MIRA INFORM REPORT

 

 

Report No. :

504939

Report Date :

25.04.2018

 

 

 

IDENTIFICATION DETAILS

 

Name :

FASTENAL SINGAPORE PTE LTD        

 

 

Registered Office :

10, Pandan Crescent, 05-02, 128466

 

 

Country :

Singapore

 

 

Financials (as on) :

31.12.2016

 

 

Date of Incorporation :

27.04.2001

 

 

Com. Reg. No.:

200102787N

 

 

Legal Form :

Private limited (limited by share)

 

 

Line of Business :

Subject is engaged in the trading of fasteners, nuts, bolts, screws, industrial equipment and others.

 

 

No. of Employees :

25

 

 

RATING & COMMENTS

(Mira Inform has adopted New Rating mechanism w.e.f. 23rd January 2017)

 

MIRA’s Rating :

A

 

Credit Rating

Explanation

Rating Comments

A

Acceptable Risk

Business dealings permissible with moderate risk of default

 

Status :

Good

 

 

Payment Behaviour :

Regular

 

 

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

 

Country Name

Previous Rating

(30.09.2017)

Current Rating

(31.12.2017)

Singapore

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low Risk

 

A2

Moderately Low Risk

 

B1

Moderate Risk

 

B2

Moderately High Risk

 

C1

High Risk

 

C2

Very High Risk

 

D

 

 

SINGAPORE - ECONOMIC OVERVIEW

 

Singapore has a highly developed and successful free-market economy. It enjoys a remarkably open and corruption-free environment, stable prices, and a per capita GDP higher than that of most developed countries. Unemployment is very low. The economy depends heavily on exports, particularly of electronics, petroleum products, chemicals, medical and optical devices, pharmaceuticals, and on Singapore’s vibrant transportation, business, and financial services sectors.

The economy contracted 0.6% in 2009 as a result of the global financial crisis, but has continued to grow since 2010. Growth from 2012-2017 was slower than during the previous decade, a result of slowing structural growth - as Singapore reached high-income levels - and soft global demand for exports. Growth recovered to 3.6% in 2017 with a strengthening global economy.

The government is attempting to restructure Singapore’s economy to reduce its dependence on foreign labor, raise productivity growth, and increase wages amid slowing labor force growth and an aging population. Singapore has attracted major investments in advanced manufacturing, pharmaceuticals, and medical technology production and will continue efforts to strengthen its position as Southeast Asia's leading financial and technology hub. Singapore is a signatory of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), and a party to the Regional Comprehensive Economic Partnership (RCEP) negotiations with nine other ASEAN members plus Australia, China, India, Japan, South Korea, and New Zealand. In 2015, Singapore formed, with the other ASEAN members, the ASEAN Economic Community.

 

Source : CIA

 

EXECUTIVE SUMMARY

 

 

REGISTRATION NO.

:

200102787N

COMPANY NAME

:

FASTENAL SINGAPORE PTE LTD       

FORMER NAME

:

N/A

INCORPORATION DATE

:

27/04/2001

COMPANY STATUS

:

EXIST

LEGAL FORM

:

PRIVATE LIMITED (LIMITED BY SHARE)

LISTED STATUS

:

NO

REGISTERED ADDRESS

:

10, PANDAN CRESCENT, 05-02, 128466, SINGAPORE.

BUSINESS ADDRESS

:

10, PANDAN CRESCENT, 05-02, UE TECH PARK, 128466, SINGAPORE.

TEL.NO.

:

65-62722524

FAX.NO.

:

65-62725366

EMAIL

:

SALESSINGAPORE@FASTENAL.COM

WEB SITE

:

WWW.FASTENAL.COM

CONTACT PERSON

:

LIM TIONG BENG ( DIRECTOR )

PRINCIPAL ACTIVITY

:

TRADING OF FASTENERS, NUTS, BOLTS, SCREWS, INDUSTRIAL EQUIPMENT AND OTHERS

ISSUED AND PAID UP CAPITAL

:

100,002.00 ORDINARY SHARE, OF A VALUE OF SGD 100,002.00

SALES

:

SGD 11,641,650 [2016]

NET WORTH

:

SGD 19,237,632 [2016]

STAFF STRENGTH

:

25 [2018]

LITIGATION

:

CLEAR

FINANCIAL CONDITION

:

STRONG

PAYMENT

:

REGULAR

MANAGEMENT CAPABILITY

:

AVERAGE

COMMERCIAL RISK

:

LOW

CURRENCY EXPOSURE

:

MODERATE

GENERAL REPUTATION

:

SATISFACTORY

INDUSTRY OUTLOOK

:

MARGINAL GROWTH

 

 

HISTORY / BACKGROUND

 

The Subject is a private limited company and is allowed to have a minimum of one and a maximum of forty-nine shareholders. As a private limited company, the Subject must have at least two directors. A private limited company is a separate legal entity from its shareholders. As a separate legal entity, the Subject is capable of owning assets, entering into contracts, sue or be sued by other companies. The liabilities of the shareholders are to the extent of the equity they have taken up and the creditors cannot claim on shareholders' personal assets even if the Subject is insolvent. The Subject is governed by the Companies Act and the company must file its annual returns, together with its financial statements with the Registrar of Companies.

The Subject is principally engaged in the (as a / as an) trading of fasteners, nuts, bolts, screws, industrial equipment and others.

 

The immediate holding company of the Subject is FASTENAL NETHERLANDS HOLDINGS B.V., a company incorporated in NETHERLANDS.

The ultimate holding company of the Subject is FASTENAL COMPANY, a company incorporated in UNITED STATES.

 

Share Capital History

Date

Issue & Paid Up Capital

20/04/2018

SGD 100,002.00

 

The major shareholder(s) of the Subject are shown as follows :


Current Shareholder(s) :

Name

Address

IC/PP/Loc No

Shareholding

(%)

FASTENAL NETHERLANDS HOLDINGS B.V.

BUNSENSTRAAT 3, 3316GC, DORDRECHT NETHERLANDS

T15UF5905

100,002.00

100.00

---------------

------

100,002.00

100.00

============

=====

+ Also Director



DIRECTORS


DIRECTOR 1

 

Name Of Subject

:

HOLDEN LEWIS

Address

:

603, 5TH AVENUE SW, ROCHESTER, MINNESOTA, 55902, UNITED STATES.

Other Address(es)

:

999 FOXWOODS COURT SW, ROCHESTER, MINNESOTA 55902 UNITED STATES OF AMERICA

IC / PP No

:

529264865

Nationality

:

AMERICAN

Date of Appointment

:

26/10/2016



INTEREST CHECK

Interest in companies

:

see below

Interest in business

:

none in our databank

Former interest

:

none in our databank

 

INTEREST IN COMPANY

No

Local No

Company

Designation

App Date

Shareholding

Profit/(loss) After Tax

Financial Year

Status

As At

No.

%

1

858707U

FASTENAL MALAYSIA SDN. BHD.

Director

01/11/2016

0.00

-

MYR2,437,016.00

2016

-

26/03/2018

2

200102787N

FASTENAL SINGAPORE PTE LTD

Director

26/10/2016

0.00

-

SGD1,286,726.00

2016

-

20/04/2018

 

DIRECTOR 2

 

Name Of Subject

:

JEFFERY MICHAEL WATTS

Address

:

48, LAUREL CRES, INGERSOLL, ON, N5C 3 S4, CANADA.

IC / PP No

:

QM231556

Nationality

:

CANADIAN

Date of Appointment

:

01/05/2015



INTEREST CHECK

Interest in companies

:

see below

Interest in business

:

none in our databank

Former interest

:

none in our databank

INTEREST IN COMPANY

No

Local No

Company

Designation

App Date

Shareholding

Profit/(loss) After Tax

Financial Year

Status

As At

No.

%

1

858707U

FASTENAL MALAYSIA SDN. BHD.

Director

26/05/2015

0.00

-

MYR2,437,016.00

2016

-

26/03/2018

2

200102787N

FASTENAL SINGAPORE PTE LTD

Director

01/05/2015

0.00

-

SGD1,286,726.00

2016

-

20/04/2018

 

 

 

DIRECTOR 3

 

Name Of Subject

:

RICHARD JAMES HEDSTROM

Address

:

70557, 206TH AVE, READS LANDING, MN, 55968, UNITED STATES.

IC / PP No

:

505742470

Nationality

:

AMERICAN

Date of Appointment

:

22/05/2013



INTEREST CHECK

Interest in companies

:

see below

Interest in business

:

none in our databank

Former interest

:

none in our databank

INTEREST IN COMPANY

No

Local No

Company

Designation

App Date

Shareholding

Profit/(loss) After Tax

Financial Year

Status

As At

No.

%

1

200102787N

FASTENAL SINGAPORE PTE LTD

Director

22/05/2013

0.00

-

SGD1,286,726.00

2016

-

20/04/2018

 

DIRECTOR 4

 

Name Of Subject

:

DANEIL LARS FLORNESS

Address

:

1215, SPRING BROOK DRIVE, WINONA, MINNESOTA, 55987-9559, UNITED STATES.

IC / PP No

:

531666737

Nationality

:

AMERICAN

Date of Appointment

:

18/06/2001



INTEREST CHECK

Interest in companies

:

see below

Interest in business

:

none in our databank

Former interest

:

none in our databank

INTEREST IN COMPANY

No

Local No

Company

Designation

App Date

Shareholding

Profit/(loss) After Tax

Financial Year

Status

As At

No.

%

1

858707U

FASTENAL MALAYSIA SDN. BHD.

Director

16/06/2009

0.00

-

MYR2,437,016.00

2016

-

26/03/2018

2

200102787N

FASTENAL SINGAPORE PTE LTD

Director

18/06/2001

0.00

-

SGD1,286,726.00

2016

-

20/04/2018

 

DIRECTOR 5

 

Name Of Subject

:

LIM TIONG BENG

Address

:

2, GUOK AVENUE, 119632, SINGAPORE.

IC / PP No

:

S1073678A

Nationality

:

SINGAPOREAN

Date of Appointment

:

18/06/2001



INTEREST CHECK

Interest in companies

:

see below

Interest in business

:

none in our databank

Former interest

:

none in our databank

INTEREST IN COMPANY

No

Local No

Company

Designation

App Date

Shareholding

Profit/(loss) After Tax

Financial Year

Status

As At

No.

%

1

200812961R

ALMENDRA PTE. LTD.

Director

14/02/2011

0.00

-

SGD(3,034,988.00)

2013

-

25/11/2014

2

201006128H

CCD (SINGAPORE) PTE. LTD.

Director

23/03/2010

0.00

-

USD(5,786,422.00)

2015

-

17/01/2017

3

T09FC0031A

DEEPOCEAN 1 UK LIMITED SINGAPORE BRANCH

Secretary

26/03/2009

0.00

-

SGD133,962.00

2011

-

29/03/2013

4

199707495K

DINOWIC PTE LTD

Director

05/02/2010

0.00

-

USD1,744,297.00

2015

-

21/02/2017

5

201130570D

EXTRON ELECTRONICS ASIA PTE. LTD.

Director

11/10/2011

0.00

-

USD27,804.00

2016

-

11/12/2017

6

995372U

EXTRON ELECTRONICS ASIA PTE. LTD.

Director

18/05/2012

0.00

-

MYR(125,803.00)

2016

-

26/03/2018

7

200102787N

FASTENAL SINGAPORE PTE LTD

Director

18/06/2001

0.00

-

SGD1,286,726.00

2016

-

20/04/2018

8

993981D

FEI COMPANY OF USA (S.E.A) PTE LTD

Director

24/02/2006

0.00

-

MYR45,167.00

2015

-

26/03/2018

9

199905328N

FEI COMPANY OF USA (S.E.A.) PTE LTD

Director

24/02/2006

0.00

-

SGD922,675.00

2014

-

08/07/2016

10

S87FC3728J

FLUOR DANIEL ENGINEERS & CONSTRUCTORS, LTD.

Secretary

05/11/2004

0.00

-

SGD3,623,064.00

2013

-

18/06/2015

11

201215854N

INFRATECH INDUSTRIES PTE. LTD.

Director

27/06/2012

0.00

-

-

2016

-

13/04/2015

12

200706745H

JBF GLOBAL PTE. LTD.

Director

20/04/2007

0.00

-

USD(11,682,569.00)

2015

-

14/12/2015

13

201435082W

JBF TRADE INVEST PTE. LTD.

Director

25/11/2014

0.00

-

USD(3,966.00)

2015

-

16/12/2015

14

201708444M

JIAXIANG ENERGY HOLDING PTE. LTD.

Director

27/03/2017

0.00

-

-

2015

-

05/02/2018

15

201330186K

JSW INTERNATIONAL TRADECORP PTE. LTD.

Director

08/11/2013

0.00

-

USD11,857,351.00

2017

-

05/12/2017

16

200800596Z

MAGOTTEAUX SINGAPORE PRIVATE LIMITED

Director

08/01/2008

0.00

-

USD205,660.00

2016

-

05/10/2017

17

201323434Z

NEW WORLD FASHION PTE. LTD.

Director

30/08/2013

0.00

-

-

2016

-

04/10/2017

18

995449K

SOUTHEAST ASIAN EXPLORATION PTE. LTD.

Director

07/06/2013

0.00

-

-

2016

-

26/03/2018

19

201431331C

SPORT RETAIL GROUP PTE. LTD.

Director

20/10/2014

0.00

-

USD83,971,000.00

2015

-

17/10/2016

20

199000987M

TOSHIBA ELECTRONICS ASIA (SINGAPORE) PTE. LTD.

Secretary

01/01/2005

0.00

-

USD34,665,000.00

2016

-

08/07/2016



MANAGEMENT

 

 

1)

Name of Subject

:

LIM TIONG BENG

Position

:

DIRECTOR

 

 

AUDITOR

 

Auditor

:

RSM CHIO LIM LLP

Auditor' Address

:

N/A

 

 

COMPANY SECRETARIES

 

1)

Company Secretary

:

JULIANA LOH JOO HUI

IC / PP No

:

S2558149J

Address

:

5000J, MARINE PARADE ROAD, 18-43, LAGOON VIEW, 449291, SINGAPORE.

 

 

BANKING


No Banker found in our databank.

 

ENCUMBRANCE (S)


No encumbrance was found in our databank at the time of investigation.

CIVIL LITIGATION CHECK - SUBJECT COMPANY AS A DEFENDANT


* A check has been conducted in our databank against the Subject whether the subject has been involved in any litigation.

No legal action was found in our databank.

No winding up petition was found in our databank.

 

PAYMENT RECORD

 

 

SOURCES OF RAW MATERIALS:

Local

:

YES

Overseas

:

YES



The Subject refused to provide any name of trade/service supplier and we are unable to conduct any trade enquiry. However, from financial historical data we conclude that :

OVERALL PAYMENT HABIT

Prompt 0-30 Days

[

]

Good 31-60 Days

[

]

Average 61-90 Days

[

X

]

Fair 91-120 Days

[

]

Poor >120 Days

[

]

 

 

CLIENTELE

 

Local

:

YES

Domestic Markets

:

SINGAPORE

Overseas

:

YES

Export Market

:

WORLDWIDE

Credit Term

:

N/A

Payment Mode

:

CHEQUES
TELEGRAPHIC TRANSFER (TT)

 

 

OPERATIONS

 

Goods Traded

:

FASTENERS, NUTS, BOLTS, SCREWS, INDUSTRIAL EQUIPMENT AND OTHERS

 

Total Number of Employees:

YEAR

2018

2016

GROUP

N/A

N/A

COMPANY

25

25

 

Branch

:

NO

Other Information:


The Subject is principally engaged in the (as a / as an) trading of fasteners, nuts, bolts, screws, industrial equipment and others.

The Subject is dealing with Abrasive Tools, Cutting Tools & Metalworking, Fasteners, Hydraulics, Pneumatics & Plumbing, Bolts , metal, non-turned and others.

The Subject sells the products based on customer's demands and requirement.


CURRENT INVESTIGATION

 

Latest fresh investigations carried out on the Subject indicated that :

Telephone Number Provided By Client

:

N/A

Current Telephone Number

:

65-62722524

Match

:

N/A

Address Provided by Client

:

10 PANDAN CRESCENT # 05-02 UE TECH PARK 128466 SINGAPORE

Current Address

:

10, PANDAN CRESCENT, 05-02, UE TECH PARK, 128466, SINGAPORE.

Match

:

YES

 

Other Investigations


We have contacted one of the staff from the Subject and she provided some information.

The Subject refused to disclose its bankers.


FINANCIAL ANALYSIS

 

 

Profitability

Turnover

:

Erratic

[

2012 - 2016

]

Profit/(Loss) Before Tax

:

Decreased

[

2012 - 2016

]

Return on Shareholder Funds

:

Unfavourable

[

6.69%

]

Return on Net Assets

:

Unfavourable

[

7.64%

]

The fluctuating turnover reflects the fierce competition among the existing and new market players.The dip in profit could be due to the stiff market competition which reduced the Subject's profit margin. The unfavourable return on shareholders' funds could indicate that the Subject was inefficient in utilising its assets to generate returns.

Working Capital Control

Stock Ratio

:

Unfavourable

[

101 Days

]

Debtor Ratio

:

Unfavourable

[

76 Days

]

Creditors Ratio

:

Favourable

[

14 Days

]

The Subject could be incurring higher holding cost. As its capital was tied up in stocks, it could face liquidity problems. The high debtors' ratio could indicate that the Subject was weak in its credit control. However, the Subject could also giving longer credit periods to its customers in order to boost its sales or to capture / retain its market share. The Subject had a favourable creditors' ratio where the Subject could be taking advantage of the cash discounts and also wanting to maintain goodwill with its creditors.

Liquidity

Liquid Ratio

:

Favourable

[

2.14 Times

]

Current Ratio

:

Favourable

[

2.37 Times

]

A minimum liquid ratio of 1 should be maintained by the Subject in order to assure its creditors of its ability to meet short term obligations and the Subject was in a good liquidity position. Thus, we believe the Subject is able to meet all its short term obligations as and when they fall due.

Solvency

Interest Cover

:

Nil

[

0.00 Times

]

Gearing Ratio

:

Favourable

[

0.00 Times

]

The Subject's interest cover was nil as it did not pay any interest during the year. The Subject had no gearing and hence it had virtually no financial risk. The Subject was financed by its shareholders' funds and internally generated fund. During the economic downturn, the Subject, having a zero gearing, will be able to compete better than those which are highly geared in the same industry.

Overall Assessment :

The Subject recorded lower profits as its turnover showed a erratic trend. The Subject's management was unable to control its costs efficiently as its profit showed a downward trend. The Subject was in good liquidity position with its total current liabilities well covered by its total current assets. With its current net assets, the Subject should be able to repay its short term obligations. The Subject did not make any interest payment during the year. The Subject was dependent on its shareholders' funds to finance its business needs. The Subject was a zero gearing company, it was solely dependant on its shareholders to provide funds to finance its business. The Subject has good chance of getting loans, if the needs arises.

Overall financial condition of the Subject : STRONG

 

 

 

SINGAPORE ECONOMIC / INDUSTRY OUTLOOK

 

 

Major Economic Indicators :

2013

2014

2015

2016

2017*

 

Population (Million)

5.40

5.47

5.54

5.61

5.61

Gross Domestic Products ( % )

5.1

3.9

2.2

2.4

3.6

Consumer Price Index

2.4

1.0

(0.5)

(0.5)

0.6

Total Imports (Million)

466,762.0

463,779.1

407,767.9

398,372.0

403,300.0

Total Exports (Million)

513,391.0

518,922.7

476,285.4

468,552.0

466,900.0

 

Unemployment Rate (%)

1.9

1.9

1.9

2.1

-

Tourist Arrival (Million)

15.46

15.01

15.23

16.28

-

Hotel Occupancy Rate (%)

86.3

85.5

84.0

83.1

84.7

Cellular Phone Subscriber (Million)

1.97

1.98

1.99

-

-

 

Registration of New Companies (No.)

37,288

41,589

34,243

35,227

37,395

Registration of New Companies (%)

9.8

11.5

(17.7)

2.9

6.2

Liquidation of Companies (No.)

17,369

18,767

21,384

23,218

22,379

Liquidation of Companies (%)

(5.3)

8.0

13.9

8.6

(3.6)

 

Registration of New Businesses (No.)

22,893

35,773

28,480

27,120

22,148

Registration of New Businesses (%)

1.70

56.30

(20.39)

(4.78)

(18.33)

Liquidation of Businesses (No.)

22,598

22,098

26,116

35,866

24,344

Liquidation of Businesses (%)

0.5

(2.2)

18.2

37.3

(32.1)

 

Bankruptcy Orders (No.)

1,992

1,757

1,776

1,797

1,638

Bankruptcy Orders (%)

14.0

(11.8)

1.0

1.2

(8.9)

Bankruptcy Discharges (No.)

2,584

3,546

3,499

4,359

2,030

Bankruptcy Discharges (%)

37.4

37.2

(1.3)

24.6

(53.4)

 

INDUSTRIES ( % of Growth ) :

Agriculture

Production of Principal Crops

1.78

4.29

3.04

-

-

Fish Supply & Wholesale

(3.8)

(8.6)

(8.5)

(9.9)

-

 

Manufacturing #

Food, Beverages & Tobacco

97.9

99.4

100.0

103.7

110.3

Textiles

119.5

102.7

100.0

92.4

84.4

Wearing Apparel

334.1

212.6

100.0

83.4

88.2

Leather Products & Footwear

122.0

106.5

100.0

88.8

79.0

Wood & Wood Products

103.0

107.2

100.0

95.0

92.9

Paper & Paper Products

104.4

104.5

100.0

97.3

96.1

Printing & Media

113.8

105.968

100.0

85.1

73.1

Crude Oil Refineries

100.7

92.2

100.0

104.2

113.5

Chemical & Chemical Products

88.4

96.7

100.0

98.9

105.3

Pharmaceutical Products

101.421

109.4

100.0

113.8

96.0

Rubber & Plastic Products

109.497

109.2

100.0

91.4

93.7

Non-metallic Mineral

107.4

90.759

100.0

89.8

72.9

Basic Metals

77.2

99.3

100.0

106.2

108.3

Fabricated Metal Products

107.5

107.757

100.0

93.8

91.3

Machinery & Equipment

109.1

118.2

100.0

80.8

86.1

Electrical Machinery

87.4

97.871

100.0

101.5

111.7

Electronic Components

105.0

105.6

100.0

114.1

151.4

Transport Equipment

111.1

106.68

100.0

101.0

99.5

 

Construction

25.40

22.00

-

-

-

Real Estate

88.5

145.1

-

-

-

 

Services

Electricity, Gas & Water

6.70

6.50

-

-

-

Transport, Storage & Communication

9.80

14.20

-

-

-

Finance & Insurance

3.30

6.00

-

7.40

-

Government Services

6.50

6.30

-

-

-

Education Services

3.10

5.98

-

2.40

-

 

* Estimate / Preliminary

# Based on Index of Industrial Production (2015 = 100)



INDUSTRY ANALYSIS

 

INDUSTRY :

TRADING

According to the Ministry of Trade and Industry, the wholesale & retail trade sector expanded to 3.0% in the fourth quarter of 2017, moderating from the 3.3% growth in the previous quarter. The wholesale trade segment was boosted by an improvement in foreign wholesale sales volume, which more than offset the weakness in domestic wholesale sales volume. For the whole of 2017, the sector expanded by 2.3%, faster than the 1.0% growth in 2016. The improvement in growth can be attributed to the wholesale segment.

The domestic wholesale sales volume fell by 1.1% in the fourth quarter 2017, reversing the 2.0% growth in the preceding quarter. The poorer outturn was led by declines in the sales volume of household equipment & furniture (-27%) and general wholesale merchandise (-19%), which outweighed the increase in the sales volume of telecommunications & computers (20%). For the whole of 2017, the domestic wholesale trade index expanded by 1.0%, a turnaround from the 2.7% decline in 2016.

On the other hand, foreign wholesale sales volume rose to 6.2% in the fourth quarter 2017, a step-up from the 5.1% growth in the preceding quarter. Growth was driven by expansions in the sales of petroleum & petroleum-related products (11%t), telecommunications & computers (19%) and electronic components (16%). However, growth was partly offset by a 20% decline in the sales volume of metals, timber & construction materials. For the full year 2017, the foreign wholesale trade index rose by 3.6%, faster than the increase of 1.5% in the previous year.

Besides, retail sales volume rose by 2.1% in the fourth quarter 2017, improving from the 0.9% growth recorded in the third quarter. Growth was supported by improvements in both motor vehicle and non-motor vehicle sales volumes. While motor vehicle sales benefitted from an on-year increase in COE supply, growth in non-motor vehicle sales came on the back of an improvement in consumer sentiments. Notably, the sales volume of discretionary goods such as recreational goods, computer & telecommunication equipment and wearing apparel & footwear grew by 4.6%, 4.3 % and 3.1% respectively.

For the full year 2017, retail sales volume expanded by 1.3%, similar to the 1.5% growth recorded in 2016. Growth was driven by both motor vehicle sales and non-motor vehicle sales, which the former rising by 1.5% and the latter increasing by 1.3%. The rise in non-motor vehicle sales was underpinned by higher sales of discretionary goods. For instance, the sales volume of recreational goods (3.9%), watches & jewellery (2.4%), computer & telecommunications equipment (1.7%) and wearing apparel & footwear (1.5%) improved in 2017.

OVERALL INDUSTRY OUTLOOK : MARGINAL GROWTH



CREDIT RISK EVALUATION & RECOMMENDATION

 


Incorporated in 2001, the Subject is a Private Limited company, focusing on trading of fasteners, nuts, bolts, screws, industrial equipment and others. Having been in the industry for over a decade, the Subject has achieved a certain market share and has built up a satisfactory reputation in the market. It should have received supports from its regular customers. Presently, the issued and paid up capital of the Subject stands at SGD 100,002. With a strong backing from its holding company, the Subject enjoys timely financial assistance should the needs arise.

Over the years, the Subject has penetrated into both the local and overseas market. The Subject has positioned itself in the global market and is competing in the industry. Its stable clientele base will enable the Subject to further enhance its business in the near term. Being a small company, the Subject's business operation is supported by 25 employees. Overall, we regard that the Subject's management capability is average. This indicates that the Subject has greater potential to improve its business performance and raising income for the Subject.

The Subject's business performance showed a reverse trend as both its turnover and pre-tax profit have decreased compared to the previous year. The Subject has generated an unfavourable return on shareholders' funds indicating that the management was inefficient in utilising its funds to generate return. The Subject is in good liquidity position with its current liabilities well covered by it current assets. Hence, it has sufficient working capital to meet its short term financial obligations. Being a zero geared company, the Subject virtually has no financial risk as it is mainly dependent on its internal funds to finance its business. Given a positive net worth standing at SGD 19,237,632, the Subject should be able to maintain its business in the near terms.

The Subject's supplier are from both the local and overseas countries. This will eliminates the risk of dependency on deliveries from a number of key suppliers and insufficient quantities of its raw materials. Overall the Subject has a good control over its resources.

 
The Subject's payment habit is average. With its adequate working capital, the Subject should be able to pay its short term debts.


The industry has reached its maturity stage and only enjoying a marginal growth. The steady growth of the country's economy will further enhance the industry activities. Thus, the Subject's future performance is very much depend on its marketing strategies in order to retain its position in the market.


Based on the above condition, we recommend credit be granted to the Subject promptly.



PROFIT AND LOSS ACCOUNT

 

 

THE FINANCIAL STATEMENTS WERE PREPARED IN ACCORDANCE WITH SINGAPORE FINANCIAL REPORTING STANDARDS.

FASTENAL SINGAPORE PTE LTD

 

Financial Year End

2016-12-31

2015-12-31

2014-12-31

2013-12-31

2012-12-31

Months

12

12

12

12

12

Consolidated Account

Company

Company

Company

Company

Company

Audited Account

YES

YES

YES

YES

YES

Unqualified Auditor's Report (Clean Opinion)

YES

YES

YES

YES

YES

Financial Type

FULL

FULL

FULL

SUMMARY

SUMMARY

Currency

SGD

SGD

SGD

SGD

SGD

TURNOVER

11,641,650

14,506,313

14,264,893

12,401,979

12,537,088

----------------

----------------

----------------

----------------

----------------

Total Turnover

11,641,650

14,506,313

14,264,893

12,401,979

12,537,088

Costs of Goods Sold

(8,127,394)

(10,052,424)

(9,019,372)

-

-

----------------

----------------

----------------

----------------

----------------

Gross Profit

3,514,256

4,453,889

5,245,521

-

-

----------------

----------------

----------------

----------------

----------------

PROFIT/(LOSS) FROM OPERATIONS

1,469,209

2,094,597

2,976,768

2,044,476

2,011,307

----------------

----------------

----------------

----------------

----------------

PROFIT/(LOSS) BEFORE TAXATION

1,469,209

2,094,597

2,976,768

2,044,476

2,011,307

Taxation

(182,483)

(351,272)

(529,123)

(288,107)

(292,988)

----------------

----------------

----------------

----------------

----------------

PROFIT/(LOSS) AFTER TAXATION

1,286,726

1,743,325

2,447,645

1,756,369

1,718,319

----------------

----------------

----------------

----------------

----------------

RETAINED PROFIT/(LOSS) BROUGHT FORWARD

As previously reported

17,850,904

16,107,579

16,409,799

14,653,430

12,935,111

----------------

----------------

----------------

----------------

----------------

As restated

17,850,904

16,107,579

16,409,799

14,653,430

12,935,111

----------------

----------------

----------------

----------------

----------------

PROFIT AVAILABLE FOR APPROPRIATIONS

19,137,630

17,850,904

18,857,444

16,409,799

14,653,430

DIVIDENDS - Ordinary (paid & proposed)

-

-

(2,749,865)

-

-

----------------

----------------

----------------

----------------

----------------

RETAINED PROFIT/(LOSS) CARRIED FORWARD

19,137,630

17,850,904

16,107,579

16,409,799

14,653,430

=============

=============

=============

=============

=============

INTEREST EXPENSE (as per notes to P&L)

DEPRECIATION (as per notes to P&L)

51,287

58,967

61,302

-

-

----------------

----------------

----------------

----------------

----------------

Total Amortization And Depreciation

51,287

58,967

61,302

-

-

=============

=============

=============

 

 

 

 

 

 

 

 

BALANCE SHEET

 

 

FASTENAL SINGAPORE PTE LTD

 

ASSETS EMPLOYED:

FIXED ASSETS

113,263

136,448

174,887

181,269

130,260

----------------

----------------

----------------

----------------

----------------

TOTAL LONG TERM ASSETS

113,263

136,448

174,887

181,269

130,260

CURRENT ASSETS

Stocks

3,225,952

3,269,881

3,917,427

-

-

Trade debtors

2,433,860

2,591,524

3,528,850

-

-

Other debtors, deposits & prepayments

61,074

61,074

61,074

-

-

Amount due from related companies

14,409,321

12,660,105

10,514,598

-

-

Cash & bank balances

12,936,357

11,592,691

8,854,892

-

-

----------------

----------------

----------------

----------------

----------------

TOTAL CURRENT ASSETS

33,066,564

30,175,275

26,876,841

23,786,964

19,989,956

----------------

----------------

----------------

----------------

----------------

TOTAL ASSET

33,179,827

30,311,723

27,051,728

23,968,233

20,120,216

=============

=============

=============

=============

=============

CURRENT LIABILITIES

Trade creditors

303,940

428,538

703,547

-

-

Amounts owing to related companies

13,455,772

11,604,995

9,717,567

-

-

Provision for taxation

182,483

327,284

423,033

-

-

----------------

----------------

----------------

----------------

----------------

TOTAL CURRENT LIABILITIES

13,942,195

12,360,817

10,844,147

7,458,432

5,366,784

----------------

----------------

----------------

----------------

----------------

NET CURRENT ASSETS/(LIABILITIES)

19,124,369

17,814,458

16,032,694

16,328,532

14,623,172

----------------

----------------

----------------

----------------

----------------

LONG TERM LIABILITIES

TOTAL NET ASSETS

19,237,632

17,950,906

16,207,581

16,509,801

14,753,432

=============

=============

=============

=============

=============

SHARE CAPITAL

Ordinary share capital

100,002

100,002

100,002

100,002

100,002

----------------

----------------

----------------

----------------

----------------

TOTAL SHARE CAPITAL

100,002

100,002

100,002

100,002

100,002

RESERVES

Retained profit/(loss) carried forward

19,137,630

17,850,904

16,107,579

16,409,799

14,653,430

----------------

----------------

----------------

----------------

----------------

TOTAL RESERVES

19,137,630

17,850,904

16,107,579

16,409,799

14,653,430

----------------

----------------

----------------

----------------

----------------

SHAREHOLDERS' FUNDS/EQUITY

19,237,632

17,950,906

16,207,581

16,509,801

14,753,432

=============

=============

=============

=============

=============

 

 

 

 

 

 

 

 

FINANCIAL RATIO

 

 

FASTENAL SINGAPORE PTE LTD

 

TYPES OF FUNDS

Cash

12,936,357

11,592,691

8,854,892

-

-

Net Liquid Funds

12,936,357

11,592,691

8,854,892

-

-

Net Liquid Assets

15,898,417

14,544,577

12,115,267

16,328,532

14,623,172

Net Current Assets/(Liabilities)

19,124,369

17,814,458

16,032,694

16,328,532

14,623,172

Net Tangible Assets

19,237,632

17,950,906

16,207,581

16,509,801

14,753,432

Net Monetary Assets

15,898,417

14,544,577

12,115,267

16,328,532

14,623,172

PROFIT & LOSS ITEMS

Earnings Before Interest & Tax (EBIT)

1,469,209

2,094,597

2,976,768

-

-

Earnings Before Interest, Taxes, Depreciation And Amortization (EBITDA)

1,520,496

2,153,564

3,038,070

-

-

BALANCE SHEET ITEMS

Total Liabilities

13,942,195

12,360,817

10,844,147

7,458,432

5,366,784

Total Assets

33,179,827

30,311,723

27,051,728

23,968,233

20,120,216

Net Assets

19,237,632

17,950,906

16,207,581

16,509,801

14,753,432

Net Assets Backing

19,237,632

17,950,906

16,207,581

16,509,801

14,753,432

Shareholders' Funds

19,237,632

17,950,906

16,207,581

16,509,801

14,753,432

Total Share Capital

100,002

100,002

100,002

100,002

100,002

Total Reserves

19,137,630

17,850,904

16,107,579

16,409,799

14,653,430

GROWTH RATIOS (Year on Year) (%)

Revenue

(19.75)

1.69

15.02

(1.08)

(2.34)

Proft/(Loss) Before Tax

(29.86)

(29.64)

45.60

1.65

(30.84)

Proft/(Loss) After Tax

(26.19)

(28.78)

39.36

2.21

(29.11)

Total Assets

9.46

12.05

12.86

19.13

19.75

Total Liabilities

12.79

13.99

45.39

38.97

42.46

LIQUIDITY (Times)

Cash Ratio

0.93

0.94

0.82

-

-

Liquid Ratio

2.14

2.18

2.12

-

-

Current Ratio

2.37

2.44

2.48

3.19

3.72

WORKING CAPITAL CONTROL (Days)

Stock Ratio

101

82

100

-

-

Debtors Ratio

76

65

90

-

-

Creditors Ratio

14

16

28

-

-

SOLVENCY RATIOS (Times)

Liabilities Ratio

0.72

0.69

0.67

0.45

0.36

Assets Backing Ratio

192.37

179.51

162.07

165.09

147.53

PERFORMANCE RATIO (%)

Operating Profit Margin

12.62

14.44

20.87

16.49

16.04

Net Profit Margin

11.05

12.02

17.16

14.16

13.71

Return On Net Assets

7.64

11.67

18.37

12.38

13.63

Return On Capital Employed

7.64

11.67

18.37

12.38

13.63

Return On Shareholders' Funds/Equity

6.69

9.71

15.10

10.64

11.65

Dividend Pay Out Ratio (Times)

-

-

1.12

-

-



 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

INR 66.36

UK Pound

1

INR 92.51

Euro

1

INR 81.05

SGD

1

INR 50.34

                                                                  

Note : Above are approximate rates obtained from sources believed to be correct

 

 

INFORMATION DETAILS

 

Analysis Done by :

NIS

 

 

Report Prepared by :

TRU

                                                


 

RATING EXPLANATIONS

 

Credit Rating

Explanation

Rating Comments

A++

Minimum Risk

Business dealings permissible with minimum risk of default

A+

Low Risk

Business dealings permissible with low risk of default

A

Acceptable Risk

Business dealings permissible with moderate risk of default

B

Medium Risk

Business dealings permissible on a regular monitoring basis

C

Medium High Risk

Business dealings permissible preferably on secured basis

D

High Risk

Business dealing not recommended or on secured terms only

NB

New Business

No recommendation can be done due to business in infancy stage

NT

No Trace

No recommendation can be done as the business is not traceable

 

NB is stated where there is insufficient information to facilitate rating. However, it is not to be considered as unfavourable.

 

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 are as follows:

 

·         Financial condition covering various ratios

·         Company background and operations size

·         Promoters / Management background

·         Payment record

·         Litigation against the subject

·         Industry scenario / competitor analysis

·         Supplier / Customer / Banker review (wherever available)

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.