MIRA INFORM REPORT
|
Report No. : |
356560 |
|
Report Date : |
26.12.2015 |
IDENTIFICATION DETAILS
|
Name : |
MAHAPHANT FIBRE - CEMENT PUBLIC COMPANY LIMITED |
|
|
|
|
Formerly Known As : |
MAHAPHANT FIBRE - CEMENT CO., LTD.” |
|
|
|
|
Registered Office : |
2426/3 Mahaphant Building, New Road,
Bangkorlaem, Bangkok 10120 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2014 |
|
|
|
|
Date of Incorporation : |
30.06.1983 |
|
|
|
|
Com. Reg. No.: |
0107536001010 |
|
|
|
|
Legal Form : |
Public Limited Company |
|
|
|
|
Line of Business : |
Manufacturer of Fibre Cement. |
|
|
|
|
No. of Employees : |
1,500 |
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 : |
Good |
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|
|
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Payment Behaviour : |
Regular |
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|
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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 – 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
MAHAPHANT FIBRE -
CEMENT PUBLIC COMPANY LIMITED
SUMMARY
BUSINESS
ADDRESS : 2426/3 MAHAPHANT
BUILDING, NEW ROAD,
BANGKORLAEM, BANGKOK
10120, THAILAND
TELEPHONE : [66] 2291-2888
FAX :
[66] 2291-4132-3,
2291-1435
E-MAIL
ADDRESS : contact_center@mahaphant.com
sheracallcenter@sherasolution.com
REGISTRATION
ADDRESS : 99
MOO 9, PETCHKASEM ROAD,
RAIKHING,
SAMPRAN, NAKORNPATHOM
73210, THAILAND
ESTABLISHED
: 1983
REGISTRATION
NO. : 0107536001010 [Former : BOR. MOR. JOR. 175]
TAX
ID NO. : 3101249132
CAPITAL REGISTERED : BHT. 500,000,000
CAPITAL PAID-UP : BHT.
470,000,000
SHAREHOLDER’S PROPORTION : THAI : 51.06^
HONG KONG : 48.94%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PUBLIC LIMITED
COMPANY
EXECUTIVE : MR.
ONGEK TAECHAMAHAPHANT, THAI
PRESIDENT &
CEO [ARCHITECTURAL SKIN]
NO.
OF STAFF : 1,500
LINES
OF BUSINESS : FIBRE
CEMENT
MANUFACTURER
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 June
30, 1983 as a
private limited company under
the registered name “Mahaphant
Fibre - Cement Co., Ltd.”
by Mr.
Prawat Taechamahaphant, who is the
founder.
The subject is one
of the
Mahaphant Group of Companies
which are engaged
in fibre cement
manufacture and construction
business.
On September 14,
1993 the subject’s
status was converted
to a public
limited company under
the name MAHAPHANT
FIBRE - CEMENT PUBLIC COMPANY
LIMITED and acting
as a holding
company of building
materials business. It
currently employs approximately 1,500
staff.
The major shareholders
are Mahaphant Interholding
Limited, Hong Kong
and Mahaphant Holding
Co., Ltd., Thailand,
which are holding
around 48.94% and
35.74% of the
subject’s shares respectively.
The subject’s registered
address is 99 Moo
9, Petchkasem Rd.,
Raikhing, Sampran, Nakornpathom 73210, while the current
operation address is at 2426/3 Mahaphant Building,
New Rd., Bangkorlaem,
Bangkok 10120.
THE
BOARD OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Ongek Taechamahaphant |
[x] |
Thai |
57 |
|
Mr. Ongarch Taechamahaphant |
[x] |
Thai |
55 |
|
Mr. Prayoon Boonprasert |
|
Thai |
74 |
|
Ms. Ongon Taechamahaphant |
|
Thai |
52 |
|
Ms. Oranuch Taechamahaphant |
|
Thai |
51 |
AUTHORIZED
PERSON
One of the
mentioned directors [x]
can sign on
behalf of the
subject with company’s
affixed.
MANAGEMENT
Mr. Ongek Taechamahaphant is
the President & CEO
[Architectural Skin].
He is Thai
nationality with the
age of 57
years old.
Mr. Ongarch Taechamahaphant is
the CEO [Advanced
Roof].
He is Thai
nationality with the
age of 55
years old.
Ms. Ongon Taechamahaphant is
the Executive Director.
She is Thai
nationality with the
age of 52
years old.
Ms. Oranuch Taechamahaphant is
the Senior Manager
of Corporate Procurement.
She is Thai
nationality with the
age of 51
years old.
Mr. Rangsan Khantad is
the Factory Manager
[Budhamonthon Sai 5].
He is Thai
nationality.
Mr. Vichan Kasiwut is
the Factory Manager
[Lopburi].
He is Thai
nationality.
Mr. Charin Amnakmanee
is the Factory
Manager [Nakornsrithammarat].
He is Thai
nationality.
BUSINESS
OPERATIONS
The subject is
engaged in manufacturing
fibre cement products
under the brands “HA-HUANG” and
“SHERA” as the
followings:
·
“HA-HUANG”
products consist of
small corrugated sheet,
translucent sheet, trilon
corroshield, pattier sheet,
flat sheet, louvre
sheet, shingle, trilon,
trilon kool and
etc.
·
“SHERA”
products consist of strip,
eave, plank, splendid
plank, skirt & comice, corner
piece, décor panel,
décor stone, flexy
board, decor floor
and etc.
Subject is also
a holding company
investing in the Mahaphant
Fibre - Cement Group of companies in
building material business.
PRODUCTION
500,000 tons per
annum
MAJOR BRANDS
“HA-HUANG” and “SHERA”
IMPORT [COUNTRIES]
Some of
raw materials, machinery
and spare parts
are imported from
United Kingdom, Germany, Italy,
Switzerland, Austria, Canada,
Australia, India, Korea,
Japan, Taiwan, Republic
of China and
Malaysia.
SALES [LOCAL]
100% of its products
is solely distributed
and marketed by
Thai Olympic Fibre - Cement Co., Ltd.,
the related company.
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
for the past
two years.
SUBSIDIARIES
& AFFILIATED COMPANIES
Mahaphant Group [Building
Materials Business]
Thai Olympic Fibre - Cement Co., Ltd.
Business Type : Sole
marketing of the
group products and
technical services
Investment :
99.85% held by
the subject.
Mahaphant Concrete Roof
Tiles Co., Ltd.
Business Type : Manufacturer
of concrete roof
tile products
Investment :
99.99% held by
the subject.
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
L/C at sight
or T/T.
BUSINESS
TRANSACTION
The products are
sold by cash
and credit with
the maximum credit
given at 30-60
days. There is
no problem on
its account receivable,
due to the
customer is the
related company.
BANKING
Bangkok Bank Public
Co., Ltd.
[Head Office : 333 Silom Rd.,
Silom, Bangrak, Bangkok
10500]
Kasikornbank Public Co.,
Ltd.
[Bangkruay Branch : 11/1-2 Bangkruay-Sainoi Rd.,
Bangkruay, Nonthaburi]
EMPLOYMENT
The subject employs
approximately 1,500 staff.
[office staff and
factory workers]
LOCATION
DETAILS
The premise is
owned for administrative office
in a multi-storey
building at the
heading address in
a prime commercial
area.
The factories and
warehouses are located
at : -
1.
Budhamonthon
Sai 5 Plant
99 Moo
9, Petchkasem Rd.,
Raikhing, Sampran, Nakornpathom
73210.
Tel.:
[66] 2810-2888 Fax: [66]
2420-1198
2.
Lopburi
Plant
59
Moo 12 Saraburi-Lomsak Rd.,
KM. 16, Chongsarika, Pattananikhom, Lopburi 15220. Tel.:
[66] 36 638-888
Fax: [66] 36
368-777
3.
Nakornsrithammarat
Plant
200
Moo 7, Highway
No. 1, KM. 224,
Nabor, Nakornsrithammarat 80220.
Tel.:
[66] 75 491-888,
Fax: [66] 75 491-666
COMMENT
The company is
one of the largest
manufacturers of numerous,
innovative fibre cement
siding, fibre cement flooring &
fibre cement roofing
products with fire, insect
resistant and environmental friendly. The products
are substitute natural
wood in building applications
in which they
are cost efficiently
and easily maintain.
However, in
2014, the Thai domestic market was sluggish especially in the first half due to
the political uncertainty since the end of 2013. The political situation was
stabilized in the second half but the market has not yet been fully recovered
due to some factors including a drop in construction sector.
Its turnover in
2014 was lower
than expectation.
FINANCIAL
INFORMATION
The capital initially
registered at Bht. 10,000,000 divided into 1,000,000 shares
of Bht. 10 each.
Later the capital
was increased to
at Bht. 500,000,000
divided into 50,000,000 shares of
Bht. 10 each, with
the current capital
paid-up at Bht.
470,000,000.
MAIN
SHAREHOLDERS
[As at April
30, 2015] at
Bht. 470 million
of capitalization.
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mahaphant Interholding Limited Nationality: Hong Kong Address : 2302-6 Harbour
Road, Wan Chai, Hong Kong |
23,000,000 |
48.94 |
|
Mahaphant Holding Co., Ltd. Nationality: Thai Address : 117/7 Soi
Ladprao 23, Chankasem,
Chatuchak, Bangkok |
16,800,000 |
35.74 |
|
Ms. Oranuch Taechamahaphant Nationality: Thai Address : 2929 New
Rd., Bangkorlaem, Bangkok
10120 |
1,800,000 |
3.83 |
|
Ms. Ongon Taechamahaphant Nationality: Thai Address : 2929 New
Rd., Bangkorlaem, Bangkok
10120 |
1,799,999 |
3.83 |
|
Mr. Ongek Taechamahaphant Nationality: Thai Address : 2426/3 New
Rd., Bangkorlaem, Bangkok
10120 |
1,799,996 |
3.83 |
|
Mr. Ongarch Taechamahaphant Nationality: Thai Address : 19/19 Moo
2, Bangprom, Talingchan, Bangkok |
1,799,995 |
3.83 |
|
Others |
10 |
- |
Total Shareholders : 16
Share
Structure
[as at April
30, 2015]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
15 |
24,000,000 |
51.06 |
|
Foreign-Hong Kong |
1 |
23,000,000 |
48.94 |
|
Total |
16 |
47,000,000 |
100.00 |
NAME OF AUDITOR & CERTIFIED PUBLIC
ACCOUNTANT NO.
Mrs. Anuthai Phumsurakul No. 3873
BALANCE
SHEET [BAHT]
The
latest financial figures
published for December 31,
2014, 2013 &
2012 were:
ASSETS
|
Current Assets |
2014 |
2013 |
2012 [Adjusted] |
|
|
|
|
|
|
Cash and Cash Equivalents |
20,291,027 |
7,431,603 |
3,473,359 |
|
Trade Accounts & Other
Receivable |
88,743,079 |
410,079,470 |
312,150,830 |
|
Inventories |
1,493,727,346 |
1,739,954,927 |
1,647,108,136 |
|
Other Current Assets
|
38,417,787 |
19,580,870 |
10,470,831 |
|
Total Current Assets
|
1,641,179,239 |
2,177,046,870 |
1,973,203,156 |
|
Investment in Subsidiary
|
143,993,400 |
93,993,400 |
95,641,500 |
|
Investment in Joint Venture |
1,648,100 |
1,648,100 |
- |
|
Fixed Assets |
2,589,539,728 |
2,873,171,600 |
3,045,143,123 |
|
Intangible Assets |
8,903,059 |
16,009,332 |
7,335,726 |
|
Deferred Income Tax Assets |
4,287,179 |
- |
762,248 |
|
Other Non-current Assets |
2,586,592 |
1,126,518 |
1,143,024 |
|
Total Assets |
4,392,137,297 |
5,162,995,820 |
5,123,228,777 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2014 |
2013 |
2012 [Adjusted] |
|
|
|
|
|
|
Bank Overdraft &
Short-term Loan from Financial Institution |
1,482,403,998 |
1,585,182,338 |
1,110,728,048 |
|
Trade Accounts & Other Payable |
476,791,815 |
541,789,402 |
543,328,784 |
|
Short-term Loan from
Related Company |
52,800,000 |
273,000,000 |
19,400,000 |
|
Current Portion of Long-term
Loans |
- |
- |
333,200,000 |
|
Accrued Income Tax |
- |
20,242,785 |
25,071,457 |
|
Other Current Liabilities |
32,265,815 |
12,954,323 |
29,001,948 |
|
Total Current Liabilities |
2,044,261,628 |
2,433,168,848 |
2,060,730,237 |
|
Long-term Loan from Financial
Institutions |
- |
- |
200,000,000 |
|
Deferred Income Tax Liabilities |
- |
5,023,790 |
- |
|
Employee Benefits Obligation |
145,792,372 |
129,675,584 |
131,086,532 |
|
Total Liabilities |
2,190,057,000 |
2,567,868,222 |
2,391,816,769 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 10
value authorized, and
issued share capital 50,000,000 shares |
500,000,000 |
500,000,000 |
500,000,000 |
|
Capital Paid |
470,000,000 |
240,000,000 |
240,000,000 |
|
Retained Earnings Appropriated for
statutory reserve |
50,000,000 |
50,000,000 |
50,000,000 |
|
Unappropriated |
1,682,080,297 |
2,305,127,598 |
2,441,412,008 |
|
Total Shareholders' Equity |
2,202,080,297 |
2,595,127,598 |
2,731,412,008 |
|
Total Liabilities &
Shareholders' Equity |
4,392,137,297 |
5,162,995,820 |
5,123,228,777 |
PROFIT & LOSS ACCOUNT
|
Revenue |
2014 |
2013 |
2012 [Adjusted] |
|
|
|
|
|
|
Sales & Service |
6,094,932,522 |
6,021,796,349 |
6,224,250,532 |
|
Other Income |
29,770,249 |
76,772,571 |
56,955,772 |
|
Total Revenues |
6,124,702,771 |
6,098,568,920 |
6,281,206,304 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold & Service |
5,156,082,443 |
4,934,091,977 |
5,126,096,980 |
|
Selling Expenses |
271,943,295 |
247,002,043 |
270,017,714 |
|
Administrative Expenses |
684,472,636 |
696,631,291 |
680,376,373 |
|
Reversal of (allowance) Impairment of Investment in Subsidiaries |
[50,000,000] |
[50,000,000] |
50,000,000 |
|
Other Expenses |
1,044,446 |
25,623,133 |
- |
|
Financial Cost |
39,558,222 |
36,036,145 |
48,026,152 |
|
|
|
|
|
|
Total Expenses |
6,103,101,042 |
5,889,384,589 |
6,174,517,219 |
|
Profit / [Loss] before Income
Tax |
21,601,729 |
209,184,331 |
106,689,085 |
|
Income Tax |
[3,350,970] |
[45,468,741] |
[36,380,612] |
|
Net Profit / [Loss] |
24,952,699 |
163,715,590 |
70,308,473 |
FINANCIAL
ANALYSIS
|
ITEM |
UNIT |
2014 |
2013 |
2012 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
0.80 |
0.89 |
0.96 |
|
QUICK RATIO |
TIMES |
0.05 |
0.17 |
0.15 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
2.35 |
2.10 |
2.04 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.39 |
1.17 |
1.21 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
105.74 |
128.71 |
117.28 |
|
INVENTORY TURNOVER |
TIMES |
3.45 |
2.84 |
3.11 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
5.31 |
24.86 |
18.31 |
|
RECEIVABLES TURNOVER |
TIMES |
68.68 |
14.68 |
19.94 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
33.75 |
40.08 |
38.69 |
|
CASH CONVERSION CYCLE |
DAYS |
77.30 |
113.49 |
96.90 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
84.60 |
81.94 |
82.36 |
|
SELLING & ADMINISTRATION |
% |
15.69 |
15.67 |
15.27 |
|
INTEREST |
% |
0.65 |
0.60 |
0.77 |
|
GROSS PROFIT MARGIN |
% |
15.89 |
19.34 |
18.56 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
0.35 |
3.47 |
1.71 |
|
NET PROFIT MARGIN |
% |
0.41 |
2.72 |
1.13 |
|
RETURN ON EQUITY |
% |
1.13 |
6.31 |
2.57 |
|
RETURN ON ASSET |
% |
0.57 |
3.17 |
1.37 |
|
EARNING PER SHARE |
BAHT |
0.53 |
6.82 |
2.93 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.50 |
0.50 |
0.47 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.99 |
0.99 |
0.88 |
|
TIME INTEREST EARNED |
TIMES |
0.55 |
5.80 |
2.22 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
1.21 |
(3.25) |
|
|
OPERATING PROFIT |
% |
(89.67) |
96.07 |
|
|
NET PROFIT |
% |
(84.76) |
132.85 |
|
|
FIXED ASSETS |
% |
(9.87) |
(5.65) |
|
|
TOTAL ASSETS |
% |
(14.93) |
0.78 |
|
ANNUAL GROWTH :
RISKY
An annual sales growth is 1.21%. Turnover has increased from THB
6,021,796,349.00 in 2013 to THB 6,094,932,522.00 in 2014. While net profit has
decreased from THB 163,715,590.00 in 2013 to THB 24,952,699.00 in 2014. And
total assets has decreased from THB 5,162,995,820.00 in 2013 to THB
4,392,137,297.00 in 2014.
PROFITABILITY :
IMPRESSIVE
PROFITABILITY
RATIO
|
Gross Profit Margin |
15.89 |
Deteriorated |
Industrial
Average |
42.48 |
|
Net Profit Margin |
0.41 |
Impressive |
Industrial
Average |
(0.50) |
|
Return on Assets |
0.57 |
Impressive |
Industrial
Average |
(0.26) |
|
Return on Equity |
1.13 |
Impressive |
Industrial
Average |
(0.56) |
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. The company's figure is 15.89%. When compared with
the industry average, the ratio of the company was lower. This indicated that
company may have problems with control over its costs.
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. The company's figure is 0.41%,
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
0.57%, 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 1.13%, 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 Downtrend
Return on Equity Downtrend
LIQUIDITY : RISKY
LIQUIDITY RATIO
|
Current Ratio |
0.80 |
Risky |
Industrial
Average |
0.38 |
|
Quick Ratio |
0.05 |
|
|
|
|
Cash Conversion Cycle |
77.30 |
|
|
|
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 0.8 times in 2014, decreased from 0.89 times, then the company may have
problems meeting its short-term obligations. 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 0.05 times in 2014,
decreased from 0.17 times, then the company has not enough current assets that
presumably can be quickly converted to cash for pay financial obligations.
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 78 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Downtrend
LEVERAGE :
SATISFACTORY
LEVERAGE RATIO
|
Debt Ratio |
0.50 |
Impressive |
Industrial
Average |
0.54 |
|
Debt to Equity Ratio |
0.99 |
Impressive |
Industrial
Average |
1.18 |
|
Times Interest Earned |
0.55 |
Risky |
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 0.55 lower than 1, so the company is not generating
enough cash from EBIT to meet its interest obligations.
Debt Ratio shows the proportion of a company's assets which are financed
through debt. The company's figure is 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 Downtrend
Times Interest Earned Stable
ACTIVITY :
IMPRESSIVE
ACTIVITY RATIO
|
Fixed Assets Turnover |
2.35 |
Impressive |
Industrial
Average |
- |
|
Total Assets Turnover |
1.39 |
Impressive |
Industrial
Average |
0.52 |
|
Inventory Conversion Period |
105.74 |
|
|
|
|
Inventory Turnover |
3.45 |
Satisfactory |
Industrial
Average |
3.68 |
|
Receivables Conversion Period |
5.31 |
|
|
|
|
Receivables Turnover |
68.68 |
Impressive |
Industrial
Average |
8.70 |
|
Payables Conversion Period |
33.75 |
|
|
|
The company's Account Receivable Ratio is calculated as 68.68 and 14.68
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
increased from 2013. This would suggest the company had good performance 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 129 days at the
end of 2013 to 106 days at the end of 2014. This represents a positive trend.
And Inventory turnover has increased from 2.84 times in year 2013 to 3.45 times
in year 2014.
The company's Total Asset Turnover is calculated as 1.39 times and 1.17
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 Downtrend
Inventory Turnover Downtrend
Receivables Turnover Uptrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.66.20 |
|
|
1 |
Rs.98.30 |
|
Euro |
1 |
Rs.72.41 |
|
Thai Baht |
1 |
Rs.1.84 |
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.