MIRA INFORM REPORT

 

 

Report No. :

329687

Report Date :

03.07.2015

 

IDENTIFICATION DETAILS

 

Name :

WOLECO HOTEL SUPPLIES PTE LTD

 

 

Registered Office :

80, Raffles Place, 32-01, Uob Plaza, 048624

 

 

Country :

Singapore

 

 

Financials (as on) :

31.12.2013

 

 

Date of Incorporation :

10.01.1986

 

 

Com. Reg. No.:

198600074-M

 

 

Legal Form :

Private Limited

 

 

Line of Business :

Trading of Hotel Appliances.

 

 

No. of Employees :

30 [2015]

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Status :

Moderate

 

 

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 – March 31, 2015

 

Country Name

Previous Rating

(31.12.2014)

Current Rating

(31.03.2015)

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. Unemployment is very low. The economy depends heavily on exports, particularly of consumer electronics, information technology products, medical and optical devices, pharmaceuticals, and on its vibrant transportation, business, and financial services sectors. The economy contracted 0.6% in 2009 as a result of the global financial crisis, but has continued to grow since 2010 on the strength of renewed exports. Growth in 2014 was slower at 2.9%, largely a result of soft demand for exports amid a sluggish global economy and weak growth in Singapore’s manufacturing sector. The government is attempting to restructure Singapore’s economy by weaning its dependence on foreign labor, addressing weak productivity, and increasing Singaporean wages. Singapore has attracted major investments in pharmaceuticals and medical technology production and will continue efforts to strengthen its position as Southeast Asia's leading financial and high-tech hub. Singapore is a member of the 12-nation Trans-Pacific Partnership free trade negotiations, the Regional Comprehensive Economic Partnership negotiations with the nine other ASEAN members plus Australia, China, India, Japan, South Korea and New Zealand, and in 2015, Singapore will form, with the other ASEAN members, the ASEAN Economic Community.

 

Source : CIA

 

EXECUTIVE SUMMARY

 

 

REGISTRATION NO.

:

198600074-M

COMPANY NAME

:

WOLECO HOTEL SUPPLIES PTE LTD

FORMER NAME

:

N/A

INCORPORATION DATE

:

10/01/1986

COMPANY STATUS

:

EXIST

LEGAL FORM

:

PRIVATE LIMITED

LISTED STATUS

:

NO

REGISTERED ADDRESS

:

80, RAFFLES PLACE, 32-01, UOB PLAZA, 048624, SINGAPORE.

BUSINESS ADDRESS

:

CITILINK WAREHOUSE COMPLEX, BLOCK 102E, 05-01/02, PASIR PANJANG ROAD, 118529, SINGAPORE.

TEL.NO.

:

65-62726700

FAX.NO.

:

65-62728834

WEB SITE

:

WWW.WOLECO.COM

CONTACT PERSON

:

SIVAGNANARATNAM SIVANESAN ( DIRECTOR )

PRINCIPAL ACTIVITY

:

TRADING HOTEL APPLIANCES

ISSUED AND PAID UP CAPITAL

:

26,335,157.00 ORDINARY SHARE, OF A VALUE OF SGD 15,287,824.00
1,900,000.00 PREFERENCE SHARE, OF A VALUE OF SGD 1,900,000.00

SALES

:

SGD 25,421,070 [2013]

NET WORTH

:

SGD 1,809,764 [2013]

STAFF STRENGTH

:

30 [2015]

BANKER (S)

:

THE HONGKONG AND SHANGHAI BANKING CORPORATION LIMITED

LITIGATION

:

CLEAR

FINANCIAL CONDITION

:

POOR

PAYMENT

:

POOR

MANAGEMENT CAPABILITY

:

AVERAGE

COMMERCIAL RISK

:

MODERATE

CURRENCY EXPOSURE

:

MODERATE

GENERAL REPUTATION

:

SATISFACTORY

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) trading hotel appliances.

 

The ultimate holding company of the Subject is HUNTER AMENITIES INTERNATIONAL LTD., a company incorporated in CANADA.

 

Share Capital History

Date

Issue & Paid Up Capital

01/07/2015

SGD 17,187,824.00

 

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

 

Name

Address

IC/PP/Loc No

Shareholding

(%)

HUNTER AMENITIES INTERNATIONAL LTD.
[26,335,157 ORDINARY SHARES & 1,900,000 PREFERENCE SHARES]

1205, CORPORATE DRIVE, BURLINGTON, ONTARIO, L7L 5V5, CANADA.

T11UF3673

28,235,157.00

100.00

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

------

28,235,157.00

100.00

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

=====

+ Also Director

 

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

 

Local No

Country

Company

(%)

As At

INDIA

WOLECO INDIA PTE LTD

100.00

31/12/2013

CHINA

TIANJIN WOLECO HOTEL SUPPLIES

100.00

31/12/2013

THAILAND

SAA WOLECO CO. LTD

100.00

31/12/2013

THAILAND

SAA WOLECO HOLDING CO. LTD

100.00

31/12/2013

TAIWAN

ADLER HOTEL SUPPLIES LTD.

100.00

31/12/2013

INDONESIA

PT WOLECO AMENITIES & ACCESSORIES

100.00

31/12/2013

166323A

MALAYSIA

WOLECO HOTEL SUPPLIES SDN. BHD.

100.00

31/12/2013



DIRECTORS

 

DIRECTOR 1

 

Name Of Subject

:

BERNY AMIEL

Address

:

74, SPRING AZURE CRESCENT, OAKVILLE, ON 6V8, CANADA.

IC / PP No

:

GB872520

Nationality

:

CANADIAN

Date of Appointment

:

13/09/2011

 

DIRECTOR 2

 

Name Of Subject

:

SIVAGNANARATNAM SIVANESA

Address

:

8B, ROBIN DRIVE, 258265, SINGAPORE.

IC / PP No

:

S1503703B

Nationality

:

SINGAPOREAN

Date of Appointment

:

16/01/2014

 

DIRECTOR 3

 

Name Of Subject

:

JOHN DANIEL HUNTER

Address

:

4013, LANTERN LANE, BURLINGTON, ONTARIO L7L 5Z2, CANADA.

IC / PP No

:

GB829620

Nationality

:

CANADIAN

Date of Appointment

:

13/09/2011

 

DIRECTOR 4

 

Name Of Subject

:

THOMAS KIRBY RUDLAND

Address

:

1199, VILLAGE ROAD, CAMBRIDGE, ONTARIO N1R 5S7, CANADA.

IC / PP No

:

GL267564

Nationality

:

CANADIAN

Date of Appointment

:

01/02/2013

 

DIRECTOR 5

 

Name Of Subject

:

DARREN CHARLES VAN NECK

Address

:

7K, HILLCREST ROAD, HILLCREST VILLA, 286693, SINGAPORE.

IC / PP No

:

G3071500X

Nationality

:

CANADIAN

Date of Appointment

:

31/12/2014


MANAGEMENT

 

 

 

1)

Name of Subject

:

DARREN CHARLES VAN NECK

Position

:

MANAGING DIRECTOR

 

2)

Name of Subject

:

SIVAGNANARATNAM SIVANESAN

Position

:

DIRECTOR

 

 

 

AUDITOR

 

Auditor

:

DELOITTE & TOUCHE LLP

Auditor' Address

:

N/A

 

 

 

COMPANY SECRETARIES

 

1)

Company Secretary

:

SIVAGNANARATNAM SIVANESA

IC / PP No

:

S1503703B

Address

:

8B, ROBIN DRIVE, 258265, SINGAPORE.

 

2)

Company Secretary

:

M. SIVAANANTHAN

IC / PP No

:

S0181790F

Address

:

101B, LORONG 2, TOA PAYOH, 06-09, 311101, SINGAPORE.

 

 

 

BANKING


Banking relations are maintained principally with :

1)

Name

:

THE HONGKONG AND SHANGHAI BANKING CORPORATION LIMITED

 

 

 

ENCUMBRANCE (S)

 

Charge No

Creation Date

Charge Description

Chargee Name

Total Charge

Status

C201301513

28/01/2013

N/A

THE HONGKONG AND SHANGHAI BANKING CORPORATION LIMITED

-

Unsatisfied

 

 

LITIGATION CHECK AGAINST SUBJECT


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

No legal action was found in our databank.

No winding up petition was found in our databank.

 

PAYMENT RECORD

 

 

SOURCES OF RAW MATERIALS:

Local

:

YES

Overseas

:

YES



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

[

]

Average 61-90 Days

[

]

Fair 91-120 Days

[

]

Poor >120 Days

[

X

]

 

 

CLIENTELE

 

Local

:

YES

Domestic Markets

:

SINGAPORE

Overseas

:

YES

Export Market

:

ASIA

Credit Term

:

N/A

Payment Mode

:

CHEQUES
TELEGRAPHIC TRANSFER (TT)

Type of Customer

:

HOTELS

 

 

OPERATIONS

 

Goods Traded

:

HOTEL APPLIANCES

 

Total Number of Employees:

YEAR

2015

2013

GROUP

N/A

N/A

COMPANY

30

30

 

Branch

:

NO

 

Other Information:


The Subject is principally engaged in the (as a / as an) trading hotel appliances.

The Subject is the head office of Woleco group of companies.

The Subject supplies all kinds of hotel appliances to hotels and resorts.


CURRENT INVESTIGATION

 

Latest fresh investigations carried out on the Subject indicated that :

 

Telephone Number Provided By Client

:

N/A

Current Telephone Number

:

65-62726700

Match

:

N/A

Address Provided by Client

:

CITILINK WAREHOUSE COMPLEX BLOCK 102E NO 05-01/02 PASIR PANJANG ROAD SINGAPORE 118529

Current Address

:

CITILINK WAREHOUSE COMPLEX, BLOCK 102E, 05-01/02, PASIR PANJANG ROAD, 118529, SINGAPORE.

Match

:

YES

 

Other Investigations


We contacted one of the staff from the Subject and he provided some information.



FINANCIAL ANALYSIS

 

Profitability

Turnover

:

Increased

[

2009 - 2013

]

Profit/(Loss) Before Tax

:

Increased

[

2009 - 2013

]

Return on Shareholder Funds

:

Unfavourable

[

(160.04%)

]

Return on Net Assets

:

Unfavourable

[

(149.92%)

]

The Subject's turnover increased steadily as the demand for its products / services increased due to the goodwill built up over the years.Higher losses before tax during the year could be due to the higher operating costs incurred. The Subject's unfavourable returns on shareholders' funds indicate the management's inefficiency in utilising its assets to generate returns.

Working Capital Control

Stock Ratio

:

Unfavourable

[

85 Days

]

Debtor Ratio

:

Unfavourable

[

78 Days

]

Creditors Ratio

:

Unfavourable

[

141 Days

]

The Subject could be incurring higher holding cost. As its capital was tied up in stocks, it could face liquidity problems. The high debtors' ratio could indicate that the Subject was weak in its credit control. However, the Subject could also giving longer credit periods to its customers in order to boost its sales or to capture / retain its market share. The unfavourable creditors' ratio could be due to the Subject taking advantage of the credit granted by its suppliers. However this may affect the goodwill between the Subject and its suppliers and the Subject may inadvertently have to pay more for its future supplies.

Liquidity

Liquid Ratio

:

Unfavourable

[

0.62 Times

]

Current Ratio

:

Unfavourable

[

0.96 Times

]

A low liquid ratio means that the Subject may be facing working capital deficiency. If the Subject cannot obtain additional financing or injection of fresh capital, it may face difficulties in meeting its short term obligations.

Solvency

Interest Cover

:

Unfavourable

[

(14.81 Times)

]

Gearing Ratio

:

Unfavourable

[

3.63 Times

]

The Subject incurred losses in the year. It did not generate sufficient income to service its interest.  If the situation does not improve, the Subject may be vulnerable to default in servicing the interest. 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 increased its profits however showed a reverse trend. The losses could be due to the management's failure to maintain its competitiveness in the market. Due to its weak liquidity position, the Subject will be faced with problems in meeting all its short term obligations if no short term loan is obtained or additional capital injected into the Subject. The Subject's interest cover was negative, indicating that it did not generate sufficient income to service its interest. If its result does not show impressive improvements or succeed obtaining short term financing or capital injection, it may not be able to service its interest and repay the loans. 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 : POOR

 

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 1986, the Subject is a Private Limited company, focusing on trading hotel appliances. The Subject has been in business for over two decades. It has built up a strong clientele base and satisfactory reputation will enable the Subject to further enhance its business in the near term. The Subject is expected to enjoy a stable market shares. We noted that the issued and paid up capital of the Subject stands at SGD 17,187,824 and having strong backing from its holding company.


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. Being a small company, the Subject's business operation is supported by 30 employees. 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.

Despite the higher turnover, the Subject suffered pre-tax losses which reflected a highly competitive business environment. The Subject has generated an unfavourable return on shareholders' funds indicating that the management was inefficient in utilising its funds to generate return. Due to its weak liquidity position, the Subject may face working capital deficiency in meeting its short term financial obligations if no fresh capital are injected into the Subject. 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 SGD 1,809,764, the Subject should be able to maintain its business in the near terms.


Without a strong assets backing, the Subject may face difficulties in getting loans for its future expansion and continued growth . The Subject's supplier are from both the local and overseas countries. This will eliminates the risk of dependency on deliveries from a number of key suppliers and insufficient quantities of its raw materials. Overall the Subject has a good control over its resources.


The poor payment habit may affect the goodwill between the Subject and its suppliers and the Subject may inadvertently have to pay more for its future supplies.


The industry shows an upward trend and this trend is very likely to sustain in the near terms.

 

In view of the above, we only recommend credit be proceeded to the Subject with guarantee.

 

 

 

PROFIT AND LOSS ACCOUNT

 

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

WOLECO HOTEL SUPPLIES PTE LTD

 

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

Company

Company

Audited Account

YES

YES

YES

YES

YES

Unqualified Auditor's Report (Clean Opinion)

YES

YES

YES

YES

YES

Financial Type

FULL

FULL

SUMMARY

SUMMARY

SUMMARY

Currency

SGD

SGD

SGD

SGD

SGD

TURNOVER

25,421,070

24,279,396

23,616,649

15,458,342

13,191,037

Other Income

859,231

1,097,333

-

-

-

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

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

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

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

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

Total Turnover

26,280,301

25,376,729

23,616,649

15,458,342

13,191,037

Costs of Goods Sold

(21,638,674)

(19,358,869)

-

-

-

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

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

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

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

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

Gross Profit

4,641,627

6,017,860

-

-

-

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

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

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

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

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

PROFIT/(LOSS) FROM OPERATIONS

(2,896,329)

(1,267,774)

(459,947)

(139,931)

(234,418)

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

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

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

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

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

PROFIT/(LOSS) BEFORE TAXATION

(2,896,329)

(1,267,774)

(459,947)

(139,931)

(234,418)

Taxation

-

-

(44,994)

-

-

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

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

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

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

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

PROFIT/(LOSS) AFTER TAXATION

(2,896,329)

(1,267,774)

(504,941)

(139,931)

(234,418)

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

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

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

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

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

RETAINED PROFIT/(LOSS) BROUGHT FORWARD

As previously reported

(12,405,781)

(11,138,007)

(10,266,117)

(10,126,186)

(9,891,768)

Prior year adjustment

-

-

(366,949)

-

-

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

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

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

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

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

As restated

(12,405,781)

(11,138,007)

(10,633,066)

(10,126,186)

(9,891,768)

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

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

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

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

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

PROFIT AVAILABLE FOR APPROPRIATIONS

(15,302,110)

(12,405,781)

(11,138,007)

(10,266,117)

(10,126,186)

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

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

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

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

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

RETAINED PROFIT/(LOSS) CARRIED FORWARD

(15,302,110)

(12,405,781)

(11,138,007)

(10,266,117)

(10,126,186)

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

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

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

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

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

INTEREST EXPENSE (as per notes to P&L)

Bank overdraft

183,209

315,009

-

-

-

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

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

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

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

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

183,209

315,009

-

-

-

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

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

-

-

-

DEPRECIATION (as per notes to P&L)

71,582

43,575

-

-

-

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

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

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

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

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

71,582

43,575

-

-

-

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

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

 

 

 

BALANCE SHEET

 

WOLECO HOTEL SUPPLIES PTE LTD

 

ASSETS EMPLOYED:

FIXED ASSETS

284,707

284,728

2,386,160

1,128,731

1,231,597

LONG TERM INVESTMENTS/OTHER ASSETS

Subsidiary companies

2,220,364

2,220,364

-

-

-

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

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

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

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

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

TOTAL LONG TERM INVESTMENTS/OTHER ASSETS

2,220,364

2,220,364

-

-

-

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

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

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

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

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

TOTAL LONG TERM ASSETS

2,505,071

2,505,092

2,386,160

1,128,731

1,231,597

Stocks

5,902,721

7,463,823

-

-

-

Trade debtors

5,440,520

7,022,702

-

-

-

Other debtors, deposits & prepayments

187,319

246,931

-

-

-

Amount due from subsidiary companies

3,788,026

3,977,021

-

-

-

Cash & bank balances

1,184,915

677,714

-

-

-

Others

30,005

-

-

-

-

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

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

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

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

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

TOTAL CURRENT ASSETS

16,533,506

19,388,191

14,061,772

11,109,768

8,446,043

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

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

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

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

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

TOTAL ASSET

19,038,577

21,893,283

16,447,932

12,238,499

9,677,640

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

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

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

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

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

CURRENT LIABILITIES

Trade creditors

8,343,462

7,678,458

-

-

-

Other creditors & accruals

1,671,989

2,791,371

-

-

-

Short term borrowings/Term loans

6,572,856

6,000,000

-

-

-

Amounts owing to holding company

616,273

309,031

-

-

-

Amounts owing to subsidiary companies

24,233

76,666

-

-

-

Amounts owing to associated companies

-

331,664

-

-

-

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

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

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

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

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

TOTAL CURRENT LIABILITIES

17,228,813

17,187,190

10,474,065

10,647,631

9,338,128

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

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

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

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

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

NET CURRENT ASSETS/(LIABILITIES)

(695,307)

2,201,001

3,587,707

462,137

(892,085)

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

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

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

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

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

TOTAL NET ASSETS

1,809,764

4,706,093

5,973,867

1,590,868

339,512

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

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

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

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

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

SHARE CAPITAL

Ordinary share capital

8,024,667

8,024,667

8,024,667

8,024,667

8,024,667

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

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

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

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

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

TOTAL SHARE CAPITAL

8,024,667

8,024,667

8,024,667

8,024,667

8,024,667

Capital reserve

9,087,207

9,087,207

9,087,207

-

-

Retained profit/(loss) carried forward

(15,302,110)

(12,405,781)

(11,138,007)

(10,266,117)

(10,126,186)

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

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

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

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

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

TOTAL RESERVES

(6,214,903)

(3,318,574)

(2,050,800)

(10,266,117)

(10,126,186)

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

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

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

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

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

SHAREHOLDERS' FUNDS/EQUITY

1,809,764

4,706,093

5,973,867

(2,241,450)

(2,101,519)

TOTAL LONG TERM LIABILITIES

-

-

-

3,832,318

2,441,031

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

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

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

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

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

1,809,764

4,706,093

5,973,867

1,590,868

339,512

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

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

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

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

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

 

 

 

FINANCIAL RATIO

 

WOLECO HOTEL SUPPLIES PTE LTD

 

TYPES OF FUNDS

Cash

1,184,915

677,714

-

-

-

Net Liquid Funds

1,184,915

677,714

-

-

-

Net Liquid Assets

(6,598,028)

(5,262,822)

3,587,707

462,137

(892,085)

Net Current Assets/(Liabilities)

(695,307)

2,201,001

3,587,707

462,137

(892,085)

Net Tangible Assets

1,809,764

4,706,093

5,973,867

1,590,868

339,512

Net Monetary Assets

(6,598,028)

(5,262,822)

3,587,707

(3,370,181)

(3,333,116)

PROFIT & LOSS ITEMS

Earnings Before Interest & Tax (EBIT)

(2,713,120)

(952,765)

-

-

-

Earnings Before Interest, Taxes, Depreciation And Amortization (EBITDA)

(2,641,538)

(909,190)

-

-

-

BALANCE SHEET ITEMS

Total Borrowings

6,572,856

6,000,000

-

-

-

Total Liabilities

17,228,813

17,187,190

10,474,065

14,479,949

11,779,159

Total Assets

19,038,577

21,893,283

16,447,932

12,238,499

9,677,640

Net Assets

1,809,764

4,706,093

5,973,867

1,590,868

339,512

Net Assets Backing

1,809,764

4,706,093

5,973,867

(2,241,450)

(2,101,519)

Shareholders' Funds

1,809,764

4,706,093

5,973,867

(2,241,450)

(2,101,519)

Total Share Capital

8,024,667

8,024,667

8,024,667

8,024,667

8,024,667

Total Reserves

(6,214,903)

(3,318,574)

(2,050,800)

(10,266,117)

(10,126,186)

LIQUIDITY (Times)

Cash Ratio

0.07

0.04

-

-

-

Liquid Ratio

0.62

0.69

-

-

-

Current Ratio

0.96

1.13

1.34

1.04

0.90

WORKING CAPITAL CONTROL (Days)

Stock Ratio

85

112

-

-

-

Debtors Ratio

78

106

-

-

-

Creditors Ratio

141

145

-

-

-

SOLVENCY RATIOS (Times)

Gearing Ratio

3.63

1.27

-

-

-

Liabilities Ratio

9.52

3.65

1.75

(6.46)

(5.61)

Times Interest Earned Ratio

(14.81)

(3.02)

-

-

-

Assets Backing Ratio

0.23

0.59

0.74

0.20

0.04

PERFORMANCE RATIO (%)

Operating Profit Margin

(11.39)

(5.22)

(1.95)

(0.91)

(1.78)

Net Profit Margin

(11.39)

(5.22)

(2.14)

(0.91)

(1.78)

Return On Net Assets

(149.92)

(20.25)

(7.70)

(8.80)

(69.05)

Return On Capital Employed

(149.92)

(20.25)

(7.70)

(8.80)

(69.05)

Return On Shareholders' Funds/Equity

(160.04)

(26.94)

(8.45)

6.24

11.15

Dividend Pay Out Ratio (Times)

0.00

0.00

-

-

-

NOTES TO ACCOUNTS

Contingent Liabilities

0

0

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.63.57

UK Pound

1

Rs.99.20

Euro

1

Rs.70.35

 

INFORMATION DETAILS

 

Analysis Done by :

RAS

 

 

Report Prepared by :

NIT

 

 

RATING EXPLANATIONS

 

RATING

STATUS

PROPOSED CREDIT LINE

 

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

 

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

 

Large

 

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

 

Fairly Large

 

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

 

Satisfactory

 

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

 

Small

 

11-25

Ca

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

 

Limited with full security

 

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

Credit not recommended

 

--

NB

New Business

--

 

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

 

Financial condition (40%)            Ownership background (20%)                  Payment record (10%)

Credit history (10%)                   Market trend (10%)                                Operational size (10%)

 

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.