MIRA INFORM REPORT
|
Report No. : |
339295 |
|
Report Date : |
07.09.2015 |
IDENTIFICATION DETAILS
|
Name : |
DUTCH MILL CO., LTD. |
|
|
|
|
Registered Office : |
137/6 Moo 1,
Putthamonthon Sai 8
Road, Khunkaew,
Nakornchaisri,
Nakornpathom 73120 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2014 |
|
|
|
|
Date of Incorporation : |
27.01.1984 |
|
|
|
|
Com. Reg. No.: |
0105527003992 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
The subject is
engaged in manufacturing and
marketing various kinds
of dairy products. |
|
|
|
|
No. of Employees : |
1,300 |
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) |
|
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, 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
DUTCH MILL CO., LTD.
SUMMARY
BUSINESS ADDRESS : 29th FLOOR, SATHORN
SQUARE OFFICE TOWER,
NORTH
SATHORN ROAD, SILOM,
BANGRAK,
BANGKOK 10500, THAILAND
TELEPHONE : [66] 2869-2000
FAX : [66] 2869-2235
E-MAIL ADDRESS : thailand@dutchmill.co.th
export@dutchland.co.th
REGISTRATION ADDRESS : 137/6 MOO 1,
PUTTHAMONTHON SAI 8
ROAD,
KHUNKAEW,
NAKORNCHAISRI, NAKORNPATHOM 73120,
THAILAND
ESTABLISHED : 1984
REGISTRATION NO. : 0105527003992 [Former : 399/2527]
TAX ID NO. : 3101310450
CAPITAL REGISTERED : BHT.
400,000,000
CAPITAL PAID-UP : BHT.
400,000,000
SHAREHOLDER’S PROPORTION : THAI :
100%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR. PORNCHAI
SAWADSUKSOBCHAI, THAI
PRESIDENT AND
CHIEF EXECUTIVE OFFICER
NO. OF STAFF : 1,300
LINES OF BUSINESS : DAIRY
PRODUCTS
MANUFACTURER, DISTRIBUTOR
& EXPORTER
|
|
|
CORPORATE PROFILE |
OPERATING TREND : STABLE
PRESENT SITUATION : OPERATING NORMALLY
REPUTATION : GOOD
WITH NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT STANDARD : MANAGEMENT
WITH GOOD PERFORMANCE
HISTORY
The subject was
established on January
27, 1984 as a
private limited company
under the registered
name “Profood Co.,
Ltd.” by Thai
groups, with the
business objective to
manufacture wide range
of dairy products
to both local
and export markets.
The subject is
a wholly owned
subsidiary of Promart
International Co., Ltd.
On August 2, 1991, its name
was changed to
DUTCH MILL CO., LTD. It currently
employs approximately 1,300
staff.
The subject received the international standards ISO 9002 and ISO 14001
quality management certifications from
SGS Yarsley International
Certification Services, and
also received GMP certification from Food and Drug Administration, Ministry of
Public Health and
the HACCP from
the Food and
Drug Administration and Thai
Industrial Standards Institute.
The subject’s registered address is 137/6 Moo 1, Putthamonthon Sai 8
Rd., Khunkaew, Nakornchaisri, Nakornpathom 73120, while
the head office
address was at
226, 228 Krungthon Muangkaew
Building, Sirindorn Rd.,
Bangplad, Bangkok 10700.
In 2013, the head
office was relocated
to 29th Floor,
Sathorn Square Office
Tower, 98 North
Sathorn Road, Silom,
Bangrak, Bangkok 10500.
THE BOARD OF
DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Thirayuth Chaisawangwong |
[x] [*] |
Thai |
65 |
|
Mr. Thada Chaisawangwong |
[-] [*] |
Thai |
38 |
|
Mr. Boonchoo Tanchatchaval |
[x] [-] |
Thai |
67 |
|
Mr. Pornchai Sawadsuksobchai |
[x] [-] [*] |
Thai |
56 |
|
Mr. Vicharn Maneewong |
|
Thai |
44 |
AUTHORIZED PERSON
One of the
mentioned directors [*]
can jointly sign
with Mr. Vicharn Maneewong
or any two
of the directors
[x] can jointly
sign, or any
two of the directors [-]
can jointly sign
on behalf of
the subject with
company’s affixed.
MANAGEMENT
Mr. Pornchai Sawadsuksobchai is
the President and
Chief Executive Officer.
He is Thai
nationality with the
age of 56
years old.
Mr. Thada Chaisawangwong is
the Vice President.
He is Thai
nationality with the
age of 38
years old.
Ms. Supatmanee Srivalee
is the Marketing
Director.
She is Thai
nationality.
Mr. Thirachai Laokornsakul is
the Product Manager.
He is Thai
nationality.
Mr. Thanakorn Pinyopab is
the Human Resources
Manager.
He is Thai
nationality.
Mr. Poolsan Kongbunchee
is the Manufacturing
Manager.
He is Thai
nationality.
BUSINESS OPERATIONS
The subject is
engaged in manufacturing
and marketing various
kinds of dairy
products as the
followings:
Product Brand
Pasteurized Yoghurt Drink “DUTCH MILL”
Pasteurized Non-fat Drinking Fermented Milk “DUTCH MILL”
Fresh Milk “DUTCH MILL”
Pasteurized Milk “DUTCH MILL”
Cup Yoghurt “DUTCHIE”
Pasteurized Soy Milk “DUTCH MILL”
Cultured Drinking Yoghurt “DELIGHT”, “KCI”
Malted Chocolate UHT “D
MALT”
The subject also
provides manufacturing service
of pasteurized dairy
products under customer’s
brands.
PRODUCTION CAPACITY
172,000 tons per
annum
IMPORT [COUNTRIES]
Raw materials such
as raw powder
milk, flavor and
food ingredient are
imported from Netherlands,
Belgium, Germany, France,
Australia, New Zealand,
Korea, India, Japan,
Taiwan and Republic
of China.
MAJOR SUPPLIERS
Sino-Pacific Trading [Thailand]
Co., Ltd. : Thailand
Thai Plaspac Public
Company Limited :
Thailand
SALES [LOCAL]
70% of the products is
sold locally by
wholesale to dealers
and supermarkets.
EXPORT [COUNTRIES]
30% of the
products is exported
to countries in
East Asia and
Southeast Asia such
as Singapore, Laos,
Malaysia, Philippines, Republic
of China, Brunei, Cambodia,
Maldives, Myanmar, Indonesia,
India and Vietnam.
MAJOR CUSTOMER
F & N Food Pte. Ltd. : Singapore
PARENT COMPANY
Promart International Co., Ltd.
Address : 137/6 Moo 1,
Putthamonthon Sai 8
Rd., Khunkaew, Nakornchaisri,
Nakornpathom 73120
RELATED COMPANY
Dairy Plus Co., Ltd.
Business Type: Manufacturer and
distributor of UHT beverages and
dairy products. DNA
soya
milk is a well-known
brand of Dairy Plus.
LITIGATION
Bankruptcy and Receivership
There are no
litigation on bankruptcy
and receivership cases
filed against the
subject found at
Legal Execution Department
for the past
five years.
Others
There are no legal suits
filed against the
subject according to
the past two
years.
CREDIT
Sales are by
cash or on
the credits term
of 30-60 days.
Local bills are
paid 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.
[Pinklao Branch
: Boromratchonnee Rd.,
Bangkoknoi, Bangkok]
Kasikornbank Public Co., Ltd.
[Bangyeekhan Branch]
Krung Thai Bank
Public Co., Ltd.
[Head Office :
35 Sukhumvit Rd.,
Klongtoeynua, Wattana, Bangkok
10110]
[Bangplad Branch
: Charansanitwong Rd.,
Bangplad, Bangkok]
EMPLOYMENT
The subject employs
approximately 1,300 staff.
[office, sales staff
and factory workers]
LOCATION DETAILS
The premise is
rented for head
office at the
heading address. Premise
is located in
residential/commercial area.
Factory is located
at 137/6 Moo 1, Putthamonthon Sai 8 Rd.,
Khunkaew, Nakornchaisri, Nakornpathom 73120, on
the land area
of 72,000 square
meters.
There are 11 branches
in Bangkok and provinces
as follows:
114/13 Bangchak, Prakanong,
Bangkok 10260
99/35 Chaengwatana Rd.,
Tungsonghong, Laksi, Bangkok
10210
115/105 Moo 11,
Chimplee, Talingchan, Bangkok
10170
83/44 Moo 1,
Soi Sirimongkol, Kannayao, Bangkok
10230
63 Moo 6,
Rajathewa, Bangplee, Samutprakarn
224 Sirinthorn Rd., Bangplad, Bangkok
10700
971 Ploenchit Rd.,
Lumpini, Pathumwan, Bangkok
10330
973 Ploenchit Rd.,
Lumpini, Pathumwan, Bangkok
10330
111 Moo 3,
Nakornchaisri, Nakornpathom
137/8 Moo 1,
Putthamonthon Sai 8
Rd., Khunkaew, Nakornchaisri,
Nokornpathom 73120
137/9 Moo 1,
Putthamonthon Sai 8 Rd., Khunkaew,
Nakornchaisri,
Nokornpathom 73120
COMMENT
Subject is one of
the country’s leading in distributing
of dairy products.
It has performed well
with its annual
sales more than
US 300 million.
The consumer dairy products
market is very
competitive and the
company’s products “Dutch
Mill” is well-known
and recognized by
Thai consumers. There are
many brands in
the market, but Dutch Mill is one of a
few major players in the market which has strong
growth. Subject maintains
its solid business and
sales have been increasing each year.
FINANCIAL INFORMATION
The capital was registered
at Bht. 1,000,000 divided
into 10,000 shares of
Bht. 100 each with
fully paid.
The capital was
increased later as
followings:
Bht. 5
million on May 3, 1985
Bht. 10
million on June
16, 1987
Bht. 20
million on May
29, 1989
Bht. 30
million on February
5, 1992
Bht. 100
million on February
25, 1999
Bht. 400
million on December
15, 2000
The latest registered capital
was increased to Bht. 400 million,
divided into 4,000,000 shares
of Bht. 100
each with fully
paid.
THE LISTS OF
SHAREHOLDERS WERE: [as
at April 30, 2015]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Promart International Co., Ltd. Nationality: Thai Address : 137/6
Moo 1, Putthamonthon Sai
8 Rd.,
Khunkaew, Nakornchaisri,
Nakornpathom 73120 |
3,999,989 |
100.00 |
|
Mr. Thirayuth Chaisawangwong Nationality: Thai Address : 110/27
Moo 3,
Pinklao-Nakornchaisri Rd.,
Khunkaew, Nakornchaisri, Nakornpathom |
1 |
- |
|
Mr. Boonchoo Tanchatchaval Nationality: Thai Address : 4/905
Moo 4, Sukhapibal 2
Rd.,
Klongkum, Buengkum, Bangkok |
1 |
- |
|
Mr. Somkiat Yokpisuthiporn Nationality: Thai Address : 21/37
Samsennai, Phyathai, Bangkok |
1 |
- |
|
Mr. Jirasak Chalermsirikul Nationality: Thai Address : 172/20
Sukhumvit 23 Rd., Klongtoey,
Wattana, Bangkok |
1 |
- |
|
Mr. Kinzo Zato
Nationality: Japanese Address : 24
Sukhumvit Rd., Klongton,
Prakanong, Bangkok |
1 |
- |
|
Mrs. Lakhana Thothong Nationality: Thai Address : 9/328
Asoke-Dindaeng Rd., Dindaeng,
Bangkok |
1 |
- |
|
Ms. Duangdao Chaisawangwong Nationality: Thai Address : 110/27
Moo 3,
Pinklao-Nakornchaisri Rd.,
Khunkaew, Nakornchaisri, Nakornpathom |
1 |
- |
|
Mr. Vorawat Kiratisewee Nationality: Thai Address : 99/135
Moo 3, Ladyao,
Jatujak, Bangkok
10900 |
1 |
- |
|
Mrs. Duangchan Akralawan Nationality: Thai Address : 21/493
Moo 10, Salathamsop, Talingchan,
Bangkok |
1 |
- |
|
Mr. Tanakorn Jaruphat Nationality: Thai Address : 389/1
Wongsawang Rd., Bangsue,
Bangkok |
1 |
- |
|
Mr. Pornchai Sawadsuksobchai Nationality: Thai Address : 7/568
Moo 9,
Pinklao-Nakornchaisri Rd.,
Taweewatana, Bangkok |
1 |
- |
Total Shareholders : 12
Share Structure [as
at April 30,
2015]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
11 |
3,999,999 |
100.00 |
|
Foreign - Japanese |
1 |
1 |
- |
|
Total |
12 |
4,000,000 |
100.00 |
NAME OF
AUDITOR & CERTIFIED
PUBLIC ACCOUNTANT NO. :
Mrs. Sakuna Yaemsakul No.
4906
BALANCE SHEET
[BAHT]
The latest financial
figures published for
December 31, 2014,
2013 & 2012
were:
ASSETS
|
Current Assets |
2014 |
2013 |
2012 |
|
|
|
|
|
|
Cash in Hand
& at Bank |
702,457,321 |
483,584,106 |
328,651,652 |
|
Short-term Investment |
302,577,129 |
- |
- |
|
Trade Accounts & Other
Receivable |
917,007,605 |
965,810,447 |
842,833,326 |
|
Short-term Loan to
Related Company |
20,000,000 |
20,000,000 |
- |
|
Inventories |
788,211,021 |
833,355,000 |
612,563,520 |
|
Other Current Assets
|
24,091,069 |
22,441,587 |
32,130,270 |
|
|
|
|
|
|
Total Current Assets
|
2,754,344,145 |
2,325,191,140 |
1,816,178,768 |
|
Fixed Assets |
1,274,641,651 |
1,559,151,326 |
1,736,368,126 |
|
Other Non-current Assets |
6,539,793 |
8,063,706 |
9,794,240 |
|
Total Assets |
4,035,525,589 |
3,892,406,172 |
3,562,341,134 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2014 |
2013 |
2012 |
|
|
|
|
|
|
Trade Accounts & Other
Payable |
532,385,033 |
576,131,903 |
687,286,835 |
|
Accrued Expenses |
259,394,129 |
319,526,180 |
278,677,859 |
|
Current Portion of Long-term Lease Contract |
2,542,929 |
22,871,920 |
30,139,994 |
|
Accrued Income Tax |
18,895,247 |
49,421,873 |
56,234,779 |
|
Other Current Liabilities |
12,699,970 |
14,002,424 |
14,549,055 |
|
|
|
|
|
|
Total Current Liabilities |
825,917,308 |
981,954,300 |
1,066,888,522 |
|
Long-term Lease Contract |
330,798 |
2,767,323 |
28,849,112 |
|
Liabilities from Employee
Benefits |
48,181,196 |
44,195,978 |
40,140,988 |
|
Total Liabilities |
874,429,302 |
1,028,917,601 |
1,135,878,622 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100 par value authorized, issued
and fully paid share
capital 4,000,000 shares |
400,000,000 |
400,000,000 |
400,000,000 |
|
|
|
|
|
|
Capital Paid |
400,000,000 |
400,000,000 |
400,000,000 |
|
Retained Earning Appropriated for statutory reserve |
40,000,000 |
40,000,000 |
40,000,000 |
|
Unappropriated |
2,721,096,287 |
2,423,488,571 |
1,986,462,512 |
|
Total Shareholders' Equity |
3,161,096,287 |
2,863,488,571 |
2,426,462,512 |
|
Total Liabilities &
Shareholders' Equity |
4,035,525,589 |
3,892,406,172 |
3,562,341,134 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
2014 |
2013 |
2012 |
|
|
|
|
|
|
Sales |
9,545,574,267 |
9,811,897,360 |
9,635,689,620 |
|
Other Income |
18,896,505 |
12,484,369 |
21,881,337 |
|
Interest Income |
6,524,852 |
2,980,550 |
1,424,140 |
|
Total Revenues |
9,570,995,624 |
9,827,362,279 |
9,658,995,097 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold |
6,333,204,755 |
6,047,218,424 |
6,085,635,976 |
|
Selling Expenses |
2,106,471,436 |
2,446,334,496 |
2,146,149,423 |
|
Administrative Expenses |
753,897,705 |
782,285,081 |
910,379,942 |
|
Total Expenses |
9,193,573,896 |
9,275,838,001 |
9,142,165,341 |
|
|
|
|
|
|
Profit before Financial
Cost & Income Tax |
377,421,728 |
551,524,278 |
516,829,756 |
|
Financial Cost |
[705,804] |
[2,047,156] |
[9,882,732] |
|
|
|
|
|
|
Profit before Income
Tax |
376,715,924 |
549,477,122 |
506,947,024 |
|
Income Tax |
[79,108,208] |
[112,451,063] |
[125,595,064] |
|
|
|
|
|
|
Net Profit / [Loss] |
297,607,716 |
437,026,059 |
381,351,960 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2014 |
2013 |
2012 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
3.33 |
2.37 |
1.70 |
|
QUICK RATIO |
TIMES |
2.35 |
1.50 |
1.10 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
7.49 |
6.29 |
5.55 |
|
TOTAL ASSETS TURNOVER |
TIMES |
2.37 |
2.52 |
2.70 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
45.43 |
50.30 |
36.74 |
|
INVENTORY TURNOVER |
TIMES |
8.03 |
7.26 |
9.93 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
35.06 |
35.93 |
31.93 |
|
RECEIVABLES TURNOVER |
TIMES |
10.41 |
10.16 |
11.43 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
30.68 |
34.77 |
41.22 |
|
CASH CONVERSION CYCLE |
DAYS |
49.81 |
51.45 |
27.44 |
|
|
|
|
|
|
|
PROFITABILITY RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
66.35 |
61.63 |
63.16 |
|
SELLING & ADMINISTRATION |
% |
29.97 |
32.91 |
31.72 |
|
INTEREST |
% |
0.01 |
0.02 |
0.10 |
|
GROSS PROFIT MARGIN |
% |
33.92 |
38.53 |
37.08 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
3.95 |
5.62 |
5.36 |
|
NET PROFIT MARGIN |
% |
3.12 |
4.45 |
3.96 |
|
RETURN ON EQUITY |
% |
9.41 |
15.26 |
15.72 |
|
RETURN ON ASSET |
% |
7.37 |
11.23 |
10.71 |
|
EARNING PER SHARE |
BAHT |
74.40 |
109.26 |
95.34 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.22 |
0.26 |
0.32 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.28 |
0.36 |
0.47 |
|
TIME INTEREST EARNED |
TIMES |
534.74 |
269.41 |
52.30 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
(2.71) |
1.83 |
|
|
OPERATING PROFIT |
% |
(31.57) |
6.71 |
|
|
NET PROFIT |
% |
(31.90) |
14.60 |
|
|
FIXED ASSETS |
% |
(18.25) |
(10.21) |
|
|
TOTAL ASSETS |
% |
3.68 |
9.27 |
|
ANNUAL GROWTH:
RISKY
An annual sales growth is -2.71%. Turnover has decreased from THB
9,811,897,360.00 in 2013 to THB 9,545,574,267.00 in 2014. While net profit has
decreased from THB 437,026,059.00 in 2013 to THB 297,607,716.00 in 2014. And
total assets has increased from THB 3,892,406,172.00 in 2013 to THB
4,035,525,589.00 in 2014.
PROFITABILITY :
SATISFACTORY
PROFITABILITY
RATIO
|
Gross Profit Margin |
33.92 |
Impressive |
Industrial Average |
1.42 |
|
Net Profit Margin |
3.12 |
Satisfactory |
Industrial Average |
3.38 |
|
Return on Assets |
7.37 |
Acceptable |
Industrial Average |
10.01 |
|
Return on Equity |
9.41 |
Deteriorated |
Industrial Average |
40.89 |
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 in 33.92%. 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. The company's figure is 3.12%.
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 7.37%.
Return on Equity indicates how profitable a company is by comparing its
net income to its average shareholders' equity, ROE measures how much the
shareholders earned for their investment in the company. When compared with the
industry average, it was lower, the company's figure is 9.41%.
Trend of the average competitors in the same industry for last 5 years
Return on Assets Downtrend
Return on Equity Uptrend
LIQUIDITY :
IMPRESSIVE
LIQUIDITY RATIO
|
Current Ratio |
3.33 |
Impressive |
Industrial Average |
1.10 |
|
Quick Ratio |
2.35 |
|
|
|
|
Cash Conversion Cycle |
49.81 |
|
|
|
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 3.33 times in 2014, increase from 2.37 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 higher, indicated that company
was an efficient operator in a dominant position within its industry.
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 2.35 times in 2014,
increase from 1.5 times, although excluding inventory so the company still have
good short-term financial strength.
The Cash Conversion Cycle measures the number of days a company's cash
is tied up in the production and sales process of its operations and the
benefit from payment terms from its creditors. It meant the company could
survive when no cash inflow was received from sale for 50 days.
Trend of the average competitors in the same industry for last 5 years
Current Ratio Downtrend
LEVERAGE :
EXCELLENT
LEVERAGE RATIO
|
Debt Ratio |
0.22 |
Impressive |
Industrial Average |
0.71 |
|
Debt to Equity Ratio |
0.28 |
Impressive |
Industrial Average |
2.51 |
|
Times Interest Earned |
534.74 |
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 lower the percentage means that the company is using less
leverage and has a stronger equity position.
Times Interest Earned measuring a company's ability to meet its debt
obligations. Ratio is 534.75 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 0.22 less than 0.5, most of the company's
assets are financed through equity.
Trend of the average competitors in the same industry for last 5 years
Debt Ratio Uptrend
Times Interest Earned Stable
ACTIVITY :
IMPRESSIVE
ACTIVITY RATIO
|
Fixed Assets Turnover |
7.49 |
Impressive |
Industrial Average |
- |
|
Total Assets Turnover |
2.37 |
Satisfactory |
Industrial Average |
2.88 |
|
Inventory Conversion Period |
45.43 |
|
|
|
|
Inventory Turnover |
8.03 |
Satisfactory |
Industrial Average |
8.23 |
|
Receivables Conversion Period |
35.06 |
|
|
|
|
Receivables Turnover |
10.41 |
Impressive |
Industrial Average |
7.67 |
|
Payables Conversion Period |
30.68 |
|
|
|
The company's Account Receivable Ratio is calculated as 10.41 and 10.16 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 decreased from 50 days at the
end of 2013 to 45 days at the end of 2014. This represents a positive trend.
And Inventory turnover has increased from 7.26 times in year 2013 to 8.03 times
in year 2014.
The company's Total Asset Turnover is calculated as 2.37 times and 2.52 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 : |
TPT |
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.