MIRA INFORM REPORT

 

 

Report No. :

333164

Report Date :

23.07.2015

 

IDENTIFICATION DETAILS

 

Name :

NATIONAL BISCUITS INDUSTRIES CO SAOG

 

 

Registered Office :

Road No 2, Al Rusayl Industrial Estate, PO Box  : 29, Al Rusayl 124

 

 

Country :

Oman

 

 

Financials (as on) :

31.12.2014

 

 

Date of Incorporation :

01.01.1982

 

 

Com. Reg. No.:

1/14866/4

 

 

Legal Form :

Omani Public Joint Stock Company

 

 

Line of Business :

Subject is engaged in the manufacture and marketing of biscuits, wafers, chocolate enrobed wafers and snacks

 

 

No. of Employee :

400

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

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

Satisfactory

 

Status :

Satisfactory

 

 

Payment Behaviour :

No complaints 

 

 

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)

Oman

A2

A2

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

OMAN - ECONOMIC OVERVIEW

 

Oman is heavily dependent on dwindling oil resources, which generates 77% of government revenue. It is using enhanced oil recovery techniques to boost production. Muscat has actively pursued a development plan that focuses on diversification, industrialization, and privatization, with the objective of reducing the oil sector's contribution to GDP from 46% to 9% by 2020. Muscat also is focused on creating more jobs to employ the rising numbers of Omanis entering the workforce. Tourism and gas-based industries are key components of the government's diversification strategy. However, increases in social welfare benefits, particularly since the Arab Spring, have challenged the government's ability to effectively balance its budget as oil prices decline. Despite government acknowledgement that Oman’s expansive social welfare benefits are unsustainable, Oman authorities are comfortable with short-term budget deficits and have approved an expansionary 2015 budget. Concurrently, Oman has expanded efforts to support the development of small and medium-size enterprises and entrepreneurship. Government agencies and large oligarchic group companies have announced new initiatives to spin off non-essential functions to entrepreneurs, incubate new businesses, train and mentor up and coming business people, and provide financing for start-ups.

 

Source : CIA

 

 

SUMMARY

 

Company Name                                    : NATIONAL BISCUITS INDUSTRIES CO SAOG

Country of Origin                                   : Oman

Legal Form                                           : Omani Public Joint Stock Company

Registration Date                                  : 1st January 1982

Commercial Registration Number           : 1/14866/4

Issued Capital                                       : RO 1,000,000

Paid up Capital                                     : RO 1,000,000

Total Workforce                                    : 400

Activities                                               : Manufacture and marketing of biscuits, wafers, chocolate enrobed wafers and snacks.

Financial Condition                                : Good

Payments                                             : Nothing detrimental uncovered

Operating Trend                                    : Steady

 

 

COMPANY NAME

 

NATIONAL BISCUITS INDUSTRIES CO SAOG

 

 

ADDRESS

 

Registered & Physical Address

 

Street               : Road No 2

Area                 : Al Rusayl Industrial Estate

PO Box            : 29

Town                : Al Rusayl 124

Country             : Sultanate of Oman

 

Telephone         : (968) 24446034 / 24446035 / 24446036

Facsimile          : (968) 24446048

Mobile              : (968) 99310329

Email                : nabil@nabilbiscuits.com

 

Premises

 

Subject operates from a large suite of offices and a factory that are owned and located in the Industrial Area of Al Rusayl.

 

 

KEY PRINCIPALS

 

     Name                                                                                               Position

 

·       Nooh Bin Mohammed Al Zidjaly                                                        Chairman

 

·       Iqbal Usman                                                                                     Deputy Chairman

 

·       Satrajit Choudhury                                                                            Director

 

·       Taimur Hasan                                                                                   Director

 

·       N Radhakrishnan                                                                              Director

 

·       Narayana Pillai Janardhan                                                                 Director

 

·       Rahul Shinde                                                                                    Chief Executive Officer

 

·       N S S Subramanian                                                                          Marketing Manager

 

 

LEGAL FORM & OWNERS

 

Date of Establishment  : 1st January 1982

 

Legal Form                  : Sharikat Al Mousahama Al Omania (Societe Anonyme Omani General - SAOG) (Omani

  Public Joint Stock Company)

 

Commercial Reg. No.   : 1/14866/4

 

Issued Capital              : RO 1,000,000

 

Paid up Capital            : RO 1,000,000

 

Name of Shareholder (s)                                                                         Percentage

 

·       Amfis Holding Limited                                                                                     55.24%

 

·       Oman International Development and Investment Company SAOG                     28.92%

 

·       Members of the general public & private investors                                            15.84%

 

 

AFFILIATED COMPANIES

 

     Name                                                                                               Percentage Held

 

·       Nabil Food Industries LLC                                                                         98%

 

 

OPERATIONS

 

Activities: Engaged in the manufacture and marketing of biscuits, wafers, chocolate enrobed wafers and snacks.

 

Import Countries: India and Europe.

 

Export Countries: Subject exports to more than 45 countries worldwide.

 

Brand Names: NABIL, ORYX, TRENTS and TIVOLI

 

Operating Trend: Steady

 

Subject has a workforce of approximately 400 employees.

FINANCIAL DATA

 

Financial highlights provided by local sources are given below:

 

Currency: Riyal Omani (RO)

 

Consolidated Balance Sheet                                         31/12/14                         31/12/13

                                                                                Group       Subject   Group             Subject

Company                     Company

 

Consolidated Income Statement

 

INCOME

Sales                                                                11,352,976      11,352,976       11,304,787     11,304,787

Cost of sales                                                    (8,998,931)      (9,131,380)       (9,039,981)     (9,194,208)

Gross profit                                                      2,354,045        2,221,596          2,264,806       2,110,579

Other income                                                     27,302             44,894               26,129            43,721

2,381,347        2,266,490          2,290,935       2,154,300

EXPENSES

Selling and distribution                                      1,155,712        1,082,668          1,070,549       1,001,717

General and administration                                 473,687           464,417             493,162          486,547

Finance charges                                                30,221             28,900               79,702            76,974

1,659,620        1,575,985          1,643,413       1,565,238

Profit before taxation                                        721,727           690,505             647,522          589,062

Taxation                                                            (81,532)              (79,893)           (71,847)         (69,752)

Net profit and total comprehensive

income for the year                                          640,195           610,612             575,675          519,310

 

Local sources consider subject’s financial condition to be Good.

 

 

BANKERS

 

·       Bank Muscat SAOG

Ruwi Main Branch

     PO Box: 6326

     Muscat

     Tel: (968) 24561399 / 24708543

     Fax: (968) 24561036

 

·       Bank of Oman, Bahrain & Kuwait

     BOBK House

     Al Burj Street

     PO Box: 4708, Ruwi 112

     Muscat

     Tel: (968) 24701528 / 24701532 / 24701788

     Fax: (968) 24705607 / 24793536

 

 

PAYMENT HISTORY

 

No complaints regarding subject’s payments have been reported.

 

 

GENERAL COMMENTS

 

National Biscuits Industries Ltd (SAOG) has been in business for over 30 years and is engaged in the manufacture and marketing of biscuits, wafers, chocolate enrobed wafers and snacks.

 

During the course of this investigation nothing detrimental was uncovered regarding subject’s operating history or the manner in which payments are fulfilled. As such the company is considered to be a fair trade risk.

 

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

Rs.63.53

UK Pound

1

Rs.99.19

Euro

1

Rs.69.60

 

INFORMATION DETAILS

 

Analysis Done by :

DIV

 

 

Report Prepared by :

ASH

 

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.