MIRA INFORM REPORT

 

 

Report Date :

06.03.2014

 

IDENTIFICATION DETAILS

 

Name :

P.T. SENTANG RAYA INDONESIA

 

 

Registered Office :

Jl. Timor No. 14-C/23, Gang Buntu, Medan Timur, Medan, North Sumatra

 

 

Country :

Indonesia

 

 

Date of Incorporation :

22.04.2004

 

 

Com. Reg. No.:

No. AHU-AH.01.10-19596

 

 

Legal Form :

Limited Liability Company

 

 

Line of Business :

Manufacturing of Crumb Rubber

 

 

No. of Employees :

210

 

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 – September 30, 2013

 

Country Name

Previous Rating

(30.06.2013)

Current Rating

(30.09.2013)

Indonesia

B1

B1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

INDONESIA - ECONOMIC OVERVIEW

 

Indonesia, a vast polyglot nation, has grown strongly since 2010. During the global financial crisis, Indonesia outperformed its regional neighbors and joined China and India as the only G20 members posting growth. The government has promoted fiscally conservative policies, resulting in a debt-to-GDP ratio of less than 25% and historically low rates of inflation. Fitch and Moody's upgraded Indonesia's credit rating to investment grade in December 2011. Indonesia still struggles with poverty and unemployment, inadequate infrastructure, corruption, a complex regulatory environment, and unequal resource distribution among regions. The government also faces the challenges of quelling labor unrest and reducing fuel subsidies in the face of high oil prices.

 

Source : CIA

 


BASIC SEARCH

 

Name of company :

P.T. SENTANG RAYA INDONESIA

 

A d d r e s s :

Head Office

Jl. Timor No. 14-C/23

Gang Buntu, Medan Timur

Medan, North Sumatra

Indonesia

Phones             - (62-61) 455 9941, 455 4195

F a x                 - (62-61) 456 1844

Email    - setiawan_sri@yahoo.com

Building Area    - 2 storey

Office Space    - 240 sq. meters

Region  - Commercial

Status   - Owned

 

Factory

Jl. Suryadi Link VIII, Perdagangan - Simalungun

Pematang Siantar, North Sumatra,

Indonesia

Phones             - (62-622) 697 697, 697 799

F a x                 - (62-622) 697 588

Land Area         - 36,000 sq. meters

Building Area    - 24,000 sq. meters

Region  - Industrial Zone

Status   - Owned

 

Date of Incorporation :

22 April 2004

 

Legal Form :

P.T. (Perseroan Terbatas) or Limited Liability Company

 

Company Reg. No. :

The Ministry of Law and Human Rights

a. No. C-16418 HT.01.01.TH.2004

    Dated 30 June 2004

b. No. AHU-10615.AH.01.02.Tahun 2009

    Dated 02 April 2009

c. No. AHU-AH.01.10-19596

    Dated 31 May 2012

 

Company Status :

National Private Company

 


Permit by the Government Department :

The Department of Finance

NPWP No. 02.342.781.8-113.000

 

Related/affiliated Company :

P.T. SRI GLOBAL ABADI (Trading and Exporting of Crumb Rubber)

 

 

CAPITAL AND OWNERSHIP

 

Capital Structure :

Authorized Capital         - Rp. 75,000,000,000.-

Issued Capital               - Rp. 50,000,000,000.-

Paid up Capital             - Rp. 50,000,000,000.-

 

Shareholders/Owners :

a. Mr. Setiawan Khoe     - Rp. 38,250,000,000.- (76.5%)

    Address : Jl. Cemara Mas Bvlok G No. 7

                     Medan, North Sumatra

                    Indonesia

b. Mrs. Ridha Roswaty  - Rp.   5,000,000,000.- (10.0%)

    Address : Jl. Veteran No. 38, Ds Perdagangan

                     Kec. Bandar, Simalunung

                    North Sumatra - Indonesia

c. Mr. Vinvent Winata Setiawan  - Rp.   2,250,000,000.- (  4.5%)

    Address : Jl. Veteran No. 38, Ds Perdagangan

                    Kec. Bandar, Simalunung

                    North Sumatra - Indonesia

d. Mrs. Karen Winona Setiatan   - Rp.   2,250,000,000.- (  4.5%)

    Address : Jl. Veteran No. 38, Ds Perdagangan

                    Kec. Bandar, Simalunung

                    North Sumatra - Indonesia

e. Mr. Kent Winata Setiawan       - Rp.   2,250,000,000.- (  4.5%)

    Address : Jl. Veteran No. 38, Ds Perdagangan

                    Kec. Bandar, Simalunung

                    North Sumatra - Indonesia

 

 

BUSINESS ACTIVITIES

 

Lines of Business :

Crumb Rubber Manufacturing

 

Production Capacity :

Crumb Rubber (SIR 5,20,3L)       - 36,000 tons p.a.

 

Total Investment :

Owned Capital                           - Rp. 60.0 billion

Started Operation :

2005

 

Brand Name :

SRI Crumb Rubber

 

Technical Assistance :

None

 

Number of Employee :

210 persons

 

Marketing Area :

Export - 80% and the rest (20%) for local market

 

Main Customers :

a. Overseas buyers in Singapore, China, France, USA and others

b. Tire and rubber products industries in the country

 

Market Situation :

Very Competitive

 

Main Competitors :

a. PT. Aneka Bumi Pratama

b. PT. Asahan Crumb Rubber

c. PT. Adei Crumb Rubber Industry

d. PT. Batanghari Tembesi

e. PT. Djambi Waras

f.  PT. Madjin Crumb Rubber Factory

g. PT. Bumi Nusa Makmur

h. PT. Gadjah Ruku

i.  PT. Muara Kelingi

j. PT. Badja Baru

 

Business Trend :

Growing

 

 

BANKER, AUDITOR & LITIGATION

 

B a n k e r s :

            a.         P.T. Bank CENTRAL ASIA Tbk

            Medan Branch

            Medan, North Sumatra

            Indonesia

            b          The Hongkong and Shanghai Bank Corp.

            Medan Branch

            Medan, North Sumatra

            Indonesia

Auditor :

Internal Auditor

 

Litigation :

No litigation record in our database

 

 

FINANCIAL FIGURE

 

Annual Sales (estimated) :

2010 – Rp. 215.0 billion

2011 – Rp. 246.0 billion

2012 – Rp. 270.0 billion

2013 – Rp. 295.0 billion

 

Net Profit (estimated) :

2010 – Rp. 12.5 billion

2011 – Rp. 14.3 billion

2012 – Rp. 15.8 billion

2013 – Rp. 17.2 billion

 

Payment Manner :

Almost promptly

 

Financial Comments :

Satisfactory

 

 

KEY EXECUTIVES

 

Board of Management :

Director            - Mr. Setiawan Khoe

 

Board of Commissioner :

Commissioner   - Mrs. Ridha Roswaty

 

Signatories :

The Director (Mr. Setiawan Khoe) which must be approved by the Board of Commissioner (Mrs. Ridha Roswaty)

 

 

CAPABILITIES

 

Management Capability :

G o o d

 


Business Morality :

G o o d

 

 

OVERALL PERFORMANCE

 

P.T. SENTANG RAYA INDONESIA (P.T. SRI) was established in Medan (North Sumatra) based on Notarial Deed No. 25 dated April 22, 2004 made by Notary Deddy Iskandar Tjong, SH., with an authorized capital of Rp. 1,000,000,000.- of which Rp 250,000,000.- was issued and fully paid up. The founding shareholders of the company are Mr. Sugiharto (90%) and Mr. Risman (10%), both are indigenous businessmen.  The Deed of establishment has been approved by the Minister of Justice and Human Rights of the Republic of Indonesia through its Decision Letter No. C-16418 HT.01.01.TH.2004 dated June 30, 2004.  The articles of association of the company have frequently been changed, most recently by notarial Deed No. 94 dated March 30, 2012 made by Notary Deddy Iskandar Tjong, SH., the authorized capital was raised to Rp 75,000,000,000.- of which Rp 50,000,000,000.- was issued and fully paid up. The latest shareholders of the company are Mr. Setiawan Khoe (76.5%), his wife Mrs. Ridha Roswaty (10%) and his sons and daughters, Mr. Vincent Winata Setiawan (4.5%), Ms. Karen Winona Setiawan (4.5%) and Mr. Kent Winata Setiawan (4.5%). The amendment to Deed has been approved by the Minister of Law and Human Rights through its Decision Letter No. AHU-AH.01.10-19596 dated May 31, 2012.  No changes have been effected in term of its shareholding composition and capital structures to date.

 

P.T. SRI engaged in the industry of crumb rubber.  Its plant is located on Jalan Suryadi Link VIII, Perdagangan – Simalungun, Pematang Siantara, North Sumatra on a land of some 36,000 sq. meters. The plant had been operating since 2005 with production capacity of 36,000 tons of crumb rubbers (SIR 5, 20, 3L) per annum.  The company’s products are solid crumb rubber (sheets) and the products are used in the manufacturer of solid rubber based products, such as tires etc, while the liquid form is used for dipping products such as gloves balloons and condoms.  Beside, P.T. SRI also produces TSR (Technically Specified Rubber) by Standard Indonesian Rubber (SIR). These products are used in high performance passenger tires, motorcycle and bicycle tires, heavy load truck tires, conveyor belt, inner tubes and hose.  Mr. Setiawan Khoe, Director of the company, said to our inquiry that most of the products (80%) are exported to Singapore, China, France, USA and others, and the rest (20%) are marketed locally to tire, tube and rubber products industries in the country.  We observed that P.T. SRI is classified as a medium sized company of its kind in the country of which the operation has been growing in the last three years.

 

We note that generally the domestic demand for crumb rubber and rubber products has been rising by about 6% - 8% per year in the last five years in line with the growing population of tire and tube industry, automotive industry and rubber product industry in the country. The demand of crumb rubber is projected to go on rising each year in the next three years.  According to the Indonesia Car Manufacturers Association (GAIKINDO) explained that the total of car sales in 2007 amounted to 434 thousand units increased to 608 thousand units in 2008 and declined to 486 thousand units in 2009.  The total of car sales in 2010 rose again to 765 thousand units and to 894 thousand units in 2011 and to 1,116 thousand units in 2012. 

 

The growth of car and motorcycle sales in Indonesia in 2007 to 2012 is pictured on the following table:

 

Year

Domestic Car Sales

(‘000 units)

Domestic Motorcycle Sales (‘000 units)

2007

434

4,688

2008

608

6,216

2009

486

5,852

2010

765

7,383

2011

894

8,034

2012

1,116

7,141

Source: GAIKINDO and the Indonesian Motorcycle Manufacturer Association (AISMI)

 

The company is neither public listed nor bond issued company. Therefore, the company has no obligation to publish financial statement publicly. The management is very reclusive and unlikely to expose its financial condition to outsider.   We estimate that sales turnover of the company in 2011 amounted to Rp. 246.0 billion increased to Rp. 270.0 billion in 2012  and rose again to Rp. 295.0 billion in 2013.  The operation of the company in 2013 yielded a net profit at least Rp. 17.2 billion and the company has a total net worth of Rp. 110.0 billion.  It is projected that total sales turnover of the company will increase at least 8% in 2014.    So far we did not hear that P.T. SRI has been black listed by Bank Indonesia (Central Bank) or having detrimental cases being settled in local district court. The company usually pays its debts punctually to suppliers.  

 

The management of P.T. SRI is headed by Mr. Setiawan Khoe (41) as director, a young businessman with experience for some 10 years in crumb rubber industry and trading.  In his daily activities, he is assisted by his wife Mrs. Ridha Roswaty (41) and a number of professional managers with know-how in crumb rubber industry, trading and distribution. The management has maintained a wide relation with private businessmen at home and abroad as well as with government authorities.  So far, we did not hear that the company's management having been involved in the business malpractices.

 

P.T. SRI is appraised to be good for business transaction.  However, in view of the economic condition in the country is still unstable, we recommend to treat prudently in extending any new loan to the company.

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.61.86

UK Pound

1

Rs.103.06

Euro

1

Rs.84.92

 

 

INFORMATION DETAILS

 

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%)

 

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