MIRA
INFORM REPORT
|
Report Date : |
17.09.2014 |
IDENTIFICATION DETAILS
|
Name : |
THE GOVERNMENT PHARMACEUTICAL ORGANIZATION |
|
|
|
|
Registered Office : |
|
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
30.09.2012 |
|
|
|
|
Year of Establishment : |
1941 |
|
|
|
|
Legal Form : |
State Enterprise |
|
|
|
|
Line of Business : |
Manufacturer and Distributor of Pharmaceutical and Medical
Products. |
|
|
|
|
No of Employees : |
2,859 |
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 |
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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
THE GOVERNMENT
PHARMACEUTICAL ORGANIZATION
SUMMARY
BUSINESS ADDRESS : 75/1
RAMA VI ROAD, RATCHATHEWI,
BANGKOK 10400,
THAILAND
TELEPHONE : [66] 2203-8000, 2354-8800-2
FAX :
[66] 2354-8780
E-MAIL ADDRESS : intgpo@yahoo.com
ESTABLISHED : 1941
FISCAL YEAR CLOSING DATE : SEPTEMBER 30
LEGAL STATUS : STATE ENTERPRISE
EXECUTIVE : DR. SUVAJ SIASIRIWATTANA, THAI
MANAGING
DIRECTOR
NO.
OF STAFF : 2,859
LINES
OF BUSINESS : PHARMACEUTICAL AND
MEDICAL SUPPLIES
MANUFACTURER
CORPORATE PROFILE
OPERATING
TREND : STABLE
PRESENT
SITUATION : OPERATING
NORMALLY
REPUTATION : GOOD
FOR NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT
STANDARD : MANAGEMENT
WITH GOOD PERFORMANCE
HISTORY
The subject was
established in 1941
as a state
enterprise under the
jurisdiction of the
Ministry of Public
Health, standing as the only
pharmaceutical manufacturer owned
by the Government, has
responsibilities in producing
high quality drugs
at reasonable prices,
serving the Ministry
of Public Health’s
policy on the
“Health for All”
campaign and etc.
It currently employs
2,859 staff.
The
subject received ISO
9002 Certification certified
by the Bureau
Veritas Quality International
Co., Ltd. [BVQI], the
international standard recognizing
body, for Injection
Quality Systems with
effect from February 28, 1997.
The ISO 9002 Certificate
absolutely guarantees its
products’ standard quality.
The subject’s
business address is
75/1 Rama VI Road,
Ratchathewi, Bangkok 10400.
THE BOARD OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Lt. Gen. Supakorn Sanguanchartsorakrai |
: Chairman
|
Thai
|
- |
|
Dr. Boonchai Somboonsuk |
|
Thai
|
- |
|
Dr. Ampol
Chindawattana |
|
Thai
|
- |
|
Mr. Raksakecha Chaechai |
|
Thai
|
- |
|
Mrs. Yajai
Pattanasukhawasan |
|
Thai
|
- |
|
Mr. Sunthorn Worakul |
|
Thai
|
- |
|
Dr. Krisana Kraisintu |
|
Thai
|
- |
|
Dr. Surachet Sathitniramai |
|
Thai
|
- |
|
Mr. Atsada
Chiewthada |
|
Thai
|
- |
|
Dr. Anya Khantawit |
|
Thai |
- |
|
Ms. Sopawadee Lertmanaschai |
|
Thai
|
- |
|
Rear Admiral Pimjai Chaimuangraj |
|
Thai
|
- |
|
Dr. Suvaj
Siasiriwattana |
|
Thai
|
- |
MANAGEMENT
Dr. Suvaj
Siasiriwattana : Managing
Director
Mr. Somchai
Srichainak : Deputy
Managing Director
Ms.
Pisamorn Klinsuwan
: Deputy
Managing Director
Mr. Sukhum
Virattipong : Deputy
Managing Director
Mrs. Vanicha
Chaisamran : Deputy
Managing Director
Mr. Soontorn
Vorakul : Deputy
Managing Director, Acting
Director of
Engineering and Technology
Department
Mrs. Sujida
Chutima : Assistant
Managing Director
Mrs. Achara
Boonpasom : Acting
Senior Expert
Mrs. Achara
Eksaengsri : Acting
Senior Expert
Ms.
Anchalee Utthangkorn : Director
of Office of
Internal Audit
Mr.
Pipat Niyomkarn : Director
of Office of
the Managing Director
Mr. Thavorn
Wongshuwong : Director
of Human Resources
Department
Mrs.
Varunee Lekcharoenvong : Director
of Finance &
Accounting Department
Mrs. Prapasri Thongtaweepol : Director
of Logistics Department
Mr.
Tumrongwut Kootiratrakarn : Director
of Pharmaceutical Production
Department
Mrs. Rachanee Atanavanich : Director
of Office of
Strategic Management
Mrs. Nantawan Tangchaisuk : Director
of Quality Assurance
Department
Mr. Chakkrit
Prapapaipittayakhun : Director
of Biological Production
Department
Mrs. Suchitra Gajaseni : Director
of Chemicals Department
Mr. Sit
Thirapakpoomanunt : Expert
10
BUSINESS OPERATIONS
The
subject’s main activities
are operate as
a developer, manufacturer
and distributor wide range
of pharmaceutical and medicine
products with over 200
items. Range of products
and services are
as follows:
-
Production of medicines
and medical supplies
-
Promotion of study
& research of
local raw materials
to be made
into
pharmaceutical & medicinal
productions.
-
Controlling the quality
of productions to
be standardized
-
Controlling price level
-
Reserve stocks to
prevent shortage in
case of emergencies
& disaster.
PRODUCTION
CAPACITY
4,000 million medicines/annum [medicine]
100 million
capsules/annum [capsule]
5 million
liters/annum [water medicine
and syrup]
0.15 million
kg./annum [powder medicine]
0.43
million kg. [cream/balm]
19 million
sets/annum [injection]
IMPORT
[COUNTRIES]
50%
of the chemicals
are imported from Republic
of China, Japan, France, Switzerland,
Germany, Singapore, India
and Spain, while
the remaining 50%
is purchased from
local suppliers.
SALES
[LOCAL]
90%
of the products
is sold locally
to wholesalers, mainly
to hospital and
clinic both private
company and government
sectors [70%] and the
remaining to drug
store [30%].
EXPORT
[COUNTRIES]
10% of
the products is also exported
to Myanmar, Vietnam, Malaysia, Japan, Laos, Cambodia, Bhutan, Sri Lanka,
Ghana, Nigeria, Somalia and
other South Africa
countries.
REVENUE STRUCTURE
[Unit :
Million Baht]
|
Income |
2012 |
Change Rate [%] |
2011 |
Change Rate [%] |
|
|
|
|
|
|
|
Sales
of GPO Products |
6,865.53 |
6.47 |
6,448.07 |
12.48 |
|
Sales
of Non-GPO Products |
|
10.42 |
4,690.98 |
19.43 |
|
Total
Revenue from Sales |
12.036.41 |
- |
11,139.98 |
- |
|
Revenue
from Contract |
5.72 |
33.33 |
4.29 |
92.52 |
|
Other
Revenues |
229.30 |
[8.64] |
250.99 |
40.84 |
|
Total
Revenue |
12,280.43 |
- |
11,394.33 |
- |
JOINT VENTURE COMPANIES
General
Hospital Products Public
Co., Ltd.
Address
: 101/99
Soi Nava Nakorn
7, Paholyothin Rd.,
Khlong Luang District,
Pathum Thani
12120
Core Business : Saline solution,
dialysis solution, dental
supplies
Holding : The
subject holds 49.6%
of the total shares.
Thai
Herbal Products Co.,
Ltd.
Address : Factory
Land Wangnoi, 130/49
Moo 3, Wangnoi District,
Ayudhya
13170
Core Business : Herbal remedies
Holding : The
subject holds 49%
of the total shares.
Government
Pharmaceutical
Orgainization-Merieux Biologicals
Products Co., Ltd.
Address : -
Core
Business: Manufacturer and
distributor human vaccine.
Holding : -
CREDIT
Local
bills are paid
by cash or
on the credits
term of 30-60
days.
Imports
are by L/C
on the credits
term of 90-120
days and T/T.
Sales
are by cash
or on the
credits term of
60-90 days.
Exports
are against L/C
at sight and
T/T.
BANKING
Krung
Thai Bank Public
Co., Ltd.
[Head
Office : 35
Sukhumvit Rd., Klongtoeynua,
Watana, Bangkok 10110]
EMPLOYMEN
The
subject employs 2,859 staff
[office, sales staff
and factory workers].
LOCATION DETIALS
The premise is
owned for operating
administrative office and
factory I at the heading
address. The ground
space is measured
at 64,000 square
meters and the
floor space is
around 45,500 square
meters. It is
located in commercial
area.
Factory II
is located at 138
Rungsit-Nakornnayok Road, Thanyaburi,
Pathumthani 12110.
The subject
also has 9 retail drugstores located
in Bangkok and
3 in provincial under the name “The
Government Pharmaceutical Organization”
as follows:
- 75/1
Rama 6 Road,
Thungphyathai, Rajthewi, Bangkok
- 693
Bamrungmuang Road, Klongmahanark, Pomprab,
Bangkok
- 154/19-20
Charansanitwong Road, Banchanglor,
Bangkoknoi, Bangkok
- 226
Samsen Road, Bangkhunprom,
Phranakorn, Bangkok
- 370-371
Phaholyothin Road, Kukot,
Lamlukka, Pathumthani.
- Tiwanont
Road, Muang, Nonthaburi
11000.
- 92
Pattanakarn Road, Prawes,
Prawes, Bangkok
- 14/10
Soi Saladaeng 1,
North Sathorn, Road,
Silom, Bangrak, Bangkok
- 420/6
Rajvithi Road, Thungphyathai, Rajthewi,
Bangkok
Provincial
branches are located
at the following addresses:
Northeastern
Region Branch
-
88 Moo 10, T.
Gudsara, A. Muang, Udon
Thani 41000
Northern
Region Branch
-
44 Moo 3,
Chiangmai-Hod Road, T. Hangdong,
A. Hangdong, Chiang Mai
50230.
Southern
Region Branch
-
10 Nipatsongkroh 5
Road, Haadyai, Songkla
90110.
COMMENT
Though
the medicine market
tends to expand
continuously, there are
many factors that
could affect on the growth
of the market,
like the high
competition among domestic
manufacturers, the market
share taking from
import medicine, and
the effect from
FTA which will
be applied gradually.
Therefore, it is
necessary that Thai
manufacturers in medical
industry should realize
and prepare themselves
rapidly for the
situation that could
be changed in
the future.
Thus, GPO
increases the investment
in research and
development in order
to create the
new innovation for
the products and at the same time, GPO also upgrades the
manufacturing standard to
comply with the
world standard which
can be considered
as the important
factor that drives
the organization to
grow strongly and can
compete in international
level.
FINANCIAL INFORMATION
The
details of capital
and shareholders are
not available due
to the fact
that the subject
is regarded as
a state enterprise
and is funded
and operated under
the supervision of
the Ministry of
Public Heath.
NAME OF AUDITOR & CERTIFIED PUBLIC
ACCOUNTANT NO.:
Office of the
Auditor General
BALANCE SHEET [BAHT]
The 2013 financial statement
was not yet available.
The latest financial figures published
as at September
30, 2012, 2011
& 2010 were:
ASSETS
|
Current Assets |
2012 |
2011 [Adjusted] |
2010 |
|
|
|
|
|
|
Cash and Cash
Equivalents |
4,055,988,562.65 |
3,852,694,411.23 |
2,909,848,479.64 |
|
Short-term Investment |
1,152,656,573.10 |
1,603,161,291.01 |
634,248,796.19 |
|
Trade Receivables, net |
2,235,604,220.60 |
1,888,375,560.46 |
2,728,459,034.41 |
|
Short-term Loan |
26,262,730.88 |
63,841,823.94 |
26,348,154.56 |
|
Inventories |
3,107,308,491.12 |
3,485,993,787.65 |
2,292,309,354.76 |
|
Other Current Assets
|
292,296,513.90 |
130,332,552.11 |
29,265,123.69 |
|
|
|
|
|
|
Total Current Assets
|
10,870,117,092.25 |
11,024,399,426.40 |
8,620,478,943.25 |
|
Investments in Join
Venture |
410,465,796.71 |
243,860,000.00 |
378,860,000.00 |
|
Long-term Investment |
- |
- |
400,000,000.00 |
|
Long-term Borrowings |
91,569,758.38 |
62,234,859.06 |
61,608,921.46 |
|
Property, Plant Equipment |
2,099,772,430.82 |
1,969,280,964.80 |
1,914,216,233.51 |
|
Intangible Assets |
11,652,758.20 |
10,006,076.68 |
7,966,945.73 |
|
Assets in Process |
1,161,398,280.02 |
540,398,158.21 |
308,308,190.70 |
|
Current Portion of
Drugs & Medical Supply
Reserve |
7,760,482.20 |
9,476,512.15 |
7,261,325.26 |
|
Total Assets |
14,652,736,598.58 |
13,859,655,997.30 |
11,698,700,559.91 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2012 |
2011 [Adjusted] |
2010 |
|
|
|
|
|
|
Trade Accounts Payable |
1,341,070,567.72 |
1,841,253,983.39 |
949,468,507.35 |
|
Other Payable |
1,197,455,603.31 |
967,206,235.52 |
636,391,065.87 |
|
|
|
|
|
|
Total Current Liabilities |
2,538,526,171.03 |
2,808,460,218.91 |
1,585,829,573.22 |
|
Employee’s Pension Fund |
1,134,605,507.00 |
261,934,892.60 |
262,987,069.20 |
|
GPO’s Loan Fund |
70,000,000.00 |
65,000,000.00 |
30,000,000.00 |
|
Total Liabilities |
3,743,131,678.03 |
3,135,395,111.51 |
1,878,816,642.42 |
|
|
|
|
|
|
Capital |
|
|
|
|
|
|
|
|
|
Paid-up Capital |
48,041,467.48 |
48,041,467.48 |
48,041,467.48 |
|
Capital Budget Allocations |
3,018,502.04 |
3,018,502.04 |
3,018,502.04 |
|
Transfer from Current
Capital |
3,526,548.46 |
3,526,548.46 |
3,526,548.46 |
|
|
54,586,517.98 |
54,586,517.98 |
54,586,517.98 |
|
Surplus Capital from Goodwill |
17,819,255.07 |
20,248,176.92 |
20,619,868.20 |
|
Drugs and Medical
Supply Reserve |
49,914,409.60 |
49,914,409.60 |
49,914,409.60 |
|
Retained Earnings |
10,787,284,737.90 |
10,599,511,781.29 |
9,694,763,121.71 |
|
Total Capital |
10,909,604,920.55 |
10,724,260,885.79 |
9,819,883,917.49 |
|
Total Liabilities & Capital |
14,652,736,598.58 |
13,859,655,997.30 |
11,698,700,559.91 |
PROFIT & LOSS ACCOUNT
|
Revenues |
2012 |
2011 [Adjusted] |
2010 |
|
|
|
|
|
|
Sales of Pharmaceutical and Medical Supplies |
12,036,411,753.44 |
11,139,058,539.01 |
9,495,629,975.29 |
|
Income from Hive
of Work |
5,721,679.25 |
4,289,733.33 |
2,228,286.95 |
|
Other Income |
237,880,434.55 |
274,397,005.17 |
178,210,997.59 |
|
Total Revenues |
12,280,013,867.24 |
11,417,745,277.51 |
9,676,069,259.83 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Sales
and Hive of
Work |
8,787,757,163.23 |
7,754,376,498.63 |
6,629,274,895.52 |
|
Selling Expenses |
735,071,604.15 |
730,928,300.18 |
540,401,414.73 |
|
Administration Expenses |
1,248,706,101.31 |
1,228,187,567.80 |
1,031,475,462.23 |
|
Other Expenses |
93,434,267.59 |
118,527,122.25 |
33,060,901.21 |
|
Total Expenses |
10,864,969,136.28 |
9,832,019,488.86 |
8,234,212,673.69 |
|
|
|
|
|
|
Net Income |
1,415,044,730.96 |
1,585,725,788.65 |
1,441,856,586.14 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2012 |
2011 |
2010 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
4.28 |
3.93 |
5.44 |
|
QUICK RATIO |
TIMES |
2.94 |
2.64 |
3.97 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
5.73 |
5.66 |
4.96 |
|
TOTAL ASSETS TURNOVER |
TIMES |
0.82 |
0.80 |
0.81 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
129.06 |
164.09 |
126.21 |
|
INVENTORY TURNOVER |
TIMES |
2.83 |
2.22 |
2.89 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
67.76 |
61.85 |
104.85 |
|
RECEIVABLES TURNOVER |
TIMES |
5.39 |
5.90 |
3.48 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
55.70 |
86.67 |
52.28 |
|
CASH CONVERSION CYCLE |
DAYS |
141.12 |
139.27 |
178.79 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
72.98 |
69.59 |
69.80 |
|
SELLING & ADMINISTRATION |
% |
6.10 |
6.56 |
5.69 |
|
INTEREST |
% |
- |
- |
- |
|
GROSS PROFIT MARGIN |
% |
29.00 |
32.87 |
32.08 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
11.75 |
14.23 |
15.18 |
|
NET PROFIT MARGIN |
% |
11.75 |
14.23 |
15.18 |
|
RETURN ON EQUITY |
% |
12.97 |
14.79 |
14.68 |
|
RETURN ON ASSET |
% |
9.66 |
11.44 |
12.32 |
|
EARNING PER SHARE |
BAHT |
2,592.30 |
2,904.98 |
2,641.42 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.26 |
0.23 |
0.16 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.34 |
0.29 |
0.19 |
|
TIME INTEREST EARNED |
TIMES |
- |
- |
- |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
8.07 |
17.32 |
|
|
OPERATING PROFIT |
% |
(10.76) |
9.98 |
|
|
NET PROFIT |
% |
(10.76) |
9.98 |
|
|
FIXED ASSETS |
% |
6.63 |
2.88 |
|
|
TOTAL ASSETS |
% |
5.72 |
18.47 |
|
ANNUAL GROWTH: SATISFACTORY
An annual sales growth is 8.07%. Turnover has increased from THB
11,143,348,272.34 in 2011 to THB 12,042,133,432.69 in 2012. While net profit
has decreased from THB
PROFITABILITY :
IMPRESSIVE
PROFITABILITY
RATIO
|
Gross Profit Margin |
29.00 |
Impressive |
Industrial
Average |
20.02 |
|
Net Profit Margin |
11.75 |
Impressive |
Industrial Average |
4.09 |
|
Return on Assets |
9.66 |
Impressive |
Industrial
Average |
7.41 |
|
Return on Equity |
12.97 |
Acceptable |
Industrial
Average |
18.00 |
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. Gross Profit Margin is 29.00% when compared with the industry
average, the ratio of the subject was higher, indicated that subject was more
profitable than the same industry.
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. Net Profit Margin ratio is 11.75%,
higher figure when compared with those of its average competitors in the same
industry, indicated that subject 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. Return on Assets ratio is
9.66%, higher figure when compared with those of its average competitors in the
same industry, indicated that subject was an efficient profit in a dominant
position within its industry.
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 subject's figure is 12.97%.
Trend of the
average competitors in the same industry for last 5 years
Return on Assets Downtrend
Return on Equity Downtrend
LIQUIDITY :
SATISFACTORY
LIQUIDITY RATIO
|
Current Ratio |
4.28 |
Impressive |
Industrial
Average |
1.43 |
|
Quick Ratio |
2.94 |
|
|
|
|
Cash Conversion Cycle |
141.12 |
|
|
|
The Current Ratio is to ascertain whether a company's short-term assets are
readily available to pay off its short-term liabilities. The subject's figure
is 4.28 times in 2012, decrease from 3.93 times, then it is generally
considered to have good short-term financial strength. When compared with the
industry average, the ratio of the subject was higher, indicated that the subject 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 subject's figure is 2.94 times in 2012,
increase from 2.64 times, although excluding inventory so the subject 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 subject could
survive when no cash inflow was received from sale for 142 days.
Trend of the average
competitors in the same industry for last 5 years
Current Ratio Downtrend
LEVERAGE :
EXCELLENT
LEVERAGE RATIO
|
Debt Ratio |
0.26 |
Impressive |
Industrial
Average |
0.62 |
|
Debt to Equity Ratio |
0.34 |
Impressive |
Industrial
Average |
1.61 |
|
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 subject's figure is 0.26 less than 0.5, most of the subject'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:
SATISFACTORY
ACTIVITY RATIO
|
Fixed Assets Turnover |
5.73 |
Impressive |
Industrial
Average |
- |
|
Total Assets Turnover |
0.82 |
Deteriorated |
Industrial
Average |
1.81 |
|
Inventory Conversion Period |
129.06 |
|
|
|
|
Inventory Turnover |
2.83 |
Deteriorated |
Industrial Average |
6.66 |
|
Receivables Conversion Period |
67.76 |
|
|
|
|
Receivables Turnover |
5.39 |
Impressive |
Industrial
Average |
2.52 |
|
Payables Conversion Period |
55.70 |
|
|
|
The subject's Account Receivable Ratio is calculated as 5.39 and
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 decreased from 164 days at the
end of 2011 to 129 days at the end of 2012. This represents a positive trend.
And Inventory turnover has increased from 2.22 times in year 2011 to 2.83 times
in year 2012.
The subject's Total Asset Turnover is calculated as 0.82 times and 0.8
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 Downtrend
Inventory Turnover Downtrend
Receivables Turnover Downtrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.61.10 |
|
UK Pound |
1 |
Rs.99.05 |
|
Euro |
1 |
Rs.79.03 |
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.