MIRA
INFORM REPORT
|
Report No. : |
300263 |
|
Report Date : |
08.01.2015 |
IDENTIFICATION DETAILS
|
Name : |
TACHÉ COMPANY NV |
|
|
|
|
Registered Office : |
Hoveniersstraat 53, 2018 Antwerpen |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
31.12.2013 |
|
|
|
|
Date of Incorporation : |
18.12.1957 |
|
|
|
|
Com. Reg. No.: |
404991430 |
|
|
|
|
Legal Form : |
Public Limited Liability Company |
|
|
|
|
Line of Business : |
Wholesaler of diamonds and other precious stones |
|
|
|
|
No of Employees : |
38 (31.12.2013) |
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 – September 30, 2014
|
Country Name |
Previous Rating (30.06.2014) |
Current Rating (30.09.2014) |
|
Belgium |
a2 |
a2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
BELGIUM ECONOMIC OVERVIEW
This modern, open, and private-enterprise-based economy
has capitalized on its central geographic location, highly developed transport
network, and diversified industrial and commercial base. Industry is
concentrated mainly in the more heavily-populated region of Flanders in the
north. With few natural resources, Belgium imports substantial quantities of
raw materials and exports a large volume of manufactures, making its economy
vulnerable to volatility in world markets. Roughly three-quarters of Belgium's
trade is with other EU countries, and Belgium has benefited most from its
proximity to Germany. In 2013 Belgian GDP grew by 0.1%, the unemployment rate
increased to 8.8% from 7.6% the previous year, and the government reduced the
budget deficit from a peak of 6% of GDP in 2009 to 3.2%. Despite the relative improvement
in Belgium's budget deficit, public debt hovers around 100% of GDP, a factor
that has contributed to investor perceptions that the country is increasingly
vulnerable to spillover from the euro-zone crisis. Belgian banks were severely
affected by the international financial crisis in 2008 with three major banks
receiving capital injections from the government, and the nationalization of
the Belgian retail arm of a Franco-Belgian bank.
|
Source : CIA |
Company summary
Business number 404991430
Branche Unit Number 2004703750
Company name TACHÉ COMPANY NV
Address HOVENIERSSTRAAT 53
2018 ANTWERPEN
Number of staff 38 (31.12.2013)
Date of establishment 18/12/1957
Telephone number 032341818
Fax number 032318792
Ultimate holding company
Company name Company
Number
Taché Company NV 404991430
Commentary
The business was established over 36 years
ago. 
The business has 38 employees.
The business is part of a group.
This business has a foreign parent business.
The business has been at the address for
over 4 years.
Pre-tax profits increased by 68% compared to
the previous trading period. 
The business saw an increase in their Cash
Balance of 191% during the latest trading period.
Accounts
|
DATE OF LATEST
ACCOUNTS |
TURNOVER |
PROFIT BEFORE
TAX NET WORTH |
WORKING CAPITAL |
|
31/12/2013 |
213,476,038 |
794,833 23,518,781 |
127,819,824 |
|
31/12/2012 |
231,263,566 |
472,453 24,178,969 |
133,043,536 |
|
31/12/2011 |
291,547,520 |
576,539 5,022,400 |
136,457,856 |
Accounts
|
DATE OF LATEST
ACCOUNTS |
BALANCE TOTAL |
NUMBER OF CAPITAL EMPLOYEES |
CASHFLOW |
|
|
31/12/2013 |
196,004,122 |
38 |
20,743,122 |
608,125 |
|
31/12/2012 |
203,533,509 |
40 |
21,681,440 |
560,895 |
|
31/12/2011 |
202,748,906 |
41 |
1,452,550 |
649,649 |
Payment expectations
Payment expectation days 19.10
Industry average payment expectation days 123.43
Industry average day sales outstanding 140.24
Day sales outstanding 104.56
Company information
|
Business number |
404991430 |
Company name |
TACHE COMPANY NV
|
|
Fax number |
032318792 |
Date founded |
18/12/1957
|
|
Company status |
active |
Company type |
Public Limited Liability Company (BE)
|
|
Currency |
Euro (€) |
Date of latest
accounts |
31/12/2013
|
|
Activity code |
46761 |
Liable for VAT |
yes
|
|
Activity description |
Wholesaler of diamonds and other precious stones |
VAT Number |
BE.0404.991.430 |
|
Belgian Bullettin
of Acts Publications |
moniteur belge
|
|
|
Joint Industrial Committee
(JIC)
Event Date 31/10/2012
Event Details De 3847 nieuwe
aandelen worden toegekend aan Tache Enterprises.
Company accounts
Assets
|
Annual
accounts |
31-12-2013 |
% |
31-12-2012 |
% |
31-12-2011 |
% |
31-12-2010 |
% |
31-12-2009 |
||||
|
Weeks |
52 |
|
52 |
|
52 |
|
52 |
|
52 |
||||
|
Currency |
EUR |
|
EUR |
|
EUR |
|
EUR |
|
EUR |
||||
|
Total fixed assets |
1,933,668 |
-11.36 |
2,181,400 |
-9.60 |
2,413,053 |
1.95 |
2,366,810 |
23.33 |
1,919,071 |
||||
|
Intangible fixed assets |
0 |
- |
0 |
- |
0 |
- |
0 |
- |
0 |
||||
|
Tangible fixed assets |
1,907,082 |
-11.45 |
2,153,644 |
-10.42 |
2,404,271 |
1.91 |
2,359,243 |
23.37 |
1,912,386 |
||||
|
Land & building |
1,193,540 |
-8.26 |
1,301,073 |
-5.82 |
1,381,426 |
-0.65 |
1,390,508 |
3.86 |
1,338,849 |
||||
|
Plant & machinery |
621,287 |
-12.82 |
712,654 |
-13.32 |
822,165 |
0.37 |
819,095 |
97.11 |
415,545 |
||||
|
Furniture & Vehicles |
92,254 |
-34.07 |
139,917 |
-30.28 |
200,680 |
34.11 |
149,640 |
-5.29 |
157,992 |
||||
|
Leasing & Other Similar Rights |
- |
- |
- |
- |
- |
- |
- |
- |
- |
||||
|
Other tangible assets |
1 |
- |
0 |
- |
0 |
- |
0 |
- |
0 |
||||
|
Financial fixed assets |
26,586 |
-4.22 |
27,756 |
216 |
8,782 |
16.07 |
7,566 |
13.18 |
6,685 |
||||
|
Total current assets |
194,070,454 |
-3.62 |
201,352,109 |
0.51 |
200,335,853 |
19.68 |
167,387,376 |
10.52 |
151,450,434 |
||||
|
Inventories |
125,631,936 |
0.79 |
124,650,136 |
-10.23 |
138,860,859 |
19.53 |
116,167,649 |
9.06 |
106,520,800 |
||||
|
Finished goods |
125,631,936 |
0.79 |
124,650,136 |
-10.23 |
138,860,859 |
19.53 |
116,167,649 |
9.06 |
106,520,800 |
||||
|
Trade debtors |
61,151,673 |
-13.39 |
70,607,884 |
23.65 |
57,102,844 |
20.12 |
47,540,059 |
15.59 |
41,127,285 |
||||
|
Other amounts receivable |
3,792,128 |
-6.31 |
4,047,571 |
37.02 |
2,953,950 |
37.37 |
2,150,284 |
-8.86 |
2,359,263 |
||||
|
Cash |
2,285,509 |
191 |
784,648 |
27.46 |
615,596 |
241 |
180,094 |
-35.20 |
277,941 |
||||
|
Miscellaneous current assets |
59,186 |
-61.56 |
153,961 |
418 |
29,703 |
-95.06 |
600,890 |
27.59 |
470,945 |
||||
|
Total Assets |
196,004,122 |
-3.70 |
203,533,509 |
0.39 |
202,748,906 |
19.44 |
169,754,186 |
10.68 |
153,369,505 |
||||
|
Liabilities |
|
|
|
|
|
|
|
|
|
||||
|
Total shareholder equity |
23,518,781 |
-2.73 |
24,178,969 |
381 |
5,022,400 |
10.88 |
4,529,634 |
13.47 |
3,991,921 |
||||
|
Issued share capital |
20,743,122 |
-4.33 |
21,681,440 |
1392 |
1,452,550 |
3.27 |
1,406,506 |
7.81 |
1,304,645 |
||||
|
Share premium account |
--- |
--- |
--- |
---- |
1335499 |
3.27 |
1293165 |
7.81 |
1199512 |
||||
|
Reserves |
2,775,659 |
11.14 |
2,497,529 |
11.78 |
2,234,351 |
22.10 |
1,829,963 |
23.00 |
1,487,764 |
||||
|
Creditors |
172,485,341 |
-3.83 |
179,354,540 |
-9.29 |
197,726,506 |
19.67 |
165,224,552 |
10.61 |
149,377,585 |
||||
|
Other long term loans |
- |
- |
- |
- |
- |
- |
- |
- |
8,580 |
||||
|
Other long term liabilities |
106,234,711 |
-4.33 |
111,045,967 |
-17.04 |
133,848,509 |
3.10 |
129,821,164 |
7.64 |
120,610,280 |
||||
|
Total long term debts |
106,234,711 |
-4.33 |
111,045,967 |
-17.04 |
133,848,509 |
3.10 |
129,821,164 |
7.63 |
120,618,860 |
||||
|
Current portion of long term debt |
- |
- |
- |
- |
- |
- |
- |
- |
5,298 |
||||
|
Financial debts |
54,772,155 |
23.94 |
44,193,801 |
-16.17 |
52,717,139 |
109 |
25,196,574 |
15.72 |
21,773,717 |
||||
|
Trade creditors |
10,685,832 |
-31.41 |
15,578,787 |
55.55 |
10,015,397 |
8.48 |
9,232,464 |
49.58 |
6,172,069 |
||||
|
Amounts Payable for Taxes, Remuneration
& Social Security |
211,495 |
-38.97 |
346,563 |
-25.36 |
464,319 |
49.88 |
309,803 |
1.35 |
305,675 |
||||
|
Miscellaneous current liabilities |
581,148 |
-92.90 |
8,189,422 |
1102 |
681,142 |
2.50 |
664,547 |
32.39 |
501,965 |
||||
|
Total current liabilities |
66,250,630 |
-3.01 |
68,308,573 |
6.94 |
63,877,997 |
80.43 |
35,403,388 |
23.10 |
28,758,724 |
||||
|
Total Liabilities |
196,004,122 |
-3.70 |
203,533,509 |
0.39 |
202,748,906 |
19.44 |
169,754,186 |
10.68 |
153,369,505 |
||||
Ratio Analysis
|
Annual accounts |
31-12-2013 |
% |
31-12-2012 |
% |
31-12-2011 |
% |
31-12-2010 |
% |
31-12-2009 |
|||||
|
Weeks |
52 |
|
52 |
|
52 |
|
52 |
|
52 |
|||||
|
Currency |
EUR |
|
EUR |
|
EUR |
|
EUR |
|
EUR |
|||||
|
TRADING PERFORMANCE |
|
|
|
|
|
|
|
|
|
|||||
|
Profit Before Tax |
0.37 |
85.00 |
0.20 |
0 |
0.20 |
25.00 |
0.16 |
-51.52 |
0.33 |
|||||
|
Return on capital employed |
0.61 |
74.29 |
0.35 |
-16.67 |
0.42 |
82.61 |
0.23 |
-34.29 |
0.35 |
|||||
|
Return on total assets employed |
0.41 |
78.26 |
0.23 |
-17.86 |
0.28 |
55.56 |
0.18 |
-35.71 |
0.28 |
|||||
|
Return on net assets employed |
3.38 |
73.33 |
1.95 |
-83.01 |
11.48 |
70.07 |
6.75 |
-37.67 |
10.83 |
|||||
|
Sales / net working capital |
1.67 |
-4.02 |
1.74 |
-18.69 |
2.14 |
49.65 |
1.43 |
34.91 |
1.06 |
|||||
|
|
|
|
|
|
|
|
|
|
|
|||||
|
Stock turnover ratio |
58.85 |
9.18 |
53.90 |
13.16 |
47.63 |
-22.52 |
61.47 |
-25.09 |
82.06 |
|||||
|
Creditor days |
19.10 |
-25.74 |
25.72 |
97.09 |
13.05 |
-30.99 |
18.91 |
0.80 |
18.76 |
|||||
|
Debtor days |
104.56 |
-6.17 |
111.44 |
55.88 |
71.49 |
-22.13 |
91.81 |
-20.61 |
115.64 |
|||||
|
SHORT TERM STABILITY |
|
|
|
|
|
|
|
|
|
|||||
|
Current ratio |
2.93 |
-0.68 |
2.95 |
-6.05 |
3.14 |
-33.62 |
4.73 |
-10.25 |
5.27 |
|||||
|
Liquidity ratio / acid ratio |
1.03 |
-8.04 |
1.12 |
16.67 |
0.96 |
-33.79 |
1.45 |
-7.05 |
1.56 |
|||||
|
Current debt ratio |
2.82 |
-0.35 |
2.83 |
-77.75 |
12.72 |
62.66 |
7.82 |
8.61 |
7.20 |
|||||
|
Cashflow |
608,125 |
8.42 |
560,895 |
-13.66 |
649,649 |
37.39 |
472,849 |
19.13 |
396,930 |
|||||
|
Net worth |
23,518,781 |
-2.73 |
24,178,969 |
381 |
5,022,400 |
10.88 |
4,529,634 |
13.47 |
3,991,921 |
|||||
|
LONG TERM STABILITY |
|
|
|
|
|
|
|
|
|
|||||
|
Gearing |
232.89 |
27.42 |
182.78 |
-82.59 |
1,049.64 |
88.70 |
556.26 |
1.92 |
545.79 |
|||||
|
Equity in percentage |
12.00 |
1.01 |
11.88 |
379 |
2.48 |
-7.12 |
2.67 |
2.69 |
2.60 |
|||||
|
Total debt ratio |
7.33 |
-1.21 |
7.42 |
-81.15 |
39.37 |
7.92 |
36.48 |
-2.51 |
37.42 |
|||||
|
Working capital |
127,819,824 |
-3.93 |
133,043,536 |
-2.50 |
136,457,856 |
3.39 |
131,983,988 |
7.57 |
122,691,710 |
|||||
Profit & loss
|
Annual
accounts |
31-12-2013 |
% |
31-12-2012 |
% |
31-12-2011 |
% |
31-12-2010 |
% |
31-12-2009 |
|
Weeks |
52 |
|
52 |
|
52 |
|
52 |
|
52 |
|
Currency |
EUR |
|
EUR |
|
EUR |
|
EUR |
|
EUR |
|
Operating Income |
213,737,443 |
-7.69 |
231,543,352 |
-20.66 |
291,823,235 |
54.35 |
189,064,898 |
45.55 |
129,897,604 |
|
Turnover |
213,476,038 |
-7.69 |
231,263,566 |
-20.68 |
291,547,520 |
54.26 |
188,991,399 |
45.58 |
129,816,215 |
|
Total operating expenses |
204,185,411 |
-7.65 |
221,102,478 |
-21.07 |
280,116,884 |
57.17 |
178,229,501 |
48.46 |
120,055,251 |
|
Operating Charges |
204,446,816 |
-7.65 |
221,382,264 |
-21.05 |
280,392,599 |
57.26 |
178,303,000 |
48.42 |
120,136,640 |
|
Employee costs |
1,676,072 |
-1.69 |
1,704,957 |
6.57 |
1,599,909 |
18.31 |
1,352,347 |
11.79 |
1,209,746 |
|
Wages and salary |
1,249,269 |
-2.89 |
1,286,424 |
19.60 |
1,075,628 |
21.55 |
884,954 |
10.00 |
804,488 |
|
Social security contributions |
324,398 |
-0.78 |
326,948 |
-24.47 |
432,886 |
13.48 |
381,450 |
13.55 |
335,946 |
|
Other employee costs |
102,404 |
11.81 |
91,585 |
0.21 |
91,395 |
6.34 |
85,943 |
23.99 |
69,313 |
|
Director remuneration |
334,041 |
- |
- |
- |
434,270 |
13.23 |
383,523 |
24.97 |
306,893 |
|
Amortization and depreciation |
221,908 |
-12.76 |
254,354 |
-16.65 |
305,168 |
23.65 |
246,807 |
23.11 |
200,473 |
|
Operating result |
9,290,627 |
-8.57 |
10,161,088 |
-11.11 |
11,430,636 |
6.21 |
10,761,898 |
10.25 |
9,760,964 |
|
Total financial income |
805,216 |
-45.82 |
1,486,138 |
3198 |
45,055 |
145 |
18,369 |
-55.57 |
41,343 |
|
Total financial expenses |
9,301,011 |
-16.77 |
11,174,773 |
2.53 |
10,899,151 |
4.06 |
10,474,378 |
11.79 |
9,370,030 |
|
Results on ordinary operations before
taxation |
794,833 |
68.24 |
472,453 |
-18.05 |
576,539 |
88.48 |
305,889 |
-29.24 |
432,277 |
|
Extraordinary Income |
5,801 |
199 |
1,936 |
96.55 |
985 |
-97.82 |
45,147 |
13877 |
323 |
|
Extraordinary Charges |
389,205 |
1378 |
26,329 |
299 |
6,589 |
- |
- |
- |
155,185 |
|
Extraordinary items |
-383,404 |
-1471 |
-24,393 |
-335 |
-5,604 |
-112 |
45,147 |
29.15 |
-154,862 |
|
Results for the Year Before Taxation |
411,429 |
-8.18 |
448,060 |
-21.52 |
570,934 |
62.64 |
351,036 |
26.54 |
277,416 |
|
Taxation |
25,212 |
-82.18 |
141,519 |
-37.51 |
226,454 |
81.17 |
124,994 |
54.39 |
80,959 |
|
Results on ordinary operations after
taxation |
769,621 |
132 |
330,934 |
-5.47 |
350,085 |
93.53 |
180,895 |
-48.51 |
351,318 |
|
Net result |
386,217 |
25.99 |
306,541 |
-11.01 |
344,481 |
52.40 |
226,042 |
15.06 |
196,457 |
|
Profit (Loss) for the year to be appropriated |
386,217 |
25.99 |
306,541 |
-11.01 |
344,481 |
52.40 |
226,042 |
15.06 |
196,457 |
Social Balance Sheet Details
Social Balance
Sheet Total
During the reporting year
ended 31-12-2013
Full-time Employees 40
Part-time Employees -
Total Fte
Employees 40
Number of hours worked
Full-time Employees 68,778
Part-time Employees -
Total 68,778
Personnel Charges
Full-time Employees 1,676,072
Part-time Employees -
Total 1,676,072
Benefits In Addition To Wages -
During the previous reporting year
Average number employees in Fte 42
Actual working hours
71,513
Personnel Charges
1,631,171
|
Type of Contract |
Full -Time |
Total Fte |
|
Unlimited Duration Contracts |
37 |
37 |
|
Limited Duration Contracts |
1 |
1 |
|
Gender and
Education Level |
|||
|
Men |
Full-Time |
Total Fte |
|
|
Primary education |
5 |
5 |
|
|
Secondary education |
12 |
12 |
|
|
Higher education (non-university) |
1 |
1 |
|
|
Women |
Full-Time |
Total Fte |
|
Primary education |
4 |
4 |
|
Secondary education |
16 |
16 |
|
Working Category |
Full-Time |
Total Fte |
|
White collar worker |
29 |
29 |
|
Blue collar worker |
9 |
9 |
|
Other |
- |
9 |
|
New staff and leavers |
Full-Time |
Total Fte |
|
New Starters |
5 |
5 |
|
Leavers |
7 |
7 |
Payment expectations
Payment expectation days 19.10
Day sales outstanding 104.56
Industry comparison
Activity code 46761
Activity description Wholesaler
of diamonds and other precious stones
Industry average payment
expectation days 123.43
Industry average day sales
Outstanding 140.24
Industry quartile analysis
Payment expectations
Company result 19.10
Lower 120.92
Median 74.63
Upper 5.88
Day sales outstanding
Company result 104.56
Lower 102.27
Median 53.69
Upper 24.07
Summary
Group - Number of
Companies 2
Linkages - Number
of Companies 5
Number of
Countries 3
Group Structure
|
Company name |
Latest
financials |
|
TACHE COMPANY NV |
31-12-2013 |
|
TACHE & COMPANY ITALIA S.R.L. |
--- |
Minority Shareholders
No minority
shareholders found
Minority Interests
Business Number Company name % Date
of accounts
434165664 European Diamond Company
in vereffening BVBA 49 31/12/2009
448601046 Smolensk Diamonds NV 0.02 31/12/2013
Linked Companies
Summary
Group - Number of Companies 2
Linkages - Number of Companies 5
Number of Countries 3
linked Companies
NAME NUMBER LATEST KEY FINANCIALS TURNOVER
EUROPEAN DIAMOND
COMPANY IN 434165664
31.12.2009 €1.182.223
VEREFFENING BVBA
SMOLENSK DIAMONDS NV 448601046
31.12.2013 €138.616.135
UBM DIAMOND NV 452844993
31.12.2012 ---
SMOLENSK DIAMONDS ISRAEL ---- ---- ----
SMOLENSK DIAMONDS USA ---- ---- ---
Summons
there is no data
for this company
Protested
Bills
there is no data
for this company
Bankruptcy and
other legal events
there is no data
for this company
Director details
Current Director
Details
Name JEAN-JACQUES TACHE
Position Director
Start Date 01/08/2007
Street 72 ACACIALAAN
ANTWERPEN
Post code 2610
Country Belgium
Name ANNE FORTUNÉE
TACHÉ
Position Director
Start Date 01/10/2010
Date of birth 24/11/1972
Street 32 BERKENLAAN
ANTWERPEN
Post code 2610
Country Belgium
Name JACQUES TACHÉ
Position Managing Director
Start Date 09/11/2010
Street 34 PETER
BENOITSTRAAT ANTWERPEN
Post code 2018
Country Belgium
Position Director
Start Date 09/11/2010
Street 34 PETER
BENOITSTRAAT ANTWERPEN
Post code 2018
Country Belgium
Name JOSEPH TACHÉ
Position Director
Start Date 09/11/2010
Street 50
BAILLET-LATOURLEI BRASSCHAAT
Post code 2930
Country Belgium
Name ISAAC TACHE
Position Director
Start Date 09/11/2010
Date of birth 06/08/1940
Street 85 FRILINGLEI
BRASSCHAAT
Post code 2930
Country Belgium
Name TANIA TACHÉ
Position Director
Start Date 03/01/2014
Street 13 LOUISLEI
BRASSCHAAT
Post code 2930
Country Belgium
Name JEAN TACHÉ
Position Director
Start Date 01/08/2007
Current mandates in other companies
Name Taché Certificates
BVBA
Business number 845877711
Position Principal Manager
Start Date 07/05/2012
Former director details
Name JOSEPH TACHÉ
Position Managing Director
Start Date 09/11/2010
End Date 16/05/2011
Street 50
BAILLET-LATOURLEI BRASSCHAAT
Post code 2930
Country Belgium
Name ISAAC TACHE
Position Managing Director
Start Date 28/02/1978
End Date 30/06/1999
Date of birth 06/08/1940
Street 85 FRILINGLEI
BRASSCHAAT
Post code 2930
Country Belgium
Name LOUIS STELMAN
Position Director
Start Date 01/01/2010
End Date 30/06/2012
Street 32 HENRILEI
BRASSCHAAT
Post code 2930
Country Belgium
DIAMOND INDUSTRY – INDIA
-
From time immemorial, India is well known in the world as the birthplace
for diamonds. It is difficult to trace the origin of diamonds but history
says that in the remote past, diamonds were mined only in India. Diamond
production in India can be traced back to almost 8th Century B.C.
India, in fact, remained undisputed leader till 18th Century
when Brazilian fields were discovered in 1725 followed by emergence of S.
Africa, Russia and Australia.
-
The achievement of the Indian diamond industry was possible only due to
combination of the manufacturing skills of the Indian workforce and the
untiring and unflagging efforts of the Indian diamantaires, supported by
progressive Government policies.
-
The area of study of family owned diamond businesses derives its
importance from the huge conglomerate of family run organizations which operate
in the diamond industry since many generations.
-
Some of the basic traits of family run business enterprises include
spirit of entrepreneurship, mutual trust lowers transaction costs, small,
nimble and quick to react, information as a source of advantage and
philanthropy.
-
Family owned diamond businesses need to improve on many fronts including
higher standard of corporate governance, long-term performance – focused
strategies, modern management and technology.
-
Utmost caution is to be exercised while dealing with some medium and
large diamond traders which are usually engaged in fictitious import – export,
inter-company transactions, financially assisted by banks. In the process,
several public sector banks lost several hundred million rupees. They mostly
diverted borrowed money for diamond business into real estate and capital
markets.
-
Excerpts from Times of India dated 30th October 2010 is as
under –
-
Gem & Jewellery Export Promotion Council in its statistical data has
shown the export of polished diamonds to have increase by 28 % in February
2013. Compared to $ 1.4 bn worth of polished diamond export in February, 2012,
India exported $ 1.84 billion worth of polished diamonds in February 2013. A senior
executive of GJEPC said, “Export of cut and polished diamonds started falling
month-wise after the imposition of 2 % of import duty on the polished diamonds.
But February, 2013 has given a new ray of hope to the industry as the export of
polished diamonds has actually increased by 28 %. It means the industry
is on the track of recovery and round tripping of diamonds has stopped
completely.” Demand has started coming from the US, the UK, Japan and China.
India’s polished diamond export is expected to cross $ 21 bn in 2013-14.
-
The banking sector has started exercising restraint while following
prudent risk management norms when lending money to gems and jewellery sector.
This follows the implementation of Basel III accord – a global voluntary
regulatory standard on bank capital adequacy, stress testing and market
liquidity.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.63.45 |
|
UK Pound |
1 |
Rs.95.99 |
|
Euro |
1 |
Rs.75.28 |
INFORMATION DETAILS
|
Analysis Done by
: |
DIV |
|
|
|
|
Report Prepared
by : |
MNL |
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.