MIRA INFORM REPORT

 

 

Report Date :

29.10.2014

 

IDENTIFICATION DETAILS

 

Name :

FLORA HOME TEKSTIL SAN. VE TIC. A. S.

 

 

Formerly Known As :

GURTEKS HOME TEKSTIL SANAYI VE TICARET A.S.

 

 

Registered Office :

2. Organize Sanayi Bolgesi Vali Muammer Guler Bulvari 83228 Nolu Cad. No:9 Sehitkamil Gaziantep

 

 

Country :

Turkey

 

 

Financials (as on) :

31.12.2013

 

 

Date of Incorporation :

27.03.2009

 

 

Com. Reg. No.:

32703

 

 

Legal Form :

Joint Stock Company

 

 

Line of Business :

Manufacture and Trade of Carpet.

 

 

No. of Employees

499

 

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 :

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)

Turkey

B1

B1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

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 3-4% in 2012-13. Turkey's public sector debt to GDP ratio has fallen below 40%, and two rating agencies upgraded Turkey's debt to investment grade in 2012 and 2013. Turkey remains dependent on often volatile, short-term investment to finance its large current account deficit. The stock value of FDI reached nearly $195 billion at year-end 2013, reflecting Turkey's robust 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, domestic political uncertainty, and turmoil within Turkey's neighborhood leave the economy vulnerable to destabilizing shifts in investor confidence.

 

Source : CIA

 

 

 

COMPANY IDENTIFICATION

 

NAME

:

FLORA HOME TEKSTIL SAN. VE TIC. A. S.

HEAD OFFICE ADDRESS

:

2. Organize Sanayi Bolgesi Vali Muammer Guler Bulvari 83228 Nolu Cad. No:9 Sehitkamil Gaziantep / Turkey

PHONE NUMBER

:

90-342-337 38 28

 

FAX NUMBER

:

90-342-337 14 60

 

WEB-ADDRESS

:

www.florahali.com.tr

E-MAIL

:

flora@florahali.com.tr

 

 

LEGAL STATUS AND HISTORY

 

TAX OFFICE

:

Gazikent

TAX NO

:

4490279134

REGISTRATION NUMBER

:

32703

REGISTERED OFFICE

:

Gaziantep Chamber of Commerce

DATE ESTABLISHED

:

27.03.2009

ESTABLISHMENT GAZETTE DATE/NO

:

08.04.2009/7287

LEGAL FORM

:

Joint Stock Company

TYPE OF COMPANY

:

Private

REGISTERED CAPITAL

:

TL   50.000.000

PAID-IN CAPITAL

:

TL   50.000.000

HISTORY

:

Previous Registered Capital

:

TL 1.500.000

Changed On

:

27.09.2011 (Commercial Gazette Date /Number 11.10.2011/ 7918)

Previous Registered Capital

:

TL 5.000.000

Changed On

:

30.12.2011 (Commercial Gazette Date /Number 06.01.2012/ 7978)

Previous Registered Capital

:

TL 10.000.000

Changed On

:

30.12.2013 (Commercial Gazette Date /Number 08.01.2014/ 8481)

Merger

:

The subject took over and merged with "Gurteks Hali Sanayi Ve Ticaret A.S.".

Changed On

:

27.09.2011 (Commercial Gazette Date /Number 11.10.2011/ 7918)

 

OWNERSHIP / MANAGEMENT

 

SHAREHOLDERS

:

Gurteks Iplik Sanayi ve Ticaret A.S.

82,26 %

Ozkaya Holding A.S.

11,54 %

Nurettin Ozkaya

1,56 %

Yusuf Omer Ozkaya

1,56 %

Metin Ozkaya

1,56 %

Mustafa Yucel

1 %

Mesut Ozkaya

0,52 %

 

 

GROUP

:

GURTEKS GROUP OF COMPANIES

 

GROUP PARENT COMPANY

:

OZKAYA HOLDING A.S.

 

SISTER COMPANIES

:

GURTEKS IC VE DIS TICARET A.S.

GURTEKS IPLIK SANAYI VE TICARET A.S.

GURTEKS PAZARLAMA A.S.

MAD PLASTIK SANAYI VE TICARET A.S.

OZKAYA HOLDING A.S.

 

BOARD OF DIRECTORS

:

Mustafa Yucel

Chairman

Mesut Ozkaya

Member

Nurettin Ozkaya

Member

Yusuf Omer Ozkaya

Member

Metin Ozkaya

Member

 

 

 

 

OPERATIONS

 

BUSINESS ACTIVITIES

:

Manufacture and trade of carpet.

 

NACE CODE

:

DB.17.51

 

SECTOR

:

Textile

 

TRADEMARKS OWNED

:

Flora

 

NUMBER OF EMPLOYEES

:

499

 

NET SALES

:

11.776.454 TL

(2010) 

18.098.927 TL

(2011) 

31.170 TL Thousand

(2012) 

97.007 TL Thousand

(2013) 

25.257 TL Thousand

(01.01-31.03.2014) 

 

 

IMPORT COUNTRIES

:

Belgium

 

MERCHANDISE IMPORTED

:

Machinery

 

EXPORT VALUE

:

0 TL

(2012)

0 TL

(2013)

0 TL

(01.01-30.06.2014)

 

 

HEAD OFFICE ADDRESS

:

2. Organize Sanayi Bolgesi Vali Muammer Guler Bulvari 83228 Nolu Cad. No:9 Sehitkamil  Gaziantep / Turkey

 

BRANCHES

:

Factory  :  4. Organize Sanayi Bolgesi 83413 Nolu Cad. No:1 Sehitkamil Gaziantep/Turkey

 

Head Office/Factory  :  2. Organize Sanayi Bolgesi Vali Muammer Guler Bulvari 83228 Nolu Cad. No:9 Sehitkamil Gaziantep/Turkey

           

 

TREND OF BUSINESS

:

There was an upwards trend in  2013.

SIZE OF BUSINESS

:

Giant

 

 

FINANCE

 

MAIN DEALING BANKS

:

Garanti Bankasi Gaziantep Branch

HSBC Bank Gaziantep Branch

Turk Ekonomi Bankasi Gaziantep 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 Thousand

(2013) TL Thousand

(01.01-31.03.2014) TL Thousand

Net Sales

11.776.454

18.098.927

31.170

97.007

25.257

Profit (Loss) Before Tax

977.724

505.176

-4.519

50

14

Stockholders' Equity

2.644.524

8.246.046

3.974

45.987

 

Total Assets

9.299.665

20.786.010

69.875

157.505

 

Current Assets

7.901.340

17.960.918

44.212

113.342

 

Non-Current Assets

1.398.325

2.825.092

25.663

44.163

 

Current Liabilities

6.191.341

7.534.380

46.383

52.507

 

Long-Term Liabilities

463.800

5.005.584

19.518

59.011

 

Gross Profit (loss)

2.042.147

2.963.366

481

13.235

3.196

Operating Profit (loss)

1.326.809

2.082.745

-1.436

7.629

2.238

Net Profit (loss)

773.958

399.606

-4.519

50

14

 

 

 

 

COMMENT ON FINANCIAL POSITION

 

Capitalization

Insufficient As of 31.12.2013

Liquidity

Insufficient As of 31.12.2013

Remarks On Liquidity

The unfavorable gap between average collection and average payable period has an adverse effect on liquidity. 

 

The liquid assets consist mainly of receivables the amount of cash&banks or marketable securities (which are more liquid) are low.

 

Profitability

High Operating Profitability  in 2010

High Net Profitability  in 2010

High Operating Profitability  in 2011

Fair Net Profitability  in 2011

Operating Loss  in 2012

Net Loss  in 2012

Good Operating Profitability  in 2013

Low Net Profitability  in 2013

Good Operating Profitability (01.01-31.03.2014)

Low Net Profitability (01.01-31.03.2014)

 

Gap between average collection and payable periods

Unfavorable in 2013

General Financial Position

Passable

 

 

 

Incr. in producers’ price index

 

Average USD/TL

Average EUR/TL

Average GBP/ TL

 ( 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

 ( 2013 )

6,97 %

1,9179

2,5530

3,0178

 ( 01.01-31.03.2014)

5,52 %

2,1961

3,0116

3,6488

 ( 01.01-30.06.2014)

5,12 %

2,1608

2,9618

3,6153

 

 

BALANCE SHEETS

 

 

 ( 31.12.2010 )  TL

 

 ( 31.12.2011 )  TL

 

 ( 31.12.2012 )  TL Thousand

 

 ( 31.12.2013 )  TL Thousand

 

 

 

CURRENT ASSETS

7.901.340

0,85

17.960.918

0,86

44.212

0,63

113.342

0,72

 

 

Not Detailed Current Assets

0

0,00

0

0,00

0

0,00

0

0,00

 

 

Cash and Banks

1.442.909

0,16

598.185

0,03

2.460

0,04

813

0,01

 

 

Marketable Securities

0

0,00

50.000

0,00

0

0,00

0

0,00

 

 

Account Receivable

2.543.538

0,27

8.696.225

0,42

19.261

0,28

66.411

0,42

 

 

Other Receivable

443.615

0,05

552.129

0,03

505

0,01

1.204

0,01

 

 

Inventories

2.261.745

0,24

4.247.900

0,20

17.499

0,25

36.900

0,23

 

 

Advances Given

620.026

0,07

2.760.953

0,13

687

0,01

1.818

0,01

 

 

Accumulated Construction Expense

0

0,00

0

0,00

0

0,00

0

0,00

 

 

Other Current Assets

589.507

0,06

1.055.526

0,05

3.800

0,05

6.196

0,04

 

 

NON-CURRENT ASSETS

1.398.325

0,15

2.825.092

0,14

25.663

0,37

44.163

0,28

 

 

Not Detailed Non-Current Assets

0

0,00

0

0,00

0

0,00

0

0,00

 

 

Long-term Receivable

0

0,00

0

0,00

0

0,00

0

0,00

 

 

Financial Assets

0

0,00

0

0,00

810

0,01

891

0,01

 

 

Tangible Fixed Assets (net)

1.386.251

0,15

2.661.928

0,13

3.298

0,05

20.284

0,13

 

 

Intangible Assets

12.074

0,00

97.537

0,00

21.273

0,30

22.899

0,15

 

 

Deferred Tax Assets

0

0,00

0

0,00

0

0,00

0

0,00

 

 

Other Non-Current Assets

0

0,00

65.627

0,00

282

0,00

89

0,00

 

 

TOTAL ASSETS

9.299.665

1,00

20.786.010

1,00

69.875

1,00

157.505

1,00

 

 

CURRENT LIABILITIES

6.191.341

0,67

7.534.380

0,36

46.383

0,66

52.507

0,33

 

 

Not Detailed Current Liabilities

0

0,00

0

0,00

0

0,00

0

0,00

 

 

Financial Loans

4.805.424

0,52

3.622.623

0,17

7.406

0,11

13.374

0,08

 

 

Accounts Payable

821.222

0,09

2.723.705

0,13

32.097

0,46

24.110

0,15

 

 

Loans from Shareholders

0

0,00

98.488

0,00

366

0,01

291

0,00

 

 

Other Short-term Payable

78.536

0,01

204.866

0,01

393

0,01

639

0,00

 

 

Advances from Customers

429.103

0,05

707.126

0,03

5.787

0,08

12.970

0,08

 

 

Accumulated Construction Income

0

0,00

0

0,00

0

0,00

0

0,00

 

 

Taxes Payable

57.056

0,01

53.957

0,00

164

0,00

274

0,00

 

 

Provisions

0

0,00

0

0,00

0

0,00

0

0,00

 

 

Other Current Liabilities

0

0,00

123.615

0,01

170

0,00

849

0,01

 

 

LONG-TERM LIABILITIES

463.800

0,05

5.005.584

0,24

19.518

0,28

59.011

0,37

 

 

Not Detailed Long-term Liabilities

0

0,00

0

0,00

0

0,00

0

0,00

 

 

Financial Loans

463.800

0,05

5.005.584

0,24

19.518

0,28

59.011

0,37

 

 

Securities Issued

0

0,00

0

0,00

0

0,00

0

0,00

 

 

Long-term Payable

0

0,00

0

0,00

0

0,00

0

0,00

 

 

Loans from Shareholders

0

0,00

0

0,00

0

0,00

0

0,00

 

 

Other Long-term Liabilities

0

0,00

0

0,00

0

0,00

0

0,00

 

 

Provisions

0

0,00

0

0,00

0

0,00

0

0,00

 

 

STOCKHOLDERS' EQUITY

2.644.524

0,28

8.246.046

0,40

3.974

0,06

45.987

0,29

 

 

Not Detailed Stockholders' Equity

0

0,00

0

0,00

0

0,00

0

0,00

 

 

Paid-in Capital

1.500.000

0,16

7.789.214

0,37

8.037

0,12

50.000

0,32

 

 

Cross Shareholding Adjustment of Capital

0

0,00

0

0,00

0

0,00

0

0,00

 

 

Inflation Adjustment of Capital

0

0,00

0

0,00

0

0,00

0

0,00

 

 

Equity of Consolidated Firms

0

0,00

0

0,00

0

0,00

0

0,00

 

 

Reserves

370.566

0,04

57.226

0,00

456

0,01

456

0,00

 

 

Revaluation Fund

0

0,00

0

0,00

0

0,00

0

0,00

 

 

Accumulated Losses(-)

0

0,00

0

0,00

0

0,00

-4.519

-0,03

 

 

Net Profit (loss)

773.958

0,08

399.606

0,02

-4.519

-0,06

50

0,00

 

 

TOTAL LIABILITIES AND EQUITY

9.299.665

1,00

20.786.010

1,00

69.875

1,00

157.505

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 thousand 100 is "Doubtful Trade Receivables" and -TL thousand 100 is "Provision for Doubtful Trade Receivables" at the last balance sheet. 

 

The details of "Other Receivable" figure at the last balance sheet (TL Thousand): Due From Shareholders:0, Due From Participations:0, Due From Affiliated Companies:0, Due From Personnel:52, Other Miscellaneous Receivables:1.152, Other Receivable Total:1.204         

 

TL thousand 0 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 thousand 1.824 of the other expenses is due to "Loss from Foreign Currency Exchange" .

 

 

INCOME STATEMENTS

 

 

(2010) TL

 

(2011) TL

 

(2012) TL Thousand

 

(2013) TL Thousand

 

(01.01-31.03.2014) TL Thousand

 

Net Sales

11.776.454

1,00

18.098.927

1,00

31.170

1,00

97.007

1,00

25.257

1,00

Cost of Goods Sold

9.734.307

0,83

15.135.561

0,84

30.689

0,98

83.772

0,86

22.061

0,87

Gross Profit

2.042.147

0,17

2.963.366

0,16

481

0,02

13.235

0,14

3.196

0,13

Operating Expenses

715.338

0,06

880.621

0,05

1.917

0,06

5.606

0,06

958

0,04

Operating Profit

1.326.809

0,11

2.082.745

0,12

-1.436

-0,05

7.629

0,08

2.238

0,09

Other Income

494.871

0,04

1.116.724

0,06

1.000

0,03

9.640

0,10

952

0,04

Other Expenses

698.603

0,06

2.284.167

0,13

3.537

0,11

13.834

0,14

2.158

0,09

Financial Expenses

145.353

0,01

410.126

0,02

546

0,02

3.385

0,03

1.018

0,04

Minority Interests

0

0,00

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

0

0,00

Profit (loss) Before Tax

977.724

0,08

505.176

0,03

-4.519

-0,14

50

0,00

14

0,00

Tax Payable

203.766

0,02

105.570

0,01

0

0,00

0

0,00

0

0,00

Postponed Tax Gain

0

0,00

0

0,00

0

0,00

0

0,00

0

0,00

Net Profit (loss)

773.958

0,07

399.606

0,02

-4.519

-0,14

50

0,00

14

0,00

 

 

FINANCIAL RATIOS

 

 

(2010)

(2011)

(2012)

(2013)

 

LIQUIDITY RATIOS

 

 

Current Ratio

1,28

2,38

0,95

2,16

 

Acid-Test Ratio

0,72

1,31

0,48

1,30

 

Cash Ratio

0,23

0,09

0,05

0,02

 

ASSET STRUCTURE RATIOS

 

 

Inventory/Total Assets

0,24

0,20

0,25

0,23

 

Short-term Receivable/Total Assets

0,32

0,44

0,28

0,43

 

Tangible Assets/Total Assets

0,15

0,13

0,05

0,13

 

TURNOVER RATIOS

 

 

Inventory Turnover

4,30

3,56

1,75

2,27

 

Stockholders' Equity Turnover

4,45

2,19

7,84

2,11

 

Asset Turnover

1,27

0,87

0,45

0,62

 

FINANCIAL STRUCTURE

 

 

Stockholders' Equity/Total Assets

0,28

0,40

0,06

0,29

 

Current Liabilities/Total Assets

0,67

0,36

0,66

0,33

 

Financial Leverage

0,72

0,60

0,94

0,71

 

Gearing Percentage

2,52

1,52

16,58

2,42

 

PROFITABILITY RATIOS

 

 

Net Profit/Stockholders' Eq.

0,29

0,05

-1,14

0,00

 

Operating Profit Margin

0,11

0,12

-0,05

0,08

 

Net Profit Margin

0,07

0,02

-0,14

0,00

 

Interest Cover

7,73

2,23

-7,28

1,01

 

COLLECTION-PAYMENT

 

 

Average Collection Period (days)

77,75

172,97

222,46

246,46

 

Average Payable Period (days)

30,37

64,78

376,52

103,61

 

WORKING CAPITAL

1709999,00

10426538,00

-2171,00

60835,00

 

 

 

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.61.23

UK Pound

1

Rs.98.53

Euro

1

Rs.77.75

                

INFORMATION DETAILS

 

Analysis Done by :

SUM

 

 

Report Prepared by :

NIT

               

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%)

 

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.