|
Report No. : |
306501 |
|
Report Date : |
06.02.2015 |
IDENTIFICATION DETAILS
|
Name : |
INTERNATIONAL FLAVOURS & FRAGRANCES [THAILAND] LIMITED |
|
|
|
|
Registered Office : |
29th Floor,
Siam Tower, 989
Rama I Road, Pathumwan, Bangkok
10330 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2013 |
|
|
|
|
Date of Incorporation : |
28.05.1971 |
|
|
|
|
Com. Reg. No.: |
0105514003140 |
|
|
|
|
Legal Form : |
Private Limited Company
|
|
|
|
|
Line of Business : |
The subject is engaged in manufacturing, distributing and exporting various kinds of flavours and fragrances, as well as importing, distributing and re-exporting of the products. |
|
|
|
|
No. of Employee : |
119 |
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 – December 31, 2014
|
Country Name |
Previous Rating (30.09.2014) |
Current Rating (31.12.2014) |
|
Thailand |
B1 |
B1 |
|
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, generally pro-investment policies, and strong export industries, Thailand achieved steady growth due largely to industrial and agriculture exports - mostly electronics, agricultural commodities, automobiles and parts, and processed foods. Unemployment, at less than 1% of the labor force, stands as one of the lowest levels in the world, which puts upward pressure on wages in some industries. Thailand also attracts nearly 2.5 million migrant workers from neighboring countries. 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 economy has weathered internal and external economic shocks in recent years. The global economic recession severely cut Thailand's exports, with most sectors experiencing double-digit drops. In late 2011 Thailand's recovery was interrupted by historic flooding in the industrial areas in Bangkok and its five surrounding provinces, crippling the manufacturing sector. The government approved flood mitigation projects worth $11.7 billion, which were started in 2012, to prevent similar economic damage, and an additional $75 billion for infrastructure over the following seven years. This was expected to lead to an economic upsurge but growth has remained slow, in part due to ongoing political unrest and resulting uncertainties. Spending on infrastructure will require re-approval once a new government is seated.
|
Source
: CIA |
INTERNATIONAL FLAVOURS & FRAGRANCES [THAILAND] LIMITED
BUSINESS ADDRESS : 29th FLOOR,
SIAM TOWER, 989
RAMA I ROAD,
PATHUMWAN, BANGKOK
10330, THAILAND
TELEPHONE : [66] 2664-5555
FAX :
[66] 2664-5500
E-MAIL
ADDRESS : nusara.piratamornpan@iff.com
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1971
REGISTRATION
NO. : 0105514003140
TAX
ID NO. : 3101068955
CAPITAL REGISTERED : BHT. 5,000,000
CAPITAL PAID-UP : BHT.
5,000,000
SHAREHOLDER’S PROPORTION : FOREIGN
: 100%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MS.
DUSADEE NAVAKUNVICHITR, THAI
MANAGING DIRECTOR
NO.
OF STAFF : 119
LINES
OF BUSINESS : FLAVOURS AND
FRAGRANCES
MANUFACTURER, IMPORTER,
DISTRIBUTOR
AND EXPORTER
OPERATING
TREND : STABLE
PRESENT
SITUATION : OPERATING NORMALLY
REPUTATION : GOOD
WITH NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT
STANDARD : MANAGEMENT WITH
GOOD PERFORMANCE
The
subject was established
on May 28,
1971 as a
private limited company
under the registered name INTERNATIONAL
FLAVOURS & FRAGRANCES [THAILAND]
LIMITED, by American and Dutch groups,
with the business
objective to manufacture,
import and distribute
various kinds of
flavours and fragrances
for various industries
both domestic and
international markets. It
currently employs 119
staff.
The
subject is a
joint venture between
International Flavors &
Fragrances I.F.F. [Nederland] B.V., and
International Flavors &
Fragrances Inc. U.S.A.,
with holding around
64.50% and 35.36%,
respectively.
The
subject’s registered address is 29th Floor, Siam Tower, 989 Rama 1 Road, Pathumwan,
Bangkok 10330, and
this is the
subject’s current operation
address.
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Ms. Dusadee Navakunvichitr |
|
Thai |
53 |
|
Mrs. Sumalee Apassaranon |
|
Thai |
50 |
|
Mrs. Woralak Piyakulkaew Morris |
|
Thai |
41 |
|
Mr. Mauricio Leonardo Poulsen |
|
Argentine |
42 |
|
Mr. Chandy Cheeran Thambi |
|
Indian |
55 |
|
Mrs. Ya Zhang |
|
Chinese |
38 |
Any two of
the above directors
can jointly sign
on behalf of
the subject with
company’s affixed.
Ms. Dusadee Navakunvichitr is
the Managing Director.
She is Thai
nationality with the
age of 53
years old.
Mrs. Sumalee Apassaranon
is the Deputy
Managing Director.
She is Thai
nationality with the
age of 50
years old.
Ms. Nusara Piratamornpan is
the Human Resources
Manager.
She is Thai
nationality.
The subject
is engaged in
manufacturing, distributing and
exporting various kinds
of flavours and
fragrances, as well as
importing, distributing and
re-exporting of the
products for various
industries, such as foods, beverages, dairy, cosmetics, pharmaceuticals, perfumery
and other industries.
Raw materials are
purchased from local
suppliers, while the
finished products are
imported from Singapore,
Republic of China,
India and U.S.A.
International Flavors & Fragrances Inc. : U.S.A.
80% of the
products is sold
by wholesale to
local manufacturers and
end-users, the remaining
20% is exported
and re-exported to
U.S.A., Australia, New
Zealand, Indonesia and
the countries in
Europe.
The subject is
not found to
have any subsidiary
or affiliated company
here in Thailand.
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.
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.
Exports are against
T/T.
Bangkok
Bank Public Co.,
Ltd.
The
subject currently employs
119 staff.
The
premise is rented for
administrative office at
the heading address.
Premise is located
in a prime
commercial area
Factories:
-
1135
Moo 13, T. Klongnueng, A. Klongluang, Pathumthani
12120.
-
1136-1137
Moo 13, T. Klongnueng, A. Klongluang, Pathumthani
12120.
Warehouses:
-
1037
Moo 13, T. Klongnueng, A. Klongluang, Pathumthani
12120.
-
1138
Moo 13, T. Klongnueng, A. Klongluang, Pathumthani
12120.
-
1236
Moo 13, T. Klongnueng, A. Klongluang, Pathumthani
12120.
-
1233
Moo 13, T. Klongnueng, A. Klongluang, Pathumthani
12120.
-
38 Soi Chalongkrung
31, Chalongkrung Road,
Lamplatiew, Ladkrabang,
Bangkok 10520.
Strong growth of Thailand’s food, cosmetic and consumers industries has
realized with the increasing demand of flavours and fragrance products. Domestic investment in such industries was
expected to grow steadily, helped by state programs to promote Thai foods,
cosmetic, aroma products and etc.
The
capital was registered at Bht. 2,000,000 divided into 2,000 shares of
Bht. 1,000 each with
fully paid.
The capital
was increased later
as follows:
Bht. 3,000,000
on December 19,
2003
Bht. 5,000,000
on December 23,
2013
The latest
registered capital was
increased to Bht.
5,000,000 divided into
5,000 shares of
Bht. 1,000 each with
fully paid.
[as at
June 20, 2014]
|
NAME |
HOLDING |
% |
|
|
|
|
|
International Flavors &
Fragrances I.F.F. [Nederland] B.V. Nationality: Dutch Address : Liebergerweg 72 -76 [1221
JT] Hilversum , Netherlands |
3,225 |
64.50 |
|
International Flavors &
Fragrances Inc. Nationality: American Address : 521
West 57th Street,
New York, NY 10019,
U.S.A. |
1,768 |
35.36 |
|
Bush Boake Allen
Inc. Nationality: American Address : 521
West 57th Street,
New York, NY 10019,
U.S.A. |
4 |
0.08 |
|
IFF Chemical Holdings
Inc. Nationality: American Address : 521
West 57th Street,
New York, NY 10019,
U.S.A. |
3 |
0.06 |
Total Shareholders : 4
Share Structure [as
at June 20,
2014]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
- |
- |
- |
|
Foreign |
4 |
5,000 |
100.00 |
|
Total |
4 |
5,000 |
100.00 |
Ms. Amornrat Permpoonwattanasuk No.
4599
The latest financial figures published
as at December
31, 2013, 2012
& 2011 were:
ASSETS
|
Current Assets |
2013 |
2012 |
2011 |
|
|
|
|
|
|
Cash and Cash Equivalents |
43,109,414 |
260,647,101 |
16,033,253 |
|
Trade Accounts Receivable
|
448,678,154 |
460,766,015 |
354,788,563 |
|
Trade Accounts Receivable
Related company |
68,075,498 |
6,748,277 |
7,560,865 |
|
Inventories |
227,748,158 |
260,508,309 |
228,710,984 |
|
Short-term Loan to Related Company |
218,941,260 |
- |
- |
|
Other Current Assets
|
11,769,906 |
3,134,088 |
4,534,796 |
|
|
|
|
|
|
Total Current Assets
|
1,018,322,390 |
991,803,790 |
611,628,461 |
|
Building and Equipments |
28,019,994 |
25,129,607 |
28,178,476 |
|
Intangible Assets |
192,619 |
211,471 |
317,750 |
|
Deferred Income Tax |
5,530,957 |
5,248,188 |
7,537,928 |
|
Other Non - current Assets |
4,935,691 |
4,604,511 |
4,810,030 |
|
Total Assets |
1,057,001,651 |
1,026,997,567 |
652,472,645 |
LIABILITIES &
SHAREHOLDERS’ EQUITY [BAHT]
|
Current
Liabilities |
2013 |
2012 |
2011 |
|
|
|
|
|
|
Trade Accounts Payable
|
42,015,945 |
37,915,227 |
26,375,552 |
|
Trade Accounts Payable Related company |
48,253,485 |
125,757,765 |
109,311,261 |
|
Accrued Income Tax |
61,215,744 |
51,210,997 |
35,210,866 |
|
Other Current Liabilities |
54,930,048 |
54,636,200 |
37,082,004 |
|
|
|
|
|
|
Total Current Liabilities |
206,415,222 |
269,520,189 |
207,979,683 |
|
|
|
|
|
|
Employee Benefits Obligation |
9,839,676 |
9,006,730 |
13,913,849 |
|
Total Liabilities |
216,254,898 |
278,526,919 |
221,893,532 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 1,000
par value authorized, issued
and fully paid share capital
5,000 shares in 2013; 3,000 shares
in 2012 & 2011 |
5,000,000 |
3,000,000 |
3,000,000 |
|
|
|
|
|
|
Capital Paid |
5,000,000 |
3,000,000 |
3,000,000 |
|
Retained Earnings: Appropriated for Statutory Reserve |
300,000 |
300,000 |
300,000 |
|
Unappropriated |
835,446,753 |
745,170,648 |
427,279,113 |
|
Total Shareholders' Equity |
840,746,753 |
748,470,648 |
430,579,113 |
|
Total Liabilities & Shareholders' Equity |
1,057,001,651 |
1,026,997,567 |
652,472,645 |
PROFIT & LOSS
ACCOUNT
|
Revenue |
2013 |
2012 |
2011 |
|
|
|
|
|
|
Sales Income |
2,578,898,560 |
2,295,430,233 |
1,990,400,729 |
|
Other Income |
71,454,782 |
61,554,268 |
36,799,714 |
|
Total Revenues |
2,650,353,342 |
2,356,984,501 |
2,027,200,443 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold |
1,895,968,035 |
1,684,929,112 |
1,444,928,037 |
|
Selling Expenses |
200,124,470 |
243,470,292 |
310,343,652 |
|
Administrative Expenses |
19,671,420 |
12,003,474 |
17,801,363 |
|
Total Expenses |
2,115,763,925 |
1,940,402,878 |
1,773,073,052 |
|
|
|
|
|
|
Profit / [Loss] before Financial
Cost & Income
Tax |
534,589,417 |
416,581,623 |
254,127,391 |
|
Financial Cost - Interest paid |
[3,647,741] |
[3,565,873] |
[2,718,323] |
|
Profit / [Loss] before Income
Tax |
530,941,676 |
413,015,750 |
251,409,068 |
|
Income Tax |
[106,665,571] |
[95,124,215] |
[96,559,080] |
|
|
|
|
|
|
Net Profit / [Loss] |
424,276,105 |
317,891,535 |
154,849,988 |
FINANCIAL
ANALYSIS
|
ITEM |
UNIT |
2013 |
2012 |
2011 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
4.93 |
3.68 |
2.94 |
|
QUICK RATIO |
TIMES |
2.71 |
2.70 |
1.82 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
92.04 |
91.34 |
70.64 |
|
TOTAL ASSETS TURNOVER |
TIMES |
2.44 |
2.24 |
3.05 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
43.84 |
56.43 |
57.77 |
|
INVENTORY TURNOVER |
TIMES |
8.32 |
6.47 |
6.32 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
63.50 |
73.27 |
65.06 |
|
RECEIVABLES TURNOVER |
TIMES |
5.75 |
4.98 |
5.61 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
8.09 |
8.21 |
6.66 |
|
CASH CONVERSION CYCLE |
DAYS |
99.26 |
121.49 |
116.17 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
73.52 |
73.40 |
72.59 |
|
SELLING & ADMINISTRATION |
% |
8.52 |
11.13 |
16.49 |
|
INTEREST |
% |
0.14 |
0.16 |
0.14 |
|
GROSS PROFIT MARGIN |
% |
29.25 |
29.28 |
29.25 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
20.73 |
18.15 |
12.77 |
|
NET PROFIT MARGIN |
% |
16.45 |
13.85 |
7.78 |
|
RETURN ON EQUITY |
% |
50.46 |
42.47 |
35.96 |
|
RETURN ON ASSET |
% |
40.14 |
30.95 |
23.73 |
|
EARNING PER SHARE |
BAHT |
84,855.22 |
105,963.85 |
51,616.66 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.20 |
0.27 |
0.34 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.26 |
0.37 |
0.52 |
|
TIME INTEREST EARNED |
TIMES |
146.55 |
116.82 |
93.49 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
12.35 |
15.33 |
|
|
OPERATING PROFIT |
% |
28.33 |
63.93 |
|
|
NET PROFIT |
% |
33.47 |
105.29 |
|
|
FIXED ASSETS |
% |
11.50 |
(10.82) |
|
|
TOTAL ASSETS |
% |
2.92 |
57.40 |
|
An annual sales growth is 12.35%. Turnover has increased from THB
|
Gross Profit Margin |
29.25 |
Deteriorated |
Industrial
Average |
112.67 |
|
Net Profit Margin |
16.45 |
Impressive |
Industrial
Average |
6.47 |
|
Return on Assets |
40.14 |
Impressive |
Industrial
Average |
8.76 |
|
Return on Equity |
50.46 |
Impressive |
Industrial
Average |
14.67 |
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 29.25%. 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 16.45%,
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
40.14%, 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 50.46%, 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
|
Current Ratio |
4.93 |
Impressive |
Industrial
Average |
1.75 |
|
Quick Ratio |
2.71 |
|
|
|
|
Cash Conversion Cycle |
99.26 |
|
|
|
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 4.93 times in 2013, increased from 3.68 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 2.71 times in 2013,
increased from 2.7 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 100 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
|
Debt Ratio |
0.20 |
Impressive |
Industrial
Average |
0.39 |
|
Debt to Equity Ratio |
0.26 |
Impressive |
Industrial
Average |
0.64 |
|
Times Interest Earned |
146.55 |
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 146.56 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 0.2 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 Downtrend
Times Interest Earned Stable
|
Fixed Assets Turnover |
92.04 |
Impressive |
Industrial
Average |
- |
|
Total Assets Turnover |
2.44 |
Impressive |
Industrial
Average |
1.36 |
|
Inventory Conversion Period |
43.84 |
|
|
|
|
Inventory Turnover |
8.32 |
Impressive |
Industrial
Average |
6.15 |
|
Receivables Conversion Period |
63.50 |
|
|
|
|
Receivables Turnover |
5.75 |
Impressive |
Industrial
Average |
2.60 |
|
Payables Conversion Period |
8.09 |
|
|
|
The company's Account Receivable Ratio is calculated as 5.75 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 56 days at the
end of 2012 to 44 days at the end of 2013. This represents a positive trend.
And Inventory turnover has increased from 6.47 times in year 2012 to 8.32 times
in year 2013.
The company's Total Asset Turnover is calculated as 2.44 times and 2.24
times in 2013 and 2012 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 Uptrend
Receivables Turnover Downtrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs. 61.87 |
|
|
1 |
Rs. 94.07 |
|
Euro |
1 |
Rs. 70.19 |
INFORMATION DETAILS
|
Analysis Done by
: |
DIV |
|
|
|
|
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.