|
|
|
MIRA INFORM REPORT
|
Report No. : |
505229 |
|
Report Date : |
26.04.2018 |
IDENTIFICATION DETAILS
|
Name : |
EL SAYED IBRAHIM ABD EL WAHAAB |
|
|
|
|
Registered Office : |
10 Shakir El Khayat, Gleem, Qism El Rami, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
31.12.2017 |
|
|
|
|
Date of Incorporation : |
08.10.2013 |
|
|
|
|
Com. Reg. No.: |
80067 |
|
|
|
|
Legal Form : |
Sole Proprietorship |
|
|
|
|
Line of Business : |
Subject engaged in the import, cutting,
finishing and distribution of marble and granite tiles |
|
|
|
|
No. of Employees : |
43 |
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 : |
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.
SUMMARY
Company Name :
EL SAYED IBRAHIM ABD EL WAHAAB
Trade Name :
NATIONAL STONE COMPANY
Country of Origin :
Legal Form :
Sole Proprietorship
Registration Date :
8th October 2013
Commercial Registration Number :
80067,
Tax Card Number :
508-140-118
Invested Capital :
EGP 500,000
Total Workforce :
43
Activities :
Cutting, finishing and distribution of marble and granite tiles
Financial Condition :
Fair
Payments :
No Complaints
Operating Trend :
Steady
Person Interviewed :
Ahmed Abd El Salam, Import Manager
COMPANY
NAME
EL SAYED IBRAHIM ABD EL
WAHAAB
TRADE NAME: NATIONAL STONE
COMPANY
ADDRESS
Registered & Physical Address
Street : 10
Shakir El Khayat
Area : Gleem,
Qism El Rami
Town :
Country :
Email : egyptgranites@hotmail.com
Premises
Subject operates from a medium sized suite of offices that are
rented and located in the Central Business Area of Alexandria.
Branch Office (s)
Location Description
Deressah Industrial Zone, Moharem Bey
Damanhour Kafr El Dawar
El Beheira
KEY
PRINCIPALS
Name Position
El Sayed Ibrahim Abd El Wahaab Proprietor
Mohamed El Sayed General
Manager
Tarik Naji Rezk Finance
Manager
Ahmed Abd El Salam Import
Manager
LEGAL
FORM & OWNERS
Date of Establishment : 8th
October 2013
History : Subject changed its trade name from Bright
Stone to National Stone Company on 13th September 2017.
Legal Form : Sole
Proprietorship
Commercial Reg. No. : 80067,
Tax Card No. : 508-140-118
Invested Capital : EGP 500,000
Mr El Sayed Ibrahim Abd El Wahaab is the sole proprietor of the
business.
Note to the Legal Form An Sole Proprietorship is a
non-incorporated entity and is owned by one individual only. The owner is
liable for all debts and liabilities of the business to the extent of his/her
personal assets. There are no legal requirements concerning the amount of
capital of a sole proprietor.
OPERATIONS
Activities: Engaged in the import, cutting, finishing and distribution of
marble and granite tiles.
Import Countries:
Export Countries:
Operating Trend: Steady
Subject has a workforce of 43 employees.
FINANCIAL
DATA
Financial highlights provided by local sources are given below:
Currency: Egyptian Pounds (EGP)
Year sales Profit
Year Ending 31/12/16: EGP
17,000,000 EGP 3,400,000
Year Ending 31/12/17: EGP
18,000,000 EGP 3,600,000
Local sources consider subject’s financial condition to be Fair.
Note: According to
Egyptian Commercial Law, only Joint Stock Companies SAE (Listed on the Stock
Market) are required to publish their financial
information. Financial information on other legal forms can only be obtained
from the companies / businesses directly
BANKERS
Attijariwafa Bank
Al Manteqah as Sadesah
Qatar National Bank Al Ahli
Al Manteqah as Sadesah
HSBC Bank
1 Makram Ebeid
Al Manteqah as Sadesah
PAYMENT
HISTORY
No complaints regarding subject’s payments have been reported.
SANCTION
LIST CHECKS
The subject and its shareholders have been checked in the
following sanctions list databases:
Sanctions list Results
United Nations Sanctions No
matches
Australian Sanctions No
matches
Bureau of Industry and
Security (US) No
matches
EU Financial Sanctions No
matches
Office of the
Superintendent of Financial Institutions (
OFAC - Specially
Designated Nationals (SDN) No
matches
GENERAL
COMMENTS
During the course of this investigation the following sources were
consulted:
- Internal database
- Journals, directories,
media & web searches
- Local Registry office
- Interview with Ahmed Abd
El Salam, Import Manager
During the course of this investigation nothing detrimental was
uncovered regarding subject’s operating history or the manner in which payments
are fulfilled. As such the company is considered to be a fair trade risk.
COUNTRY
OUTLOOK
Recent Developments
The first quarter of FY17 (July to
June) marked a slowdown in growth recording 3.4 percent compared to 5.1 percent
in the same quarter last year, with annual growth in FY16 registering 4.3
percent. Growth was constrained by severe shortages in hard currency, an
overvalued exchange rate and sluggish growth in Europe,
The annual fiscal deficit in FY16
increased to 12.1 percent of GDP, up from 11 percent the year before. However,
in the first half of FY17 the deficit declined to 5.4 percent of GDP, down from
6.4 percent in the same period last year. The improvement in the first half is
solely driven by a decline in total expenditures, which compensates for a drop
in total revenues. Lower expenditures were driven by a decrease in subsidies
and public wages as a percentage of GDP.
The most recent data for the first
quarter of FY17 show an overall surplus in the balance of payments of 0.5
percent of projected GDP, compared to a deficit of 1 percent during the same
period of the previous year. The improvement in external accounts was mainly
due to the narrowing trade deficit induced by an increase in merchandise
exports (by 11.2 percent) and a decline in merchandise imports (by 4.8 percent).
Meanwhile, Suez Canal receipts further deteriorated by 4.8 percent and net
private transfers also declined by 21.8 percent. As a result, the current
account deficit widened to 1.4 percent of GDP compared to 1.1 percent in the
same quarter of the previous year. More positively, FDI inflows increased to
US$1.9 billion over the same period, up from US$1.4 billion the previous year.
To stimulate growth and address major
macroeconomic imbalances, the government embarked on a major economic reform
program. The key features include (i) the liberalization of the exchange rate
regime; (ii) fiscal consolidation through a combination of expenditure and
revenue measures, notably cuts in fuel subsidies, containment of the wage bill
and introduction of VAT; and (iii) reforms to the business environment and
addressing impediments to industrial activity.
The reform program was supported by an
IMF Extended Fund Facility of US$12 billion which contributes to cover Egypt’s
financing needs, the rest of which has been covered through disbursements under
the World Bank, the African Development Bank and a number of bilateral loans,
in addition to a recent issuance of Eurobonds in the amount of US$4 billion.
Following the floatation, the exchange rate displayed strong overshooting
(hitting its
lowest rate of 19.5 in December
compared to a pre-float fixed rate of 8.8), but has subsequently strengthened
as foreign investor confidence picked up and backlogs of USD orders to finance
imports eased. Net international reserves reached US$26.4 billion at-end
January (6 months’ imports), up from a pre-floatation level of US$19 billion.
Currency weakening has led to a sharp
rise in inflation, which reached its highest recorded level of 30.2 percent in
February 2017. Following the currency floatation, the CBE increased interest
rates by 300 basis points (bringing the cumulative increase to 550 basis points
since March 2016) to absorb excess liquidity and curb inflation. High inflation
has contributed to the aggravation of social conditions, given the persistently
high unemployment (12.6 percent in 2016). The recently adopted reform program
involves efforts to improve social safety nets, notably through the partial
reallocation of freed up resources from reduced energy and food subsidies; the expansion
of cash transfer programs; and an increase in the general pension budget by 15
percent. Nonetheless, the mitigation of recent adverse
shocks will continue to depend on an
effective targeting mechanism.
Outlook
GDP is expected to grow by 3.9 percent
in FY17, and will be largely driven by public investment and to some extent net
exports. Private investment is expected to pick up only in the second half of
FY17, supported by enhanced competitiveness following the depreciation of the
currency and the gradual implementation of business climate reforms. Tourism is
also expected to steadily recover on the back of a weaker currency. Yet, growth
will likely be undermined by slower growth of private consumption, which is
expected to be negatively affected by record high inflation rates. Prudent
monetary policy is projected to bring inflation down over the forecast horizon
after the one off effects of depreciation, subsidy reforms, and the
introduction of VAT dissipate.
The fiscal deficit is projected to narrow
to 10.5 percent in FY17, contingent on the government’s commitment and ability
to sustain its fiscal consolidation plan. With the implementation of the VAT,
the expected increase in the VAT rate to 14 percent from the current 13
percent, and efforts to improve tax collection, revenues are expected to
improve, while expenditures will continue to be contained.
The current account deficit is expected
to start improving in FY17, supported by a positive exchange rate effect and an
increase in remittances transferred through formal channels.
In the near term high inflation is
likely to have negative short-term effects on households. Current efforts to
improve
targeting in the food smart-card
program, currently used to protect the vulnerable population from food price
shocks and ensure a minimum level of food security, could provide additional
resources for an improved safety net.
Risks
and challenges
Policy slippage and absence of
real-sector reforms may negatively impact the anticipated economic recovery.
Deteriorating security risks can adversely affect the recovery of the tourism
sector, traditionally a main source of revenue and foreign currency.
On the social front, resources from
fuel subsidy reform to be allocated to social programs may be lower than
expected
due to currency depreciation, but
efforts should continue to improve the efficiency of the safety net system.
Sustained high unemployment may lower households’ ability to improve their
living conditions.
Key Economic Indicators 2014 2015 2016* 2017* 2018 2019
Real GDP Growth (%) 2.9 4.4 4.3 3.9 4.6 5.3
Inflation Rate (%)
10.1 10.4 10.2 20.1 14.2 11.3
Current Account Balance (% of GDP) -0.9 -3.8 -6.1 -5.5
-4.4 -3.8
Fiscal Balance (% of GDP) -11.5 -11.0 -12.1 -10.5
-9.2 -7.3
* forecast
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
INR 66.7 |
|
|
1 |
INR 93.14 |
|
Euro |
1 |
INR 81.43 |
|
EGP |
1 |
INR 3.78 |
Note :
Above are approximate rates obtained from sources believed to be correct
INFORMATION DETAILS
|
Analysis Done by
: |
DIV |
|
|
|
|
Report Prepared
by : |
KET |
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)
This report is issued at
your request without any risk and responsibility on the part of MIRA INFORM
PRIVATE LIMITED (MIPL) or its officials.