MIRA INFORM REPORT

 

 

Report No. :

309459

Report Date :

26.02.2015

 

IDENTIFICATION DETAILS

 

Name :

LOUIS DREYFUS COMMODITIES ASIA PTE. LTD.

 

 

Formerly Known As :

LOUIS DREYFUS ASIA PTE LTD (09/11/2006)

 

 

Registered Office :

12, Marina Boulevard, 33-03, Marina Bay, Financial Centre, 018982

 

 

Country :

Singapore

 

 

Financials (as on) :

31.12.2013

 

 

Date of Incorporation :

05.10.1993

 

 

Com. Reg. No.:

199306551-Z

 

 

Legal Form :

Private Limited

 

 

Line of Business :

Wholesale of agricultural, mineral, metal and others

 

 

No. of Employee :

Not Available

 

 

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 :

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 – December 31, 2014

 

Country Name

Previous Rating

(30.09.2014)

Current Rating

(31.12.2014)

Singapore

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


 

SINGAPORE ECONOMIC OVERVIEW

 

Singapore has a highly developed and successful free-market economy. It enjoys a remarkably open and corruption-free environment, stable prices, and a per capita GDP higher than that of most developed countries. The economy depends heavily on exports, particularly in consumer electronics, information technology products, pharmaceuticals, and on a growing financial services sector. The economy contracted 0.6% in 2009 as a result of the global financial crisis, but rebounded 15.1% in 2010, on the strength of renewed exports, before slowing to in 2011-13, largely a result of soft demand for exports during the second European recession. Over the longer term, the government hopes to establish a new growth path that focuses on raising productivity. Singapore has attracted major investments in pharmaceuticals and medical technology production and will continue efforts to establish Singapore as Southeast Asia's financial and high-tech hub.

 

Source : CIA

 

 

 

 


 

 

EXECUTIVE SUMMARY

 

REGISTRATION NO.

:

199306551-Z

COMPANY NAME

:

LOUIS DREYFUS COMMODITIES ASIA PTE. LTD.

FORMER NAME

:

LOUIS DREYFUS ASIA PTE LTD (09/11/2006)

INCORPORATION DATE

:

05/10/1993

COMPANY STATUS

:

EXIST

LEGAL FORM

:

PRIVATE LIMITED

LISTED STATUS

:

NO

REGISTERED ADDRESS

:

12, MARINA BOULEVARD, 33-03, MARINA BAY, FINANCIAL CENTRE, 018982, SINGAPORE.

BUSINESS ADDRESS

:

12, MARINA BOULEVARD, 33-03, MARINA BAY FINANCIAL CENTRE, TOWER 3, 018982, SINGAPORE.

TEL.NO.

:

65-67359700

FAX.NO.

:

65-67359600

CONTACT PERSON

:

TIRUMALAI ANANDAM PILLAI KISHEN ( DIRECTOR )

PRINCIPAL ACTIVITY

:

WHOLESALE OF AGRICULTURAL, MINERAL, METAL AND OTHERS

ISSUED AND PAID UP CAPITAL

:

103,231,300.00 ORDINARY SHARE, OF A VALUE OF SGD 103,231,300.00

SALES

:

USD 9,401,647,000 [2013]

NET WORTH

:

USD 364,468,000 [2013]

STAFF STRENGTH

:

N/A

LITIGATION

:

TRACED

FINANCIAL CONDITION

:

FAIR

PAYMENT

:

GOOD

MANAGEMENT CAPABILITY

:

AVERAGE

COMMERCIAL RISK

:

LOW

CURRENCY EXPOSURE

:

MODERATE

GENERAL REPUTATION

:

GOOD

INDUSTRY OUTLOOK

:

AVERAGE GROWTH

 

 

HISTORY / BACKGROUND


The Subject is a private limited company and is allowed to have a minimum of one and a maximum of forty-nine shareholders. As a private limited company, the Subject must have at least two directors. A private limited company is a separate legal entity from its shareholders. As a separate legal entity, the Subject is capable of owning assets, entering into contracts, sue or be sued by other companies. The liabilities of the shareholders are to the extent of the equity they have taken up and the creditors cannot claim on shareholders' personal assets even if the Subject is insolvent. The Subject is governed by the Companies Act and the company must file its annual returns, together with its financial statements with the Registrar of Companies.

 

The Subject is principally engaged in the (as a / as an) wholesale of agricultural, mineral, metal and others.



 

Share Capital History

Date

Issue & Paid Up Capital

19/01/2015

SGD 103,231,300.00

 


The major shareholder(s) of the Subject are shown as follows :


Name

Address

IC/PP/Loc No

Shareholding

(%)

LOUIS DREYFUS COMMODITIES INTERNATIONAL AG

HALDENSTRASSE 37, LUZERN, 6006, SWITZERLAND.

T14UF2119

103,231,300.00

100.00

---------------

------

103,231,300.00

100.00

============

=====

+ Also Director

 


The Subject's interest in other companies (Subsidiaries/Associates) are shown as follow :



Local No

Country

Company

(%)

As At

CHINA

LOUIS DREYFUS COMMODITIES INDIA PRIVATE LTD

100.00

31/12/2013

CHINA

LOUIS DREYFUS (SHANGHAI) CO LTD

100.00

31/12/2013

CHINA

LOUIS DREYFUS PHILIPPINES INC

100.00

31/12/2013

AUSTRALIA

LOUIS DREYFUS COMMODITIES MELBOURNE HOLDINGS PTY LTD

100.00

31/12/2013

201212970C

MALAYSIA

LOUIS DREYFUS COMMODITIES FREIGHT ASIA PTE. LTD.

100.00

31/12/2013

BRITISH INDIAN OCEAN TERRITORY

LOUIS DREYFUS COMMODITIES INVESTMENT LIMITED

100.00

31/12/2013

AUSTRALIA

LOUIS DREYFUS COMMODITIES MELBOURNE JVP PTY LTD

100.00

31/12/2013

CHINA

LOUIS DREYFUS COMMODITIES (HK) ENTERPRISE LIMITED

100.00

31/12/2013

CHINA

LOUIS DREYFUS COMMODITIES VIETNAM CO LTD

100.00

31/12/2013

CHINA

LOUIS DREYFUS COMMODITIES BAZHOU FEEDSTUFF PROTEIN CO LTD

100.00

31/12/2013

AUSTRALIA

LD COMMODITIES AUSTRALIA HOLDINGS PTY LTD

100.00

31/12/2013

201311474

SINGAPORE

ORIENTAL COMMODITIES (SINGAPORE) PTE. LTD.

100.00

31/12/2013

196654T

MALAYSIA

LDT SDN. BHD.

100.00

31/12/2013

CHINA

LOUIS DREYFUS COMMODITIES (HK) HOLDINGS LIMITED

100.00

31/12/2013

CHINA

LOUIS DREYFUS COMMODITIES (BEIJING) TRADING CO LTD

100.00

31/12/2013

201224321

SINGAPORE

LDC ASIA INVESTMENTS PTE. LTD.

100.00

31/12/2013

INDIA

SUNDER AGRI-COMMODITIES INDIA PRIVATE LIMITED

99.98

31/12/2013

INDIA

FOCUS AGRI-COMMODITIES INDIA PRIVATE LIMITED

99.98

31/12/2013

INDIA

PRUDENT AGRI-COMMODITIES INDIA PRIVATE LIMITED

99.98

31/12/2013

INDIA

APEX AGRI-COMMODITIES INDIA PRIVATE LIMITED

99.98

31/12/2013

INDIA

SUNNY AGRI-COMMODITIES INDIA PRIVATE LIMITED

99.98

31/12/2013

INDIA

GROW MORE AGRI-COMMODITIES INDIA PRIVATE LIMITED

99.98

31/12/2013

INDIA

APEX AGRI-COMMODITIES INDIA PRIVATE LIMITED

99.98

31/12/2013

INDONESIA

PT LOUIS DREYFUS COMMODITIES COFFEE INDONESIA

95.00

31/12/2013

INDONESIA

PT LDC INDONESIA

95.00

31/12/2013

CHINA

JIN XING MIANHUA LIMITED

95.00

31/12/2013

201212970C

MALAYSIA

LOUIS DREYFUS COMMODITIES SDN BHD

95.00

31/12/2013

INDONESIA

PT LOUIS DREYFUS COMMODITIES INDONESIA

74.00

31/12/2013

CHINA

LOUIS DREYFUS COMMODITIES (FUJIAN) REFINED SUGAR CO., LTD

67.00

31/12/2013




 

 

 

DIRECTORS

 

DIRECTOR 1

 

Name Of Subject

:

TIRUMALAI ANANDAM PILLAI KISHEN

Address

:

63, PATERSON ROAD, 09-03, THE PATERSON, 238539, SINGAPORE.

IC / PP No

:

G5314015M

Nationality

:

INDIAN

Date of Appointment

:

16/10/2012

 

DIRECTOR 2

 

Name Of Subject

:

JAMES FERNANDO O'DONAHUE

Address

:

30, MOUNT ELIZABETH, 14-32, HIGH POINT, 228519, SINGAPORE.

IC / PP No

:

G6421344Q

Nationality

:

BRITISH

Date of Appointment

:

05/10/2012

 

DIRECTOR 3

 

Name Of Subject

:

CLAUDE PIERRE EHLINGER

IC / PP No

:

GE4925F

Date of Appointment

:

19/11/2007

 

DIRECTOR 4

 

Name Of Subject

:

FRANCOIS-PHILIPPE, ANDRE, JEAN, MARIE, PIC

Address

:

1A, CHEMIN DES SEMAILLES, GRAND-LANCY, 1212, SWITZERLAND.

IC / PP No

:

11CV59524

Nationality

:

FRENCH

Date of Appointment

:

16/10/2012



MANAGEMENT

 

 

1)

Name of Subject

:

TIRUMALAI ANANDAM PILLAI KISHEN

Position

:

DIRECTOR

 

 

 

AUDITOR

 

Auditor

:

DELOITTE & TOUCHE LLP

Auditor' Address

:

N/A

 

 

 

COMPANY SECRETARIES

 

1)

Company Secretary

:

LOH LI PING

IC / PP No

:

S7625605E

Address

:

911, LORONG, 1, TOA PAYOH, 03-03, OLEANDER TOWERS, 319771, SINGAPORE.

 

 

 

BANKING


No Banker found in our databank.

 

 

ENCUMBRANCE (S)


No encumbrance was found in our databank at the time of investigation.

 

 

LITIGATION CHECK AGAINST SUBJECT


* A check has been conducted in our databank against the Subject whether the subject has been involved in any litigation.

 

LEGAL ACTION

 

 

Code No

:

99

Case No

:

1063

Year

:

2006

Place

:

SINGAPORE

Court

:

DISTRICT COURT

Date Filed

:

21/03/2006

Solicitor

:

LAI KAI JIN MICHAEL

Solicitor Ref

:

ML/WT/9100611

Solicitor Firm

:

HAQ & SELVAM

Plaintiff

:

DALIAN HUALIANG ENTERPRISE GROUP CO. LTD
SICHUAN JINSHI OIL DRAFF CO. LTD

Defendants

:

LOUIS DREYFUS COMMODITIES ASIA PTE LTD (199306551)

501, ORCHARD ROAD, 19-01 WHEELOCK PLACE, 238880, SINGAPORE.

Amount Claimed

:

93764

Nature of Claim

:

USD

Remark

:

CONTRACTS - OTHERS


Code No

:

99

Case No

:

158

Year

:

2006

Place

:

SINGAPORE

Court

:

SUPREME COURT

Date Filed

:

21/03/2006

Solicitor

:

LAI KAI JIN MICHAEL

Solicitor Ref

:

ML/WT/9100609

Solicitor Firm

:

HAQ & SELVAM

Plaintiff

:

SHENYANG JINSHI BEAN BRANCH CO. LTD
DALIAN HUALIANG ENTERPRISE GROUP CO. LTD
SICHUAN JINSHI OIL DRAFF CO. LTD

Defendants

:

LOUIS DREYFUS COMMODITIES ASIA PTE LTD (199306551)

501, ORCHARD ROAD, 19-01 WHEELOCK PLACE, 238880, SINGAPORE.

Amount Claimed

:

408068

Nature of Claim

:

USD

Remark

:

CONTRACTS - OTHERS

 

No winding up petition was found in our databank

 

 

 

PAYMENT RECORD

 

SOURCES OF RAW MATERIALS:

Local

:

N/A

Overseas

:

N/A


The Subject refused to disclose its suppliers.

The Subject refused to provide any name of trade/service supplier and we are unable to conduct any trade enquiry. However, from financial historical data we conclude that :

OVERALL PAYMENT HABIT

Prompt 0-30 Days

[

]

Good 31-60 Days

[

X

]

Average 61-90 Days

[

]

Fair 91-120 Days

[

]

Poor >120 Days

[

]

 

 

CLIENTELE

 

Local

:

YES

Domestic Markets

:

SINGAPORE

Overseas

:

YES

Export Market

:

WORLDWIDE

Credit Term

:

AS AGREED

Payment Mode

:

CHEQUES
TELEGRAPHIC TRANSFER (TT)

 

 

OPERATIONS

 

Goods Traded

:

AGRICULTURAL, MINERAL, METAL AND OTHERS

 

Total Number of Employees:

 

YEAR

2014

2013

2012

2011

GROUP

N/A

N/A

N/A

N/A

COMPANY

200

180

120

120

 

Branch

:

NO

Other Information:


The Subject is principally engaged in the (as a / as an) wholesale of agricultural, mineral, metal and others.

The Subject is engaged in the trading of commodity products including, agricultural, metal, cotton and others.

The Subject supplies the products according to its customers requirements.


CURRENT INVESTIGATION

 

Latest fresh investigations carried out on the Subject indicated that :

Telephone Number Provided By Client

:

N/A

Current Telephone Number

:

65-67359700

Match

:

N/A

Address Provided by Client

:

12 MARINA BOULEVARD MARINA BAY FINANCIAL CENTRE TOWER 3 #33-03

SINGAPORE 018982

Current Address

:

12, MARINA BOULEVARD, 33-03, MARINA BAY FINANCIAL CENTRE, TOWER 3, 018982, SINGAPORE.

Match

:

YES

 

Other Investigations


On 25th February 2015 we contacted one of the staff from the Subject's registered office and she provided some information on the Subject.

She refused to disclose the Subject's number of employees.


FINANCIAL ANALYSIS

 

Profitability

Turnover

:

Increased

[

2009 - 2013

]

Profit/(Loss) Before Tax

:

Decreased

[

2009 - 2013

]

Return on Shareholder Funds

:

Acceptable

[

16.68%

]

Return on Net Assets

:

Acceptable

[

19.66%

]

The Subject's turnover increased steadily as the demand for its products / services increased due to the goodwill built up over the years.The dip in profit could be due to the stiff market competition which reduced the Subject's profit margin. The Subject's management had generated acceptable return for its shareholders using its assets.

Working Capital Control

Stock Ratio

:

Favourable

[

1 Days

]

Debtor Ratio

:

Favourable

[

39 Days

]

Creditors Ratio

:

Favourable

[

28 Days

]

The Subject's stocks were moving fast thus reducing its holding cost. This had reduced funds being tied up in stocks. The favourable debtors' days could be due to the good credit control measures implemented by the Subject. The Subject had a favourable creditors' ratio where the Subject could be taking advantage of the cash discounts and also wanting to maintain goodwill with its creditors.

Liquidity

Liquid Ratio

:

Favourable

[

1.32 Times

]

Current Ratio

:

Unfavourable

[

1.34 Times

]

A minimum liquid ratio of 1 should be maintained by the Subject in order to assure its creditors of its ability to meet short term obligations and the Subject was in a good liquidity position. Thus, we believe the Subject is able to meet all its short term obligations as and when they fall due.

Solvency

Interest Cover

:

Unfavourable

[

2.01 Times

]

Gearing Ratio

:

Unfavourable

[

1.03 Times

]

The Subject's interest cover was low. If its profits fall or when interest rate rises, it  may not be able to meet all its interest payment. The Subject was highly geared, thus it had a high financial risk. The Subject was dependent on loans to finance its business needs. In times of economic downturn and / or high interest rate, the Subject will become less profitable and competitive than other firms in the same industry, which are lowly geared. This is because the Subject has to service the interest and to repay the loan, which will erode part of its profits. The profits will fluctuate depending on the Subject's turnover and the interest it needs to pay.

Overall Assessment :

Although the Subject's turnover had increased, its profits had declined over the same corresponding period. This could be due to the stiffer market competition and / or higher operating costs which lowered the Subject's profit margin. The Subject was in good liquidity position with its total current liabilities well covered by its total current assets. With its current net assets, the Subject should be able to repay its short term obligations. If there is a fall in the Subject's profit or any increase in interest rate, the Subject may not be able to generate sufficient cash-flow to service its interest. The Subject's gearing level was high and its going concern will be in doubt if there is no injection of additional shareholders' funds in times of economic downturn and / or high interest rates.

Overall financial condition of the Subject : FAIR

 

 

 

SINGAPORE ECONOMIC / INDUSTRY OUTLOOK

 

Major Economic Indicators :

2009

2010

2011

2012

2013

 

Population (Million)

4.98

5.08

5.18

5.31

5.40

Gross Domestic Products ( % )

(0.8)

14.5

4.9

1.3

3.7

Consumer Price Index

0.6

2.8

5.2

4.6

2.4

Total Imports (Million)

356,299.3

423,221.8

459,655.1

474,554.0

466,762.0

Total Exports (Million)

391,118.1

478,840.7

514,741.2

510,329.0

513,391.0

 

Unemployment Rate (%)

3.2

2.2

2.1

2.0

1.9

Tourist Arrival (Million)

9.68

11.64

13.17

14.49

15.46

Hotel Occupancy Rate (%)

75.8

85.6

86.5

86.4

86.3

Cellular Phone Subscriber (Million)

1.37

1.43

1.50

1.52

1.97

 

Registration of New Companies (No.)

26,414

29,798

32,317

31,892

37,288

Registration of New Companies (%)

4.3

12.8

8.5

(1.3)

9.8

Liquidation of Companies (No.)

22,393

15,126

19,005

17,218

17,369

Liquidation of Companies (%)

113.4

(32.5)

25.6

9.4

(5.3)

 

Registration of New Businesses (No.)

26,876

23,978

23,494

24,788

22,893

Registration of New Businesses (%)

8.15

(10.78)

2.02

5.51

1.70

Liquidation of Businesses (No.)

23,552

24,211

23,005

22,489

22,598

Liquidation of Businesses (%)

11.4

2.8

(5)

(2.2)

0.5

 

Bankruptcy Orders (No.)

2,058

1,537

1,527

1,748

1,992

Bankruptcy Orders (%)

(11.5)

(25.3)

(0.7)

14.5

14.0

Bankruptcy Discharges (No.)

3,056

2,252

1,391

1,881

2,584

Bankruptcy Discharges (%)

103.7

(26.3)

(38.2)

35.2

37.4

 

INDUSTRIES ( % of Growth ) :

Agriculture

Production of Principal Crops

3.25

(0.48)

4.25

3.64

-

Fish Supply & Wholesale

(1.93)

(10.5)

12.10

(0.5)

-

 

Manufacturing *

71.5

92.8

100.0

100.3

102.0

Food, Beverages & Tobacco

90.4

96.4

100.0

103.5

103.5

Textiles

145.9

122.1

100.0

104.0

87.1

Wearing Apparel

211.0

123.3

100.0

92.1

77.8

Leather Products & Footwear

79.5

81.8

100.0

98.6

109.8

Wood & Wood Products

101.4

104.0

100.0

95.5

107.4

Paper & Paper Products

95.4

106.1

100.0

97.4

103.2

Printing & Media

100.9

103.5

100.0

93.0

86.1

Crude Oil Refineries

96.4

95.6

100.0

99.4

93.5

Chemical & Chemical Products

80.3

97.6

100.0

100.5

104.1

Pharmaceutical Products

49.1

75.3

100.0

109.7

107.2

Rubber & Plastic Products

101.2

112.3

100.0

96.5

92.9

Non-metallic Mineral

91.9

92.5

100.0

98.2

97.6

Basic Metals

92.6

102.2

100.0

90.6

76.5

Fabricated Metal Products

90.8

103.6

100.0

104.3

105.1

Machinery & Equipment

57.3

78.5

100.0

112.9

114.5

Electrical Machinery

86.8

124.1

100.0

99.3

108.5

Electronic Components

85.2

113.6

100.0

90.6

94.3

Transport Equipment

96.0

94.0

100.0

106.3

107.5

 

Construction

(36.9)

14.20

20.50

28.70

-

Real Estate

1.4

21.3

25.4

31.9

-

 

Services

Electricity, Gas & Water

1.70

4.00

7.00

6.30

-

Transport, Storage & Communication

3.90

12.80

7.40

5.30

-

Finance & Insurance

(16.4)

(0.4)

8.90

0.50

-

Government Services

4.50

9.70

6.90

6.00

-

Education Services

0.10

(0.9)

(1.4)

0.30

-

 

* Based on Index of Industrial Production (2011 = 100)



INDUSTRY ANALYSIS

 

INDUSTRY :

TRADING

The wholesale and retail trade sectors have expanded by 2.0% in the third quarter of 2014, extending the 1.8 per cent growth in the previous quarter. In 2013, the wholesale and retail sector expanded by 5.0%, after declining by 1.4% the year before. Growth of the sector was driven by the wholesale trade segment.

The domestic wholesale trade index has increased by 3.2% in the fourth quarter of 2013, moderating from the 6.6% growth in the previous quarter. The slower growth was due to a decline in the sales of furniture and household equipment (-12%) and petroleum and petroleum products (-0.6%). For the full year, the domestic wholesale trade index grew by 5.2% reversing the 2.2% decline in 2012. On the other hand, the foreign wholesale trade index has increased by a slower pace of 5.6% in the fourth quarter, compared to the 7.7% expansion in the preceding quarter. The slowdown was due to a fall in the sales of telecommunication equipment and computer (-3.8%) and petroleum and petroleum products (-2.5%). For the full year, the growth of the foreign wholesale trade index moderated slightly to 8.6% from 9.1% in the previous year.

In the fourth quarter of 2013, retail sales volume fell by 6.2%, extending the 5.6% decline in the previous quarter. Excluding motor vehicles, retail sales volume increased by 0.4%, a slower pace of expansion as compared to the 1.6% gain in the preceding quarter. The sales volume of motor vehicles fell by 33% in the fourth quarter of 2013, extending the 32% decline in the previous quarter. Meanwhile, the sales of several discretionary items also fell in the fourth quarter of 2013. For instance, the sales of telecommunications apparatus and computers fell by 12%, while the sales of furniture and household equipment declined by 5.4%.

For the full year, retail sales volume contracted by 4.3%, a reversal from the 1.3% expansion in 2012. Excluding motor vehicle sales, the retail sales volume grew by 1.1% in 2013, slower than the 1.7% increase in 2012. Watches and jewellery recorded the largest increase (11%) in sales in 2013, followed by optical goods and book (3%) and medical goods and toiletries (3%). By contrast, the sales of telecommunications apparatus and computer (-7.3%), furniture and household equipment (-4.2%) and petrol service stations (-1.4) declined in 2013.

OVERALL INDUSTRY OUTLOOK : AVERAGE GROWTH



CREDIT RISK EVALUATION & RECOMMENDATION

 


Incorporated in 1993, the Subject is a Private Limited company, focusing on wholesale of agricultural, mineral, metal and others. The Subject has been in business for over two decades. It has built up a strong clientele base and good reputation will enable the Subject to further enhance its business in the near term.  The Subject is expected to enjoy a stable market shares. The Subject is a large entity with strong capital position of SGD 103,231,300. We are confident with the Subject's business and its future growth prospect. Having strong support from its shareholder has enabled the Subject to remain competitive despite the challenging business environment.

Over the years, the Subject has penetrated into both the local and overseas market. The Subject has positioned itself in the global market and is competing in the industry. Its stable clientele base will enable the Subject to further enhance its business in the near term. Overall, we regard that the Subject's management capability is average. This indicates that the Subject has greater potential to improve its business performance and raising income for the Subject.

Financially, the Subject registered a higher turnover compared to previous year. However, its profits showed a reverse trend. The lower profit achieved was a result of higher operating cost and increased competition. Return on shareholders' funds of the Subject was at an acceptable range which indicated that the management was efficient in utilising its funds to generate income. The Subject is in good liquidity position with its current liabilities well covered by it current assets. Hence, it has sufficient working capital to meet its short term financial obligations. The high gearing ratio clearly implied that the Subject was supported by more debt than equity. Thus, the Subject is exposed to high financial risk. Given a positive net worth standing at USD 364,468,000, the Subject should be able to maintain its business in the near terms.

Having a strong assets backing, the Subject possesses latent assets as collateral for further financial extension. Hence, it has good chance of getting loans if the needs arises.

Overall, the Subject's payment habit is good as the Subject has a good credit control and it could be taking advantage of the cash discounts while maintaining a good reputation with its creditors.

The industry shows an upward trend and this trend is very likely to sustain in the near terms. Hence, the Subject is expected to benefit from the favourable outlook of the industry.

Based on the above condition, we recommend credit be granted to the Subject promptly.

 



PROFIT AND LOSS ACCOUNT

 

THE FINANCIAL STATEMENTS WERE PREPARED IN ACCORDANCE WITH SINGAPORE FINANCIAL REPORTING STANDARDS.

 

Financial Year End

2013-12-31

2012-12-31

2011-12-31

2010-12-31

2009-12-31

Months

12

12

12

12

12

Consolidated Account

Company

Company

Company

GROUP

GROUP

Audited Account

YES

YES

YES

YES

YES

Unqualified Auditor's Report (Clean Opinion)

YES

YES

YES

YES

YES

Financial Type

FULL

FULL

FULL

FULL

FULL

Currency

USD

USD

USD

USD

USD

TURNOVER

9,401,647,000

8,696,379,000

7,838,282,000

7,609,387,000

5,485,150,000

Other Income

5,025,000

5,085,000

11,423,000

-

-

----------------

----------------

----------------

----------------

----------------

Total Turnover

9,406,672,000

8,701,464,000

7,849,705,000

7,609,387,000

5,485,150,000

Costs of Goods Sold

(9,224,391,000)

(8,534,407,000)

(7,655,177,000)

-

-

----------------

----------------

----------------

----------------

----------------

Gross Profit

182,281,000

167,057,000

194,528,000

-

-

----------------

----------------

----------------

----------------

----------------

PROFIT/(LOSS) FROM OPERATIONS

65,492,000

89,178,000

129,615,000

107,317,000

22,439,000

----------------

----------------

----------------

----------------

----------------

PROFIT/(LOSS) BEFORE TAXATION

65,492,000

89,178,000

129,615,000

107,317,000

22,439,000

Taxation

(4,714,000)

(8,673,000)

(11,980,000)

(11,872,000)

(1,441,000)

----------------

----------------

----------------

----------------

----------------

PROFIT/(LOSS) AFTER TAXATION

60,778,000

80,505,000

117,635,000

95,445,000

20,998,000

Minority interests

-

-

-

277,000

(90,000)

----------------

----------------

----------------

----------------

----------------

RETAINED PROFIT/(LOSS) BROUGHT FORWARD

As previously reported

244,526,000

164,021,000

61,386,000

37,701,000

36,522,000

----------------

----------------

----------------

----------------

----------------

As restated

244,526,000

164,021,000

61,386,000

37,701,000

36,522,000

----------------

----------------

----------------

----------------

----------------

PROFIT AVAILABLE FOR APPROPRIATIONS

305,304,000

244,526,000

179,021,000

133,423,000

57,430,000

TRANSFER TO RESERVES - General

-

-

-

634,000

1,271,000

DIVIDENDS - Ordinary (paid & proposed)

(15,000,000)

-

(15,000,000)

(15,000,000)

(21,000,000)

DIVIDENDS - Preference

-

-

-

(57,671,000)

-

----------------

----------------

----------------

----------------

----------------

RETAINED PROFIT/(LOSS) CARRIED FORWARD

290,304,000

244,526,000

164,021,000

61,386,000

37,701,000

=============

=============

=============

=============

=============

INTEREST EXPENSE (as per notes to P&L)

Bank overdraft

26,724,000

23,981,000

-

-

-

Loan from associated companies

27,000

739,000

-

-

-

Term loan / Borrowing

-

-

18,161,000

21,049,000

8,022,000

Others

37,865,000

6,901,000

4,154,000

3,668,000

1,496,000

----------------

----------------

----------------

----------------

----------------

64,616,000

31,621,000

22,315,000

24,717,000

9,518,000

=============

=============

=============

=============

=============

 

 

 

BALANCE SHEET

 

 

ASSETS EMPLOYED:

FIXED ASSETS

3,166,000

2,771,000

2,389,000

113,628,000

43,625,000

LONG TERM INVESTMENTS/OTHER ASSETS

Subsidiary companies

154,161,000

111,463,000

56,276,000

-

-

Associated companies

3,333,000

3,333,000

3,333,000

929,000

752,000

Loans & advances - non-current

-

-

-

3,900,000

612,000

Deferred assets

-

-

-

13,220,000

3,273,000

Others

7,269,000

193,511,000

188,075,000

2,067,000

117,000

----------------

----------------

----------------

----------------

----------------

TOTAL LONG TERM INVESTMENTS/OTHER ASSETS

164,763,000

308,307,000

247,684,000

20,116,000

4,754,000

INTANGIBLE ASSETS

Deferred/Expenditure carried forward

-

-

-

16,677,000

7,483,000

Own goodwill

1,520,000

1,147,000

742,000

3,777,000

1,896,000

----------------

----------------

----------------

----------------

----------------

TOTAL INTANGIBLE ASSETS

1,520,000

1,147,000

742,000

20,454,000

9,379,000

----------------

----------------

----------------

----------------

----------------

TOTAL LONG TERM ASSETS

169,449,000

312,225,000

250,815,000

154,198,000

57,758,000

Stocks

27,703,000

4,294,000

7,572,000

726,485,000

403,712,000

Trade debtors

992,456,000

536,392,000

645,723,000

330,170,000

263,779,000

Other debtors, deposits & prepayments

231,792,000

252,313,000

419,694,000

305,344,000

278,428,000

Short term deposits

1,234,000

19,300,000

-

-

-

Amount due from related companies

79,536,000

-

-

-

-

Cash & bank balances

20,307,000

17,674,000

17,120,000

73,536,000

12,917,000

Others

579,980,000

332,440,000

267,089,000

551,163,000

162,602,000

----------------

----------------

----------------

----------------

----------------

TOTAL CURRENT ASSETS

1,933,008,000

1,162,413,000

1,357,198,000

1,986,698,000

1,121,438,000

----------------

----------------

----------------

----------------

----------------

TOTAL ASSET

2,102,457,000

1,474,638,000

1,608,013,000

2,140,896,000

1,179,196,000

=============

=============

=============

=============

=============

CURRENT LIABILITIES

Trade creditors

698,559,000

292,254,000

367,239,000

284,937,000

219,948,000

Other creditors & accruals

21,202,000

49,281,000

35,422,000

182,085,000

234,844,000

Short term borrowings/Term loans

80,000,000

-

145,618,000

659,589,000

482,809,000

Amounts owing to related companies

325,800,000

-

-

-

-

Provision for taxation

3,631,000

7,422,000

11,354,000

12,574,000

487,000

Other liabilities

311,344,000

213,235,000

196,838,000

400,182,000

119,024,000

----------------

----------------

----------------

----------------

----------------

TOTAL CURRENT LIABILITIES

1,440,536,000

562,192,000

756,471,000

1,539,367,000

1,057,112,000

----------------

----------------

----------------

----------------

----------------

NET CURRENT ASSETS/(LIABILITIES)

492,472,000

600,221,000

600,727,000

447,331,000

64,326,000

----------------

----------------

----------------

----------------

----------------

TOTAL NET ASSETS

661,921,000

912,446,000

851,542,000

601,529,000

122,084,000

=============

=============

=============

=============

=============

SHARE CAPITAL

Ordinary share capital

73,574,000

73,574,000

73,574,000

48,574,000

48,574,000

----------------

----------------

----------------

----------------

----------------

TOTAL SHARE CAPITAL

73,574,000

73,574,000

73,574,000

48,574,000

48,574,000

Capital reserve

652,000

652,000

1,052,000

-

-

General reserve

-

211,000

(29,000)

-

-

Retained profit/(loss) carried forward

290,304,000

244,526,000

164,021,000

61,386,000

37,701,000

Others

(62,000)

-

-

5,984,000

4,215,000

----------------

----------------

----------------

----------------

----------------

TOTAL RESERVES

290,894,000

245,389,000

165,044,000

125,041,000

41,916,000

MINORITY INTEREST

-

-

-

1,146,000

416,000

----------------

----------------

----------------

----------------

----------------

SHAREHOLDERS' FUNDS/EQUITY

364,468,000

318,963,000

238,618,000

174,761,000

90,906,000

Long term loans

297,128,000

593,463,000

612,924,000

411,756,000

25,785,000

Deferred taxation

20,000

20,000

-

14,451,000

4,906,000

Others

305,000

-

-

561,000

487,000

----------------

----------------

----------------

----------------

----------------

TOTAL LONG TERM LIABILITIES

297,453,000

593,483,000

612,924,000

426,768,000

31,178,000

----------------

----------------

----------------

----------------

----------------

661,921,000

912,446,000

851,542,000

601,529,000

122,084,000

=============

=============

=============

=============

=============

 

 

 

FINANCIAL RATIO

 

 

TYPES OF FUNDS

Cash

21,541,000

36,974,000

17,120,000

73,536,000

12,917,000

Net Liquid Funds

21,541,000

36,974,000

17,120,000

73,536,000

12,917,000

Net Liquid Assets

464,769,000

595,927,000

593,155,000

(279,154,000)

(339,386,000)

Net Current Assets/(Liabilities)

492,472,000

600,221,000

600,727,000

447,331,000

64,326,000

Net Tangible Assets

660,401,000

911,299,000

850,800,000

581,075,000

112,705,000

Net Monetary Assets

167,316,000

2,444,000

(19,769,000)

(705,922,000)

(370,564,000)

BALANCE SHEET ITEMS

Total Borrowings

377,128,000

593,463,000

758,542,000

1,071,345,000

508,594,000

Total Liabilities

1,737,989,000

1,155,675,000

1,369,395,000

1,966,135,000

1,088,290,000

Total Assets

2,102,457,000

1,474,638,000

1,608,013,000

2,140,896,000

1,179,196,000

Net Assets

661,921,000

912,446,000

851,542,000

601,529,000

122,084,000

Net Assets Backing

364,468,000

318,963,000

238,618,000

174,761,000

90,906,000

Shareholders' Funds

364,468,000

318,963,000

238,618,000

174,761,000

90,906,000

Total Share Capital

73,574,000

73,574,000

73,574,000

48,574,000

48,574,000

Total Reserves

290,894,000

245,389,000

165,044,000

125,041,000

41,916,000

LIQUIDITY (Times)

Cash Ratio

0.01

0.07

0.02

0.05

0.01

Liquid Ratio

1.32

2.06

1.78

0.82

0.68

Current Ratio

1.34

2.07

1.79

1.29

1.06

WORKING CAPITAL CONTROL (Days)

Stock Ratio

1

0

0

35

27

Debtors Ratio

39

23

30

16

18

Creditors Ratio

28

12

18

14

15

SOLVENCY RATIOS (Times)

Gearing Ratio

1.03

1.86

3.18

6.13

5.59

Liabilities Ratio

4.77

3.62

5.74

11.25

11.97

Times Interest Earned Ratio

2.01

3.82

6.81

5.34

3.36

Assets Backing Ratio

8.98

12.39

11.56

11.96

2.32

PERFORMANCE RATIO (%)

Operating Profit Margin

0.70

1.03

1.65

1.41

0.41

Net Profit Margin

0.65

0.93

1.50

1.26

0.38

Return On Net Assets

19.66

13.24

17.84

21.95

26.18

Return On Capital Employed

19.61

13.22

17.83

21.19

24.23

Return On Shareholders' Funds/Equity

16.68

25.24

49.30

54.77

23.00

Dividend Pay Out Ratio (Times)

0.25

0.00

0.13

0.16

1.00

NOTES TO ACCOUNTS

Contingent Liabilities

0

0

0

0

0

 

 


 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.62.05

UK Pound

1

Rs.96.03

Euro

1

Rs.70.43

 

 

INFORMATION DETAILS

 

Analysis Done by :

RAS

 

 

Report Prepared by :

ANK

 


 

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.