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|
MIRA INFORM REPORT
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Report No. : |
491978 |
|
Report Date : |
13.02.2018 |
IDENTIFICATION DETAILS
|
Name : |
PRIYAANK
INTERNATIONAL COMPANY LIMITED |
|
|
|
|
Registered Office : |
13th Floor, Bangkok
Gems & Jewelry Tower, 322/23 Surawong Road, Siphraya, Bangrak, Bangkok 10500 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2016 |
|
|
|
|
Date of Incorporation : |
09.04.1990 |
|
|
|
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Com. Reg. No.: |
0105533040934 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
The subject
is engaged in
international trading business
as the followings: - Importing and distributing of diamonds and
gemstones. - Exporting of
Thai cutting diamonds
and gems, as
well as diamond
and gold jewelry products. |
|
|
|
|
No. of Employees : |
4 |
RATING & COMMENTS
(Mira Inform has adopted New Rating mechanism w.e.f. 23rd
January 2017)
|
MIRA’s Rating : |
B |
|
Credit Rating |
Explanation |
Rating Comments |
|
B |
Medium Risk |
Business dealings permissible on a regular
monitoring basis |
|
Status : |
Moderate |
|
|
|
|
Payment Behaviour : |
Slow but correct |
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|
|
|
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) |
|
Thailand |
A2 |
A2 |
|
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 |
THAILAND - ECONOMIC OVERVIEW
With a relatively well-developed infrastructure, a free-enterprise
economy, and generally pro-investment policies, Thailand is highly dependent on
international trade, with exports accounting for about two-thirds of GDP.
Thailand’s exports include electronics, agricultural commodities, automobiles
and parts, and processed foods. The industry and service sectors produce about
90% of GDP. The agricultural sector, comprised mostly of small-scale farms,
contributes only 10% of GDP but employs about one-third of the labor force.
Thailand has attracted an estimated 3.0-4.5 million migrant workers, mostly
from neighboring countries.
Over the last few decades, Thailand has sustained strong growth and has
reduced poverty substantially. In 2013, the Thai Government implemented a
nationwide 300 baht (roughly $10) per day minimum wage policy and deployed new
tax reforms designed to lower rates on middle-income earners.
Growth has slowed in the last few years, however, due to domestic
political turmoil and sluggish global demand. Nevertheless, Thailand’s economic
fundamentals are sound, with low inflation, low unemployment, and reasonable
public and external debt levels. Tourism and government spending - mostly on
infrastructure and short-term stimulus measures – have helped to boost the
economy, and The Bank of Thailand has been supportive, with several interest
rate reductions.
Over the longer-term, Thailand faces labor shortages, and domestic debt
levels, political uncertainty, and an aging population pose risks to growth.
|
Source
: CIA |
Company
name
PRIYAANK
INTERNATIONAL COMPANY LIMITED
SUMMARY
BUSINESS ADDRESS : 13TH FLOOR,
BANGKOK GEMS & JEWELRY
TOWER, 322/23 SURAWONG ROAD, SIPHRAYA, BANGRAK, BANGKOK 10500, THAILAND
TELEPHONE : [66] 2238-3880-3,
089 480-0761
FAX : [66] 2238-3884
E-MAIL ADDRESS : -
REGISTRATION ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED : 1990
REGISTRATION NO. : 0105533040934
TAX ID NO. : 3101820218
CAPITAL REGISTERED : BHT.
20,500,000
CAPITAL PAID-UP : BHT.
20,500,000
SHAREHOLDER’S PROPORTION : THAI
: 51.00%
INDIAN
: 49.00%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL STATUS : PRIVATE LIMITED COMPANY
EXECUTIVE : MR. PRADEEP RAGHUNATH
LODHA, INDIAN
MANAGING DIRECTOR
NO. OF STAFF : 4
LINES OF BUSINESS : DIAMONDS, GEMS
AND JEWELRY PRODUCTS
IMPORTER,
DISTRIBUTOR AND EXPORTER
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 April
9, 1990 as a
private limited company
under the registered
name PRIYAANK INTERNATIONAL
COMPANY LIMITED, by
Thai and Indian groups,
with the business
objective to operate
as a jewelry trading.
It currently employs
4 staff.
The subject’s registered
address is 13th Floor,
Bangkok Gems &
Jewelry Tower, 322/23
Surawong Rd., Siphraya, Bangrak,
Bangkok 10500, and this is the
subject’s current operation
address.
THE
BOARD OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Pradeep Raghunath Lodha |
|
Indian |
54 |
|
Ms. Nirmala Sacheti |
|
Indian |
73 |
AUTHORIZED
PERSON
One of the
above directors can
sign on behalf
of the subject
with company’s affixed.
MANAGEMENT
Mr. Pradeep Raghunath
Lodha is the
Managing Director.
He is Indian
nationality with the
age of 54
years old.
BUSINESS
OPERATIONS
The subject is
engaged in international
trading business as
the followings:
- Importing and distributing of diamonds and gemstones.
- Exporting of
Thai cutting diamonds
and gems, as
well as diamond
and gold jewelry products.
PURCHASE
The products are purchased from
suppliers and manufacturers
both domestic and
overseas, mainly in
India, Hong Kong, Belgium,
Republic of China
and South Africa.
SALES [LOCAL]
The products are
sold locally to
jewelry manufacturers, traders
and end-users.
EXPORT
The products are
exported and re-exported
to Hong Kong, Japan, U.S.A., India,
Republic of China
and countries in Europe.
RELATED
AND AFFILIATED COMPANY
Prestorise Intertrade Co.,
Ltd.
Business Type :
Importer and distributor
of jewelry 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
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
or T/T.
Exports are against
T/T.
BANKING
Bangkok Bank Public
Company Limited
EMPLOYMENT
The subject employs
4 staff.
LOCATION
DETAILS
The premise is
rented for administrative office
at the heading
address. Premise is
located in a
prime commercial area.
COMMENT
The subject’s operating
performance in 2016
has seen an
improvement with an increase
in both sales
or service income
and net profit
comparing to the previous
year. This was mainly
due to improvement
in demand of the products
from some jewelry
operators of both
local and overseas
markets. The subject’s
business remains promising
and growing moderately.
FINANCIAL
INFORMATION
The capital was
registered at Bht.
1,000,000 divided into
10,000 shares of Bht. 100
each.
The capital was
increased later as
following:
Bht. 2,000,000
on September 26,
1990
Bht. 6,000,000
on February 4,
1994
Bht. 15,000,000
on January 18,
1995
Bht. 20,500,000
on December 25,
2002
The latest registered
capital was increased
to Bht. 20,500,000 divided
into 205,000 shares of Bht.
100 each with fully paid.
THE
SHAREHOLDERS LISTED WERE
[As at August 7, 2017]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Ms. Mahee Lodha Nationality: Thai Address : 1867/93
Charoennakorn Rd.,
Banglampulang, Klongsan, Bangkok |
104,351 |
50.90 |
|
Mr. Pradeep Raghunath Lodha Nationality: Indian Address : 322/23
Surawong Rd., Siphraya, Bangrak, Bangkok |
59,999 |
29.27 |
|
Ms. Nirmala Sacheti Nationality: Indian Address : 1867/85
Charoennakorn Rd.,
Banglampulang, Klongsan, Bangkok |
26,950 |
13.15 |
|
Mrs. Sukesee Lodha Nationality: Indian Address : 1867/85
Charoennakorn Rd.,
Banglampulang, Klongsan, Bangkok |
13,500 |
6.58 |
|
Ms. Araya Thirachawalit Nationality: Thai Address : 2/108
Soi Ratpattana, Sapansung, Bangkok |
100 |
0.05 |
Mrs. Anupa Naruela Nationality: Thai Address : 32/31-32 Sukhumvit 26
Rd., Klongton,
Klongtoey, Bangkok |
100 |
0.05 |
Total Shareholders : 6
Share
Structure
[As at August 7, 2017]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
3 |
104,551 |
51.00 |
|
Foreign - Indian |
3 |
100,449 |
49.00 |
|
Total |
6 |
205,000 |
100.00 |
NAME OF AUDITOR & CERTIFIED PUBLIC
ACCOUNTANT NO.
Ms. Nongnuch Ouitrakul No. 2241
BALANCE
SHEET [BAHT]
The latest financial
figures published for December
31, 2016, 2015
and 2014 were:
ASSETS
|
Current Assets |
2016 |
2015 |
2014 |
|
|
|
|
|
|
Cash and Cash Equivalents |
443,916.48 |
847,222.62 |
576,658.88 |
|
Short-term Investment |
66,688.29 |
64,947.48 |
63,033.75 |
|
Trade Accounts and
Other Receivable |
52,990,988.12 |
44,999,021.05 |
79,971,784.02 |
|
Inventories |
129,201,159.56 |
108,939,293.94 |
59,829,799.12 |
|
Other Current Assets
|
20,538.48 |
1,958.24 |
3,156.80 |
|
|
|
|
|
|
Total Current
Assets |
182,723,290.93 |
154,852,443.33 |
140,444,432.57 |
|
Property, Plant and Equipment |
318,494.72 |
474,860.33 |
1,081,551.86 |
|
Intangible Assts |
3,217.99 |
6,289.13 |
9,690.55 |
|
Other Non-current Assets |
10,614,658.28 |
10,500,000.00 |
- |
|
Total Assets
|
193,659,661.92 |
165,833,592.79 |
141,535,674.98 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2016 |
2015 |
2014 |
|
|
|
|
|
|
Bank Overdraft and Short-term Loan from Financial Institution |
115,423,051.81 |
98,915,262.72 |
88,715,167.54 |
|
Trade Accounts and Other Payable |
39,886,768.28 |
30,391,147.26 |
10,480,573.73 |
|
Accrued Income Tax |
451,565.62 |
281,598.25 |
434,036.73 |
|
Other Current Liabilities |
- |
- |
353,230.47 |
|
|
|
|
|
|
Total Current
Liabilities |
155,761,385.71 |
129,588,008.23 |
99,983,008.47 |
|
Total Liabilities |
155,761,385.71 |
129,588,008.23 |
99,983,008.47 |
|
|
|
|
|
|
Shareholders'
Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized and
issued share capital 205,000
shares |
20,500,000.00 |
20,500,000.00 |
20,500,000.00 |
|
|
|
|
|
|
Capital Paid |
20,500,000.00 |
20,500,000.00 |
20,500,000.00 |
|
Retained Earning –Unappropriated [Deficit] |
17,398,276.21 |
15,745,584.56 |
21,052,666.51 |
|
Total Shareholders' Equity |
37,898,276.21 |
36,245,584.56 |
41,552,666.51 |
|
Total Liabilities
and Shareholders' Equity |
193,659,661.92 |
165,833,592.79 |
141,535,674.98 |
PROFIT
& LOSS ACCOUNT
|
Revenue |
2016 |
2015 |
2014 |
|
|
|
|
|
|
Sales or Service Income |
202,074,167.11 |
174,094,390.55 |
181,003,086.95 |
|
Other Income |
2,104,988.93 |
254,721.14 |
1,408,265.55 |
|
Total Revenues
|
204,179,156.04 |
174,349,111.69 |
182,411,352.50 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold or Service |
193,193,680.15 |
163,658,194.69 |
168,780,924.75 |
|
Selling Expenses |
694,943.15 |
960,174.23 |
1,977,326.56 |
|
Administrative Expenses |
5,144,829.55 |
5,467,540.46 |
5,197,424.18 |
|
Other Expenses |
- |
5,928,402.30 |
- |
|
Total Expenses |
199,033,452.85 |
176,014,311.68 |
175,955,675.49 |
|
|
|
|
|
|
Profit /[Loss] before Financial Cost & Income Tax |
5,145,703.19 |
[1,665,199.99] |
6,455,677.01 |
|
Financial Cost |
[2,640,287.76] |
[2,910,283.71] |
[2,772,338.82] |
|
|
|
|
|
|
Profit /[Loss] before Income Tax |
2,505,415.43 |
[4,575,483.70] |
3,683,338.19 |
|
Income Tax |
[852,723.78] |
[731,598.25] |
[884,036.73] |
|
Net Profit / [Loss] |
1,652,691.65 |
[5,307,081.95] |
2,799,301.46 |
FINANCIAL
ANALYSIS
|
ITEM |
UNIT |
2016 |
2015 |
2014 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
1.17 |
1.19 |
1.40 |
|
QUICK RATIO |
TIMES |
0.34 |
0.35 |
0.81 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
634.47 |
366.62 |
167.35 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.04 |
1.05 |
1.28 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
244.10 |
242.96 |
129.39 |
|
INVENTORY TURNOVER |
TIMES |
1.50 |
1.50 |
2.82 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
95.72 |
94.34 |
161.27 |
|
RECEIVABLES TURNOVER |
TIMES |
3.81 |
3.87 |
2.26 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
75.36 |
67.78 |
22.66 |
|
CASH CONVERSION CYCLE |
DAYS |
264.46 |
269.53 |
267.99 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
95.61 |
94.01 |
93.25 |
|
SELLING & ADMINISTRATION |
% |
2.89 |
3.69 |
3.96 |
|
INTEREST |
% |
1.31 |
1.67 |
1.53 |
|
GROSS PROFIT MARGIN |
% |
5.44 |
6.14 |
7.53 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
2.55 |
(0.96) |
3.57 |
|
NET PROFIT MARGIN |
% |
0.82 |
(3.05) |
1.55 |
|
RETURN ON EQUITY |
% |
4.36 |
(14.64) |
6.74 |
|
RETURN ON ASSET |
% |
0.85 |
(3.20) |
1.98 |
|
EARNING PER SHARE |
BAHT |
8.06 |
(25.89) |
13.66 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.80 |
0.78 |
0.71 |
|
DEBT TO EQUITY RATIO |
TIMES |
4.11 |
3.58 |
2.41 |
|
TIME INTEREST EARNED |
TIMES |
1.95 |
(0.57) |
2.33 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
16.07 |
(3.82) |
|
|
OPERATING PROFIT |
% |
(409.01) |
(125.79) |
|
|
NET PROFIT |
% |
131.14 |
(289.59) |
|
|
FIXED ASSETS |
% |
(32.93) |
(56.09) |
|
|
TOTAL ASSETS |
% |
16.78 |
17.17 |
|
ANNUAL
GROWTH: SATISFACTORY
An annual sales growth is 16.07%. Turnover has increased from THB
PROFITABILITY:
IMPRESSIVE
PROFITABILITY
RATIO
|
Gross Profit Margin |
5.44 |
Impressive |
Industrial Average |
0.62 |
|
Net Profit Margin |
0.82 |
Impressive |
Industrial Average |
0.09 |
|
Return on Assets |
0.85 |
Acceptable |
Industrial Average |
2.05 |
|
Return on Equity |
4.36 |
Satisfactory |
Industrial Average |
7.33 |
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. Gross Profit Margin is 5.44%. 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. Net Profit Margin ratio is 0.82%,
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. When compared with the
industry average, it was lower, the company's figure is 0.85%.
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 4.36%.
Trend of the
average competitors in the same industry for last 5 years
Return on Assets Uptrend
Return on Equity Uptrend
LIQUIDITY : RISKY
LIQUIDITY RATIO
|
Current Ratio |
1.17 |
Satisfactory |
Industrial Average |
1.45 |
|
Quick Ratio |
0.34 |
|
|
|
|
Cash Conversion Cycle |
264.46 |
|
|
|
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 1.17 times in 2016, decrease from 1.19 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 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 0.34 times in 2016,
decrease from 0.35 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 265 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE :
ACCEPTABLE
LEVERAGE RATIO
|
Debt Ratio |
0.80 |
Acceptable |
Industrial Average |
0.72 |
|
Debt to Equity Ratio |
4.11 |
Risky |
Industrial Average |
2.57 |
|
Times Interest Earned |
1.95 |
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 1.95 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 0.8 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:
ACCEPTABLE
ACTIVITY RATIO
|
Fixed Assets Turnover |
634.47 |
Impressive |
Industrial Average |
- |
|
Total Assets Turnover |
1.04 |
Deteriorated |
Industrial Average |
23.92 |
|
Inventory Conversion Period |
244.10 |
|
|
|
|
Inventory Turnover |
1.50 |
Deteriorated |
Industrial Average |
51.25 |
|
Receivables Conversion Period |
95.72 |
|
|
|
|
Receivables Turnover |
3.81 |
Deteriorated |
Industrial Average |
59.29 |
|
Payables Conversion Period |
75.36 |
|
|
|
The company's Account Receivable Ratio is calculated as 3.81 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 increased from 243 days at the
end of 2015 to 244 days at the end of 2016. This represents a negative trend.
And Inventory turnover is 1.5 times in
year 2015, same figure
as in 2016.
The company's Total Asset Turnover is calculated as 1.04 times and 1.05 times
in 2016 and 2015 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 Downtrend
Receivables Turnover Downtrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
INR 64.28 |
|
|
1 |
INR 89.02 |
|
Euro |
1 |
INR 78.93 |
|
Thai Baht |
1 |
INR 2.04 |
Note:
Above are approximate rates obtained from sources believed to be correct
INFORMATION DETAILS
|
Analysis Done by
: |
VIV |
|
|
|
|
Report Prepared
by : |
NIT |
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.