MIRA INFORM REPORT
|
Report No. : |
330027 |
|
Report Date : |
04.07.2015 |
IDENTIFICATION DETAILS
|
Name : |
CHAITALI GEMS CO., LTD. |
|
|
|
|
Registered Office : |
3rd Floor, Room 301, Poon Manee Building, 30-32-34-36 Soi 3, Mahesak Road, Suriyawongse, Bangrak, Bangkok 10500, |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2014 |
|
|
|
|
Date of Incorporation : |
19.05.19999 |
|
|
|
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Com. Reg. No.: |
0105542035433 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
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Line of Business : |
The subject is engaged in importing, distributing and exporting various kinds of diamonds and gemstones for jewelry production industry, as well as jewelry products. |
|
|
|
|
No. of Employees : |
2 |
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 |
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|
|
|
Payment Behaviour : |
Slow But Correct |
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Litigation : |
Clear |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – March 31, 2015
|
Country Name |
Previous Rating (31.12.2014) |
Current Rating (31.03.2015) |
|
Thailand |
B1 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low Risk |
A2 |
|
Moderate Low Risk |
B1 |
|
Moderate Risk |
B2 |
|
Moderate High Risk |
C1 |
|
High Risk |
C2 |
|
Very High Risk |
D |
THAILAND ECONOMIC OVERVIEW
With a well-developed infrastructure, a free-enterprise economy, generally pro-investment policies, and strong export industries, Thailand has historically had a strong economy due in part to industrial and agriculture exports - mostly electronics, agricultural commodities, automobiles and parts, and processed foods. The economy experienced slow growth and declining exports in 2014, in part due to domestic political turmoil and sluggish global demand. With full employment, Thailand attracts an estimated 4 million migrant workers from neighboring countries, and faces labor shortages. Following the May 2014 coup d’�tat, tourism decreased 6-7% but is beginning to recover. The household debt to GDP ratio is over 80%. The Thai government in 2013 implemented a nation-wide 300 baht ($10) per day minimum wage policy and deployed new tax reforms designed to lower rates on middle-income earners. The Thai baht has remained stable.
|
Source
: CIA |
Company
name
CHAITALI
GEMS CO., LTD.
SUMMARY
BUSINESS
ADDRESS : 3rd FLOOR,
ROOM 301, POON
MANEE BUILDING,
30-32-34-36
SOI 3,
MAHESAK ROAD, SURIYAWONGSE,
BANGRAK,
BANGKOK 10500, THAILAND
TELEPHONE : [66] 2268-1740
FAX :
[66] 2268-1741
E-MAIL
ADDRESS : -
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1999
REGISTRATION
NO. : 0105542035433
TAX
ID NO. : 3021012663
CAPITAL REGISTERED : BHT. 5,000,000
CAPITAL PAID-UP : BHT.
5,000,000
SHAREHOLDER’S PROPORTION : THAI :
51.00%
INDIAN
: 49.00%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR.
NILESH RASIXLAL JOGANI,
INDIAN
MANAGING DIRECTOR
NO.
OF STAFF : 2
LINES
OF BUSINESS : DIAMONDS, GEMSTONES
& JEWELRY PRODUCTS
IMPORTER, DISTRIBUTOR
AND EXPORTER
CORPORATE PROFILE
|
OPERATING
TREND : STABLE
PRESENT
SITUATION : OPERATING NORMALLY
REPUTATION : FAIR
WITH NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT
STANDARD : MANAGEMENT WITH
FAIR PERFORMANCE
HISTORY
The
subject was established
on May 19,
1999 as a
private limited company
under the registered name CHAITALI
GEMS CO., LTD., by
Thai and Indian
groups, with the
business objective to
import, distribute and
export various kinds
of diamonds, gemstones
and jewelry products.
It currently employs
2 staff.
The
subject’s registered address
is 3rd Floor,
Room 301, Poon
Manee Building, 30-32-34-36 Soi 3, Mahesak Road,
Suriyawongse, Bangrak, Bangkok 10500, and
this is the subject’s current
operation address.
THE BOARD
OF DIRECTOR
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Nilesh Rasixlal Jogani |
|
Indian |
49 |
|
Mr. Aditya Hareshbhai Saraiya |
|
Indian |
34 |
AUTHORIZED PERSON
One of the
above directors can
sign on behalf
of the subject
with company’s affixed.
MANAGEMENT
Mr. Nilesh Rasixlal Jogani
is the Managing
Director.
He is Thai nationality with
the age of 49 years
old.
BUSINESS OPERATIONS
The subject
is engaged in importing,
distributing and exporting
various kinds of diamonds
and gemstones for
jewelry production industry,
as well as
jewelry products.
PURCHASE
The products are
purchased from suppliers
both domestic and
overseas in India
and Republic of
China.
SALES
The products are
sold to both
local and overseas
customers in India
and Hong Kong.
SUBSIDIARY AND
AFFILIATED COMPANY
The subject is
not found to
have any subsidiary
or affiliated company
here in Thailand.
LITIGATION
Bankruptcy and Receivership
There are no
litigation on bankruptcy
and receivership cases
filed against the
subject found at
Legal Execution Department
for the past
five years.
Others
There are no
legal suits filed
against the subject according
for the past
two years.
CREDIT
Sales are by
cash or on
the credits term
of 30-60 days.
Local bills are
paid by cash
or on the
credits term of
30-60 days.
Imports are by
T/T.
Exports are against
T/T.
BANKING
Bangkok
Bank Public Co.,
Ltd.
EMPLOYMENT
The
subject currently employs
2 staff.
LOCATION DETAILS
The
premise is rented for
administrative office at
the heading address.
Premise is located
in a prime
commercial area.
COMMENT
The
subject reported moderate
sales in the
year 2014. However,
slow recovery of
domestic consumption would
lead its sales
to have a flat
growth this year.
FINANCIAL INFORMATION
The
capital was registered
at Bht. 2,000,000 divided
into 20,000 shares of Bht. 100
each with fully
paid.
The
capital was increased
later as follows:
Bht. 4,000,000
on May 18,
2001
Bht. 5,000,000
on June 13,
2001
The
latest registered capital
was increased to
Bht. 5,000,000 divided
into 50,000 shares
of Bht. 100 each
with fully paid.
THE SHAREHOLDERS
LISTED WERE : [as at
April 7, 2015]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Nilesh Rasixlal Jogani Nationality: Indian Address : Mumbai,
India |
16,500 |
33.00 |
|
Mr. Sorasak Boonmalert Nationality: Thai Address : 922-924
New Petchburi Road,
Makkasan,
Rajthevee, Bangkok |
8,500 |
17.00 |
|
Mrs. Maejan Phoo-eiam Nationality: Thai Address : 46
Moo 13, T. Yotaka,
A. Bangnampriew, Chachoengsao |
8,500 |
17.00 |
|
Mrs. Sompis Yukavanich Nationality: Thai Address : 504 Soi
Khemanarumit, Bangsue, Bangkok |
8,500 |
17.00 |
|
Mr. Aditya Hareshbhai
Saraiya Nationality: Indian Address : Mumbai,
India |
8,000 |
16.00 |
Total Shareholders : 5
Share
Structure [as at
April 7, 2015]
|
Nationality |
Shareholders |
No. of
Share |
% Shares |
|
|
|
|
|
|
Thai |
3 |
25,500 |
51.00 |
|
Foreign-Indian |
2 |
24,500 |
49.00 |
|
Total |
5 |
50,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Mrs. Wasana Tanmongkol No. 1888
BALANCE
SHEET [BAHT]
The latest financial figures published
as at December
31, 2014, 2013
& 2012 were:
ASSETS
|
Current Assets |
2014 |
2013 |
2012 |
|
|
|
|
|
|
Cash and Cash Equivalents |
595,722.30 |
554,246.61 |
315,025.54 |
|
Trade Accounts Receivable
|
3,065,726.94 |
10,693,281.63 |
2,650,509.33 |
|
Inventories |
23,988,872.48 |
10,735,994.76 |
17,227,062.67 |
|
Other Current Assets
|
38,000.00 |
- |
10,000.00 |
|
|
|
|
|
|
Total Current Assets
|
27,688,321.42 |
21,983,523.00 |
20,202,597.54 |
|
|
|
|
|
|
Loans to Directors |
1,900,000.00 |
- |
2,000,000.00 |
|
Total Assets |
29,588,321.72 |
21,983,523.00 |
22,202,597.54 |
LIABILITIES &
SHAREHOLDERS’ EQUITY [BAHT]
|
Current Liabilities |
2014 |
2013 |
2012 |
|
|
|
|
|
|
Loans from Bank |
2,454,184.82 |
- |
- |
|
Trade Accounts Payable
|
16,104,352.84 |
10,628,456.30 |
11,252,298.63 |
|
Accrued Income Tax |
45,569.99 |
168,602.49 |
152,869.54 |
|
Other Current Liabilities |
24,199.46 |
33,577.34 |
36,040.42 |
|
|
|
|
|
|
Total Current Liabilities |
18,628,307.11 |
10,830,636.13 |
11,441,208.59 |
|
Total Liabilities |
18,628,307.11 |
10,830,636.13 |
11,441,208.59 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized, issued
and fully paid share
capital 50,000 shares |
5,000,000.00 |
5,000,000.00 |
5,000,000.00 |
|
|
|
|
|
|
Capital Paid |
5,000,000.00 |
5,000,000.00 |
5,000,000.00 |
|
Retained Earning Unappropriated |
5,960,014.61 |
6,152,886.87 |
5,761,388.95 |
|
Total Shareholders' Equity |
10,960,014.61 |
11,152,886.87 |
10,761,388.95 |
|
Total Liabilities &
Shareholders' Equity |
29,588,321.72 |
21,983,523.00 |
22,202,597.54 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
2014 |
2013 |
2012 |
|
|
|
|
|
|
Sales Income |
51,682,429.72 |
52,880,696.35 |
30,857,872.39 |
|
Other Income |
205,447.21 |
113,556.06 |
484,057.07 |
|
Total Revenues |
51,887,876.93 |
52,994,252.41 |
31,341,929.46 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold |
49,506,298.71 |
49,760,673.08 |
28,275,948.63 |
|
Selling Expenses |
712,075.98 |
598,768.84 |
536,239.60 |
|
Administrative Expenses |
1,462,518.82 |
1,933,299.39 |
1,841,433.80 |
|
Total Expenses |
51,680,893.51 |
52,292,741.31 |
30,653,622.03 |
|
|
|
|
|
|
Profit / [Loss] before Financial Cost & Income
Tax |
206,983.42 |
701,511.10 |
688,307.43 |
|
Financial Cost |
[219,285.69] |
[66,410.69] |
[21,487.14] |
|
Profit / [Loss] before Income
Tax |
[12,302.27] |
635,100.41 |
666,820.29 |
|
Income Tax |
[180,569.99] |
[243,602.49] |
[179,119.54] |
|
|
|
|
|
|
Net Profit / [Loss] |
[192,872.26] |
391,497.92 |
487,700.75 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2014 |
2013 |
2012 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
1.49 |
2.03 |
1.77 |
|
QUICK RATIO |
TIMES |
0.20 |
1.04 |
0.26 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
- |
- |
- |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.75 |
2.41 |
1.39 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
176.87 |
78.75 |
222.38 |
|
INVENTORY TURNOVER |
TIMES |
2.06 |
4.63 |
1.64 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
21.65 |
73.81 |
31.35 |
|
RECEIVABLES TURNOVER |
TIMES |
16.86 |
4.95 |
11.64 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
118.73 |
77.96 |
145.25 |
|
CASH CONVERSION CYCLE |
DAYS |
79.78 |
74.60 |
108.48 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
95.79 |
94.10 |
91.63 |
|
SELLING & ADMINISTRATION |
% |
4.21 |
4.79 |
7.71 |
|
INTEREST |
% |
0.42 |
0.13 |
0.07 |
|
GROSS PROFIT MARGIN |
% |
4.61 |
6.11 |
9.94 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
0.40 |
1.33 |
2.23 |
|
NET PROFIT MARGIN |
% |
(0.37) |
0.74 |
1.58 |
|
RETURN ON EQUITY |
% |
(1.76) |
3.51 |
4.53 |
|
RETURN ON ASSET |
% |
(0.65) |
1.78 |
2.20 |
|
EARNING PER SHARE |
BAHT |
(3.86) |
7.83 |
9.75 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.63 |
0.49 |
0.52 |
|
DEBT TO EQUITY RATIO |
TIMES |
1.70 |
0.97 |
1.06 |
|
TIME INTEREST EARNED |
TIMES |
0.94 |
10.56 |
32.03 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
(2.27) |
71.37 |
|
|
OPERATING PROFIT |
% |
(70.49) |
1.92 |
|
|
NET PROFIT |
% |
(149.27) |
(19.73) |
|
|
FIXED ASSETS |
% |
- |
- |
|
|
TOTAL ASSETS |
% |
34.59 |
(0.99) |
|
ANNUAL
GROWTH : RISKY
An annual sales growth is -2.27%. Turnover has decreased from THB 52,880,696.35
in 2013 to THB 51,682,429.72 in 2014. While net profit has decreased from THB
391,497.92 in 2013 to THB -192,872.26 in 2014. And total assets has increased
from THB 21,983,523.00 in 2013 to THB 29,588,321.72 in 2014.
PROFITABILITY
: RISKY
PROFITABILITY
RATIO
|
Gross Profit Margin |
4.61 |
Deteriorated |
Industrial Average |
16.41 |
|
Net Profit Margin |
(0.37) |
Deteriorated |
Industrial Average |
1.41 |
|
Return on Assets |
(0.65) |
Deteriorated |
Industrial Average |
3.02 |
|
Return on Equity |
(1.76) |
Deteriorated |
Industrial Average |
8.20 |
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 4.61%. 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 -0.37%.
When compared with the industry average, the ratio of the company was lower.
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. When compared with the
industry average, it was lower, the company's figure is -0.65%.
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. When compared with the
industry average, it was lower, the company's figure is -1.76%.
Trend of the
average competitors in the same industry for last 5 years
Return on Assets Uptrend
Return on Equity Uptrend
LIQUIDITY
: ACCEPTABLE
LIQUIDITY
RATIO
|
Current Ratio |
1.49 |
Satisfactory |
Industrial Average |
1.66 |
|
Quick Ratio |
0.20 |
|
|
|
|
Cash Conversion Cycle |
79.78 |
|
|
|
The Current Ratio is to ascertain whether a company's short-term assets
are readily available to pay off its short-term liabilities. The company's
figure is 1.49 times in 2014, decreased from 2.03 times, then it is generally
considered to have good short-term financial strength. When compared with the
industry average, the ratio of the company was lower.
The Quick Ratio is a liquidity indicator that further refines the
current ratio by measuring the amount of the most liquid current assets there
are to cover current liabilities. The company's figure is 0.2 times in 2014,
decreased from 1.04 times, then the company has not enough current assets that
presumably can be quickly converted to cash for pay financial obligations.
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 80 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE
: RISKY
LEVERAGE
RATIO
|
Debt Ratio |
0.63 |
Acceptable |
Industrial Average |
0.60 |
|
Debt to Equity Ratio |
1.70 |
Risky |
Industrial Average |
1.49 |
|
Times Interest Earned |
0.94 |
Risky |
Industrial Average |
- |
Debt to Equity Ratio a measurement of how much suppliers, lenders,
creditors and obligors have committed to the company versus what the
shareholders have committed. A higher the percentage means that the company is
using less equity and has stronger leverage position.
Times Interest Earned measuring a company's ability to meet its debt
obligations. Ratio is 0.95 lower than 1, so the company is not generating
enough cash from EBIT to meet its interest obligations.
Debt Ratio shows the proportion of a company's assets which are financed
through debt. The company's figure is 0.63 greater than 0.5, most of the
company's assets are financed through debt.
Trend of the
average competitors in the same industry for last 5 years
Debt Ratio Downtrend
Times Interest Earned Stable
ACTIVITY
: SATISFACTORY
ACTIVITY
RATIO
|
Fixed Assets Turnover |
- |
|
Industrial Average |
- |
|
Total Assets Turnover |
1.75 |
Satisfactory |
Industrial Average |
2.14 |
|
Inventory Conversion Period |
176.87 |
|
|
|
|
Inventory Turnover |
2.06 |
Acceptable |
Industrial Average |
3.44 |
|
Receivables Conversion Period |
21.65 |
|
|
|
|
Receivables Turnover |
16.86 |
Impressive |
Industrial Average |
4.11 |
|
Payables Conversion Period |
118.73 |
|
|
|
The company's Account Receivable Ratio is calculated as 16.86 and 4.95
in 2014 and 2013 respectively. This ratio measures the efficiency of the company
in managing its trade debtors to generate revenue. A lower ratio may indicate
over extension and collection problems. Conversely, a higher ratio may indicate
an overtly stringent policy. In this case, the company's A/R ratio in 2014
increased from 2013. This would suggest the company had good performance in the
management of its debt collections.
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 increased from 79 days at the
end of 2013 to 177 days at the end of 2014. This represents a negative trend.
And Inventory turnover has decreased from 4.63 times in year 2013 to 2.06 times
in year 2014.
The company's Total Asset Turnover is calculated as 1.75 times and 2.41
times in 2014 and 2013 respectively. This ratio is determined by dividing total
assets into total sales turnover. The ratio measures the activity of the assets
and the ability of the firm to generate sales through the use of the assets.
Trend of the
average competitors in the same industry for last 5 years
Fixed Assets Turnover Stable
Total Assets Turnover Downtrend
Inventory Turnover Downtrend
Receivables Turnover Downtrend
|
Key Areas |
Score |
Weight |
Weighted
Score |
|
LIQUIDITY RATIO |
1.33 |
25.00 |
33.25 |
|
ACTIVITY RATIO |
2.67 |
20.00 |
53.40 |
|
PROFITABILITY
RATIO |
- |
25.00 |
- |
|
LEVERAGE RATIO |
0.44 |
10.00 |
4.40 |
|
ANNUAL GROWTH |
0.80 |
20.00 |
16.00 |
|
Total Weight
(excluding - - Score) |
|
100.00 |
|
|
|
|
|
107.05 |
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs. 63.39 |
|
|
1 |
Rs. 98.94 |
|
Euro |
1 |
Rs. 70.33 |
INFORMATION DETAILS
|
Analysis Done by
: |
DIV |
|
|
|
|
Report Prepared
by : |
DPT |
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.