MIRA INFORM REPORT
|
Report No. : |
340044 |
|
Report Date : |
11.09.2015 |
IDENTIFICATION DETAILS
|
Name : |
SCG TRADING CO., LTD. |
|
|
|
|
Formerly Known As : |
SCT CO., LTD. |
|
|
|
|
Registered Office : |
1 Siam Cement Road, Bangsue Bangkok 10800 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2014 |
|
|
|
|
Date of Incorporation : |
23.03.1962 |
|
|
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Com. Reg. No.: |
0105505000494 |
|
|
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Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Subject is an
international trading company
to import, distribute
and export a
variety of products
from Siam Cement
Group of Companies.
Its products are
as the followings:
|
|
|
|
|
No. of Employee : |
380 |
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 |
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|
|
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Payment Behaviour : |
No complaints |
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|
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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 |
B1 |
A2 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
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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
SCG TRADING CO., LTD.
[FORMER :
SCT CO., LTD.]
SUMMARY
BUSINESS ADDRESS : 1 SIAM
CEMENT ROAD, BANGSUE,
BANGKOK 10800,
THAILAND
TELEPHONE : [66] 2586-1888
FAX : [66] 2587-2159,
2587-2203, 2586-2990
E-MAIL ADDRESS : scg-trading@scg.co.th
REGISTRATION ADDRESS : SAME AS
BUSINESS ADDRESS
ESTABLISHED : 1962
REGISTRATION NO. : 0105505000494 [Former : 66/2505]
TAX ID NO. : 3101004137
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. BUNN
KASEMSUP, THAI
MANAGING DIRECTOR
NO. OF STAFF : 380
LINES OF BUSINESS : INTERNATIONAL TRADING
COMPANY
IMPORTER,
DISTRIBUTOR AND 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 initially established
on March 23,
1962 as a
private limited company
under the registered name “Construction Material Marketing Co.,
Ltd.” by a joint
venture between Siam
Cement Public Co.,
Ltd. and The
Thai Commercial Banks to operate as
a trading company
in Thailand.
Later, the
subject became a
wholly owned subsidiary
of the Siam Cement
Group,
then subject’s
name was changed
to SIAM CEMENT
TRADING CO., LTD. on
October 14,
1964.
On October
12, 1978, the
subject’s name was
changed again to
SCT CO., LTD.,
and
was finally
changed to SCG
TRADING CO., LTD.,
on November 30,
2010.
In 1998,
subject was awarded
the Prime Minister’s
Export Award as
the Best Exporter.
SCT was
also the first
international trading company
in Thailand to
receive the TIS/ISO 9002 certification
for quality assurance production.
The subject
operates in 4 core
business areas: energy,
recycling, construction materials
and industrial supplies.
It currently employs
380 staff.
Presently, the
subject is a
wholly owned subsidiary
of SCG Distribution
Co., Ltd., which
is a member of SCG group of companies,
by the principle
company is The Siam
Cement Public Company Limited.
The subject’s
registered address is 1 Siam
Cement Rd., Bangsue, Bangkok 10800,
and
this is the subject’s
current operation address.
THE
BOARD OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Kajorndej
Saengsuphan |
[x] |
Thai |
62 |
|
Mr. Klin
Sarasin |
|
Thai |
54 |
|
Mr. Pichit Maipoom |
[x] |
Thai |
59 |
|
Mr. Aree
Chavalitchewinkul |
[x] |
Thai |
52 |
|
Mr. Bunn Kasemsup |
[x] |
Thai |
48 |
|
Mr. Nithi Phatrachoke |
[x] |
Thai |
52 |
AUTHORIZED
PERSON
Any two
of the mentioned
directors [x] can jointly sign on
behalf of the
subject with
company’s affixed.
MANAGEMENT
Mr. Bunn
Kasemsup is
the Managing Director.
He is
Thai nationality with
the age of
48 years old.
Mr. Visan
Uthanesut is
the Products Manager.
He is
Thai nationality.
Mr. Somwang
Virachsilp is
the Business Division
Manager.
He is
Thai nationality.
Mr. Akaraphon
Decharak is
the Overseas Division
Manager.
He is
Thai nationality.
Mr. Sarayuth
Saengchan is
the Finance &
Administration Manager.
He is
Thai nationality.
Mr. Kitti
Pattanaleenakul is
the Engineering Division
Manager.
He is
Thai nationality.
BUSINESS
OPERATIONS
The subject’s
activity is an
international trading company
to import, distribute
and export a
variety of products
from Siam Cement
Group of Companies.
Its products are
as the followings:
Energy
Alternative Energy
Nonferrous Scrap
& Plastic Scrap
Steel Scrap
Waste Paper
Bathroom and
Decoration
Cement
Ceiling and
Partition
Insulation
Roofing Products
Steel
Wooden and
Decorative Products
Agro-Industry
Aluminum &
Non-Ferrous
Paper &
Pulp
Plastic &
Chemical
Raw Material and
Minerals
Oil and
Gas
Food &
Beverage
PURCHASE
The products
are imported from
United States of
America, Canada, Australia,
European and
Asian countries, as
well as purchasing
from local suppliers.
MAJOR
SUPPLIERS
SCG Group
of Companies :
Thailand
Domtar Inc. : Canada
SALES
[LOCAL]
Its products
are sold to
manufacturers, wholesalers, end-users
and Thai Government.
EXPORT
[COUNTRIES]
The major
export products are
food and construction
materials. Its products
are exported to
over 30 countries
worldwide, such as
Indonesia, Korea, Singapore,
Hong Kong, Laos,
U.A.E., Bangladesh, United
States of America,
Vietnam, Myanmar, Taiwan, India, Australia, Republic of China,
Malaysia, Canada, Hungary,
France, Russia, Cambodia, Philippines,
Brazil, South Africa
and Middle East
countries.
MAJOR
CUSTOMERS
SCG Trading
[USA] Inc. :
United States of
America
SCG Trading
[Cambodia] Co., Ltd. : Cambodia
SCG Trading
Guangzhou Co., Ltd. : Republic
of China
SCG Trading
Hong Kong Ltd. : Hong
Kong
SCGT Malaysia
Sdn. Bhd. : Malaysia
SCG Trading
Philippines Inc. : Philippines
SCG Singapore
Trading Pte. Ltd. : Singapore
SCG Trading
Australia Pty. Ltd. : Australia
SCG Trading
Emirates L.L.C. : United
Arab Emirate
PT. SCG Trading
Indonesia : Indonesia
Siam Cement
Myanmar Trading Ltd. : Myanmar
PARENT
COMPANY
SCG Distribution
Co., Ltd.
Branches office/Distribution Center:
There are
currently 36 branches and
distribution centers in
25 worldwide countries.
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 30-60-90
days.
Local bills
are paid by
cash or on
the credits term
of 30-60-90 days.
Imports are
by L/C at
sight or T/T.
Exports are
against L/C at
sight or T/T.
BANKING
Kasikornbank Public
Co., Ltd.
[Head
Office : 1 Kasikorn Lane, Rajburana
Rd., Rajburana, Bangkok 10140]
The Siam
Commercial Bank Public Co., Ltd.
[Head
Office : 9 Ratchadapisek Rd.,
Ladyao, Jatujak, Bangkok
10900]
Export-Import Bank
of Thailand
[Head
Office : 1193 Phaholyothin
Rd., Samsennai, Phyathai,
Bangkok 10400]
Bangkok Bank
Public Co., Ltd.
[Head
Office : 333 Silom Rd.,
Silom, Bangrak, Bangkok
10500
Citibank, NA
[Head
Office : 82 North Sathorn
Rd., Bangrak, Bangkok
10500]
EMPLOYMENT
The subject
employs approximately 380
office and sales
staff.
LOCATION
DETAILS
The premise
is rented for administrative office
at the heading
address in commercial/ residential area.
Premise is shared
with Siam Cement
Group of Companies.
COMMENT
SCG Trading
Co., Ltd. is one of
Thailand’s long established
and most prestigious
international trading companies. Formerly known
as Siam Cement Trading Co.,
Ltd., it was
established over 40
years ago to
promote the growth
of Thai industries
and the export
of Thai products to the
world market. Notable were
canned foods, frozen seafood,
garments, minerals, paper
and construction materials.
The company
is determined to
provide the highest
level of customer
satisfaction, and developing
a customer relationship
and management program to
fully cater needs
and requirements of
its customers.
The subject
is considered to have
a solid business
with steady growth.
FINANCIAL
INFORMATION
The capital
was initially registered
at Bht. 60,000,000
divided into 600,000 shares
of Bht. 100
each.
Capital was
increased later as
followings :
Bht. 120,000,000
in April 1968
Bht. 400,000,000
on March 26,
2000
The latest
registered capital was
increased to Bht.
400,000,000 divided into
4,000,000 shares of
Bht. 100 each
with fully paid.
MAIN
OF SHAREHOLDERS
[as at
April 23, 2015]
|
NAME |
HOLDING |
% |
|
|
|
|
|
SCG Distribution Co.,
Ltd. Nationality: Thai Address :
1 Siam Cement Rd.,
Bangsue, Bangkok |
3,998,813 |
99.97 |
|
Mrs. Pasanuch
Suphanvanich Nationality: Thai Address :
26/9 Ngamwongwan Rd.,
Thungsonghong, Laksi, Bangkok |
260 |
|
|
Mr. Kittiphan
Hetrakul Nationality: Thai Address :
8 Sakhumvit 21
Rd., Klongtoey, Bangkok |
228 |
= 0.03 |
|
Mrs. Tanpien
Jiamvijit Nationality: Thai Address :
160/29 Soi Mooban
Panya, Suanluang, Bangkok |
195 |
|
|
Others |
504 |
|
Total Shareholders
: 32
Share Structure
[as at
April 23, 2015]
|
Nationality |
Shareholders |
No. of
Share |
% Shares |
|
|
|
|
|
|
Thai |
32 |
4,000,000 |
100.00 |
|
Foreign |
- |
- |
- |
|
Total |
32 |
4,000,000 |
100.00 |
NAME OF AUDITOR & CERTIFIED PUBLIC
ACCOUNTANT NO.
Ms. Sureerat Thongarunsaeng No.
4409
BALANCE
SHEET [BAHT]
The latest financial
figures published for December
31, 2014, 2013 and
2012 were:
ASSETS
|
Current Assets |
2014 |
2013 |
2012 |
|
|
|
|
|
|
Cash and Cash Equivalent |
6,061,561 |
5,638,311 |
19,755,729 |
|
Trade Accounts
and Other Receivable |
3,116,643,658 |
3,361,770,896 |
2,229,940,832 |
|
Short-term Lending
to Related
Company |
146,551,693 |
42,274,091 |
174,211,401 |
|
Goods for
Sales |
1,168,105,333 |
1,187,074,974 |
1,649,941,495 |
|
Other Current
Assets |
292,499,078 |
165,884,956 |
182,740,965 |
|
|
|
|
|
|
Total Current
Assets |
4,729,861,323 |
4,762,643,228 |
4,256,590,422 |
|
Investment in
Subsidiaries and Associated
Companies |
410,722,681 |
298,812,033 |
265,523,622 |
|
Other
Long-term Investment |
966,672 |
980,390 |
1,040,304 |
|
Long-term Lending
to Related
Company |
- |
- |
33,706,490 |
|
Fixed Assets |
156,928,454 |
138,834,231 |
195,721,773 |
|
Intangible Assets |
67,959,012 |
77,392,676 |
71,025,779 |
|
Deferred Income
Tax Assets |
53,745,060 |
71,936,700 |
79,304,336 |
|
Other Non-current
Assets |
39,023,148 |
41,009,415 |
108,909,570 |
|
Total Assets |
5,459,206,350 |
5,391,608,673 |
5,011,822,296 |
LIABILITIES & SHAREHOLDERS' EQUITY [BAHT]
|
Current Liabilities |
2014 |
2013 |
2012 |
|
|
|
|
|
|
Trade Accounts
and Other Payable |
3,920,339,678 |
3,346,718,251 |
2,923,360,601 |
|
Short-term Loan
from Related
Company |
183,908,957 |
580,331,926 |
648,700,845 |
|
Accrued Income
Tax |
- |
- |
2,608,972 |
|
Estimated Short-term
Liabilities |
6,800,345 |
5,492,074 |
3,778,193 |
|
Other Current
Liabilities |
29,033,715 |
19,172,522 |
24,568,866 |
|
|
|
|
|
|
Total Current
Liabilities |
4,140,082,695 |
3,951,714,773 |
3,603,017,477 |
|
Liabilities from
Employee Benefits |
73,490,815 |
67,434,933 |
43,030,056 |
|
Other Non-current
Liabilities |
183,656 |
183,806 |
- |
|
Total Liabilities
|
4,213,757,166 |
4,019,333,512 |
3,646,047,533 |
|
|
|
|
|
|
Shareholders'
Equity |
|
|
|
|
|
|
|
|
|
Share
capital : Baht 100 par
value authorized
and issued 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 |
|
Premium on Share
Capital |
25,023,100 |
25,023,100 |
25,023,100 |
|
Retained Earning Appropriated for statutory reserve |
14,976,900 |
14,976,900 |
14,976,900 |
|
Unappropriated |
805,385,981 |
932,220,965 |
925,714,254 |
|
Other
Components of Shareholders’ Equity |
63,203 |
54,196 |
60,509 |
|
Total Shareholders' Equity |
1,245,449,184 |
1,372,275,161 |
1,365,774,763 |
|
Total Liabilities
& Shareholders' Equity |
5,459,206,350 |
5,391,608,673 |
5,011,822,296 |
PROFIT
& LOSS ACCOUNT
|
Revenue |
2014 |
2013 |
2012 |
|
|
|
|
|
|
Sales & Service Income |
35,405,226,308 |
30,780,787,640 |
30,524,445,557 |
|
Other Income |
182,549,768 |
320,394,229 |
254,223,568 |
|
Gain on
Exchange Rate |
- |
46,350,070 |
139,103,752 |
|
Total Revenues |
35,587,776,076 |
31,147,531,939 |
30,917,772,877 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of
Goods Sold & Service |
30,435,686,686 |
26,618,461,796 |
25,699,900,867 |
|
Selling Expenses |
3,923,665,393 |
3,227,351,651 |
3,721,692,622 |
|
Administrative Expenses |
868,290,593 |
992,661,552 |
1,114,806,286 |
|
Loss on
Exchange Rate |
61,518,860 |
- |
- |
|
Total Expenses
|
35,289,161,532 |
30,838,474,999 |
30,536,399,775 |
|
|
|
|
|
|
Profit before
Financial Cost &
Income
Tax |
298,614,544 |
309,056,940 |
381,373,102 |
|
Financial Cost |
[77,452,133] |
[21,438,728] |
[19,191,321] |
|
|
|
|
|
|
Profit before
Income Tax |
221,162,411 |
287,618,212 |
362,181,781 |
|
Income Tax |
[47,997,395] |
[9,111,501] |
[61,351,316] |
|
|
|
|
|
|
Net Profit / [Loss] |
173,165,016 |
278,506,711 |
300,830,465 |
FINANCIAL
ANALYSIS
|
ITEM |
UNIT |
2014 |
2013 |
2012 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
1.14 |
1.21 |
1.18 |
|
QUICK RATIO |
TIMES |
0.79 |
0.86 |
0.67 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS
TURNOVER |
TIMES |
225.61 |
221.71 |
155.96 |
|
TOTAL ASSETS
TURNOVER |
TIMES |
6.49 |
5.71 |
6.09 |
|
INVENTORY
CONVERSION PERIOD |
DAYS |
14.01 |
16.28 |
23.43 |
|
INVENTORY TURNOVER |
TIMES |
26.06 |
22.42 |
15.58 |
|
RECEIVABLES
CONVERSION PERIOD |
DAYS |
32.13 |
39.86 |
26.66 |
|
RECEIVABLES
TURNOVER |
TIMES |
11.36 |
9.16 |
13.69 |
|
PAYABLES
CONVERSION PERIOD |
DAYS |
47.01 |
45.89 |
41.52 |
|
CASH CONVERSION
CYCLE |
DAYS |
(0.88) |
10.25 |
8.58 |
|
|
|
|
|
|
|
PROFITABILITY RATIO |
|
|
|
|
|
COST OF GOODS
SOLD |
% |
85.96 |
86.48 |
84.19 |
|
SELLING &
ADMINISTRATION |
% |
13.53 |
13.71 |
15.84 |
|
INTEREST |
% |
0.22 |
0.07 |
0.06 |
|
GROSS PROFIT MARGIN |
% |
14.55 |
14.71 |
17.09 |
|
NET PROFIT MARGIN
BEFORE EX. ITEM |
% |
0.84 |
1.00 |
1.25 |
|
NET PROFIT MARGIN |
% |
0.49 |
0.90 |
0.99 |
|
RETURN ON EQUITY |
% |
13.90 |
20.30 |
22.03 |
|
RETURN ON ASSET |
% |
3.17 |
5.17 |
6.00 |
|
EARNING PER SHARE |
BAHT |
43.29 |
69.63 |
75.21 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.77 |
0.75 |
0.73 |
|
DEBT TO EQUITY
RATIO |
TIMES |
3.38 |
2.93 |
2.67 |
|
TIME INTEREST
EARNED |
TIMES |
3.86 |
14.42 |
19.87 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
15.02 |
0.84 |
|
|
OPERATING PROFIT |
% |
(3.38) |
(18.96) |
|
|
NET PROFIT |
% |
(37.82) |
(7.42) |
|
|
FIXED ASSETS |
% |
13.03 |
(29.07) |
|
|
TOTAL ASSETS |
% |
1.25 |
7.58 |
|
ANNUAL
GROWTH : SATISFACTORY
An annual sales
growth is 15.02%. Turnover has increased from THB 30,780,787,640.00 in 2013 to
THB 35,405,226,308.00 in 2014. While net profit has decreased from THB
PROFITABILITY : SATISFACTORY
PROFITABILITY RATIO
|
Gross Profit
Margin |
14.55 |
Deteriorated |
Industrial Average |
223.03 |
|
Net Profit Margin |
0.49 |
Satisfactory |
Industrial Average |
0.51 |
|
Return on Assets |
3.17 |
Impressive |
Industrial Average |
2.09 |
|
Return on Equity |
13.90 |
Impressive |
Industrial Average |
5.90 |
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 14.55%. 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 0.49%. 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. Return on Assets ratio is 3.17%, higher figure when compared
with those of its average competitors in the same industry, indicated that
business was an efficient profit in a
dominant position within its industry.
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. Return on Equity ratio is 13.9%, higher figure
when compared with those of its average competitors in the same industry,
indicated that business was an efficient profit
in a dominant position within its industry.
Trend of the average competitors in the same
industry for last 5 years
Return on Assets Downtrend
Return on Equity Downtrend
LIQUIDITY : SATISFACTORY
LIQUIDITY RATIO
|
Current Ratio |
1.14 |
Satisfactory |
Industrial Average |
1.44 |
|
Quick Ratio |
0.79 |
|
|
|
|
Cash Conversion
Cycle |
(0.88) |
|
|
|
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 1.14 times in 2014,
decrease from 1.21 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 0.79 times in 2014, decrease from 0.86
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 -1 day.
Trend of the average competitors in the same
industry for last 5 years
Current Ratio Uptrend
LEVERAGE : ACCEPTABLE
LEVERAGE RATIO
|
Debt Ratio |
0.77 |
Acceptable |
Industrial Average |
0.67 |
|
Debt to Equity
Ratio |
3.38 |
Risky |
Industrial Average |
1.96 |
|
Times Interest
Earned |
3.86 |
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
3.86 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 0.77 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 Uptrend
Times Interest
Earned Stable
ACTIVITY : EXCELLENT
ACTIVITY RATIO
|
Fixed Assets
Turnover |
225.61 |
Impressive |
Industrial Average |
- |
|
Total Assets
Turnover |
6.49 |
Impressive |
Industrial Average |
4.10 |
|
Inventory
Conversion Period |
14.01 |
|
|
|
|
Inventory
Turnover |
26.06 |
Impressive |
Industrial Average |
8.07 |
|
Receivables
Conversion Period |
32.13 |
|
|
|
|
Receivables
Turnover |
11.36 |
Impressive |
Industrial Average |
6.74 |
|
Payables
Conversion Period |
47.01 |
|
|
|
The company's
Account Receivable Ratio is calculated as 11.36 and
Inventory Turnover
in Days Ratio indicates the liquidity of inventory. It estimates the number of
days that it will take to sell the current inventory. Inventory is particularly
sensitive to change in business activities. The inventory turnover in days has
decreased from 16 days at the end of 2013 to 14 days at the end of 2014. This
represents a positive trend. And Inventory turnover has increased from 22.42
times in year 2013 to 26.06 times in year 2014.
The company's Total
Asset Turnover is calculated as 6.49 times and 5.71 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
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.66.58 |
|
|
1 |
Rs.102.29 |
|
Euro |
1 |
Rs.74.71 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAR |
|
|
|
|
Report Prepared
by : |
ANK |
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.