MIRA INFORM REPORT
|
Report No. : |
355741 |
|
Report Date : |
19.12.2015 |
IDENTIFICATION DETAILS
|
Name : |
WORLD SHINER PTY LTD |
|
|
|
|
Registered Office : |
Suite 301, Level 3, The Cullinan Building, 70 Castlereagh Street,
Sydney, New South Wales NSW 2000 |
|
|
|
|
Country : |
Australia
|
|
|
|
|
Financials (as on) : |
30.06.2014 |
|
|
|
|
Date of Incorporation : |
21.10.1996 |
|
|
|
|
Com. Reg. No.: |
ACN: 076056356 |
|
|
|
|
Legal Form : |
Australian Proprietary Company |
|
|
|
|
Line of Business : |
The Subject is engaged in wholesale distribution of diamond and
jewellery. The jewellery range includes rings, earrings, pendants and
bracelets. |
|
|
|
|
No. of Employees : |
20 [Estimated] |
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) |
|
Australia |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
AUSTRALIA - ECONOMIC OVERVIEW
Following two decades of continuous growth, low
unemployment, contained inflation, very low public debt, and a strong and
stable financial system, Australia enters 2015 facing a range of growth
constraints, principally driven by a sharp fall in global prices of key export
commodities. Although demand for resources and energy from Asia and especially
China has grown rapidly, creating a channel for resources investments and
growth in commodity exports, sharp drops in current prices have already
impacted growth. The services sector is the largest part of the Australian
economy, accounting for about 70% of GDP and 75% of jobs. Australia was
comparatively unaffected by the global financial crisis as the banking system
has remained strong and inflation is under control. Australia has benefited
from a dramatic surge in its terms of trade in recent years, although this
trend could reverse or slow due to falling global commodity prices. Australia
is a significant exporter of natural resources, energy, and food. Australia's
abundant and diverse natural resources attract high levels of foreign
investment and include extensive reserves of coal, iron, copper, gold, natural
gas, uranium, and renewable energy sources. A series of major investments, such
as the US$40 billion Gorgon Liquid Natural Gas project, will significantly
expand the resources sector. Australia is an open market with minimal
restrictions on imports of goods and services. The process of opening up has
increased productivity, stimulated growth, and made the economy more flexible
and dynamic. Australia plays an active role in the World Trade Organization,
APEC, the G20, and other trade forums. Australia entered into free trade
agreements (FTAs) with the Republic of Korea and Japan, and concluded an FTA
with China, in 2014, adding to existing FTAs with Chile, Malaysia, New Zealand,
Singapore, Thailand, and the US, and a regional FTA with ASEAN and New Zealand.
Australia continues to negotiate bilateral agreements with India and Indonesia,
as well as larger agreements with its Pacific neighbors and the Gulf
Cooperation Council countries, and an Asia-wide Regional Comprehensive Economic
Partnership that includes the ten ASEAN countries and China, Japan, Korea, New
Zealand and India. Australia is also working on the Trans-Pacific Partnership
Agreement with Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand,
Peru, Singapore, the US, and Vietnam.
|
Source
: CIA |
IDENTIFICATION
|
|||
|
|
|||
|
Subject name: |
|||
|
Address: |
Suite 301, Level 3, The Cullinan Building 70 Castlereagh Street |
||
|
Town: |
|||
|
State/province: |
|||
|
Zip/postal code: |
|||
|
Country: |
|||
|
Telephone: |
|||
|
Fax: |
|||
|
Email: |
|||
|
Website: |
|||
|
Remarks: |
The Subject's registered address is: C/- S R SHETH & CO PTY LTD Unit 4, 96 Wigram Street Harris Park, NSW 2150 Australia |
||
|
|
|
||
EXECUTIVE SUMMARY
|
|||
|
|
|
||
|
Date registered: |
|||
|
Legal form: |
|||
|
Main activities: |
|||
|
Employees: |
|||
|
|
|
||
REGISTRY DATA
|
|||
|
Key Facts |
|
||
|
Date registered: |
|||
|
Legal form: |
|||
|
Registration no: |
|||
|
Registry auth.: |
|||
|
Tax number: |
|||
|
Registry status: |
|||
|
|
|
||
LEGAL FILINGS
|
|||
|
|
|
||
|
Bankruptcy
filings: |
|||
|
Court
judgements: |
|||
|
Tax liens: |
|||
|
Other: |
|||
|
|
|
||
MANAGEMENT & STAFF
|
|||
|
|
|||
|
|
|
||
|
Name: |
Maulin Shah |
||
|
Job title: |
Director and Company Secretary |
||
|
|
|
||
|
|
|||
|
No of employees |
|||
|
|
|
||
BOARD OF DIRECTORS / OTHER APPOINTMENTS
|
|||
|
|
|||
|
Unit 3081, 3 Parkland Boulevard Brisbane, QLD 4000 Australia |
|||
|
|
|
||
|
Name: |
Maulin Shah |
||
|
Board function: |
Director and Company Secretary |
||
|
Date appointed: |
05-10-2008 |
||
|
Address: |
Unit 804, 80 Lorimer Street Docklands, VIC 3008 Australia |
||
|
Biography: |
Born: 17/08/1977 in Ahmedabad, India |
||
|
|
|
||
SHARE CAPITAL
|
|||
|
Composition |
|
||
|
Authorised: |
|||
|
Number/type: |
|||
|
Share value: |
|||
|
Issued: |
|||
|
Paid-up: |
|||
|
|
|||
Shareholders/Owners
|
|||
|
|
|
||
|
|
|
||
|
|
|||
|
Suit 1003, Khalid Al Attar Tower Sheikh Zayed
Road Dubai United Arab
Emirates |
|||
|
|
|
||
CORPORATE AFFILIATIONS
|
|||
|
|
|||
|
Suit 1003, Khalid Al Attar Tower Sheikh Zayed
Road Dubai United Arab
Emirates |
|||
|
|
|
||
|
Name: |
DIAMANTRA GMBH |
||
|
Affiliation type: |
Associate |
||
|
Address: |
Germany |
||
|
|
|
||
|
Name: |
DIAMANTRA, INC. |
||
|
Affiliation type: |
Associate |
||
|
Address: |
USA |
||
|
|
|
||
|
Name: |
WORLD SHINER
(U.K.) LTD. |
||
|
Affiliation type: |
Associate |
||
|
Address: |
United Kingdom |
||
|
|
|
||
|
Name: |
WORLD SHINER
B.V.B.A |
||
|
Affiliation type: |
Associate |
||
|
Address: |
Belgium |
||
|
|
|
||
|
Name: |
WORLD SHINER
CANADA INC. |
||
|
Affiliation type: |
Associate |
||
|
Address: |
Canada |
||
|
|
|
||
|
Name: |
WORLD SHINER KK |
||
|
Affiliation type: |
Associate |
||
|
Address: |
Japan |
||
|
|
|
||
|
Name: |
WORLD SHINER S.
L. |
||
|
Affiliation type: |
Associate |
||
|
Address: |
Spain |
||
|
|
|
||
BANKING & FINANCING
|
|||
|
|
|||
|
|
|
||
|
It is generally not the policy of local
banks to provide credit status information to non-bona fide applications, and
interested parties would be advised to consult first with the Subject if
banker's references are required. |
|||
|
|
|
||
FINANCIAL ACCOUNTS
|
|||
|
|
|||
|
Required to file: |
|||
|
Source: |
|||
|
Presentation: |
|||
|
Date of accounts: |
|||
|
Type of accounts: |
|||
|
Currency: |
|||
|
Exchange rate: |
|||
|
|
|
||
|
|
|||
|
|
|||
|
|
|
|
|
|
|
|
||
OPERATIONS & HISTORY
|
|||
|
|
|||
|
Full description: |
The Subject is engaged in wholesale distribution
of diamond and jewellery. The jewellery range includes rings, earrings,
pendants and bracelets. |
||
PROPERTY & ASSETS
|
|||
|
|
|
||
|
The Subject principally operates from premises located
at the heading address, consisting of administrative offices. |
|||
|
|
|
||
|
227 Collins
Street Melbourne, VIC
3000 Australia Suite 306-307,
National Bank Building 180, Queen
Street Brisbane, QLD
4000 Australia P.O. BOX - 5110
Canning Value South Western
Australia Perth, WA 6155 Australia |
|||
|
|
|
||
PAYMENTS
|
|||
|
|
|||
|
Local: |
Credits 14-30
days |
||
|
Imports: |
Credits 30 days
net |
||
|
|
|
||
|
|
|||
|
Local: |
Credits 14-30
days |
||
|
Exports: |
Credits 30 days
net |
||
|
|
|
||
|
|
|
||
|
|
|||
|
As trade references were not supplied, the
Subject's payment track record history CANNOT BE ACCURATELY DETERMINED, but
payments are believed to be PROMPT. |
|||
|
|
|||
INVESTIGATIVE NOTES
|
|||
|
|
|
||
|
Sources: |
Interviews and material provided by the Subject Other official
and local business sources |
||
|
|
|
||
ATTACHMENTS
|
|||
|
|
|
||
|
Attachments: |
Financial ratios |
||
Financial Ratios
|
|||
|
|
30-06-2014 |
30-06-2013 |
Trend |
|
PROFITABILITY
[%] |
|
|
|
|
Gross Margin |
N/A |
N/A |
N/A |
|
Gross Profit / Sales Turnover * 100 |
|
|
|
|
Operating Margin |
N/A |
N/A |
N/A |
|
Operating Profit / Sales Turnover *
100 |
|
|
|
|
Net Profit Margin |
0.35% |
-0.55% |
163.64% |
|
Profit After Tax / Sales
Turnover * 100 |
|
|
|
|
Return On Equity (ROE) |
4.18% |
-6.49% |
164.41% |
|
Profit After Tax / Equity * 100 |
|
|
|
|
Return On Assets (ROA) |
0.61% |
-0.97% |
162.89% |
|
Profit After Tax / Total Assets *
100 |
|
|
|
|
Return On Investment (ROI) |
6.81% |
-5.05% |
234.85% |
|
Profit Before Tax / Equity *
100 |
|
|
|
|
EFFICIENCY [%] |
|
|
|
|
Asset
Turnover |
176.06% |
177.16% |
-0.62% |
|
Sales Turnover / Total Assets * 100 |
|
|
|
|
Inventory
Turnover |
287.77% |
274.84% |
4.7% |
|
Sales Turnover / Inventory * 100 |
|
|
|
|
LIQUIDITY [%] |
|
|
|
|
Current
Ratio (CR) |
113.84% |
117.09% |
-2.78% |
|
Current Assets / Current
Liabilities * 100 |
|
|
|
|
Quick
Ratio (QR) |
42.14% |
41.25% |
2.16% |
|
(Current Assets – Inventory) /
Current Liabilities * 100 |
|
|
|
|
DEBT [%] |
|
|
|
|
Debt
Ratio |
85.32% |
84.99% |
0.39% |
|
Total Liabilities / Total Assets * 100 |
|
|
|
|
Long-Term
Debt Ratio |
0% |
0% |
0% |
|
Long-Term Liabilities / Equity *
100 |
|
|
|
DIAMOND INDUSTRY – INDIA
-
From time immemorial, India is well known in the world
as the birthplace for diamonds. It is difficult to trace the origin of
diamonds but history says that in the remote past, diamonds were mined only in
India. Diamond production in India can be traced back to almost 8th
Century B.C. India, in fact, remained undisputed leader till 18th
Century when Brazilian fields were discovered in 1725 followed by emergence of
S. Africa, Russia and Australia.
-
The achievement of the Indian diamond industry was
possible only due to combination of the manufacturing skills of the Indian
workforce and the untiring and unflagging efforts of the Indian diamantaires,
supported by progressive Government policies.
-
The area of study of family owned diamond businesses
derives its importance from the huge conglomerate of family run organizations
which operate in the diamond industry since many generations.
-
Some of the basic traits of family run business
enterprises include spirit of entrepreneurship, mutual trust lowers transaction
costs, small, nimble and quick to react, information as a source of advantage
and philanthropy.
-
Family owned diamond businesses need to improve on
many fronts including higher standard of corporate governance, long-term
performance – focused strategies, modern management and technology.
-
Utmost caution is to be exercised while dealing with
some medium and large diamond traders which are usually engaged in fictitious
import – export, inter-company transactions, financially assisted by banks. In
the process, several public sector banks lost several hundred million rupees.
They mostly diverted borrowed money for diamond business into real estate and
capital markets.
-
Excerpts from Times of India dated 30th
October 2010 is as under –
-
Gem & Jewellery Export Promotion Council in its statistical
data has shown the export of polished diamonds to have increase by 28 % in
February 2013. Compared to $ 1.4 bn worth of polished diamond export in
February, 2012, India exported $ 1.84 billion worth of polished diamonds in
February 2013. A senior executive of GJEPC said, “Export of cut and polished
diamonds started falling month-wise after the imposition of 2 % of import duty
on the polished diamonds. But February, 2013 has given a new ray of hope to the
industry as the export of polished diamonds has actually increased by 28 %. It
means the industry is on the track of recovery and round tripping of
diamonds has stopped completely.” Demand has started coming from the US, the
UK, Japan and China. India’s polished diamond export is expected to cross $ 21
bn in 2013-14.
-
The banking sector has started exercising restraint
while following prudent risk management norms when lending money to gems and
jewellery sector. This follows the implementation of Basel III accord – a
global voluntary regulatory standard on bank capital adequacy, stress testing
and market liquidity.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.66.42 |
|
|
1 |
Rs.99.17 |
|
Euro |
1 |
Rs.72.14 |
|
AUD |
1 |
Rs.47.57 |
Note :
Above are approximate rates obtained from sources believed to be correct
INFORMATION DETAILS
|
Analysis Done by
: |
KIN |
|
|
|
|
Report Prepared
by : |
TRU |
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.