MIRA INFORM REPORT
|
Report No. : |
324053 |
|
Report Date : |
25.05.2015 |
IDENTIFICATION DETAILS
|
Name : |
PRECITONE CO., LTD. |
|
|
|
|
Registered Office : |
Room No. 404, 4th Floor, Sithikorn Building, 202 Mahesak Soi 2, Mahesak Road, Suriyawongse, Bangrak, Bangkok 10500 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2013 |
|
|
|
|
Date of Incorporation : |
12.12.2003 |
|
|
|
|
Com. Reg. No.: |
0105546148828 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
LINE OF BUSINESS : |
SUBJECT IS
ENGAGED IN IMPORTING,
DISTRIBUTING AND EXPORTING
VARIOUS KINDS OF
GEMS, PRECIOUS AND
SEMI-PRECIOUS STONES FOR
JEWELRY |
|
|
|
|
No. of Employee : |
Not Available |
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
With a well-developed infrastructure, a free-enterprise economy, generally pro-investment policies, and strong export industries, Thailand has had a strong economy due in part to industrial and agriculture exports - mostly electronics, agricultural commodities, automobiles and parts, and processed foods. Thailand attracts nearly 2.5 million migrant workers from neighboring countries. 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 economy has weathered both internal and external economic shocks in recent years. The global economic recession severely cut Thailand's exports, with most sectors experiencing double-digit drops. In late 2011 Thailand's recovery was interrupted by historic flooding in the industrial areas in Bangkok and its five surrounding provinces, crippling the manufacturing sector. Government approved flood mitigation projects, worth $11.7 billion, were started in 2012 to prevent a repeat. Thai growth slowed in 2013 and has remained low since, as the country faced political uncertainty and a coup in May 2014. The interim government is implementing a special $11 billion short-term stimulus package and has approved a budget of more than $80 billion to aid an economic rebound.
|
Source : CIA |
Company
name
PRECITONE CO., LTD.
SUMMARY
BUSINESS
ADDRESS : ROOM
NO. 404, 4th FLOOR,
SITHIKORN BUILDING,
202 MAHESAK
SOI 2, MAHESAK
ROAD,
SURIYAWONGSE, BANGRAK,
BANGKOK 10500,
THAILAND
TELEPHONE : [66] 2237-9173
FAX :
[66] 2237-9174
E-MAIL
ADDRESS : -
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 2003
REGISTRATION
NO. : 0105546148828
TAX
ID NO. : 3031169487
CAPITAL REGISTERED : BHT. 2,000,000
CAPITAL PAID-UP : BHT.
2,000,000
SHAREHOLDER’S PROPORTION : THAI :
51.00%
FOREIGN
:
49.00%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR. ANURAG SHAH,
GERMAN
MANAGING DIRECTOR
NO.
OF STAFF : -
LINES
OF BUSINESS : GEMS,
PRECIOUS AND SEMI-PRECIOUS
STONES
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 December 12, 2003
as a private
limited company under
the registered name
PRECITONE CO., LTD., by
Thai and Foreign
groups, with the
business objective to
import, distribute and export
various kinds of
gems, precious and
semi-precious stones.
The
subject’s registered address
is Room No.
404, 4th Floor,
Sithikorn Building,
202
Mahesak Soi 2, Mahesak
Road, Suriyawongse, Bangrak,
Bangkok 10500, and
this is the
subject’s current operation
address.
THE BOARD
OF DIRECTOR
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Anurag Shah |
|
German |
42 |
AUTHORIZED PERSON
The above director
signs on behalf
of the subject
with company’s affixed.
MANAGEMENT
Mr. Anurag Shah
is the Managing
Director.
He is German
nationality with the
age of 42
years old.
BUSINESS OPERATIONS
The subject
is engaged in
importing, distributing and
exporting various kinds
of gems, precious
and semi-precious stones
for jewelry and
watch production industry.
PURCHASE
The products are
purchased from suppliers
both domestic and overseas mainly
in India.
SALES
The products are
sold to manufacturers
and end-users both
local and overseas
mainly 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
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
Kasikornbank
Public Co., Ltd.
LOCATION DETAILS
The
premise is rented
for administrative office
at the heading
address. Premise is
located in a
prime commercial area.
COMMENT
Since the year 2014, growth
of domestic consumption of
jewelry products has been slowing
down compared to
the previous years.
Thai economy has been
declined under the
burden of rising
household debt and
shrinking consumer purchasing
power. Consumers were
likely to cut
spending especially for
non-essential items.
FINANCIAL INFORMATION
The
capital was registered at Bht. 2,000,000 divided into 20,000
shares of Bht.
100 each with
fully paid.
THE SHAREHOLDERS
LISTED WERE
[as
at April 30,
2014]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Anurag Shah Nationality: German Address : Idar-Oberstein, Germany
|
6,660 |
33.30 |
|
Mrs. Deepa Shah Nationality: Indian Address : Idar-Oberstein, Germany
|
3,140 |
15.70 |
|
Ms. Tarnvimol Wisetthammakul Nationality: Thai Address : 57/57
Moo 2, Bangchan,
Klongsamwa, Bangkok |
2,040 |
10.20 |
|
Mr. Suthichai Saejiw Nationality: Thai Address : 39/437
Moo 4, Thakam,
Bangkhunthien, Bangkok |
2,040 |
10.20 |
|
Mr. Ekkasit Kunthong Nationality: Thai Address : 111
Trokwatprayatham, Banchanglor,
Bangkoknoi, Bangkok |
2,040 |
10.20 |
|
Mr. Pisanu Intakantha Nationality: Thai Address : 9/3
Moo 1, T. Kalong,
A. Muang,
Samutsakorn |
2,040 |
10.20 |
|
Ms. Sunisa Prajuthai Nationality: Thai Address : 1158/20
Rimtangrodfai Road, Taladphlu,
Thonburi, Bangkok |
2,040 |
10.20 |
Total Shareholders : 7
Share Structure [as
at April 30,
2014]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
5 |
10,200 |
51.00 |
|
Foreign |
2 |
9,800 |
49.00 |
|
Total |
7 |
20,000 |
100.00 |
NAME
OF AUDITOR & CERTIFIED
PUBLIC ACCOUNTANT NO.
Mr. Saengchai Ularnpanichkul No.
4649
BALANCE
SHEET [BAHT]
The latest financial figures published
as at December
31, 2013, 2012
& 2011 were:
ASSETS
|
Current Assets |
2013 |
2012 |
2011 |
|
|
|
|
|
|
Cash and Cash Equivalents |
2,943,521.22 |
1,457,871.17 |
626,693.73 |
|
Trade Accounts &
Other Receivable |
10,601,770.37 |
6,307,224.85 |
3,714,796.28 |
|
Inventories |
11,937,028.20 |
10,745,593.09 |
12,551,249.99 |
|
|
|
|
|
|
Total Current Assets
|
25,482,319.79 |
18,510,689.11 |
16,892,740.00 |
|
|
|
|
|
|
Fixed Assets |
9,969.00 |
14,419.00 |
18,869.00 |
|
Other Non - current Assets |
134,692.44 |
134,692.44 |
137,018.88 |
|
Total Assets |
25,626,981.23 |
18,659,800.55 |
17,048,627.88 |
LIABILITIES
& SHAREHOLDERS’ EQUITY [BAHT]
|
Current
Liabilities |
2013 |
2012 |
2011 |
|
|
|
|
|
|
Trade Accounts & Other
Payable |
11,878,590.52 |
6,516,970.77 |
7,506,354.49 |
|
Advance Received for Goods |
663,930.00 |
441,595.57 |
- |
|
Short-term Loan |
6,690,000.00 |
6,160,000.00 |
4,235,000.00 |
|
Accrued Income Tax |
64,713.62 |
21,041.79 |
9,246.32 |
|
|
|
|
|
|
Total Current Liabilities |
19,297,234.14 |
13,139,608.13 |
11,750,600.81 |
|
Total Liabilities |
19,297,234.14 |
13,139,608.13 |
11,750,600.81 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized, issued
and fully paid share
capital 20,000 shares |
2,000,000.00 |
2,000,000.00 |
2,000,000.00 |
|
|
|
|
|
|
Capital Paid |
2,000,000.00 |
2,000,000.00 |
2,000,000.00 |
|
Retained Earning Unappropriated |
4,329,747.09 |
3,520,192.42 |
3,298,027.07 |
|
Total Shareholders' Equity |
6,329,747.09 |
5,520,192.42 |
5,298,027.07 |
|
Total Liabilities & Shareholders' Equity |
25,626,981.23 |
18,659,800.55 |
17,048,627.88 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
2013 |
2012 |
2011 |
|
|
|
|
|
|
Sales Income |
16,161,405.93 |
8,823,845.36 |
8,390,342.45 |
|
Gain on Exchange Rate |
119,174.24 |
- |
240,121.51 |
|
Freight Revenue |
628,200.40 |
598,867.03 |
267,232.94 |
|
Other Income |
1,958.41 |
562.00 |
226.72 |
|
Total Revenues |
16,910,738.98 |
9,423,274.39 |
8,897,923.62 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold |
13,473,849.08 |
7,168,815.86 |
6,847,048.58 |
|
Selling Expenses |
1,441,038.93 |
909,053.32 |
784,115.15 |
|
Administrative Expenses |
1,095,958.10 |
1,072,948.07 |
932,417.71 |
|
Total Expenses |
16,010,846.11 |
9,150,817.25 |
8,563,581.44 |
|
Profit / [Loss] before Income
Tax |
899,892.87 |
272,457.14 |
334,342.18 |
|
Income Tax |
[90,338.20] |
[50,291.79] |
[54,996.32] |
|
|
|
|
|
|
Net Profit / [Loss] |
809,554.69 |
222,165.35 |
279,345.86 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2013 |
2012 |
2011 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
1.32 |
1.41 |
1.44 |
|
QUICK RATIO |
TIMES |
0.70 |
0.59 |
0.37 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
1,621.17 |
611.96 |
444.66 |
|
TOTAL ASSETS TURNOVER |
TIMES |
0.63 |
0.47 |
0.49 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
323.37 |
547.11 |
669.08 |
|
INVENTORY TURNOVER |
TIMES |
1.13 |
0.67 |
0.55 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
239.44 |
260.90 |
161.60 |
|
RECEIVABLES TURNOVER |
TIMES |
1.52 |
1.40 |
2.26 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
321.79 |
331.81 |
400.15 |
|
CASH CONVERSION CYCLE |
DAYS |
241.02 |
476.20 |
430.53 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
83.37 |
81.24 |
81.61 |
|
SELLING & ADMINISTRATION |
% |
15.70 |
22.46 |
20.46 |
|
INTEREST |
% |
- |
- |
- |
|
GROSS PROFIT MARGIN |
% |
21.27 |
25.55 |
24.44 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
5.57 |
3.09 |
3.98 |
|
NET PROFIT MARGIN |
% |
5.01 |
2.52 |
3.33 |
|
RETURN ON EQUITY |
% |
12.79 |
4.02 |
5.27 |
|
RETURN ON ASSET |
% |
3.16 |
1.19 |
1.64 |
|
EARNING PER SHARE |
BAHT |
40.48 |
11.11 |
13.97 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.75 |
0.70 |
0.69 |
|
DEBT TO EQUITY RATIO |
TIMES |
3.05 |
2.38 |
2.22 |
|
TIME INTEREST EARNED |
TIMES |
- |
- |
- |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
83.16 |
5.17 |
|
|
OPERATING PROFIT |
% |
230.29 |
(18.51) |
|
|
NET PROFIT |
% |
264.39 |
(20.47) |
|
|
FIXED ASSETS |
% |
(30.86) |
(23.58) |
|
|
TOTAL ASSETS |
% |
37.34 |
9.45 |
|
ANNUAL GROWTH :
IMPRESSIVE
An annual sales growth is 83.16%. Turnover has increased from THB
PROFITABILITY :
IMPRESSIVE
PROFITABILITY
RATIO
|
Gross Profit Margin |
21.27 |
Impressive |
Industrial
Average |
3.01 |
|
Net Profit Margin |
5.01 |
Impressive |
Industrial
Average |
0.58 |
|
Return on Assets |
3.16 |
Satisfactory |
Industrial
Average |
3.55 |
|
Return on Equity |
12.79 |
Satisfactory |
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 21.27%. 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 5.01%,
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 3.16%.
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 12.79%.
Trend of the
average competitors in the same industry for last 5 years
Return on Assets Uptrend
Return on Equity Uptrend
LIQUIDITY : RISKY
LIQUIDITY RATIO
|
Current Ratio |
1.32 |
Satisfactory |
Industrial
Average |
1.60 |
|
Quick Ratio |
0.70 |
|
|
|
|
Cash Conversion Cycle |
241.02 |
|
|
|
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 1.32 times in 2013, decrease from 1.41 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 0.7 times in 2013,
increase from 0.59 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 242 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE : RISKY
LEVERAGE RATIO
|
Debt Ratio |
0.75 |
Acceptable |
Industrial
Average |
0.73 |
|
Debt to Equity Ratio |
3.05 |
Risky |
Industrial
Average |
2.73 |
|
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 higher the percentage means that the company is using less
equity and has stronger leverage position.
Debt Ratio shows the proportion of a company's assets which are financed
through debt. The company's figure is 0.75 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 :
ACCEPTABLE
ACTIVITY RATIO
|
Fixed Assets Turnover |
1,621.17 |
Impressive |
Industrial
Average |
- |
|
Total Assets Turnover |
0.63 |
Deteriorated |
Industrial
Average |
6.16 |
|
Inventory Conversion Period |
323.37 |
|
|
|
|
Inventory Turnover |
1.13 |
Deteriorated |
Industrial
Average |
12.03 |
|
Receivables Conversion Period |
239.44 |
|
|
|
|
Receivables Turnover |
1.52 |
Deteriorated |
Industrial
Average |
8.23 |
|
Payables Conversion Period |
321.79 |
|
|
|
The company's Account Receivable Ratio is calculated as 1.52 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 547 days at the
end of 2012 to 323 days at the end of 2013. This represents a positive trend.
And Inventory turnover has increased from 0.67 times in year 2012 to 1.13 times
in year 2013.
The company's Total Asset Turnover is calculated as 0.63 times and 0.47
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
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.63.90 |
|
|
1 |
Rs.98.16 |
|
Euro |
1 |
Rs.69.74 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAR |
|
|
|
|
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%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.