MIRA INFORM REPORT
|
Report No. : |
338975 |
|
Report Date : |
05.09.2015 |
IDENTIFICATION DETAILS
|
Name : |
POLENE PLASTIC COMPANY LIMITED |
|
|
|
|
Registered Office : |
26/56 Chantadmai Road, Thungmahamek,
Sathorn, Bangkok 10120 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2014 |
|
|
|
|
Date of Incorporation : |
08.05.2002 |
|
|
|
|
Com. Reg. No.: |
0105545048820 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Exporter and Logistic Service
of Petrochemicals. |
|
|
|
|
No. of Employees : |
19 |
RATING & COMMENTS
|
MIRA’s Rating : |
B |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Status : |
Moderate |
|
|
|
|
Payment Behaviour : |
Slow but correct |
|
|
|
|
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 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
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’tat, 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 and Address
POLENE PLASTIC COMPANY LIMITED
SUMMARY
BUSINESS
ADDRESS : 26/56
CHANTADMAI ROAD, THUNGMAHAMEK,
SATHORN, BANGKOK
10120, THAILAND
TELEPHONE : [66] 2213-1039-49
EXT. 12069, 2285-5090, 2678-5050
FAX :
[66] 2213-1035,
2678-7080
E-MAIL
ADDRESS : mktagent@tpipolene.co.th
napathong@tpipolene.co.th
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 2002
REGISTRATION
NO. : 0105545048820
TAX
ID NO. : 3030567512
CAPITAL REGISTERED : BHT. 10,000,000
CAPITAL PAID-UP : BHT. 10,000,000
SHAREHOLDER’S PROPORTION : THAI : 100%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR. PRACHAI LIEWPAIRAT,
THAI
PRESIDENT AND
CHIEF EXECUTIVE OFFICER
NO.
OF STAFF : 19
LINES
OF BUSINESS : PETROCHEMICALS
EXPORTER
AND LOGISTIC
SERVICE
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 May 8,
2002 as a
private limited company
under the name
style POLENE PLASTIC COMPANY LIMITED, by
Thai groups, with
the business objective to export
petrochemical products, as
well as provide
domestic and international
freight forwarding and
shipping services to
TPI group of
companies. It currently
employs 19 staff.
The
subject is a
wholly owned subsidiary
of TPI Polene Power Company Limited, which
is a member
of TPI Polene
Public Company Limited.
The
subject’s registered address
is 26/56 Chantadmai
Rd., Thungmahamek, Sathorn,
Bangkok 10120, and
this is the
subject’s current operation
address.
THE
BOARD OF DIRECTOR
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Prachai Liewpairat |
|
Thai |
71 |
|
Mr. Prateep Liewpairat |
|
Thai |
69 |
|
Mr. Pramual Liewpairat |
|
Thai |
66 |
|
Mr. Prayad Liewpairat |
|
Thai |
64 |
|
Mrs. Orapin Liewpairat |
|
Thai |
68 |
AUTHORIZED
PERSON
Any two of
the above directors
can jointly sign
on behalf of
the subject with
company’s affixed.
MANAGEMENT
Mr. Prachai Liewpairat
is the President
and Chief Executive
Officer.
He is Thai
nationality with the
age of 71
years old.
BUSINESS
OPERATIONS
The subject is engaged in
exporting of PVC resin,
mainly Low Density Polyethylene [LDPE] and
Ethylene-Vinyl Acetate Copolymer [EVA], as
well as distributing
and exporting of
cements and mortars
under its brand “POLENE”.
The subject
also provides domestic
and international logistic
service for cements
and PVC resin
for the TPI
group of companies.
PURCHASE
100% of the
products is purchased
from local suppliers.
MAJOR
SUPPLIER
TPI
Polene Public Company
Limited
EXPORT
100%
of plastic resin
products, some cement
and mortar are exported
to United States of America, Japan, Singapore, Indonesia,
Malaysia, India, Taiwan, Republic
of China, Vietnam,
Hong Kong, Myanmar, Laos,
Korea, Philippines, Europe,
Africa, Australia, Canada
and Middle East countries.
Whereas, cement and
mortar are also
sold locally.
SERVICES
100% of freight
forwarding and shipping
services are served
to TPI group
of companies.
MAJOR CUSTOMERS
LDPE India Polymers
Ltd. : India
Chase Plastic Services
Inc. : U.S.A.
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 the past
two years.
CREDIT
Sales and services
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.
Exports are against
T/T.
BANKING
Bangkok
Bank Public Co.,
Ltd.
EMPLOYMENT
The
subject employs 19 staff.
LOCATION
DETAILS
The
premise is rented for
administrative office at
the heading address.
Premise is located
in commercial/residential area.
COMMENT
Subject
is an exporter of
PVC resin to international
markets. Its business
remains moderate fair
despite the stunning
in world market.
The
subject has gained
creditability and comprehensive
network in its
business. Generally, its
business is growing
considerably.
FINANCIAL
INFORMATION
The capital
was registered at
Bht. 10,000,000 divided into 100,000
shares of Bht. 100 each
with fully paid.
THE
SHAREHOLDERS LISTED WERE
[as at
April 28, 2015]
|
NAME |
HOLDING |
% |
|
|
|
|
|
TPI Polene Power
Company Limited Nationality: Thai Address : 26/56
Chantadmai Rd., Thungmahamek,
Sathorn, Bangkok |
99,993 |
99.99 |
|
Mr. Prachai Liewpairat Nationality: Thai Address : 299
Moo 5, Thabkwang,
Kaengkoi, Saraburi |
1 |
|
|
Mr. Prateep Liewpairat Nationality: Thai Address : 211
Sukhumvit 49 Rd.,
Klongtonnua,
Wattana, Bangkok |
1 |
|
|
Mr. Pramual Liewpairat Nationality: Thai Address : 999
Moo 5, Chengnoen,
Muang, Rayong |
1 |
= 0.01 |
|
Mrs. Orapin Liewpairat Nationality: Thai Address : 229/14
Sukhumvit 49 Rd.,
Klongtonnua,
Wattana, Bangkok |
1 |
|
|
Mr. Prayad Liewpairat Nationality: Thai Address : 211 Sukhumvit 49
Rd., Klongtonnua,
Wattana, Bangkok |
1 |
|
|
Ms. Patraphan Liewpairat Nationality: Thai Address : 999
Soi Onnuch 39,
Suanluang, Bangkok |
1 |
|
|
Mr. Pakorn Liewpairat Nationality: Thai Address : 999
Soi Onnuch 39,
Suanluang, Bangkok |
1 |
|
Total Shareholders : 8
Share Structure [as
at April 28,
2015]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
8 |
100,000 |
100.00 |
|
Foreign |
- |
- |
- |
|
Total |
8 |
100,000 |
100.00 |
NAME OF AUDITOR &
CERTIFIED PUBLIC ACCOUNTANT NO.
Mr. Ekasit Chuthamsatit No.
4195
BALANCE
SHEET [BAHT]
The
latest financial figures
published for December 31,
2014, 2013 & 2012 were:
ASSETS
|
Current Assets |
2014 |
2013 |
2012 [Adjusted] |
|
|
|
|
|
|
Cash and Cash Equivalents |
133,855,470 |
109,965,431 |
133,048,513 |
|
Trade Account Receivable |
1,124,478,779 |
693,535,934 |
855,666,377 |
|
Other Receivable |
5,422,482 |
2,580,028 |
494,339 |
|
Short-term Lending |
- |
244,204,950 |
233,096,088 |
|
Advance Payment to
Related Company |
1,278,968,464 |
713,362,866 |
322,975,439 |
|
Inventories |
140,068,320 |
86,132,669 |
142,632,231 |
|
Other Current Assets
|
184,827,185 |
224,927,618 |
162,397,443 |
|
Total Current Assets
|
2,867,620,700 |
2,074,709,496 |
1,850,310,430 |
|
Deferred Income Tax Assets |
14,126,550 |
12,995,270 |
- |
|
Total Assets |
2,881,747,250 |
2,087,704,766 |
1,850,310,430 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2014 |
2013 |
2012 [Adjusted] |
|
|
|
|
|
|
Short-term Loan from Financial Institution |
542,002,884 |
684,350,852 |
516,990,079 |
|
Trade Account Payable |
1,989,841,737 |
1,269,990,476 |
916,212,104 |
|
Other Payable |
50,351,009 |
47,733,471 |
28,960,893 |
|
Advance Received from Related Company |
232,016,281 |
13,470,096 |
246,524,859 |
|
Accrued Income Tax |
- |
- |
15,486,902 |
|
Other Current Liabilities |
165,936 |
185,560 |
- |
|
Total Current Liabilities |
2,814,377,847 |
2,015,730,455 |
1,724,174,837 |
|
Total Liabilities |
2,814,377,847 |
2,015,730,455 |
1,724,174,837 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100
value authorized and
issued share capital 100,000
shares |
10,000,000 |
10,000,000 |
10,000,000 |
|
Capital Paid |
10,000,000 |
10,000,000 |
10,000,000 |
|
Retained Earning - Unappropriated |
57,369,403 |
61,974,311 |
116,135,593 |
|
Total Shareholders' Equity |
67,369,403 |
71,974,311 |
126,135,593 |
|
Total Liabilities &
Shareholders' Equity |
2,881,747,250 |
2,087,704,766 |
1,850,310,430 |
PROFIT
& LOSS ACCOUNT
|
Revenue |
2014 |
2013 |
2012 [Adjusted] |
|
|
|
|
|
|
Income from Sales |
9,501,883,007 |
7,250,114,620 |
8,160,824,506 |
|
Income from Logistic |
113,952,586 |
123,817,265 |
135,411,586 |
|
Gain on Exchange Rate |
26,561,391 |
- |
63,975,437 |
|
Interest Income |
- |
- |
17,341,432 |
|
Other Income |
1,708,193 |
11,659,265 |
14,642,795 |
|
Total Revenues |
9,644,105,177 |
7,385,591,150 |
8,392,195,756 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods Sold |
9,481,195,283 |
7,223,870,728 |
8,118,648,640 |
|
Selling Expenses |
152,910,255 |
143,293,453 |
159,072,159 |
|
Administrative Expenses |
2,078,650 |
3,642,470 |
3,737,050 |
|
Loss on Exchange Rate |
- |
58,477,071 |
- |
|
Financial Cost |
13,657,177 |
23,463,980 |
25,687,252 |
|
Total Expenses |
9,649,841,365 |
7,452,747,702 |
8,307,145,101 |
|
Profit before Income Tax |
[5,736,188] |
[67,156,552] |
85,050,655 |
|
Income Tax |
1,131,280 |
12,995,270 |
[19,611,521] |
|
Net Profit / [Loss] |
[4,604,908] |
[54,161,282] |
65,439,135 |
FINANCIAL
ANALYSIS
|
ITEM |
UNIT |
2014 |
2013 |
2012 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
1.02 |
1.03 |
1.07 |
|
QUICK RATIO |
TIMES |
0.90 |
0.87 |
0.90 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
- |
- |
- |
|
TOTAL ASSETS TURNOVER |
TIMES |
3.34 |
3.53 |
4.48 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
5.39 |
4.35 |
6.41 |
|
INVENTORY TURNOVER |
TIMES |
67.69 |
83.87 |
56.92 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
42.68 |
34.33 |
37.65 |
|
RECEIVABLES TURNOVER |
TIMES |
8.55 |
10.63 |
9.70 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
76.60 |
64.17 |
41.19 |
|
CASH CONVERSION CYCLE |
DAYS |
(28.53) |
(25.49) |
2.87 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
98.60 |
97.96 |
97.86 |
|
SELLING & ADMINISTRATION |
% |
1.61 |
1.99 |
1.96 |
|
INTEREST |
% |
0.14 |
0.32 |
0.31 |
|
GROSS PROFIT MARGIN |
% |
1.69 |
2.19 |
3.30 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
(0.06) |
(0.91) |
1.03 |
|
NET PROFIT MARGIN |
% |
(0.05) |
(0.73) |
0.79 |
|
RETURN ON EQUITY |
% |
(6.84) |
(75.25) |
51.88 |
|
RETURN ON ASSET |
% |
(0.16) |
(2.59) |
3.54 |
|
EARNING PER SHARE |
BAHT |
(46.05) |
(541.61) |
654.39 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.98 |
0.97 |
0.93 |
|
DEBT TO EQUITY RATIO |
TIMES |
41.78 |
28.01 |
13.67 |
|
TIME INTEREST EARNED |
TIMES |
(0.42) |
(2.86) |
3.31 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
30.40 |
(11.12) |
|
|
OPERATING PROFIT |
% |
(91.46) |
(178.96) |
|
|
NET PROFIT |
% |
91.50 |
(182.77) |
|
|
FIXED ASSETS |
% |
- |
- |
|
|
TOTAL ASSETS |
% |
38.03 |
12.83 |
|
ANNUAL
GROWTH: SATISFACTORY
An annual sales growth is 30.4%. Turnover has increased from THB
PROFITABILITY :
RISKY
PROFITABILITY
RATIO
|
Gross Profit Margin |
1.69 |
Deteriorated |
Industrial Average |
21.79 |
|
Net Profit Margin |
(0.05) |
Deteriorated |
Industrial Average |
1.03 |
|
Return on Assets |
(0.16) |
Deteriorated |
Industrial Average |
2.41 |
|
Return on Equity |
(6.84) |
Deteriorated |
Industrial Average |
6.33 |
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 1.69%. 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 -0.05%.
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 -0.16%.
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 -6.84%.
Trend of the
average competitors in the same industry for last 5 years
Return on Assets Downtrend
Return on Equity Downtrend
LIQUIDITY :
ACCEPTABLE
LIQUIDITY RATIO
|
Current Ratio |
1.02 |
Acceptable |
Industrial
Average |
1.36 |
|
Quick Ratio |
0.90 |
|
|
|
|
Cash Conversion Cycle |
(28.53) |
|
|
|
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 1.02 times in 2014, decreased from 1.03 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 0.9 times in 2014,
increased from 0.87 times, by excluding inventory, the company may have
problems meeting current liabilities.
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 -29 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Downtrend
LEVERAGE : RISKY
LEVERAGE RATIO
|
Debt Ratio |
0.98 |
Acceptable |
Industrial
Average |
0.62 |
|
Debt to Equity Ratio |
41.78 |
Risky |
Industrial
Average |
1.66 |
|
Times Interest Earned |
(0.42) |
Risky |
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 -0.43 lower than 1, so the company is not generating
enough cash from EBIT to meet its interest obligations.
Debt Ratio shows the proportion of a company's assets which are financed
through debt. The company's figure is 0.98 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 :
EXCELLENT
ACTIVITY RATIO
|
Fixed Assets Turnover |
- |
|
Industrial
Average |
- |
|
Total Assets Turnover |
3.34 |
Impressive |
Industrial
Average |
2.33 |
|
Inventory Conversion Period |
5.39 |
|
|
|
|
Inventory Turnover |
67.69 |
Impressive |
Industrial
Average |
8.32 |
|
Receivables Conversion Period |
42.68 |
|
|
|
|
Receivables Turnover |
8.55 |
Impressive |
Industrial
Average |
5.18 |
|
Payables Conversion Period |
76.60 |
|
|
|
The company's Account Receivable Ratio is calculated as 8.55 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 increased from 4 days at the end
of 2013 to 5 days at the end of 2014. This represents a negative trend. And
Inventory turnover has decreased from 83.87 times in year 2013 to 67.69 times
in year 2014.
The company's Total Asset Turnover is calculated as 3.34 times and 3.53
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 Uptrend
Inventory Turnover Uptrend
Receivables Turnover Uptrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.66.40 |
|
|
1 |
Rs.101.19 |
|
Euro |
1 |
Rs.73.89 |
INFORMATION DETAILS
|
Analysis Done by
: |
TRI |
|
|
|
|
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.