3decades

MIRA INFORM REPORT

Report No. :	483487
Report Date :	01.02.2018

IDENTIFICATION DETAILS

Name :	SOLMAZ GUMRUK MUSAVIRLIGI A.S.

Formerly Known As :	SOLMAZ GUMRUK MUSAVIRLIGI LTD. STI

Registered Office :	Esentepe Mah. Kore Sehitleri Cad. Yuzbasi Kaya Aldogan Sok. No:9/1 Sisli 34394 Istanbul

Country :	Turkey

Financials (as on) :	31.12.2016

Date of Incorporation :	1991

Com. Reg. No.:	298958

Legal Form :	Joint Stock Company

Line of Business :	The Subject is provides custom brokerage services

No. of Employees :	946

RATING & COMMENTS

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

MIRA’s Rating :

Credit Rating	Explanation	Rating Comments
B	Medium Risk	Business dealings permissible on a regular monitoring basis

Status :	Moderate

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

Country Name

Previous Rating

(30.06.2017)

Current Rating

(30.09.2017)

Turkey

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

TURKEY - ECONOMIC OVERVIEW

Turkey's largely free-market economy is driven by its industry and, increasingly, service sectors, although its traditional agriculture sector still accounts for about 25% of employment. The automotive, petrochemical, and electronics industries have risen in importance and surpassed the traditional textiles and clothing sectors within Turkey's export mix. However, the recent period of political stability and economic dynamism has given way to domestic uncertainty and security concerns, which are generating financial market volatility and weighing on Turkey’s economic outlook.

Current government policies emphasize populist spending measures and credit breaks, while implementation of structural economic reforms has slowed. The government is playing a more active role in some strategic sectors and has used economic institutions and regulators to target political opponents, undermining private sector confidence in the judicial system. Between July 2016 and March 2017, three credit ratings agencies downgraded Turkey’s sovereign credit ratings, citing concerns about the rule of law and the pace of economic reforms.

Turkey remains highly dependent on imported oil and gas but is pursuing energy relationships with a broader set of international partners and taking steps to increase use of domestic energy sources including renewables, nuclear, and coal. The joint Turkish-Azerbaijani Trans-Anatolian Natural Gas Pipeline is moving forward to increase transport of Caspian gas to Turkey and Europe, and when completed will help diversify Turkey's sources of imported gas.

After Turkey experienced a severe financial crisis in 2001, Ankara adopted financial and fiscal reforms as part of an IMF program. The reforms strengthened the country's economic fundamentals and ushered in an era of strong growth averaging more than 6% annually until 2008. An aggressive privatization program also reduced state involvement in basic industry, banking, transport, power generation, and communication. Global economic conditions and tighter fiscal policy caused GDP to contract in 2009, but Turkey's well-regulated financial markets and banking system helped the country weather the global financial crisis, and GDP growth rebounded to around 9% in 2010 and 2011, as exports and investment recovered following the crisis.

Since 2014, productivity and growth has slowed to reveal persistent underlying imbalances in the Turkish economy. In particular, Turkey’s large current account deficit means it must rely on external investment inflows to finance growth, leaving the economy vulnerable to destabilizing shifts in investor confidence. Other troublesome trends include rising unemployment and inflation, which increased in 2017, given the Turkish lira’s continuing depreciation against the dollar. Although government debt remains low at about 30% of GDP, bank and corporate borrowing has almost tripled as a percent of GDP during the past decade, outpacing its emerging-market peers and prompting investor concerns about its long-term sustainability.

Source : CIA

COMPANY IDENTIFICATION

NAME	SOLMAZ GUMRUK MUSAVIRLIGI A.S.
HEAD OFFICE ADDRESS	Esentepe Mah. Kore Sehitleri Cad. Yuzbasi Kaya Aldogan Sok. No:9/1 Sisli 34394 Istanbul / Turkey
PHONE NUMBER	90-212-249 40 62
FAX NUMBER	90-212-243 35 80
WEB-ADDRESS	www.solmaz.com.tr

LEGAL STATUS AND HISTORY

NOTES ON LEGAL STATUS AND HISTORY

Change at registration no.

TAX OFFICE

Bogazici Kurumlar

TAX NO

7730293569

REGISTRATION NUMBER

298958

REGISTERED OFFICE

Istanbul Chamber of Commerce

COMMERCIAL REGISTRY

Istanbul Commercial Registry

DATE ESTABLISHED

1991

LEGAL FORM

Joint Stock Company

TYPE OF COMPANY

Private

REGISTERED CAPITAL

TL 17.614.080

PAID-IN CAPITAL

TL 17.614.080

HISTORY

Previous Legal Type :	Limited Company / Changed on : 30.09.2005/(Commercial Gazette Date /Number 06.10.2005 /6405)
Previous Name :	Solmaz Gumruk Musavirligi Ltd. Sti. / Changed on : 30.09.2005/(Commercial Gazette Date /Number 06.10.2005 /6405)
Previous Registered Capital :	TL 4.403.520 / Changed on : 16.08.2011/(Commercial Gazette Date /Number 30.09.2011 /7911)
Previous Registered Capital :	TL 8.807.040 / Changed on : 31.12.2013/(Commercial Gazette Date /Number 07.01.2014 /8480)
Previous Address :	Kemankes Mah. Denizciler Sok. Solmaz Is Hani No:3 Kat:3/7 Tophane Istanbul / Changed on : 28.08.2017/(Commercial Gazette Date /Number 06.09.2017 /9402)
Previous Address :	Zincirlikuyu Esentepe Mah. Kore Sehitleri Cad. Yuzbasi Kaya Aldogan Sok. No:9 Istanbul / Changed on : 26.10.2017/(Commercial Gazette Date /Number 01.11.2017 /9442)
Previous Address :	Zincirlikuyu Kore Sehitleri Cad. No:49 1. Ve 2. Kat Esentepe Istanbul / Changed on : 09.01.2018/(Commercial Gazette Date /Number 15.01.2018 /9494)
Previous Address :	Esentepe Mah. Kore Sehitleri Cad. Yuzbasi Kaya Aldogan Sokak No:9 Sisli Istanbul / Changed on : 15.01.2018/(Commercial Gazette Date /Number 19.01.2018 /9498)
Previous Commercial Registry :	Izmir Commercial Registry / Changed on : 04.05.1993/(Commercial Gazette Date /Number 14.05.1993 /3281)
Previous Registration Number :	61751 / Changed on : 04.05.1993/(Commercial Gazette Date /Number 14.05.1993 /3281)

OWNERSHIP / MANAGEMENT

SHAREHOLDERS

Billur Barlin	79,72 %
Asim Barlin	9 %
Ismail Tokac	5,03 %
Semih Sutcu	5 %
Others

REMARKS ON SHAREHOLDERS

The subject company has totally 33 shareholders.

GROUP

SOLMAZ GROUP OF COMPANIES

SISTER COMPANIES

- S LOJISTIK HIZMETLER A.S. ( Origin: Turkey, Tax Number: 7350635296, Registration Number: 668958 )

- S SISTEM LOJISTIK HIZMETLER A.S. ( Origin: Turkey, Tax Number: 7730026303, Registration Number: 203409 )

- SISTEM GUVENLIK HIZMETLERI LTD. STI. ( Origin: Turkey, Tax Number: 7710278009, Registration Number: 561670 )

- SOLAZ KARGO SERVIS A.S. ( Origin: Turkey, Tax Number: 7730285657, Registration Number: 556831 )

- SOLMAZ DENIZCILIK VE TICARET A.S. ( Origin: Turkey, Tax Number: 4630023852, Registration Number: 274969 )

- SOLMAZ LOJISTIK HIZMETLER A.S. ( Origin: Turkey, Tax Number: 7730326515, Registration Number: 664693 )

- SOLMAZ NAKLIYAT VE TICARET A.S. ( Origin: Turkey, Tax Number: 7730026561, Registration Number: 224943 )

- SOLMAZ SIGORTA ACENTALIGI A.S. ( Origin: Turkey, Tax Number: 7730027256, Registration Number: 265925 )

- SOLMAZ YURTICI LOJISTIK HIZMETLERI A.S. ( Origin: Turkey, Tax Number: 7730366983, Registration Number: 82954-5 )

- SP HAVACILIK HIZMETLERI A.S. ( Origin: Turkey, Tax Number: 7810430450, Registration Number: 661466 )

BOARD OF DIRECTORS

Semih Sutcu ( Chairman )

OPERATIONS

BUSINESS ACTIVITIES

The firm provides custom brokerage services. The firm has 18 branch offices.

NACE CODE

I .63.40

NUMBER OF EMPLOYEES

946

NET SALES

53.234.366 TL	(2010)
55.754.530 TL	(2011)
56.136 TL Thousand	(2012)
68.149 TL Thousand	(2013)
81.114 TL Thousand	(2014)
99.758 TL Thousand	(2015)
102.832 TL Thousand	(2016)
118.872 TL Thousand	(01.01-30.09.2017)

HEAD OFFICE ADDRESS

Esentepe Mah. Kore Sehitleri Cad. Yuzbasi Kaya Aldogan Sok. No:9/1 Sisli Istanbul / Turkey

BRANCHES

Branch Office : Narli Ciftligi Mah. Sakarya Sok. No:35 Kat:8 Maltepe Istanbul/Turkey

Branch Office : Ambarli Liman Tesisleri Marmara Mah. Limanlar Cad. No:7 Buyukcekmece Istanbul/Turkey

Branch Office : Harem Iskele Cad. No:29/1 Selimiye 34668 Uskudar Istanbul/Turkey

Branch Office : S Sistem Lojistik Binasi K:2 Kargo Terminali Yani 34149 Yesilkoy Istanbul/Turkey

GENERAL INFORMATION ON OPERATIONS

The firm has a considerable market potential.

TREND OF BUSINESS

There was an upwards trend in 2015. There was a slowdown at business volume in real terms in 2016. There appears an upwards trend in the first 9 months of 2017.

SIZE OF BUSINESS

Giant

FINANCE

MAIN DEALING BANKS

T. Garanti Bankasi Galata Branch

Denizbank Galata Branch

CREDIT FACILITIES

The subject company is making active use of credit facilities.

PAYMENT BEHAVIOUR

No payment delays have come to our knowledge.

KEY FINANCIAL ELEMENTS

	(2015) TL Thousand	(2016) TL Thousand	(01.01-30.09.2017) TL Thousand
Net Sales	99.758	102.832	118.872
Profit (Loss) Before Tax	3.605	-10.829	-1.270
Stockholders' Equity	24.337	23.093
Total Assets	111.293	136.262
Current Assets	43.886	52.906
Non-Current Assets	67.407	83.356
Current Liabilities	46.179	54.782
Long-Term Liabilities	40.777	58.387
Gross Profit (loss)	20.943	14.429	48.535
Operating Profit (loss)	5.258	-7.099	3.795
Net Profit (loss)	2.780	-10.829	-1.270

COMMENT ON FINANCIAL POSITION

Capitalization	Insufficient
Remarks on Capitalization	The loss at the last period is expected to have a negative effect on equity total since the last balance sheet date.
Liquidity	Fair As of 31.12.2016
Profitability	In Order Operating Profitability in 2015 Fair Net Profitability in 2015 Operating Loss in 2016 Net Loss in 2016 Fair Operating Profitability (01.01-30.09.2017) Net Loss (01.01-30.09.2017)
Gap between average collection and payable periods	Favorable in 2016
General Financial Position	Unsatisfactory

	Incr. in producers’ price index	Average USD/TL	Average EUR/TL	Average GBP/ TL
( 2010 )	8,87 %	1,5128	2,0096	2,3410
( 2011 )	13,33 %	1,6797	2,3378	2,6863
( 2012 )	2,45 %	1,7995	2,3265	2,8593
( 2013 )	6,97 %	1,9179	2,5530	3,0178
( 2014 )	6,36 %	2,1891	2,8989	3,6060
( 2015 )	5,71 %	2,7230	3,0254	4,1661
( 2016 )	9,94 %	3,0292	3,3349	4,1006
( 01.01-30.09.2017)	9,78 %	3,5731	3,9855	4,5746
( 2017 )	15,47 %	3,6337	4,1120	4,7059

financials

BALANCE SHEETS

	31.12.2015 ( Full Year ) TL Thousand		31.12.2016 ( Full Year ) TL Thousand
CURRENT ASSETS	43.886	0,39	52.906	0,39
Not Detailed Current Assets	0	0,00	0	0,00
Cash and Banks	3.520	0,03	14.772	0,11
Marketable Securities	1.016	0,01	1.097	0,01
Account Receivable	32.749	0,29	30.026	0,22
Other Receivable	891	0,01	301	0,00
Inventories	0	0,00	10	0,00
Advances Given	2.990	0,03	3.080	0,02
Accumulated Construction Expense	0	0,00	0	0,00
Other Current Assets	2.720	0,02	3.620	0,03
NON-CURRENT ASSETS	67.407	0,61	83.356	0,61
Not Detailed Non-Current Assets	0	0,00	0	0,00
Long-term Receivable	0	0,00	0	0,00
Financial Assets	0	0,00	0	0,00
Tangible Fixed Assets (net)	6.690	0,06	20.273	0,15
Intangible Assets	59.544	0,54	63.083	0,46
Deferred Tax Assets	0	0,00	0	0,00
Other Non-Current Assets	1.173	0,01	0	0,00
TOTAL ASSETS	111.293	1,00	136.262	1,00
CURRENT LIABILITIES	46.179	0,41	54.782	0,40
Not Detailed Current Liabilities	0	0,00	0	0,00
Financial Loans	19.524	0,18	26.194	0,19
Accounts Payable	18.173	0,16	20.813	0,15
Loans from Shareholders	424	0,00	265	0,00
Other Short-term Payable	2.566	0,02	1.951	0,01
Advances from Customers	3.816	0,03	2.661	0,02
Accumulated Construction Income	0	0,00	0	0,00
Taxes Payable	1.612	0,01	2.856	0,02
Provisions	0	0,00	0	0,00
Other Current Liabilities	64	0,00	42	0,00
LONG-TERM LIABILITIES	40.777	0,37	58.387	0,43
Not Detailed Long-term Liabilities	0	0,00	0	0,00
Financial Loans	15.572	0,14	39.472	0,29
Securities Issued	0	0,00	0	0,00
Long-term Payable	18.271	0,16	18.271	0,13
Loans from Shareholders	6.290	0,06	0	0,00
Other Long-term Liabilities	0	0,00	0	0,00
Provisions	644	0,01	644	0,00
STOCKHOLDERS' EQUITY	24.337	0,22	23.093	0,17
Not Detailed Stockholders' Equity	0	0,00	0	0,00
Paid-in Capital	17.614	0,16	17.614	0,13
Cross Shareholding Adjustment of Capital	0	0,00	0	0,00
Inflation Adjustment of Capital	0	0,00	0	0,00
Equity of Consolidated Firms	0	0,00	0	0,00
Reserves	15.181	0,14	27.546	0,20
Revaluation Fund	0	0,00	0	0,00
Accumulated Losses(-)	-11.238	-0,10	-11.238	-0,08
Net Profit (loss)	2.780	0,02	-10.829	-0,08
TOTAL LIABILITIES AND EQUITY	111.293	1,00	136.262	1,00

INCOME STATEMENTS

	(2015) ( Full Year ) TL Thousand		(2016) ( Full Year ) TL Thousand		(01.01-30.09.2017) ( Interim Period ) TL Thousand
Net Sales	99.758	1,00	102.832	1,00	118.872	1,00
Cost of Goods Sold	78.815	0,79	88.403	0,86	70.337	0,59
Gross Profit	20.943	0,21	14.429	0,14	48.535	0,41
Operating Expenses	15.685	0,16	21.528	0,21	44.740	0,38
Operating Profit	5.258	0,05	-7.099	-0,07	3.795	0,03
Other Income	1.722	0,02	55.228	0,54	1.490	0,01
Other Expenses	2.067	0,02	53.956	0,52	1.878	0,02
Financial Expenses	1.308	0,01	5.002	0,05	4.677	0,04
Minority Interests	0	0,00	0	0,00	0	0,00
Profit (loss) of consolidated firms	0	0,00	0	0,00	0	0,00
Profit (loss) Before Tax	3.605	0,04	-10.829	-0,11	-1.270	-0,01
Tax Payable	825	0,01	0	0,00	0	0,00
Postponed Tax Gain	0	0,00	0	0,00	0	0,00
Net Profit (loss)	2.780	0,03	-10.829	-0,11	-1.270	-0,01

LAST FINANCIAL STATEMENT DETAILS

	TL Thousand
Cash	343
Banks	14.429
Doubtful Trade Receivables	1.412
Provision for Doubtful Trade Receivables	-1.131
Receivables From Personnel (in Other Receivable)	114
Other Miscellaneous Receivables (in Other Receivable)	187
Overdue, Delayed or Deferred Tax by Installments and Other Liabilities	0

FINANCIAL RATIOS

	(2015)	(2016)
LIQUIDITY RATIOS
Current Ratio	0,95	0,97
Acid-Test Ratio	0,83	0,84
Cash Ratio	0,10	0,29
ASSET STRUCTURE RATIOS
Inventory/Total Assets	0,00	0,00
Short-term Receivable/Total Assets	0,30	0,22
Tangible Assets/Total Assets	0,06	0,15
TURNOVER RATIOS
Inventory Turnover		8840,30
Stockholders' Equity Turnover	4,10	4,45
Asset Turnover	0,90	0,75
FINANCIAL STRUCTURE
Stockholders' Equity/Total Assets	0,22	0,17
Current Liabilities/Total Assets	0,41	0,40
Financial Leverage	0,78	0,83
Gearing Percentage	3,57	4,90
PROFITABILITY RATIOS
Net Profit/Stockholders' Eq.	0,11	-0,47
Operating Profit Margin	0,05	-0,07
Net Profit Margin	0,03	-0,11
Interest Cover	3,76	-1,16
COLLECTION-PAYMENT
Average Collection Period (days)	118,18	105,12
Average Payable Period (days)	166,46	159,16
WORKING CAPITAL	-2293,00	-1876,00

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	INR 63.69
UK Pound	1	INR 90.35
Euro	1	INR 79.21
TRY	1	INR 17.00

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)

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.