MIRA
INFORM REPORT
|
Report Date : |
11.07.2014 |
IDENTIFICATION DETAILS
|
Name : |
S.P.S. COOPERATE LTD. |
|
|
|
|
Registered Office : |
74 Moo 9, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
31.12.2013 |
|
|
|
|
Date of Incorporation : |
1985 |
|
|
|
|
Com. Reg. No.: |
0105528034255 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Manufacturer, Distributor and Exporter
of Home and Office
Furniture |
|
|
|
|
No. of Employees : |
1,200 |
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 : |
Slow |
|
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 – March 31, 2014
|
Country Name |
Previous Rating (31.12.2013) |
Current Rating (31.03.2014) |
|
Thailand |
B1 |
B1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low Risk |
A2 |
|
Moderately Low Risk |
B1 |
|
Moderate Risk |
B2 |
|
Moderately High Risk |
C1 |
|
High Risk |
C2 |
|
Very High Risk |
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. 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 in 2013 implemented a nation-wide 300 baht ($10) per day minimum wage policy and deployed 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 recession severely cut Thailand's exports, with most sectors experiencing double-digit drops. In late 2011 Thailand's recovery was interrupted by historic flooding in the industrial areas in Bangkok and its five surrounding provinces, crippling the manufacturing sector. The government 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 following seven years. This was expected to lead to an economic upsurge but growth has remained slow, in part due to ongoing political unrest and resulting uncertainties. Spending on infrastructure will require re-approval once a new government is seated.
|
Source
: CIA |
Company name
S.P.S. COOPERATE
LTD.
SUMMARY
BUSINESS ADDRESS : 74 MOO 9,
SUVINTAWONG ROAD,
T. KLONGNAKHONNUANGKHET, A.
MUANG,
CHACHOENGSAO 24000,
THAILAND
TELEPHONE : [66] 38
593-456, 38 593-447-56,
081 813-0401
FAX : [66] 38
593-001, 38 593-010
E-MAIL ADDRESS : sps@spsthai.com
REGISTRATION ADDRESS : SAME AS BUSINESS
ADDRESS
ESTABLISHED : 1985
REGISTRATION NO. : 0105528034255 [Former : 3425/2528]
TAX ID NO. : 3101552331
CAPITAL REGISTERED : BHT.
250,000,000
CAPITAL PAID-UP : BHT.
250,000,000
SHAREHOLDER’S PROPORTION : THAI
: 80.00%
DUTCH :
20.00%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR.
KERATI SERMPRAPHASILP, THAI
MANAGING DIRECTOR
NO. OF STAFF : 1,200
LINES OF BUSINESS : HOME
AND OFFICE FURNITURE
MANUFACTURER, DISTRIBUTOR
AND EXPORTER
CORPORATE PROFILE
OPERATING TREND : STABLE
PRESENT SITUATION : OPERATING NORMALLY
REPUTATION : FAIR
WITH NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT STANDARD : MANAGEMENT
WITH FAIR PERFORMANCE
HISTORY
The subject was
established on October
2, 1985 as
a private limited
company under the
registered name “S.
Praphasilp Industrial Co.,
Ltd.” by Thai
groups.
On August 1,
1996 the subject’s
name was changed
to S.P.S. COOPERATE
LTD. It currently
employs approximately 1,200
staff.
In 2009, the subject became a
joint venture between
Thai investor, the
Sermpraphasilp family and Triple
T.N.V. Co., Ltd.,
the Dutch company.
It is a
leading of the
board on frame
manufacturer for AV speaker/rack and
R.T.A panel furniture with
promotional privilege from
Board of Investment,
Thailand.
Award [from various
agents]
Best Products Awards : 1987-1988
Best Company Award : 1989
Best Exporter Award : 1989
NIC Award 1989 : 1989
1st Thailand Quality
Product Award :
1993
Best Performance Exporter
Award : 1999
ISO 9002 Certificate : 2000
At present, the
subject is focused
on manufacturing home
and office furniture
only.
The subject’s registered address
is 74 Moo 9, Suvintawong Rd., T. Klongnakhonnuangkhet, A. Muang,
Chachoengsao 24000, and
this is the
company’s operation address.
THE BOARD
OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Kerati Sermpraphasilp |
|
Thai |
59 |
|
Ms. Orapin Sermpraphasilp |
|
Thai |
57 |
|
Mr. Weerasak Sermpraphasilp |
|
Thai |
55 |
AUTHORIZED PERSON
Two of the
above directors can
jointly sign on
behalf of the
subject with company’s
affixed.
MANAGEMENT
Mr. Kerati Sermpraphasilp is
the Managing Director.
He is Thai
nationality with the
age of 59
years old.
Ms. Orapin Sermpraphasilp is
the General Manager.
She is Thai
nationality with the
age of 57
years old.
Mr. Voravit Cheangsri
is the Personnel
Manager.
He is Thai
nationality.
Mr. Sirisak Charoenrumviwat is
the Marketing Manager.
He is Thai
nationality.
Mr. Pichet Fuang-arrom
is the Factory
Manager.
He is Thai
nationality.
Ms. Peangmarn Pholwa
is the Accounting
Manager.
She is Thai
nationality.
BUSINESS OPERATIONS
The subject’s activities
are manufacturer and distributor
of home and office
furniture. The products
are for bedroom,
living room, kitchen, office, wall
cabinet, computer desk and
file cabinet under its
own brand “HIGH
FLY” & “MODAR” as
well as customer’s
brands for exports.
PURCHASE
Raw materials such
as aluminium, glass,
plastic, rubber, metal,
accessories and etc.,
are purchased from
both local and
overseas suppliers in
Japan, Germany, Korea,
Singapore, Hong Kong,
Italy, Republic of
China and Taiwan.
MAJOR SUPPLIER
Panel Plus Co.,
Ltd. : Thailand
EXPORT [COUNTRIES]
95% of the products is exported to Japan,
United States of
America, Europe, Middle
East, India, Singapore, Vietnam,
Malaysia, Korea, Republic of China,
Germany, United Kingdom, France, Australia
and Hong Kong.
SALES [LOCAL]
5% of the
products is also
sold locally to
manufacturers and wholesalers.
MAJOR CUSTOMERS
Furniture Shop
Home Center
Hyper Store
Furniture Store
Department Store
Ikea Trading [Thailand] Co.,
Ltd. : Thailand
S.P.S. Japan Market Sales
Co., Ltd. : Japan
SUBSIDIARY AND
AFFILIATED COMPANIES
S.P.S. Intertech Co.,
Ltd.
Business Type : Manufacturer
and distributor of TV stand
products
S.P.S. Inter System
Co., Ltd.
Business Type : Manufacturer
and distributor of
visual entertainment products
S.P.S. Global Trade
Co., Ltd.
Business Type : Property
business for department
store and shopping
mall projects
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
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
T/T.
BANKING
Kasikornbank Public Co.,
Ltd.
[Head Office : 1
Kasikorn Lane, Rajburana
Rd., Rajburana, Bangkok}
Bangkok Bank Public
Co., Ltd.
[Head Office : 333
Silom Rd., Silom,
Bangrak, Bangkok]
Thanachart Bank Public
Co., Ltd.
[Head Office : 1101
New Petchburi Rd.,
Makkasan, Ratchthewee, Bangkok]
EMPLOYMENT
The subject employs
approximately 1,200 staff.
[office staff and
factory workers]
LOCATION DETAILS
The premise is
owned for operating
administrative office, factory
and warehouse at
the heading address.
Premise is located
in industrial area.
Branch office :
99 Moo 2,
Suvintawong Rd., T. Klongnakhonnuangkhet, A. Muang,
Chachoengsao 24000.
COMMENT
Subject is a manufacturer,
distributor and exporter of
home and office furniture. Its main
markets are U.S.A., Japan, Europe
and etc. With
an expansion of overseas customers, the
subject has raised the production capability continuously in
producing better quality and new
products with higher technology.
Subject’s business performance
in the year 2013 were slowed
down in export markets due
to prolong economic
sluggish in European
countries. However, domestic consumption
has seen declined
since the second
quarter of last
year and further
down in the
first six months of the year
2014.
FINANCIAL INFORMATION
The capital was
registered at Bht.
3,000,000 divided into
3,000 shares of
Bht. 1,000 each.
The capital was
increased later as
follows:
Bht. 15,000,000
on August 17,
1988
Bht. 36,000,000
on October 10,
1988
Bht. 53,000,000
on July 7,
1993
Bht. 70,000,000
on August 29,
1994
Bht. 150,000,000
on May 29,
2000
Bht. 200,000,000
on June 17,
2009
Bht. 250,000,000
on December 9,
2009
The latest registered capital was
increased to Bht. 250,000,000 divided
into 250,000 shares of
Bht. 1,000 each
with fully paid.
THE SHAREHOLDERS
LISTED WERE
[as at
April 30, 2014]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Triple T.N.V. Co.,
Ltd. Nationality : Dutch Address : Netherlands |
50,001 |
20.0004 |
|
Ms. Orapin Sermpraphasilp Nationality : Thai Address : 65
Soi Navathani 4,
Kannayao, Bangkok |
33,334 |
13.3336 |
|
Mr. Weerasak Sermpraphasilp Nationality : Thai Address : 64/10
Soi Samwa 11, Bangchan,
Klongsamwa, Bangkok |
33,333 |
13.3332 |
|
Mr. Peerapol Sermpraphasilp Nationality : Thai Address : 65
Soi Navathani 4,
Kannayao, Bangkok |
33,333 |
13.3332 |
|
Mr. Kerati Sermpraphasilp Nationality : Thai Address : 121
Soi Ramkhamhaeng 64, Huamark,
Bangkapi, Bangkok |
33,333 |
13.3332 |
|
Mr. Vorapoj Sermpraphasilp Nationality : Thai Address : 65
Soi Navathani 4,
Kannayao, Bangkok |
33,333 |
13.3332 |
|
Ms. Voranuj Sermpraphasilp Nationality : Thai Address : 65
Soi Navathani 4,
Kannayao, Bangkok |
33,333 |
13.3332 |
Total Shareholders : 7
Share Structure [as
at April 30,
2014]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
6 |
199,999 |
80.00 |
|
Foreign - Dutch |
1 |
50,001 |
20.00 |
|
Total |
7 |
250,000 |
100.00 |
NAME OF
AUDITOR & CERTIFIED
PUBLIC ACCOUNTANT NO.
Ms. Kulthida Pasurakul No. 5946
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 |
1,301,709.18 |
25,791,667.96 |
15,908,756.64 |
|
Trade Accounts & Other
Receivable |
110,045,637.87 |
150,225,119.03 |
118,945,833.33 |
|
Inventories |
124,071,428.51 |
99,474,746.80 |
109,462,510.57 |
|
|
|
|
|
|
Total Current Assets
|
235,418,775.56 |
275,491,533.79 |
244,317,100.54 |
|
Investment in Subsidiary |
447,000,000.00 |
447,000,000.00 |
447,000,000.00 |
|
Other Long-term Investment |
200,000.00 |
200,000.00 |
200,000.00 |
|
Real Estate for
Investment |
27,494,387.30 |
28,094,387.16 |
- |
|
Fixed Assets |
404,660,719.13 |
368,960,673.00 |
337,823,983.74 |
|
Intangible Assets |
635,545.06 |
343,888.22 |
218,084.40 |
|
Other Non-current Assets
Non-operating Assets
|
112,126.67 |
254,298.98 |
- |
|
Others |
3,356,705.56 |
2,479,201.95 |
979,509.00 |
|
Total Assets |
1,118,878,259.28 |
1,122,823,983.10 |
1,030,538,677.68 |
LIABILITIES & SHAREHOLDERS' EQUITY [BAHT]
|
Current Liabilities |
2013 |
2012 |
2011 |
|
|
|
|
|
|
Bank Overdraft & Short-term Loan from Financial Institutions |
325,106,904.41 |
252,786,344.67 |
240,487,483.14 |
|
Trade Accounts & Other Payable |
226,286,371.98 |
301,364,045.14 |
277,505,585.85 |
|
Short-term Loan from
Related Company |
49,000,000.00 |
- |
- |
|
Current Portion of
Long-term Loan from Financial
Institution |
15,850,000.00 |
58,820,000.00 |
59,118,000.00 |
|
Current Portion of
Financial Lease Contract Liabilities |
- |
- |
552,984.20 |
|
Other Current Liabilities |
3,892,692.46 |
4,554,000.00 |
1,253,600.00 |
|
|
|
|
|
|
Total Current Liabilities |
620,135,968.85 |
617,524,389.81 |
578,917,653.19 |
|
Long-term Loan from Financial Institution |
73,525,493.69 |
50,444,939.27 |
84,315,500.00 |
|
Employee Benefit Obligation |
18,821,161.00 |
15,987,815.000 |
12,794,720.00 |
|
Total Liabilities |
712,482,623.54 |
683,957,144.08 |
676,027,873.19 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 1,000
par value authorized, issued
and fully paid share
capital 250,000 shares |
250,000,000.00 |
250,000,000.00 |
250,000,000.00 |
|
|
|
|
|
|
Capital Paid |
250,000,000.00 |
250,000,000.00 |
250,000,000.00 |
|
Premium on Share Capital |
147,000,000.00 |
147,000,000.00 |
147,000,000.00 |
|
Retained Earning - Unappropriated
[Deficit] |
[146,565,452.67] |
[126,330,726.85] |
[194,874,345.51] |
|
Other Components of Shareholders’ Equity |
155,961,088.41 |
168,197,565.87 |
152,385,150.00 |
|
Total Shareholders' Equity |
406,395,635.74 |
438,866,839.02 |
354,510,804.49 |
|
Total Liabilities &
Shareholders' Equity |
1,118,878,259.28 |
1,122,823,983.10 |
1,030,538,677.68 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
2013 |
2012 |
2011 |
|
|
|
|
|
|
Sales |
794,032,171.08 |
1,058,038,326.85 |
1,107,685,305.15 |
|
Interest Income |
38,948.53 |
111,315.14 |
102,907.55 |
|
Gain on Exchange
Rate |
6,339,393.17 |
4,943,794.40 |
4,862,705.19 |
|
Other Income |
10,201,530.44 |
10,819,357.13 |
18,533,021.02 |
|
Total Revenues |
810,612,043.22 |
1,073,915,793.52 |
1,131,183,938.91 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold |
723,821,127.97 |
909,715,825.78 |
975,415,517.00 |
|
Selling Expenses |
37,920,393.44 |
29,830,648.77 |
35,592,140.77 |
|
Administrative Expenses |
42,463,455.00 |
48,834,842.38 |
49,054,934.67 |
|
Loss on Exchange Rate |
8,523,561.05 |
2,277,470.81 |
3,416,757.70 |
|
Doubtful Account |
382,799.62 |
- |
13,716.75 |
|
Financial Cost |
29,971,909.42 |
27,453,645.16 |
29,346,687.06 |
|
Total Expenses |
843,083,246.50 |
1,018,112,432.90 |
1,092,839,753.95 |
|
|
|
|
|
|
Net Profit / [Loss] |
[32,471,203.28] |
55,800,360.62 |
38,344,184.96 |
|
Add: Other Miscellaneous - Gain from
Assets Appraisal |
- |
73,895,673.91 |
- |
|
|
|
|
|
|
Net Profit / [Loss] |
[32,471,203.28] |
129,696,034.53 |
38,344,184.96 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2013 |
2012 |
2011 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
0.38 |
0.45 |
0.42 |
|
QUICK RATIO |
TIMES |
0.18 |
0.29 |
0.23 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
1.96 |
2.87 |
3.28 |
|
TOTAL ASSETS TURNOVER |
TIMES |
0.71 |
0.94 |
1.07 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
62.57 |
39.91 |
40.96 |
|
INVENTORY TURNOVER |
TIMES |
5.83 |
9.15 |
8.91 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
50.59 |
51.82 |
39.19 |
|
RECEIVABLES TURNOVER |
TIMES |
7.22 |
7.04 |
9.31 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
114.11 |
120.91 |
103.84 |
|
CASH CONVERSION CYCLE |
DAYS |
(0.96) |
(29.18) |
(23.69) |
|
|
|
|
|
|
|
PROFITABILITY RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
91.16 |
85.98 |
88.06 |
|
SELLING & ADMINISTRATION |
% |
10.12 |
7.44 |
7.64 |
|
INTEREST |
% |
3.77 |
2.59 |
2.65 |
|
GROSS PROFIT MARGIN |
% |
10.93 |
15.52 |
14.06 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
(4.09) |
5.27 |
3.46 |
|
NET PROFIT MARGIN |
% |
(4.09) |
12.26 |
3.46 |
|
RETURN ON EQUITY |
% |
(7.99) |
29.55 |
10.82 |
|
RETURN ON ASSET |
% |
(2.90) |
11.55 |
3.72 |
|
EARNING PER SHARE |
BAHT |
(129.88) |
518.78 |
153.38 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.64 |
0.61 |
0.66 |
|
DEBT TO EQUITY RATIO |
TIMES |
1.75 |
1.56 |
1.91 |
|
TIME INTEREST EARNED |
TIMES |
(1.08) |
2.03 |
1.31 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
(24.95) |
(4.48) |
|
|
OPERATING PROFIT |
% |
(158.19) |
45.53 |
|
|
NET PROFIT |
% |
(125.04) |
238.24 |
|
|
FIXED ASSETS |
% |
9.68 |
9.22 |
|
|
TOTAL ASSETS |
% |
(0.35) |
8.96 |
|
ANNUAL GROWTH : RISKY
An annual sales growth is -24.95%. Turnover has decreased from THB
PROFITABILITY :
RISKY
PROFITABILITY
RATIO
|
Gross Profit Margin |
10.93 |
Deteriorated |
Industrial Average |
54.85 |
|
Net Profit Margin |
(4.09) |
Deteriorated |
Industrial Average |
1.89 |
|
Return on Assets |
(2.90) |
Deteriorated |
Industrial Average |
2.32 |
|
Return on Equity |
(7.99) |
Deteriorated |
Industrial Average |
6.05 |
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 10.93%. 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 -4.09%.
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 -2.9%.
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 -7.99%.
Trend of the average competitors in the same industry for last 5 years
Return on Assets Uptrend
Return on Equity Uptrend
LIQUIDITY :
ACCEPTABLE
LIQUIDITY RATIO
|
Current Ratio |
0.38 |
Risky |
Industrial Average |
1.72 |
|
Quick Ratio |
0.18 |
|
|
|
|
Cash Conversion Cycle |
(0.96) |
|
|
|
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 0.38 times in 2013, decreased from 0.45 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 0.18 times in 2013,
decreased from 0.29 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 -1 day.
Trend of the average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE :
ACCEPTABLE
LEVERAGE RATIO
|
Debt Ratio |
0.64 |
Impressive |
Industrial Average |
0.79 |
|
Debt to Equity Ratio |
1.75 |
Acceptable |
Industrial Average |
2.06 |
|
Times Interest Earned |
(1.08) |
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 higher the percentage means that the company is using less equity
and has stronger leverage position.
Times Interest Earned measuring a company's ability to meet its debt
obligations. Ratio is -1.09 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 0.64 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 Uptrend
Times Interest Earned Stable
ACTIVITY :
IMPRESSIVE
ACTIVITY RATIO
|
Fixed Assets Turnover |
1.96 |
Impressive |
Industrial Average |
- |
|
Total Assets Turnover |
0.71 |
Deteriorated |
Industrial Average |
1.57 |
|
Inventory Conversion Period |
62.57 |
|
|
|
|
Inventory Turnover |
5.83 |
Impressive |
Industrial Average |
4.07 |
|
Receivables Conversion Period |
50.59 |
|
|
|
|
Receivables Turnover |
7.22 |
Impressive |
Industrial Average |
5.50 |
|
Payables Conversion Period |
114.11 |
|
|
|
The company's Account Receivable Ratio is calculated as 7.22 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 increased from 40 days at the
end of 2012 to 63 days at the end of 2013. This represents a negative trend.
And Inventory turnover has decreased from 9.15 times in year 2012 to 5.83 times
in year 2013.
The company's Total Asset Turnover is calculated as 0.71 times and 0.94
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.59.88 |
|
|
1 |
Rs.102.59 |
|
Euro |
1 |
Rs.81.69 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAR |
|
|
|
|
Report Prepared
by : |
NNA |
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.