MIRA INFORM REPORT

 

 

Report No. :

347793

Report Date :

03.11.2015

 

IDENTIFICATION DETAILS

 

Name :

DANFOSS INDUSTRIES PTE LTD

 

 

Registered Office :

25, International Business Park, 03-57/58, German Centre, 609916

 

 

Country :

Singapore

 

 

Financials (as on) :

31.12.2014

 

 

Date of Incorporation :

05.12.1983

 

 

Com. Reg. No.:

198305749-C

 

 

Legal Form :

Private Limited

 

 

Line of Business :

Subject is wholesale of lifts, escalators & industrial & office air- conditioning equipment

 

 

No. of Employee :

14 [2015]

 

 

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)

Singapore

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 


 

SINGAPORE - ECONOMIC OVERVIEW

 

Singapore has a highly developed and successful free-market economy. It enjoys a remarkably open and corruption-free environment, stable prices, and a per capita GDP higher than that of most developed countries. Unemployment is very low. The economy depends heavily on exports, particularly of consumer electronics, information technology products, medical and optical devices, pharmaceuticals, and on its vibrant transportation, business, and financial services sectors. The economy contracted 0.6% in 2009 as a result of the global financial crisis, but has continued to grow since 2010 on the strength of renewed exports. Growth in 2014 was slower at 2.9%, largely a result of soft demand for exports amid a sluggish global economy and weak growth in Singapore’s manufacturing sector. The government is attempting to restructure Singapore’s economy by weaning its dependence on foreign labor, addressing weak productivity, and increasing Singaporean wages. Singapore has attracted major investments in pharmaceuticals and medical technology production and will continue efforts to strengthen its position as Southeast Asia's leading financial and high-tech hub. Singapore is a member of the 12-nation Trans-Pacific Partnership free trade negotiations, the Regional Comprehensive Economic Partnership negotiations with the nine other ASEAN members plus Australia, China, India, Japan, South Korea and New Zealand, and in 2015, Singapore will form, with the other ASEAN members, the ASEAN Economic Community.

 

Source : CIA

 

EXECUTIVE SUMMARY

 

 

REGISTRATION NO.

:

198305749-C

COMPANY NAME

:

DANFOSS INDUSTRIES PTE LTD

FORMER NAME

:

N/A

INCORPORATION DATE

:

05/12/1983

COMPANY STATUS

:

EXIST

LEGAL FORM

:

PRIVATE LIMITED

LISTED STATUS

:

NO

REGISTERED ADDRESS

:

25, INTERNATIONAL BUSINESS PARK, 03-57/58, GERMAN CENTRE, 609916, SINGAPORE.

BUSINESS ADDRESS

:

25 INTERNATIONAL BUSINESS PARK GERMAN CENTRE #03-57/58, 609916, SINGAPORE.

TEL.NO.

:

65-68859788

FAX.NO.

:

65-68859799

WEB SITE

:

WWW.DANFOSS.COM

CONTACT PERSON

:

KJELD STARK ( DIRECTOR )

PRINCIPAL ACTIVITY

:

WHOLESALE OF LIFTS, ESCALATORS & INDUSTRIAL & OFFICE AIR- CONDITIONING EQUIPMENT

ISSUED AND PAID UP CAPITAL

:

14,000,000.00 ORDINARY SHARE, OF A VALUE OF SGD 18,500,000.00 

SALES

:

USD 99,902,096 [2014]

NET WORTH

:

USD 10,246,818 [2014]

STAFF STRENGTH

:

14 [2015]

LITIGATION

:

CLEAR

FINANCIAL CONDITION

:

STABLE

PAYMENT

:

GOOD

MANAGEMENT CAPABILITY

:

AVERAGE

COMMERCIAL RISK

:

LOW

CURRENCY EXPOSURE

:

MODERATE

GENERAL REPUTATION

:

GOOD

INDUSTRY OUTLOOK

:

AVERAGE GROWTH

 

 

HISTORY / BACKGROUND

 

The Subject is a private limited company and is allowed to have a minimum of one and a maximum of forty-nine shareholders. As a private limited company, the Subject must have at least two directors. A private limited company is a separate legal entity from its shareholders. As a separate legal entity, the Subject is capable of owning assets, entering into contracts, sue or be sued by other companies. The liabilities of the shareholders are to the extent of the equity they have taken up and the creditors cannot claim on shareholders' personal assets even if the Subject is insolvent. The Subject is governed by the Companies Act and the company must file its annual returns, together with its financial statements with the Registrar of Companies.

The Subject is principally engaged in the (as a / as an) wholesale of lifts, escalators & industrial & office air- conditioning equipment.

 

The immediate holding company of the Subject is DANFOSS A/S, a company incorporated in DENMARK.

 

Former Address(es)

 

Address

As At Date

25 INTERNATIONAL BUSINESS PARK #03-57/58 GERMAN CENTRE, 609916

03/11/2015

 

Share Capital History

 

Date

Issue & Paid Up Capital

03/11/2015

SGD 18,500,000.00

 

The major shareholder(s) of the Subject are shown as follows :

 

Current Shareholder(s) :

Name

Address

IC/PP/Loc No

Shareholding

(%)

DANFOSS A/S

DK 6430, NORDBORG, DENMARK.

T04UF0365

14,000,000.00

100.00

---------------

------

14,000,000.00

100.00

============

=====

+ Also Director

 

 

DIRECTORS

DIRECTOR 1

 

Name Of Subject

:

KIM KIRK CHRISTENSEN

Address

:

FALKEVEJ 9, 6440, AUGUSGENBORG, DENMARK.

IC / PP No

:

206857613

Nationality

:

DANE

Date of Appointment

:

01/07/2015

 

DIRECTOR 2

 

Name Of Subject

:

HON HWEE CHERN

Address

:

761, JURONG WEST STREET 74, 11-14, 640761, SINGAPORE.

IC / PP No

:

S7133785E

Nationality

:

SINGAPOREAN

Date of Appointment

:

12/12/2012

 

DIRECTOR 3

 

Name Of Subject

:

ANDERS STAHLSCHMIDT

Address

:

LILLEHAVSTIEN 2, 6440, AUGUSTENBORG, DENMARK.

IC / PP No

:

101248324

Nationality

:

DANE

Date of Appointment

:

07/01/2008

 


MANAGEMENT

 

 

 

1)

Name of Subject

:

KJELD STARK

Position

:

DIRECTOR

 

 

 

AUDITOR

 

Auditor

:

PRICEWATERHOUSECOOPERS LLP

Auditor' Address

:

N/A

 

 

 

COMPANY SECRETARIES

 

1)

Company Secretary

:

LEE BEE FONG

IC / PP No

:

S7376654J

Address

:

118D, JALAN MEMBINA, 07-103, 164118, SINGAPORE.

 

2)

Company Secretary

:

NOR HAFIZA ALWI

IC / PP No

:

S1788410G

Address

:

2, GHIM MOH ROAD, 07-318, 270002, SINGAPORE.

 

 

 

BANKING


No Banker found in our databank. 

 

ENCUMBRANCE (S)


No encumbrance was found in our databank at the time of investigation. 

 

 

LITIGATION CHECK AGAINST SUBJECT


* A check has been conducted in our databank againt the Subject whether the subject has been involved in any litigation.

No legal action was found in our databank.

No winding up petition was found in our databank.

 

PAYMENT RECORD

 

SOURCES OF RAW MATERIALS:

Local

:

N/A

Overseas

:

N/A


The Subject refused to disclose its suppliers. 

The Subject refused to provide any name of trade/service supplier and we are unable to conduct any trade enquiry. However, from financial historical data we conclude that :

OVERALL PAYMENT HABIT

Prompt 0-30 Days

[

]

Good 31-60 Days

[

X

]

Average 61-90 Days

[

]

Fair 91-120 Days

[

]

Poor >120 Days

[

]

 

 

CLIENTELE

 

Local

:

YES

Domestic Markets

:

SINGAPORE

Overseas

:

YES

Export Market

:

ASIA

Credit Term

:

AS AGREED

Payment Mode

:

CHEQUES
TELEGRAPHIC TRANSFER (TT)

 

 

OPERATIONS

 

Goods Traded

:

DANFOSS PRODUCTS INCLUDING REFRIGERATION, AIR-CONDITIONING, DRIVES

 

Total Number of Employees:

 

YEAR

2015

2014

2013

GROUP

N/A

N/A

N/A

COMPANY

14

15

21

 

Branch

:

NO

Other Information:


The Subject is principally engaged in the (as a / as an) wholesale of lifts, escalators & industrial & office air- conditioning equipment. 

The Subject's Product Categories are as follows:

* Refrigeration and A/C
* Heating
* VLT® Drives
* High-Pressure Pumps
* Industrial Automation

The Subject also provides repair and maintenance services for the products. 


CURRENT INVESTIGATION

 

Latest fresh investigations carried out on the Subject indicated that :

Telephone Number Provided By Client

:

65 6885 9799

Current Telephone Number

:

65-68859788

Match

:

NO

Address Provided by Client

:

25 INTERNATIONAL BUSINESS PARK GERMAN CENTRE 03-57/58,609916,SINGAPORE

Current Address

:

25 INTERNATIONAL BUSINESS PARK GERMAN CENTRE #03-57/58, 609916, SINGAPORE.

Match

:

YES

 

Other Investigations


We contacted one of the staff from the Subject and she provided some information.


FINANCIAL ANALYSIS

 

 

Profitability

Turnover

:

Erratic

[

2010 - 2014

]

Profit/(Loss) Before Tax

:

Decreased

[

2010 - 2014

]

Return on Shareholder Funds

:

Acceptable

[

16.69%

]

Return on Net Assets

:

Acceptable

[

16.61%

]

The fluctuating turnover reflects the fierce competition among the existing and new market players.The management had succeeded in turning the Subject into a profit making company. The profit could be due to better control of its operating costs and efficiency in utilising its resources. The Subject's management had generated acceptable return for its shareholders using its assets.

Working Capital Control

Stock Ratio

:

Favourable

[

21 Days

]

Debtor Ratio

:

Favourable

[

52 Days

]

Creditors Ratio

:

Favourable

[

3 Days

]

The Subject's stocks were moving fast thus reducing its holding cost. This had reduced funds being tied up in stocks. The favourable debtors' days could be due to the good credit control measures implemented by the Subject. The Subject had a favourable creditors' ratio where the Subject could be taking advantage of the cash discounts and also wanting to maintain goodwill with its creditors.

Liquidity

Liquid Ratio

:

Favourable

[

1.29 Times

]

Current Ratio

:

Unfavourable

[

1.68 Times

]

A minimum liquid ratio of 1 should be maintained by the Subject in order to assure its creditors of its ability to meet short term obligations and the Subject was in a good liquidity position. Thus, we believe the Subject is able to meet all its short term obligations as and when they fall due.

Solvency

Interest Cover

:

Favourable

[

27.57 Times

]

Gearing Ratio

:

Favourable

[

0.00 Times

]

The interest cover showed that the Subject was able to service the interest. The favourable interest cover could indicate that the Subject was making enough profit to pay for the interest accrued. The Subject had no gearing and hence it had virtually no financial risk. The Subject was financed by its shareholders' funds and internally generated fund. During the economic downturn, the Subject, having a zero gearing, will be able to compete better than those which are highly geared in the same industry.

Overall Assessment :

The Subject's turnover showed a volatile trend but its losses were lower when compared to the previous corresponding period. This could suggest that the Subject was more efficient in its operating cost control and was more competitive. The Subject was in good liquidity position with its total current liabilities well covered by its total current assets. With its current net assets, the Subject should be able to repay its short term obligations. With the favourable interest cover, the Subject could be able to service all the accrued interest without facing any difficulties. The Subject was a zero gearing company, it was solely dependant on its shareholders to provide funds to finance its business. The Subject has good chance of getting loans, if the needs arises.

Overall financial condition of the Subject : STABLE

 

SINGAPORE ECONOMIC / INDUSTRY OUTLOOK

 

 

Major Economic Indicators :

2010

2011

2012

2013

2014

 

Population (Million)

5.08

5.18

5.31

5.40

5.47

Gross Domestic Products ( % )

14.5

4.9

1.3

3.7

(3.5)

Consumer Price Index

2.8

5.2

4.6

2.4

2.4

Total Imports (Million)

423,221.8

459,655.1

474,554.0

466,762.0

463,779.1

Total Exports (Million)

478,840.7

514,741.2

510,329.0

513,391.0

518,922.7

 

Unemployment Rate (%)

2.2

2.1

2.0

1.9

1.9

Tourist Arrival (Million)

11.64

13.17

14.49

15.46

15.01

Hotel Occupancy Rate (%)

85.6

86.5

86.4

86.3

85.5

Cellular Phone Subscriber (Million)

1.43

1.50

1.52

1.97

1.98

 

Registration of New Companies (No.)

29,798

32,317

31,892

37,288

41,589

Registration of New Companies (%)

12.8

8.5

(1.3)

9.8

11.5

Liquidation of Companies (No.)

15,126

19,005

17,218

17,369

18,767

Liquidation of Companies (%)

(32.5)

25.6

9.4

(5.3)

8.0

 

Registration of New Businesses (No.)

23,978

23,494

24,788

22,893

35,773

Registration of New Businesses (%)

(10.78)

2.02

5.51

1.70

56.30

Liquidation of Businesses (No.)

24,211

23,005

22,489

22,598

22,098

Liquidation of Businesses (%)

2.8

(5)

(2.2)

0.5

(2.2)

 

Bankruptcy Orders (No.)

1,537

1,527

1,748

1,992

1,757

Bankruptcy Orders (%)

(25.3)

(0.7)

14.5

14.0

(11.8)

Bankruptcy Discharges (No.)

2,252

1,391

1,881

2,584

3,546

Bankruptcy Discharges (%)

(26.3)

(38.2)

35.2

37.4

37.2

 

INDUSTRIES ( % of Growth ) :

Agriculture

Production of Principal Crops

(0.48)

4.25

3.64

-

Fish Supply & Wholesale

(10.5)

12.10

(0.5)

-

2.80

 

Manufacturing *

92.8

100.0

100.3

102.0

Food, Beverages & Tobacco

96.4

100.0

103.5

103.5

105.0

Textiles

122.1

100.0

104.0

87.1

74.9

Wearing Apparel

123.3

100.0

92.1

77.8

49.5

Leather Products & Footwear

81.8

100.0

98.6

109.8

95.9

Wood & Wood Products

104.0

100.0

95.5

107.4

112.0

Paper & Paper Products

106.1

100.0

97.4

103.2

103.4

Printing & Media

103.5

100.0

93.0

86.1

80.3

Crude Oil Refineries

95.6

100.0

99.4

93.5

85.6

Chemical & Chemical Products

97.6

100.0

100.5

104.1

114.0

Pharmaceutical Products

75.3

100.0

109.7

107.2

115.7

Rubber & Plastic Products

112.3

100.0

96.5

92.9

92.8

Non-metallic Mineral

92.5

100.0

98.2

97.6

82.2

Basic Metals

102.2

100.0

90.6

76.5

98.3

Fabricated Metal Products

103.6

100.0

104.3

105.1

105.1

Machinery & Equipment

78.5

100.0

112.9

114.5

124.0

Electrical Machinery

124.1

100.0

99.3

108.5

121.3

Electronic Components

113.6

100.0

90.6

94.3

95.0

Transport Equipment

94.0

100.0

106.3

107.5

103.2

 

Construction

14.20

20.50

28.70

-

22.00

Real Estate

21.3

25.4

31.9

-

145.1

 

Services

Electricity, Gas & Water

4.00

7.00

6.30

-

Transport, Storage & Communication

12.80

7.40

5.30

-

14.20

Finance & Insurance

(0.4)

8.90

0.50

-

6.00

Government Services

9.70

6.90

6.00

-

Education Services

(0.9)

(1.4)

0.30

-

5.98

 

* Based on Index of Industrial Production (2011 = 100)



INDUSTRY ANALYSIS

 

INDUSTRY :

TRADING

The wholesale and retail trade sectors have expanded by 2.0% in the third quarter of 2014, extending the 1.8 per cent growth in the previous quarter. In 2013, the wholesale and retail sector expanded by 5.0%, after declining by 1.4% the year before. Growth of the sector was driven by the wholesale trade segment.

The domestic wholesale trade index has increased by 3.2% in the fourth quarter of 2013, moderating from the 6.6% growth in the previous quarter. The slower growth was due to a decline in the sales of furniture and household equipment (-12%) and petroleum and petroleum products (-0.6%). For the full year, the domestic wholesale trade index grew by 5.2% reversing the 2.2% decline in 2012. On the other hand, the foreign wholesale trade index has increased by a slower pace of 5.6% in the fourth quarter, compared to the 7.7% expansion in the preceding quarter. The slowdown was due to a fall in the sales of telecommunication equipment and computer (-3.8%) and petroleum and petroleum products (-2.5%). For the full year, the growth of the foreign wholesale trade index moderated slightly to 8.6% from 9.1% in the previous year.

In the fourth quarter of 2013, retail sales volume fell by 6.2%, extending the 5.6% decline in the previous quarter. Excluding motor vehicles, retail sales volume increased by 0.4%, a slower pace of expansion as compared to the 1.6% gain in the preceding quarter. The sales volume of motor vehicles fell by 33% in the fourth quarter of 2013, extending the 32% decline in the previous quarter. Meanwhile, the sales of several discretionary items also fell in the fourth quarter of 2013. For instance, the sales of telecommunications apparatus and computers fell by 12%, while the sales of furniture and household equipment declined by 5.4%.

For the full year, retail sales volume contracted by 4.3%, a reversal from the 1.3% expansion in 2012. Excluding motor vehicle sales, the retail sales volume grew by 1.1% in 2013, slower than the 1.7% increase in 2012. Watches and jewellery recorded the largest increase (11%) in sales in 2013, followed by optical goods and book (3%) and medical goods and toiletries (3%). By contrast, the sales of telecommunications apparatus and computer (-7.3%), furniture and household equipment (-4.2%) and petrol service stations (-1.4) declined in 2013.

OVERALL INDUSTRY OUTLOOK : AVERAGE GROWTH



CREDIT RISK EVALUATION & RECOMMENDATION

 

 

Incorporated in 1983, the Subject is a Private Limited company, focusing on wholesale of lifts, escalators & industrial & office air- conditioning equipment. The Subject has been in business for over two decades. It has built up a strong clientele base and good reputation will enable the Subject to further enhance its business in the near term. The Subject is expected to enjoy a stable market shares. The Subject have a strong capital position of SGD 18,500,000. We are confident with the Subject's business and its future growth prospect. Having strong support from its holding company has enabled the Subject to remain competitive despite the challenging business environment. 

 

Over the years, the Subject has penetrated into both the local and overseas market. The Subject has positioned itself in the global market and is competing in the industry. Its stable clientele base will enable the Subject to further enhance its business in the near term. Being a small company, the Subject's business operation is supported by 14 employees. Overall, we regard that the Subject's management capability is average. This indicates that the Subject has greater potential to improve its business performance and raising income for the Subject. 

 

Despite the lower turnover, the Subject's pre-tax profit have increased compared to the previous year. The higher profit could be due to better control of its operating costs and efficiency in utilising its resources. Return on shareholders' funds of the Subject was at an acceptable range which indicated that the management was efficient in utilising its funds to generate income. The Subject is in good liquidity position with its current liabilities well covered by it current assets. Hence, it has sufficient working capital to meet its short term financial obligations. Being a zero geared company, the Subject virtually has no financial risk as it is mainly dependent on its internal funds to finance its business. Given a positive net worth standing at USD 10,246,818, the Subject should be able to maintain its business in the near terms. 

 

Overall, the Subject's payment habit is good as the Subject has a good credit control and it could be taking advantage of the cash discounts while maintaining a good reputation with its creditors. 

 

The industry shows an upward trend and this trend is very likely to sustain in the near terms. Hence, the Subject is expected to benefit from the favourable outlook of the industry. 

 

Based on the above condition, we recommend credit be granted to the Subject promptly.

 



PROFIT AND LOSS ACCOUNT

 

 

THE FINANCIAL STATEMENTS WERE PREPARED IN ACCORDANCE WITH SINGAPORE FINANCIAL REPORTING STANDARDS.

DANFOSS INDUSTRIES PTE LTD

 

Financial Year End

2014-12-31

2013-12-31

2012-12-31

2011-12-31

2010-12-31

Months

12

12

12

12

12

Consolidated Account

Company

Company

Company

Company

Company

Audited Account

YES

YES

YES

YES

YES

Unqualified Auditor's Report (Clean Opinion)

YES

YES

YES

YES

YES

Financial Type

FULL

FULL

FULL

FULL

FULL

Currency

USD

USD

USD

USD

USD

TURNOVER

99,902,096

100,727,601

100,323,457

132,495,614

119,266,780

Other Income

419,487

254,161

387,064

251,093

221,877

----------------

----------------

----------------

----------------

----------------

Total Turnover

100,321,583

100,981,762

100,710,521

132,746,707

119,488,657

----------------

----------------

----------------

----------------

----------------

PROFIT/(LOSS) FROM OPERATIONS

1,639,906

(3,786,812)

3,391,203

7,878,664

4,254,155

----------------

----------------

----------------

----------------

----------------

PROFIT/(LOSS) BEFORE TAXATION

1,639,906

(3,786,812)

3,391,203

7,878,664

4,254,155

Taxation

70,047

(593,989)

(424,808)

(1,562,286)

(1,236,346)

----------------

----------------

----------------

----------------

----------------

PROFIT/(LOSS) AFTER TAXATION

1,709,953

(4,380,801)

2,966,395

6,316,378

3,017,809

----------------

----------------

----------------

----------------

----------------

RETAINED PROFIT/(LOSS) BROUGHT FORWARD

As previously reported

(2,371,613)

4,909,188

8,242,793

4,926,415

5,408,627

----------------

----------------

----------------

----------------

----------------

As restated

(2,371,613)

4,909,188

8,242,793

4,926,415

5,408,627

----------------

----------------

----------------

----------------

----------------

PROFIT AVAILABLE FOR APPROPRIATIONS

(661,660)

528,387

11,209,188

11,242,793

8,426,436

DIVIDENDS - Ordinary (paid & proposed)

-

(2,900,000)

(6,300,000)

(3,000,000)

(3,500,021)

----------------

----------------

----------------

----------------

----------------

RETAINED PROFIT/(LOSS) CARRIED FORWARD

(661,660)

(2,371,613)

4,909,188

8,242,793

4,926,415

=============

=============

=============

=============

=============

INTEREST EXPENSE (as per notes to P&L)

Lease interest

-

164

597

1,705

1,165

Loan from holding company

61,711

105,648

-

-

-

----------------

----------------

----------------

----------------

----------------

61,711

105,812

597

1,705

1,165

=============

=============

=============

=============

=============

DEPRECIATION (as per notes to P&L)

23,838

14,791

15,727

14,675

20,292

----------------

----------------

----------------

----------------

----------------

23,838

14,791

15,727

14,675

20,292

=============

=============

=============

=============

=============

 

 

 

BALANCE SHEET

 

 

DANFOSS INDUSTRIES PTE LTD

 

ASSETS EMPLOYED:

FIXED ASSETS

26,485

39,050

53,841

69,113

72,238

LONG TERM INVESTMENTS/OTHER ASSETS

Subsidiary companies

-

-

6,370,000

-

-

Deferred assets

35,470

125,129

-

122,194

85,000

Others

-

-

194,896

-

-

----------------

----------------

----------------

----------------

----------------

TOTAL LONG TERM INVESTMENTS/OTHER ASSETS

35,470

125,129

6,564,896

122,194

85,000

----------------

----------------

----------------

----------------

----------------

TOTAL LONG TERM ASSETS

61,955

164,179

6,618,737

191,307

157,238

Stocks

5,868,619

7,032,918

7,703,428

9,137,511

16,204,108

Trade debtors

14,267,759

14,424,225

14,067,580

15,878,901

13,754,459

Other debtors, deposits & prepayments

72,277

123,702

2,490,680

17,324,730

18,153,609

Amount due from holding company

6,941

22,519

-

-

-

Amount due from related companies

4,929,600

3,240,491

-

-

-

Cash & bank balances

6,526

49,793

240,040

769,696

669,271

----------------

----------------

----------------

----------------

----------------

TOTAL CURRENT ASSETS

25,151,722

24,893,648

24,501,728

43,110,838

48,781,447

----------------

----------------

----------------

----------------

----------------

TOTAL ASSET

25,213,677

25,057,827

31,120,465

43,302,145

48,938,685

=============

=============

=============

=============

=============

CURRENT LIABILITIES

Trade creditors

916,523

1,335,727

14,403,389

19,407,130

30,849,598

Other creditors & accruals

1,851,931

627,544

-

2,863,666

1,370,759

Short term borrowings/Term loans

-

-

-

27,171

26,690

Interest payable

-

-

17,289

-

-

Amounts owing to holding company

3,831,637

648,775

-

-

-

Amounts owing to related companies

5,457,202

7,506,532

-

-

-

Provision for taxation

157,593

396,273

722,527

1,584,366

690,339

Other liabilities

2,751,973

6,006,111

-

64,352

63,289

----------------

----------------

----------------

----------------

----------------

TOTAL CURRENT LIABILITIES

14,966,859

16,520,962

15,143,205

23,946,685

33,000,675

----------------

----------------

----------------

----------------

----------------

NET CURRENT ASSETS/(LIABILITIES)

10,184,863

8,372,686

9,358,523

19,164,153

15,780,772

----------------

----------------

----------------

----------------

----------------

TOTAL NET ASSETS

10,246,818

8,536,865

15,977,260

19,355,460

15,938,010

=============

=============

=============

=============

=============

SHARE CAPITAL

Ordinary share capital

10,908,478

10,908,478

10,908,478

10,908,478

10,908,478

----------------

----------------

----------------

----------------

----------------

TOTAL SHARE CAPITAL

10,908,478

10,908,478

10,908,478

10,908,478

10,908,478

Capital reserve

-

-

159,594

-

-

General reserve

-

-

-

187,975

59,256

Retained profit/(loss) carried forward

(661,660)

(2,371,613)

4,909,188

8,242,793

4,926,415

----------------

----------------

----------------

----------------

----------------

TOTAL RESERVES

(661,660)

(2,371,613)

5,068,782

8,430,768

4,985,671

----------------

----------------

----------------

----------------

----------------

SHAREHOLDERS' FUNDS/EQUITY

10,246,818

8,536,865

15,977,260

19,339,246

15,894,149

Other long term borrowings

-

-

-

16,214

43,861

----------------

----------------

----------------

----------------

----------------

TOTAL LONG TERM LIABILITIES

-

-

-

16,214

43,861

----------------

----------------

----------------

----------------

----------------

10,246,818

8,536,865

15,977,260

19,355,460

15,938,010

=============

=============

=============

=============

=============

 

 

 

FINANCIAL RATIO

 

 

DANFOSS INDUSTRIES PTE LTD

 

TYPES OF FUNDS

Cash

6,526

49,793

240,040

769,696

669,271

Net Liquid Funds

6,526

49,793

240,040

769,696

669,271

Net Liquid Assets

4,316,244

1,339,768

1,655,095

10,026,642

(423,336)

Net Current Assets/(Liabilities)

10,184,863

8,372,686

9,358,523

19,164,153

15,780,772

Net Tangible Assets

10,246,818

8,536,865

15,977,260

19,355,460

15,938,010

Net Monetary Assets

4,316,244

1,339,768

1,655,095

10,010,428

(467,197)

PROFIT & LOSS ITEMS

Earnings Before Interest & Tax (EBIT)

0

(3,681,000)

3,391,800

7,880,369

4,255,320

Earnings Before Interest, Taxes, Depreciation And Amortization (EBITDA)

1,725,455

(3,666,209)

3,407,527

7,895,044

4,275,612

BALANCE SHEET ITEMS

Total Borrowings

0

0

0

43,385

70,551

Total Liabilities

14,966,859

16,520,962

15,143,205

23,962,899

33,044,536

Total Assets

25,213,677

25,057,827

31,120,465

43,302,145

48,938,685

Net Assets

10,246,818

8,536,865

15,977,260

19,355,460

15,938,010

Net Assets Backing

10,246,818

8,536,865

15,977,260

19,339,246

15,894,149

Shareholders' Funds

10,246,818

8,536,865

15,977,260

19,339,246

15,894,149

Total Share Capital

10,908,478

10,908,478

10,908,478

10,908,478

10,908,478

Total Reserves

(661,660)

(2,371,613)

5,068,782

8,430,768

4,985,671

LIQUIDITY (Times)

Cash Ratio

0

0

0.02

0.03

0.02

Liquid Ratio

1.29

1.08

1.11

1.42

0.99

Current Ratio

1.68

1.51

1.62

1.80

1.48

WORKING CAPITAL CONTROL (Days)

Stock Ratio

21

25

28

25

50

Debtors Ratio

52

52

51

44

42

Creditors Ratio

3

5

52

53

94

SOLVENCY RATIOS (Times)

Gearing Ratio

0

0

0

0

0

Liabilities Ratio

1.46

1.94

0.95

1.24

2.08

Times Interest Earned Ratio

27.57

(34.79)

5,681.41

4,621.92

3,652.64

Assets Backing Ratio

0.94

0.78

1.46

1.77

1.46

PERFORMANCE RATIO (%)

Operating Profit Margin

1.64

(3.76)

3.38

5.95

3.57

Net Profit Margin

1.71

(4.35)

2.96

4.77

2.53

Return On Net Assets

16.61

(43.12)

21.23

40.71

26.70

Return On Capital Employed

16.61

(43.12)

21.23

40.71

26.70

Return On Shareholders' Funds/Equity

16.69

(51.32)

18.57

32.66

18.99

Dividend Pay Out Ratio (Times)

0

0.66

2.12

0.47

1.16

NOTES TO ACCOUNTS

Contingent Liabilities

0

0

0

0

0



 

FOREIGN EXCHANGE RATES

 

Currency

Unit

Indian Rupees

US Dollar

1

Rs.65.79

UK Pound

1

Rs.99.95

Euro

1

Rs.71.55

 

INFORMATION DETAILS

 

Analysis Done by :

HEE

 

 

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.