MIRA
INFORM REPORT
|
Report Date : |
02.09.2014 |
IDENTIFICATION DETAILS
|
Name : |
MITSUBISHI
ELECTRIC CONSUMER PRODUCTS [ |
|
|
|
|
Registered Office : |
700/406 MOO 7,
Amata Nakorn Industrial Estate, T. Donhuaroh, A. Muang, Chonburi 20000 |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
31.03.2014 |
|
|
|
|
Date of Incorporation : |
27.11.1989 |
|
|
|
|
Com. Reg. No.: |
0115532003849 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Engaged in manufacturing and
distributing of room
air conditioners for
residential, commercial and
industrial users including
offices and large-size
conference rooms, under the brand name MITSUBISHI. |
|
|
|
|
No. of Employees : |
1,200 |
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 – June 01, 2014
|
Country Name |
Previous Rating (31.03.2014) |
Current Rating (01.06.2014) |
|
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 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
MITSUBISHI
ELECTRIC CONSUMER PRODUCTS
[THAILAND] CO., LTD.
SUMMARY
BUSINESS
ADDRESS : 700/406 MOO 7,
AMATA NAKORN INDUSTRIAL ESTATE,
T.
DONHUAROH, A. MUANG,
CHONBURI 20000,
THAILAND
TELEPHONE : [66] 38 265-800
FAX :
[66] 38 214-880
E-MAIL
ADDRESS : mcp@mcp.meap.com
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1989
REGISTRATION
NO. : 0115532003849 [Former :
SOR POR. 1781]
TAX
ID NO. : 3271034897
CAPITAL REGISTERED : BHT. 1,200,000,000
CAPITAL PAID-UP : BHT.
1,200,000,000
SHAREHOLDER’S PROPORTION : JAPANESE :
90.00%
THAI
: 10.00%
FISCAL YEAR CLOSING DATE : MARCH
31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR. SO SUZUKI,
JAPANESE
PRESIDENT
NO.
OF STAFF : 1,200
LINES
OF BUSINESS : AIR
CONDITIONERS
MANUFACTURER, DISTRIBUTOR
AND EXPORTER
CORPORATE PROFILE
OPERATING
TREND : STABLE
PRESENT
SITUATION : OPERATING NORMALLY
REPUTATION : GOOD
WITH NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT
STANDARD : MANAGEMENT WITH
GOOD PERFORMANCE
HISTORY
The
subject was established
on November 27,
1989 as a
private limited company under
the registered name “Melco Consumer Products [Thailand]
Co., Ltd.” by a joint
investment among Mitsubishi
Electric Corporation, Siam
Cement Public Co., Ltd.,
and Kang Yong
Electric Public Co., Ltd.
On
August 25, 1997, the subject’s
name was changed
to MITSUBISHI ELECTRIC CONSUMER
PRODUCTS [THAILAND] CO., LTD.
The business objective is a producer of room and packaged air conditioners for residential, commercial and industrial users. It currently employs approximately 1,200 staff.
The subject achieved the
ISO: 14001 certificate by
BVQI on April
21, 2004.
At present, the
major shareholder is
Mitsubishi Electric Corporation,
Japan, which is
holding around 70%
of the subject’s
total shares.
The
subject’s registered address
is 700/406 Moo
7, Amata Nakorn
Industrial Estate,
T. Donhuaroh, A. Muang, Chonburi
20000, and this
is the subject’s
current operation
address.
THE BOARD
OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Toshifumi Matsutani |
[x] |
Japanese |
47 |
|
Mr. Tadashi Matsumoto |
|
Japanese |
56 |
|
Mr. Sadahiro Tomita |
|
Japanese |
63 |
|
Mr. Masao Uchino |
[x] |
Japanese |
62 |
|
Mr. Hideki Miyashita |
[x] |
Japanese |
58 |
|
Mr. Minoru Hagiwara |
|
Japanese |
63 |
|
Mr. So Suzuki |
[x] |
Japanese |
51 |
|
Mr. Yasushi Moriyama |
|
Japanese |
57 |
|
Mr. Takashi Yamamoto |
|
Japanese |
55 |
|
Mr. Yoshiomi Arami |
|
Japanese |
55 |
|
Mr. Jun Horibe |
[x] |
Japanese |
45 |
AUTHORIZED PERSON
Any two of the
mentioned directors [x] can jointly
sign on behalf
of the subject
with company’s affixed.
MANAGEMENT
Mr. So Suzuki is
the President.
He is Japanese
nationality with the
age of 51
years old.
Mr. Yamane Yasumasa is
the Production Control
Department Manager.
He is Japanese
nationality.
Mr. Fujiki Takashi is
the General Manager & Sales Marketing Manager.
He is Japanese
nationality.
Mr. Hideki Miyashita is
the Financial Department Manager.
He is Japanese
nationality with the
age of 58
years old.
BUSINESS OPERATIONS
The subject is
engaged in manufacturing
and distributing of
room air conditioners
for residential, commercial
and industrial users
including offices and
large-size conference rooms, under
the brand name MITSUBISHI.
The products have
been granted the
energy saving with No. 5 label symbol from
the Electricity Generating
Authority of Thailand.
PRODUCTION CAPACITY
500,000-1,000,000 units/year
PURCHASE
Raw materials, compressor,
electronic and electrical
components and accessories
are
purchased from suppliers
and agents both
domestic and overseas,
in Japan, Singapore,
Malaysia, Republic of China
and Taiwan.
MAJOR SUPPLIERS
SNC Former Public
Company Limited :
Thailand
Mitsubishi Electric Corporation : Japan
Siam
Compressor Industry Co.,
Ltd. : Thailand
S.P.
Metal Part Co.,
Ltd. : Thailand
SALES
The products are
sold to customers
by wholesale to
both local and
internationals with over
40 worldwide countries,
such as Japan,
Republic of China,
Indonesia, Singapore, Malaysia,
Taiwan, Korea, United
States of America,
Australia, Canada, South
Africa, and the
countries in Europe,
Middle East and Southeast
Asia.
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
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
L/C at sight
or T/T.
Exports are against
L/C at sight
or T/T.
BANKING
Bangkok Bank Public
Co., Ltd.
Kasikornbank Public Co.,
Ltd.
Siam Commercial Bank
Public Co., Ltd.
Bank of Tokyo-Mitsubishi UFJ
Ltd.
[Bangkok Branch : 54
North Sathorn Rd.,
Silom, Bangrak, Bangkok]
EMPLOYMENT
The
subject employs approximately
1,200 office staff
and factory workers.
LOCATION
DETAILS
The
premise is rented
for administrative office,
factory and warehouse
at the heading
address. Premise is
located in industrial
area.
COMMENT
The
subject is the world
leading manufacture of household and
packaged air-conditioners.
Mitsubishi Electric air-conditioners have
earned popularity among local and overseas consumers, product demand has increased
accordingly. Mitsubishi currently holds the
majority shares of
home air-conditioning in
domestic market.
Its
commercial and residential systems are
renowned for a higher standard of
performance, uncompromising
reliability and cost-saving energy efficiency. At the
leading edge of air conditioner
innovation, Mitsubishi Electric offers
customers the comfort
with environmental responsibility.
Mitsubishi
Electric Corporation of Japan,
one of the
world’s most renowned producers of electronic products, has continually provided
technical support to
Mitsubishi Electric Consumer Products
[Thailand] Co., Ltd.. Its advanced production technology
has enabled the company to
ceaselessly improve its
product quality to be
accepted international standards.
The
company is able
to maintain its
solid business.
FINANCIAL INFORMATION
The
capital was registered
at Bht. 200,000,000
divided into 200,000
shares of Bht. 1,000
each.
The
capital was increased
later as following:
Bht. 400,000,000 on December
21, 1990
Bht. 800,000,000 on June
17, 1996
Bht. 1,200,000,000 on July 15,
1999
The
latest registered capital
was increased to
Bht. 1,200,000,000 divided into
1,200,000 shares of
Bht. 1,000 each
with fully paid.
THE
SHAREHOLDERS LISTED WERE
: [as at
July 18, 2014]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mitsubishi Electric Corporation Nationality: Japanese Address : 2-2-3 Marunoichi Chiyoda-ku
Tokyo, Japan |
840,000 |
70.00 |
|
Siam Compressor Industry
Co., Ltd. Nationality: Japanese Address : 87/10
Moo 2, T. Thungsukhla, A. Sriracha,
Chonburi |
240,000 |
20.00 |
|
Kang Yong Electric
Public Co., Ltd. Nationality: Thai Address : 67
Moo 11, T. Bangchalong, A.
Bangplee,
Samutprakarn |
120,000 |
10.00 |
Total Shareholders : 3
Share Structure [as
at July 18,
2014]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
1 |
120,000 |
10.00 |
|
Foreign - Japanese |
2 |
1,080,000 |
90.00 |
|
Total |
3 |
1,200,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Mrs. Siripen Sukcharoenyingyong No.
3636
BALANCE SHEET [BAHT]
The latest financial figures published
as at March
31, 2014, 2013
& 2012 were:
ASSETS
|
Current Assets |
2014 |
2013 |
2012 |
|
|
|
|
|
|
Cash in hand
& at Bank
|
1,906,014,675 |
2,890,787,269 |
4,767,474,686 |
|
Trade Accounts Receivables |
13,867,043,823 |
10,047,625,118 |
6,976,605,873 |
|
Other Receivables |
509,872,196 |
997,424,939 |
- |
|
Short-term Lending to
Related Company |
10,437,323,041 |
10,635,965,486 |
9,982,433,961 |
|
Inventories |
3,671,098,372 |
3,181,043,030 |
3,494,661,067 |
|
Other Current Assets
|
- |
- |
345,376,251 |
|
|
|
|
|
|
Total Current Assets
|
30,391,352,107 |
27,752,845,842 |
25,566,551,838 |
|
Investment in Associated
& Related Companies |
1,377,108,600 |
1,377,108,600 |
1,377,108,600 |
|
Deposits for Purchase Property |
540,400,116 |
180,133,372 |
- |
|
Fixed Assets |
3,698,487,139 |
2,662,933,226 |
2,167,272,691 |
|
Software Right |
14,791,780 |
7,710,325 |
8,227,542 |
|
Other Non-current Assets |
6,714,000 |
6,714,000 |
6,714,000 |
|
Total Assets |
36,028,853,742 |
31,987,445,365 |
29,125,874,671 |
LIABILITIES &
SHAREHOLDERS’ EQUITY [BAHT]
|
Current
Liabilities |
2014 |
2013 |
2012 |
|
|
|
|
|
|
Trade Accounts Payable |
4,277,988,908 |
3,547,682,525 |
3,607,776,670 |
|
Other Payable |
3,148,705,125 |
2,414,416,210 |
2,044,559,948 |
|
Accrued Dividend |
- |
2,500,000,000 |
- |
|
Accrued Income Tax |
32,525,078 |
71,427,522 |
433,380,964 |
|
Other Current Liabilities |
79,000,000 |
79,000,000 |
24,952,195 |
|
|
|
|
|
|
Total Current Liabilities |
7,538,219,111 |
8,612,526,257 |
6,110,669,777 |
|
Estimated Liabilities |
254,673,370 |
227,947,426 |
266,391,023 |
|
Total Liabilities |
7,792,892,481 |
8,840,473,683 |
6,377,060,800 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 1,000
par value authorized, issued
and fully paid share
capital 1,200,000 shares |
1,200,000,000 |
1,200,000,000 |
1,200,000,000 |
|
|
|
|
|
|
Capital Paid |
1,200,000,000 |
1,200,000,000 |
1,200,000,000 |
|
Retained Earning Appropriated for
Statutory Reserve |
120,000,000 |
120,000,000 |
120,000,000 |
|
Unappropriated |
26,915,961,261 |
21,826,971,682 |
21,428,813,871 |
|
Total Shareholders' Equity |
28,235,961,261 |
23,146,971,682 |
22,748,813,871 |
|
Total Liabilities & Shareholders' Equity |
36,028,853,742 |
31,987,445,365 |
29,125,874,671 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
2014 |
2013 |
2012 |
|
|
|
|
|
|
Sales |
36,305,960,057 |
31,119,354,204 |
26,780,041,766 |
|
Interest Income |
366,161,376 |
403,064,568 |
327,993,506 |
|
Dividend Income |
124,219,954 |
459,125,470 |
192,728,646 |
|
Gain on Exchange Rate |
212,158,083 |
225,915,839 |
337,495,031 |
|
Other Income |
774,809,795 |
- |
313,291,378 |
|
Total Revenues |
37,783,309,265 |
32,207,460,081 |
27,951,550,327 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold |
25,320,982,785 |
23,340,874,424 |
20,434,476,652 |
|
Selling Expenses |
3,120,626,524 |
2,636,183,229 |
2,240,189,630 |
|
Administrative Expenses |
1,369,404,598 |
1,260,171,392 |
1,176,126,947 |
|
Loss on Exchange Rate |
- |
141,552,278 |
- |
|
Total Expenses |
29,811,013,907 |
27,378,781,323 |
23,850,793,229 |
|
|
|
|
|
|
Profit / [Loss] before
Income Tax |
7,972,295,358 |
4,828,678,758 |
4,100,757,098 |
|
Income Tax |
[186,105,779] |
[340,520,947] |
[607,010,671] |
|
|
|
|
|
|
Net Profit / [Loss] |
7,786,189,579 |
4,488,157,811 |
3,493,746,427 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2014 |
2013 |
2012 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
4.03 |
3.22 |
4.18 |
|
QUICK RATIO |
TIMES |
3.54 |
2.85 |
3.56 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
9.82 |
11.69 |
12.36 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.01 |
0.97 |
0.92 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
52.92 |
49.74 |
62.42 |
|
INVENTORY TURNOVER |
TIMES |
6.90 |
7.34 |
5.85 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
139.41 |
117.85 |
95.09 |
|
RECEIVABLES TURNOVER |
TIMES |
2.62 |
3.10 |
3.84 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
61.67 |
55.48 |
64.44 |
|
CASH CONVERSION CYCLE |
DAYS |
130.66 |
112.12 |
93.07 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
69.74 |
75.00 |
76.30 |
|
SELLING & ADMINISTRATION |
% |
12.37 |
12.52 |
12.76 |
|
INTEREST |
% |
- |
- |
- |
|
GROSS PROFIT MARGIN |
% |
34.33 |
28.49 |
28.07 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
21.96 |
15.52 |
15.31 |
|
NET PROFIT MARGIN |
% |
21.45 |
14.42 |
13.05 |
|
RETURN ON EQUITY |
% |
27.58 |
19.39 |
15.36 |
|
RETURN ON ASSET |
% |
21.61 |
14.03 |
12.00 |
|
EARNING PER SHARE |
BAHT |
6,488.49 |
3,740.13 |
2,911.46 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.22 |
0.28 |
0.22 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.28 |
0.38 |
0.28 |
|
TIME INTEREST EARNED |
TIMES |
- |
- |
- |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
16.67 |
16.20 |
|
|
OPERATING PROFIT |
% |
65.10 |
17.75 |
|
|
NET PROFIT |
% |
73.48 |
28.46 |
|
|
FIXED ASSETS |
% |
38.89 |
22.87 |
|
|
TOTAL ASSETS |
% |
12.63 |
9.82 |
|
ANNUAL GROWTH :
EXCELLENT
An annual sales growth is 16.67%. Turnover has increased from THB
31,119,354,204.00 in 2013 to THB 36,305,960,057.00 in 2014. While net profit
has increased from THB 4,488,157,811.00 in 2013 to THB 7,786,189,579.00 in
2014. And total assets has increased from THB 31,987,445,365.00 in 2013 to THB
36,028,853,742.00 in 2014.
PROFITABILITY :
SATISFACTORY
PROFITABILITY
RATIO
|
Gross Profit Margin |
34.33 |
Satisfactory |
Industrial
Average |
34.81 |
|
Net Profit Margin |
21.45 |
Impressive |
Industrial
Average |
9.28 |
|
Return on Assets |
21.61 |
Satisfactory |
Industrial
Average |
22.86 |
|
Return on Equity |
27.58 |
Acceptable |
Industrial
Average |
39.62 |
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 34.33%. 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 21.45%, higher figure when compared with
those of its average competitors in the same industry, indicated that business
was an efficient operator in a dominant
position within its industry.
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 21.61%.
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 27.58%.
Trend of the
average competitors in the same industry for last 5 years
Return on Assets Uptrend
Return on Equity Uptrend
LIQUIDITY :
SATISFACTORY
LIQUIDITY RATIO
|
Current Ratio |
4.03 |
Impressive |
Industrial
Average |
2.83 |
|
Quick Ratio |
3.54 |
|
|
|
|
Cash Conversion Cycle |
130.66 |
|
|
|
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 4.03 times in 2014, increased from 3.22 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 3.54 times in 2014,
increased from 2.85 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 131 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE :
EXCELLENT
LEVERAGE RATIO
|
Debt Ratio |
0.22 |
Impressive |
Industrial
Average |
0.63 |
|
Debt to Equity Ratio |
0.28 |
Impressive |
Industrial
Average |
1.09 |
|
Times Interest Earned |
- |
|
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.
Debt Ratio shows the proportion of a company's assets which are financed
through debt. The company's figure is 0.22 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 Uptrend
Times Interest Earned Stable
ACTIVITY :
ACCEPTABLE
ACTIVITY RATIO
|
Fixed Assets Turnover |
9.82 |
Impressive |
Industrial
Average |
- |
|
Total Assets Turnover |
1.01 |
Deteriorated |
Industrial
Average |
3.62 |
|
Inventory Conversion Period |
52.92 |
|
|
|
|
Inventory Turnover |
6.90 |
Deteriorated |
Industrial
Average |
20.93 |
|
Receivables Conversion Period |
139.41 |
|
|
|
|
Receivables Turnover |
2.62 |
Deteriorated |
Industrial
Average |
9.57 |
|
Payables Conversion Period |
61.67 |
|
|
|
The company's Account Receivable Ratio is calculated as 2.62 and 3.10 in
2014 and 2013 respectively. This ratio measures the efficiency of the company
in managing its trade debtors to generate revenue. 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 2014
decreased from 2013. This would suggest the company had deteriorated 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 50 days at the end of 2013 to
53 days at the end of 2014. This represents a negative trend. And Inventory
turnover has decreased from 7.34 times in year 2013 to 6.9 times in year 2014.
The company's Total Asset Turnover is calculated as 1.01 times and 0.97
times in 2014 and 2013 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.60.47 |
|
|
1 |
Rs.100.42 |
|
Euro |
1 |
Rs.79.39 |
INFORMATION DETAILS
|
Analysis Done by
: |
SUM |
|
|
|
|
Report Prepared
by : |
PDT |
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.