MIRA
INFORM REPORT
|
Report Date : |
16.05.2014 |
IDENTIFICATION DETAILS
|
Name : |
SUN FOODS
TRADING COMPANY LIMITED |
|
|
|
|
Registered Office : |
605/20 Soi Charoenrat
7, Rama III
Road, Bangklo, Bangkorlaem, Bangkok
10120 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2012 |
|
|
|
|
Date of Incorporation : |
26.08.2008 |
|
|
|
|
Com. Reg. No.: |
0105541053331 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
engaged in importing and
distributing various kinds
of food products,
such as follows:- · Dehydrated foods and fruits Agricultural
products, such as
rice, onion, pepper,
chili, grains & mushroom Snack foods Canned foods |
|
|
|
|
No of Employees : |
70
(approximately) |
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) |
|
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
SUN FOODS TRADING
COMPANY LIMITED
SUMMARY
BUSINESS
ADDRESS : 605/20 SOI
CHAROENRAT 7, RAMA
III ROAD,
BANGKLO, BANGKORLAEM,
BANGKOK 10120
TELEPHONE : [66] 2689-8817-8,
2689-8818
FAX :
[66] 2291-2011
E-MAIL
ADDRESS : sunfoods@truemail.co.th
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 2008
REGISTRATION
NO. : 0105541053331
TAX
ID NO. : 3011958308
CAPITAL REGISTERED : BHT.
35,000,000
CAPITAL PAID-UP : BHT.
35,000,000
SHAREHOLDER’S PROPORTION : THAI :
99.14%
CHINESE :
0.86%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR. SARAN THONGKINGKAEW, THAI
MANAGING DIRECTOR
NO.
OF STAFF : 70
LINES
OF BUSINESS : FOOD
PRODUCTS
IMPORTER AND
DISTRIBUTOR
CORPORATE PROFILE
OPERATING
TREND : STABLE
PRESENT
SITUATION : OPERATING NORMALLY
REPUTATION : GOOD
WITH NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT
STANDARD : MANAGEMENT WITH
FAIR PERFORMANCE
HISTORY
The
subject was established
on August 26,
2008 as a
private limited company
under the registered
name SUN FOODS
TRADING CMPANY LIMITED,
by Thai & Chinese
groups, with the
business objective to
import and distribute
various kinds of
food products to domestic market.
It currently employs
approximate 70 staff.
The
subject’s registered address
is 605/20 Soi
Charoenrat 7, Rama
III Road, Bangklo,
Bangkorlaem, Bangkok 10120,
and this is
the subject’s current
operation address.
THE BOARD OF DIRECTOR
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Saran Thongkingkaew |
|
Thai |
28 |
AUTHORIZED PERSON
The above director
signs on behalf
of the subject
with company’s affixed.
MANAGEMENT
Mr. Saran Thongkingkaew is
the Managing Director.
He is Thai
nationality with the
age of 28
years old.
BUSINESS OPERATIONS
The subject
is engaged in
importing and distributing
various kinds of
food products, such
as follows:
-
Dehydrated foods
and fruits
-
Agricultural products,
such as rice,
onion, pepper, chili,
grains & mushroom
-
Snack foods
-
Canned foods
PURCHASE
Most
of the products
are imported from
Republic Of China,
Malaysia, Indonesia, Hong
Kong, Australia, the
remaining is purchased
from local supplier.
SALES
100% of the
products is sold
locally to wholesalers.
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 credits term
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
Bangkok
Bank Public Co.,
Ltd.
EMPLOYMENT
The
subject currently employs
approximate 70 staff.
LOCATION
DETAILS
The
premise is owned for
administrative office and
warehouse at the
heading address. Premise
is located in
commercial/residential area.
COMMENT
The
subject’s operating performance
in 2012 was
impressive with a
drastic increase on
its sales revenue
and net profit
comparing to the previous
year. Food products remains in strong demand
from domestic consumption.
The subject encounters
a stable growth
on its business.
FINANCIAL INFORMATION
The
capital was registered at
Bht. 1,000,000 divided into 10,000
shares of Bht.
100 each with
fully paid.
The
capital was increased
later as follows:
Bht. 2,000,000
on November 23,
2001
Bht. 3,000,000
on December 17,
2001
Bht. 5,000,000
on March 6,
2006
Bht. 10,000,000
on November 3,
2008
Bht. 35,000,000
on September 19, 2012
The
latest registered capital
was increased to
Bht. 35,000,000 divided into
350,000 shares of
Bht. 100 each with
fully paid.
THE
SHAREHOLDERS LISTED WERE
: [as at
April 30, 2013]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Saran Thongkingkaew Nationality: Thai Address : 220/921
Moo 4, T.
Naiklongbangplagod, A.
Phrasamutjaedee, Samutprakarn |
254,996 |
72.86 |
|
Mr. Pongsak Thongkingkaew Nationality: Thai Address : 15/145
Moo 1, Samaedam,
Bangkhuntien, Bangkok |
91,999 |
26.28 |
|
Mr. Andy D Nationality: Chinese Address : Taipei,
Taiwan |
3,000 |
0.86 |
|
Ms. Boonyuen Onkprasert Nationality: Thai Address : 3883/8
Pradoo 1 Road,
Bangklo,
Bangkorlaem, Bangkok |
2 |
- |
|
Mrs. Rattinan Milinkulpaisal Nationality: Thai Address : 41/93
Moo 5, Kanchanapisek Road,
Bangbon, Bangkok |
1 |
- |
|
Ms. Kwanjit Prathumpak Nationality: Thai Address : 68
Moo 2, Omnoi,
Krathumbaen,
Samutsakorn |
1 |
- |
|
Ms. Sumalee Taensamrong Nationality: Thai Address : 37
Moo 1, T. Kasemsap, A. Pakthongchai, Nakornratchasima |
1 |
- |
Total Shareholders : 7
Share Structure [as
at April 30,
2013]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
6 |
347,000 |
99.14 |
|
Foreign-Chinese |
1 |
3,000 |
0.86 |
|
Total |
7 |
350,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Mr. Chadil Promphan No.
3966
BALANCE SHEET [BAHT]
The
latest financial figures
published for December
31, 2012, 2011
& 2010 were:
ASSETS
|
Current Assets |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Cash and Cash Equivalents |
1,037,375.98 |
186,267.51 |
630,706.95 |
|
Trade Accounts Receivable |
220,126,020.12 |
179,938,472.25 |
29,462,888.74 |
|
Inventories |
95,988,399.00 |
49,788,609.00 |
46,290,521.00 |
|
Other Current Assets
|
4,137,824.75 |
2,978,016.80 |
6,523,467.67 |
|
|
|
|
|
|
Total Current Assets
|
321,289,619.85 |
232,891,365.56 |
82,907,584.36 |
|
Long-term Investment |
112,511.44 |
111,081.82 |
- |
|
Long-term Loan to Related
Person |
- |
59,800,000.00 |
59,800,000.00 |
|
Fixed Assets |
8,784,770.92 |
2,740,715.50 |
424,469.76 |
|
Total Assets |
330,186,902.21 |
295,543,162.88 |
143,132,054.12 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current Liabilities |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Bank Overdraft & Short-term Loan from Financial Institutions |
5,769,602.31 |
5,000,328.19 |
1,646,087.57 |
|
Trade Accounts Payable |
238,009,701.67 |
257,315,578.86 |
112,480,171.95 |
|
Current Portion of Lease Contract Liabilities |
2,274,073.68 |
2,434,563.52 |
- |
|
Accrued Income Tax |
496,671.61 |
283,295.23 |
- |
|
Other Current Liabilities |
610,295.08 |
1,252,084.15 |
305,372.52 |
|
|
|
|
|
|
Total Current Liabilities |
247,160,344.35 |
266,285,849.95 |
114,431,632.04 |
|
|
|
|
|
|
Long-term Loans from Financial Institutions |
40,532,939.67 |
11,800,000.00 |
11,800,000.00 |
|
Total Liabilities |
287,693,284.02 |
278,085,849.95 |
126,231,632.04 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized, issued
and fully paid share
capital 350,000 shares in 2012; 100,000 shares
in 2011 & 2010 |
35,000,000.00 |
10,000,000.00 |
10,000,000.00 |
|
|
|
|
|
|
Capital Paid |
35,000,000.00 |
10,000,000.00 |
10,000,000.00 |
|
Retained Earning -
Unappropriated |
7,493,618.19 |
7,457,312.93 |
6,900,422.08 |
|
Total Shareholders' Equity |
42,493,618.19 |
17,457,312.93 |
16,900,422.08 |
|
Total Liabilities &
Shareholders' Equity |
330,186,902.21 |
295,543,162.88 |
143,132,054.12 |
PROFIT & LOSS ACCOUNT
|
Sale |
2012 |
2011 |
2010 |
|
|
|
|
|
|
Sales Income |
390,391,065.46 |
281,639,875.46 |
280,750,652.05 |
|
Other Income |
585,536.90 |
609,392.25 |
6,269,670.41 |
|
Total Sales |
390,976,602.36 |
282,249,267.71 |
287,020,322.46 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold |
357,613,548.18 |
267,805,369.34 |
271,723,315.22 |
|
Selling Expenses |
14,371,838.53 |
3,979,475.35 |
3,630,042.14 |
|
Administrative Expenses |
7,772,209.39 |
6,803,144.72 |
10,570,088.39 |
|
Total Expenses |
379,757,596.10 |
278,587,989.41 |
285,923,445.75 |
|
Profit /[Loss] before Financial Cost & Income Tax |
11,219,006.26 |
3,661,278.30 |
1,096,876.71 |
|
Financial Cost |
[10,686,029.39] |
[2,821,092.22] |
[667,254.64] |
|
Profit /[Loss] before Income
Tax |
532,976.87 |
840,186.08 |
429,622.07 |
|
Income Tax |
[496,671.61] |
[283,295.23] |
[209,904.79] |
|
Net Profit / [Loss] |
36,305.26 |
556,890.85 |
219,717.28 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2012 |
2011 |
2010 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
1.30 |
0.87 |
0.72 |
|
QUICK RATIO |
TIMES |
0.89 |
0.68 |
0.26 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
44.44 |
102.76 |
661.41 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.18 |
0.95 |
1.96 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
97.97 |
67.86 |
62.18 |
|
INVENTORY TURNOVER |
TIMES |
3.73 |
5.38 |
5.87 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
205.81 |
233.20 |
38.30 |
|
RECEIVABLES TURNOVER |
TIMES |
1.77 |
1.57 |
9.53 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
242.93 |
350.70 |
151.09 |
|
CASH CONVERSION CYCLE |
DAYS |
60.85 |
(49.65) |
(50.61) |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
91.60 |
95.09 |
96.78 |
|
SELLING & ADMINISTRATION |
% |
5.67 |
3.83 |
5.06 |
|
INTEREST |
% |
2.74 |
1.00 |
0.24 |
|
GROSS PROFIT MARGIN |
% |
8.55 |
5.13 |
5.45 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
2.87 |
1.30 |
0.39 |
|
NET PROFIT MARGIN |
% |
0.01 |
0.20 |
0.08 |
|
RETURN ON EQUITY |
% |
0.09 |
3.19 |
1.30 |
|
RETURN ON ASSET |
% |
0.01 |
0.19 |
0.15 |
|
EARNING PER SHARE |
BAHT |
0.10 |
5.57 |
2.20 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.87 |
0.94 |
0.88 |
|
DEBT TO EQUITY RATIO |
TIMES |
6.77 |
15.93 |
7.47 |
|
TIME INTEREST EARNED |
TIMES |
1.05 |
1.30 |
1.64 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
38.61 |
0.32 |
|
|
OPERATING PROFIT |
% |
206.42 |
233.79 |
|
|
NET PROFIT |
% |
(93.48) |
153.46 |
|
|
FIXED ASSETS |
% |
220.53 |
545.68 |
|
|
TOTAL ASSETS |
% |
11.72 |
106.48 |
|
ANNUAL GROWTH :
IMPRESSIVE
An annual sales growth is 38.61%. Turnover has increased from THB
281,639,875.46 in 2011 to THB 390,391,065.46 in 2012. While net profit has
decreased from THB 556,890.85 in 2011 to THB 36,305.26 in 2012. And total
assets has increased from THB 295,543,162.88 in 2011 to THB 330,186,902.21 in
2012.
PROFITABILITY :
RISKY
PROFITABILITY
RATIO
|
Gross Profit Margin |
8.55 |
Acceptable |
Industrial Average |
14.69 |
|
Net Profit Margin |
0.01 |
Deteriorated |
Industrial Average |
0.66 |
|
Return on Assets |
0.01 |
Deteriorated |
Industrial Average |
1.49 |
|
Return on Equity |
0.09 |
Deteriorated |
Industrial Average |
5.25 |
Gross Profit Margin used to assess a firm's financial health by revealing
the proportion of money left over from sales 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 8.55%. When compared with
the industry average, the ratio of the company was lower, this indicated that
company may have problems with control over its costs.
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 0.01%.
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 0.01%.
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 0.09%.
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 |
1.30 |
Impressive |
Industrial Average |
1.10 |
|
Quick Ratio |
0.89 |
|
|
|
|
Cash Conversion Cycle |
60.85 |
|
|
|
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 1.3 times in 2012, increased from 0.87 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 0.89 times in 2012,
increased from 0.68 times, by excluding inventory, the company may have
problems meeting current liabilities.
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 61 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE :
ACCEPTABLE
LEVERAGE RATIO
|
Debt Ratio |
0.87 |
Acceptable |
Industrial Average |
0.74 |
|
Debt to Equity Ratio |
6.77 |
Risky |
Industrial Average |
2.79 |
|
Times Interest Earned |
1.05 |
Impressive |
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 higher the percentage means that the company is using less
equity and has stronger leverage position.
Times Interest Earned measuring a company's ability to meet its debt
obligations. Ratio is 1.05 higher than 1, so the company can pay interest
expenses on outstanding debt.
Debt Ratio shows the proportion of a company's assets which are financed
through debt. The company's figure is 0.87 greater than 0.5, most of the
company's assets are financed through debt.
Trend of the average
competitors in the same industry for last 5 years
Debt Ratio Uptrend
Times Interest Earned Stable
ACTIVITY :
SATISFACTORY
ACTIVITY RATIO
|
Fixed Assets Turnover |
44.44 |
Impressive |
Industrial Average |
- |
|
Total Assets Turnover |
1.18 |
Acceptable |
Industrial Average |
2.26 |
|
Inventory Conversion Period |
97.97 |
|
|
|
|
Inventory Turnover |
3.73 |
Satisfactory |
Industrial Average |
4.02 |
|
Receivables Conversion Period |
205.81 |
|
|
|
|
Receivables Turnover |
1.77 |
Deteriorated |
Industrial Average |
4.88 |
|
Payables Conversion Period |
242.93 |
|
|
|
The company's Account Receivable Ratio is calculated as 1.77 and 1.57 in
2012 and 2011 respectively. This ratio measures the efficiency of the company in
managing its trade debtors to generate sale. 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 2012
increased from 2011. 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 increased from 68 days at the
end of 2011 to 98 days at the end of 2012. This represents a negative trend.
And Inventory turnover has decreased from 5.38 times in year 2011 to 3.73 times
in year 2012.
The company's Total Asset Turnover is calculated as 1.18 times and 0.95
times in 2012 and 2011 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 Uptrend
Inventory Turnover Uptrend
Receivables Turnover Uptrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.59.47 |
|
UK Pound |
1 |
Rs.99.70 |
|
Euro |
1 |
Rs.81.55 |
INFORMATION DETAILS
|
Analysis Done by
: |
DIV |
|
|
|
|
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.