MIRA INFORM REPORT
|
Report Date : |
06.11.2014 |
IDENTIFICATION DETAILS
|
Name : |
KCR GLOBAL CO., LTD. |
|
|
|
|
Registered Office : |
7/2 Moo 2,
T. Banchee, A. Banmi,
Lopburi 15180 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2013 |
|
|
|
|
Date of Incorporation : |
17.06.2010 |
|
|
|
|
Com. Reg. No.: |
0165553000377 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Subject is engaged in importing,
distributing and exporting
of machinery and
related spare parts,
as well as
providing after sales
services for textile
industry. |
|
|
|
|
No of Employees : |
6 |
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 : |
Small Company |
|
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 – June 1, 2014
|
Country Name |
Previous Rating (31.03.2014) |
Current Rating (01.06.2014) |
|
Thailand |
B1 |
B1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
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 in 2013
implemented a nation-wide 300 baht ($10) per day minimum wage policy and
deployed 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. This was expected to lead to an
economic upsurge but growth has remained slow, in part due to ongoing political
unrest and resulting uncertainties. Spending on infrastructure will require
re-approval once a new government is seated.
|
Source
: CIA |
Company Name & address
KCR GLOBAL CO., LTD.
SUMMARY
BUSINESS ADDRESS : 7/2 MOO 2, T.
BANCHEE, A. BANMI,
LOPBURI 15180,
THAILAND
TELEPHONE : [66] 36
798-475, 089 962-3803
FAX : [66] 36
798-475
E-MAIL ADDRESS : info@kcrglobal.com
REGISTRATION ADDRESS : SAME AS BUSINESS
ADDRESS
ESTABLISHED : 2010
REGISTRATION NO. : 0165553000377
TAX ID NO. : 3033968682
CAPITAL REGISTERED : BHT.
5,000,000
CAPITAL PAID-UP : BHT.
5,000,000
SHAREHOLDER’S PROPORTION : THAI
: 71%
INDIAN
: 29%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL STATUS : PRIVATE LIMITED COMPANY
EXECUTIVE : MR. RAMESH CHAKRAVARTHY,
INDIAN
MANAGING DIRECTOR
NO. OF STAFF : 6
LINES OF BUSINESS : TEXTILE MACHINERY
AND SPARE PARTS
IMPORTER, DISTRIBTOR
AND EXPORTER
|
|
|
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 June
17, 2010 as
a private limited
company under the
registered name KCR GLOBAL CO.,
LTD., by Thai and Indian
groups, with the
business objective to
supply product and
service of textile machinery
and spare parts
to domestic and overseas
markets. It currently
employs 6 staff.
The subject’s registered
address is 7/2 Moo 2, T. Banchee,
A. Banmi, Lopburi 15180, and
this is the
subject’s current operation
address.
THE BOARD
OF DIRECTOR
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Ramesh Chakravarthy |
|
Indian |
48 |
|
Mr. Virat Yooya |
|
Thai |
54 |
|
Ms. Kannika Yooya |
|
Thai |
29 |
AUTHORIZED PERSON
Any two of
the above directors
can jointly sign
on behalf of
the subject with
company’s affixed.
MANAGEMENT
Mr. Ramesh Chakravarthy is
the Managing Director.
He is Indian
nationality with the
age of 48
years old.
BUSINESS OPERATIONS
The subject is
engaged in importing,
distributing and exporting
of machinery and
related spare parts,
as well as
providing after sales
services for textile
industry.
PURCHASE
Most of the
products are imported
from India, U.S.A.,
Japan and Taiwan,
the remaining is
purchased from local
suppliers.
SALES
Most of the
products are sold
locally to manufactures
and end-users, the
remaining is exported
and re-exported to
India, Vietnam and
U.S.A.
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
according to 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
L/C at sight or T/T.
Exports are against
T/T.
BANKING
The banker’s name
was not disclosed.
EMPLOYMENT
The subject currently
employs 6 staff.
LOCATION DETAILS
The premise is
rented for administrative office
at the heading
address. Premise is
located in provincial.
COMMENT
Economy slowdown in
accordance with slow
domestic industrial growth
has affected subject’s
sales, as well
as, the impact
of slow spending
and delay of industrial
expansion would pressure
subject’s performance this
year. Growth is expected to be at
slow pace this
year.
FINANCIAL INFORMATION
The capital was
registered at Bht. 2,000,000
divided into 20,000 shares
of Bht. 100 each
with fully paid.
On July 25,
2013, the registered
capital was increased
to Bht. 5,000,000
divided into 50,000
shares of Bht. 100
each with fully
paid.
THE SHAREHOLDERS
LISTED WERE : [as at
April 30, 2014]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Ms. Kannika Yooya Nationality: Thai Address : 7/2
Moo 2, T. Banchee,
A. Banmi,
Lopburi |
30,500 |
61.00 |
|
Mr. Ramesh Chakravarthy Nationality: Indian Address : Bilwari,
India |
12,000 |
24.00 |
|
Mr. Virat Yooya Nationality: Thai Address : 7/2
Moo 2, T. Banchee,
A. Banmi,
Lopburi |
2,500 |
5.00 |
|
Ms. Siriyakul Yooya Nationality: Thai Address : 7/2
Moo 2, T. Banchee,
A. Banmi, Lopburi |
2,500 |
5.00 |
|
Mr. Srita Raja Chakravarthy Nationality: Indian Address : India
|
2,500 |
5.00 |
Total Shareholders : 5
Share Structure [as
at April 30,
2014]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
3 |
35,500 |
71.00 |
|
Foreign-Indian |
2 |
14,500 |
29.00 |
|
Total |
5 |
50,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Mrs. Amaraporn Petchvalee No.
11016
BALANCE SHEET
[BAHT]
The latest financial figures published
as at December
31, 2013, 2012
& 2011 were:
ASSETS
|
Current Assets |
2013 |
2012 |
2011 |
|
|
|
|
|
|
Cash and Cash Equivalents |
2,156,151.55 |
1,135,544.48 |
1,128,082.69 |
|
Trade Accounts &
Other Receivable |
269,391.47 |
- |
- |
|
Short-term Loans |
2,100,000.00 |
- |
- |
|
Inventories |
- |
7,869,000.00 |
1,750,000.00 |
|
Other Current Assets
|
- |
540,441.45 |
672,331.80 |
|
|
|
|
|
|
Total Current Assets
|
4,525,543.02 |
9,544,985.93 |
3,550,414.49 |
|
|
|
|
|
|
Fixed Assets |
4,247,669.40 |
1,466,085.84 |
499,213.15 |
|
Total Assets |
8,773,212.42 |
11,011,071.77 |
4,049,627.64 |
LIABILITIES &
SHAREHOLDERS’ EQUITY [BAHT]
|
Current
Liabilities |
2013 |
2012 |
2011 |
|
|
|
|
|
|
Trade Accounts & Other
Payable |
17,981.28 |
- |
- |
|
Current Portion of Long-term
Loans |
784,800.00 |
- |
- |
|
Current Portion of
Liabilities under Financial Lease Contract |
265,212.00 |
209,187.94 |
- |
|
Accrued Income Tax |
34,450.60 |
4,241.27 |
- |
|
Other Current Liabilities |
- |
262,500.00 |
15,583.79 |
|
|
|
|
|
|
Total Current Liabilities |
1,102,443.88 |
475,929.21 |
15,583.79 |
|
Long-term Loan from Financial Institutions |
2,315,200.00 |
- |
- |
|
Long-term Loan from Person or Related Company |
- |
7,720,000.00 |
2,670,000.00 |
|
Liabilities under Financial Lease Contract |
329,180.46 |
678,803.08 |
- |
|
Employee Benefits Obligation |
- |
112,584.75 |
- |
|
Total Liabilities |
3,746,824.34 |
8,987,317.04 |
2,685,583.79 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized, issued
and fully paid share capital
50,000 shares in 2013; 20,000 shares
in 2012 & 2011 |
5,000,000.00 |
2,000,000.00 |
2,000,000.00 |
|
|
|
|
|
|
Capital Paid |
5,000,000.00 |
2,000,000.00 |
2,000,000.00 |
|
Retained Earning Unappropriated |
26,388.08 |
23,754.73 |
[635,956.15] |
|
Total Shareholders' Equity |
5,026,388.08 |
2,023,754.73 |
1,364,043.85 |
|
Total Liabilities & Shareholders' Equity |
8,773,212.42 |
11,011,071.77 |
4,049,627.64 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
2013 |
2012 |
2011 |
|
|
|
|
|
|
Sales Income |
19,189,300.25 |
4,837,580.00 |
4,171,400.50 |
|
Other Income |
53,167.27 |
2,421.66 |
10,601.25 |
|
Total Revenues |
19,242,467.52 |
4,840,001.66 |
4,182,001.75 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold |
16,225,150.08 |
2,748,655.00 |
3,635,543.62 |
|
Administrative Expenses |
2,842,731.41 |
1,411,965.36 |
980,427.42 |
|
Total Expenses |
19,067,881.49 |
4,160,620.36 |
4,615,971.04 |
|
|
|
|
|
|
Profit / [Loss] before Financial Cost & Income
Tax |
174,586.03 |
679,381.30 |
[433,969.29] |
|
Financial Costs |
[130,002.08] |
[15,404.96] |
- |
|
Profit / [Loss] before Income
Tax |
44,583.95 |
663,976.34 |
[433,969.29] |
|
Income Tax |
[41,950.60] |
[4,265.46] |
- |
|
|
|
|
|
|
Net Profit / [Loss] |
2,633.35 |
659,710.88 |
[433,969.29] |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2013 |
2012 |
2011 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
4.11 |
20.06 |
227.83 |
|
QUICK RATIO |
TIMES |
4.11 |
2.39 |
72.39 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
4.52 |
3.30 |
8.36 |
|
TOTAL ASSETS TURNOVER |
TIMES |
2.19 |
0.44 |
1.03 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
- |
1,044.94 |
175.70 |
|
INVENTORY TURNOVER |
TIMES |
- |
0.35 |
2.08 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
5.12 |
- |
- |
|
RECEIVABLES TURNOVER |
TIMES |
71.23 |
- |
- |
|
PAYABLES CONVERSION PERIOD |
DAYS |
0.40 |
- |
- |
|
CASH CONVERSION CYCLE |
DAYS |
4.72 |
1,044.94 |
175.70 |
|
|
|
|
|
|
|
PROFITABILITY RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
84.55 |
56.82 |
87.15 |
|
SELLING & ADMINISTRATION |
% |
14.81 |
29.19 |
23.50 |
|
INTEREST |
% |
0.68 |
0.32 |
- |
|
GROSS PROFIT MARGIN |
% |
15.72 |
43.23 |
13.10 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
0.91 |
14.04 |
(10.40) |
|
NET PROFIT MARGIN |
% |
0.01 |
13.64 |
(10.40) |
|
RETURN ON EQUITY |
% |
0.05 |
32.60 |
(31.81) |
|
RETURN ON ASSET |
% |
0.03 |
5.99 |
(10.72) |
|
EARNING PER SHARE |
BAHT |
0.05 |
32.99 |
(21.70) |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.43 |
0.82 |
0.66 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.75 |
4.44 |
1.97 |
|
TIME INTEREST EARNED |
TIMES |
1.34 |
44.10 |
- |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
296.67 |
15.97 |
|
|
OPERATING PROFIT |
% |
(74.30) |
(256.55) |
|
|
NET PROFIT |
% |
(99.60) |
252.02 |
|
|
FIXED ASSETS |
% |
189.73 |
193.68 |
|
|
TOTAL ASSETS |
% |
(20.32) |
171.90 |
|
ANNUAL GROWTH :
ACCEPTABLE
An annual sales growth is
296.67%. Turnover has increased from THB
PROFITABILITY :
RISKY
PROFITABILITY
RATIO
|
Gross Profit Margin |
15.72 |
Acceptable |
Industrial Average |
26.63 |
|
Net Profit Margin |
0.01 |
Deteriorated |
Industrial Average |
2.56 |
|
Return on Assets |
0.03 |
Deteriorated |
Industrial Average |
5.04 |
|
Return on Equity |
0.05 |
Deteriorated |
Industrial Average |
15.81 |
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 15.72%. 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 0.03%.
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 0.05%.
Trend of the average competitors in the same industry for last 5 years
Return on Assets Uptrend
Return on Equity Uptrend
LIQUIDITY :
EXCELLENT
LIQUIDITY RATIO
|
Current Ratio |
4.11 |
Impressive |
Industrial Average |
1.57 |
|
Quick Ratio |
4.11 |
|
|
|
|
Cash Conversion Cycle |
4.72 |
|
|
|
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 4.11 times in 2013, decreased from 20.06 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 4.11 times in 2013,
increased from 2.39 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 5 days.
Trend of the average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE :
EXCELLENT
LEVERAGE RATIO
|
Debt Ratio |
0.43 |
Impressive |
Industrial Average |
0.67 |
|
Debt to Equity Ratio |
0.75 |
Impressive |
Industrial Average |
1.94 |
|
Times Interest Earned |
1.34 |
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 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 1.35 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 0.43 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 Downtrend
Times Interest Earned Stable
ACTIVITY :
EXCELLENT
ACTIVITY RATIO
|
Fixed Assets Turnover |
4.52 |
Impressive |
Industrial Average |
- |
|
Total Assets Turnover |
2.19 |
Impressive |
Industrial Average |
1.97 |
|
Inventory Conversion Period |
- |
|
|
|
|
Inventory Turnover |
- |
|
Industrial Average |
3.33 |
|
Receivables Conversion Period |
5.12 |
|
|
|
|
Receivables Turnover |
71.23 |
Impressive |
Industrial Average |
4.39 |
|
Payables Conversion Period |
0.40 |
|
|
|
The company's Account Receivable Ratio is calculated as 71.23 and
The company's Total Asset Turnover is calculated as 2.19 times and 0.44
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 Uptrend
Inventory Turnover Uptrend
Receivables Turnover Uptrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.61.41 |
|
|
1 |
Rs.98.06 |
|
Euro |
1 |
Rs.76.67 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAR |
|
|
|
|
Report Prepared
by : |
TPT |
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.