MIRA INFORM REPORT

 

 

Report Date :

16.06.2014

 

IDENTIFICATION DETAILS

 

Name :

DENIM BVBA

 

 

Registered Office :

Hoveniersstraat 2, 2018 Antwerpen

 

 

Country :

Belgium

 

 

Financials (as on) :

31.12.2012

 

 

Date of Incorporation :

17.04.1986

 

 

Com. Reg. No.:

428704366

 

 

Legal Form :

Private Limited Company (BL/LX)

 

 

Line of Business :

Wholesale of diamonds and other precious stones

 

 

No. of Employees :

1

 

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 :

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)

Belgium

A1

A1

 

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

 

 

BELGIUM - ECONOMIC OVERVIEW

 

This modern, open, and private-enterprise-based economy has capitalized on its central geographic location, highly developed transport network, and diversified industrial and commercial base. Industry is concentrated mainly in the more heavily-populated region of Flanders in the north. With few natural resources, Belgium imports substantial quantities of raw materials and exports a large volume of manufactures, making its economy vulnerable to volatility in world markets. Roughly three-quarters of Belgium's trade is with other EU countries, and Belgium has benefited most from its proximity to Germany. In 2013 Belgian GDP grew by 0.1%, the unemployment rate increased to 8.8% from 7.6% the previous year, and the government reduced the budget deficit from a peak of 6% of GDP in 2009 to 3.2%. Despite the relative improvement in Belgium's budget deficit, public debt hovers around 100% of GDP, a factor that has contributed to investor perceptions that the country is increasingly vulnerable to spillover from the euro-zone crisis. Belgian banks were severely affected by the international financial crisis in 2008 with three major banks receiving capital injections from the government, and the nationalization of the Belgian retail arm of a Franco-Belgian bank.

 

Source : CIA

 

 

 

Company summary

 

Business number                     428704366

Company name                        DENIM BVBA

Address                                   HOVENIERSSTRAAT

2

2018 ANTWERPEN

Number of staff                        1

Date of establishment               17/04/1986

Telephone number                   032253020

 

 

Commentary

 

The business was established over 28 years ago.

The business has 1 employees.

The business has been at the address for over 16 years.

Operating Result in the latest trading period decreased 32% on the previous trading period.

A 42% decline in Total Assets occurred during the latest trading period.

The business saw a decrease in their Cash Balance of 93% during the latest trading period.

Turnover in the latest trading period decreased 32% on the previous trading period.

 

Accounts

Date of latest accounts

Turnover

Profit Before Tax

Net worth

Working capital

31/12/2012

13,378,818

42,181

638,377

1,010,913

31/12/2011

19,718,843

51,543

611,756

1,320,496

31/12/2010

27,223,015

66,393

573,243

1,246,944

 

Accounts

Date of latest accounts

Balance Total

Number of Employees

Capital

Cashflow

31/12/2012

4,549,123

0

18,600

40,253

31/12/2011

7,946,575

0

18,600

52,781

31/12/2010

5,832,031

0

18,600

58,284

 

 

Payment expectations

 

Past payments                                                             Payment expectation days        37.81

Industry average payment

expectation days                      164.62

Industry average day sales

Outstanding                             125.64

Day sales outstanding 71.51

 

Court data summary

 

Bankruptcy details

Court action type          no

Protested bills

Bill amount                  -

NSSO details

Date of summons        

 

 

Company information

 

Business number                                 428704366                    Company name           DENIM BVBA

Fax number                                                                              Date founded                17/04/1986

Company status                                   active                           Company type             Private Limited

Company (BL/LX)

Currency                                              Euro (€)                        Date of latest accounts 31/12/2012

Activity code                                        46761                           Liable for VAT              yes

Activity description                              Wholesale of diamonds and

other precious stones

VAT Number                                        BE.0428.704.366 Check

VAT number

Belgian Bullettin of Acts

Publications                                         moniteur belge

 

 

Joint Industrial Committee (JIC)

 

Significant Events

Event Date                    30/09/2009

Event Description         resignation-appointment of director(s)

Event Details                Commentaar 30-09-2009: In de vergadering van 30/09/2009 werd gemeld da Shah Vicky

Bharat, benoemd onder de opschortende voorwaarde tot het bekomen van de

beroepskaart, zijn beroepskaart bekwam en dat hij vanaf 01/10/2009 de functie van zaa

Event Date                    30/09/2009

Event Description         resignation-appointment of director(s)

Event Details                kvoerder waarneemt.

 


Profit & loss

 

Annual accounts          31-12-2012        %         31-12-2011        %         31-12-2010        Industry

Average   2012        %

Weeks                          52                                 52                                 52

 

Currency                       EUR                             EUR                             EUR

Turnover                       13,378,818        -32.15   19,718,843        -27.57 27,223,015        46,485,458        -71.22

Total operating expenses 13,318,209      -32.15   19,629,646        -27.45   27,056,524        46,114,879        -71.12

Operating result             60,609              -32.05 89,198              -46.42   166,491             140,970             -57.01

Total financial income    56,352             64.44    34,269              2700     1,224                98,884              -43.01

Total financial expenses 74,781              3.97      71,924              -29.01   101,321 206,312            -63.75

Results on ordinary operations

Before Taxation             42,181              -18.16   51,543              -22.37   66,393              25,266              66.95

Taxation                        11,337              -16.06   13,506              -36.33   21,214              20,807              -45.51

Results on ordinary operations

After taxation                30,844              -18.91   38,036              -15.81   45,179              10,475              194

Extraordinary items       -4,222               -986      476                   -           0                      -3,969               -6.37

Other appropriations      -1                    -           0.00                  -           0.00                  -                      -

Net result                      26,621              -30.88   38,513              -14.76   45,179              6,525                307

other information

Gross Operating Margin -                      -          -                      -           -                       56,835              -

Dividends                     -                       -          -                      -          -                      172,177 -

Director remuneration    23,687              -41.01  40,153             -          -                       112,544 -78.95

Employee costs            -                       -          -                       -           -                       125,946 -

Wages and salary          -                       -          -                       -           -                       105,550 -

Employee pension costs -                     -           -                       -          -                       14,428              -

Social security contributions -                -           -                      -           -                      26,656              -

Other employee costs   0                     -           0                      -           0                      4,344                -100

Amortization and

depreciation                  13,632              -4.46    14,268              8.88      13,104              17,811              -23.46

 

 

balance sheet

 

Annual accounts                       31-12-2012 %                31-12-2011 %    31-12-2010        Industry

            average2012     %

Weeks                                                    52                                          52                            52

Currency                                               EUR                                        EUR                         EUR

Intangible fixed assets                       0                    -                         0                  -            0                             1,571                       -100

Tangible fixed assets                         195,904      0.42                   195,078    -6.29     208,175                184,117                                   6.40

Land & building                                   162,035    -3.33                    167,61     -3.22      173,193                362,988                  -55.36

Plant & machinery                               31,704        298                    7,962       -26.00    10,760                   22,615                    40.19

Furniture & Vehicles                           2,166        -88.89                                 19,502      -19.49    24,222                 17,295     5,364      -87.48

Leasing & Other Similar Rights        -                   -                           -                  -             -                              142,153   32,369    -

Other tangible assets                          -1                -                           0                  -            0                             7,588                      -100

Financial fixed assets                         -                   -                           - -                -                                           306,282                 -

Total fixed assets                                195,904     0.42                    195,078    -6.29     208,175                394,259                                 -50.31

Inventories                                            316,815    -78.30                 1,459,746  95.55  746,493                                3,102,024              -89.79

Raw materials & consumables         -                   -                           -                   -             -                             7,209,884              -

Work in progress                                                 0                  -                           0                  -             0                            2,384                      -100

Finished goods                                    316,815     -78.30                1,459,746  95.55                  746,493                1,994,651              -84.12

Other stocks                                          0                 -                           0                   -          0                             569,553                                 -100

Trade debtors                                       2,621,046  -32.39                                3,876,576   -2.85   3,990,377            4,239,087              -38.17

Cash                                                      57,139       -93.99                951,515      5174 18,039                   227,241                -74.86

other amounts receivable                  1,358,218   -7.15                                 1,462,873   68.44   868,499              209,025                                 549

Miscellaneous current assets           1                   -99                     787             75.64      448                     18,235                   -99

Total current assets                             4,353,219  -43.84                7,751,498   37.83    5,623,857          7,321,447              -40.54

Total Assets                                          4,549,123  -42.75                7,946,575   36.26    5,832,031          7,675,911

1,453,566              -40.74

current liabilities

Trade creditors                                     1,379,457 -65.56                4,005,430   136    1,695,339              3,144,774              -56.13

Short term group loans                      -                   -                           -                    -         -                              -                               -

Financial debts                                    1,720,040 -20.82                2,172,357 -10.94                 2,439,159              4,280,807 189,666 -59.82

Current portion of long term debt     15,032      142                    6,194         4.74     5,914                      110,204 15,373   -86.36

Amounts Payable for Taxes,

Remuneration & Social Security      28,383   -24.50                    37,594      4.15     36,097                   9,740 -                   -16.60

Miscellaneous current liabilities       199,394                 -4.79                       209,426     4.50    200,404                                 -33.02                    - -

Total current liabilities                        3,342,306 -48.03                                 6,431,002 46.93 4,376,913              5,457,561              -38.76

Long term debts and liabilities

Long term group loans                       -                   -                           -                  -           -                               -                               - -

Other long term loans                         -                   -                           15,032   -29.18    21,226                   -                              - -

Deffered taxes                                     -                    -                          -              -              -                               37,626 26,358      -

Provisions for Liabilities &

Charges                                                0                  -                           0              -               0                              3,165 0                  -100

Other long term liabilities                   568,440 -36.04                    888,786 3.27       860,650                                 127,897                                 344

Total long term debts                          568,440 -37.11                    903,818  2.49       881,876                                 562,239                                 1.10

shareholders equity

Issued share capital                            18,600   0                              18,600   0              18,600                   967,416                                 -98.08

Share premium account                    -              -                              -              -               -                              109,362                 -

Reserves                                               619,777 4.49                        593,156 6.94        554,643                                 653,158                                 -5.11

Revaluation reserve                            -              -                              -              -              -                              939,206                 -

Total shareholders equity                  638,377 4.35                       611,756 6.72        573,243                                 1,650,062              -61.31

Working capital                                    1,010,913 -23.44                                 1,320,496 5.90     1,246,944              1,863,886              -45.76

Cashflow                                               40,253 - 23.74                      52,781   -9.44       58,284                   21,260                   89.34

Net worth                                               638,377 4.35                        611,756 6.72       573,243                                 1,646,834              -61.24

 

 

ratio analysis

 

Annual accounts

31-12-2012

change(%)

31-12-2011

Change (%)

31-12-2010

Industry

Average

2012

%

Trading performance

 

 

 

 

 

 

 

 

Profit Before Tax

0.32

23.08

0.26

8.33

0.24

-29,00

1.10

Return on capital employed

3.50

2.94

3.40

-25.44

4.56

29,00

-87.93

Return on total assets employed

0.93

43.08

0.65

-42.98

1.14

-200,00

0.46

Return on net assets employed

6.61

-21.59

8.43

-27.20

11.58

19,00

-65.21

Sales / net working capital

13.23

-11.39

14.93

-31.61

21.83

44,00

-99

Stock turnover ratio

2.37

-67.97

7.40

170

2.74

116,00

-97.96

Debtor days

71.51

-0.35

71.76

34.13

53.50

143,00

-49.99

Creditor days

37.81

-49.23

74.48

225

22.87

125,00

-69.75

 

 

short term stability

 

 

 

Current ratio

1.30

7.44

1.21

-5.47

1.28

6,00

-85.56

Liquidity ratio / acid ratio

1.21

23.47

0.98

-11.71

1.11

4,00

-69.75

Current debt ratio

5.24

-50.14

10.51

37.57

7.64

9,00

-41.78

Liquidity ratio reprocessed

-

-

-

-

-

-

-

 

 

long term stability

 

 

 

 

Gearing

271.79

-24.20

358.57

-16.66

430.24

357,00

-23.87

Equity in percentage

14.03

82.21

7.70

-21.67

9.83

-3.189,00

0.44

Total debt ratio

6.13

-48.87

11.99

30.75

9.17

11,00

-44.27

 

 

Payment expectations

 

Payment expectation days                     37.81

Day sales outstanding                           71.51

 

Industry comparison

Activity code                                         46761

Activity description                                Wholesale of diamonds and other precious stones

Industry average payment

expectation days                                   164.62

Industry average day sales

Outstanding                                          125.64

 

 

Industry quartile analysis

 

Payment expectations

Company result                                     37.81

Lower                                                   134.13

Median                                                             84.93

Upper                                                   45.40

 

Day sales outstanding

Company result                                     71.51

Lower                                                   110.17

Median                                                             59.01

Upper                                                   28.09

 

Group Structure

No group structure for this company.

 

Minority Shareholders

No minority shareholders found

Minority Interests

No minority interests found

 

NSSO details

Business number                       428704366

Name of defendant                   -

Legal form of defendant            -

Date of summons                     -

Labour court                            

 

Bankruptcy details

There is no bankruptcy data against this company

 

 

Bankruptcy Data

 

court data

there is no data for this company

 


DIAMOND INDUSTRY – INDIA

 

-            From time immemorial, India is well known in the world as the birthplace for diamonds.  It is difficult to trace the origin of diamonds but history says that in the remote past, diamonds were mined only in India. Diamond production in India can be traced back to almost 8th Century B.C.  India, in fact, remained undisputed leader till 18th Century when Brazilian fields were discovered in 1725 followed by emergence of S. Africa, Russia and Australia.

-            The achievement of the Indian diamond industry was possible only due to combination of the manufacturing skills of the Indian workforce and the untiring and unflagging efforts of the Indian diamantaires, supported by progressive Government policies.

-            The area of study of family owned diamond businesses derives its importance from the huge conglomerate of family run organizations which operate in the diamond industry since many generations.

-            Some of the basic traits of family run business enterprises include spirit of entrepreneurship, mutual trust lowers transaction costs, small, nimble and quick to react, information as a source of advantage and philanthropy.

-            Family owned diamond businesses need to improve on many fronts including higher standard of corporate governance, long-term performance – focused strategies, modern management and technology.

-            Utmost caution is to be exercised while dealing with some medium and large diamond traders which are usually engaged in fictitious import – export, inter-company transactions, financially assisted by banks. In the process, several public sector banks lost several hundred million rupees. They mostly diverted borrowed money for diamond business into real estate and capital markets.

-            Excerpts from Times of India dated 30th October 2010 is as under –

 

-            Gem & Jewellery Export Promotion Council in its statistical data has shown the export of polished diamonds to have increase by 28 % in February 2013. Compared to $ 1.4 bn worth of polished diamond export in February, 2012, India exported $ 1.84 billion worth of polished diamonds in February 2013. A senior executive of GJEPC said, “Export of cut and polished diamonds started falling month-wise after the imposition of 2 % of import duty on the polished diamonds. But February, 2013 has given a new ray of hope to the industry as the export of polished diamonds has actually increased by 28 %. It means the industry  is on the track of recovery and round tripping of diamonds has stopped completely.” Demand has started coming from the US, the UK, Japan and China. India’s polished diamond export is expected to cross $ 21 bn in 2013-14.

 

-            The banking sector has started exercising restraint while following prudent risk management norms when lending money to gems and jewellery sector. This follows the implementation of Basel III accord – a global voluntary regulatory standard on bank capital adequacy, stress testing and market liquidity.

 

 

 


 

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 :

DIV

 

 

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%)

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.