MIRA INFORM REPORT
|
Report No. : |
342807 |
|
Report Date : |
29.09.2015 |
IDENTIFICATION DETAILS
|
Name : |
CHIA TAI SEEDS CO., LTD. |
|
|
|
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Registered Office : |
295-303 Songwad Road, Kwaeng Samphantawong, Khet Samphantawong, Bangkok 10100 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2014 |
|
|
|
|
Date of Incorporation : |
06.01.1989 |
|
|
|
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Com. Reg. No.: |
0105532001528 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Subject is engaged
in exporting wide
range of local
agricultural products, including agro-seeds [vegetable, fruit & flower], under
its name “CHIA
TAI” and others,
as well as
fertilizer and crop
protection products, e.g.
Insecticide, herbicide, fungicide, and acaridae. |
|
|
|
|
No. of Employees : |
20 |
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
CHIA TAI SEEDS CO., LTD.
SUMMARY
BUSINESS ADDRESS : 295-303
SONGWAD ROAD,
KWAENG SAMPHANTAWONG,
KHET SAMPHANTAWONG, BANGKOK
10100, THAILAND
TELEPHONE : [66] 2810-3043,
2233-8191, 2810-3031-7
FAX : [66] 2810-3044,
2237-1540
E-MAIL ADDRESS : chiatai@ksc.th.com
REGISTRATION ADDRESS : SAME AS BUSINESS
ADDRESS
ESTABLISHED : 1989
REGISTRATION NO. : 0105532001528
TAX ID NO. : 3101600735
CAPITAL REGISTERED : BHT.
5,000,000
CAPITAL PAID-UP : BHT.
5,000,000
SHAREHOLDER’S PROPORTION : THAI
: 100%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR.
MANAS CHIARAVANONT, THAI
PRESIDENT
NO. OF STAFF : 20
LINES OF BUSINESS : AGRICULTURAL PRODUCTS
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
6, 1989 as
a private limited
company under the registered name CHIA TAI SEEDS
CO., LTD., by Thai groups, with
the business objective to export
various local agricultural
products. It currently employs approximately
20 staff.
The subject is
a wholly owned
subsidiary of Chia
Tai Co., Ltd.,
and is also
a member of
Chia Tai Group
of companies.
The subject’s registered
address is 295-303
Songsawad Rd., Kwaeng
Samphanatawong, Khet
Samphantawong, Bangkok 10100, and
this is the
subject’s current operation address.
THE BOARD
OF DIRECTOR
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Dhanin Chearavanont |
|
Thai |
75 |
|
Mr. Wallop Chiaravanont |
|
Thai |
75 |
|
Mr. Pongthep Chiaravanont |
|
Thai |
64 |
|
Mr. Manu Chiaravanond |
|
Thai |
61 |
|
Mr. Manas Chiaravanond |
|
Thai |
59 |
|
Mr. Min Tienworn |
|
Thai |
78 |
AUTHORIZED PERSON
Any two of
the above directors
can jointly sign
on behalf of the subject
with company’s affixed.
MANAGEMENT
Mr. Manas Chiaravanont is
the President.
He is Thai
nationality with the
age of 59
years old.
Mr. Chaiphan Lippiwan is
the Assistant Vice
President.
He is Thai
nationality.
BUSINESS OPERATIONS
The subject is
engaged in exporting
wide range of
local agricultural products,
including agro-seeds [vegetable,
fruit & flower], under its
name “CHIA TAI”
and others, as
well as fertilizer
and crop protection
products, e.g. insecticide,
herbicide, fungicide, and
acaricide.
PURCHASE
100% of the
products is purchased
from Chia Tai
group of companies
and other local
suppliers.
MAJOR SUPPLIERS
Agro Chemical Industry
Co., Ltd.
South East Agricultural
Co., Ltd.
Chia Tai Produce
Co., Ltd.
Chia Tai Co., Ltd.
EXPORT
100% of the
products is exported to Republic of
China, India, Vietnam, Malaysia, Bangladesh,
United Kingdom, France, Germany, Russia, United States of
America, Africa, Sri Lanka,
Nepal, Philippines, Indonesia,
Myanmar, Laos, Cambodia,
and Pakistan.
MAJOR CUSTOMERS
Agro-Culture Trends [P]
Ltd. : Sri
Lanka
PT. BISI International : Indonesia
RELATED AND
AFFILIATED COMPANIES
Chia Tai Group
of companies, comprises
of:
Agro Chemical Industry
Co., Ltd.
Business Type :
Manufacturer and distributor
of crop protection
products
Choncharoen Farm Co.,
Ltd.
Business Type :
Operator of R & D
seed products
South East Agricultural
Co., Ltd.
Business Type :
Distributor of fertilizer & crop
protection products
Chia Tai Cultivation
Technology Co., Ltd.
Business Type :
Distributor of greenhouse
equipment & irrigation
system, and
consulting service
Chia Tai Produce
Co., Ltd.
Business Type :
Manufacturer and distributor of
vegetables and fruit
products
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
Local bills are
paid by cash
or on the
credits term of
30-60 days.
Exports are against
T/T.
BANKING
Kasikornbank Public Co.,
Ltd.
EMPLOYMENT
The subject employs
approximately 20 staff.
LOCATION DETAILS
The premise is owned
for administrative office
at the heading address. Premise is
located in commercial/residential area.
COMMENT
The company is
the pioneer company engaged in
the seed business
with the giant
C.P. Group. The company was established
exclusively as a seed
firm in Thailand.
The expansion and introduction
of modern agricultural
equipment, including a fully
equipped laboratory, where
research and development
are currently being conducted, has
contributed to bring
the seed business
on a parity
with the best
in the whole of
Southeast Asia. To maintain
and improve the highest quality standards, Chia
Tai works strenuously
in searching of new varieties,
either through its
own hybrid breeding
or in partnership
with research stations of
well-known international
companies, to develop
more suitable varieties
with higher yields for
various climatic conditions.
The company’s business
remains solid.
FINANCIAL INFORMATION
The capital was
registered at Bht. 1,000,000 divided
into 100,000 shares of Bht. 10
each with fully
paid.
On September 26,
2013, the capital
was increased to
Bht. 5,000,000 divided
into
500,000 of Bht. 10
each with fully
paid.
THE SHAREHOLDERS LISTED
WERE : [as
at April 30,
2015]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Chia Tai Co.,
Ltd. Nationality: Thai Address : 299-301 Songsawad Rd., Kwaeng Samphantawong, Khet
Samphantawong, Bangkok |
499,992 |
99.99 |
|
Mr. Wallop Chiaravanont Nationality: Thai Address : 1
Soi Pichaimontri, Phaholyothin Rd.,
Ladyao, Jatujak, Bangkok |
1 |
|
|
Mr. Jaran Chiaravanont Nationality: Thai Address : 10
Navathani Soi 8,
Sukhapiban Rd.,
Kannayao, Buengkum, Bangkok |
1 |
|
|
Mr. Montri Jiaravanont Nationality: Thai Address : 299-301
Songsawad Rd., Kwaeng Samphantawong, Khet
Samphantawong,
Bangkok |
1 |
= 0.01 |
|
Mr. Sumet Jiaravanon Nationality: Thai Address : 18/59
Wireless Rd., Lumpini,
Pathumwan, Bangkok |
1 |
|
|
Mr. Dhanin Chearavanont Nationality: Thai Address : 88 Moo 17, Bangpleeyai, Bangplee,
Samutprakarn |
1 |
|
|
Mr. Pongthep Chiaravanont Nationality: Thai Address : 45
Sukhumvit 55 Rd.,
Klongtonnua, Klongtoey, Bangkok |
1 |
|
|
Mr. Manu Chiaravanond Nationality: Thai Address : 193
Soi Sukhumvit 49,
Sukhumvit Rd.,
Klongton, Prakanong, Bangkok |
1 |
|
|
Mr. Manas Chiaravanond Nationality: Thai Address : 18/1-2
Soi Klang, Sukhumvit
Rd.,
Klongtonnua, Prakanong, Bangkok |
1 |
|
Total Shareholders : 9
Share Structure [as
at April 30,
2015]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
9 |
500,000 |
100.00 |
|
Foreign |
- |
- |
- |
|
Total |
9 |
500,000 |
100.00 |
NAME OF
AUDITOR & CERTIFIED
PUBLIC ACCOUNTANT NO. :
Mr. Santi Maneewong No.
6182
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 |
6,962,968.66 |
5,451,908.58 |
41,997,824.60 |
|
Short-term Investment |
50,000,000.00 |
20,000,000.00 |
10,000,000.00 |
|
Trade Accounts & Other Receivable |
161,785,311.40 |
160,295,795.98 |
121,651,391.95 |
|
Inventories |
123,400.00 |
1,198,758.15 |
445,167.89 |
|
Other Current Assets
|
1,776,912.66 |
1,522,900.41 |
1,164,034.66 |
|
|
|
|
|
|
Total Current Assets
|
220,648,592.72 |
188,469,363.12 |
175,258,419.10 |
|
|
|
|
|
|
Fixed Assets |
481,263.19 |
358,834.10 |
434,046.86 |
|
Other Non - current Assets |
371,223.18 |
656,758.72 |
360,099.79 |
|
Total Assets |
221,501,079.09 |
189,484,955.94 |
176,052,565.75 |
LIABILITIES &
SHAREHOLDERS’ EQUITY [BAHT]
|
Current
Liabilities |
2014 |
2013 |
2012 |
|
|
|
|
|
|
Trade Accounts & Other Payable |
29,045,919.19 |
7,413,423.77 |
6,385,415.88 |
|
Accrued Income Tax |
17,493,830.51 |
17,165,260.90 |
18,270,419.57 |
|
Other Current Liabilities |
7,433.81 |
16,263.94 |
14,188.57 |
|
|
|
|
|
|
Total Current Liabilities |
46,547,183.51 |
24,594,948.61 |
24,670,024.02 |
|
Employee Benefits Obligation |
1,614,153.00 |
1,390,791.00 |
- |
|
Total Liabilities |
48,161,336.51 |
25,985,739.61 |
24,670,024.02 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 10
value authorized and
issued share capital 500,000 shares
in 2014 & 2013; 100,000 shares
in 2012 |
5,000,000.00 |
5,000,000.00 |
1,000,000.00 |
|
|
|
|
|
|
Capital Paid |
5,000,000.00 |
5,000,000.00 |
1,000,000.00 |
|
Retained Earning |
|
|
|
|
Appropriated for statutory reserve |
500,000.00 |
500,000.00 |
100,000.00 |
|
Unappropriated |
167,839,742.58 |
158,399,216.33 |
150,282,541.73 |
|
Total Shareholders' Equity |
173,339,742.58 |
163,499,216.33 |
151,382,541.73 |
|
Total Liabilities &
Shareholders' Equity |
221,501,079.09 |
189,484,955.94 |
176,052,565.75 |
PROFIT &
LOSS ACCOUNT
|
Revenue |
2014 |
2013 |
2012 |
|
|
|
|
|
|
Sales |
805,424,648.53 |
733,375,332.02 |
702,757,149.71 |
|
Other Income |
7,454,731.91 |
14,781,897.75 |
5,374,827.62 |
|
Total Revenues |
812,879,380.44 |
748,157,229.77 |
708,131,977.33 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold |
641,836,810.56 |
581,213,614.74 |
539,813,325.16 |
|
Selling Expenses |
31,441,014.30 |
28,023,863.85 |
31,317,767.96 |
|
Administrative Expenses |
2,246,366.58 |
3,433,056.09 |
2,541,785.71 |
|
Total Expenses |
675,524,191.44 |
612,670,534.68 |
573,672,878.83 |
|
|
|
|
|
|
Profit /[Loss] before Financial Expenses |
137,355,189.00 |
135,486,695.09 |
134,459,098.50 |
|
Financial Expenses |
[3,171.68] |
- |
- |
|
Profit /[Loss] before Income Tax |
137,352,017.32 |
135,486,695.09 |
134,459,098.50 |
|
Income Tax |
[27,511,491.07] |
[27,370,020.49] |
[30,921,334.52] |
|
Net Profit / [Loss] |
109,840,526.25 |
108,116,674.60 |
103,537,763.98 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2014 |
2013 |
2012 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
4.74 |
7.66 |
7.10 |
|
QUICK RATIO |
TIMES |
4.70 |
7.55 |
7.04 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
1,673.56 |
2,043.77 |
1,619.08 |
|
TOTAL ASSETS TURNOVER |
TIMES |
3.64 |
3.87 |
3.99 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
0.07 |
0.75 |
0.30 |
|
INVENTORY TURNOVER |
TIMES |
5,201.27 |
484.85 |
1,212.61 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
73.32 |
79.78 |
63.18 |
|
RECEIVABLES TURNOVER |
TIMES |
4.98 |
4.58 |
5.78 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
16.52 |
4.66 |
4.32 |
|
CASH CONVERSION CYCLE |
DAYS |
56.87 |
75.88 |
59.17 |
|
|
|
|
|
|
|
PROFITABILITY RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
79.69 |
79.25 |
76.81 |
|
SELLING & ADMINISTRATION |
% |
4.18 |
4.29 |
4.82 |
|
INTEREST |
% |
0.00 |
- |
- |
|
GROSS PROFIT MARGIN |
% |
21.24 |
22.76 |
23.95 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
17.05 |
18.47 |
19.13 |
|
NET PROFIT MARGIN |
% |
13.64 |
14.74 |
14.73 |
|
RETURN ON EQUITY |
% |
63.37 |
66.13 |
68.39 |
|
RETURN ON ASSET |
% |
49.59 |
57.06 |
58.81 |
|
EARNING PER SHARE |
BAHT |
219.68 |
216.23 |
1,035.38 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.22 |
0.14 |
0.14 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.28 |
0.16 |
0.16 |
|
TIME INTEREST EARNED |
TIMES |
43,306.76 |
- |
- |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
9.82 |
4.36 |
|
|
OPERATING PROFIT |
% |
1.38 |
0.76 |
|
|
NET PROFIT |
% |
1.59 |
4.42 |
|
|
FIXED ASSETS |
% |
34.12 |
(17.33) |
|
|
TOTAL ASSETS |
% |
16.90 |
7.63 |
|
ANNUAL GROWTH :
EXCELLENT
An annual sales growth is 9.82%. Turnover has increased from THB
PROFITABILITY :
IMPRESSIVE
PROFITABILITY
RATIO
|
Gross Profit Margin |
21.24 |
Satisfactory |
Industrial Average |
24.97 |
|
Net Profit Margin |
13.64 |
Impressive |
Industrial Average |
1.87 |
|
Return on Assets |
49.59 |
Impressive |
Industrial Average |
3.31 |
|
Return on Equity |
63.37 |
Impressive |
Industrial Average |
9.82 |
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 21.24%. 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 13.64%, higher figure when compared with
those of its average competitors in the same industry, indicated that business
was an efficient operator in a dominant
position within its industry.
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
49.59%, 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 63.37%, 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 Uptrend
Return on Equity Uptrend
LIQUIDITY :
IMPRESSIVE
LIQUIDITY RATIO
|
Current Ratio |
4.74 |
Impressive |
Industrial Average |
1.26 |
|
Quick Ratio |
4.70 |
|
|
|
|
Cash Conversion Cycle |
56.87 |
|
|
|
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 4.74 times in 2014, decreased from 7.66 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 4.7 times in 2014,
decreased from 7.55 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 57 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 |
2.34 |
|
Times Interest Earned |
43,306.76 |
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 43306.77 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 : EXCELLENT
ACTIVITY RATIO
|
Fixed Assets Turnover |
1,673.56 |
Impressive |
Industrial Average |
- |
|
Total Assets Turnover |
3.64 |
Impressive |
Industrial Average |
1.76 |
|
Inventory Conversion Period |
0.07 |
|
|
|
|
Inventory Turnover |
5,201.27 |
Impressive |
Industrial Average |
6.04 |
|
Receivables Conversion Period |
73.32 |
|
|
|
|
Receivables Turnover |
4.98 |
Impressive |
Industrial Average |
4.50 |
|
Payables Conversion Period |
16.52 |
|
|
|
The company's Account Receivable Ratio is calculated as 4.98 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 1 day at the end
of 2013 to 0 day at the end of 2014. This represents a positive trend. And
Inventory turnover has increased from 484.85 times in year 2013 to 5201.27
times in year 2014.
The company's Total Asset Turnover is calculated as 3.64 times and 3.87
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 Uptrend
Receivables Turnover Uptrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.66.08 |
|
|
1 |
Rs.100.32 |
|
Euro |
1 |
Rs.73.81 |
INFORMATION DETAILS
|
Analysis Done by
: |
KIN |
|
|
|
|
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.