MIRA INFORM REPORT
|
Report No. : |
332407 |
|
Report Date : |
20.07.2015 |
IDENTIFICATION DETAILS
|
Name : |
THE GOVERNMENT PHARMACEUTICAL ORGANIZATION |
|
|
|
|
Registered Office : |
75/1 Rama Vi
Road, Ratchathewi, Bangkok
10400 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
30.09.2013 |
|
|
|
|
Date of Incorporation : |
1941 |
|
|
|
|
Legal Form : |
State Enterprise |
|
|
|
|
Line of Business : |
The subject’s main
activities are developer,
manufacturer and
distributor wide range
of pharmaceutical and medicine products |
|
|
|
|
No. of Employee : |
2,932 |
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 : |
Good |
|
Payment Behaviour : |
Regular |
|
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 and address
THE GOVERNMENT
PHARMACEUTICAL ORGANIZATION
SUMMARY
BUSINESS ADDRESS : 75/1 RAMA VI
ROAD, RATCHATHEWI,
BANGKOK 10400,
THAILAND
TELEPHONE : [66]
2203-8000, 2354-8800-2
FAX : [66] 2354-8780
E-MAIL ADDRESS : intgpo@yahoo.com
ESTABLISHED : 1941
FISCAL YEAR CLOSING
DATE : SEPTEMBER 30
LEGAL STATUS : STATE
ENTERPRISE
EXECUTIVE : DR.
NOPPORN CHEANKLIN, THAI
MANAGING DIRECTOR
NO. OF STAFF : 2,932
LINES OF BUSINESS : PHARMACEUTICAL
AND MEDICAL SUPPLIES
MANUFACTURER
CORPORATE
PROFILE
OPERATING TREND : STABLE
PRESENT SITUATION : OPERATING NORMALLY
REPUTATION : GOOD
FOR NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT STANDARD : MANAGEMENT WITH
GOOD PERFORMANCE
HISTORY
The subject was
established in 1941
as a state
enterprise under the
jurisdiction of the
Ministry of Public
Health, standing as
the only pharmaceutical manufacturer
owned by the Government, has
responsibilities in producing
high quality drugs
at reasonable prices,
serving the Ministry
of Public Health’s
policy on the
“Health for All”
campaign and etc.
It currently employs
2,932 staff.
The subject received
ISO 9002 Certification
certified by the
Bureau Veritas Quality
International Co., Ltd. [BVQI],
the international standard
recognizing body, for
Injection Quality Systems
with effect from February 28, 1997. The
ISO 9002 Certificate absolutely
guarantees its products’
standard quality.
The subject’s business
address is 75/1 Rama
VI Road, Ratchathewi,
Bangkok 10400.
THE
BOARD OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Lt. Gen. Supakorn Sanguanchartsorakrai |
: Chairman |
Thai |
- |
|
Dr. Boonchai Somboonsuk |
|
Thai |
- |
|
Dr. Ampol Chindawattana |
|
Thai |
- |
|
Mr. Raksakecha Chaechai |
|
Thai |
- |
|
Mrs. Yajai Pattanasukhawasan |
|
Thai |
- |
|
Mr. Sunthorn Worakul |
|
Thai |
- |
|
Dr. Krisana Kraisintu |
|
Thai |
- |
|
Dr. Surachet Sathitniramai |
|
Thai |
- |
|
Mr. Atsadang Chiewthada |
|
Thai |
- |
|
Dr. Anya Khantawit |
|
Thai |
- |
|
Ms. Sopawadee Lertmanaschai |
|
Thai |
- |
|
Rear Admiral Pimjai Chaimuangraj |
|
Thai |
- |
|
Dr. Nopporn Cheanklin |
|
Thai |
- |
MANAGEMENT
Dr. Nopporn Cheanklin : Managing
Director
Mr. Somchai Srichainak :
Deputy Managing Director
Mrs. Achara Eksaengsri
: Deputy
Managing Director
Mrs. Vanicha Chaisamran : Deputy
Managing Director
Mr. Pipat Niyomkarn : Deputy
Managing Director,
Mr. Thavorn Wongshuwong : Assistant
Managing Director
Mr. Sit Thirapakpoomanunt : Expert
10
Ms. Anchalee Utthangkorn
: Acting
Director of Office
of Internal Audit
Mr. Nipon Atanavanich :
Director of Office
of the Managing
Director
Mr. Navaratt Vachananda : Director
of Office of
Strategic Management
Mr. Chirarat Treerattanapun : Acting
Director of Human Resources
Department
Ms. Rampai Somchitmul :
Acting Director of
Finance & Accounting
Department
Mr. Paisan Asanee : Acting
Director of Logistics
Department
Ms. Dontree Katesuwanasing : Director
of Pharmaceutical Production
Department
Mrs. Pranee Jatunitanonte : Director
of Biological Production
Department
Mrs. Sirinuch Cheewanpisalnukul : Director of
Chemicals Department
Mr. Rangsee Patlee : Director
of Engineering and
Technology
Department
Mrs. Amonrat Suepbunchoenwong : Director
of Marketing and
Sales Department
Mrs. Mukdavan Prakobvaitayakit : Director of
Quality Assurance Department
Mrs. Suchitra Gajaseni : Director
of Research and
Development Institute
Mr. Chakkrit Prapaipittayakhun : Director
of Rangsit Pharmaceutical Production
Plant 1
Mrs. Varaporn Aungsutorn : Director
of Beta-Lactam Antibiotics
Plant
BUSINESS
OPERATIONS
The subject’s main
activities are developer,
manufacturer and distributor wide
range of pharmaceutical and medicine
products with over 200
items. The products and
services are as
follows:
- Production of
medicines and medical
supplies
- Promotion of
study and research
of local raw
materials to be
made into
pharmaceutical and
medicinal productions.
- Controlling the
quality of productions
to be standardized
- Controlling price
level
- Reserve stocks
to prevent shortage
in case of
emergencies and disaster.
PRODUCTION
CAPACITY
4,000 million medicines/annum [medicine]
100 million capsules/annum [capsule]
5 million liters/annum
[water medicine
and syrup]
0.15 million kg./annum [powder medicine]
0.43 million kg. [cream/balm]
19 million sets/annum [injection]
IMPORT
[COUNTRIES]
50% of the
chemicals are imported
from Republic of China,
Japan, France, Switzerland, Germany,
Singapore, India, U.K.,
and Spain, the
remaining 50% is
purchased from local
suppliers.
SALES
[LOCAL]
90% of the
products is sold
locally to wholesalers,
mainly to hospital
and clinic both
private company and
government sectors [70%] and
the remaining to
drug store [30%].
EXPORT
[COUNTRIES]
10% of the products is also exported to Myanmar, Vietnam, Malaysia,
Japan, Laos, Cambodia, Bhutan, Sri
Lanka, Ghana, Nigeria, Somalia
and other South
Africa countries.
REVENUE STRUCTURE
[Unit :
Million Baht]
|
Income |
2013 |
Change Rate [%] |
2012 |
Change Rate [%] |
|
|
|
|
|
|
|
Sales of Pharmaceutical Products and Medical
Supplies |
12,030.17 |
-0.05 |
12,036.41 |
8.06 |
|
Revenue from Contract |
7.47 |
30.49 |
5.72 |
33.33 |
|
Other Revenues |
237.85 |
3.73 |
229.30 |
-8.64 |
JOINT
VENTURE COMPANIES
General Hospital Products
Public Co., Ltd.
Address : 101/99 Soi
Nava Nakorn 7,
Paholyothin Rd., Khlong
Luang District,
Pathum
Thani 12120
Core Business : Saline
solution, dialysis solution,
dental supplies
Holding : The subject
holds 49.6% of
the total shares.
Thai Herbal Products
Co., Ltd.
Address :
Factory Land Wangnoi,
130/49 Moo 3, Wangnoi
District,
Ayudhya
13170
Core Business : Herbal
remedies
Holding : The subject
holds 49% of
the total shares.
Government Pharmaceutical Orgainization-Merieux Biologicals Products
Co., Ltd.
Address : -
Core Business: Manufacturer
and distributor human
vaccine.
Holding : -
CREDIT
Local bills are
paid by cash
or on the
credits term of
30-60 days.
Imports are by
L/C on the
credits term of
90-120 days and
T/T.
Sales are by
cash or on the credits
term of 60-90
days.
Exports are against
L/C at sight
and T/T.
BANKING
Krung Thai Bank
Public Co., Ltd.
[Head Office
: 35 Sukhumvit
Rd., Klongtoeynua, Watana,
Bangkok 10110]
EMPLOYMENt
The subject employs
2,932 staff [office, sales
staff and factory
workers].
LOCATION
DETIALS
The premise is
owned for operating
administrative office and
factory I at the heading
address. The ground
space is measured
at 64,000 square
meters and the
floor space is
around 45,500 square
meters. It is
located in commercial
area.
Factory II is located
at 138 Rungsit-Nakornnayok Road,
Thanyaburi, Pathumthani 12110.
The subject also has 9
retail drugstores located
in Bangkok and
3 in provincial under the name “The
Government Pharmaceutical Organization”
as follows:
- 75/1 Rama 6
Road, Thungphyathai, Rajthewi,
Bangkok
- 693 Bamrungmuang Road,
Klongmahanark, Pomprab, Bangkok
- 154/19-20 Charansanitwong Road,
Banchanglor, Bangkoknoi, Bangkok
- 226 Samsen Road,
Bangkhunprom, Phranakorn, Bangkok
- 370-371 Phaholyothin Road,
Kukot, Lamlukka, Pathumthani.
- Tiwanont Road, Muang,
Nonthaburi 11000.
- 92 Pattanakarn Road,
Prawes, Prawes, Bangkok
- 14/10 Soi Saladaeng
1, North Sathorn,
Road, Silom, Bangrak,
Bangkok
- 420/6 Rajvithi Road,
Thungphyathai, Rajthewi, Bangkok
Provincial branches are
located at the following
addresses:
Northeastern Region Branch
- 88 Moo
10, T. Gudsara, A. Muang,
Udon Thani 41000
Northern Region Branch
- 44 Moo
3, Chiangmai-Hod Road,
T. Hangdong, A. Hangdong, Chiang
Mai 50230.
Southern Region Branch
- 10 Nipatsongkroh
5 Road, Haadyai,
Songkla 90110.
COMMENT
Though the medicine
market tends to
expand continuously, there
are many factors
that could affect
on the growth
of the market,
like the high
competition among domestic
manufacturers, the market
share taking from
import medicine, and
the effect from
FTA which will
be applied gradually.
Therefore, it is
necessary that Thai
manufacturers in medical
industry should realize
and prepare themselves
rapidly for the
situation that could
be changed in
the future.
Thus, GPO increases the
investment in research
and development in
order to create
the new innovation
for the products and at the same
time, GPO also upgrades the manufacturing
standard to comply
with the world
standard which can
be considered as
the important factor
that drives the
organization to grow strongly
and can compete
in international level.
FINANCIAL
INFORMATION
The details of
capital and shareholders
are not available
due to the
fact that the
subject is regarded
as a state
enterprise and is
funded and operated
under the supervision
of the Ministry
of Public Heath.
NAME OF AUDITOR & CERTIFIED PUBLIC
ACCOUNTANT NO.
Office of the
Auditor General
BALANCE
SHEET [BAHT]
The 2014 financial statement
was not yet
available.
The latest financial figures published
as at September 30,
2013, 2012 & 2011
were:
ASSETS
|
Current Assets |
2013 |
2012 |
2011 [Adjusted] |
|
|
|
|
|
|
Cash and Cash
Equivalents |
3,928,679,844.72 |
4,055,988,562.65 |
3,852,694,411.23 |
|
Short-term Investment |
2,117,996,013.78 |
1,152,656,573.10 |
1,603,161,291.01 |
|
Trade Receivables, net |
2,613,615,910.95 |
2,235,604,220.60 |
1,888,375,560.46 |
|
Short-term Loan |
30,715,388.48 |
26,262,730.88 |
63,841,823.94 |
|
Inventories |
2,972,618,273.87 |
3,107,308,491.12 |
3,485,993,787.65 |
|
Other Current Assets
|
197,178,083.45 |
292,296,513.90 |
130,332,552.11 |
|
|
|
|
|
|
Total Current Assets
|
11,860,803,515.25 |
10,870,117,092.25 |
11,024,399,426.40 |
|
Investments in Join
Venture |
243,860,000.00 |
243,860,000.00 |
243,860,000.00 |
|
Long-term Borrowings |
95,358,800.20 |
91,569,758.38 |
62,234,859.06 |
|
Property, Plant Equipment |
2,265,277,980.49 |
2,099,772,430.82 |
1,969,280,964.80 |
|
Intangible Assets |
14,206,718.22 |
11,652,758.20 |
10,006,076.68 |
|
Assets in Process |
1,322,757,004.37 |
1,161,398,280.02 |
540,398,158.21 |
|
Current Portion of
Drugs & Medical Supply
Reserve |
8,119,042.43 |
7,760,482.20 |
9,476,512.15 |
|
Total Assets |
15,810,383,060.96 |
14,486,130,801.87 |
13,859,655,997.30 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2013 |
2012 |
2011 [Adjusted] |
|
|
|
|
|
|
Trade Accounts Payable |
1,809,151,976.72 |
1,341,070,567.72 |
1,841,253,983.39 |
|
Other Payable |
1,388,003,198.46 |
1,197,455,603.31 |
967,206,235.52 |
|
|
|
|
|
|
Total Current Liabilities |
3,197,155,175.18 |
2,538,526,171.03 |
2,808,460,218.91 |
|
Employee’s Pension Fund |
1,175,278,308.00 |
1,134,605,507.00 |
261,934,892.60 |
|
GPO’s Loan Fund |
74,500,000.00 |
70,000,000.00 |
65,000,000.00 |
|
Total Liabilities |
4,446,933,483.18 |
3,743,131,678.03 |
3,135,395,111.51 |
|
|
|
|
|
|
Capital |
|
|
|
|
|
|
|
|
|
Paid-up Capital |
48,041,467.48 |
48,041,467.48 |
48,041,467.48 |
|
Capital Budget Allocations |
3,018,502.04 |
3,018,502.04 |
3,018,502.04 |
|
Transfer from Current
Capital |
3,526,548.46 |
3,526,548.46 |
3,526,548.46 |
|
|
54,586,517.98 |
54,586,517.98 |
54,586,517.98 |
|
Surplus Capital from Goodwill |
16,651,812.06 |
17,819,255.07 |
20,248,176.92 |
|
Drugs and Medical
Supply Reserve |
49,914,409.60 |
49,914,409.60 |
49,914,409.60 |
|
Retained Earnings |
11,242,296,838.14 |
10,620,678,941.19 |
10,599,511,781.29 |
|
Total Capital |
11,363,449,577.78 |
10,742,999,123.84 |
10,724,260,885.79 |
|
Total Liabilities & Capital
|
15,810,383,060.96 |
14,486,130,801.87 |
13,859,655,997.30 |
PROFIT
& LOSS ACCOUNT
|
Revenues |
2013 |
2012 |
2011 [Adjusted] |
|
|
|
|
|
|
Sales of Pharmaceutical and Medical Supplies |
12,030,174,645.59 |
12,036,411,753.44 |
11,139,058,539.01 |
|
Income from Hive
of Work |
7,464,412.08 |
5,721,679.25 |
4,289,733.33 |
|
Other Income |
242,420,872.17 |
237,880,434.55 |
274,397,005.17 |
|
Total Revenues |
12,280,059,929.84 |
12,280,013,867.24 |
11,417,745,277.51 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Sales
and Hive of
Work |
9,069,740,120.26 |
8,787,757,163.23 |
7,754,376,498.63 |
|
Selling Expenses |
701,747,916.75 |
735,071,604.15 |
730,928,300.18 |
|
Administration Expenses |
1,340,356,512.36 |
1,248,706,101.31 |
1,228,187,567.80 |
|
Other Expenses |
81,017,405.87 |
93,434,267.59 |
118,527,122.25 |
|
Total Expenses |
11,192,861,955.24 |
10,864,969,136.28 |
9,832,019,488.86 |
|
|
|
|
|
|
Net Income |
1,087,197,974.60 |
1,415,044,730.96 |
1,585,725,788.65 |
FINANCIAL
ANALYSIS
|
ITEM |
UNIT |
2013 |
2012 |
2011 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
3.71 |
4.28 |
3.93 |
|
QUICK RATIO |
TIMES |
2.72 |
2.94 |
2.64 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
5.31 |
5.73 |
5.66 |
|
TOTAL ASSETS TURNOVER |
TIMES |
0.76 |
0.83 |
0.80 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
119.63 |
129.06 |
164.09 |
|
INVENTORY TURNOVER |
TIMES |
3.05 |
2.83 |
2.22 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
79.25 |
67.76 |
61.85 |
|
RECEIVABLES TURNOVER |
TIMES |
4.61 |
5.39 |
5.90 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
72.81 |
55.70 |
86.67 |
|
CASH CONVERSION CYCLE |
DAYS |
126.07 |
141.12 |
139.27 |
|
|
|
|
|
|
|
PROFITABILITY RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
75.34 |
72.98 |
69.59 |
|
SELLING & ADMINISTRATION |
% |
5.83 |
6.10 |
6.56 |
|
INTEREST |
% |
- |
- |
- |
|
GROSS PROFIT MARGIN |
% |
26.67 |
29.00 |
32.87 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
9.03 |
11.75 |
14.23 |
|
NET PROFIT MARGIN |
% |
9.03 |
11.75 |
14.23 |
|
RETURN ON EQUITY |
% |
9.57 |
13.17 |
14.79 |
|
RETURN ON ASSET |
% |
6.88 |
9.77 |
11.44 |
|
EARNING PER SHARE |
BAHT |
1,991.70 |
2,592.30 |
2,904.98 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.28 |
0.26 |
0.23 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.39 |
0.35 |
0.29 |
|
TIME INTEREST EARNED |
TIMES |
- |
- |
- |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
(0.04) |
8.07 |
|
|
OPERATING PROFIT |
% |
(23.17) |
(10.76) |
|
|
NET PROFIT |
% |
(23.17) |
(10.76) |
|
|
FIXED ASSETS |
% |
7.88 |
6.63 |
|
|
TOTAL ASSETS |
% |
9.14 |
4.52 |
|
ANNUAL GROWTH : ACCEPTABLE
An annual sales growth is -0.04%. Turnover has decreased from THB
12,042,133,432.69 in 2012 to THB 12,037,639,057.67 in 2013. While net profit
has decreased from THB
PROFITABILITY : IMPRESSIVE
PROFITABILITY
RATIO
|
Gross Profit Margin |
26.67 |
Impressive |
Industrial Average |
19.94 |
|
Net Profit Margin |
9.03 |
Impressive |
Industrial Average |
3.70 |
|
Return on Assets |
6.88 |
Impressive |
Industrial Average |
6.87 |
|
Return on Equity |
9.57 |
Acceptable |
Industrial Average |
17.08 |
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 26.67%. When
compared with the industry average, the ratio of the company was higher,
indicated that company was more profitable than the same industry.
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 9.03%, higher figure when
compared with those of its average competitors in the same industry, indicated
that business was an efficient operator
in a dominant position within its industry.
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. Return on Assets ratio is
6.88%, 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.
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 9.57%.
Trend of the average competitors in the same industry for last 5 years
Return on Assets Uptrend
Return on Equity Uptrend
LIQUIDITY : SATISFACTORY
LIQUIDITY RATIO
|
Current Ratio |
3.71 |
Impressive |
Industrial Average |
1.47 |
|
Quick Ratio |
2.72 |
|
|
|
|
Cash Conversion Cycle |
126.07 |
|
|
|
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 3.71 times in 2013, decreased from 4.28 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 higher, indicated that company
was an efficient operator in a dominant position within its industry.
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 2.72 times in 2013,
decreased from 2.94 times, although excluding inventory so the company still
have good short-term financial strength.
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 127 days.
Trend of the average competitors in the same industry for last 5 years
Current Ratio Downtrend
LEVERAGE : EXCELLENT
LEVERAGE RATIO
|
Debt Ratio |
0.28 |
Impressive |
Industrial Average |
0.58 |
|
Debt to Equity Ratio |
0.39 |
Impressive |
Industrial Average |
1.37 |
|
Times Interest Earned |
- |
|
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 lower the percentage means that the company is using less leverage
and has a stronger equity position.
Debt Ratio shows the proportion of a company's assets which are financed
through debt. The company's figure is 0.28 less than 0.5, most of the company's
assets are financed through equity.
Trend of the average competitors in the same industry for last 5 years
Debt Ratio Uptrend
Times Interest Earned Stable
ACTIVITY : SATISFACTORY
ACTIVITY RATIO
|
Fixed Assets Turnover |
5.31 |
Impressive |
Industrial Average |
- |
|
Total Assets Turnover |
0.76 |
Deteriorated |
Industrial Average |
1.85 |
|
Inventory Conversion Period |
119.63 |
|
|
|
|
Inventory Turnover |
3.05 |
Deteriorated |
Industrial Average |
6.50 |
|
Receivables Conversion Period |
79.25 |
|
|
|
|
Receivables Turnover |
4.61 |
Impressive |
Industrial Average |
2.46 |
|
Payables Conversion Period |
72.81 |
|
|
|
The company's Account Receivable Ratio is calculated as 4.61 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 129 days at the
end of 2012 to 120 days at the end of 2013. This represents a positive trend.
And Inventory turnover has increased from 2.83 times in year 2012 to 3.05 times
in year 2013.
The company's Total Asset Turnover is calculated as 0.76 times and 0.83
times in 2013 and 2012 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.63.49 |
|
|
1 |
Rs.99.43 |
|
Euro |
1 |
Rs.69.14 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAR |
|
|
|
|
Report Prepared
by : |
SDA |
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.