MIRA INFORM REPORT

 

 

Report Date :

14.06.2014

 

IDENTIFICATION DETAILS

 

Name :

CGM S.R.L.

 

 

Registered Office :

Via Dell'industria, 19  28924 – Verbania (VB)       

 

 

Country :

Italy

 

 

Financials (as on) :

31.12.2013

 

 

Date of Incorporation :

02.01.2001

 

 

Legal Form :

Limited Liability Company

 

 

Line of Business :

Manufacture of machine tools

 

 

No. of Employees

From 6 to 10

 

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 – March 31, 2014

 

Country Name

Previous Rating

(31.12.2013)

Current Rating

(31.03.2014)

Italy

A2

A2

 

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

 

 


 

ITALY ECONOMIC OVERVIEW

 

Italy has a diversified industrial economy, which is divided into a developed industrial north, dominated by private companies, and a less-developed, highly subsidized, agricultural south, where unemployment is higher. The Italian economy is driven in large part by the manufacture of high-quality consumer goods produced by small and medium-sized enterprises, many of them family-owned. Italy also has a sizable underground economy, which by some estimates accounts for as much as 17% of GDP. These activities are most common within the agriculture, construction, and service sectors. Italy is the third-largest economy in the euro-zone, but its exceptionally high public debt and structural impediments to growth have rendered it vulnerable to scrutiny by financial markets. Public debt has increased steadily since 2007, topping 133% of GDP in 2013, but investor concerns about Italy and the broader euro-zone crisis eased in 2013, bringing down Italy's borrowing costs on sovereign government debt from euro-era. The government still faces pressure from investors and European partners to sustain its efforts to address Italy's long-standing structural impediments to growth, such as labor market inefficiencies and widespread tax evasion. In 2013 economic growth and labor market conditions deteriorated, with growth at -1.8% and unemployment rising to 12.4%, with youth unemployment around 40%. Italy's GDP is now 8% below its 2007 pre-crisis level

 

Source : CIA

 

 

 


Company name and address

 

CGM S.R.L.

 

 

Via Dell'industria, 19

 

28924 - Verbania (VB) -IT-

 

 

Summary

 

Fiscal Code

:

01793780030

Legal Form

:

Limited liability company

start of Activities

:

02/01/2001

Equity

:

100.000

Turnover Range

:

1.000.000/1.250.000

Number of Employees

:

fom 6 to 10

 

 

Activity

 

Manufacture of other machine tools

 

 

Legal Data

 

Legal Form : Limited liability company

Register of Handcraft firms : 63641

 

Fiscal Code : 01793780030

 

Chamber of Commerce no. : 188197 of Verbania since 04/01/2001

 

V.A.T. Code : 01793780030

 

Establishment date

: 14/12/2000

Start of Activities

: 02/01/2001

Legal duration

: 31/12/2050

Nominal Capital

: 10.000

Subscribed Capital

: 10.000

Paid up Capital

: 10.000

 


 

Members

 

Cristuib Grizzi

Marco

 

Born in Premosello-Chiovenda

(NO)

on 29/06/1958

- Fiscal Code : CRSMRC58H29H037P

 

Residence:

Francesco Gatti

, 1

- 28877

Ornavasso

(VB)

- IT -

 

Position

Since

Shares Amount

% Ownership

Board Chairman

14/12/2000

Managing Director

14/12/2000

 

No Prejudicial events are reported

 

No Protests registered

 

Cecchetto

Emanuela

 

Born in Verbania

(NO)

on 24/08/1964

- Fiscal Code : CCCMNL64M64L746Y

 

Residence:

Francesco Gatti

, 1

- 28877

Ornavasso

(VB)

- IT -

 

Position

Since

Shares Amount

% Ownership

Director

14/12/2000

Partner

 

No Prejudicial events are reported

 

No Protests registered

 

 

Companies connected to members *

 

*checkings have been performed on a national scale.

In this module the companies in which members hold/held positions are listed.

 

The Members of the subject firm are not reported to be Members in other companies.



Capital Shareholders

 

Shareholders' list as at date of data collection:

 

Firm's Style / Name

Seat / Residence

Fiscal Code

Owned Shares

% Ownership

Cristuib Grizzi Marco

Ornavasso - IT -

CRSMRC58H29H037P

7.000 .Eur

70,00

Cecchetto Emanuela

Ornavasso - IT -

CCCMNL64M64L746Y

3.000 .Eur

30,00

 

 

Direct Participations

 

The Company under review has no participations in other Companies.



Firm's location and structure

 

In order to carry out its activities the firm uses the following locations:

 

-

Legal and operative seat

 

Dell'industria

, 19

- 28050

- Verbania

(VB)

- IT -

 

PHONE

: 0323586778

 

FAX

: 0323586778

 

Employees

: 5

 

Assistants

: 2

 

Stocks for a value of 69.000

Eur

 

 

Protests

 

Protests checking on the subject firm has given a negative result.

 

 

Data Base Prejudicial Events Search

 

Search performed on a National Scale

 

Prejudicial Events Search Result: NEGATIVE

 

Search performed on a specialized data base.

 

Legal Procedures

 

None reported, standing to the latest received edition of the Official Publications.



Financial and Economical Analysis

 

Subject is active since 2001

The economic-financial analysis has been made on the base of the b/s of the latests three years.

During the last years, it achieved profits (r.o.e. 86,88% on 2013)

The return on Investment in the last financial year was positive (21,82%) and is higher than the sector's average.

The operating result is positive and amounts to Eur. 89.300 , on more or less the same values as in the year before.

The G.O.M. amounted to Eur. 100.757 stable if compared to the financial year 2012.

The financial status of the company is fairly balanced with an indebtedness level of 2,09 with an improving trend as on the decrease.

The management generated equity capital for an amount of Eur. 94.045 , unchanged if compared to 2012.

Total debts (both short and M/L term) equals Eur. 257.837, whereas in the year before they amounted to Eur. 458.672, with a -43,78% drop.

The company does not exceed in bank borrowings; the recourse to suppliers' credit is also limited which is also lower than the sector average.

The management determines a good range of liquidity.

Credits are collected in 58,83 days on the average. , a value lower than the sector's average.

During financial year 2013 the cash flow amounted to Eur. 93.166

During 2013 financial year labour costs amounted to Eur. 163.720, with a 18,21% incidence on production costs. and a 15,68% incidence on sales volumes.



Financial Data

 

Complete balance-sheet for the year

al 31/12/2013

(in Eur

x 1)

 

Item Type

Value

Sales

1.044.113

Profit (Loss) for the period

81.709

 

Complete balance-sheet for the year

al 31/12/2012

(in Eur

x 1)

 

Item Type

Value

Sales

1.270.430

Profit (Loss) for the period

70.715

 

Complete balance-sheet for the year

al 31/12/2011

(in Eur

x 1)

 

Item Type

Value

Sales

772.406

Profit (Loss) for the period

54.527

 

Complete balance-sheet for the year

al 31/12/2010

(in Eur

x 1)

 

Item Type

Value

Sales

944.506

Profit (Loss) for the period

97.518



Balance Sheets

 

From our constant monitoring of the relevant Public Administration offices, no more recent balance sheets result to have been filed.

 

- Balance Sheet as at 31/12/2013 - 12 Mesi - Currency: - Amounts x 1

 

- Balance Sheet as at 31/12/2012 - 12 Mesi - Currency: - Amounts x 1

 

- Balance Sheet as at 31/12/2011 - 12 Mesi - Currency: - Amounts x 1

 

Years

2013

2012

2011

BALANCE SHEET ACCOUNTS

 

ASSETS

CREDITS VS PARTNERS

. Deposits not yet withdrawn

. Deposits already withdrawn

Total credits vs partners

FIXED ASSETS

. INTANGIBLE FIXED ASSETS

. . Start-up and expansion expenses

. . Research,develop. and advert.expens.

. . Industrial patent rights

. . Concessions,licenses,trademarks,etc.

. . Goodwill

. . Assets in formation and advance paymen.

. . Other intangible fixed assets

. Total Intangible Fixed Assets

442

884

. TANGIBLE FIXED ASSETS

. . Real estate

. . Plant and machinery

. . Industrial and commercial equipment

. . Other assets

. . Assets under construction and advances

. Total Tangible fixed assets

38.597

42.226

15.283

. FINANCIAL FIXED ASSETS

. . Equity investments

. . . Equity invest. in subsidiary companies

. . . Equity invest. in associated companies

. . . Equity invest. in holding companies

. . . Equity invest. in other companies

. . Financial receivables

. . . . Within 12 months

. . . . Beyond 12 months

. . . Receivab due from subsidiaries

. . . . Within 12 months

. . . . Beyond 12 months

. . . Receivables due from assoc.comp.

. . . . Within 12 months

. . . . Beyond 12 months

. . . Receivables due from holding comp.

. . . . Within 12 months

. . . . Beyond 12 months

. . . Receivables due from third parties

. . . . Within 12 months

. . . . Beyond 12 months

. . Other securities

. . Own shares

. . . Total nominal value

. Total financial fixed assets

212

212

212

Total fixed assets

39.251

43.322

15.495

CURRENT ASSETS

. INVENTORIES

. . Raw materials and other consumables

. . Work in progress and semimanufactured

. . Work in progress on order

. . Finished goods

. . Advance payments

. Total Inventories

69.375

149.133

221.564

. CREDITS NOT HELD AS FIXED ASSETS

. . Within 12 months

187.869

144.793

149.887

. . Beyond 12 months

. . Trade receivables

170.635

. . . . Within 12 months

170.635

. . . . Beyond 12 months

. . Receivables due from subsid. comp.

. . . . Within 12 months

. . . . Beyond 12 months

. . Receivables due from assoc. comp.

. . . . Within 12 months

. . . . Beyond 12 months

. . Receivables due from holding comp.

. . . . Within 12 months

. . . . Beyond 12 months

. . Fiscal Receivables

17.232

. . . . Within 12 months

17.232

. . . . Beyond 12 months

. . Receivables for anticipated taxes

. . . . Within 12 months

. . . . Beyond 12 months

. . Receivables due from third parties

2

. . . . Within 12 months

2

. . . . Beyond 12 months

. Total Credits not held as fixed assets

187.869

144.793

149.887

. FINANCIAL ASSETS

. . Equity invest. in subsidiary comp.

. . Equity invest. in associated companies

. . Equity invest. in holding companies

. . Other equity investments

. . Own shares

. . . Total nominale value

. . Other securities

. Total Financial Assets

. LIQUID FUNDS

. . Bank and post office deposits

. . Checks

. . Banknotes and coins

. Total Liquid funds

61.400

202.574

205

Total current assets

318.644

496.500

371.656

ADJUSTMENT ACCOUNTS

. Discount on loans

. Other adjustment accounts

51.360

55.537

58.136

Total adjustments accounts

51.360

55.537

58.136

TOTAL ASSETS

409.255

595.359

445.287

LIABILITIES

STOCKHOLDERS' EQUITY

. Capital stock

10.000

10.000

10.000

. Additional paid-in capital

. Revaluation reserves

. Legal reserve

2.335

2.335

2.335

. Reserve for Own shares

. Statute reserves

. Other reserves

1

2

1

. Accumulated Profits (Losses)

. Profit( loss) of the year

81.709

70.715

54.527

. Advances on dividends

. Partial loss of the year Coverage

Total Stockholders'Equity

94.045

83.052

66.863

RESERVES FOR RISKS AND CHARGES

. . Reserve for employee termination indem.

. . Taxation fund, also differed

. . Other funds

Total Reserves for Risks and Charges

Employee termination indemnities

38.010

32.938

27.646

ACCOUNTS PAYABLE

. . . . Within 12 months

257.837

458.672

350.696

. . . . Beyond 12 months

. . Bonds

. . . . Within 12 months

. . . . Beyond 12 months

. . Convertible bonds repayable

. . . . Within 12 months

. . . . Beyond 12 months

. . Due to shareholders for financing

. . . . Within 12 months

. . . . Beyond 12 months

. . Due to banks

3.165

. . . . Within 12 months

3.165

. . . . Beyond 12 months

. . Due to other providers of finance

. . . . Within 12 months

. . . . Beyond 12 months

. . Advances from customers

41.000

. . . . Within 12 months

41.000

. . . . Beyond 12 months

. . Trade payables

153.112

. . . . Within 12 months

153.112

. . . . Beyond 12 months

. . Securities issued

. . . . Within 12 months

. . . . Beyond 12 months

. . Due to subsidiary companies

. . . . Within 12 months

. . . . Beyond 12 months

. . Due to associated companies

. . . . Within 12 months

. . . . Beyond 12 months

. . Due to holding companies

. . . . Within 12 months

. . . . Beyond 12 months

. . Due to the tax authorities

4.078

. . . . Within 12 months

4.078

. . . . Beyond 12 months

. . Due to social security and welfare inst.

8.590

. . . . Within 12 months

8.590

. . . . Beyond 12 months

. . Other payables

47.892

. . . . Within 12 months

47.892

. . . . Beyond 12 months

Total accounts payable

257.837

458.672

350.696

ADJUSTMENT ACCOUNTS

. Agio on loans

. Other adjustment accounts

19.363

20.697

82

Total adjustment accounts

19.363

20.697

82

TOTAL LIABILITIES

409.255

595.359

445.287

 

MEMORANDUM ACCOUNTS

 

Third party goods

Investment accounts

Risk accounts

Civil and fiscal norms relation

 

PROFIT AND LOSS ACCOUNTS

 

VALUE OF PRODUCTION

. Revenues from sales and services

1.044.113

1.270.430

772.406

. Changes in work in progress

-18.261

-32.180

46.311

. Changes in semi-manufact. products

-47.816

-14.603

61.378

. Capitalization of internal work

. Other income and revenues

10.251

8.922

328

. . Contributions for operating expenses

1.230

5.849

. . Different income and revenues

9.021

3.073

328

Total value of production

988.287

1.232.569

880.423

PRODUCTION COSTS

. Raw material,other materials and consum.

516.700

745.947

452.232

. Services received

155.559

166.470

185.413

. Leases and rentals

29.999

30.184

29.291

. Payroll and related costs

163.720

164.566

122.292

. . Wages and salaries

119.062

120.568

89.016

. . Social security contributions

35.519

35.328

26.578

. . Employee termination indemnities

8.451

8.670

6.698

. . Pension and similar

. . Other costs

688

. Amortization and depreciation

11.457

12.283

13.910

. . Amortization of intangible fixed assets

442

442

. . Amortization of tangible fixed assets

11.015

11.841

13.910

. . Depreciation of tangible fixed assets

. . Writedown of current receiv.and of liquid

. Changes in raw materials

13.682

25.647

-26.119

. Provisions to risk reserves

. Other provisions

. Other operating costs

7.870

7.722

40.147

Total production costs

898.987

1.152.819

817.166

Diff. between value and cost of product.

89.300

79.750

63.257

FINANCIAL INCOME AND EXPENSE

. Income from equity investments

. . In subsidiary companies

. . In associated companies

. . In other companies

. Other financial income

90

182

835

. . Financ.income from receivables

. . . Towards subsidiary companies

. . . Towards associated companies

. . . Towards holding companies

. . . Towards other companies

. . Financ.income from secur. t.f.assets

. . Financ.income from secur. cur.assets

. . Financ.income other than the above

182

835

. . . - Subsidiary companies

. . . - Associated companies

. . . - Holding companies

. . . - Other companies

182

835

. Interest and other financial expense

-91

-847

-2.909

. . Towards subsidiary companies

. . Towards associated companies

. . Towards holding companies

. . Towards other companies

847

2.909

Total financial income and expense

-1

-665

-2.074

ADJUSTMENTS TO FINANCIAL ASSETS

. Revaluations

. . Of equity investments

. . Of financ.fixed assets not repres.E.I.

. . Of securities incl.among current assets

. Devaluation

. . Of equity investments

. . Of financial fixed assets (no equity inv)

. . Of securities included among current ass

Total adjustments to financial assets

EXTRAORDINARY INCOME AND EXPENSE

. Extraordinary income

1

. . Gains on disposals

. . Other extraordinary income

1

. Extraordinary expense

-50

. . Losses on disposals

. . Taxes relating to prior years

. . Other extraordinary expense

-50

Total extraordinary income and expense

1

-50

Results before income taxes

89.300

79.035

61.183

. Taxes on current income

7.591

8.320

6.656

. . current taxes

7.591

8.320

6.656

. . differed taxes(anticip.)

. Net income for the period

81.709

70.715

54.527

. Adjustments in tax regulations pursuance

. Provisions in tax regulations pursuance

. Profit (loss) of the year

81.709

70.715

54.527

 

RATIOS

Value Type

as at 31/12/2013

as at 31/12/2012

as at 31/12/2011

Sector Average

COMPOSITION ON INVESTMENT

Rigidity Ratio

Units

0,10

0,07

0,03

0,17

Elasticity Ratio

Units

0,78

0,83

0,83

0,80

Availability of stock

Units

0,17

0,25

0,50

0,27

Total Liquidity Ratio

Units

0,61

0,58

0,34

0,50

Quick Ratio

Units

0,15

0,34

0,00

0,03

COMPOSITION ON SOURCE

Net Short-term indebtedness

Units

2,09

3,08

5,24

3,14

Self Financing Ratio

Units

0,23

0,14

0,15

0,19

Capital protection Ratio

Units

0,02

0,03

0,03

0,68

Liabilities consolidation quotient

Units

0,15

0,07

0,08

0,18

Financing

Units

2,74

5,52

5,24

3,79

Permanent Indebtedness Ratio

Units

0,32

0,19

0,21

0,34

M/L term Debts Ratio

Units

0,09

0,06

0,06

0,09

Net Financial Indebtedness Ratio

Units

0,00

n.c.

n.c.

0,77

CORRELATION

Fixed assets ratio

Units

3,36

2,68

6,10

1,75

Current ratio

Units

1,24

1,08

1,06

1,23

Acid Test Ratio-Liquidity Ratio

Units

0,97

0,76

0,43

0,78

Structure's primary quotient

Units

2,40

1,92

4,32

1,04

Treasury's primary quotient

Units

0,24

0,44

0,00

0,05

Rate of indebtedness ( Leverage )

%

435,17

716,85

665,97

518,96

Current Capital ( net )

Value

60.807

37.828

20.960

406.983

RETURN

Return on Sales

%

8,92

6,53

8,86

3,69

Return on Equity - Net- ( R.O.E. )

%

86,88

85,15

81,55

5,16

Return on Equity - Gross - ( R.O.E. )

%

94,95

95,16

91,51

17,72

Return on Investment ( R.O.I. )

%

21,82

13,40

14,21

3,94

Return/ Sales

%

8,55

6,28

8,19

4,48

Extra Management revenues/charges incid.

%

91,50

88,67

86,20

26,52

Cash Flow

Value

93.166

82.998

68.437

142.024

Operating Profit

Value

89.300

79.750

63.257

126.602

Gross Operating Margin

Value

100.757

92.033

77.167

241.461

MANAGEMENT

Credits to clients average term

Days

58,83

n.c.

n.c.

116,01

Debts to suppliers average term

Days

78,49

n.c.

n.c.

127,79

Average stock waiting period

Days

23,92

42,26

103,27

96,89

Rate of capital employed return ( Turnover )

Units

2,55

2,13

1,73

1,03

Rate of stock return

Units

15,05

8,52

3,49

3,58

Labour cost incidence

%

15,68

12,95

15,83

21,20

Net financial revenues/ charges incidence

%

0,00

-0,05

-0,27

-1,00

Labour cost on purchasing expenses

%

18,21

14,28

14,97

20,95

Short-term financing charges

%

0,04

0,18

0,83

2,70

Capital on hand

%

39,20

46,86

57,65

96,90

Sales pro employee

Value

208.822

254.086

257.468

191.520

Labour cost pro employee

Value

32.744

32.913

40.764

39.641

 


 

Remarks

 

1) Protests checking (relative to the last five years) performed by crossing and matching the members names and the Firm's Style with the reported addresses, is supplied by the Informatic Registry managed by the Italian Chamber of Commerce. If the fiscal code is not indicated, the eventual homonymous cases are submitted to expert staff evaluation in order to limit wrong matching risks.

 

2) The Legal Data, supplied and retrived from the Firm's Registry of the Italian Chamber of Commerce, are in line with the last registered modifications.

 

3) Risk evaluation and Credit Opinion have been performed on the base of the actual data at the moment of their availability.

 

 

Market / Territory Data

 

Population living in the province

:

161.575

Population living in the region

:

4.330.172

Number of families in the region

:

1.889.207

 

Monthly family expences average in the region (in Eur..) :

 

- per food products

:

429

- per non food products

:

1.789

- per energy consume

:

135

 

 

Sector Data

 

The values are calculated on a base of 45 significant companies.

 

The companies cash their credits on an average of 116 dd.

The average duration of suppliers debts is about 128 dd.

The sector's profitability is on an average of 3,69%.

The labour cost affects the turnover in the measure of 21,20%.

Goods are held in stock in a range of 97 dd.

The difference between the sales volume and the resources used to realize it is about 1,03.

The employees costs represent the 20,95% of the production costs.

 

 

Statistical Detrimental Data

 

Statistcally the trade activity shows periods of crisis.

The area is statistically considered moderately risky.

In the region 27.019 protested subjects are found; in the province they count to 1.296.

The insolvency index for the region is 0,63, , while for the province it is 0,81.

Total Bankrupt companies in the province : 428.

Total Bankrupt companies in the region : 14.165.

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.59.48

UK Pound

1

Rs.100.93

Euro

1

Rs.80.71

 

INFORMATION DETAILS

 

Analysis Done by :

SUB

 

 

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%)

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

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