MIRA INFORM REPORT
|
Report No. : |
352790 |
|
Report Date : |
09.12.2015 |
IDENTIFICATION DETAILS
|
Name : |
TFL [THAILAND]
CO., LTD. |
|
|
|
|
Registered Office : |
10/23 Moo 8, Phuttharaksa Road, T. Taibanmai, A. Muang, Samutprakarn 10280, |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2014 |
|
|
|
|
Date of Incorporation : |
26.11.1998 |
|
|
|
|
Com. Reg. No.: |
0115541004704 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
The subject is
engaged in importing and distributing chemicals for tanning and leather
industry. |
|
|
|
|
No. of Employees : |
25 |
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) |
|
Thailand |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
THAILAND - ECONOMIC
OVERVIEW
With a well-developed infrastructure, a free-enterprise
economy, and generally pro-investment policies Thailand has historically had a
strong economy due in part to competitive industrial and agriculture exports -
mostly electronics, agricultural commodities, automobiles and parts, and
processed foods. The economy experienced slow growth and declining exports in
2014, in part due to domestic political turmoil and sluggish global demand.
With full employment, Thailand attracts an estimated 2-4 million migrant
workers from neighboring countries, and faces labor shortages. Following the
May 2014 coup d'etat, tourism decreased 6-7% but is beginning to recover. The
household debt to GDP ratio is over 80%. 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 baht has remained stable.
|
Source
: CIA |
Company
Name
TFL [THAILAND] CO., LTD.
SUMMARY
BUSINESS ADDRESS : 10/23
MOO 8, PHUTTHARAKSA
ROAD, T.
TAIBANMAI,
A. MUANG, SAMUTPRAKARN 10280,
THAILAND
TELEPHONE : [66] 2388-1090-5
FAX :
[66] 2388-1099
E-MAIL
ADDRESS : dietmar_bandat@tlfth.com
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1998
REGISTRATION
NO. : 0115541004704
TAX
ID NO. : 3271164358
CAPITAL REGISTERED : BHT. 6,500,000
CAPITAL PAID-UP : BHT.
6,500,000
SHAREHOLDER’S PROPORTION : FOREIGN
: 100%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR. RICHARD JAMES
FENTON, BRITISH
MANAGING DIRECTOR
NO.
OF STAFF : 25
LINES
OF BUSINESS : INDUSTRIAL CHEMICALS
IMPORTER AND DISTRIBUTOR
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 26,
1998 as a
private limited company
under the registered name TFL
[THAILAND] CO., LTD.,
by foreign groups,
with the business objective
to import and
distribute industrial chemicals.
It currently employs
25 staff.
The
subject is a
wholly owned subsidiary
of TFL Ledertechnik GmbH., which
is a member of TFL
International GmbH., in
Germany.
The
subject’s registered address
is 10/23 Moo
8, Phuttharaksa Road,
T. Taibanmai,
A.
Muang, Samutprakarn 10280,
and this is
the subject’s current
operation address.
THE
BOARD OF DIRECTOR
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mrs. Sureerat Pianchuchaipun |
[-] |
Thai |
57 |
|
Mr. Udo Hoendges |
|
German |
53 |
|
Mr. Dietmar Bandat |
|
Austrian |
54 |
|
Mr. Richard James Fenton |
|
British |
48 |
AUTHORIZED
PERSON
- Any
two of the
above directors can
jointly sign on
behalf of the
subject with
company’s affixed.
- In
case of contact
to government sector,
the mentioned director
[-] can sign
on
behalf of the
subject’s with company’s
affixed.
MANAGEMENT
Mr. Richard James Fenton
is the Managing
Director.
He is British
nationality with the
age of 48
years old.
Mrs. Sureerat Pianchuchaipun is
the Assistant Managing
Director.
She is Thai
nationality with the
age of 57
years old.
Mr. Dietmar Bandat is
the Sales & Marketing Manager.
He is Austrian
nationality with the
age of 54
years old.
BUSINESS
OPERATIONS
The subject
is engaged in
importing and distributing
chemicals for tanning
and leather industry.
PURCHASE
The products are
purchased from suppliers
both domestic and
overseas, mainly in
Germany, Japan, India,
Vietnam, Korea and
Republic of China.
MAJOR SUPPLIER
TFL
Ledertechnik GmbH.
: Germany
SALES
100% of the
products is sold
locally to wholesalers,
manufacturers and end-users.
MAJOR CUSTOMERS
Chaiwattana Tannery Group
Public Company Limited
Taveesin Tannery Co.,
Ltd.
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 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 T/T.
BANKING
Bangkok
Bank Public Co.,
Ltd.
EMPLOYMENT
The
subject currently employs
25 staff.
LOCATION
DETAILS
The premise
is owned for administrative office
and warehouse at
the heading address.
Premise is located
in provincial, on
the outskirts of
Bangkok.
COMMENT
The
subject is an
importer and distributor of
industrial chemicals for
tanning business. The subject’s
operating performance in
2014 was strong.
There was a demand
from local industry
which contributed to the subject’s
healthy sales.
FINANCIAL
INFORMATION
The
capital was registered
at Bht. 6,500,000
divided into 65,000
shares of Bht.
100 each with
fully paid.
THE
SHAREHOLDERS LISTED WERE
[as at
July 20, 2015]
|
NAME |
HOLDING |
% |
|
|
|
|
|
TFL Ledertechnik GmbH. Nationality: German Address : Im
Schwarzenbach 2 79576
Weil am Rhein, Germany |
64,998 |
100.00 |
|
TFL Holding GmbH. Nationality: German Address : Im
Schwarzenbach 2 79576
Weil am Rhein, Germany |
1 |
- |
|
TFL Hong Kong
Limited Nationality: Chinese Address : 223
Hing Fong Road,
Kow Fong, Hong Kong |
1 |
- |
Total Shareholders : 3
Share
Structure
[as at July
20, 2015]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
- |
- |
- |
|
Foreign |
3 |
65,000 |
100.00 |
|
Total |
3 |
65,000 |
100.00 |
NAME
OF AUDITOR &
CERTIFIED PUBLIC ACCOUNTANT
NO. :
Ms. Wannaporn
Jongpeeradechanont No. 4098
BALANCE
SHEET [BAHT]
The latest financial figures published
as at December
31, 2014, 2013
& 2012 were:
ASSETS
|
Current Assets |
2014 |
2013 |
2012 |
|
|
|
|
|
|
Cash and Cash Equivalents |
34,206,893 |
46,299,832 |
66,305,520 |
|
Trade Accounts Receivable
|
92,086,968 |
81,891,128 |
66,225,339 |
|
Related Company Receivable |
86,989 |
204,125 |
1,085,992 |
|
Inventories |
35,818,250 |
37,609,004 |
33,141,419 |
|
Other Current Assets
|
731,950 |
525,486 |
481,439 |
|
|
|
|
|
|
Total Current Assets
|
162,931,050 |
166,529,575 |
167,239,709 |
|
Equipment |
6,360,184 |
4,782,801 |
1,335,504 |
|
Intangible Assets |
215,457 |
14 |
25,485 |
|
Deposit |
1,238,900 |
1,202,880 |
1,266,720 |
|
Total Assets |
170,745,591 |
175,515,270 |
169,867,418 |
LIABILITIES &
SHAREHOLDERS’ EQUITY [BAHT]
|
Current
Liabilities |
2014 |
2013 |
2012 |
|
|
|
|
|
|
Trade Accounts Payable
|
29,807,216 |
30,188,760 |
34,544,442 |
|
Advance Payment from Related Company |
373,239 |
947,560 |
629,683 |
|
Accrued Income Tax |
939,015 |
4,355,689 |
4,055,059 |
|
Other Current Liabilities |
25,686,776 |
19,733,506 |
16,186,340 |
|
|
|
|
|
|
Total Current Liabilities |
56,806,246 |
55,225,515 |
55,415,524 |
|
|
|
|
|
|
Employee Benefits Obligation |
3,719,944 |
3,288,023 |
2,891,157 |
|
Total Liabilities |
60,526,190 |
58,513,538 |
58,306,681 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized and
issued share capital
65,000 shares |
6,500,000 |
6,500,000 |
6,500,000 |
|
|
|
|
|
|
Capital Paid |
6,500,000 |
6,500,000 |
6,500,000 |
|
Retained Earning Appropriated for Statutory
Reserve |
650,000 |
650,000 |
- |
|
Unappropriated |
103,069,401 |
106,851,732 |
105,060,737 |
|
Total Shareholders' Equity |
110,219,401 |
114,001,732 |
111,560,737 |
|
Total Liabilities &
Shareholders' Equity |
170,745,591 |
172,515,270 |
169,867,418 |
PROFIT
& LOSS ACCOUNT
|
Revenue |
2014 |
2013 |
2012 |
|
|
|
|
|
|
Sales Income |
441,175,461 |
399,254,374 |
391,259,435 |
|
Other Income |
3,766,968 |
9,800,701 |
4,286,339 |
|
Total Revenues |
444,942,429 |
409,055,075 |
395,545,774 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold |
334,567,547 |
300,622,971 |
292,890,878 |
|
Selling Expenses |
66,724,717 |
57,266,997 |
51,323,156 |
|
Administrative Expenses |
8,646,651 |
8,854,751 |
5,226,201 |
|
Total Expenses |
409,938,915 |
366,744,719 |
349,440,235 |
|
|
|
|
|
|
Profit before Financial
Cost & Income
Tax |
35,003,514 |
42,310,356 |
46,105,539 |
|
Financial Costs |
[2,945,482] |
[2,411,474] |
[2,231,007] |
|
Profit before Income
Tax |
32,058,032 |
39,898,882 |
43,874,532 |
|
Income Tax |
[5,940,363] |
[7,557,887] |
[8,887,051] |
|
|
|
|
|
|
Net Profit / [Loss] |
26,117,669 |
32,340,995 |
34,987,481 |
FINANCIAL
ANALYSIS
|
ITEM |
UNIT |
2014 |
2013 |
2012 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
2.87 |
3.02 |
3.02 |
|
QUICK RATIO |
TIMES |
2.22 |
2.32 |
2.41 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
69.37 |
83.48 |
292.97 |
|
TOTAL ASSETS TURNOVER |
TIMES |
2.58 |
2.31 |
2.30 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
39.08 |
45.66 |
41.30 |
|
INVENTORY TURNOVER |
TIMES |
9.34 |
7.99 |
8.84 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
76.19 |
74.87 |
61.78 |
|
RECEIVABLES TURNOVER |
TIMES |
4.79 |
4.88 |
5.91 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
32.52 |
36.65 |
43.05 |
|
CASH CONVERSION CYCLE |
DAYS |
82.74 |
83.87 |
60.03 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
75.84 |
75.30 |
74.86 |
|
SELLING & ADMINISTRATION |
% |
17.08 |
16.56 |
14.45 |
|
INTEREST |
% |
0.67 |
0.60 |
0.57 |
|
GROSS PROFIT MARGIN |
% |
25.02 |
27.16 |
26.24 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
7.93 |
10.60 |
11.78 |
|
NET PROFIT MARGIN |
% |
5.92 |
8.10 |
8.94 |
|
RETURN ON EQUITY |
% |
23.70 |
28.37 |
31.36 |
|
RETURN ON ASSET |
% |
15.30 |
18.75 |
20.60 |
|
EARNING PER SHARE |
BAHT |
401.81 |
497.55 |
538.27 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.35 |
0.34 |
0.34 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.55 |
0.51 |
0.52 |
|
TIME INTEREST EARNED |
TIMES |
11.88 |
17.55 |
20.67 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
10.50 |
2.04 |
|
|
OPERATING PROFIT |
% |
(17.27) |
(8.23) |
|
|
NET PROFIT |
% |
(19.24) |
(7.56) |
|
|
FIXED ASSETS |
% |
32.98 |
258.13 |
|
|
TOTAL ASSETS |
% |
(1.03) |
1.56 |
|
ANNUAL
GROWTH : ACCEPTABLE
An annual sales growth is 10.5%. Turnover has increased from THB
399,254,374.00 in 2013 to THB 441,175,461.00 in 2014. While net profit has
decreased from THB 32,340,995.00 in 2013 to THB 26,117,669.00 in 2014. And
total assets has decreased from THB 172,515,270.00 in 2013 to THB
170,745,591.00 in 2014.
PROFITABILITY :
EXCELLENT
PROFITABILITY
RATIO
|
Gross Profit Margin |
25.02 |
Impressive |
Industrial Average |
0.91 |
|
Net Profit Margin |
5.92 |
Impressive |
Industrial Average |
2.22 |
|
Return on Assets |
15.30 |
Impressive |
Industrial Average |
7.20 |
|
Return on Equity |
23.70 |
Impressive |
Industrial Average |
12.95 |
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
25.02%. When compared with the industry average, the ratio of the
company was higher, indicated that company 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 5.92%,
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. Return on Assets ratio is
15.3%, higher figure when compared with those of its average competitors in the
same industry, indicated that business 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. Return on Equity ratio
is 23.7%, higher figure when compared with those of its average competitors in
the same industry, indicated that business was an efficient profit in a dominant position within its industry.
Trend of the
average competitors in the same industry for last 5 years
Return on Assets Uptrend
Return on Equity Uptrend
LIQUIDITY :
IMPRESSIVE
LIQUIDITY RATIO
|
Current Ratio |
2.87 |
Impressive |
Industrial Average |
1.76 |
|
Quick Ratio |
2.22 |
|
|
|
|
Cash Conversion Cycle |
82.74 |
|
|
|
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 2.87 times in 2014, decrease from 3.02 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 2.22 times in 2014,
decrease from 2.32 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 83 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE :
EXCELLENT
LEVERAGE RATIO
|
Debt Ratio |
0.35 |
Impressive |
Industrial Average |
0.51 |
|
Debt to Equity Ratio |
0.55 |
Impressive |
Industrial Average |
1.05 |
|
Times Interest Earned |
11.88 |
Impressive |
Industrial Average |
- |
Debt to Equity Ratio a measurement of how much suppliers, lenders,
creditors and obligors have committed to the company versus what the
shareholders have committed. A lower the percentage means that the company is
using less leverage and has a stronger equity position.
Times Interest Earned measuring a company's ability to meet its debt
obligations. Ratio is 11.89 higher than 1, so the company can pay interest
expenses on outstanding debt.
Debt Ratio shows the proportion of a company's assets which are financed
through debt. The company's figure is 0.35 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 :
SATISFACTORY
ACTIVITY RATIO
|
Fixed Assets Turnover |
69.37 |
Impressive |
Industrial Average |
- |
|
Total Assets Turnover |
2.58 |
Satisfactory |
Industrial Average |
3.24 |
|
Inventory Conversion Period |
39.08 |
|
|
|
|
Inventory Turnover |
9.34 |
Deteriorated |
Industrial Average |
25.28 |
|
Receivables Conversion Period |
76.19 |
|
|
|
|
Receivables Turnover |
4.79 |
Acceptable |
Industrial Average |
6.54 |
|
Payables Conversion Period |
32.52 |
|
|
|
The company's Account Receivable Ratio is calculated as 4.79 and 4.88 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 decreased from 46 days at the
end of 2013 to 39 days at the end of 2014. This represents a positive trend.
And Inventory turnover has increased from 7.99 times in year 2013 to 9.34 times
in year 2014.
The company's Total Asset Turnover is calculated as 2.58 times and 2.31
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.66.80 |
|
|
1 |
Rs.100.49 |
|
Euro |
1 |
Rs.72.52 |
|
Thai Baht |
1 |
Rs.1.86 |
Note :
Above are approximate rates obtained from sources believed to be correct
INFORMATION DETAILS
|
Analysis Done by
: |
KAS |
|
|
|
|
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.