MIRA INFORM REPORT

 

 

Report No. :

336323

Report Date :

12.08.2015

 

IDENTIFICATION DETAILS

 

Name :

INTER-CONTINENTAL OILS & FATS PTE. LTD.

 

 

Registered Office :

150, Beach Road, 16-01, Gateway West, 189720

 

 

Country :

Singapore

 

 

Financials (as on) :

31.12.2013

 

 

Date of Incorporation :

16.05.2002

 

 

Com. Reg. No.:

200204156-N

 

 

Legal Form :

Private Limited

 

 

Line of Business :

Trading of oil products

 

 

No of Employees :

130 [250]

 

 

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 – March 31, 2015

 

Country Name

Previous Rating

(31.12.2014)

Current Rating

(31.03.2015)

Singapore

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

SINGAPORE ECONOMIC OVERVIEW


Singapore has a highly developed and successful free-market economy. It enjoys a remarkably open and corruption-free environment, stable prices, and a per capita GDP higher than that of most developed countries. Unemployment is very low. The economy depends heavily on exports, particularly of consumer electronics, information technology products, medical and optical devices, pharmaceuticals, and on its vibrant transportation, business, and financial services sectors. The economy contracted 0.6% in 2009 as a result of the global financial crisis, but has continued to grow since 2010 on the strength of renewed exports. Growth in 2014 was slower at 2.9%, largely a result of soft demand for exports amid a sluggish global economy and weak growth in Singapore’s manufacturing sector. The government is attempting to restructure Singapore’s economy by weaning its dependence on foreign labor, addressing weak productivity, and increasing Singaporean wages. Singapore has attracted major investments in pharmaceuticals and medical technology production and will continue efforts to strengthen its position as Southeast Asia's leading financial and high-tech hub. Singapore is a member of the 12-nation Trans-Pacific Partnership free trade negotiations, the Regional Comprehensive Economic Partnership negotiations with the nine other ASEAN members plus Australia, China, India, Japan, South Korea and New Zealand, and in 2015, Singapore will form, with the other ASEAN members, the ASEAN Economic Community.

 

Source : CIA


 

EXECUTIVE SUMMARY

 

 

REGISTRATION NO.

:

200204156-N

COMPANY NAME

:

INTER-CONTINENTAL OILS & FATS PTE. LTD.

FORMER NAME

:

N/A

INCORPORATION DATE

:

16/05/2002

COMPANY STATUS

:

EXIST

LEGAL FORM

:

PRIVATE LIMITED

LISTED STATUS

:

NO

REGISTERED ADDRESS

:

150, BEACH ROAD, 16-01, GATEWAY WEST, 189720, SINGAPORE.

BUSINESS ADDRESS

:

150 BEACH ROAD, #16-01, GATEWAY WEST, 189720, SINGAPORE.

TEL.NO.

:

65-65766500

FAX.NO.

:

65-62595613

WEB SITE

:

WWW.ICOFGROUP.COM

CONTACT PERSON

:

BAHARI KARIM ( DIRECTOR )

PRINCIPAL ACTIVITY

:

TRADING OF OIL PRODUCTS

ISSUED AND PAID UP CAPITAL

:

16,667,487.00 ORDINARY SHARE, OF A VALUE OF SGD 16,667,487.00

SALES

:

USD 2,427,489,824 [2013]

NET WORTH

:

USD 180,801,170 [2013]

STAFF STRENGTH

:

130 [2015]

BANKER (S)

:

ABN AMRO BANK N.V.
BNP PARIBAS
COOPERATIEVE CENTRALE RAIFFEISEN-BOERENLEENBANK B.A.
DBS BANK LTD
HSH NORDBANK AG
ING BANK N.V.
THE BANK OF TOKYO-MITSUBISHI UFJ, LTD (SINGAPORE BRANCH)
DEUTSCHE BANK AKTIENGESELLSCHAFT
NATIXIS
OVERSEA-CHINESE BANKING CORPORATION LIMITED
THE HONGKONG AND SHANGHAI BANKING CORPORATION LIMITED
UNITED OVERSEAS BANK LIMITED
THE HONGKONG & SHANGHAI BANKING CORPORATION LIMITED

LITIGATION

:

CLEAR

FINANCIAL CONDITION

:

STRONG

PAYMENT

:

GOOD

MANAGEMENT CAPABILITY

:

GOOD

COMMERCIAL RISK

:

LOW

CURRENCY EXPOSURE

:

HIGH

GENERAL REPUTATION

:

GOOD

INDUSTRY OUTLOOK

:

AVERAGE GROWTH

 

HISTORY / BACKGROUND

 

The Subject is a private limited company and is allowed to have a minimum of one and a maximum of forty-nine shareholders. As a private limited company, the Subject must have at least two directors. A private limited company is a separate legal entity from its shareholders. As a separate legal entity, the Subject is capable of owning assets, entering into contracts, sue or be sued by other companies. The liabilities of the shareholders are to the extent of the equity they have taken up and the creditors cannot claim on shareholders' personal assets even if the Subject is insolvent. The Subject is governed by the Companies Act and the company must file its annual returns, together with its financial statements with the Registrar of Companies.

 

The Subject is principally engaged in the (as a / as an) trading of oil products.

 

The immediate holding company of the Subject is MUSIM MAS HOLDINGS PTE. LTD., a company incorporated in SINGAPORE.

 

Share Capital History

Date

Issue & Paid Up Capital

29/01/2015

SGD 16,667,487.00

 

The major shareholder(s) of the Subject are shown as follows :

 

Name

Address

IC/PP/Loc No

Shareholding

(%)

MUSIM MAS HOLDINGS PTE. LTD.

150, BEACH ROAD, 15-01, GATEWAY WEST, 189720, SINGAPORE.

200703094K

16,667,487.00

100.00

---------------

------

16,667,487.00

100.00

============

=====

+ Also Director

 

The Subject's interest in other companies (Subsidiaries/Associates) are shown as follow :

 

Local No

Country

Company

(%)

As At

200610434W

SINGAPORE

ICOF SHIPPING PTE. LTD.

100.00

28/01/2015

201021123H

SINGAPORE

IM BIOFUEL PTE. LTD.

100.00

28/01/2015



DIRECTORS



DIRECTOR 1

 

Name Of Subject

:

NG SIEW MOI

Address

:

25, MARGOLIOUTH ROAD, MARGOLIOUTH VILLAS, 258551, SINGAPORE.

IC / PP No

:

S1633151A

Nationality

:

SINGAPOREAN

Date of Appointment

:

05/12/2007

 

DIRECTOR 2

 

Name Of Subject

:

BURHAN KARIM

Address

:

JL. KALIMANTAN, NO. 29/3-B MEDAN, INDONESIA.

IC / PP No

:

A5138231

Nationality

:

INDONESIAN

Date of Appointment

:

01/03/2010

 

DIRECTOR 3

 

Name Of Subject

:

BACHTIAR KARIM

Address

:

JL. KALIMANTAN, 29/3-B MEDAN, INDONESIA.

IC / PP No

:

A2921253

Nationality

:

INDONESIAN

Date of Appointment

:

01/03/2010

 

DIRECTOR 4

 

Name Of Subject

:

BAHARI KARIM

Address

:

JL. TAMBAK SAWAH, NO. 32, RT, 03, RW, 01, TAMBAKREJO, KECAMATAN WARU, 61256, INDONESIA.

IC / PP No

:

X019032

Nationality

:

INDONESIAN

Date of Appointment

:

01/03/2010



MANAGEMENT

 

1)

Name of Subject

:

BAHARI KARIM

Position

:

DIRECTOR

 

AUDITOR

 

Auditor

:

PRICEWATER HOUSECOOPERS LLP

Auditor' Address

:

N/A

 

COMPANY SECRETARIES

 

1)

Company Secretary

:

MR. TEO MENG KEONG

IC / PP No

:

S6968331B

Address

:

269, BUKIT BATOK EAST AVENUE, 4, 08-168, 650269, SINGAPORE.

 

2)

Company Secretary

:

CHAN LAI YIN

IC / PP No

:

S7480587F

Address

:

26, SIMEI STREET, 1, 11-08, MELVILLE PARK, 529947, SINGAPORE.

 

BANKING


Banking relations are maintained principally with :

1)

Name

:

ABN AMRO BANK N.V.

 

2)

Name

:

BNP PARIBAS

 

3)

Name

:

COOPERATIEVE CENTRALE RAIFFEISEN-BOERENLEENBANK B.A.

 

4)

Name

:

DBS BANK LTD

 

5)

Name

:

HSH NORDBANK AG

 

6)

Name

:

ING BANK N.V.

 

7)

Name

:

THE BANK OF TOKYO-MITSUBISHI UFJ, LTD (SINGAPORE BRANCH)

 

8)

Name

:

DEUTSCHE BANK AKTIENGESELLSCHAFT

 

9)

Name

:

NATIXIS

 

10)

Name

:

OVERSEA-CHINESE BANKING CORPORATION LIMITED

 

11)

Name

:

THE HONGKONG AND SHANGHAI BANKING CORPORATION LIMITED

 

12)

Name

:

UNITED OVERSEAS BANK LIMITED

 

13)

Name

:

THE HONGKONG & SHANGHAI BANKING CORPORATION LIMITED

 

 

ENCUMBRANCE (S)

 

Charge No

Creation Date

Charge Description

Chargee Name

Total Charge

Status

C200402533

25/05/2004

N/A

ING BANK N.V.

-

Unsatisfied

C200603754

12/06/2006

N/A

DBS BANK LTD.

-

Unsatisfied

C200703150

27/04/2007

N/A

THE HONGKONG AND SHANGHAI BANKING CORPORATION LIMITED

-

Unsatisfied

C200703846

23/05/2007

N/A

COOPERATIEVE CENTRALE RAIFFEISEN-BOERENILEENBANK B.A

-

Unsatisfied

C200809279

08/10/2008

N/A

THE BANK OF TOKYO-MITSUBISHI UFJ LTD. SINGAPORE BRANCH

-

Unsatisfied

C200900874

04/02/2009

N/A

UNITED OVERSEAS BANK LIMITED

-

Unsatisfied

C200901490

09/03/2009

N/A

UNITED OVERSEAS BANK LIMITED

-

Unsatisfied

C200904843

06/08/2009

N/A

STANDARD CHARTERED BANK

-

Unsatisfied

C200907622

23/11/2009

N/A

THE BANK OF TOKYO-MITSUBISHI UFJ, LTD. SINGAPORE BRANCH

USD 25,000,000.00

Unsatisfied

C200907624

23/11/2009

N/A

THE BANK OF TOKYO-MITSUBISHI UFJ, LTD. SINGAPORE BRANCH

USD 25,000,000.00

Unsatisfied

C201003598

30/04/2010

N/A

STANDARD CHARTERED BANK

USD 50,000,000.00

Unsatisfied

C201006336

23/07/2010

N/A

OVERSEAS-CHINESE BANKING CORPORATION LIMITED

-

Unsatisfied

C201006827

04/08/2010

N/A

ABN AMRO BANK N.V.

-

Unsatisfied

C201011483

29/11/2010

N/A

ING BANK N.V.

USD 25,000,000.00

Unsatisfied

C201200407

10/01/2012

N/A

DBS BANK LTD.

-

Unsatisfied

C201202911

16/03/2012

N/A

THE BANK OF TOKYO-MITSUBISHI UFJ, LTD (SINGAPORE BRANCH)

-

Unsatisfied

C201202912

16/03/2012

N/A

THE BANK OF TOKYO-MITSUBISHI UFJ, LTD (SINGAPORE BRANCH)

-

Unsatisfied

C201205331

16/05/2012

N/A

THE HONGKONG AND SHANGHAI BANKING CORPORATION LIMITED

-

Unsatisfied

C201205337

16/05/2012

N/A

THE HONGKONG AND SHANGHAI BANKING CORPORATION LIMITED

-

Unsatisfied

C201205340

16/05/2012

N/A

THE HONGKONG & SHANGHAI BANKING CORPORATION LIMITED

-

Unsatisfied

C201205795

28/05/2012

N/A

COOPERATIEVE CENTRALE RAIFFEISEN-BOERENLEENBANK B.A.

-

Unsatisfied

C201205801

28/05/2012

N/A

COOPERATIEVE CENTRALE RAIFFEISEN-BOERENLEENBANK B.A.

-

Unsatisfied

C201303496

05/03/2013

N/A

STANDARD CHARTERED BANK

-

Unsatisfied

C201303499

05/03/2013

N/A

STANDARD CHARTERED BANK

-

Unsatisfied

C201309228

05/07/2013

N/A

ING BANK N.V.

-

Unsatisfied

C201311146

15/08/2013

N/A

DEUTSCHE BANK AKTIENGESELLSCHAFT

-

Unsatisfied

C201312285

09/09/2013

N/A

NATIXIS

-

Unsatisfied

C201314960

06/11/2013

N/A

CIMB BANK BERHAD

-

Unsatisfied

C201400244

07/01/2014

N/A

OVERSEA-CHINESE BANKING CORPORATION LIMITED

-

Unsatisfied

C201400399

09/01/2014

N/A

DBS BANK LTD.

-

Unsatisfied

C201403042

24/03/2014

N/A

THE HONGKONG AND SHANGHAI BANKING CORPORATION LIMITED

-

Unsatisfied

C201403824

15/04/2014

N/A

COOPERATIEVE CENTRALE RAIFFEISEN-BOERENLEENBANK B.A.

-

Unsatisfied

C201403825

15/04/2014

N/A

COOPERATIEVE CENTRALE RAIFFEISEN-BOERENLEENBANK B.A.

-

Unsatisfied

C201411942

30/10/2014

N/A

THE BANK OF TOKYOMITSUBISHI UFJ, LTD. SINGAPORE BRANCH

-

Unsatisfied

C201411944

30/10/2014

N/A

THE BANK OF TOKYOMITSUBISHI UFJ, LTD. SINGAPORE BRANCH

-

Unsatisfied

C201412662

13/11/2014

N/A

DBS BANK LTD.

-

Unsatisfied

C201412665

13/11/2014

N/A

THE HONGKONG AND SHANGHAI BANKING CORPORATION LIMITED

-

Unsatisfied

 

 

LITIGATION CHECK AGAINST SUBJECT


* A check has been conducted in our databank against the Subject whether the subject has been involved in any litigation.

No legal action was found in our databank.

No winding up petition was found in our databank.

PAYMENT RECORD

 

 

SOURCES OF RAW MATERIALS:

 

Local

:

YES

Percentage

:

40%

Overseas

:

YES

Percentage

:

60%



The Subject refused to provide any name of trade/service supplier and we are unable to conduct any trade enquiry. However, from financial historical data we conclude that :

 

OVERALL PAYMENT HABIT

Prompt 0-30 Days

[

]

Good 31-60 Days

[

X

]

Average 61-90 Days

[

]

Fair 91-120 Days

[

]

Poor >120 Days

[

]

 

 

CLIENTELE

 

Local

:

YES

Percentage

:

40%

Domestic Markets

:

SINGAPORE

Overseas

:

YES

Percentage

:

60%

Export Market

:

ASIA

Credit Term

:

AS AGREED

Payment Mode

:

CHEQUES
LETTER OF CREDIT (LC)
TELEGRAPHIC TRANSFER (TT)

 

OPERATIONS

 

Goods Traded

:

OIL PRODUCT & OTHER RELATED PRODUCT

 

Total Number of Employees:

 

YEAR

2015

2014

2013

2012

2011

GROUP

N/A

N/A

N/A

N/A

N/A

COMPANY

130

130

130

130

120

 

Branch

:

NO

Other Information:


The Subject is principally engaged in the (as a / as an) trading of oil products.

The Subject is a one-stop global specialist, merchandiser and distributor of tropical oils and derivative products. SC are a multinational company based in Singapore.

The Subject possesses deep expertise in merchandising and distributing the best and finest tropical oils and derivative products around the world.

Subject's value proposition begins with how we harness the beauty of nature - naturally and responsibly.

Subject's tropical oils and dervative products are developed from natural resources harvested with the highest respect for the environment and the people who work and live in it.

 

CURRENT INVESTIGATION

 

Latest fresh investigations carried out on the Subject indicated that :

 

Telephone Number Provided By Client

:

N/A

Current Telephone Number

:

65-65766500

Match

:

N/A

Address Provided by Client

:

150 BEACH ROAD #16-01 GATEWAY WEST SINGAPORE 189720

Current Address

:

150 BEACH ROAD, #16-01, GATEWAY WEST, 189720, SINGAPORE.

Match

:

YES

 

Other Investigations


We contacted one of the staff from the Subject and she provided some information.

FINANCIAL ANALYSIS

 

 

Profitability

Turnover

:

Decreased

[

2010 - 2013

]

Profit/(Loss) Before Tax

:

Decreased

[

2010 - 2013

]

Return on Shareholder Funds

:

Favourable

[

31.67%

]

Return on Net Assets

:

Acceptable

[

29.54%

]

The continuous fall in turnover could be due to the lower demand for the Subject's products / services.The Subject's profit fell sharply because of the high operating costs incurred. Generally the Subject was profitable. The favourable return on shareholders' funds and return on net assets indicate that the Subject's management was efficient in utilising the assets to generate returns.

Working Capital Control

Stock Ratio

:

Favourable

[

1 Days

]

Debtor Ratio

:

Unfavourable

[

72 Days

]

Creditors Ratio

:

Favourable

[

9 Days

]

The Subject's stocks were moving fast thus reducing its holding cost. This had reduced funds being tied up in stocks. The high debtors' ratio could indicate that the Subject was weak in its credit control. However, the Subject could also giving longer credit periods to its customers in order to boost its sales or to capture / retain its market share. The Subject had a favourable creditors' ratio where the Subject could be taking advantage of the cash discounts and also wanting to maintain goodwill with its creditors.

Liquidity

Liquid Ratio

:

Favourable

[

1.36 Times

]

Current Ratio

:

Unfavourable

[

1.38 Times

]

A minimum liquid ratio of 1 should be maintained by the Subject in order to assure its creditors of its ability to meet short term obligations and the Subject was in a good liquidity position. Thus, we believe the Subject is able to meet all its short term obligations as and when they fall due.

Solvency

Interest Cover

:

Favourable

[

35.03 Times

]

Gearing Ratio

:

Unfavourable

[

1.48 Times

]

The interest cover showed that the Subject was able to service the interest. The favourable interest cover could indicate that the Subject was making enough profit to pay for the interest accrued. The Subject was highly geared, thus it had a high financial risk. The Subject was dependent on loans to finance its business needs. In times of economic downturn and / or high interest rate, the Subject will become less profitable and competitive than other firms in the same industry, which are lowly geared. This is because the Subject has to service the interest and to repay the loan, which will erode part of its profits. The profits will fluctuate depending on the Subject's turnover and the interest it needs to pay.

Overall Assessment :

The Subject's performance deteriorated over the years with lower turnover and profit. The Subject was in good liquidity position with its total current liabilities well covered by its total current assets. With its current net assets, the Subject should be able to repay its short term obligations. With the favourable interest cover, the Subject could be able to service all the accrued interest without facing any difficulties. The Subject's gearing level was high and its going concern will be in doubt if there is no injection of additional shareholders' funds in times of economic downturn and / or high interest rates.

Overall financial condition of the Subject : STRONG

 

 

 

 

SINGAPORE ECONOMIC / INDUSTRY OUTLOOK

 

 

Major Economic Indicators :

2009

2010

2011

2012

2013

 

Population (Million)

4.98

5.08

5.18

5.31

5.40

Gross Domestic Products ( % )

(0.8)

14.5

4.9

1.3

3.7

Consumer Price Index

0.6

2.8

5.2

4.6

2.4

Total Imports (Million)

356,299.3

423,221.8

459,655.1

474,554.0

466,762.0

Total Exports (Million)

391,118.1

478,840.7

514,741.2

510,329.0

513,391.0

 

Unemployment Rate (%)

3.2

2.2

2.1

2.0

1.9

Tourist Arrival (Million)

9.68

11.64

13.17

14.49

15.46

Hotel Occupancy Rate (%)

75.8

85.6

86.5

86.4

86.3

Cellular Phone Subscriber (Million)

1.37

1.43

1.50

1.52

1.97

 

Registration of New Companies (No.)

26,414

29,798

32,317

31,892

37,288

Registration of New Companies (%)

4.3

12.8

8.5

(1.3)

9.8

Liquidation of Companies (No.)

22,393

15,126

19,005

17,218

17,369

Liquidation of Companies (%)

113.4

(32.5)

25.6

9.4

(5.3)

 

Registration of New Businesses (No.)

26,876

23,978

23,494

24,788

22,893

Registration of New Businesses (%)

8.15

(10.78)

2.02

5.51

1.70

Liquidation of Businesses (No.)

23,552

24,211

23,005

22,489

22,598

Liquidation of Businesses (%)

11.4

2.8

(5)

(2.2)

0.5

 

Bankruptcy Orders (No.)

2,058

1,537

1,527

1,748

1,992

Bankruptcy Orders (%)

(11.5)

(25.3)

(0.7)

14.5

14.0

Bankruptcy Discharges (No.)

3,056

2,252

1,391

1,881

2,584

Bankruptcy Discharges (%)

103.7

(26.3)

(38.2)

35.2

37.4

 

INDUSTRIES ( % of Growth ) :

Agriculture

Production of Principal Crops

3.25

(0.48)

4.25

3.64

-

Fish Supply & Wholesale

(1.93)

(10.5)

12.10

(0.5)

-

 

Manufacturing *

71.5

92.8

100.0

100.3

102.0

Food, Beverages & Tobacco

90.4

96.4

100.0

103.5

103.5

Textiles

145.9

122.1

100.0

104.0

87.1

Wearing Apparel

211.0

123.3

100.0

92.1

77.8

Leather Products & Footwear

79.5

81.8

100.0

98.6

109.8

Wood & Wood Products

101.4

104.0

100.0

95.5

107.4

Paper & Paper Products

95.4

106.1

100.0

97.4

103.2

Printing & Media

100.9

103.5

100.0

93.0

86.1

Crude Oil Refineries

96.4

95.6

100.0

99.4

93.5

Chemical & Chemical Products

80.3

97.6

100.0

100.5

104.1

Pharmaceutical Products

49.1

75.3

100.0

109.7

107.2

Rubber & Plastic Products

101.2

112.3

100.0

96.5

92.9

Non-metallic Mineral

91.9

92.5

100.0

98.2

97.6

Basic Metals

92.6

102.2

100.0

90.6

76.5

Fabricated Metal Products

90.8

103.6

100.0

104.3

105.1

Machinery & Equipment

57.3

78.5

100.0

112.9

114.5

Electrical Machinery

86.8

124.1

100.0

99.3

108.5

Electronic Components

85.2

113.6

100.0

90.6

94.3

Transport Equipment

96.0

94.0

100.0

106.3

107.5

 

Construction

(36.9)

14.20

20.50

28.70

-

Real Estate

1.4

21.3

25.4

31.9

-

 

Services

Electricity, Gas & Water

1.70

4.00

7.00

6.30

-

Transport, Storage & Communication

3.90

12.80

7.40

5.30

-

Finance & Insurance

(16.4)

(0.4)

8.90

0.50

-

Government Services

4.50

9.70

6.90

6.00

-

Education Services

0.10

(0.9)

(1.4)

0.30

-

 

* Based on Index of Industrial Production (2011 = 100)

 

INDUSTRY ANALYSIS

 

INDUSTRY :

TRADING

The wholesale and retail trade sectors have expanded by 2.0% in the third quarter of 2014, extending the 1.8 per cent growth in the previous quarter. In 2013, the wholesale and retail sector expanded by 5.0%, after declining by 1.4% the year before. Growth of the sector was driven by the wholesale trade segment.

The domestic wholesale trade index has increased by 3.2% in the fourth quarter of 2013, moderating from the 6.6% growth in the previous quarter. The slower growth was due to a decline in the sales of furniture and household equipment (-12%) and petroleum and petroleum products (-0.6%). For the full year, the domestic wholesale trade index grew by 5.2% reversing the 2.2% decline in 2012. On the other hand, the foreign wholesale trade index has increased by a slower pace of 5.6% in the fourth quarter, compared to the 7.7% expansion in the preceding quarter. The slowdown was due to a fall in the sales of telecommunication equipment and computer (-3.8%) and petroleum and petroleum products (-2.5%). For the full year, the growth of the foreign wholesale trade index moderated slightly to 8.6% from 9.1% in the previous year.

In the fourth quarter of 2013, retail sales volume fell by 6.2%, extending the 5.6% decline in the previous quarter. Excluding motor vehicles, retail sales volume increased by 0.4%, a slower pace of expansion as compared to the 1.6% gain in the preceding quarter. The sales volume of motor vehicles fell by 33% in the fourth quarter of 2013, extending the 32% decline in the previous quarter. Meanwhile, the sales of several discretionary items also fell in the fourth quarter of 2013. For instance, the sales of telecommunications apparatus and computers fell by 12%, while the sales of furniture and household equipment declined by 5.4%.

For the full year, retail sales volume contracted by 4.3%, a reversal from the 1.3% expansion in 2012. Excluding motor vehicle sales, the retail sales volume grew by 1.1% in 2013, slower than the 1.7% increase in 2012. Watches and jewellery recorded the largest increase (11%) in sales in 2013, followed by optical goods and book (3%) and medical goods and toiletries (3%). By contrast, the sales of telecommunications apparatus and computer (-7.3%), furniture and household equipment (-4.2%) and petrol service stations (-1.4) declined in 2013.

OVERALL INDUSTRY OUTLOOK : AVERAGE GROWTH



CREDIT RISK EVALUATION & RECOMMENDATION

 


Incorporated in 2002, the Subject is a Private Limited company, focusing on trading of oil products. With its long establishment in the market, the Subject has received strong support from its stable customers base. Its business position in the market is quite stable and it is expected to enjoy better market shares over its rivals. The Subject is a large entity with strong capital position of SGD 16,667,487. We are confident with the Subject's business and its future growth prospect. Having strong support from its holding company has enabled the Subject to remain competitive despite the challenging business environment.

Over the years, the Subject has established an extensive clientele base in the market. Besides catering to the local market, the Subject has penetrated into other countries. With the contribution of both local and overseas customers, the Subject is likely to be exposed to lower commercial risk. Hence, we believe that the Subject has better business expansion opportunities in the future. The Subject is a fairly large and rapidly growing company with over 130 staff in its operations The Subject has a good  management capability. Its capable management team has enabled the Subject to keep its business on going. Hence, the future prospect of the Subject is bright.

The Subject's business performance showed a reverse trend as both its turnover and pre-tax profit have decreased compared to the previous year. Based on the higher profitability, the Subject has generated a favourable return based on its existing shareholders' funds which indicated that the management was efficient in utilising its funds to generate income. The Subject is in good liquidity position with its current liabilities well covered by it current assets. Hence, it has sufficient working capital to meet its short term financial obligations. The high gearing ratio clearly implied that the Subject was supported by more debt than equity. Thus, the Subject is exposed to high financial risk. Given a positive net worth standing at USD 180,801,170, the Subject should be able to maintain its business in the near terms.

Having a strong assets backing, the Subject possesses latent assets as collateral for further financial extension. Hence, it has good chance of getting loans if the needs arises. The Subject's supplier are from both the local and overseas countries. This will eliminates the risk of dependency on deliveries from a number of key suppliers and insufficient quantities of its raw materials. Overall the Subject has a good control over its resources.

Overall, the Subject's payment habit is good as the Subject has a good credit control and it could be taking advantage of the cash discounts while maintaining a good reputation with its creditors.

The industry shows an upward trend and this trend is very likely to sustain in the near terms. Hence, the Subject is expected to benefit from the favourable outlook of the industry.

Based on the above condition, we recommend credit be granted to the Subject promptly.

 

 

 

PROFIT AND LOSS ACCOUNT

 

 

THE FINANCIAL STATEMENTS WERE PREPARED IN ACCORDANCE WITH SINGAPORE FINANCIAL REPORTING STANDARDS.

INTER-CONTINENTAL OILS & FATS PTE. LTD.

 

Financial Year End

2013-12-31

2013-06-30

2012-06-30

2011-06-30

2010-06-30

Months

6

12

12

12

12

Consolidated Account

Company

Company

Company

Company

Company

Audited Account

YES

YES

YES

YES

YES

Unqualified Auditor's Report (Clean Opinion)

YES

YES

YES

YES

YES

Financial Type

FULL

FULL

FULL

FULL

FULL

Currency

USD

USD

USD

USD

USD

TURNOVER

2,427,489,824

5,084,174,095

5,164,055,044

4,227,442,338

2,768,807,882

----------------

----------------

----------------

----------------

----------------

Total Turnover

2,427,489,824

5,084,174,095

5,164,055,044

4,227,442,338

2,768,807,882

Costs of Goods Sold

(2,351,616,532)

(4,952,056,266)

(5,038,659,057)

-

-

----------------

----------------

----------------

----------------

----------------

Gross Profit

75,873,292

132,117,829

125,395,987

-

-

----------------

----------------

----------------

----------------

----------------

PROFIT/(LOSS) FROM OPERATIONS

59,892,851

105,693,906

95,365,246

77,248,773

52,008,537

----------------

----------------

----------------

----------------

----------------

PROFIT/(LOSS) BEFORE TAXATION

59,892,851

105,693,906

95,365,246

77,248,773

52,008,537

Taxation

(2,638,036)

(7,082,604)

(8,767,528)

(4,510,778)

(3,510,261)

----------------

----------------

----------------

----------------

----------------

PROFIT/(LOSS) AFTER TAXATION

57,254,815

98,611,302

86,597,718

72,737,995

48,498,276

----------------

----------------

----------------

----------------

----------------

RETAINED PROFIT/(LOSS) BROUGHT FORWARD

As previously reported

193,404,355

142,189,553

122,966,835

71,528,840

63,830,564

----------------

----------------

----------------

----------------

----------------

As restated

193,404,355

142,189,553

122,966,835

71,528,840

63,830,564

----------------

----------------

----------------

----------------

----------------

PROFIT AVAILABLE FOR APPROPRIATIONS

250,659,170

240,800,855

209,564,553

144,266,835

112,328,840

DIVIDENDS - Ordinary (paid & proposed)

(79,858,000)

(47,396,500)

(67,375,000)

(21,300,000)

(40,800,000)

----------------

----------------

----------------

----------------

----------------

RETAINED PROFIT/(LOSS) CARRIED FORWARD

170,801,170

193,404,355

142,189,553

122,966,835

71,528,840

=============

=============

=============

=============

=============

INTEREST EXPENSE (as per notes to P&L)

Loan from subsidiary companies

-

-

-

784,975

-

Term loan / Borrowing

497,829

739,000

891,416

710,435

-

Trust receipts

845,992

1,672,058

2,153,355

1,517,766

885,219

Others

416,177

679,553

991,012

557,632

956,148

----------------

----------------

----------------

----------------

----------------

1,759,998

3,090,611

4,035,783

3,570,808

1,841,367

=============

=============

=============

=============

=============

 

 

 

BALANCE SHEET

 

 

INTER-CONTINENTAL OILS & FATS PTE. LTD.

 

ASSETS EMPLOYED:

FIXED ASSETS

722,945

491,969

561,704

711,889

650,257

LONG TERM INVESTMENTS/OTHER ASSETS

Subsidiary companies

25,411,625

25,211,625

18,215,023

16,913,972

1,217,972

Loans & advances - non-current

-

-

-

7,808,221

2,750,000

Others

10,050,000

16,607,880

13,403,112

-

-

----------------

----------------

----------------

----------------

----------------

TOTAL LONG TERM INVESTMENTS/OTHER ASSETS

35,461,625

41,819,505

31,618,135

24,722,193

3,967,972

----------------

----------------

----------------

----------------

----------------

TOTAL LONG TERM ASSETS

36,184,570

42,311,474

32,179,839

25,434,082

4,618,229

Stocks

7,524,050

22,299,658

46,586,627

62,160,472

19,392,980

Trade debtors

479,354,261

380,719,546

331,516,172

510,314,357

213,478,183

Other debtors, deposits & prepayments

1,020,750

838,548

862,002

4,619,688

123,834

Short term deposits

6,900,400

-

12,500,608

-

5,099,948

Amount due from holding company

-

3,852

-

-

-

Amount due from subsidiary companies

70,635,937

34,660,605

63,081,098

-

-

Amount due from related companies

-

-

26,231,660

-

-

Cash & bank balances

59,629,617

51,623,850

57,913,513

30,357,363

47,185,940

Others

100,629

103,218

2,130,824

582,683

343,663

----------------

----------------

----------------

----------------

----------------

TOTAL CURRENT ASSETS

625,165,644

490,249,277

540,822,504

608,034,563

285,624,548

----------------

----------------

----------------

----------------

----------------

TOTAL ASSET

661,350,214

532,560,751

573,002,343

633,468,645

290,242,777

=============

=============

=============

=============

=============

CURRENT LIABILITIES

Trade creditors

60,417,574

107,711,862

38,847,167

207,436,278

97,392,392

Other creditors & accruals

1,255,822

1,268,722

504,489

470,444

166,015

Short term borrowings/Term loans

14,166,667

11,391,670

20,383,332

274,759,935

93,680,530

Other borrowings

225,029,154

177,931,096

185,445,268

-

-

Amounts owing to subsidiary companies

142,234,581

11,412,419

4,419,733

-

-

Amounts owing to related companies

-

-

142,025,945

-

-

Provision for taxation

6,515,833

7,031,479

8,983,670

4,275,600

3,200,000

Other liabilities

3,012,746

3,659,148

161,516

1,059,551

-

----------------

----------------

----------------

----------------

----------------

TOTAL CURRENT LIABILITIES

452,632,377

320,406,396

400,771,120

488,001,808

194,438,937

----------------

----------------

----------------

----------------

----------------

NET CURRENT ASSETS/(LIABILITIES)

172,533,267

169,842,881

140,051,384

120,032,755

91,185,611

----------------

----------------

----------------

----------------

----------------

TOTAL NET ASSETS

208,717,837

212,154,355

172,231,223

145,466,837

95,803,840

=============

=============

=============

=============

=============

SHARE CAPITAL

Ordinary share capital

10,000,000

10,000,000

10,000,000

10,000,000

10,000,000

----------------

----------------

----------------

----------------

----------------

TOTAL SHARE CAPITAL

10,000,000

10,000,000

10,000,000

10,000,000

10,000,000

Retained profit/(loss) carried forward

170,801,170

193,404,355

142,189,553

122,966,835

71,528,840

----------------

----------------

----------------

----------------

----------------

TOTAL RESERVES

170,801,170

193,404,355

142,189,553

122,966,835

71,528,840

----------------

----------------

----------------

----------------

----------------

SHAREHOLDERS' FUNDS/EQUITY

180,801,170

203,404,355

152,189,553

132,966,835

81,528,840

Long term loans

27,916,667

8,750,000

20,041,670

12,500,002

14,275,000

----------------

----------------

----------------

----------------

----------------

TOTAL LONG TERM LIABILITIES

27,916,667

8,750,000

20,041,670

12,500,002

14,275,000

----------------

----------------

----------------

----------------

----------------

208,717,837

212,154,355

172,231,223

145,466,837

95,803,840

=============

=============

=============

=============

=============

 

 

FINANCIAL RATIO

 

INTER-CONTINENTAL OILS & FATS PTE. LTD.

 

TYPES OF FUNDS

Cash

66,530,017

51,623,850

70,414,121

30,357,363

52,285,888

Net Liquid Funds

66,530,017

51,623,850

70,414,121

30,357,363

52,285,888

Net Liquid Assets

165,009,217

147,543,223

93,464,757

57,872,283

71,792,631

Net Current Assets/(Liabilities)

172,533,267

169,842,881

140,051,384

120,032,755

91,185,611

Net Tangible Assets

208,717,837

212,154,355

172,231,223

145,466,837

95,803,840

Net Monetary Assets

137,092,550

138,793,223

73,423,087

45,372,281

57,517,631

BALANCE SHEET ITEMS

Total Borrowings

267,112,488

198,072,766

225,870,270

287,259,937

107,955,530

Total Liabilities

480,549,044

329,156,396

420,812,790

500,501,810

208,713,937

Total Assets

661,350,214

532,560,751

573,002,343

633,468,645

290,242,777

Net Assets

208,717,837

212,154,355

172,231,223

145,466,837

95,803,840

Net Assets Backing

180,801,170

203,404,355

152,189,553

132,966,835

81,528,840

Shareholders' Funds

180,801,170

203,404,355

152,189,553

132,966,835

81,528,840

Total Share Capital

10,000,000

10,000,000

10,000,000

10,000,000

10,000,000

Total Reserves

170,801,170

193,404,355

142,189,553

122,966,835

71,528,840

LIQUIDITY (Times)

Cash Ratio

0.15

0.16

0.18

0.06

0.27

Liquid Ratio

1.36

1.46

1.23

1.12

1.37

Current Ratio

1.38

1.53

1.35

1.25

1.47

WORKING CAPITAL CONTROL (Days)

Stock Ratio

1

2

3

5

3

Debtors Ratio

72

27

23

44

28

Creditors Ratio

9

8

3

18

13

SOLVENCY RATIOS (Times)

Gearing Ratio

1.48

0.97

1.48

2.16

1.32

Liabilities Ratio

2.66

1.62

2.77

3.76

2.56

Times Interest Earned Ratio

35.03

35.20

24.63

22.63

29.24

Assets Backing Ratio

20.87

21.22

17.22

14.55

9.58

PERFORMANCE RATIO (%)

Operating Profit Margin

2.47

2.08

1.85

1.83

1.88

Net Profit Margin

2.36

1.94

1.68

1.72

1.75

Return On Net Assets

29.54

51.28

57.71

55.56

56.21

Return On Capital Employed

29.54

51.28

57.71

55.56

56.21

Return On Shareholders' Funds/Equity

31.67

48.48

56.90

54.70

59.49

Dividend Pay Out Ratio (Times)

1.39

0.48

0.78

0.29

0.84

NOTES TO ACCOUNTS

Contingent Liabilities

0

0

0

0

0

 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.64.17

UK Pound

1

Rs.99.85

Euro

1

Rs.70.35

 

 

INFORMATION DETAILS

 

Analysis Done by :

SUB

 

 

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%)

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.