MIRA INFORM REPORT
|
Report No. : |
341995 |
|
Report Date : |
25.09.2015 |
IDENTIFICATION DETAILS
|
Name : |
INDEX INTERFURN CO., LTD. |
|
|
|
|
Registered Office : |
143
Soi Rama 2
Soi 50, Rama
2 Road, Samaedam,
Bangkhunthien, |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2014 |
|
|
|
|
Date of Incorporation : |
01.07.2009 |
|
|
|
|
Com. Reg. No.: |
0105552064096 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Subject is engaged
in design, manufacturing and
servicing of various kinds
of home & office furniture |
|
|
|
|
No. of Employees : |
1600 |
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 |
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
INDEX
INTERFURN CO., LTD.
SUMMARY
BUSINESS
ADDRESS : 143
SOI RAMA 2
SOI 50, RAMA
2 ROAD,
SAMAEDAM, BANGKHUNTHIEN,
BANGKOK 10150,
THAILAND
TELEPHONE : [66] 2415-0077,
2898-4488
FAX :
[66] 2415-7399,
2415-3883, 2898-4411
E-MAIL
ADDRESS : info@index-interfurn.com
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 2009
REGISTRATION
NO. : 0105552064096
TAX
ID NO. : 3033516449
CAPITAL REGISTERED : BHT. 960,000,000
CAPITAL PAID-UP : BHT.
960,000,000
SHAREHOLDER’S PROPORTION : THAI :
100%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR.
PISITH PATAMASATAYASONTHI, THAI
PRESIDENT &
CHIEF EXECUTIVE OFFICER
NO.
OF STAFF : 1,600
LINES
OF BUSINESS : HOME
AND OFFICE FURNITURE
MANUFACTURER, 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 July 1, 2009
as a private
limited company under
the name style
INDEX INTERFURN CO., LTD.,
by Thai groups.
It was set
up under the
merger among 4
companies, named “Index
Interfurn Co., Ltd.”, registration
number 0105526037184, “Bangkok Home
Plus Co., Ltd.”, registration
number 0105543055829, “Bangkok Cabinet Co., Ltd.”,
registration number 0105532107784, and “Bangkok Furnitech
Co., Ltd.”, registration
number 0105532107750, in
order to manufacture
and service various
styles of home
and office furniture
to both domestic
and international markets.
It currently employs
approximately 1,600 staff.
Presently,
the subject is a
wholly owned subsidiary
of Index Living
Mall Co., Ltd.
The subject’s registered
address was initially
at 43/13 Moo
7, Soi Rama
2 Soi 50, Rama
2 Rd., Samaedam,
Bangkhunthien, Bangkok 10150.
On
May 7, 2010, subject’s
registered address number
was changed to
143 Soi Rama
2 Soi 50, Rama 2 Rd.,
Samaedam, Bangkhunthien,
Bangkok 10150, by
the Bangkhunthien District
Office, and this
is the subject’s
current operation address.
THE BOARD
OF DIRECTOR
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Pisith Patamasatayasonthi |
[x] |
Thai |
67 |
|
Mrs. Kunthong Udommahuntisuk |
[x] |
Thai |
62 |
|
Ms. Kridchanok [Jarintorn]
Patamasatayasonthi |
|
Thai |
39 |
|
Ms. Pichapim Patamasatayasonthi |
|
Thai |
37 |
|
Mr. Ekalak Patamasatayasonthi |
|
Thai |
35 |
|
Mr. Ekaridhi Patamasatayasonthi |
|
Thai |
30 |
|
Mr. Yingyos Udommahuntisuk |
[x] |
Thai |
65 |
|
Mr. Piriya Boonkittiwattana |
[x] |
Thai |
54 |
|
Mr. Prasan Hantanasiriskul |
[x] |
Thai |
59 |
|
Mr. Yossapon Srisatit |
[x] |
Thai |
- |
*Ms. Jarintorn Patamasatayasonthi changed
her name to Ms.
Kridchanok
on September
11, 2012.
AUTHORIZED PERSON
Any two of
the mentioned directors
[x] can jointly sign
on behalf of
the subject with
company’s affixed.
MANAGEMENT
Mr. Pisith Patamasatayasonthi is
the President & Chief Executive
Officer.
He is Thai nationality
with the age
of 67 years
old.
Mrs. Kunthong Udommahuntisuk is
the Vice President.
She is Thai
nationality with the
age of 62
years old.
Ms. Pichapim Patamasatayasonthi is
the Vice President [Export].
She is Thai
nationality with the
age of 37
years old.
Mr. Piriya Boonkittiwattana is
the Managing Director.
He is Thai
nationality with the
age of 54
years old.
Mr. Nopporn Duangjinda is
the Factory Manager.
He is Thai
nationality.
Mrs. Jitranan Kraithaisongcharas is
the Human Resources
Manager.
She is Thai
nationality.
BUSINESS OPERATIONS
The subject
is engaged in
design, manufacturing and
servicing various kinds
of home & office furniture under
its own brands and
customers’ brands, which
can be divided
into 10 main products as
follows:
1.
Bed room: beds, nigh
tables, wardrobes, dressing tables,
chest of drawers,
mirror, & bedroom
series.
2.
Living room: coffee tables,
side tables, nesting
tables, console tables,
sideboards, chest of drawers,
show cabinets, high
cabinets, low cabinets,
TV cabinets, shelves & bookcases, sofa,
and living series.
3.
Dining room: dining tables, dining chairs, buffet cabinets, high bar
tables, high bar
stools and dining
sets.
4.
Home
office: computer/working tables,
office chairs, shelves &
bookcases, pedestals, and
home office series.
5.
Kids furniture: beds, night tables, wardrobes, mirror, low
cabinets, chest of drawers, TV
tables, tables, chairs,
shelves & bookcases,
kids series.
6.
Occasional outdoors: tables & chairs.
7.
Cash
& carry: cloth & hangers, stools,
shoe hangers, shoe
cabinets, shelves/ cabinets.
8.
Kitchen room: compact kitchen
sets and kitchen
trolleys.
9.
Mattress:
mattresses & bedding
accessories.
10. Office
furniture: office
cabinets, cabinets and
working series.
BRAND NAMES
Index group’s brands :
INDEX, WINNER, THERAFLEX,
TREND DESIGN &
LOGICA.
PURCHASE
Raw materials and
accessories are purchased from suppliers in
both domestic and
overseas, mainly Japan, Taiwan,
Republic of China, Malaysia,
Hong Kong, Singapore, Italy
and Germany.
MAJOR SUPPLIERS
Sahaviriya
Steel Industries Public
Company Limited :
Thailand
Thai
Plywood Co., Ltd. : Thailand
Vanachai
group : Thailand
SALES [LOCAL]
20% of the
products is sold
locally by wholesale
through Index Living
Mall Co., Ltd.
EXPORT
80% of the
products is exported
to Australia, New
Zealand, Canada, Mexico,
Russia and the countries in
Asia, Europe, Africa, North
America, Central America, South America
and Middle East
regions such as
U.A.E., Oman, Qatar,
Saudi Arabia and
Bahrain.
MAJOR CUSTOMERS
Pangea Imports Inc. : U.S.A.
Furniture Resource Inc. : U.S.A.
RELATED AND
AFFILIATED COMPANIES
The Index group
of companies:
Bangkok Casa Co.,
Ltd.
Business Type :
Distributor of furniture
products
Bangkok Business Co.,
Ltd.
Business Type :
Accounting business in
affiliated companies
Bangkok Sunyo Spring
Co., Ltd.
Business Type :
Manufacturer and distributor
of rubber wood
furniture
Bangkok Masterwood Co.,
Ltd.
Business Type : Manufacturer
and distributor of
rubber wood furniture
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 by cash
or on the
credits term of
30-60 days.
Imports are by
L/C at sight.
Exports are against
T/T.
BANKING
Kasikornbank
Public Co., Ltd.
Bangkok
Bank Public Co.,
Ltd.
Bank
of Ayudhya Public
Co., Ltd.
EMPLOYMENT
The
subject employs approximately
1,600 staff.
LOCATION DETAILS
The
premise is owned
for administrative office
at the heading
address. Premise is located
in commercial/residential area.
Factory
and warehouse are
located at 18/1-2, 18/4, 18/10 Moo 4, Rama
2 Rd., T. Nadee,
A. Muang, Samutsakorn 74000.
Tel. : [66] 34 833-413,
Fax. : [66] 34 833-400.
Other
warehouse is located
at 99-99/1-2 Moo
5, Ekachai Rd.,
T. Kokam,
A. Muang,
Samutsakorn 74000.
COMMENT
Index
Interfurn is one of the leading and most distinguished furniture
manufacturers in Thailand. For over 35 years, it has dedicated to provide the
best quality products
for domestic and
overseas markets.
Today Index Interfurn products has been
exported worldwide to over
100 countries including Asia, Europe, North America,
Central America, South America, Australia, New Zealand, Middle East
and Africa.
The
company has not
been seriously affected
by the sluggish
economy. Its slightly
slow performance is
expected to be
only short term
period which after
stimulus plans from
government to push
up construction of
underground train, more
resident construction project
will be emerged
along the way
following with increasing
demand of household
furniture and decoration
products.
FINANCIAL INFORMATION
The
capital was registered
at Bht. 960,000,000 divided
into 9,600,000 shares
of Bht. 100
each with fully
paid.
THE SHAREHOLDERS
LISTED WERE
[as
at September 1,
2015]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Index Living Mall
Co., Ltd. Nationality: Thai Address : 147
Soi Rama 2
Soi 50, Rama
2 Rd., Samaedam, Bangkhunthien, Bangkok |
9,599,996 |
99.99 |
|
Ms. Kridchanok
Patamasatayasonthi Nationality: Thai Address : 143
Soi Rama 2
Soi 50, Rama
2 Rd.,
Samaedam, Bangkhunthien, Bangkok |
1 |
|
|
Ms. Pichapim Patamasatayasonthi Nationality: Thai Address : 143
Soi Rama 2
Soi 50, Rama
2 Rd.,
Samaedam, Bangkhunthien, Bangkok |
1 |
=0.01 |
|
Mr. Ekaridhi
Patamasatayasonthi Nationality: Thai Address : 143
Soi Rama 2 Soi
50, Rama 2
Rd.,
Samaedam, Bangkhunthien, Bangkok |
1 |
|
|
Mr. Ekalak Patamasatayasonthi Nationality: Thai Address : 143
Soi Rama 2
Soi 50, Rama
2 Rd.,
Samaedam, Bangkhunthien, Bangkok |
1 |
|
Total Shareholders : 5
Share Structure [as
at September 1,
2015]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
5 |
9,600,000 |
100.00 |
|
Foreign |
- |
- |
- |
|
Total |
5 |
9,600,000 |
100.00 |
NAME OF
AUDITOR & CERTIFIED
PUBLIC ACCOUNTANT NO.
Mrs. Amporn Sotethisaowapark No.
3486
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 |
114,595,845.96 |
77,750,506.43 |
82,894,837.91 |
|
Short-term Investment |
40,000,000.00 |
- |
180,000,000.00 |
|
Trade Accounts &
Other Receivable |
441,998,060.99 |
605,095,362.56 |
588,143,111.44 |
|
Short-term Lending |
330,000,000.00 |
400,000,000.00 |
100,000,000.00 |
|
Inventories |
164,628,334.00 |
230,342,119.11 |
543,878,140.26 |
|
|
|
|
|
|
Total Current Assets
|
1,091,222,240.95 |
1,313,187,988.10 |
1,494,916,089.61 |
|
Cash at Bank pledged as a
Collateral |
19,013,326.03 |
18,570,221.41 |
18,077,648.69 |
|
Investment for Sale |
50,984,709.97 |
128,900,857.16 |
20,156,150.73 |
|
Investment in Associated
Company |
202,019,800.00 |
202,019,800.00 |
202,019,800.00 |
|
Other Long-term Investment |
194,211,700.00 |
194,211,700.00 |
194,211,700.00 |
|
Fixed Assets |
713,522,067.25 |
850,264,094.83 |
971,852,261.71 |
|
Intangible Assets |
3,420,289.26 |
5,819,786.98 |
8,785,601.74 |
|
Other Non-current Assets |
475,036.45 |
854,076.45 |
880,876.45 |
|
Total Assets |
2,274,879,169.91 |
2,713,828,524.93 |
2,910,900,128.93 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2014 |
2013 |
2012 |
|
|
|
|
|
|
Bank Overdraft and Short-term Loan from Financial
institution |
648,441,971.32 |
720,649,383.99 |
818,751,686.60 |
|
Trade Accounts &
Other Payable |
507,911,650.60 |
742,411,050.41 |
687,160,032.38 |
|
Current Portion of Finance Lease Contract Payable |
2,151,584.52 |
1,305,363.19 |
312,702.53 |
|
Current Portion of Long-term Loan |
17,562,073.38 |
49,572,500.00 |
52,740,000.00 |
|
Accrued Income Tax |
- |
502,921.60 |
733,613.21 |
|
|
|
|
|
|
Total Current Liabilities |
1,176,067,279.82 |
1,514,441,219.19 |
1,559,698,034.72 |
|
Finance Lease Contract Payable,
net |
4,030,796.01 |
3,034,093.55 |
585,752.22 |
|
Other Long Term Loan
|
7,000,000.00 |
24,562,073.38 |
75,109,573.38 |
|
Employee Benefit Obligation |
21,800,364.00 |
21,163,664.00 |
21,009,971.00 |
|
Total Liabilities |
1,208,898,439.83 |
1,563,201,050.12 |
1,656,394,331.32 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized and issued share capital 9,600,000 shares |
960,000,000.00 |
960,000,000.00 |
960,000,000.00 |
|
|
|
|
|
|
Capital Paid |
960,000,000.00 |
960,000,000.00 |
960,000,000.00 |
|
Retained Earning Appropriated for Statutory Reserve |
49,400,000.00 |
47,400,000.00 |
46,400,000.00 |
|
Unappropriated |
56,563,745.59 |
151,490,052.55 |
247,949,646.88 |
|
Other Components of Shareholder’s Equity |
16,984.49 |
[8,262,577.74] |
156,150.73 |
|
Total Shareholders' Equity |
1,065,980,730.08 |
1,150,627,474.81 |
1,254,505,797.61 |
|
Total Liabilities & Shareholders' Equity |
2,274,879,169.91 |
2,713,828,524.93 |
2,910,900,128.93 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
2014 |
2013 |
2012 |
|
|
|
|
|
|
Sales Income |
2,943,191,616.96 |
2,952,142,604.96 |
2,989,758,622.37 |
|
Services Income |
74,978,675.52 |
102,846,989.55 |
98,717,112.99 |
|
Other Income |
28,614,700.90 |
59,738,000.07 |
56,384,055.09 |
|
Total Revenues |
3,046,784,993.38 |
3,114,727,594.58 |
3,144,859,790.45 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold |
2,761,640,630.77 |
2,799,459,230.61 |
2,848,607,451.39 |
|
Cost of Service |
36,813,402.14 |
56,539,073.09 |
57,025,097.59 |
|
Selling Expenses |
8,558,739.37 |
9,413,309.56 |
11,722,791.64 |
|
Administrative Expenses |
202,858,955.09 |
170,826,039.95 |
162,959,736.34 |
|
Total Expenses |
3,009,871,727.37 |
3,036,237,653.21 |
3,080,315,076.96 |
|
|
|
|
|
|
Profit before Finance Cost and Income Tax |
3,009,871,727.37 |
78,489,941.37 |
64,544,713.49 |
|
Finance Cost |
[26,924,313.53] |
[34,771,889.10] |
[41,398,231.86] |
|
|
|
|
|
|
Profit before Income Tax |
9,988,952.48 |
43,718,052.27 |
23,146,481.63 |
|
Income Tax |
[2,115,259.44] |
[4,777,646.60] |
[4,785,811.23] |
|
Net Profit / [Loss] |
7,873,693.04 |
38,940,405.67 |
18,360,670.40 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2014 |
2013 |
2012 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
0.93 |
0.87 |
0.96 |
|
QUICK RATIO |
TIMES |
0.78 |
0.71 |
0.60 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
4.23 |
3.59 |
3.18 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.33 |
1.13 |
1.06 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
21.47 |
29.44 |
68.32 |
|
INVENTORY TURNOVER |
TIMES |
17.00 |
12.40 |
5.34 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
53.45 |
72.29 |
69.51 |
|
RECEIVABLES TURNOVER |
TIMES |
6.83 |
5.05 |
5.25 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
66.25 |
94.88 |
86.32 |
|
CASH CONVERSION CYCLE |
DAYS |
8.68 |
6.85 |
51.51 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
92.72 |
93.49 |
94.08 |
|
SELLING & ADMINISTRATION |
% |
7.00 |
5.90 |
5.66 |
|
INTEREST |
% |
0.89 |
1.14 |
1.34 |
|
GROSS PROFIT MARGIN |
% |
8.23 |
8.47 |
7.75 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
1.22 |
2.57 |
2.09 |
|
NET PROFIT MARGIN |
% |
0.26 |
1.27 |
0.59 |
|
RETURN ON EQUITY |
% |
0.74 |
3.38 |
1.46 |
|
RETURN ON ASSET |
% |
0.35 |
1.43 |
0.63 |
|
EARNING PER SHARE |
BAHT |
0.82 |
4.06 |
1.91 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.53 |
0.58 |
0.57 |
|
DEBT TO EQUITY RATIO |
TIMES |
1.13 |
1.36 |
1.32 |
|
TIME INTEREST EARNED |
TIMES |
1.37 |
2.26 |
1.56 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
(1.21) |
(1.08) |
|
|
OPERATING PROFIT |
% |
(52.97) |
21.61 |
|
|
NET PROFIT |
% |
(79.78) |
112.09 |
|
|
FIXED ASSETS |
% |
(16.08) |
(12.51) |
|
|
TOTAL ASSETS |
% |
(16.17) |
(6.77) |
|
ANNUAL GROWTH :
RISKY
An annual sales growth is -1.21%. Turnover has decreased from THB
PROFITABILITY :
ACCEPTABLE
PROFITABILITY
RATIO
|
Gross Profit Margin |
8.23 |
Impressive |
Industrial
Average |
1.77 |
|
Net Profit Margin |
0.26 |
Deteriorated |
Industrial
Average |
1.89 |
|
Return on Assets |
0.35 |
Deteriorated |
Industrial
Average |
2.83 |
|
Return on Equity |
0.74 |
Deteriorated |
Industrial
Average |
6.45 |
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 8.23%. 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 0.26%.
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 0.35%.
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 0.74%.
Trend of the
average competitors in the same industry for last 5 years
Return on Assets Uptrend
Return on Equity Uptrend
LIQUIDITY :
ACCEPTABLE
LIQUIDITY RATIO
|
Current Ratio |
0.93 |
Risky |
Industrial
Average |
1.34 |
|
Quick Ratio |
0.78 |
|
|
|
|
Cash Conversion Cycle |
8.68 |
|
|
|
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 0.93 times in 2014, increased from 0.87 times, then the company may
have problems meeting its short-term obligations. 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 0.78 times in 2014,
increased from 0.71 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 9 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE :
ACCEPTABLE
LEVERAGE RATIO
|
Debt Ratio |
0.53 |
Acceptable |
Industrial
Average |
0.52 |
|
Debt to Equity Ratio |
1.13 |
Risky |
Industrial
Average |
1.07 |
|
Times Interest Earned |
1.37 |
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 1.38 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 0.53 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 |
4.23 |
Impressive |
Industrial
Average |
- |
|
Total Assets Turnover |
1.33 |
Satisfactory |
Industrial
Average |
1.50 |
|
Inventory Conversion Period |
21.47 |
|
|
|
|
Inventory Turnover |
17.00 |
Impressive |
Industrial
Average |
4.39 |
|
Receivables Conversion Period |
53.45 |
|
|
|
|
Receivables Turnover |
6.83 |
Impressive |
Industrial
Average |
4.41 |
|
Payables Conversion Period |
66.25 |
|
|
|
The company's Account Receivable Ratio is calculated as 6.83 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 29 days at the
end of 2013 to 21 days at the end of 2014. This represents a positive trend.
And Inventory turnover has increased from 12.4 times in year 2013 to 17 times
in year 2014.
The company's Total Asset Turnover is calculated as 1.33 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 Uptrend
Inventory Turnover Uptrend
Receivables Turnover Uptrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.66.10 |
|
UK Pound |
1 |
Rs.100.89 |
|
Euro |
1 |
Rs.73.96 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAS |
|
|
|
|
Report Prepared
by : |
TRU |
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.