MIRA INFORM REPORT
|
Report No. : |
326110 |
|
Report Date : |
10.06.2015 |
IDENTIFICATION DETAILS
|
Name : |
SURBHI IMPEX CO., LTD. |
|
|
|
|
Registered Office : |
24th Floor, Jewelry Trade Center, 919/307 Silom Road, Silom, Bangrak, Bangkok 10500 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2013 |
|
|
|
|
Date of Incorporation : |
25.01.1996 |
|
|
|
|
Com. Reg. No.: |
0105539010531 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Subject is engaged
in importing and
distributing of diamonds
with various sizes
from 0.05 pts
to 0.50 pts,
and gemstones to
local market, as well
as exporting of
local diamonds, gemstones
and fine jewelry
products to international markets. |
|
|
|
|
No. of Employee : |
5 |
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 – December 31, 2014
|
Country Name |
Previous Rating (30.09.2014) |
Current Rating (31.12.2014) |
|
Thailand |
B1 |
B1 |
|
Risk Category |
ECGC Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
THAILAND ECONOMIC OVERVIEW
Kuwait has a geographically small, but wealthy, relatively open economy with crude oil reserves of about 102 billion barrels - more than 6% of world reserves. Kuwaiti officials plan to increase oil production to 4 million barrels per day by 2020. Petroleum accounts for over half of GDP, 94% of export revenues, and 89% of government income. For the last decade, high oil prices have generated budget surpluses despite increasing budget expenditures, particularly on wage hikes for public sector employees. Despite Kuwait’s dependence on oil, the government has cushioned itself against the impact of lower oil prices by continuous saving of at least 10% of government revenue in the Fund for Future Generations. Kuwait has done little to diversify its economy, in part, due to a poor business climate and an acrimonious relationship between the National Assembly and the executive branch that has stymied most economic reforms. In 2010, Kuwait passed its first long-term economic development plan in almost twenty-five years. While the government planned to spend up $104 billion over four years to diversify the economy away from oil, attract more investment, and boost private sector participation in the economy, many of the projects did not materialize because of the tenuous political situation.
|
Source
: CIA |
Company
name
SURBHI IMPEX
CO., LTD.
SUMMARY
BUSINESS
ADDRESS : 24th FLOOR,
JEWELRY TRADE CENTER,
919/307 SILOM
ROAD, SILOM, BANGRAK,
BANGKOK 10500,
THAILAND
TELEPHONE : [66] 2267-4610-3,
081 692-0030
FAX : [66] 2267-4601
E-MAIL
ADDRESS : surbhibkk@gmail.com
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1996
REGISTRATION
NO. : 0105539010531
TAX
ID NO. : 3011679760
CAPITAL REGISTERED : BHT. 55,000,000
CAPITAL PAID-UP : BHT.
55,000,000
SHAREHOLDER’S PROPORTION : THAI :
51.00%
INDIAN : 49.00%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR. PRAVINKUMAR CHHAGANBHAI
PATEL, INDIAN
MANAGING DIRECTOR
NO.
OF STAFF : 5
LINES
OF BUSINESS : DIAMONDS AND
JEWELRY PRODUCTS
IMPORTER, DISTRIBUTOR
AND EXPORTER
CORPORATE PROFILE
OPERATING
TREND : STABLE
PRESENT
SITUATION : OPERATING NORMALLY
REPUTATION : GOOD
WITH NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT
STANDARD : MANAGEMENT WITH
FAIR PERFORMANCE
HISTORY
The
subject was established
on January 25,
1996 as a
private limited company
under the registered
name SURBHI IMPEX
CO., LTD., by
Thai and Indian groups, in order
to be engaged in
jewelry business. It
currently employs 5 staff.
The
subject’s registered address
is 24th Floor,
Jewelry Trade Center,
919/307 Silom Rd., Silom,
Bangrak, Bangkok 10500, and
this is the
subject’s current operation
address.
THE
BOARD OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Pravinkumar
Chhaganbhai Patel |
|
Indian |
37 |
|
Mr. Sanjay Kumar Chhaganbhai
Patel |
|
Indian |
34 |
AUTHORIZED
PERSON
One of the
above directors can
sign on behalf
of the subject
with company’s affixed.
MANAGEMENT
Mr. Pravinkumar Chhaganbhai Patel
is the Managing
Director.
He is Indian
nationality with the
age of 37
years old.
BUSINESS OPERATIONS
The subject is
engaged in importing
and distributing of
diamonds with various
sizes from 0.05
pts to 0.50
pts, and gemstones
to local market, as
well as exporting
of local diamonds,
gemstones and fine
jewelry products to
international markets.
PURCHASE
100% of jewelry
products is purchased
from local manufacturers.
IMPORT
Diamonds
and gemstones are
imported from India,
South Africa and
Hong Kong.
MAJOR
SUPPLIERS
Oriana Diamond Pty.
Ltd. : South
Africa
Oriana Diamond Pvt.
Ltd. : India
Newway Gems Ltd. : Hong
Kong
SALES
[LOCAL]
Diamonds and gemstones
are sold locally
to traders and
manufacturers.
EXPORT
Jewelry products, diamonds
and gemstones are
exported to India,
Republic of China,
U.S.A., Hong Kong, Singapore,
Japan and European
countries.
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 to 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
L/C at sight
or T/T.
Exports are against
T/T.
BANKING
Bangkok
Bank Public Co.,
Ltd.
EMPLOYMENT
The subject employs
5 staff.
LOCATION
DETAILS
The
premise is rented
for administrative office
at the heading
address. Premise is
located in a prime
commercial area.
COMMENT
Overall
domestic jewelry market
has been slowing
down in the
previous year caused
by shrink consumer
purchasing power. However,
subject has financial
strength which can
maintains a strong
business.
FINANCIAL
INFORMATION
The
capital was registered
at Bht. 4,000,000
divided into 40,000
shares of Bht. 100
each.
The
capital was increased
later as following:
Bht. 6,000,000
on July 30,
2001
Bht. 13,000,000
on December 22,
2004
Bht. 20,000,000
on August 13,
2009
Bht. 35,000,000
on December 9,
2010
Bht. 55,000,000
on April 24,
2012
The
latest registered capital
was increased to
Bht. 55,000,000 divided into
550,000 shares of Bht.
100 each with
fully paid.
THE
SHAREHOLDERS LISTED WERE
[as
at April 30,
2014]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Pravinkumar
Chhaganbhai Patel Nationality: Indian Address : 919/307
Silom Rd., Silom,
Bangrak,
Bangkok |
220,000 |
40.00 |
|
Ms. Sutharat Uthainit Nationality: Thai Address : 293/92
Prachauthit 69 Rd.,
Bangmod,
Thungkru, Bangkok |
137,500 |
25.00 |
|
Ms. Sunthara Uthainit Nationality: Thai Address : 293/92
Prachauthit 69 Rd.,
Bangmod, Thungkru, Bangkok |
82,500 |
15.00 |
|
Ms. Kamta Sirisat Nationality: Thai Address : 293/92
Prachauthit 69 Rd.,
Bangmod,
Thungkru, Bangkok |
60,500 |
11.00 |
|
Mr. Manishkumar
Chhaganbhai Prajapati Nationality: Indian Address : 919/307
Silom Rd., Silom,
Bangrak,
Bangkok |
38,500 |
7.00 |
|
Mr. Sanjay Kumar Chhaganbhai
Patel Nationality: Indian Address : 919/307
Silom Rd., Silom,
Bangrak, Bangkok |
11,000 |
2.00 |
Total Shareholders : 6
Share Structure [as
at April 30,
2014]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
3 |
280,500 |
51.00 |
|
Foreign-Indian |
3 |
269,500 |
49.00 |
|
Total |
6 |
550,000 |
100.00 |
NAME OF AUDITOR & CERTIFIED PUBLIC
ACCOUNTANT NO.
Mr. Saenee Sopitlarpthana No.
4043
Note:
The 2014 financial
statement has not
yet been disclosed
to public by
Commercial Registration during
investigation.
BALANCE
SHEET [BAHT]
The
latest financial figures
published for December 31,
2013, 2012 & 2011
were:
ASSETS
|
Current Assets |
2013 |
2012 |
2011 |
|
|
|
|
|
|
Cash and Cash Equivalent
|
349,624.53 |
761,898.85 |
498,084.44 |
|
Short-term Investment |
54,971,517.53 |
46,935,577.98 |
29,000,000.00 |
|
Trade Accounts Receivable |
332,248,449.71 |
253,909,903.57 |
152,008,437.55 |
|
Deferred Interest |
- |
- |
19,024.66 |
|
Other Receivable |
91,825.49 |
48,523.82 |
- |
|
Inventories |
49,375,155.39 |
59,438,935.05 |
14,511,003.97 |
|
Other Current Assets |
2,990.88 |
- |
- |
|
|
|
|
|
|
Total Current Assets |
437,039,563.53 |
361,094,839.27 |
196,036,550.62 |
|
Other Long-term Investment |
- |
- |
1,415,362.50 |
|
Fixed Assets |
3,083,521.15 |
3,625,121.94 |
4,182,534.55 |
|
Total Assets |
440,123,084.68 |
364,719,961.21 |
201,634,447.67 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2013 |
2012 |
2011 |
|
|
|
|
|
|
Bank Overdraft and
Short-term Loan from Financial
Institution |
220,609,542.94 |
165,138,850.29 |
111,021,150.37 |
|
Trade Accounts Payable |
128,016,326.86 |
114,436,204.88 |
33,983,189.57 |
|
Accrued Expenses |
584,240.00 |
587,836.00 |
974,996.00 |
|
Current Portion of Installment
Contract Liabilities |
196,200.00 |
407,052.00 |
407,052.00 |
|
Accrued Income Tax |
531,817.54 |
1,903,453.02 |
1,565,924.83 |
|
Other Current Liabilities |
286,583.41 |
119,127.84 |
137,722.66 |
|
|
|
|
|
|
Total Current Liabilities |
350,224,710.75 |
282,592,524.03 |
148,090,035.43 |
|
|
|
|
|
|
Installment Contract Liabilities |
310,650.00 |
910,983.00 |
1,335,606.00 |
|
Total Liabilities |
350,535,360.75 |
283,503,507.03 |
149,425,641.43 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized, issued
and fully paid share
capital 550,000 shares
in 2013 & 2012; 350,000 shares in
2011 |
55,000,000.00 |
55,000,000.00 |
35,000,000.00 |
|
|
|
|
|
|
Capital Paid |
55,000,000.00 |
55,000,000.00 |
35,000,000.00 |
|
Retained Earning -
Unappropriated |
34,587,723.93 |
26,216,454.18 |
17,208,806.24 |
|
Total Shareholders' Equity |
89,587,723.93 |
81,216,454.18 |
52,208,806.24 |
|
Total Liabilities &
Shareholders' Equity |
440,123,084.68 |
364,719,361.21 |
201,634,447.67 |
PROFIT
& LOSS ACCOUNT
|
Revenue |
2013 |
2012 |
2011 |
|
|
|
|
|
|
Sales Income |
807,223,134.92 |
703,412,700.53 |
439,803,086.56 |
|
Interest Income |
1,046,747.97 |
746,420.02 |
38,739.19 |
|
Other Income |
5,657,612.74 |
6,081,461.58 |
5,832,879.38 |
|
Total Revenues |
813,927,495.63 |
710,240,582.13 |
445,674,705.13 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold |
783,935,840.00 |
679,048,568.89 |
425,640,881.44 |
|
Selling Expenses |
8,328,099.78 |
8,130,994.64 |
4,608,593.47 |
|
Administrative Expenses |
5,358,223.45 |
6,361,914.50 |
5,482,336.43 |
|
Total Expenses |
797,622,163.23 |
693,541,478.03 |
435,731,811.34 |
|
|
|
|
|
|
Profit / [Loss] before Financial Cost & Income Tax |
16,305,332.40 |
16,699,104.10 |
9,942,893.79 |
|
Financial Cost |
[5,839,281.07] |
[4,633,787.05] |
[2,830,165.16] |
|
|
|
|
|
|
Profit / [Loss] before Income
Tax |
10,466,051.33 |
12,065,317.05 |
7,112,728.63 |
|
Income Tax |
[2,094,781.58] |
[3,057,669.11] |
[2,135,924.83] |
|
Net Profit / [Loss] |
8,371,269.75 |
9,007,647.94 |
4,976,803.80 |
FINANCIAL
ANALYSIS
|
ITEM |
UNIT |
2013 |
2012 |
2011 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
1.25 |
1.28 |
1.32 |
|
QUICK RATIO |
TIMES |
1.11 |
1.07 |
1.23 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
261.79 |
194.04 |
105.15 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.83 |
1.93 |
2.18 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
22.99 |
31.95 |
12.44 |
|
INVENTORY TURNOVER |
TIMES |
15.88 |
11.42 |
29.33 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
150.23 |
131.75 |
126.15 |
|
RECEIVABLES TURNOVER |
TIMES |
2.43 |
2.77 |
2.89 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
59.60 |
61.51 |
29.14 |
|
CASH CONVERSION CYCLE |
DAYS |
113.62 |
102.19 |
109.46 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
97.12 |
96.54 |
96.78 |
|
SELLING & ADMINISTRATION |
% |
1.70 |
2.06 |
2.29 |
|
INTEREST |
% |
0.72 |
0.66 |
0.64 |
|
GROSS PROFIT MARGIN |
% |
3.72 |
4.43 |
4.56 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
2.02 |
2.37 |
2.26 |
|
NET PROFIT MARGIN |
% |
1.04 |
1.28 |
1.13 |
|
RETURN ON EQUITY |
% |
9.34 |
11.09 |
9.53 |
|
RETURN ON ASSET |
% |
1.90 |
2.47 |
2.47 |
|
EARNING PER SHARE |
BAHT |
15.22 |
16.38 |
14.22 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.80 |
0.78 |
0.74 |
|
DEBT TO EQUITY RATIO |
TIMES |
3.91 |
3.49 |
2.86 |
|
TIME INTEREST EARNED |
TIMES |
2.79 |
3.60 |
3.51 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
14.76 |
59.94 |
|
|
OPERATING PROFIT |
% |
(2.36) |
67.95 |
|
|
NET PROFIT |
% |
(7.06) |
80.99 |
|
|
FIXED ASSETS |
% |
(14.94) |
(13.33) |
|
|
TOTAL ASSETS |
% |
20.67 |
80.88 |
|
ANNUAL
GROWTH : ACCEPTABLE
An annual sales growth is 14.76%. Turnover has increased from THB
PROFITABILITY :
SATISFACTORY
PROFITABILITY
RATIO
|
Gross Profit Margin |
3.72 |
Impressive |
Industrial
Average |
3.01 |
|
Net Profit Margin |
1.04 |
Impressive |
Industrial
Average |
0.58 |
|
Return on Assets |
1.90 |
Acceptable |
Industrial
Average |
3.55 |
|
Return on Equity |
9.34 |
Acceptable |
Industrial
Average |
14.14 |
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. Gross Profit Margin is 3.72%. 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. Net Profit Margin ratio is 1.04%,
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. When compared with the
industry average, it was lower, the company's figure is 1.9%.
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 9.34%.
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 |
1.25 |
Satisfactory |
Industrial
Average |
1.60 |
|
Quick Ratio |
1.11 |
|
|
|
|
Cash Conversion Cycle |
113.62 |
|
|
|
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 1.25 times in 2013, decrease from 1.28 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 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 1.11 times in 2013,
increase from 1.07 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 114 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE :
ACCEPTABLE
LEVERAGE RATIO
|
Debt Ratio |
0.80 |
Acceptable |
Industrial
Average |
0.73 |
|
Debt to Equity Ratio |
3.91 |
Risky |
Industrial
Average |
2.73 |
|
Times Interest Earned |
2.79 |
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 2.8 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 0.8 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 Uptrend
Times Interest Earned Stable
ACTIVITY :
SATISFACTORY
ACTIVITY RATIO
|
Fixed Assets Turnover |
261.79 |
Impressive |
Industrial
Average |
- |
|
Total Assets Turnover |
1.83 |
Deteriorated |
Industrial
Average |
6.16 |
|
Inventory Conversion Period |
22.99 |
|
|
|
|
Inventory Turnover |
15.88 |
Impressive |
Industrial
Average |
12.03 |
|
Receivables Conversion Period |
150.23 |
|
|
|
|
Receivables Turnover |
2.43 |
Deteriorated |
Industrial
Average |
8.23 |
|
Payables Conversion Period |
59.60 |
|
|
|
The company's Account Receivable Ratio is calculated as 2.43 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 32 days at the
end of 2012 to 23 days at the end of 2013. This represents a positive trend.
And Inventory turnover has increased from 11.42 times in year 2012 to 15.88
times in year 2013.
The company's Total Asset Turnover is calculated as 1.83 times and 1.93
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 Downtrend
Inventory Turnover Downtrend
Receivables Turnover Downtrend
DIAMOND INDUSTRY – INDIA
-
From
time immemorial, India is well known in the world as the birthplace for
diamonds. It is difficult to trace the origin of diamonds but history
says that in the remote past, diamonds were mined only in India. Diamond
production in India can be traced back to almost 8th Century B.C.
India, in fact, remained undisputed leader till 18th Century
when Brazilian fields were discovered in 1725 followed by emergence of S.
Africa, Russia and Australia.
-
The
achievement of the Indian diamond industry was possible only due to combination
of the manufacturing skills of the Indian workforce and the untiring and
unflagging efforts of the Indian diamantaires, supported by progressive
Government policies.
-
The
area of study of family owned diamond businesses derives its importance from
the huge conglomerate of family run organizations which operate in the diamond
industry since many generations.
-
Some
of the basic traits of family run business enterprises include spirit of
entrepreneurship, mutual trust lowers transaction costs, small, nimble and
quick to react, information as a source of advantage and philanthropy.
-
Family
owned diamond businesses need to improve on many fronts including higher
standard of corporate governance, long-term performance – focused strategies,
modern management and technology.
-
Utmost
caution is to be exercised while dealing with some medium and large diamond
traders which are usually engaged in fictitious import – export, inter-company
transactions, financially assisted by banks. In the process, several public
sector banks lost several hundred million rupees. They mostly diverted borrowed
money for diamond business into real estate and capital markets.
-
Excerpts
from Times of India dated 30th October 2010 is as under –
-
Gem
& Jewellery Export Promotion Council in its statistical data has shown the
export of polished diamonds to have increase by 28 % in February 2013. Compared
to $ 1.4 bn worth of polished diamond export in February, 2012, India exported
$ 1.84 billion worth of polished diamonds in February 2013. A senior executive
of GJEPC said, “Export of cut and polished diamonds started falling month-wise
after the imposition of 2 % of import duty on the polished diamonds. But
February, 2013 has given a new ray of hope to the industry as the export of
polished diamonds has actually increased by 28 %. It means the industry
is on the track of recovery and round tripping of diamonds has stopped
completely.” Demand has started coming from the US, the UK, Japan and China.
India’s polished diamond export is expected to cross $ 21 bn in 2013-14.
-
The
banking sector has started exercising restraint while following prudent risk
management norms when lending money to gems and jewellery sector. This follows the
implementation of Basel III accord – a global voluntary regulatory standard on
bank capital adequacy, stress testing and market liquidity.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.63.94 |
|
|
1 |
Rs.98.27 |
|
Euro |
1 |
Rs.72.37 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAR |
|
|
|
|
Report Prepared
by : |
ANK |
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.