay@indo.net.id

Land Area         - 20,000 sq. meters

Building Area     - 16,500 sq. meters

Region              - Industrial Zone

Status               - Owned

 

 

Date of Incorporation

 

27 May 1974

 

 

Legal Form

 

P.T. (Perseroan Terbatas) or Limited Liability Company

 

 


Company Reg. No.

 

The Ministry of Law and Human Rights

  a.  No. AHU-35474.01.02.TH.2008

      Dated 25 June 2008

  b.  No. AHU-24631.01.02.TH.2010

      Dated 14 May 2010

  c.  No. AHU-AH.01.10-20603

      Dated 07 June 2012

 

 

Company Status

 

Foreign Investment (PMA) Company

 

 

Permit by the Government Department

 

a. The Department of Finance

    NPWP No. 01.000.629.4-055.000

b. The President of the Republic of Indonesia

    No. B-122/Pres/10/1973

    Dated 25 October 1973

c. The Capital Investment Coordinating Board

    - No. 01/I/PMA/1985

      Dated 7 January 1985

    - No. 12/II/PMA/1988

      Dated 22 April 1988

-  No. 43/II/PMA/1995

  Dated 23 February 1995

-  No. 243/II/PMA/1996

  Dated 18 November 1996

-  No. 577/III/PMA/2001

  Dated 16 May 2001

-  No. 5/II/PMA/2006

  Dated 6 January 2006

 

 

Related Companies

 

a. JAYKAYORG AG, Switzerland (Investment Holding)

b. RAYMOND LIMITED, India (Investment Holding)

c. UNITGAIN LIMITED, England (Investment Holding)

 

 

CAPITAL AND OWNERSHIP

 

Capital Structure :

Authorized Capital                            - US$ 1,000,000.-

Issued Capital                                  - US$ 1,000,000.-

Paid up Capital                                - US$ 1,000,000.-

 

Shareholders/Owners :

a. UNITGAIN LIMITED                                             - US$ 568,000.-

    Address : London, England

 

b. RAYMOND LIMITED                                           - US$ 240,000.-

    Address : Mumbai, India

 

c. JAYKAYORG AG                                                - US$ 152,000.-

    Address : Switzerland, Swiss

 

d. Mr. Humphrey Rithan Djemat                             - US$   40,000.-

    Address : Kapling POLRI B. IV/10

                    Ragunan, Jakarta Selatan

                    Indonesia

 

 

 

BUSINESS ACTIVITIES

 

Lines of Business :

Hand Tools Manufacturing

 

Production Capacity :

a. Engineer Files, Tools and Saw Files       - 1,200,000 dozens p.a.

b. Twist Drills                                            - 3,000,000 dozens p.a.

c. Hand Tools (Spanners, Ring Spanner,

    Combination Spanners)                         - 1,450 tons p.a.

 

Total Investment :

a. Equity Capital               - US$   1.0 million

b. Reinvested Profit           - US$   0.6 million

c. Loan Capital                 - US$   8.4 million

d. Total Investment            - US$ 10.0 million

 

Started Operation :

1976

 

Brand Name :

Three Files, Sun Flowers

 

Technical Assistance :

Unitgain Ltd., of England

 

Number of Employee :

424 persons

 

Marketing Area :

Local      - 70%

Export    - 30%

 

Main Customers :

a. Distributed by Distributors

b. Buyers in Asian, Asia Pacific, Australia, Europe Union and the USA

 

Market Situation :

Very Competitive

 

Main Competitors :

a. P.T. ATLAS COPPO INDONESIA

b. P.T. BADJA ABADI SENTOSA

c. P.T. BAHTERA REJEKI ABADI

d. P.T. SANDVIK INDONESIA

e. Etc.

 

Business Trend :

Growing

 

 

BANKER, AUDITOR & LITIGATION

 

Bankers :

a.   Hongkong and Shanghai Banking Corp. Ltd.

      World Trade Center

      Jalan Jend. Sudirman Kav. 29-31

      Jakarta Selatan

b.   P.T. Bank PAN INDONESIA Tbk

      Jalan Coklat No. 16

      Surabaya, East Java

c.   P.T. Bank MANDIRI Tbk

      Jalan Kembang Jepun No. 168-170

      Surabaya, East Java

 

Auditor :

Internal Auditor

 

Litigation :

No litigation record in our database

 

 


FINANCIAL FIGURE

 

Annual Sales (estimated) :

2010 – Rp. 190.0 billion

2011 – Rp. 220.0 billion

2012 – Rp. 248.0 billion

2012 – Rp. 135.0 billion (January – June)

 

Net Profit (estimated) :

2010 – Rp. 13.2 billion

2011 – Rp. 15.3 billion

2012 – Rp. 17.2 billion

2012 – Rp.   9.3 billion (January – June)

 

Payment Manner :

Average

 

Financial Comments :

Satisfactory

 

 

KEY EXECUTIVES

 

Board of Management :

President Director                            - Mr. Soumitra Das

Directors                                         - a. Mrs. Casandra Rosita Djemat

                                                        b. Mr. Prakash Manohar Sakhalkar

 

 

 

Board of Commissioners :

President Commissioner                   - Mr. Humphrey Rithan Djemat

Commissioners                                - a. Mr. Dr. Vijaypat Singhania

                                                        b. Mr. Gautam Hari Sunghania

                                                        c. Mr. Riaz Ahmed Don

 

Signatories :

President Director (Mr. Soumitra Das) or one of the Directors (Mrs. Casandra Rosita Djemat or Mr. Prakash Manohr Sakhalkar) which must be approved by Board of Commissioners

 

 

CAPABILITIES

 

Management Capability :

G o o d

 

Business Morality :

G o o d

 

 

OVERALL PERFORMANCE

 

P.T. JAYKAY FILES INDONESIA (P.T. JFI) was established in Sidoarjo, East Java on May 27, 1974 under the Foreign Investment (PMA) scheme. It was a joint venture of three foreign companies which comprise of RAYMOND WOLLEN MILLS LTD., of India, ASSOCIATED SALES & INVESTMENT CORP., of Hong Kong and COMMONWEALTH DEVELOPMENT CORP., of the United Kingdom and P.T. BEKTI INDUSTRIAL & DEVELOPMENT CORP., as a local partner. P.T. JFI has an authorized capital of US$ 300,000 and the entirely was issued and the paid up was of US$ 30,000. The company notary deed has been revised for several times. Latter, its authorized capital was increased to US$ 800,000 entirely was issued and paid up.

 

In May 2001 the authorized capital was increased to US$ 1,000,000 entirely issued and paid up. On the same occasion, RAYMOND WOLLEN MILLS Ltd., of India, ASSOCIATED SALES & INVESTMENT CORP., of Hong Kong, COMMONWEALTH DEVELOPMENT CORP., of the United Kingdom and P.T. BEKTI INDUSTRIAL & DEVELOPMENT CORP., of Indonesia withdrew and into the company entered by UNITGAIN LIMITED of the United Kingdom (56.8%), RAYMOND LIMITED of India (24%), JAYKAYORG AG of Switzerland (15.2%) and Mr. Humphrey Rithan Djemat of Indonesia (4%) as new shareholders.

 

The latest notary deed of amendment was approved by the Minister of Law and Human Right in its Decision Letter No. AHU-AH.01.10-20603 dated June 7, 2012. No changes have been effected in term of its shareholding composition and capital structures to date.

 

P.T. JFI had been operating since 1975 in tool making industry like engineer files, saw-files, saw files, spanners, chain files, raps, HSS twist drill, hand tools, small tools, cutting tools. Its plant is located at Jalan Sukodono, Gedangan, East Java, on a land of some 2.0 hectares wide. Firstly it only produced about 200,000-300,000 dozen tools per year and had been expanding accordingly. P.T. JFI has, at present, production capacity of 1,200,000 dozen tools, 3.0 million of twist drill and 1,450 tons of hand tolls (spanners, ring spanners and combination spanners) per year respectively. P.T. JFI has absorbed an estimated total investment of US$ 10.0 million consisting of US$ 1.0 million in the equity capital,  reinvested profit of US$ 0.6 million and  the rest would come from loans.

 

Around 70% of the products are distributed by TB. GOBIN and various distributors in Jakarta, Bandung, Sumatera, Surabaya, Kalimantan, Sulawesi and other cities in the country by using Three Files and Sun Flower brands. Meanwhile some 25% - 30% of the products are exported to Thailand, Malaysia, Singapore, Pakistan, Japan, Hong Kong, Australia, Canada, Germany, Italy and other countries. We observe that P.T. JFI is a manufacturer of high quality files and drills by produce wide range of files and raps and drills and cater to countries in South East Asia, Asia Pacific, Australia, Indian sub-continent, China, Europe and North & South America.

 

In overall we find the demand for technical equipments like tools, twist drills, engineer files, raps, chain saw files, spanners and other has kept on rising by 6% to 8% per annum in the last five years. Such condition was in line with the growth of general automotive industry, car body manufacturing, steel cutting and workshop, and other sectors requiring the above products.   But, as from October 2008, the demand growth for technical equipments has kept on dwindling as an impact of global economic crisis as told above.   The demand was increasing in the early 2009 due to economic condition was gradually recovery in the country. The growth rate is now estimated at 5% to 6% per year. Market competition is very tight due to a large number of similar companies operating in the country.  We consider P.T. JFI to be in a quite favorable position for having already got hold of a steady clientele in the country.

 

P.T. JFI has not been registered with Indonesian Stock Exchange, so that they shall not obliged to announce their financial statement. We observed that total sales turnover of the company in 2010 amounted to Rp. 190.0 billion increased to Rp. 220.0 billion in 2011 rose again to Rp. 248.0 billion in 2012 and projected to go on rising by at least 8% in 2013. The operation in 2012 yielded an estimated net profit of at least Rp. 17.2 billion and the company has an estimated total networth of at least Rp. 112.0 billion. We observe that P.T. JFI is supported by foreign partner with has financially strong and sound behind it. So far, we did not heard that the company having been black listed by the Central Bank (Bank Indonesia). The company usually pays its debts punctually to suppliers.

 

The management of P.T. JFI is led by Mr. Soumitra Das (58) as President Director, a professional manager of India with more than 21 years experience in hand tools manufacturing and trading. Daily operation he is assisted by two directors namely Mrs. Casandra Rosita Djemat (46) of Indonesia and Mr. Prakash Manohar Sakhalkar (55) of India.   We observed that management’s reputation in said business is fairly good. The management of the company is handled by experienced professional manager having wide relation with private businessmen of home and overseas as well as with the government sectors. So far, we did not hear that the management of the company being filed to the district court for detrimental cases or involved in any business malpractices. The company’s litigation record is clean and it has not registered with the black list of Bank of Indonesia.

 

We appraise P.T. JFI to be still good for normal business transactions.  However, in view of the unstable economic condition in the country we recommend to treat prudently in extending a loan to the company.

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.62.41

UK Pound

1

Rs.102.54

Euro

1

Rs.85.20

 

INFORMATION DETAILS

 

Report Prepared by :

MNL

 

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%)

 

 

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.