MIRA INFORM REPORT
|
Report Date : |
20.06.2014 |
IDENTIFICATION DETAILS
|
Name : |
THAI GEM
& DIAMOND LTD. |
|
|
|
|
Registered Office : |
Room 2407, 24th Flr., Jewelry Trade Center, 919/309 Silom Rd., Silom, Bangrak, Bangkok 10500 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2013 |
|
|
|
|
Date of Incorporation : |
18.09.1992 |
|
|
|
|
Com. Reg. No.: |
0105535130426 [Former :
12592/2535] |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
engaged in importing and distributing various
kinds of Fine
Gemstones and diamonds for Jewelry
Industry |
|
|
|
|
No of Employees : |
03 |
RATING & COMMENTS
|
MIRA’s Rating : |
Ca |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
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 |
|
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 is implementing a nation-wide 300 baht ($10) per day minimum wage
policy and deploying 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.
|
Source : CIA |
Company
name
THAI GEM
& DIAMOND LTD.
SUMMARY
BUSINESS
ADDRESS : ROOM
2407, 24th FLOOR,
JEWELRY TRADE CENTER,
919/309 SILOM
ROAD, SILOM, BANGRAK,
BANGKOK 10500,
THAILAND
TELEPHONE : [66] 2238-1609,
2630-1031
FAX :
[66] 2682-8954,
2630-1032
E-MAIL
ADDRESS : -
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1992
REGISTRATION
NO. : 0105535130426 [Former : 12592/2535]
TAX
ID NO. : 3011175729
CAPITAL REGISTERED : BHT. 11,000,000
CAPITAL PAID-UP : BHT.
11,000,000
SHAREHOLDER’S PROPORTION : THAI :
51.00%
INDIAN
: 49.00%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR.
SHRIEYANS JITENDRA JHAVERI,
INDIAN
MANAGING DIRECTOR
NO.
OF STAFF : 3
LINES
OF BUSINESS : GEMSTONES AND
DIAMONDS
IMPORTER &
DISTRIBUTOR
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 September 18, 1992
as a private
limited company under
the name style
THAI GEM &
DIAMOND LTD., by
Thai and Indian
groups, in order to
distribute gemstones and
diamonds to domestic
jewelry industry. It
currently employs 3
staff.
The subject’s registered
address is Room
2407, 24th Flr.,
Jewelry Trade Center, 919/309 Silom
Rd., Silom, Bangrak,
Bangkok 10500, and
this is the
subject’s current operation
address.
THE BOARD
OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Shrieyans Jitendra
Jhaveri |
|
Indian |
50 |
|
Mrs. Rupal Shrieyans
Jhaveri |
|
Indian |
45 |
|
Mr. Shrenik Jitendra
Jhaveri |
|
Indian |
37 |
AUTHORIZED
PERSON
Any of the
above directors can
sign on behalf
of the subject
with company’s affixed.
MANAGEMENT
Mr. Shrieyans Jitendra
Jhaveri is the
Managing Director.
He is Indian
nationality with the
age of 50
years old.
BUSINESS
OPERATIONS
The
subject is engaged in
importing and distributing
various kinds of
fine gemstones and
diamonds for jewelry
industry.
PURCHASE
Most of the
products are imported
from India, Hong
Kong, South Africa
and Singapore, the
remaining is purchased
from local suppliers.
SALES [LOCAL]
100% of its
products is sold
locally to manufacturers
and dealers.
SUBSIDIARY AND AFFILIATED
COMPANY
The subject is
not found to
have any subsidiary
or affiliated company
here in Thailand.
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 credit terms
of 30-60 days.
Local bills are
paid by cash
or on the
credits term of
30-60 days.
Imports are by
T/T.
BANKING
The Siam Commercial
Bank Public Co.,
Ltd.
[Silom Branch:
Silom Rd., Silom,
Bangrak, Bangkok 10500]
EMPLOYMENT
The subject currently
employs 3 staff.
LOCATION DETAILS
The premise is
rented for administrative office
at the heading
address. Premise is
located in a
prime commercial area.
COMMENT
The
subject is an
importer, distributor and
exporter of diamond
and gemstones for
local jewelry business.
Its operating performance in 2013
was fair. In
amidst of current
economic slowdown and
political turmoil, the
subject would probably
encounter slow sales
this year.
FINANCIAL
INFORMATION
The capital was
initially registered at
Bht. 2,000,000 divided
into 20,000 shares
of Bht. 100
each.
The capital was
increased later as
follows:
Bht. 4,000,000
on November 30,
1995
Bht. 11,000,000
on October 17,
2000
The latest registered
capital was increased
to Bht. 11,000,000 divided into
110,000 shares of
Bht. 100 each
with fully paid.
THE SHAREHOLDERS
LISTED WERE : [as at
April 30, 2014]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Shrenik Jitendra
Jhaveri Nationality: Indian Address : 87 Pan
Rd., Silom, Bangrak,
Bangkok 10500
|
41,800 |
38.00 |
|
Mr. Somkid Kamdee Nationality: Thai Address : 50/1
Krungkasem Rd., Klongmahanak,
Pomprab, Bangkok 10100 |
14,025 |
12.75 |
|
Ms. Somporn Langsanti Nationality: Thai Address : 1461 Asoke-Dindaeng Rd.,
Samsennai,
Phyathai, Bangkok 10400 |
14,025 |
12.75 |
|
Ms. Pornthip Langsanti Nationality: Thai Address : 283 Asoke-Dindaeng Rd.,
Samsennai,
Huaykwang, Bangkok 10320 |
14,025 |
12.75 |
|
Mr. Pipat Srikham Nationality: Thai Address : 1461 Asoke-Dindaeng Rd.,
Samsennai,
Phyathai, Bangkok 10400 |
14,025 |
12.75 |
|
Mr. Shrieyans Jitendra
Jhaveri Nationality: Indian Address : 87 Pan
Rd., Silom, Bangrak,
Bangkok 10500 |
11,000 |
10.00 |
|
Mrs. Rupal Shrieyans
Jhaveri Nationality: Indian Address : 87 Pan
Rd., Silom, Bangrak,
Bangkok 10500 |
1,100 |
1.00 |
Total Shareholders : 7
Share Structure [as at April
30, 2014]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
4 |
56,100 |
51.00 |
|
Foreign-Indian |
3 |
53,900 |
49.00 |
|
Total |
7 |
110,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Mrs. Wasana Tanmongkol
No. 1888
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 |
704,402.76 |
446,542.45 |
232,138.94 |
|
Trade Accounts Receivable |
5,806,230.51 |
7,313,495.44 |
5,056,869.35 |
|
Inventories |
7,082,427.26 |
9,667,387.63 |
8,585,630.54 |
|
|
|
|
|
|
Total Current Assets
|
13,593,060.53 |
17,427,425.52 |
13,874,638.83 |
|
Fixed Assets |
8,033.17 |
12,373.14 |
47,893.76 |
|
Other Non-current Assets |
- |
- |
24,000.00 |
|
Total Assets |
13,601,093.70 |
17,439,798.66 |
13,946,532.59 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2013 |
2012 |
2011 |
|
|
|
|
|
|
Trade Accounts Payable |
2,203,149.56 |
7,558,088.95 |
4,302,873.90 |
|
Loan Payable -
Director |
3,400,000.00 |
1,700,000.00 |
1,400,000.00 |
|
Other Current Liabilities |
85,178.53 |
89,835.86 |
112,055.45 |
|
|
|
|
|
|
Total Current Liabilities |
5,688,328.09 |
9,347,924.81 |
5,814,929.35 |
|
Total Liabilities |
5,688,328.09 |
9,347,924.81 |
5,814,929.35 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized, issued
and fully paid share
capital 110,000 shares |
11,000,000.00 |
11,000,000.00 |
11,000,000.00 |
|
|
|
|
|
|
Capital Paid |
11,000,000.00 |
11,000,000.00 |
11,000,000.00 |
|
Retained Earning - Unappropriated [Deficit] |
[3,082,234.39] |
[2,908,126.15] |
[2,868,396.76] |
|
Total Shareholders' Equity |
7,917,765.61 |
8,091,873.85 |
8,131,603.24 |
|
Total Liabilities & Shareholders' Equity |
13,601,093.70 |
17,439,798.66 |
13,946,532.59 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
2013 |
2012 |
2011 |
|
|
|
|
|
|
Sales |
16,472,057.37 |
14,132,897.39 |
12,133,134.86 |
|
Other Income |
5,634.53 |
245,216.10 |
394.88 |
|
Total Revenues |
16,477,691.90 |
14,378,113.49 |
12,133,529.74 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold |
14,936,630.70 |
12,663,778.86 |
10,994,863.95 |
|
Selling & Administrative Expenses |
1,605,394.45 |
1,649,090.30 |
1,495,356.49 |
|
Loss on Exchange Rate |
- |
- |
162,937.58 |
|
Financial Cost |
17,094.93 |
7,094.44 |
- |
|
Total Expenses |
16,559,120.08 |
14,319,963.60 |
12,653,158.02 |
|
|
|
|
|
|
Profit / [Loss] before Income
Tax |
[81,428.18] |
58,149.89 |
[519,628.28] |
|
Income Tax |
[97,680.06] |
[97,879.28] |
[86,385.43] |
|
Net Profit / [Loss] |
[179,108.24] |
[39,729.39] |
[606,013.71] |
FINANCIAL
ANALYSIS
|
ITEM |
UNIT |
2013 |
2012 |
2011 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
2.39 |
1.86 |
2.39 |
|
QUICK RATIO |
TIMES |
1.14 |
0.83 |
0.91 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
2,050.51 |
1,142.22 |
253.33 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.21 |
0.81 |
0.87 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
173.07 |
278.64 |
285.02 |
|
INVENTORY TURNOVER |
TIMES |
2.11 |
1.31 |
1.28 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
128.66 |
188.88 |
152.13 |
|
RECEIVABLES TURNOVER |
TIMES |
2.84 |
1.93 |
2.40 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
53.84 |
217.84 |
142.84 |
|
CASH CONVERSION CYCLE |
DAYS |
247.89 |
249.68 |
294.30 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
90.68 |
89.60 |
90.62 |
|
SELLING & ADMINISTRATION |
% |
9.75 |
11.67 |
12.32 |
|
INTEREST |
% |
0.10 |
0.05 |
- |
|
GROSS PROFIT MARGIN |
% |
9.36 |
12.13 |
9.38 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
(0.49) |
0.41 |
(4.28) |
|
NET PROFIT MARGIN |
% |
(1.09) |
(0.28) |
(4.99) |
|
RETURN ON EQUITY |
% |
(2.26) |
(0.49) |
(7.45) |
|
RETURN ON ASSET |
% |
(1.32) |
(0.23) |
(4.35) |
|
EARNING PER SHARE |
BAHT |
(1.63) |
(0.36) |
(5.51) |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.42 |
0.54 |
0.42 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.72 |
1.16 |
0.72 |
|
TIME INTEREST EARNED |
TIMES |
(4.76) |
8.20 |
- |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
16.55 |
16.48 |
|
|
OPERATING PROFIT |
% |
(240.03) |
(111.19) |
|
|
NET PROFIT |
% |
(350.82) |
93.44 |
|
|
FIXED ASSETS |
% |
(35.08) |
(74.17) |
|
|
TOTAL ASSETS |
% |
(22.01) |
25.05 |
|
ANNUAL GROWTH :
RISKY
An annual sales growth is 16.55%. Turnover has increased from THB
14,132,897.39 in 2012 to THB 16,472,057.37 in 2013. While net profit has decreased
from THB -39,729.39 in 2012 to THB
-179,108.24 in 2013. And total assets has decreased from THB 17,439,798.66 in
2012 to THB 13,601,093.70 in 2013.
PROFITABILITY :
ACCEPTABLE
PROFITABILITY
RATIO
|
Gross Profit Margin |
9.36 |
Impressive |
Industrial
Average |
3.01 |
|
Net Profit Margin |
(1.09) |
Deteriorated |
Industrial
Average |
0.58 |
|
Return on Assets |
(1.32) |
Deteriorated |
Industrial
Average |
3.55 |
|
Return on Equity |
(2.26) |
Deteriorated |
Industrial
Average |
14.14 |
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 9.36%. When compared with the industry
average, the ratio of the company was higher, indicated that company was more
profitable than the same industry.
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 -1.09%.
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 -1.32%.
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 -2.26%.
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 |
2.39 |
Impressive |
Industrial
Average |
1.60 |
|
Quick Ratio |
1.14 |
|
|
|
|
Cash Conversion Cycle |
247.89 |
|
|
|
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 2.39 times in 2013, increased from 1.86 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 higher, indicated that company
was an efficient operator in a dominant position within its industry.
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 1.14 times in 2013,
increased from 0.83 times, although excluding inventory so the company still
have good short-term financial strength.
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 248 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE :
SATISFACTORY
LEVERAGE RATIO
|
Debt Ratio |
0.42 |
Impressive |
Industrial
Average |
0.73 |
|
Debt to Equity Ratio |
0.72 |
Impressive |
Industrial
Average |
2.73 |
|
Times Interest Earned |
(4.76) |
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 lower the percentage means that the company is
using less leverage and has a stronger equity position.
Times Interest Earned measuring a company's ability to meet its debt
obligations. Ratio is -4.77 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 0.42 less than 0.5, most of the company's
assets are financed through equity.
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 |
2,050.51 |
Impressive |
Industrial
Average |
- |
|
Total Assets Turnover |
1.21 |
Deteriorated |
Industrial
Average |
6.16 |
|
Inventory Conversion Period |
173.07 |
|
|
|
|
Inventory Turnover |
2.11 |
Deteriorated |
Industrial
Average |
12.03 |
|
Receivables Conversion Period |
128.66 |
|
|
|
|
Receivables Turnover |
2.84 |
Deteriorated |
Industrial
Average |
8.23 |
|
Payables Conversion Period |
53.84 |
|
|
|
The company's Account Receivable Ratio is calculated as 2.84 and 1.93 in
2013 and 2012 respectively. This ratio measures the efficiency of the company
in managing its trade debtors to generate revenue. A lower ratio may indicate
over extension and collection problems. Conversely, a higher ratio may indicate
an overtly stringent policy. In this case, the company's A/R ratio in 2013
increased from 2012. This would suggest the company had good performance in the
management of its debt collections.
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 decreased from 279 days at the
end of 2012 to 173 days at the end of 2013. This represents a positive trend.
And Inventory turnover has increased from 1.31 times in year 2012 to 2.11 times
in year 2013.
The company's Total Asset Turnover is calculated as 1.21 times and 0.81
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 Downtrend
Inventory Turnover Downtrend
Receivables Turnover Downtrend
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.60.00 |
|
UK Pound |
1 |
Rs.102.05 |
|
Euro |
1 |
Rs.81.71 |
INFORMATION DETAILS
|
Analysis Done by
: |
RAS |
|
|
|
|
Report Prepared
by : |
MNL |
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General unfavourable
factors will not cause fatal effect. Satisfactory capability for payment of
interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with full
security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
-- |
NB |
New Business |
-- |
This score serves as a reference to assess SC’s
credit risk and to set the amount of credit to be extended. It is calculated
from a composite of weighted scores obtained from each of the major sections of
this report. The assessed factors and their relative weights (as indicated
through %) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend (10%) Operational size
(10%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.