MIRA INFORM REPORT

 

 

Report Date :

27.06.2014

 

 

 

 

Tel. No.:

902122707154

Fax No.:

902122707161

 

Note:

The above mentioned given address is an old address of the subject company  

 

 

IDENTIFICATION DETAILS

 

Name :

EKINCILER DEMIR VE CELIK SANAYI A.S.

 

 

Registered Office :

Ayazaga Yolu No:7 Giz 2000 Plaza Kat:3 Maslak Istanbul

 

 

Country :

Turkey

 

 

Financials (as on) :

31.12.2012 (Balance Sheets)

31.03.2013 (Income Statements)

 

 

Date of Incorporation :

19.08.1983

 

 

Com. Reg. No.:

196785

 

 

Legal Form :

Joint Stock Company

 

 

Line of Business :

Manufacturer and trader of iron and steel

 

 

No of Employees :

833

 

 

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)

Turkey

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

 

Turkey ECONOMIC OVERVIEW

 

Turkey's largely free-market economy is increasingly driven by its industry and service sectors, although its traditional agriculture sector still accounts for about 25% of employment. An aggressive privatization program has reduced state involvement in basic industry, banking, transport, and communication, and an emerging cadre of middle-class entrepreneurs is adding dynamism to the economy and expanding production beyond the traditional textiles and clothing sectors. The automotive, construction, and electronics industries, are rising in importance and have surpassed textiles within Turkey's export mix. Oil began to flow through the Baku-Tbilisi-Ceyhan pipeline in May 2006, marking a major milestone that will bring up to 1 million barrels per day from the Caspian to market. Several gas pipelines projects also are moving forward to help transport Central Asian gas to Europe through Turkey, which over the long term will help address Turkey's dependence on imported oil and gas to meet 97% of its energy needs. After Turkey experienced a severe financial crisis in 2001, Ankara adopted financial and fiscal reforms as part of an IMF program. The reforms strengthened the country's economic fundamentals and ushered in an era of strong growth - averaging more than 6% annually until 2008. Global economic conditions and tighter fiscal policy caused GDP to contract in 2009, but Turkey's well-regulated financial markets and banking system helped the country weather the global financial crisis and GDP rebounded strongly to around 9% in 2010-11, as exports returned to normal levels following the recession. Growth dropped to roughly 3% in 2012-13. Turkey's public sector debt to GDP ratio has fallen below 40%, and at least one rating agency upgraded Turkey's debt to investment grade in 2012. Turkey remains dependent on often volatile, short-term investment to finance its large trade deficit. The stock value of FDI reached nearly $195 billion at year-end 2013, reflecting Turkey's good growth even in the face of economic turmoil in Europe, the source of much of Turkey's FDI. Turkey's relatively high current account deficit, uncertainty related to monetary policy-making, and political turmoil within Turkey's neighborhood leave the economy vulnerable to destabilizing shifts in investor confidence.

 

 

Source : CIA

 

NOTES

:

Address at your inquiry is the former address.

 

 

COMPANY IDENTIFICATION

 

NAME

:

EKINCILER DEMIR VE CELIK SANAYI A.S.

HEAD OFFICE ADDRESS

:

Ayazaga Yolu No:7 Giz 2000 Plaza Kat:3 Maslak Istanbul / Turkey

PHONE NUMBER

:

90-212-290 76 76

 

FAX NUMBER

:

90-212-290 76 75

 

E-MAIL

:

ekdemir@ekinciler.com

 

 

LEGAL STATUS AND HISTORY

 

TAX OFFICE

:

Buyuk Mukellefler

TAX NO

:

3290032427

REGISTRATION NUMBER

:

196785

REGISTERED OFFICE

:

Istanbul Chamber of Commerce

DATE ESTABLISHED

:

19.08.1983

ESTABLISHMENT GAZETTE DATE/NO

:

07.09.1983/834

LEGAL FORM

:

Joint Stock Company

TYPE OF COMPANY

:

Private

REGISTERED CAPITAL

:

TL   29.658.079

HISTORY

:

Previous Registered Capital

:

TL 11.350.000

Changed On

:

03.05.2004 (Commercial Gazette Date /Number 06.05.2004/ 6044)

Previous Registered Capital

:

TL 11.370.000

Changed On

:

27.10.2004 (Commercial Gazette Date /Number 02.11.2004/ 6169)

Previous Registered Capital

:

TL 15.680.000

Changed On

:

19.12.2011 (Commercial Gazette Date /Number 23.12.2011/ 7968)

Previous Registered Capital

:

TL 17.838.160,50

Changed On

:

26.03.2012 (Commercial Gazette Date /Number 30.03.2012/ 8038)

Previous Registered Capital

:

TL 27.936.117

Changed On

:

09.12.2013 (Commercial Gazette Date /Number 13.12.2013/ 8464)

Previous Address

:

Buyukdere Caddesi No: 197  Levent-Istanbul

Changed On

:

06.05.2004 (Commercial Gazette Date /Number 11.05.2004/ 6047)

Previous Address

:

Buyukdere Caddesi No: 257  Nurol Plaza B Blok Kat:13 Sisli Istanbul (The door number of this address had been changed from 71 to 257 by the Municipality)

Changed On

:

20.04.2010 (Commercial Gazette Date /Number 28.04.2010/ 7552)

Merger

:

The firm took over and merged with "Ekinciler Dis Ticaret A.S."

Changed On

:

19.12.2011 (Commercial Gazette Date /Number 23.12.2011/ 7968)

Merger

:

The subject took over and merged with "Gemek Denizcilik ve Ticaret A.S."

Changed On

:

26.03.2012 (Commercial Gazette Date /Number 30.03.2012/ 8038)

Merger

:

The subject took over and merged with "Sesa Tekstil ve Konfeksiyon Sanayi A.S."

Changed On

:

09.12.2013 (Commercial Gazette Date /Number 13.12.2013/ 8464)

 

 

OWNERSHIP / MANAGEMENT

 

SHAREHOLDERS

:

Ekinciler Holding A.S.

58,36 %

Haluk Ekinci

5,88 %

Faruk Ekinci

5,88 %

Namik Kemal Ekinci

5,88 %

Others

 

 

 

GROUP PARENT COMPANY

:

EKINCILER HOLDING A.S.

 

SISTER COMPANIES

:

EKCELIK ENDUSTRI URUNLERI TICARET VE SANAYI A.S.

EKINCILER DIS TICARET A.S.

EKINCILER HOLDING A.S.

EKINCILER PORTFOY YONETIMI A.S.

EKINCILER SIGORTA ARACILIGI HIZMETLERI A.S.

EKINCILER ULUSLARARASI DIS TICARET A.S.

EKINCILER YATIRIM MENKUL DEGERLER A.S.

EKINTAS INSAAT SANAYI VE TICARET A.S.

EKMAK CELIK ENDUSTRISI IMALAT A.S.

EKMAR DENIZCILIK VE GEMI ACENTALIGI A.S.

EKPAR ULUSLARARASI INSAAT TAAHHUT SANAYI VE TICARET A.S.

EKTRANS ULUSLARARASI NAKLIYAT VE TICARET A.S.

EKVA-ALI EKINCI VAKFI

GEMEK DENIZCILIK VE TICARET A.S.

 

SUBSIDIARIES

:

EKINCILER HOLDING A.S.

EKINTAS INSAAT SANAYI VE TICARET A.S.

EKPAR ULUSLARARASI INSAAT TAAHHUT SANAYI VE TICARET A.S.

EKTRANS ULUSLARARASI NAKLIYAT VE TICARET A.S.

 

BOARD OF DIRECTORS

:

Namik Kemal Ekinci

Chairman

Faruk Ekinci

Vice-Chairman

Haluk Ekinci

Member

 

 

OPERATIONS

 

BUSINESS ACTIVITIES

:

Manufacture and trade of iron and steel. 

 

NACE CODE

:

DJ.27.10

 

SECTOR

:

Metal

 

NUMBER OF EMPLOYEES

:

833

 

NET SALES

:

234.991.623 TL

(2004) 

389.026.734 TL

(2005) 

552.309.453 TL

(2006) 

719.735.552 TL

(2007) 

1.035.758.647 TL

(2008) 

564.773.393 TL

(2009) 

596.878.972 TL

(2010) 

931.599.499 TL

(2011) 

1.072.472.567 TL

(2012) 

230.903.033 TL

(01.01-31.03.2013) 

 

 

IMPORT COUNTRIES

:

U.S.A.

Israel

Canada

U.K.

Netherlands

France

Russia

India

China

 

MERCHANDISE IMPORTED

:

Ferro silicon

Hardware

Scrap iron

 

EXPORT VALUE

:

64.167.000 USD

(2004)

146.973.000 USD

(2005)

264.824.000 USD

(2006)

406.574.000 USD

(2007)

865.239.859 TL

(2008)

449.281.753 TL

(2009)

317.424.576 TL

(2010)

669.766.260 TL

(2011)

765.613.477 TL

(2012)

170.421.790 TL

(01.01-31.03.2013)

 

 

EXPORT COUNTRIES

:

Northern Cyprus Turkish Republic

Netherlands

Lebanon

Brazil

Uzbekistan

Syria

Paraguay

Ukraine

Iraq

Peru

South Africa

 

MERCHANDISE  EXPORTED

:

Angles

Iron and steel bars

Rods

 

HEAD OFFICE ADDRESS

:

Ayazaga Yolu No:7 Giz 2000 Plaza Kat:3 Maslak  Istanbul / Turkey  (rented)

 

BRANCHES

:

Factory  :  Organize Sanayi Bolgesi  P.K.240  Iskenderun Hatay/Turkey (owned) (240.000 sqm)

 

 

 

TREND OF BUSINESS

:

There was an upwards trend in  2012.

SIZE OF BUSINESS

:

Giant

 

 

 

FINANCE

 

MAIN DEALING BANKS

:

Denizbank Iskenderun Branch

T. Halk Bankasi Sisli Branch

T. Vakiflar Bankasi Finans Market Branch

Turk Ekonomi Bankasi Cukurova Branch

Yapi ve Kredi Bankasi Merkez Branch

 

CREDIT FACILITIES

:

The subject company is making active use of credit facilities.

 

PAYMENT BEHAVIOUR

:

No payment delays have come to our knowledge.

 

KEY FINANCIAL ELEMENTS

:

 

(2010) TL

(2011) TL

(2012) TL

(01.01-31.03.2013) TL

 

Net Sales

596.878.972

931.599.499

1.072.472.567

230.903.033

 

Profit (Loss) Before Tax

-16.028.937

-3.279.678

19.546.007

-4.220.869

 

Stockholders' Equity

73.785.094

102.677.250

178.782.890

 

 

Total Assets

380.457.145

455.759.663

427.717.594

 

 

Current Assets

109.581.014

153.389.595

103.049.712

 

 

Non-Current Assets

270.876.131

302.370.068

324.667.882

 

 

Current Liabilities

93.411.178

116.026.726

85.724.851

 

 

Long-Term Liabilities

213.260.873

237.055.687

163.209.853

 

 

Gross Profit (loss)

9.486.704

36.282.743

24.646.709

1.524.857

 

Operating Profit (loss)

277.221

26.256.611

12.862.240

-1.165.709

 

Net Profit (loss)

-16.028.937

-3.279.678

19.546.007

-4.220.869

 

 

 

 

 

COMMENT ON FINANCIAL POSITION

 

Capitalization

Satisfactory As of 31.12.2012

Liquidity

Insufficient As of 31.12.2012

Profitability

Low Operating Profitability  in 2010

Net Loss  in 2010

Fair Operating Profitability  in 2011

Net Loss  in 2011

Low Operating Profitability  in 2012

Low Net Profitability  in 2012

Operating Loss (01.01-31.03.2013)

Net Loss (01.01-31.03.2013)

 

Gap between average collection and payable periods

Favorable in 2012

General Financial Position

Passable

Remarks on General Financial Position

Recent financial figures are not available the firm declines to provide fresh financial data.

 

 

 

Incr. in producers’ price index

 

Average USD/TL

Average EUR/TL

Average GBP/ TL

 ( 2004 )

13,84 %

1,4266

1,7666

2,6001

 ( 2005 )

2,66 %

1,3499

1,6882

2,4623

 ( 2006 )

11,58 %

1,4309

1,7987

2,6377

 ( 2007 )

5,94 %

1,3075

1,7901

2,6133

 ( 2008 )

8,11 %

1,2858

1,8876

2,3708

 ( 2009 )

5,93 %

1,5460

2,1529

2,4094

 ( 2010 )

8,87 %

1,5128

2,0096

2,3410

 ( 2011 )

13,33 %

1,6797

2,3378

2,6863

 ( 2012 )

2,45 %

1,7995

2,3265

2,8593

 ( 01.01-31.03.2013)

0,50 %

1,7901

2,3575

2,7927

 ( 2013 )

6,97 %

1,9179

2,5530

3,0178

 ( 01.01-31.05.2014)

5,06 %

2,1665

2,9715

3,6133

 

 

BALANCE SHEETS

 

 

 ( 31.12.2010 )  TL

 

 ( 31.12.2011 )  TL

 

 ( 31.12.2012 )  TL

 

CURRENT ASSETS

109.581.014

0,29

153.389.595

0,34

103.049.712

0,24

Not Detailed Current Assets

0

0,00

0

0,00

0

0,00

Cash and Banks

35.033.182

0,09

30.830.695

0,07

25.666.814

0,06

Marketable Securities

0

0,00

0

0,00

0

0,00

Account Receivable

906.015

0,00

13.136.032

0,03

8.287.113

0,02

Other Receivable

983.335

0,00

14.538

0,00

42.363

0,00

Inventories

44.349.750

0,12

73.293.669

0,16

42.642.498

0,10

Advances Given

26.821.507

0,07

34.872.794

0,08

24.812.204

0,06

Accumulated Construction Expense

0

0,00

0

0,00

0

0,00

Other Current Assets

1.487.225

0,00

1.241.867

0,00

1.598.720

0,00

NON-CURRENT ASSETS

270.876.131

0,71

302.370.068

0,66

324.667.882

0,76

Not Detailed Non-Current Assets

0

0,00

0

0,00

0

0,00

Long-term Receivable

249.851

0,00

311.915

0,00

42.418

0,00

Financial Assets

44.540.808

0,12

77.018.607

0,17

99.743.988

0,23

Tangible Fixed Assets (net)

226.069.326

0,59

224.997.834

0,49

224.751.978

0,53

Intangible Assets

7.689

0,00

31.779

0,00

53.499

0,00

Deferred Tax Assets

0

0,00

0

0,00

0

0,00

Other Non-Current Assets

8.457

0,00

9.933

0,00

75.999

0,00

TOTAL ASSETS

380.457.145

1,00

455.759.663

1,00

427.717.594

1,00

CURRENT LIABILITIES

93.411.178

0,25

116.026.726

0,25

85.724.851

0,20

Not Detailed Current Liabilities

0

0,00

0

0,00

0

0,00

Financial Loans

18.338.733

0,05

26.811.815

0,06

45.411.620

0,11

Accounts Payable

65.396.350

0,17

46.194.855

0,10

22.499.158

0,05

Loans from Shareholders

0

0,00

0

0,00

0

0,00

Other Short-term Payable

88.331

0,00

38.527

0,00

42.082

0,00

Advances from Customers

6.423.302

0,02

39.132.401

0,09

14.142.450

0,03

Accumulated Construction Income

0

0,00

0

0,00

0

0,00

Taxes Payable

3.073.465

0,01

3.641.335

0,01

3.517.976

0,01

Provisions

0

0,00

0

0,00

0

0,00

Other Current Liabilities

90.997

0,00

207.793

0,00

111.565

0,00

LONG-TERM LIABILITIES

213.260.873

0,56

237.055.687

0,52

163.209.853

0,38

Not Detailed Long-term Liabilities

0

0,00

0

0,00

0

0,00

Financial Loans

77.240.446

0,20

162.976.576

0,36

132.185.061

0,31

Securities Issued

0

0,00

0

0,00

0

0,00

Long-term Payable

136.020.427

0,36

74.079.111

0,16

31.024.792

0,07

Loans from Shareholders

0

0,00

0

0,00

0

0,00

Other Long-term Liabilities

0

0,00

0

0,00

0

0,00

Provisions

0

0,00

0

0,00

0

0,00

STOCKHOLDERS' EQUITY

73.785.094

0,19

102.677.250

0,23

178.782.890

0,42

Not Detailed Stockholders' Equity

0

0,00

0

0,00

0

0,00

Paid-in Capital

15.680.000

0,04

17.838.160

0,04

27.936.117

0,07

Cross Shareholding Adjustment of Capital

0

0,00

0

0,00

0

0,00

Inflation Adjustment of Capital

87.688.228

0,23

87.688.228

0,19

87.688.228

0,21

Equity of Consolidated Firms

0

0,00

0

0,00

0

0,00

Reserves

84.218.875

0,22

84.218.874

0,18

6.414.020

0,01

Revaluation Fund

1.650.446

0,00

31.664.121

0,07

78.125.796

0,18

Accumulated Losses(-)

-99.423.518

-0,26

-115.452.455

-0,25

-40.927.278

-0,10

Net Profit (loss)

-16.028.937

-0,04

-3.279.678

-0,01

19.546.007

0,05

TOTAL LIABILITIES AND EQUITY

380.457.145

1,00

455.759.663

1,00

427.717.594

1,00

 

REMARKS ON FINANCIAL STATEMENT

:

At the financial statements according to TAS, "Cheques Received" and "Outstanding Cheques" figures are under "Cash And Banks" figure.  Beginning from the financial statements of 31.12.2011, "Cheques Received" and "Outstanding Cheques" figures are given under "Account Receivable" figure and "Account Payable" figure respectively.   

 

In the sub-items of "Account Receivable", TL 6.829 is "Doubtful Trade Receivables" and -TL 6.829 is "Provision for Doubtful Trade Receivables" at the last balance sheet.   

 

The details of "Other Receivable" figure at the last balance sheet: Due From Shareholders:0, Due From Participations:0, Due From Affiliated Companies:0, Due From Personnel:0, Other Miscellaneous Receivables:42.363, Other Receivable Total:42.363   

 

TL 256.373 of "Tax Payable" is due to "Overdue, Delayed or Deferred Tax by Installments and Other Liabilities" at the last balance sheet.   

 

At the last income statement TL 4.498.774 of the other income is due to "Profit from Foreign Currency Exchange".   

 

At the last income statement TL 7.109.186 of the other expenses is due to "Loss from Foreign Currency Exchange".

 

 

INCOME STATEMENTS

 

 

(2010) TL

 

(2011) TL

 

(2012) TL

 

(01.01-31.03.2013) TL

 

Net Sales

596.878.972

1,00

931.599.499

1,00

1.072.472.567

1,00

230.903.033

1,00

Cost of Goods Sold

587.392.268

0,98

895.316.756

0,96

1.047.825.858

0,98

229.378.176

0,99

Gross Profit

9.486.704

0,02

36.282.743

0,04

24.646.709

0,02

1.524.857

0,01

Operating Expenses

9.209.483

0,02

10.026.132

0,01

11.784.469

0,01

2.690.566

0,01

Operating Profit

277.221

0,00

26.256.611

0,03

12.862.240

0,01

-1.165.709

-0,01

Other Income

29.181.045

0,05

28.769.594

0,03

38.758.185

0,04

5.308.278

0,02

Other Expenses

33.438.091

0,06

47.118.370

0,05

24.724.225

0,02

7.547.749

0,03

Financial Expenses

12.049.112

0,02

11.187.513

0,01

7.350.193

0,01

815.689

0,00

Minority Interests

0

0,00

0

0,00

0

0,00

0

0,00

Profit (loss) of consolidated firms

0

0,00

0

0,00

0

0,00

0

0,00

Profit (loss) Before Tax

-16.028.937

-0,03

-3.279.678

0,00

19.546.007

0,02

-4.220.869

-0,02

Tax Payable

0

0,00

0

0,00

0

0,00

0

0,00

Postponed Tax Gain

0

0,00

0

0,00

0

0,00

0

0,00

Net Profit (loss)

-16.028.937

-0

,03

-3.279.678

0,00

19.546.007

0,02

-4.220.869

-0,02

 

FINANCIAL RATIOS

 

 

(2010)

(2011)

(2012)

 

LIQUIDITY RATIOS

 

 

Current Ratio

1,17

1,32

1,20

 

Acid-Test Ratio

0,40

0,38

0,40

 

Cash Ratio

0,38

0,27

0,30

 

ASSET STRUCTURE RATIOS

 

 

Inventory/Total Assets

0,12

0,16

0,10

 

Short-term Receivable/Total Assets

0,00

0,03

0,02

 

Tangible Assets/Total Assets

0,59

0,49

0,53

 

TURNOVER RATIOS

 

 

Inventory Turnover

13,24

12,22

24,57

 

Stockholders' Equity Turnover

8,09

9,07

6,00

 

Asset Turnover

1,57

2,04

2,51

 

FINANCIAL STRUCTURE

 

 

Stockholders' Equity/Total Assets

0,19

0,23

0,42

 

Current Liabilities/Total Assets

0,25

0,25

0,20

 

Financial Leverage

0,81

0,77

0,58

 

Gearing Percentage

4,16

3,44

1,39

 

PROFITABILITY RATIOS

 

 

Net Profit/Stockholders' Eq.

-0,22

-0,03

0,11

 

Operating Profit Margin

0,00

0,03

0,01

 

Net Profit Margin

-0,03

0,00

0,02

 

Interest Cover

-0,33

0,71

3,66

 

COLLECTION-PAYMENT

 

 

Average Collection Period (days)

0,70

5,20

2,80

 

Average Payable Period (days)

123,44

48,36

18,39

 

WORKING CAPITAL

16169836,00

37362869,00

17324861,00

 

 

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.60.16

UK Pound

1

Rs.102.23

Euro

1

Rs.82.04

 

 

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

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NB

                                       New Business

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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.