MIRA INFORM REPORT
|
Report No. : |
330677 |
|
Report Date : |
10.07.2015 |
IDENTIFICATION DETAILS
|
Name : |
MEGA
LIFESCIENCES PTY LIMITED |
|
|
|
|
Formerly Known As : |
MEGA PRODUCTS
LIMITED |
|
|
|
|
Registered Office : |
9th Floor, Ample Tower, 909
Bangna-Trad Road, Bangna, Bangkok 10260 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2014 |
|
|
|
|
Date of Incorporation : |
18.01.1990 |
|
|
|
|
Com. Reg. No.: |
0105533007341 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Distributor of Health Food, Vitamins, Dietary Supplements and Natural Cosmetics |
|
|
|
|
No. of Employees : |
200 |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet norma
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 – March 31, 2015
|
Country Name |
Previous Rating (31.12.2014) |
Current Rating (31.03.2015) |
|
Thailand |
A2 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
THAILAND - ECONOMIC
OVERVIEW
With a well-developed infrastructure, a free-enterprise
economy, generally pro-investment policies, and strong export industries,
Thailand 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
MEGA LIFESCIENCES PTY LIMITED
[FORMER: MEGA PRODUCTS LIMITED]
SUMMARY
BUSINESS
ADDRESS : 9th FLOOR,
AMPLE TOWER, 909 BANGNA-TRAD
ROAD, BANGNA,
BANGKOK 10260, THAILAND
TELEPHONE : [66]
2769-4222
FAX :
[66] 2769-4244
E-MAIL
ADDRESS : megath@megawecare.com
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED : 1990
REGISTRATION
NO. : 0105533007341
[Former:
732/2533]
CAPITAL
REGISTERED : BHT.
50,000,000
CAPITAL
PAID-UP : BHT.
50,000,000
SHAREHOLDER’S PROPORTION : THAI :
100%
FISCAL
YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MS.
DUANGNAPA TONGSIRI, THAI
MANAGING DIRECTOR
NO.
OF STAFF : 200
LINES
OF BUSINESS : HEALTH
FOOD, VITAMINS, DIETARY SUPPLEMENTS
AND NATURAL
COSMETICS DISTRIBUTOR
CORPORATE
PROFILE
OPERATING
TREND : STABLE
PRESENT
SITUATION : OPERATING
NORMALLY
REPUTATION : GOOD
FOR NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT
STANDARD : MANAGEMENT
WITH FAIR PERFORMANCE
HISTORY
The subject was
established on January 18,
1990 as a
private limited company under
the registered name “MEGA PRODUCTS
LIMITED” by Thai-Indian groups,
in order to distribute various
kinds of food
supplement and health
products.
On August 15, 2005 the name was changed to “MEGA LIFESCIENCES PTY LIMITED”. The
subject currently employs approximately
200 staff.
The subject has
overseas representative offices
in over 23
worldwide countries. It
is a wholly owned
subsidiary of Mega Lifesciences Public
Company Limited, which is
member of The
Premjee Group, one
of the biggest
conglomerates in Thailand
for over 100
years. Premjee Group
is diversified into
business such as
shipping, trading, jewelry,
hotel, agricultural, chemical
and pharmaceutical industries.
The subject’s registered
address was initially
at 99/3-4 Moo 8,
Bangna-Trad Rd., Km.
2.7, Bangna, Bangkok
10260.
On August 15,
2005 the subject’s
registered address was
relocated to 9th Flr., Ample
Tower, 120 Moo 11, Bangna-Trad Rd.,
Bangna, Bangkok 10260.
On May 6,
2015, its registered
address was changed
from “120 Moo
11” to “909”
by the Bangna
District Office, and
this is the subject’s
current operation address.
THE
BOARD OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Vivek Dhawan |
|
Thai |
54 |
|
Mr. Thomas Abraham |
|
Indian |
53 |
|
Ms. Duangnapa Tongsiri |
|
Thai |
54 |
AUTHORIZED
PERSON
Any of the
mentioned directors can
sign on behalf
of the subject
with the company’s
affixed.
MANAGEMENT
Ms. Duangnapa Tongsiri
is the Managing
Director.
She is Thai
nationality with the
age of 54 years old.
Ms. Vichurada Palonkiat
is the Marketing Director.
She is Thai
nationality.
Mr. Aroon Raman
is the Overseas
Manager.
He is Indian
nationality.
BUSINESS
OPERATIONS
The subject’s activity
is a distributor
various kinds of
health products [self medication]
including food supplements
and medical products.
The products and
brands are as
follows:
·
Food
Supplements :
Comprising vitamin and
food supplement products,
such as fish
oil, evening primrose
oil, lecithin, Calcium,
Tornado, II Care,
Glow, CLA Advance,
Zemax SX, DHA,
Cosanol, garlic and
etc.
·
Medical
products :
Comprising Acnotin, Flexsa,
Valiant-X, Nat-C, Vit-E,
Nat-B, Echinax, Gofen
400, Alerten and etc.
80% of the company’s products
are manufactured in
Thailand by Mega
Lifesciences Public Company
Limited and using imported ingredients.
PURCHASE
80% of the products
is purchased from
parent company, the
remaining 20% is imported from
Australia and Malaysia.
MAJOR SUPPLIERS
Mega Lifesciences Public
Company Limited. :
Thailand
Mega Lifesciences [Australia]
Pty. Ltd. :
Australia
SALES
[LOCAL]
70% of its
products is marketed
locally by Zuellig
Pharma Limited.
EXPORT
30%
of products is
exported directly to
Myanmar, Vietnam, Australia,
Cambodia, Indonesia, Nigeria,
Malaysia, Taiwan, Japan, Hong Kong,
Philippines, Singapore, Peru, Kazakhstan, Ghana,
Ukraine, Peru, Russia, Israel, Kenya, Uzbekistan and European countries.
MAJOR CUSTOMERS
Mega Products [Myanmar]
Co., Ltd. : Myanmar
Mega Products [Vietnam]
Co., Ltd. : Vietnam
Mega Products [Cambodia]
Co., Ltd. : Cambodia
Mega Products [Indonesia]
Co., Ltd. : Indonesia
Mega Health Care
[Nigeria] Co., Ltd. : Nigeria
PARENT
COMPANY
Mega Lifesciences Public
Company Limited
Business type : Manufacture
of food supplement
and health products
Address : 384 Bangpoo
Industrial Estate, Samutprakarn
10280, Thailand
Tel.: [66]
2324-0681, 2324-0451
RELATED
COMPANIES
Natural Health Food
Co., Ltd.
Business Type: Direct
Sale
Mega Products [Myanmar]
Co., Ltd.
Business Type: Distributor
of health care
products
Mega Products [Vietnam]
Co., Ltd.
Business Type: Distributor
of health care
products
Mega Products [Australia]
Pty. Ltd.
Business Type: Distributor
of health care
products
Mega Products [Mauritius]
Ltd.
Business Type: Distributor
of health care
products
Mega Products [Cambodia]
Co., Ltd.
Business Type: Distributor
of health care
products
Mega Health Care
Nigeria Co., Ltd.
Business Type: Distributor
of health care
products
PT Mega Products
Indonesia Ltd.
Business Type: Distributor
of health care
products
Mayfils International Co., Ltd.
Business Type: Distributor
of health care
products
E-Cenz Co., Ltd.
Business Type: Distributor
of health care
products
Mega We Care Sdn.
Bhd.
Business Type: Distributor
of health care
products
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 the past
two years.
CREDIT
Local bills are
paid by cash
or on the
credits of 30-60
days.
Sales are by
cash or on
the credit of
30-60 days.
Imports are by
L/C at sight
or T/T.
Exports are against
T/T.
BANKING
The Siam Commercial
Bank Public Co.,
Ltd.
[Bangna Km.
35 Branch, Bangna-Trad
Road, Km. 35, Bangpleenoi,
Bangbor,
Samutprakarn]
Bangkok Bank Public
Co., Ltd.
Krung Thai Bank Public
Co., Ltd.
EMPLOYMENT
The subject employs
approximately 200 staff.
LOCATION
DETAILS
The premise is
rented for administrative office
and warehouse at the heading
address. Premise is
located in commercial/residential area.
COMMENT
The subject’s products are now popular among local consumers as
Thai consumers become
more health conscious as
well as eating habit
has been changed. Despite the
high prices of food supplements and
health products, consumers
are willing to
spend.
Despite the business
has become more
aggressive, due to
there are many
brands from both local and
internationals competing in domestic market, subject’s
business remains solid.
FINANCIAL
INFORMATION
The capital was
initially registered at
Bht. 1,000,000 divided
into 10,000 shares
of Bht. 100
each.
The capital was
increased later as
followings:
Bht.
10,000,000 on September
18, 1995
Bht.
40,000,000 on September
6, 1998
Bht.
50,000,000 on September
27, 2007
The latest capital
was at Bht. 50,000,000 divided
into 5,000,000 shares
of Bht. 10
each with fully
paid.
THE
SHAREHOLDERS LISTED WERE
[as at
April 22, 2015]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mega
Lifesciences Public Company
Limited Nationality : Thai Address : 384 Moo 4, Praeksa, Muang, Samutprakarn |
4,999,640 |
99.99 |
|
Ms. Pathana Thongkon Nationality : Thai Address : 354 Klongtakedfangtawan-ok Rd., Paknam, Muang, Samutprakarn |
60 |
|
|
Mr. Apichai
Chantanajarusiri Nationality : Thai Address : 1589/141 Moo 4, Samrongnua, Muang, Samutprakarn |
60 |
|
|
Ms. Duangnapa
Tongsiri Nationality : Thai Address : 9th Flr., Ample Tower, 120 Moo 11, Bangna-Trad Rd., Bangna, Bangkok |
60 |
= 0.01 |
|
Ms. Zamira
Shah Nationality : Thai Address : 35/42 Sukhumvit 11 Rd., Klongtoeynua, Wattana, Bangkok 10110 |
60 |
|
|
|
|
|
|
Ms. Nishita Shah Nationality : Thai Address : 35/42 Sukhumvit 11 Rd., Klongtoeynua,
Wattana, Bangkok 10110 |
60 |
|
|
Mr. Vivek
Dhawan Nationality : Thai Address : 35/203
Srinakarin Rd., Bangkaew,
Bangplee,
Samutprakarn |
60 |
|
Total Shareholders : 7
Share
Structure
[as at April
22, 2015]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
7 |
5,000,000 |
100.00 |
|
Foreign |
- |
- |
- |
|
Total |
7 |
5,000,000 |
100.00 |
NAME OF AUDITOR & CERTIFIED PUBLIC
ACCOUNTANT NO.
Ms. Vilai Buranakittisopon No.
3920
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 |
77,518,187 |
158,828,345 |
94,519,125 |
|
Trade Accounts Receivable
|
1,007,040,087 |
1,081,882,833 |
809,960,665 |
|
Other Receivable |
33,292,197 |
27,777,829 |
34,281,670 |
|
Other Receivable - Related Company |
6,057,472 |
86,122,733 |
147,917,938 |
|
Inventories |
1,003,438,068 |
962,481,790 |
760,791,704 |
|
Advance Payments to Suppliers and Vendors |
66,394,741 |
71,768,008 |
48,025,227 |
|
|
|
|
|
|
Total Current Assets
|
2,193,740,752 |
2,388,861,538 |
1,895,496,329 |
|
Investment in Subsidiaries
& Associated |
622,426,948 |
542,621,003 |
542,367,598 |
|
Long-term Loan to Related Company |
39,663,838 |
- |
- |
|
Cash at Bank pledged as a Collateral |
30,057 |
10,430,057 |
10,428,852 |
|
Fixed Assets |
32,530,850 |
33,237,775 |
42,333,816 |
|
Intangible Assets |
19,195,389 |
4,270,007 |
2,814,772 |
|
Other Non-current Assets |
4,897,317 |
6,737,804 |
9,983,107 |
|
Total Assets |
2,912,485,151 |
2,986,158,184 |
2,503,424,474 |
LIABILITIES &
SHAREHOLDERS’ EQUITY [BAHT]
|
Current
Liabilities |
2014 |
2013 |
2012 |
|
|
|
|
|
|
Bank Overdraft & Short-term Loan from Financial Institutions |
91,323,205 |
349,187,527 |
376,593,704 |
|
Short-term Loan from Related
Company |
30,000,000 |
400,000,000 |
- |
|
Trade Accounts Payable
|
1,571,312,912 |
1,223,785,877 |
999,695,273 |
|
Other Payable |
355,888,469 |
196,835,118 |
179,229,675 |
|
Related Company Payable |
445,628,049 |
232,264,790 |
259,550,724 |
|
Current Portion of
Long-term Loans from Financial
Institutions |
31,152,899 |
30,998,795 |
19,303,648 |
|
Current Portion of Financial
Lease Contract Liabilities |
122,609 |
199,357 |
92,097 |
|
Accrued Income Tax |
21,489,002 |
21,834,480 |
64,142,981 |
|
|
|
|
|
|
Total Current Liabilities |
2,546,917,145 |
2,455,105,944 |
1,898,608,102 |
|
Long-term Loan from Financial Institutions |
49,378,404 |
80,132,941 |
103,806,352 |
|
Financial Lease Contract Liabilities |
116,198 |
238,807 |
107,447 |
|
Employee Benefits Obligation |
22,305,037 |
21,392,318 |
18,421,558 |
|
Total Liabilities |
2,618,716,784 |
2,556,870,010 |
2,020,943,459 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized, issued
and fully paid share
capital 500,000 shares |
50,000,000 |
50,000,000 |
50,000,000 |
|
|
|
|
|
|
Capital Paid |
50,000,000 |
50,000,000 |
50,000,000 |
|
Subsidy from Parent
Company |
7,595,678 |
- |
- |
|
Retained Earnings: Appropriated for Statutory Reserve |
5,000,000 |
5,000,000 |
5,000,000 |
|
Unappropriated |
231,172,689 |
374,288,174 |
427,481,015 |
|
Total Shareholders' Equity |
293,768,367 |
429,288,174 |
482,481,015 |
|
Total Liabilities & Shareholders' Equity |
2,912,485,151 |
2,986,158,184 |
2,503,424,474 |
PROFIT
& LOSS ACCOUNT
|
Revenue |
2014 |
2013 |
2012 |
|
|
|
|
|
|
Sales Income |
4,400,457,363 |
4,217,158,350 |
4,048,876,156 |
|
Investment Income |
279,794 |
185,539,426 |
138,395,196 |
|
Gain on Exchange Rate |
- |
26,008,744 |
9,622,114 |
|
Other Income |
9,376,519 |
7,211,452 |
23,705,032 |
|
Total Revenues |
4,410,113,676 |
4,435,917,972 |
4,220,598,498 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold |
3,076,458,894 |
2,764,589,209 |
2,698,960,241 |
|
Selling Expenses |
807,881,431 |
685,182,926 |
705,373,663 |
|
Administrative Expenses |
298,643,156 |
307,235,977 |
390,139,591 |
|
Loss on Exchange Rate |
3,472,198 |
- |
- |
|
Total Expenses |
4,186,455,679 |
3,757,008,112 |
3,794,473,495 |
|
|
|
|
|
|
Profit before Financial Cost & Income
Tax |
223,657,997 |
678,909,860 |
426,125,003 |
|
Financial Cost |
[10,121,598] |
[13,635,038] |
[9,618,110] |
|
|
|
|
|
|
Profit before Income Tax |
213,536,399 |
665,274,822 |
416,506,893 |
|
Income Tax |
[56,630,282] |
[69,367,663] |
[94,541,772] |
|
|
|
|
|
|
Net Profit / [Loss] |
156,906,117 |
595,907,159 |
321,965,121 |
FINANCIAL
ANALYSIS
|
ITEM |
UNIT |
2014 |
2013 |
2012 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
0.86 |
0.97 |
1.00 |
|
QUICK RATIO |
TIMES |
0.44 |
0.55 |
0.57 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
135.27 |
126.88 |
95.64 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.51 |
1.41 |
1.62 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
119.05 |
127.07 |
102.89 |
|
INVENTORY TURNOVER |
TIMES |
3.07 |
2.87 |
3.55 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
83.53 |
93.64 |
73.02 |
|
RECEIVABLES TURNOVER |
TIMES |
4.37 |
3.90 |
5.00 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
186.43 |
161.57 |
135.20 |
|
CASH CONVERSION CYCLE |
DAYS |
16.16 |
59.14 |
40.71 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
69.91 |
65.56 |
66.66 |
|
SELLING & ADMINISTRATION |
% |
25.15 |
23.53 |
27.06 |
|
INTEREST |
% |
0.23 |
0.32 |
0.24 |
|
GROSS PROFIT MARGIN |
% |
30.31 |
39.63 |
37.58 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
5.08 |
16.10 |
10.52 |
|
NET PROFIT MARGIN |
% |
3.57 |
14.13 |
7.95 |
|
RETURN ON EQUITY |
% |
53.41 |
138.81 |
66.73 |
|
RETURN ON ASSET |
% |
5.39 |
19.96 |
12.86 |
|
EARNING PER SHARE |
BAHT |
313.81 |
1,191.81 |
643.93 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.90 |
0.86 |
0.81 |
|
DEBT TO EQUITY RATIO |
TIMES |
8.91 |
5.96 |
4.19 |
|
TIME INTEREST EARNED |
TIMES |
22.10 |
49.79 |
44.30 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
4.35 |
4.16 |
|
|
OPERATING PROFIT |
% |
(67.06) |
59.32 |
|
|
NET PROFIT |
% |
(73.67) |
85.08 |
|
|
FIXED ASSETS |
% |
(2.13) |
(21.49) |
|
|
TOTAL ASSETS |
% |
(2.47) |
19.28 |
|
ANNUAL
GROWTH: RISKY
An annual sales growth is 4.35%. Turnover has increased from THB
PROFITABILITY :
SATISFACTORY
PROFITABILITY
RATIO
|
Gross Profit Margin |
30.31 |
Acceptable |
Industrial Average |
54.32 |
|
Net Profit Margin |
3.57 |
Satisfactory |
Industrial
Average |
4.19 |
|
Return on Assets |
5.39 |
Acceptable |
Industrial
Average |
10.30 |
|
Return on Equity |
53.41 |
Impressive |
Industrial
Average |
21.06 |
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 30.31%. 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 3.57%.
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 5.39%.
Return on Equity indicates how profitable a company is by comparing its
net income to its average shareholders' equity, ROE measures how much the
shareholders earned for their investment in the company. Return on Equity ratio
is 53.41%, higher figure when compared with those of its average competitors in
the same industry, indicated that business was an efficient profit in a dominant position within its industry.
Trend of the
average competitors in the same industry for last 5 years
Return on Assets Uptrend
Return on Equity Uptrend
LIQUIDITY :
ACCEPTABLE
LIQUIDITY RATIO
|
Current Ratio |
0.86 |
Risky |
Industrial
Average |
1.79 |
|
Quick Ratio |
0.44 |
|
|
|
|
Cash Conversion Cycle |
16.16 |
|
|
|
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 0.86 times in 2014, decreased from 0.97 times, then the company may
have problems meeting its short-term obligations. 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 0.44 times in 2014,
decreased from 0.55 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 17 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE :
ACCEPTABLE
LEVERAGE RATIO
|
Debt Ratio |
0.90 |
Acceptable |
Industrial
Average |
0.48 |
|
Debt to Equity Ratio |
8.91 |
Risky |
Industrial
Average |
0.92 |
|
Times Interest Earned |
22.10 |
Impressive |
Industrial
Average |
- |
Debt to Equity Ratio a measurement of how much suppliers, lenders,
creditors and obligors have committed to the company versus what the
shareholders have committed. A 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 22.1 higher than 1, so the company can pay interest
expenses on outstanding debt.
Debt Ratio shows the proportion of a company's assets which are financed
through debt. The company's figure is 0.9 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 |
135.27 |
Impressive |
Industrial
Average |
- |
|
Total Assets Turnover |
1.51 |
Acceptable |
Industrial
Average |
2.46 |
|
Inventory Conversion Period |
119.05 |
|
|
|
|
Inventory Turnover |
3.07 |
Satisfactory |
Industrial
Average |
3.76 |
|
Receivables Conversion Period |
83.53 |
|
|
|
|
Receivables Turnover |
4.37 |
Satisfactory |
Industrial
Average |
4.61 |
|
Payables Conversion Period |
186.43 |
|
|
|
The company's Account Receivable Ratio is calculated as 4.37 and
Inventory Turnover in Days Ratio indicates the liquidity of inventory.
It estimates the number of days that it will take to sell the current
inventory. Inventory is particularly sensitive to change in business
activities. The inventory turnover in days has decreased from 127 days at the
end of 2013 to 119 days at the end of 2014. This represents a positive trend. And
Inventory turnover has increased from 2.87 times in year 2013 to 3.07 times in
year 2014.
The company's Total Asset Turnover is calculated as 1.51 times and 1.41
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 Uptrend
Inventory Turnover Uptrend
Receivables Turnover Uptrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.63.51 |
|
|
1 |
Rs.97.85 |
|
Euro |
1 |
Rs.70.50 |
INFORMATION DETAILS
|
Analysis Done by
: |
DIV |
|
|
|
|
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.