|
Report Date : |
06.05.2014 |
IDENTIFICATION DETAILS
|
Name : |
M.B.K. DIAMONDS GMBH |
|
|
|
|
Registered Office : |
Hauptstr. 171, D 55743 Idar-Oberstein |
|
|
|
|
Country : |
Germany |
|
|
|
|
Financials (as on) : |
31.12.2012 |
|
|
|
|
Date of Incorporation : |
06.12.2001 |
|
|
|
|
Com. Reg. No.: |
HRB 11173 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
·
Wholesale of clocks
and watches and jewelry ·
Retail sale
of clocks, watches and jewelry |
|
|
|
|
No. of Employees : |
Not Available |
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) |
|
Germany |
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 |
GERMANY - ECONOMIC OVERVIEW
The German economy - the
fifth largest economy in the world in PPP terms and Europe's largest - is a
leading exporter of machinery, vehicles, chemicals, and household equipment and
benefits from a highly skilled labor force. Like its Western European
neighbors, Germany faces significant demographic challenges to sustained
long-term growth. Low fertility rates and declining net immigration are
increasing pressure on the country's social welfare system and necessitate
structural reforms. Reforms launched by the government of Chancellor Gerhard
SCHROEDER (1998-2005), deemed necessary to address chronically high
unemployment and low average growth, has contributed to strong growth and
falling unemployment. These advances, as well as a government subsidized,
reduced working hour scheme, help explain the relatively modest increase in
unemployment during the 2008-09 recession - the deepest since World War II -
and its decrease to 5.3% in 2013. The new German government introduced a
minimum wage of $11 per hour to take effect in 2015. Stimulus and stabilization
efforts initiated in 2008 and 2009 and tax cuts introduced in Chancellor Angela
MERKEL's second term increased Germany's total budget deficit - including
federal, state, and municipal - to 4.1% in 2010, but slower spending and higher
tax revenues reduced the deficit to 0.8% in 2011 and in 2012 Germany reached a
budget surplus of 0.1%. A constitutional amendment approved in 2009 limits the
federal government to structural deficits of no more than 0.35% of GDP per
annum as of 2016 though the target was already reached in 2012. Following the
March 2011 Fukushima nuclear disaster, Chancellor Angela MERKEL announced in
May 2011 that eight of the country's 17 nuclear reactors would be shut down
immediately and the remaining plants would close by 2022. Germany hopes to
replace nuclear power with renewable energy. Before the shutdown of the eight
reactors, Germany relied on nuclear power for 23% of its electricity generating
capacity and 46% of its base-load electricity production.
|
Source
: CIA |
M.B.K. DIAMONDS GMBH
Company Status: active
Hauptstr. 171
D 55743 Idar-Oberstein
Telephone:06781/4831
Telefax:
06781/47599
E-mail:
m.b.gems@t-online.de
Business relations are permissible.
LEGAL FORM Private
limited company
Date of foundation: 06.12.2001
Shareholders'
agreement: 06.12.2001
Registered on: 21.01.2002
Commercial Register: Local court 55543 Bad Kreuznach
under: HRB
11173
Share capital: EUR 25,000.00
Shareholder:
Prime International FZCO
UAE Dubai
Legal form: Other legal
form
Share: EUR 12,750.00
Shareholder:
Bitthal Das Maheshwari
D 55743 Idar-Oberstein
born: 06.10.1958
Share: EUR 12,250.00
Manager:
Bitthal Das Maheshwari
D 55743 Idar-Oberstein
having sole power of
representation
born: 06.10.1958
Profession: Businessman
Further
functions/participations of Bitthal Das Maheshwari
(Manager)
Proprietor:
M.B. Gems Bitthal
Maheshwari e.K.
Hauptstr. 171
D 55743 Idar-Oberstein
Legal form: Sole
proprietorship
Registered
on: 18.09.1995
Reg. data: 55543 Bad Kreuznach, HRA 11619
Manager:
NIMS Worldwide GmbH
Hauptstr. 171
D 55743 Idar-Oberstein
Legal form: Private
limited company
Share capital: EUR 25,000.00
Registered
on: 16.12.2013
Reg. data: 55543 Bad Kreuznach, HRB 21734
2001 - 01.05.2005 M.B.K. Diamonds GmbH
Hauptstr. 176
D
55743 Idar-Oberstein
Private limited company
Main
industrial sector
46480 Wholesale of clocks and watches and jewelry
47770
Retail sale of clocks, watches and jewelry
Payment experience: within
periods customary in this trade
Negative information: We have no negative information at hand.
Balance sheet year: 2012
Type of ownership: Tenant
Address Hauptstr.
171
D 55743 Idar-Oberstein
Land register documents were not available.
Principal bank
KREISSPARKASSE
BIRKENFELD, 55701 IDAR-OBERSTEIN
Sort. code: 56250030
BIC: BILADE55XXX
Profit: 2012 EUR -46,177.00
Ac/ts receivable: EUR
2,119,026.00
Liabilities: EUR 4,377,321.00
The number of employees is not known.
Balance sheet ratios 01.01.2012 - 31.12.2012
Equity ratio [%]: 1.62
Liquidity ratio: 0.50
Return on total capital [%]: -1.04
Balance sheet ratios 01.01.2011 - 31.12.2011
Equity ratio [%]: 3.08
Liquidity ratio: 0.61
Return on total capital [%]: -1.76
Balance
sheet ratios 01.01.2010 - 31.12.2010
Equity ratio [%]: 5.03
Liquidity ratio: 0.46
Return on total capital [%]: 1.06
Balance sheet ratios 01.01.2009 - 31.12.2009
Equity ratio [%]: 4.71
Liquidity ratio: 0.50
Return on total capital [%]: -0.45
Equity ratio
The equity ratio indicates the portion of the
equity as compared
to the total capital. The higher the equity
ratio, the better the
economic stability (solvency) and thus the
financial autonomy of
a company.
Liquidity ratio
The liquidity ratio shows the proportion
between adjusted
receivables and net liabilities. The higher
the ratio, the lower
the company's financial dependancy from
external creditors.
Return on total capital
The return on total capital shows the
efficiency and return on
the total capital employed in the company. The
higher the return
on total capital, the more economically does
the company work
with the invested capital.
Type of
balance sheet: Company balance sheet
Financial
year: 01.01.2012 - 31.12.2012
ASSETS EUR 4,475,894.57
Fixed assets
EUR 2,710.00
Tangible
assets EUR 2,710.00
Other / unspecified tangible assets
EUR 2,710.00
Current assets
EUR 4,472,183.57
Stocks
EUR 2,156,621.00
Accounts receivable
EUR 2,119,026.30
Other debtors and assets
EUR 2,119,026.30
Liquid means
EUR 196,536.27
Remaining other assets
EUR 1,001.00
Accruals (assets)
EUR 1,001.00
LIABILITIES EUR 4,475,894.57
Shareholders' equity
EUR 94,873.11
Capital EUR 25,000.00
Subscribed capital (share capital)
EUR 25,000.00
Balance sheet profit/loss (+/-)
EUR 69,873.11
Profit / loss brought forward
EUR 116,049.96
Annual surplus / annual deficit
EUR -46,176.85
Provisions
EUR 3,700.00
Liabilities
EUR 4,377,321.46
Other liabilities
EUR 4,377,321.46
Unspecified other liabilities
EUR 4,377,321.46
Type of
balance sheet: Company
balance sheet
Financial
year: 01.01.2011 - 31.12.2011
ASSETS EUR 3,864,048.25
Fixed assets EUR 4,011.00
Tangible assets
EUR 4,011.00
Other / unspecified tangible assets
EUR 4,011.00
Current assets
EUR 3,859,036.25
Stocks
EUR 1,427,849.00
Accounts receivable
EUR 2,096,900.06
Other debtors and assets
EUR 2,096,900.06
Liquid means
EUR 334,287.19
Remaining other assets
EUR 1,001.00
Accruals (assets)
EUR 1,001.00
LIABILITIES EUR 3,864,048.25
Shareholders' equity
EUR 141,049.96
Capital
EUR 25,000.00
Subscribed capital (share capital)
EUR 25,000.00
Balance sheet profit/loss (+/-)
EUR 116,049.96
Profit / loss brought forward
EUR 183,474.14
Annual surplus / annual deficit
EUR -67,424.18
Provisions
EUR 6,442.00
Liabilities
EUR 3,716,556.29
Other liabilities EUR 3,716,556.29
Unspecified other liabilities
EUR 3,716,556.29
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.60.05 |
|
|
1 |
Rs.101.32 |
|
Euro |
1 |
Rs.83.34 |
INFORMATION DETAILS
|
Analysis Done by
: |
RAS |
|
|
|
|
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.