MIRA INFORM REPORT
|
Report No. : |
356720 |
|
Report Date : |
26.12.2015 |
IDENTIFICATION DETAILS
|
Name : |
PANEL PLUS CO., LTD. |
|
|
|
|
Registered Office : |
25th Floor, Ploenchit Center Building, 2 Sukhumvit Soi 2, Klongtoey, Bangkok 10110, |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2014 |
|
|
|
|
Date of Incorporation : |
16.01.2004 |
|
|
|
|
Com. Reg. No.: |
0105547007217 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
The subject is
engaged in manufacturing Plain Particle Board,
Melamine Faced Chipboard and
Medium Density Fiberboard [MDF |
|
|
|
|
No. of Employee : |
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 : |
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 |
B1 |
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
PANEL PLUS
CO., LTD.
SUMMARY
BUSINESS ADDRESS : 25th FLOOR,
PLOENCHIT CENTER BUILDING,
2 SUKHUMVIT
SOI 2, KLONGTOEY,
BANGKOK 10110,
THAILAND
TELEPHONE
: [66] 2656-8188
FAX :
[66] 2656-8533-4
E-MAIL ADDRESS : info@panelplus.co.th
REGISTRATION ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED : 2004
REGISTRATION NO. : 0105547007217
TAX ID
NO. : 3031259850
CAPITAL REGISTERED : BHT.
837,212,200
CAPITAL PAID-UP
: BHT.
837,212,200
SHAREHOLDER’S PROPORTION : THAI : 100%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE
: MRS.
AMPORN KANJANAKUMNERD, THAI
MANAGING DIRECTOR
NO. OF
STAFF : 500
LINES OF
BUSINESS : PARTICLE BOARD
AND RELATED PRODUCTS
MANUFACTURER, DISTRIBUTOR
AND EXPORTER
CORPORATE
PROFILE
OPERATING TREND : STABLE
PRESENT SITUATION : OPERATING NORMALLY
REPUTATION : GOOD
WITH NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT STANDARD : MANAGEMENT WITH
FAIR PERFORMANCE
HISTORY
The subject
was established on January 16,
2004 as a
private limited company
under the initially registered name “Hatyai Panel Co.,
Ltd.” by Thai groups.
On September 1, 2005,
its name was
changed to PANEL PLUS
CO., LTD. The
business objective is to
manufacture Plain Particle
Boards and Melamine
Faced Chipboard for
both domestic and
overseas markets. It currently
employs approximately 500 staff.
On October
25, 2006, subject
became a subsidiary
of Mitr Phol Sugar
Corp., Ltd.
Since 2012,
its production line
has expanded to produce Medium Density Fiberboard
[MDF].
The subject’s registered
address is 25th Floor,
Ploenchit Center Bldg., 2
Sukhumvit Soi 2,
Klongtoey, Bangkok 10110,
and this is
the subject’s current
operation address.
THE BOARD
OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Adisak
Vongkusolkit |
|
Thai |
51 |
|
Mrs. Amporn
Kanjanakumnerd |
[x] |
Thai |
51 |
|
Mr. Krisda Monthienvichienchai |
[x] |
Thai |
57 |
|
Mr. Isara
Vongkusolkit |
[x] |
Thai |
67 |
|
Mr. Athaphol
Vongkusolkit |
|
Thai |
43 |
|
Mr. Pariwat
Kanchanathana |
|
Thai |
43 |
|
Ms. Teeranart
Vongkusolkit |
|
Thai |
44 |
|
Mr. Vichai
Assarasakorn |
|
Thai |
55 |
|
Mrs. Kannika
Sibunruang |
|
Thai |
61 |
AUTHORIZED PERSON
Any two of
the mentioned directors
[x] can jointly
sign on behalf
of the subject with
company’s affixed.
MANAGEMENT
Mrs. Amporn
Kanjanakumnerd
is the Managing
Director.
She is Thai
nationality with the
age of 51
years old.
Mr. Sethapong
Chanyingyong
is the Assistant
Managing Director.
He is Thai
nationality.
Mr. Ativej
Havaree is the
Marketing Director.
He is Thai
nationality.
Mr. Nakorn Puakvilai is
the Factory Manager
[Hatyai].
He is Thai
nationality.
Mr. Thawatchai
Chiewchanluang
is the Factory Manager
[Samutsakorn].
He is Thai
nationality.
Ms. Chonnee Noobutr is
the Account & Finance Manager.
She is Thai
nationality.
Ms. Pakpimol
Kamplanuwat is the
Marketing Manager.
She is Thai
nationality.
Mr. Thana Chongsubtum is the Domestic
Manager.
He is Thai
nationality.
BUSINESS
OPERATIONS
The subject is
engaged in manufacturing Plain Particle Board,
Melamine Faced Chipboard and
Medium Density Fiberboard [MDF],
under the brand
name “PANEL PLUS”.
PRODUCTION
CAPACITY
Melamine Faced Chipboard
: 30,000,000 square
meters per year
Plain Particle Board : 300,000 cubic
meters per year
Medium Density Fiberboard
: 400,000 cubic
meters per year
PURCHASE
Raw materials mainly
rubber woods are
purchased from local
suppliers.
IMPORT
Some of raw materials and
bagasse are imported from Germany, Myanmar, Singapore, Taiwan, Japan, Brazil, India,
Laos, Switzerland, and Republic
of China.
MAJOR SUPPLIERS
Mitr Phol
Sugar Corp., Ltd. : Thailand
Lixil Corporation : Japan
Scheuch GmbH. : Germany
SALES
80% of the
products is sold
locally by wholesale
to dealers and
end-users.
EXPORT
20% of the
products is exported
to Japan, Taiwan,
Singapore, Malaysia, Laos,
Cambodia, Hong Kong, Vietnam,
Philippines, India, Indonesia,
Korea, U.S.A., and the
countries in Middle
East and Europe.
MAJOR CUSTOMERS
S.B. Furniture Industry
Co., Ltd. :
Thailand
Rockworth Public Company
Limited : Thailand
Modernform Group Public
Company Limited :
Thailand
Sathaporn
Lamination Co., Ltd. : Thailand
S.P.S. Cooperate Ltd. : Thailand
Buathongsirisrap
Co., Ltd. : Thailand
Roongsombat [2528]
Co., Ltd. : Thailand
Sang Charoen Housing
Product Co., Ltd. : Thailand
RELATED AND
AFFILIATED COMPANIES
The Panel Plus
group consists of:
MP Particle Board
Co., Ltd.
Business Type :
Manufacturer of particle
board
Furnish Board Co.,
Ltd.
Business Type :
Manufacturer of particle
board
Panel Décor Co.,
Ltd.
Business Type :
Manufacturer of melamine
coated paper
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.
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.
Exports are against
T/T.
BANKING
Bangkok Bank Public Co.,
Ltd.
The Siam
Commercial Bank Public
Co., Ltd.
[Ploenchit Center
Branch]
EMPLOYMENT
The subject
employs approximately 500
staff.
LOCATION DETAILS
The premise
is rented for
administrative office at the
heading address. Premise
is located in
a prime commercial
area.
Factories and
Warehouses:
-
417/14 Moo 1, Karnchanavanich Rd.,
Phatong, Hatyai, Songkhla 90230.
Tel. : [66]
74 291-130-4, Fax. : [66]
74 291-019-20
-
53/3
Moo 5, Settakit
Rd., Nadee, Muang,
Samutsakorn 74000.
Tel.
: [66]
34 830-330-3, Fax. [66]
34 830-329
COMMENT
The subject is a manufacturer, distributor and
exporter of particle board,
melamine faced chipboard and
medium density fiberboard.
It is the
leading manufacturer of wood-substitute products through excellences technology in
production, marketing, logistic
and business process.
Despite slow
sales of the
products in the
past few years,
the subject’s business
remains strong and
potential in long-term
prospect.
FINANCIAL INFORMATION
The capital
was initially registered
at Bht. 100,000 divided
into 1,000 shares
of Bht. 100 each.
The capital
was increased later
as follows:
Bht. 335,000,000
on February 26,
2004
Bht. 537,212,200
on February 10,
2005
Bht. 837,212,200
on May 4,
2011
The latest
registered capital was
increased to Bht.
837,212,200 divided into
8,372,122 shares of
Bht. 100 each with
fully paid.
THE SHAREHOLDERS
LISTED WERE
[as at March
31, 2015]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mitr Phol Sugar
Corp., Ltd. Nationality: Thai Address : 2
Sukhumvit 2 Rd.,
Klongtoey, Bangkok |
7,432,106 |
88.77 |
|
Eastern Sugar Co.,
Ltd. Nationality: Thai Address : 78
Charoenkrung 30 Rd.,
Bangrak, Bangkok |
751,123 |
8.97 |
|
Mrs. Vimol
Kanjanakumnerd Nationality: Thai Address : 35/1
Moo 10, Thamaka,
Kanchanaburi |
103,808 |
1.24 |
|
Mr. Preecha
Chai-anand Nationality: Thai Address : 127
Soi Wat Machamandikaram, Bangsue,
Bangkok |
77,857 |
0.93 |
|
Mr. Sukkarn
Wathanavekin Nationality: Thai Address : 78 Charoenkrung 30 Rd.,
Bangrak, Bangkok |
5,076 |
0.06 |
|
Lady Natthika Wathanavekin Nationality: Thai Address : 159/48
Soi Songsa-ard, Ladyao,
Jatujak,
Bangkok |
2,146 |
0.03 |
|
Mr. Soonthorn
Vongkusolkit Nationality: Thai Address : 27 Soi Sukhumvit
43, Sukhumvit Rd.,
Klongtonnua, Wattana, Bangkok |
1 |
- |
|
Mr. Vitoon
Vongkusolkit Nationality: Thai Address : 102
Soi Sukhumvit 33,
Sukhumvit Rd.,
Klongtonnua, Wattana, Bangkok |
1 |
- |
|
Mr. Isara Vongkusolkit Nationality: Thai Address : 230/6
Soi Sukhumvit 1,
Sukhumvit Rd.,
Klongtoeynua, Wattana, Bangkok |
1 |
- |
|
Mr. Chanin Vongkusolkit Nationality: Thai Address : 125/220
Moo 5, Pakkred,
Nonthaburi |
1 |
- |
|
Mr. Veerajate Vongkusolkit Nationality: Thai Address : 1219/57
Sukhumvit Rd.,
Klongtonnua, Wattana, Bangkok |
1 |
- |
|
Mrs. Amporn Kanjanakumnerd Nationality: Thai Address : 36/15
Soi Aree 4,
Phaholyothin Rd.,
Samsennai, Wattana, Bangkok |
1 |
- |
Total
Shareholders : 12
Share Structure [as at
March 31, 2015]
|
Nationality |
Shareholders |
No.
of Share |
% Shares |
|
|
|
|
|
|
Thai |
12 |
8,372,122 |
100.00 |
|
Foreign |
- |
- |
- |
|
Total |
12 |
8,372,122 |
100.00 |
NAME OF
AUDITOR & CERTIFIED
PUBLIC ACCOUNTANT NO.
Mr. Krit
Chatchawalwong No. 5016
BALANCE
SHEET [BAHT]
The financial
figures published for December
31, 2014, 2013
& 2012 were:
ASSETS
|
Current
Assets |
2014 |
2013 |
2012 |
|
|
|
|
|
|
Cash and Cash Equivalents |
11,347,702 |
56,799,213 |
122,785,907 |
|
Short-term Investment |
- |
- |
65,042,979 |
|
Trade Accounts
Receivable |
|
|
|
|
- Other company |
329,061,637 |
379,188,350 |
391,411,694 |
|
- Related company |
- |
632,541 |
325,508 |
|
Account Receivable - Other related
company |
276,292 |
30,385 |
10,279,403 |
|
- Related
company |
42,477,897 |
38,877,981 |
30,538,017 |
|
Long-term Lending to Related Company |
150,000,000 |
50,000,000 |
50,000,000 |
|
Short-term Lending to Related Company |
706,592,503 |
138,399,213 |
213,000,000 |
|
Inventories
|
198,873,281 |
279,045,599 |
270,331,909 |
|
Refundable
Value Added Tax |
10,169,685 |
6,683,767 |
8,521,094 |
|
Prepaid Expenses |
20,089,552 |
3,437,046 |
2,621,778 |
|
Other Current Assets
|
2,778,414 |
339,293 |
1,482,427 |
|
|
|
|
|
|
Total Current Assets |
1,471,666,963 |
953,433,388 |
1,166,340,716 |
|
Prepaid
Withholding Income Tax |
1,598,121 |
1,598,121 |
1,519,765 |
|
Investment in Subsidiaries |
582,982,285 |
547,405,533 |
547,405,533
|
|
Investment in
Associated |
63,888,000 |
63,888,000 |
- |
|
Long-term Lending
to Related Company |
1,353,000,000 |
1,503,000,000 |
1,445,000,000 |
|
Real state for Investment |
6,924,211 |
7,158,235 |
7,392,258 |
|
Other
Non-current Assets Available for
Sale |
- |
- |
4,345,032 |
|
Fixed Assets
|
514,134,587 |
584,731,988 |
636,996,548 |
|
Advance for Purchase
of Machinery |
20,923,425 |
1,861,592 |
1,392,297 |
|
Intangible Assets |
10,097,941 |
8,160,957 |
8,321,853 |
|
Other
Non-current Assets |
1,297,064 |
1,492,713 |
1,924,209 |
|
Total Assets |
4,026,512,597 |
3,672,730,527
|
3,820,638,211 |
\
LIABILITIES & SHAREHOLDERS'
EQUITY [BAHT]
|
Current
Liabilities |
2014 |
2013 |
2012 |
|
|
|
|
|
|
Trade Accounts Payable
|
|
|
|
|
- Other company |
26,498,245 |
51,394,629 |
64,241,022 |
|
- Related company |
84,264,493 |
102,598,124 |
106,543,409 |
|
Accounts Payable |
|
|
|
|
- Other company |
35,870,390 |
51,433,119 |
40,938,227 |
|
- Related company |
44,155,858 |
39,761,622 |
16,586,651 |
|
Short-term Loan from Related Company |
707,141,298 |
311,410,214 |
481,808,415 |
|
Current Portion of
Long-term Loans from Parent Company |
295,000,000 |
170,000,000 |
170,000,000 |
|
Current Portion
of Finance Lease
Contract Liabilities |
1,075,065 |
1,891,228 |
2,440,847 |
|
Advance Income |
16,354,919 |
13,268,043 |
6,084,247 |
|
Accrued Income Tax |
42,708 |
- |
- |
|
Accrued Expenses |
59,568,453 |
55,946,024 |
52,019,843 |
|
Other Current Liabilities |
5,561,140 |
2,850,547 |
2,953,730 |
|
|
|
|
|
|
Total Current Liabilities |
1,275,532,569 |
800,553,550 |
943,616,391 |
|
|
|
|
|
|
Long-term Loan from Related Company, Net of
Current Portion |
1,503,000,000 |
1,798,000,000 |
1,860,000,000 |
|
Finance Lease Contract
Liabilities, Net of
Current Portion |
2,091,728 |
4,722,646 |
8,791,657 |
|
Employee Benefits Obligation |
25,153,706 |
44,823,955 |
61,963,589 |
|
Total Liabilities |
2,805,778,003 |
2,648,100,151 |
2,874,371,637 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital :
Baht 100 par
value authorized and
issued share capital
8,372,122 shares |
837,212,200 |
837,212,200 |
837,212,200 |
|
Capital Paid |
837,212,200 |
837,212,200 |
837,212,200 |
|
Premium on
Share Capital |
33,500,000 |
33,500,000 |
33,500,000 |
|
Retained Earning Appropriated for
Statutory Reserve |
14,576,973 |
8,775,054 |
6,891,327 |
|
Unappropriated |
335,445,421 |
145,143,122 |
68,663,047 |
|
Total Shareholders'
Equity |
1,220,734,594 |
1,024,630,376 |
946,266,574 |
|
Total
Liabilities & Shareholders' Equity |
4,026,512,597 |
3,672,730,527 |
3,820,638,211 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
2014 |
2013 |
2012 |
|
|
|
|
|
|
Sales
|
2,062,111,132 |
2,194,056,993 |
2,517,118,535 |
|
Other Income |
308,653,117 |
194,276,768 |
179,481,318 |
|
Total Revenues |
2,370,764,249 |
2,388,333,761 |
2,696,590,408 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold |
1,605,312,138 |
1,699,198,122 |
2,062,633,628 |
|
Selling Expenses |
248,669,956 |
351,140,446 |
403,667,386 |
|
Administrative
Expenses |
161,711,795 |
120,483,168 |
126,376,188 |
|
Other Expenses |
8,843,434 |
8,275,237 |
9,445 |
|
Total Expenses |
2,024,537,323 |
2,179,096,973 |
2,592,686,647 |
|
|
|
|
|
|
Profit before Financial Cost & Income Tax |
346,226,926 |
209,236,788 |
103,913,206 |
|
Financial Cost-Interest
|
[80,185,667] |
[93,198,437] |
[88,675,767] |
|
|
|
|
|
|
Profit before Income Tax |
266,041,259 |
116,038,351 |
15,237,439 |
|
Income Tax |
[2,960,065] |
- |
- |
|
Net Profit / [Loss]
|
263,081,194 |
116,038,351 |
15,237,439 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2014 |
2013 |
2012 |
|
|
|
|
|
|
|
LIQUIDITY
RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
1.15 |
1.19 |
1.24 |
|
QUICK RATIO |
TIMES |
0.97 |
0.83 |
0.94 |
|
|
|
|
|
|
|
ACTIVITY
RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
4.01 |
3.75 |
3.95 |
|
TOTAL ASSETS TURNOVER |
TIMES |
0.51 |
0.60 |
0.66 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
45.22 |
59.94 |
47.84 |
|
INVENTORY TURNOVER |
TIMES |
8.07 |
6.09 |
7.63 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
58.24 |
63.08 |
56.76 |
|
RECEIVABLES TURNOVER |
TIMES |
6.27 |
5.79 |
6.43 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
6.02 |
11.04 |
11.37 |
|
CASH CONVERSION CYCLE |
DAYS |
97.44 |
111.98 |
93.23 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
77.85 |
77.45 |
81.94 |
|
SELLING & ADMINISTRATION |
% |
19.90 |
21.50 |
21.06 |
|
INTEREST |
% |
3.89 |
4.25 |
3.52 |
|
GROSS PROFIT MARGIN |
% |
37.12 |
31.41 |
25.19 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
16.79 |
9.54 |
4.13 |
|
NET PROFIT MARGIN |
% |
12.76 |
5.29 |
0.61 |
|
RETURN ON EQUITY |
% |
21.55 |
11.32 |
1.61 |
|
RETURN ON ASSET |
% |
6.53 |
3.16 |
0.40 |
|
EARNING PER SHARE |
BAHT |
31.42 |
13.86 |
1.82 |
|
|
|
|
|
|
|
LEVERAGE
RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.70 |
0.72 |
0.75 |
|
DEBT TO EQUITY RATIO |
TIMES |
2.30 |
2.58 |
3.04 |
|
TIME INTEREST EARNED |
TIMES |
4.32 |
2.25 |
1.17 |
|
|
|
|
|
|
|
ANNUAL
GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
(6.01) |
(12.83) |
|
|
OPERATING PROFIT |
% |
65.47 |
101.38 |
|
|
NET PROFIT |
% |
126.72 |
661.53 |
|
|
FIXED ASSETS |
% |
(12.07) |
(8.20) |
|
|
TOTAL ASSETS |
% |
9.63 |
(3.87) |
|
ANNUAL
GROWTH : SATISFACTORY
An annual sales growth is -6.01%. Turnover has decreased
from THB
PROFITABILITY
: IMPRESSIVE
PROFITABILITY
RATIO
|
Gross Profit Margin |
37.12 |
Satisfactory |
Industrial
Average |
42.52 |
|
Net Profit Margin |
12.76 |
Impressive |
Industrial
Average |
4.79 |
|
Return on Assets |
6.53 |
Impressive |
Industrial
Average |
3.87 |
|
Return on Equity |
21.55 |
Impressive |
Industrial
Average |
8.04 |
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 37.12%. 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 12.76%, 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
6.53%, 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 21.55%, 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
: RISKY
LIQUIDITY
RATIO
|
Current Ratio |
1.15 |
Satisfactory |
Industrial
Average |
1.18 |
|
Quick Ratio |
0.97 |
|
|
|
|
Cash Conversion Cycle |
97.44 |
|
|
|
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 1.15 times in 2014, decreased from 1.19 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 lower.
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 0.97 times
in 2014, increased from 0.83 times, by excluding inventory, the company may
have problems meeting current liabilities.
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 98 days.
Trend
of the average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE
: ACCEPTABLE
LEVERAGE
RATIO
|
Debt Ratio |
0.70 |
Acceptable |
Industrial
Average |
0.53 |
|
Debt to Equity Ratio |
2.30 |
Risky |
Industrial
Average |
1.13 |
|
Times Interest Earned |
4.32 |
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 higher the percentage means that the company is
using less equity and has stronger leverage position.
Times Interest Earned measuring a company's ability to meet
its debt obligations. Ratio is 4.32 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 0.7 greater than 0.5, most
of the company's assets are financed through debt.
Trend
of the average competitors in the same industry for last 5 years
Debt Ratio Uptrend
Times Interest Earned Stable
ACTIVITY
: IMPRESSIVE
ACTIVITY
RATIO
|
Fixed Assets Turnover |
4.01 |
Impressive |
Industrial
Average |
- |
|
Total Assets Turnover |
0.51 |
Acceptable |
Industrial
Average |
0.81 |
|
Inventory Conversion Period |
45.22 |
|
|
|
|
Inventory Turnover |
8.07 |
Impressive |
Industrial
Average |
4.13 |
|
Receivables Conversion Period |
58.24 |
|
|
|
|
Receivables Turnover |
6.27 |
Impressive |
Industrial
Average |
6.17 |
|
Payables Conversion Period |
6.02 |
|
|
|
The company's Account Receivable Ratio is calculated as 6.27
and
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 60 days at the
end of 2013 to 45 days at the end of 2014. This represents a positive trend.
And Inventory turnover has increased from 6.09 times in year 2013 to 8.07 times
in year 2014.
The company's Total Asset Turnover is calculated as 0.51
times and 0.6 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.66.20 |
|
|
1 |
Rs.98.30 |
|
Euro |
1 |
Rs.72.41 |
|
THB |
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
: |
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.