MIRA
INFORM REPORT
|
Report Date : |
17.07.2014 |
IDENTIFICATION DETAILS
|
Name : |
SUNNY WORLD CHEMICALS CO., LTD. |
|
|
|
|
Registered Office : |
244 Moo 9, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
31.12.2013 |
|
|
|
|
Date of Incorporation : |
19.12.2003 |
|
|
|
|
Com. Reg. No.: |
0105546151641 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Subject is engaged
in importing and
distributing wide range
of industrial chemicals
for rubber, synthetic
rubber, plastic, latex,
tires and automotive
industry, as well
as specialty chemicals.
|
|
|
|
|
No. of Employees |
47 |
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 but correct |
|
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 |
|
Moderate Low Risk |
B1 |
|
Moderate Risk |
B2 |
|
Moderate 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
SUNNY WORLD
CHEMICALS CO., LTD.
SUMMARY
BUSINESS
ADDRESS : 244
MOO 9, LUANGPAENG ROAD,
THABYAO,
LADKRABANG, BANGKOK
10520, THAILAND
TELEPHONE : [66] 2738-1629-30,
2326-8656, 2360-7640
FAX :
[66] 2738-0252,
2360-7636
E-MAIL
ADDRESS : swc@swc.co.th
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 2003
REGISTRATION
NO. : 0105546151641 [Former : 10654602064]
TAX
ID NO. : 3031342729
CAPITAL REGISTERED : BHT. 91,000,000
CAPITAL PAID-UP : BHT.
91,000,000
SHAREHOLDER’S PROPORTION : THAI : 100%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR. POLAPAT LAOSETHAKUL,
THAI
MANAGING DIRECTOR
NO.
OF STAFF : 47
LINES
OF BUSINESS : INDUSTRIAL CHEMICALS
IMPORTER AND
DISTRIBUTOR
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 December 19,
2003 as a
private limited company under
the name style
SUNNY WORLD CHEMICALS
CO., LTD., by
Thai group, the
Laosethakul family, in order
to import and
distribute a variety of
industrial chemicals to
domestic market. It
currently employs 47
staff.
The
subject’s registered address is
244 Moo 9, Luangpaeng Rd., Thabyao,
Ladkrabang, Bangkok 10520,
and this is
the subject’s current
operation address.
THE
BOARD OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Polapat Laosethakul |
|
Thai |
48 |
|
Mrs. Vararat Laosethakul |
|
Thai |
47 |
|
Mrs. Samrong Laosethakul |
|
Thai |
93 |
|
Mrs. Vimol Laosthakul |
|
Thai |
84 |
AUTHORIZED PERSON
Anyone of the
above directors can
sign on behalf
of the subject
with company’s affixed.
MANAGEMENT
Mr. Polapat Laosethakul is
the Managing Director.
He is Thai
nationality with the
age of 48
years old.
Mr. Somsak Sathitsuksanoh is
the Business Development
Manager.
He is Thai
nationality.
BUSINESS OPERATIONS
The subject is
engaged in importing
and distributing wide
range of industrial
chemicals for rubber,
synthetic rubber, plastic,
latex, tires and
automotive industry, as
well as specialty
chemicals.
PURCHASE
80% of the
products is imported
from Japan, Republic
of China, India, United Kingdom, France, Germany, United States
of America, and
the remaining 20%
is purchased from
local suppliers.
MAJOR SUPPLIERS
Wacker Chemie AG. : Germany
Additek SAS. : France
Nippon Dacro Shamrock
Co., Ltd. : Japan
Komoshima Chemical Co.,
Ltd. : Japan
SALES
100% of the
products is sold
locally by wholesale
to dealers, manufacturers
and end-users.
RELATED AND AFFILIATED
COMPANIES
Sunny World [1989]
Co., Ltd.
Business Type : Importer
and distributor of
industrial chemicals
Sunny World Co.,
Ltd.
Business Type : Importer
and distributor of
industrial chemicals
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.
BANKING
Bangkok Bank Public
Co., Ltd.
EMPLOYMENT
The
subject currently employs
47 staff.
LOCATION
DETAILS
The
premise is owned
for administrative office
at the heading
address. Premise is located
in commercial/residential area.
Branch
office is located
at 397 Sukhontasawat
Road, Ladprao, Bangkok
10230.
Tel.
: [66] 2553-1889, Fax. : [66] 2553-1388.
COMMENT
The market of industrial
chemicals expands at a steady
pace after it had struggled in the last few years. The
subject reported its
sales revenue in
2013 increasing around
4% from the previous
year. In general,
the subject’s sale has stable growth as demand from domestic industrial
consumption remains strong.
FINANCIAL INFORMATION
The
capital was registered
at Bht. 1,000,000
divided into 1,000
shares of Bht.
1,000
each.
The
capital was increased
later as following:
Bht. 5,000,000
on February 14,
2005
Bht. 15,800,000
on August 30,
2005
Bht. 23,000,000
on December 18,
2007
Bht. 30,000,000
on June 30,
2010
Bht. 54,000,000
on December 16,
2011
Bht. 91,000,000
on December 19,
2012
The
latest registered capital
was increased to
Bht. 91,000,000 divided into
91,000 shares of
Bht. 1,000 each
with fully paid.
THE
SHAREHOLDERS LISTED WERE
: [as at
April 10, 2014]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Polapat Laosethakul Nationality: Thai Address : 3599
Soi Yothinpattana 11
Yaek 7,
Klongchan, Bangkapi, Bangkok |
70,996 |
78.02 |
|
Mrs. Vararat Laosethakul Nationality: Thai Address : 3599
Soi Yothinpattana 11
Yaek 7,
Klongchan, Bangkapi, Bangkok |
20,000 |
21.98 |
|
Mr. Samrorng Laosethakul Nationality: Thai Address : 21/1
Soi Nualnoi, Sukhumvit 63
Rd.,
Klongtonnua, Wattana, Bangkok |
1 |
- |
|
Mrs. Vimol Laosethakul Nationality: Thai Address : 21/1
Soi Nualnoi, Sukhumvit 63
Rd.,
Klongtonnua, Wattana, Bangkok |
1 |
- |
|
Master Pasit Laosethakul Nationality: Thai Address : 3599
Soi Yothinpattana 11
Yaek 7,
Klongchan, Bangkapi, Bangkok |
1 |
- |
|
Mr. Barames Laosethakul Nationality: Thai Address : 3599
Soi Yothinpattana 11
Yaek 7,
Klongchan, Bangkapi, Bangkok |
1 |
- |
Total Shareholders : 6
Share Structure [as
at April 10,
2014]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
6 |
91,000 |
100.00 |
|
Foreign |
- |
- |
- |
|
Total |
6 |
91,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Mr. Kamol Tonraphan
No. 6966
BALANCE SHEET [BAHT]
The
latest financial figures
published for December
31, 2013, 2012
& 2011 were:
ASSETS
|
Current Assets |
2013 |
2012 |
2011 |
|
|
|
|
|
|
Cash and Cash Equivalents |
66,518.29 |
159,563.54 |
5,139,684.58 |
|
Trade Accounts & Other Receivable |
497,878,992.36 |
559,295,387.76 |
362,113,431.36 |
|
Inventories |
219,123,110.20 |
209,602,214.23 |
209,172,279.34 |
|
Other Current Assets
|
1,748,096.90 |
1,708,951.37 |
263,061.63 |
|
|
|
|
|
|
Total Current Assets
|
718,816,717.75 |
770,766,116.90 |
576,688,456.91 |
|
|
|
|
|
|
Investment in Associated,
Subsidiaries & Joint Company |
17,462,837.95 |
17,462,837.95 |
17,462,837.95 |
|
Fixed Assets |
191,309,604.24 |
158,810,504.39 |
136,072,283.17 |
|
Intangible Assets |
3,090,249.35 |
562,666.84 |
597,386.54 |
|
Other Non-current Assets |
11,386,108.17 |
7,987,567.47 |
5,620,577.54 |
|
Total Assets |
942,065,517.46 |
955,589,693.57 |
736,441,542.11 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2013 |
2012 |
2011 |
|
|
|
|
|
|
Bank Overdraft & Short-term Loan from Financial Institutions |
557,781,264.16 |
596,773,334.76 |
461,943,178.63 |
|
Trade Accounts & Other Payable |
64,053,506.81 |
69,418,434.98 |
31,765,470.67 |
|
Current Portion of Financial
Lease Contract Payable |
1,980,467.85 |
2,756,362.61 |
2,650,442.15 |
|
Current Portion of Long-term
Loans from Financial Institutions |
- |
14,576,000.00 |
17,688,000.00 |
|
Short-term Loan from
Person or Related Company |
50,000,000.00 |
11,061,711.00 |
22,090,727.00 |
|
Accrued Income Tax |
2,191,683.80 |
3,619,645.00 |
4,001,409.32 |
|
Other Current Liabilities |
70,334.85 |
43,380.78 |
1,166,429.45 |
|
|
|
|
|
|
Total Current Liabilities |
676,077,257.47 |
698,248,869.13 |
541,305,657.22 |
|
|
|
|
|
|
Financial Lease Contract Payable, net
|
5,636,466.98 |
8,792,834.83 |
8,763,584.78 |
|
Long-term Loan from Financial Institutions, net |
- |
14,530,000.00 |
14,772,440.00 |
|
Total Liabilities |
681,713,724.45 |
721,571,703.96 |
564,841,682.00 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 1,000
par value authorized, issued
and fully paid share
capital 91,000 shares
in 2013 & 2012; 54,000
shares in 2011 |
91,000,000.00 |
91,000,000.00 |
54,000,000.00 |
|
|
|
|
|
|
Capital Paid |
91,000,000.00 |
91,000,000.00 |
54,000,000.00 |
|
Retained Earning - Unappropriated |
169,351,793.01 |
143,017,989.61 |
117,599,860.11 |
|
Total Shareholders' Equity |
260,351,793.01 |
234,017,989.61 |
171,599,860.11 |
|
Total Liabilities &
Shareholders' Equity |
942,065,517.46 |
955,589,693.57 |
736,441,542.11 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
2013 |
2012 |
2011 |
|
|
|
|
|
|
Sales Income |
1,688,564,287.29 |
1,633,629,817.05 |
1,268,138,970.58 |
|
Commission Income |
7,457,493.52 |
8,457,604.75 |
8,848,181.43 |
|
Other Income |
3,314,005.86 |
674,749.75 |
608,896.65 |
|
Total Revenues |
1,699,335,786.67 |
1,642,762,171.55 |
1,277,596,048.66 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold |
1,508,153,217.09 |
1,462,357,732.46 |
1,151,612,886.40 |
|
Selling Expenses |
51,613,441.47 |
48,428,916.21 |
35,977,196.23 |
|
Administrative Expenses |
89,942,243.45 |
77,496,253.04 |
44,565,003.24 |
|
Total Expenses |
1,649,708,902.01 |
1,588,282,901.71 |
1,232,155,085.87 |
|
Profit before Financial Cost & Income Tax |
49,626,884.66 |
54,479,269.84 |
45,440,962.79 |
|
Financial Cost |
[16,843,933.61] |
[20,606,193.41] |
[16,132,364.26] |
|
Profit before Income Tax |
32,782,951.05 |
33,873,076.43 |
29,308,598.53 |
|
Income Tax |
[6,449,147.65] |
[8,454,946.93] |
[9,512,483.18] |
|
Net Profit / [Loss] |
26,333,803.40 |
25,418,129.50 |
19,796,115.35 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2013 |
2012 |
2011 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
1.06 |
1.10 |
1.07 |
|
QUICK RATIO |
TIMES |
0.74 |
0.80 |
0.68 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
8.87 |
10.34 |
9.38 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.80 |
1.72 |
1.73 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
53.03 |
52.32 |
66.30 |
|
INVENTORY TURNOVER |
TIMES |
6.88 |
6.98 |
5.51 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
107.15 |
124.32 |
103.50 |
|
RECEIVABLES TURNOVER |
TIMES |
3.41 |
2.94 |
3.53 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
15.50 |
17.33 |
10.07 |
|
CASH CONVERSION CYCLE |
DAYS |
144.68 |
159.31 |
159.73 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
88.92 |
89.05 |
90.18 |
|
SELLING & ADMINISTRATION |
% |
8.35 |
7.67 |
6.31 |
|
INTEREST |
% |
0.99 |
1.25 |
1.26 |
|
GROSS PROFIT MARGIN |
% |
11.27 |
10.99 |
9.87 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
2.93 |
3.32 |
3.56 |
|
NET PROFIT MARGIN |
% |
1.55 |
1.55 |
1.55 |
|
RETURN ON EQUITY |
% |
10.11 |
10.86 |
11.54 |
|
RETURN ON ASSET |
% |
2.80 |
2.66 |
2.69 |
|
EARNING PER SHARE |
BAHT |
289.38 |
279.32 |
366.59 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.72 |
0.76 |
0.77 |
|
DEBT TO EQUITY RATIO |
TIMES |
2.62 |
3.08 |
3.29 |
|
TIME INTEREST EARNED |
TIMES |
2.95 |
2.64 |
2.82 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
3.28 |
28.59 |
|
|
OPERATING PROFIT |
% |
(8.91) |
19.89 |
|
|
NET PROFIT |
% |
3.60 |
28.40 |
|
|
FIXED ASSETS |
% |
20.46 |
16.71 |
|
|
TOTAL ASSETS |
% |
(1.42) |
29.76 |
|
ANNUAL GROWTH :
SATISFACTORY
An annual sales growth is 3.28%. Turnover has increased from THB
PROFITABILITY :
RISKY
PROFITABILITY
RATIO
|
Gross Profit Margin |
11.27 |
Deteriorated |
Industrial
Average |
39.58 |
|
Net Profit Margin |
1.55 |
Acceptable |
Industrial
Average |
2.79 |
|
Return on Assets |
2.80 |
Deteriorated |
Industrial
Average |
6.76 |
|
Return on Equity |
10.11 |
Deteriorated |
Industrial
Average |
25.26 |
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 11.27%. 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 1.55%.
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 2.8%.
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 10.11%.
Trend of the
average competitors in the same industry for last 5 years
Return on Assets Uptrend
Return on Equity Uptrend
LIQUIDITY : RISKY
LIQUIDITY RATIO
|
Current Ratio |
1.06 |
Acceptable |
Industrial
Average |
1.61 |
|
Quick Ratio |
0.74 |
|
|
|
|
Cash Conversion Cycle |
144.68 |
|
|
|
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 1.06 times in 2013, decreased from 1.1 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 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 0.74 times in 2013,
decreased from 0.8 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 145 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE :
IMPRESSIVE
LEVERAGE RATIO
|
Debt Ratio |
0.72 |
Impressive |
Industrial
Average |
0.90 |
|
Debt to Equity Ratio |
2.62 |
Satisfactory |
Industrial
Average |
3.50 |
|
Times Interest Earned |
2.95 |
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 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 2.95 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 0.72 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 :
ACCEPTABLE
ACTIVITY RATIO
|
Fixed Assets Turnover |
8.87 |
Impressive |
Industrial
Average |
- |
|
Total Assets Turnover |
1.80 |
Acceptable |
Industrial
Average |
3.15 |
|
Inventory Conversion Period |
53.03 |
|
|
|
|
Inventory Turnover |
6.88 |
Deteriorated |
Industrial
Average |
18.74 |
|
Receivables Conversion Period |
107.15 |
|
|
|
|
Receivables Turnover |
3.41 |
Deteriorated |
Industrial
Average |
9.36 |
|
Payables Conversion Period |
15.50 |
|
|
|
The company's Account Receivable Ratio is calculated as 3.41 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 52 days at the
end of 2012 to 53 days at the end of 2013. This represents a negative trend.
And Inventory turnover has decreased from 6.98 times in year 2012 to 6.88 times
in year 2013.
The company's Total Asset Turnover is calculated as 1.8 times and 1.72
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.60.19 |
|
|
1 |
Rs.103.14 |
|
Euro |
1 |
Rs.81.66 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAR |
|
|
|
|
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.