MIRA
INFORM REPORT
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Report No. : |
345541 |
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Report Date : |
23.10.2015 |
IDENTIFICATION DETAILS
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Name : |
MANEE DIAM CO., LTD. |
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Registered Office : |
Suite B, 22nd Floor, Bangkok Gems & Jewellery Building, 322/54 Surawong Road, Siphya, Bangrak, Bangkok 10500 |
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Country : |
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Financials (as on) : |
31.12.2014 |
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Date of Incorporation : |
24.03.2003 |
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Com. Reg. No.: |
0105546037112 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Importer,
Exporter and Distributor of
Gems and Jewelry Products. |
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No. of Employees : |
15 |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Satisfactory |
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Payment Behaviour : |
No Complaints |
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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 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
THAILAND - ECONOMIC OVERVIEW
With a well-developed infrastructure, a free-enterprise
economy, and generally pro-investment policies Thailand has historically had a
strong economy due in part to competitive 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 2-4 million migrant
workers from neighboring countries, and faces labor shortages. Following the
May 2014 coup d'etat, 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
MANEE DIAM CO., LTD.
SUMMARY
BUSINESS
ADDRESS : SUITE
B, 22nd FLOOR,
TELEPHONE : [66] 2631-8990-2,
081 617-6278, 081
481-7327
FAX : [66]
2631-8996
E-MAIL
ADDRESS : maneediam@yahoo.com
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 2003
REGISTRATION
NO. : 0105546037112
TAX
ID NO. : 3030856623
CAPITAL REGISTERED : BHT. 150,000,000
CAPITAL PAID-UP : BHT.
150,000,000
SHAREHOLDER’S PROPORTION : THAI
: 51.00%
INDIAN :
49.00%
FISCAL
YEAR CLOSING DATE : DECEMBER
31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR.
NILESH SAMBHUBHAI ITALIYA,
INDIAN
MANAGING DIRECTOR
NO.
OF STAFF : 15
LINES
OF BUSINESS : GEMS
AND JEWELRY PRODUCTS
IMPORTER, EXPORTER AND DISTRIBUTOR
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 March 24, 2003
as a private
limited company under the
registered name MANEE DIAM
CO., LTD. by
Indian and Thai
groups, in order
to import and export jewelry
products. It currently
employs 15 staff.
The subject’s registered address
was initially at 297 Surawong
Rd., Suriyawongse, Bangrak, Bangkok
10500.
In 2005, the subject’s registered
address was relocated
to Suite B, 22nd Floor, Bangkok Gems & Jewellery Building,
322/54 Surawong Rd., Siphya,
Bangrak, Bangkok 10500, and this
is the company’s
current operation address.
THE BOARD OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Nilesh Sambhubhai Italiya |
|
Indian |
40 |
|
Mrs. Shada Nilesh Italiya |
|
Indian |
39 |
|
Mr. Amrishkumar Vinodrai
Patel |
|
Indian |
45 |
AUTHORIZED PERSON
Anyone of the
above directors can
sign on behalf
of the subject
with company’s affixed.
MANAGEMENT
Mr. Nilesh Sambhubhai
Italiya is the
Managing Director.
He is Indian
nationality with the
age of 40 years
old
Mr. Amrishkumar Vinodrai
Patel is the
General Manager.
He is Indian
nationality with the
age of 45
years old.
BUSINESS OPERATIONS
The subject is engaged in importing, distributing and
exporting various kinds
of diamond, gemstone
and jewelry products.
PURCHASE
The products are
purchased from both
domestic and overseas
suppliers mainly in India Hong
Kong, Republic of
China and Belgium.
SALES
The products are
sold locally by wholesale
to traders and
manufacturers, as well
as exporting to
India, United States
of America, Turkey,
Hong Kong, Republic
of China, Middle
East and European
countries.
MAJOR CUSTOMERS
Nancy Diam Ltd. : Hong
Kong
Pranda Jewelry Public
Company Limited : Thailand
SUBSIDIARY AND AFFILIATED COMPANY
Zaver Diam Co.,
Ltd.
Business Type :
Importer and distributor
of diamonds
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 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.
[Head Office : 333
Silom Rd., Silom,
Bangrak, Bangkok 10500]
Kasikornbank Public Co.,
Ltd.
EMPLOYMENT
The subject employs
15 staff.
LOCATION DETAILS
The premise is
rented for administrative office
at the heading
address. Premise is
located in a
prime commercial area.
COMMENT
The subject had been enjoying an outstanding performance in
the previous years. It creates elegant
diamond studded gold jewelry for
both domestic and overseas
markets.
Through the year 2014, the subject had been sticking to its
policy of sustainable growth through developing products which suit market
demands. Developing new markets and
design new products, on this
principle allowed the company
to maintain continual expansion all along. This also made it possible to provide persistently
satisfactory returns.
The
subject has registered
for an increase
of its capital
to Bht. 150,000,000
with fully paid-up
lately, this would
assist on the company’s
financial liquidity. Generally, the
subject’s business is
solid and growing
considerably.
FINANCIAL INFORMATION
The capital was
initially registered at
Bht. 2,000,000 divided
into 20,000 shares
of Bht. 100
each.
The capital was
increased later as
follows:
Bht. 4,000,000
on April 29,
2003
Bht. 10,000,000
on January 17,
2005
Bht. 15,000,000
on May 23,
2008
Bht. 40,000,000
on September 14,
2012
Bht. 50,000,000
on June 20,
2013
Bht. 150,000,000
on October 3,
2014
The latest registered capital was
increased to Bht. 150,000,000 divided
into 1,500,000 shares of
Bht. 100 each
with fully paid.
THE SHAREHOLDERS LISTED
WERE : [as at
April 30, 2015]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Nilesh Sambhubhai
Italiya Nationality: Indian Address : 40/46
Soi Sukhumvit 18,
Sukhumvit Rd., Klongtoey, Bangkok |
624,000 |
41.60 |
|
Mr. Suparp Chansri Nationality: Thai Address : 41
Moo 14, Nongjork,
Buengsamphan,
Petchaboon |
612,000 |
40.80 |
|
Mrs. Shada Nilesh
Italiya Nationality: Indian Address : 40/46
Soi Sukhumvit 18,
Sukhumvit Rd.,
Klongtoey, Bangkok |
60,000 |
4.00 |
|
Mr. Amrishkumar Vinodrai
Patel Nationality: Indian Address : 5/6
New Rd., Sathorn,
Yannawa, Bangkok |
51,000 |
3.40 |
|
Ms. Jamriang Nakjai Nationality: Thai Address : 443
Moo 8, Laemrangking, Buengnarang,
Pichitr |
51,000 |
3.40 |
|
Mr. Charnnarong Poolsuk Nationality: Thai Address : 9
Moo 6, Saensuk,
Varinchamrab,
Ubonratchathani |
51,000 |
3.40 |
|
Ms. Nujaree Chuenjai Nationality: Thai Address : 6
Moo 5, Suksamran,
Takfah,
Nakornsawan |
51,000 |
3.40 |
Total Shareholders : 7
Share Structure [as
at April 30,
2015]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
4 |
765,000 |
51.00 |
|
Foreign - Indian |
3 |
735,000 |
49.00 |
|
Total |
7 |
1,500,000 |
100.00 |
NAME OF AUDITOR & CERTIFIED PUBLIC ACCOUNTANT NO.
Mr. Wutichai Kraiarnon No. 7573
BALANCE SHEET [BAHT]
The
latest financial figures
published for December 31,
2014, 2013 &
2012 were:
ASSETS
|
Current Assets |
2014 |
2013 |
2012 |
|
|
|
|
|
|
Cash and Cash Equivalents |
2,468,392.72 |
1,576,848.16 |
2,093,136.67 |
|
Trade Accounts & Other Receivable
|
778,668,997.04 |
1,472,254,424.30 |
295,457,583.40 |
|
Inventories |
762,095,180.00 |
549,422,606.47 |
653,415,923.84 |
|
|
|
|
|
|
Total Current Assets
|
1,543,232,569.76 |
2,023,253,878.93 |
950,966,643.91 |
|
Fixed Assets |
7,178,433.49 |
94,508,864.65 |
8,092,933.69 |
|
Fixed Deposit-Lending Guarantee |
145,413,747.33 |
7,583,483.82 |
67,813,079.32 |
|
Total Assets |
1,695,824,750.58 |
2,125,346,227.40 |
1,026,872,656.92 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2014 |
2013 |
2012 |
|
|
|
|
|
|
Bank Overdraft & Short-term
Loan from Financial Institution |
402,041,424.83 |
304,027,830.02 |
6,064,993.64 |
|
Payable T/R |
- |
- |
202,585,963.89 |
|
Trade Accounts & Other
Payable |
707,831,734.79 |
1,478,874,425.31 |
459,701,331.44 |
|
Accrued Income Tax |
2,296,856.67 |
3,414,412.79 |
6,190,452.53 |
|
|
|
|
|
|
Total Current Liabilities |
1,112,170,016.29 |
1,786,316,668.12 |
674,542,741.50 |
|
Long-term Loan |
350,000,000.00 |
224,100,000.00 |
262,000,000.00 |
|
Total Liabilities |
1,462,170,016.29 |
2,010,416,668.12 |
936,542,741.50 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized, and
issued share capital 1,500,000 shares
in 2014, 500,000 shares
in 2013 & 400,000 shares
in 2012 |
150,000,000.00 |
50,000,000.00 |
40,000,000.00 |
|
|
|
|
|
|
Capital Paid |
150,000,000.00 |
50,000,000.00 |
40,000,000.00 |
|
Retained Earning - Unappropriated |
83,654,734.29 |
64,929,559.28 |
50,329,915.42 |
|
Total Shareholders' Equity |
233,654,734.29 |
114,929,559.28 |
90,329,915.42 |
|
Total Liabilities &
Shareholders' Equity |
1,695,824,750.58 |
2,125,346,227.40 |
1,026,872,656.92 |
PROFIT & LOSS ACCOUNT
|
Revenue |
2014 |
2013 |
2012 |
|
|
|
|
|
|
Sales Income |
3,217,121,287.48 |
2,401,493,919.75 |
1,980,957,807.06 |
|
Gain on Exchange
Rate |
5,155,025.94 |
16,212,900.68 |
1,571,811.92 |
|
Other Income |
1,162,310.25 |
963,926.05 |
648,222.88 |
|
Total Revenues |
3,223,438,623.67 |
2,418,670,746.48 |
1,983,177,841.86 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold |
3,174,075,660.49 |
2,375,671,599.35 |
1,950,174,767.95 |
|
Selling Expenses |
4,621,464.94 |
3,828,334.52 |
3,264,796.53 |
|
Administrative Expenses |
12,855,092.23 |
11,363,991.03 |
11,372,111.50 |
|
Total Expenses |
3,191,552,217.66 |
2,390,863,924.90 |
1,964,811,675.98 |
|
|
|
|
|
|
Profit before Financial
Cost & Income Tax |
31,886,406.01 |
27,806,821.58 |
18,366,165.88 |
|
Financial Cost |
[8,193,330.03] |
[9,319,235.39] |
[3,008,860.53] |
|
|
|
|
|
|
Profit before Income Tax |
23,693,075.98 |
18,487,586.19 |
15,357,305.35 |
|
Income Tax |
[4,967,900.97] |
[3,887,942.33] |
[3,627,843.50] |
|
Net Profit / [Loss] |
18,725,175.01 |
14,599,643.86 |
11,729,461.85 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2014 |
2013 |
2012 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
1.39 |
1.13 |
1.41 |
|
QUICK RATIO |
TIMES |
0.70 |
0.83 |
0.44 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
448.16 |
25.41 |
244.78 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.90 |
1.13 |
1.93 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
87.64 |
84.41 |
122.30 |
|
INVENTORY TURNOVER |
TIMES |
4.16 |
4.32 |
2.98 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
88.34 |
223.77 |
54.44 |
|
RECEIVABLES TURNOVER |
TIMES |
4.13 |
1.63 |
6.70 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
81.40 |
227.22 |
86.04 |
|
CASH CONVERSION CYCLE |
DAYS |
94.58 |
80.96 |
90.70 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
98.66 |
98.92 |
98.45 |
|
SELLING & ADMINISTRATION |
% |
0.54 |
0.63 |
0.74 |
|
INTEREST |
% |
0.25 |
0.39 |
0.15 |
|
GROSS PROFIT MARGIN |
% |
1.53 |
1.79 |
1.67 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
0.99 |
1.16 |
0.93 |
|
NET PROFIT MARGIN |
% |
0.58 |
0.61 |
0.59 |
|
RETURN ON EQUITY |
% |
8.01 |
12.70 |
12.99 |
|
RETURN ON ASSET |
% |
1.10 |
0.69 |
1.14 |
|
EARNING PER SHARE |
BAHT |
12.48 |
29.20 |
29.32 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.86 |
0.95 |
0.91 |
|
DEBT TO EQUITY RATIO |
TIMES |
6.26 |
17.49 |
10.37 |
|
TIME INTEREST EARNED |
TIMES |
3.89 |
2.98 |
6.10 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
33.96 |
21.23 |
|
|
OPERATING PROFIT |
% |
14.67 |
51.40 |
|
|
NET PROFIT |
% |
28.26 |
24.47 |
|
|
FIXED ASSETS |
% |
(92.40) |
1,067.79 |
|
|
TOTAL ASSETS |
% |
(20.21) |
106.97 |
|
ANNUAL GROWTH: SATISFACTORY
An annual sales growth is 33.96%. Turnover has increased from THB
2,401,493,919.75 in 2013 to THB 3,217,121,287.48 in 2014. While net profit has
increased from THB 14,599,643.86 in 2013 to THB 18,725,175.01 in 2014. And
total assets has decreased from THB 2,125,346,227.40 in 2013 to THB
1,695,824,750.58 in 2014.
PROFITABILITY :
RISKY
PROFITABILITY
RATIO
|
Gross Profit Margin |
1.53 |
Deteriorated |
Industrial
Average |
14.45 |
|
Net Profit Margin |
0.58 |
Deteriorated |
Industrial
Average |
2.32 |
|
Return on Assets |
1.10 |
Deteriorated |
Industrial
Average |
4.94 |
|
Return on Equity |
8.01 |
Acceptable |
Industrial
Average |
13.14 |
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. The company's figure is 1.53%. When compared with
the industry average, the ratio of the company was lower. This indicated that
company may have problems with control over its costs.
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 0.58%.
When compared with the industry average, the ratio of the company was lower.
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 1.1%.
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 8.01%.
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 |
1.39 |
Satisfactory |
Industrial
Average |
1.77 |
|
Quick Ratio |
0.70 |
|
|
|
|
Cash Conversion Cycle |
94.58 |
|
|
|
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 1.39 times in 2014, increase from 1.13 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 2014,
decrease from 0.83 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 95 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE :
ACCEPTABLE
LEVERAGE RATIO
|
Debt Ratio |
0.86 |
Acceptable |
Industrial
Average |
0.60 |
|
Debt to Equity Ratio |
6.26 |
Risky |
Industrial Average |
1.46 |
|
Times Interest Earned |
3.89 |
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 3.9 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 0.86 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 :
IMPRESSIVE
ACTIVITY RATIO
|
Fixed Assets Turnover |
448.16 |
Impressive |
Industrial
Average |
- |
|
Total Assets Turnover |
1.90 |
Satisfactory |
Industrial
Average |
2.13 |
|
Inventory Conversion Period |
87.64 |
|
|
|
|
Inventory Turnover |
4.16 |
Impressive |
Industrial
Average |
3.38 |
|
Receivables Conversion Period |
88.34 |
|
|
|
|
Receivables Turnover |
4.13 |
Impressive |
Industrial
Average |
4.06 |
|
Payables Conversion Period |
81.40 |
|
|
|
The company's Account Receivable Ratio is calculated as 4.13 and 1.63 in
2014 and 2013 respectively. This ratio measures the efficiency of the company in
managing its trade debtors to generate revenue. A lower ratio may indicate over
extension and collection problems. Conversely, a higher ratio may indicate an
overtly stringent policy. In this case, the company's A/R ratio in 2014
increased from 2013. This would suggest the company had good performance in the
management of its debt collections.
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 increased from 84 days at the
end of 2013 to 88 days at the end of 2014. This represents a negative trend.
And Inventory turnover has decreased from 4.32 times in year 2013 to 4.16 times
in year 2014.
The company's Total Asset Turnover is calculated as 1.9 times and 1.13
times in 2014 and 2013 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.64.89 |
|
|
1 |
Rs.100.39 |
|
Euro |
1 |
Rs.73.52 |
INFORMATION DETAILS
|
Analysis Done by
: |
DIV |
|
|
|
|
Report Prepared
by : |
NIT |
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.