MIRA INFORM REPORT

 

 

Report No. :

354029

Report Date :

10.12.2015

 

IDENTIFICATION DETAILS

 

Name :

DSD DERI SANAYICILERI DIS TICARET A.S.

 

 

Registered Office :

Prof. M. Aksoy Cad. No1/1 Olivium Ek Carsi 5. Buro Kati No:3-4 Zeytinburnu Istanbul

 

 

Country :

Turkey

 

 

Financials (as on) :

31.12.2014

 

 

Date of Incorporation :

05.10.1998

 

 

Com. Reg. No.:

404589

 

 

Legal Form :

Joint Stock Company

 

 

Line of Business :

The subject performs the foreign trade activities of the companies operating at leather sector to benefit from co-operation.

 

 

No. of Employee :               

54

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Status :

Moderate

 

 

Payment Behaviour :

Slow but correct

 

 

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)

Turkey

B1

B1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

TURKEY - ECONOMIC OVERVIEW

 

Turkey's largely free-market economy is increasingly driven by its industry and service sectors, although its traditional agriculture sector still accounts for about 25% of employment. An aggressive privatization program has reduced state involvement in basic industry, banking, transport, and communication, and an emerging cadre of middle-class entrepreneurs is adding dynamism to the economy and expanding production beyond the traditional textiles and clothing sectors. The automotive, construction, and electronics industries are rising in importance and have surpassed textiles within Turkey's export mix.

Oil began to flow through the Baku-Tbilisi-Ceyhan pipeline in May 2006, marking a major milestone that has brought up to 1 million barrels per day from the Caspian region to market. Several gas pipeline projects also are moving forward to help transport Caspian gas to Europe through Turkey, which over the long term will help address Turkey's dependence on imported oil and gas, which currently meets 97% of its energy needs.

After Turkey experienced a severe financial crisis in 2001, Ankara adopted financial and fiscal reforms as part of an IMF program. The reforms strengthened the country's economic fundamentals and ushered in an era of strong growth averaging more than 6% annually until 2008. Global economic conditions and tighter fiscal policy caused GDP to contract in 2009, but Turkey's well-regulated financial markets and banking system helped the country weather the global financial crisis, and GDP rebounded strongly to around 9% in 2010-11, as exports returned to normal levels following the recession. Two rating agencies upgraded Turkey's debt to investment grade in 2012 and 2013, and Turkey's public sector debt to GDP ratio fell to 33% in 2014. The stock value of Foreign Direct Investment reached nearly $195 billion at year-end 2014.

Despite these positive trends, GDP growth dropped to 4.4% in 2013 and 2.9% in 2014. Growth slowed considerably in the last quarter of 2014, largely due to lackluster consumer demand both domestically and in Europe, Turkey’s most important export market. High interest rates have also contributed to the slowdown in growth, as Turkey sharply increased interest rates in January 2014 in order to strengthen the country’s currency and reduce inflation. Turkey then cut rates in February 2015 in a bid to spur economic growth.

The Turkish economy retains significant weaknesses. Specifically, Turkey's relatively high current account deficit, domestic political uncertainty, and turmoil within Turkey's neighborhood leave the economy vulnerable to destabilizing shifts in investor confidence. Turkey also remains dependent on often volatile, short-term investment to finance its large current account deficit.

 

Source : CIA

 

COMPANY IDENTIFICATION

 

 

NAME

:

DSD DERI SANAYICILERI DIS TICARET A.S.

HEAD OFFICE ADDRESS

:

Prof. M. Aksoy Cad. No1/1 Olivium Ek Carsi 5. Buro Kati No:3-4 Zeytinburnu Istanbul / Turkey

PHONE NUMBER

:

90-212-546 06 76

 

FAX NUMBER

:

90-212-546 06 56

 

WEB-ADDRESS

:

www.dsd.com.tr

E-MAIL

:

dsd@dsd.com.tr

 

 

LEGAL STATUS AND HISTORY

 

 

TAX OFFICE

:

Marmara Kurumlar

TAX NO

:

3130111892

REGISTRATION NUMBER

:

404589

REGISTERED OFFICE

:

Istanbul Chamber of Commerce

DATE ESTABLISHED

:

05.10.1998

ESTABLISHMENT GAZETTE DATE /NO

:

19.10.1998/4651

LEGAL FORM

:

Joint Stock Company

TYPE OF COMPANY

:

Private

REGISTERED CAPITAL

:

TL   9.545.250

 

HISTORY

:

Previous Registered Capital

:

TL 7.042.125

Changed On

:

19.06.2008 (Commercial Gazette Date /Number 24.06.2008/ 7090)

Other Changes

:

The registered capital was reduced from TL 23.200.000 to TL 9.545.250 on 07.10.2011 with the decision of Bakirkoy 5. Court of First Instance dated 10.05.2011 numbered 2011/123.

Changed On

:

07.10.2011 (Commercial Gazette Date /Number 13.10.2011/ 7920)

 

 

OWNERSHIP / MANAGEMENT

 

 

REMARKS ON SHAREHOLDERS

:

The subject has more than 125 shareholders which operate at leather sector.

 

 

SUBSIDIARIES

:

DSD SIGORTA ARACILIK HIZMETLERI A.S.

 

DSD TURISTIK ARACILIK VE DANISMANLIK HIZMETLERI A.S.

 

BOARD OF DIRECTORS

:

Yucel Yilmaz

Chairman

Yakup Teleke

Vice-Chairman

Mehmet Ali Dinc

Member

Musa Sahin

Member

Seydi Akcor

Member

Cem Ozdogan

Member

Mehmet Ozyurt

Member

Mehmet Senocak

Member

 

 

DIRECTORS

:

Ahmet Karahan

General Manager

 

 

OPERATIONS

 

 

BUSINESS ACTIVITIES

:

The subject performs the foreign trade activities of the companies operating at leather sector to benefit from co-operation.

 

NUMBER OF EMPLOYEES

:

54

 

NET SALES

:

372.059 TL Thousand

(2012) 

385.315 TL Thousand

(2013) 

323.825 TL Thousand

(2014) 

112.307 TL Thousand

(01.01-30.06.2015) 

 

 

 

CAPACITY

:

None

 

PRODUCTION

:

None

 

IMPORT VALUE

:

0 TL

(2011)

0 TL

(2012)

0 TL

(2013)

0 TL

(2014)

0 TL

(01.01-31.10.2015)

 

 

EXPORT VALUE

:

346.420 TL Thousand

(2012)

354.511 TL Thousand

(2013)

321.268 TL Thousand

(2014)

112.289 TL Thousand

(01.01-30.06.2015)

 

 

EXPORT COUNTRIES

:

Russia

Ukraine

 

MERCHANDISE  EXPORTED

:

Leather

 

HEAD OFFICE ADDRESS

:

Prof. M. Aksoy Cad. No1/1 Olivium Ek Carsi 5. Buro Kati No:3-4 Zeytinburnu Istanbul / Turkey

 

BRANCHES

:

Liaison Office  :  Sabiha Gokcen Havalimani Istanbul/Turkey

 

Liaison Office  :  Corlu Havalimani Tekirdag/Turkey

 

INVESTMENTS

:

None

 

 

TREND OF BUSINESS

:

There was a decline at business volume in nominal terms in 2014. There appears a decline at business volume in nominal terms in 1.1 - 30.6.2015.

SIZE OF BUSINESS

:

Large

 

 

FINANCE

 

 

MAIN DEALING BANKS

:

Akbank Ikitelli Ticari Branch

T. Is Bankasi Ataturk Havalimani Branch

Yapi ve Kredi Bankasi Dunya Ticaret Merkezi Branch

 

CREDIT FACILITIES

:

The subject company is making use of credit facilities.

 

PAYMENT BEHAVIOUR

:

No payment delays have come to our knowledge.

 

KEY FINANCIAL ELEMENTS

:

 

(2013) TL Thousand

(2014) TL Thousand

(01.01-30.06.2015) TL Thousand

 

 

Net Sales

385.315

323.825

112.307

 

 

Profit (Loss) Before Tax

14.870

-140

-1.096

 

 

Stockholders' Equity

18.685

10.059

 

 

 

Total Assets

91.733

41.710

 

 

 

Current Assets

89.214

25.437

 

 

 

Non-Current Assets

2.519

16.273

 

 

 

Current Liabilities

73.048

25.203

 

 

 

Long-Term Liabilities

0

6.448

 

 

 

Gross Profit (loss)

621

221

-766

 

 

Operating Profit (loss)

-4.738

-5.008

-2.369

 

 

Net Profit (loss)

11.876

-156

-1.096

 

 

 

 

COMMENT ON FINANCIAL POSITION

 

Capitalization

Insufficient As of 31.12.2014

Liquidity

Insufficient As of 31.12.2014

Remarks On Liquidity

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

 

Profitability

Operating Loss  in 2013

In Order Net Profitability  in 2013

Operating Loss  in 2014

Net Loss  in 2014

Gross Loss (01.01-30.06.2015)

Operating Loss (01.01-30.06.2015)

Net Loss (01.01-30.06.2015)

 

Gap between average collection and payable periods

Favorable in 2014

General Financial Position

Not in order

 

 

 

Incr. in producers’ price index

 

Average USD/TL

Average EUR/TL

Average GBP/ TL

 ( 2011 )

13,33 %

1,6797

2,3378

2,6863

 ( 2012 )

2,45 %

1,7995

2,3265

2,8593

 ( 2013 )

6,97 %

1,9179

2,5530

3,0178

 ( 2014 )

6,36 %

2,1891

2,8989

3,6060

 ( 01.01-30.06.2015)

5,49 %

2,5568

2,8727

3,9250

 ( 01.01-31.10.2015)

7,59 %

2,6873

3,0050

4,1301

 ( 01.01-30.11.2015)

6,06 %

2,7064

3,0117

4,1515

 

           

BALANCE SHEETS

 

 

 

 ( 31.12.2013 )  TL Thousand

 

 ( 31.12.2014 )  TL Thousand

 

CURRENT ASSETS

89.214

0,97

25.437

0,61

Not Detailed Current Assets

0

0,00

0

0,00

Cash and Banks

34.804

0,38

853

0,02

Marketable Securities

540

0,01

0

0,00

Account Receivable

44.219

0,48

15.987

0,38

Other Receivable

390

0,00

507

0,01

Inventories

3.190

0,03

2.770

0,07

Advances Given

25

0,00

253

0,01

Accumulated Construction Expense

0

0,00

0

0,00

Other Current Assets

6.046

0,07

5.067

0,12

NON-CURRENT ASSETS

2.519

0,03

16.273

0,39

Not Detailed Non-Current Assets

0

0,00

0

0,00

Long-term Receivable

46

0,00

49

0,00

Financial Assets

2.251

0,02

2.751

0,07

Tangible Fixed Assets (net)

141

0,00

12.134

0,29

Intangible Assets

36

0,00

54

0,00

Deferred Tax Assets

0

0,00

0

0,00

Other Non-Current Assets

45

0,00

1.285

0,03

TOTAL ASSETS

91.733

1,00

41.710

1,00

CURRENT LIABILITIES

73.048

0,80

25.203

0,60

Not Detailed Current Liabilities

0

0,00

0

0,00

Financial Loans

19.208

0,21

1.582

0,04

Accounts Payable

51.451

0,56

23.302

0,56

Loans from Shareholders

67

0,00

268

0,01

Other Short-term Payable

37

0,00

6

0,00

Advances from Customers

17

0,00

174

0,00

Accumulated Construction Income

0

0,00

0

0,00

Taxes Payable

2.226

0,02

43

0,00

Provisions

0

0,00

-228

-0,01

Other Current Liabilities

42

0,00

56

0,00

LONG-TERM LIABILITIES

0

0,00

6.448

0,15

Not Detailed Long-term Liabilities

0

0,00

0

0,00

Financial Loans

0

0,00

6.448

0,15

Securities Issued

0

0,00

0

0,00

Long-term Payable

0

0,00

0

0,00

Loans from Shareholders

0

0,00

0

0,00

Other Long-term Liabilities

0

0,00

0

0,00

Provisions

0

0,00

0

0,00

STOCKHOLDERS' EQUITY

18.685

0,20

10.059

0,24

Not Detailed Stockholders' Equity

18.685

0,20

10.059

0,24

Paid-in Capital

0

0,00

0

0,00

Cross Shareholding Adjustment of Capital

0

0,00

0

0,00

Inflation Adjustment of Capital

0

0,00

0

0,00

Equity of Consolidated Firms

0

0,00

0

0,00

Reserves

0

0,00

0

0,00

Revaluation Fund

0

0,00

0

0,00

Accumulated Losses(-)

0

0,00

0

0,00

Net Profit (loss)

0

0,00

0

0,00

TOTAL LIABILITIES AND EQUITY

91.733

1,00

41.710

1,00

 

REMARKS ON FINANCIAL STATEMENT

:

At the financial statements according to TAS, "Cheques Received" and "Outstanding Cheques" figures are under "Cash And Banks" figure. Beginning from the financial statements of 31.12.2011, "Cheques Received" and "Outstanding Cheques" figures are given under "Account Receivable" figure and "Account Payable" figure respectively.

 

In the sub-items of "Account Receivable", TL thousand 1.563 is "Doubtful Trade Receivables" and -TL thousand 1.552 is "Provision for Doubtful Trade Receivables" at the last balance sheet.

 

The details of "Other Receivable" figure at the last balance sheet (TL Thousand): Due From Shareholders: 0, Due From Participations: 0, Due From Affiliated Companies: 0, Due From Personnel: 0, Other Miscellaneous Receivables: 507, Other Receivable Total: 507

 

TL thousand 0 of "Tax Payable" is due to "Overdue, Delayed or Deferred Tax by Installments and Other Liabilities" at the last balance sheet.

 

At the last income statement TL thousand 12.095 of the other income is due to "Profit from Foreign Currency Exchange".

 

At the last income statement TL thousand 12.014 of the other expenses is due to "Loss from Foreign Currency Exchange".

 

 

 

INCOME STATEMENTS

 

 

(2013) TL Thousand

 

(2014) TL Thousand

 

(01.01-30.06.2015) TL Thousand

 

Net Sales

385.315

1,00

323.825

1,00

112.307

1,00

Cost of Goods Sold

384.694

1,00

323.604

1,00

113.073

1,01

Gross Profit

621

0,00

221

0,00

-766

-0,01

Operating Expenses

5.359

0,01

5.229

0,02

1.603

0,01

Operating Profit

-4.738

-0,01

-5.008

-0,02

-2.369

-0,02

Other Income

44.514

0,12

38.848

0,12

13.526

0,12

Other Expenses

24.066

0,06

33.682

0,10

12.025

0,11

Financial Expenses

840

0,00

298

0,00

228

0,00

Minority Interests

0

0,00

0

0,00

0

0,00

Profit (loss) of consolidated firms

0

0,00

0

0,00

0

0,00

Profit (loss) Before Tax

14.870

0,04

-140

0,00

-1.096

-0,01

Tax Payable

2.994

0,01

16

0,00

0

0,00

Postponed Tax Gain

0

0,00

0

0,00

0

0,00

Net Profit (loss)

11.876

0,03

-156

0,00

-1.096

-0,01

 

 

FINANCIAL RATIOS

 

 

(2013)

(2014)

LIQUIDITY RATIOS

 

 

Current Ratio

1,22

1,01

Acid-Test Ratio

1,09

0,69

Cash Ratio

0,48

0,03

ASSET STRUCTURE RATIOS

 

 

Inventory/Total Assets

0,03

0,07

Short-term Receivable/Total Assets

0,49

0,40

Tangible Assets/Total Assets

0,00

0,29

TURNOVER RATIOS

 

 

Inventory Turnover

120,59

116,82

Stockholders' Equity Turnover

20,62

32,19

Asset Turnover

4,20

7,76

FINANCIAL STRUCTURE

 

 

Stockholders' Equity/Total Assets

0,20

0,24

Current Liabilities/Total Assets

0,80

0,60

Financial Leverage

0,80

0,76

Gearing Percentage

3,91

3,15

PROFITABILITY RATIOS

 

 

Net Profit/Stockholders' Eq.

0,64

-0,02

Operating Profit Margin

-0,01

-0,02

Net Profit Margin

0,03

0,00

Interest Cover

18,70

0,53

COLLECTION-PAYMENT

 

 

Average Collection Period (days)

41,36

17,83

Average Payable Period (days)

48,15

25,92

WORKING CAPITAL

16166,00

234,00

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.66.75

UK Pound

1

Rs.100.29

Euro

1

Rs.72.89

TRY

1

Rs. 22.91

Note : Above are approximate rates obtained from sources believed to be correct

 

 

INFORMATION DETAILS

 

Analysis Done by :

KAS

 

 

Report Prepared by :

ASH

 

 

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.