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|
MIRA
INFORM REPORT
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Report No. : |
492923 |
|
Report Date : |
22.02.2018 |
IDENTIFICATION DETAILS
|
Name : |
DIAMILLENIUM CO., LTD. |
|
|
|
|
Registered Office : |
9th Floor, Gems Tower,1249/78b, Charoenkrung Road, Suriyawongse, Bangrak, Bangkok 10500 |
|
|
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|
Country : |
Thailand |
|
|
|
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Financials (as on) : |
31.12.2016 |
|
|
|
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Date of Incorporation : |
25.01.2000 |
|
|
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Com. Reg. No.: |
0105543008375 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
The subject is engaged in
importing, distributing and
re-exporting various kinds
of diamonds, gemstones and
jewelry products, as
well as exporting
the local products. |
|
|
|
|
No. of Employees : |
3 |
RATING & COMMENTS
(Mira Inform has adopted New Rating mechanism w.e.f. 23rd
January 2017)
|
MIRA’s Rating : |
C |
|
Credit Rating |
Explanation |
Rating Comments |
|
C |
Medium High Risk |
Business dealings permissible preferably
on secured basis |
|
Status : |
Moderate |
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|
|
|
Payment Behaviour : |
Slow |
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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 (30.09.2017) |
Current Rating (31.12.2017) |
|
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 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.
Thailand’s economy is recovering from slow growth during the years since the 2014 coup. 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, household debt levels, political uncertainty, and an aging population pose risks to growth.
|
Source : CIA |
COMPANY NAME
DIAMILLENIUM
CO., LTD.
SUMMARY
BUSINESS
ADDRESS : 9th FLOOR,
GEMS TOWER,
1249/78B, CHAROENKRUNG
ROAD,
SURIYAWONGSE, BANGRAK,
BANGKOK 10500,
THAILAND
TELEPHONE : [66] 2631-7369,
2267-3855, 081 684-1766
FAX :
[66] 2267-3855
E-MAIL
ADDRESS : diamillenium@hotmail.com+
pinkeshvaraiya@yahoo.com
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 2000
REGISTRATION
NO. : 0105543008375 [Former
: 141/2543]
TAX
ID NO. : 3030042637
CAPITAL REGISTERED : BHT. 5,000,000
CAPITAL PAID-UP : BHT.
5,000,000
SHAREHOLDER’S PROPORTION : THAI :
51.00%
INDIAN
: 49.00%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR.
PINKESH KUMAR ASHOK
VARAIYA, INDIAN
MANAGING DIRECTOR
NO.
OF STAFF : 3
LINES
OF BUSINESS : DIAMONDS, GEMSTONES
AND JEWELRY PRODUCTS
IMPORTER, DISTRIBUTOR
AND EXPORTER
CORPORATE
PROFILE
OPERATING
TREND : STABLE
PRESENT
SITUATION : OPERATING NORMALLY
REPUTATION : FAIR
WITH NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT
STANDARD : MANAGEMENT WITH
FAIR PERFORMANCE
HISTORY
The
subject was established on
January 25, 2000
as a private
limited company under
the registered name DIAMILLENIUM
CO., LTD., by Thai and Indian
businessmen, with the
business objective to
import and distribute
diamonds, gemstones and jewelry
products to both local
and overseas markets.
It currently employs
3 staff.
The subject’s registered address was
initially at 322/29 E-1,
Surawongwatanakarn Building, Surawong
Rd., Siphya, Bangrak,
Bangkok 10500.
On
April 2, 2004,
the subject’s registered
address was relocated
to 9th Floor,
Gems
Tower, 1249/78B, Charoenkrung Road,
Suriyawongse, Bangrak, Bangkok
10500, and this
is the subject’s
current operation address.
THE
BOARD OF DIRECTOR
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Pinkesh Kumar Ashok
Varaiya |
|
Indian |
40 |
AUTHORIZED PERSON
The above director
signs on behalf
of the subject
with company’s affixed.
MANAGEMENT
Mr. Pinkesh Kumar
Ashok Varaiya is
the Managing Director.
He is Indian
nationality with the
age of 40
years old.
BUSINESS OPERATIONS
The subject is engaged in
importing, distributing and
re-exporting various kinds
of diamonds, gemstones and
jewelry products, as
well as exporting
the local products.
PURCHASE
Most
of the products
are imported from
India, Republic of
China and Hong Kong,
the remaining is
purchased from local
suppliers.
SALES
The products are
sold locally by
wholesale to traders.
EXPORT
The Thai
jewelry products are
exported and re-exported
to Hong Kong, Japan,
India and Singapore.
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.
SUBSIDIARY AND AFFILIATED
COMPANY
The subject is not
found to have any
subsidiary or affiliated company
here in Thailand.
CREDIT
Sales are by
cash or on
the credits term
of 30-60 days.
Local bills are
paid on the
credits term of
30-60 days.
Imports are by
T/T.
Exports are against
T/T.
BANKING
Bangkok
Bank Public Company
Limited
EMPLOYMENT
The
subject currently employs
3 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 was slowdown from a
decrease in sales
income and a
net loss comparing
to the previous year.
The net loss
was mainly caused
by higher cost
of goods sold
and administrative expenses
which eroded the
profit margin. Without any
improvement in the consumption
of diamonds, gemstones
and jewelry products
or expansion of
jewelry industry, the
subject would encounter
slow growth this
year.
FINANCIAL
INFORMATION
The
capital was registered at
Bht. 4,000,000 divided
into 40,000 shares of
Bht. 100
each.
On
December 1, 2009,
the capital was
increased to Bht. 5,000,000 divided
into 50,000 shares
of Bht. 100
each with fully
paid.
THE
SHAREHOLDERS LISTED WERE
: [as at
August 15, 2017]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Pinkesh Kumar
Ashok Varaiya Nationality: Indian Address : 1249/78B
Charoenkrung Road, Suriyawongse, Bangrak, Bangkok
|
18,900 |
37.80 |
|
Mrs. Teerada Prasatchai Nationality: Thai Address : 1095/22
Soi Phetchkasem 63,
Laksong,
Bangkae, Bangkok |
15,500 |
31.00 |
|
Ms. Shah Sonal Ben Nationality: Indian Address : 1249/78B
Charoenkrung Road, Suriyawongse,
Bangrak, Bangkok |
5,600 |
11.20 |
|
Mr. Sarat Toiyeebee Nationality: Thai Address : 165/30
Moo 3, T. Pimolrat, A. Bangbuathong,
Nonthaburi |
5,000 |
10.00 |
|
Mrs. Sunantha Kasurong Nationality: Thai Address : 136
Soi Krungthep-Kreetha 7,
Huamark,
Bangkapi, Bangkok |
5,000 |
10.00 |
Total Shareholders : 5
SHARE STRUCTURE [AS
AT AUGUST 15,
2017]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
3 |
25,500 |
51.00 |
|
Foreign - Indian |
2 |
24,500 |
49.00 |
|
Total |
5 |
50,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO.
Mr. Piyapong Udom No.
10629
FINANCIALS
DIAMILLENIUM
CO., LTD.
BALANCE SHEET [BAHT]
The latest financial figures published
as at December 31,
2016, 2015 and
2014 were:
ASSETS
|
Current Assets |
2016 |
2015 |
2014 |
|
|
|
|
|
|
Cash and Cash Equivalents |
2,331,410.50 |
2,920,968.08 |
226,413.70 |
|
Trade Accounts and
Other Receivable |
27,434,124.89 |
37,705,398.52 |
28,037,037.05 |
|
Short-term Loan |
4,400,000.00 |
1,785,000.00 |
915,000.00 |
|
Inventories |
24,107,112.47 |
34,721,410.35 |
26,685,250.30 |
|
Other Current Assets
|
149,198.64 |
49,777.41 |
14,747.24 |
|
|
|
|
|
|
Total Current Assets
|
58,421,846.50 |
77,182,554.36 |
55,878,448.29 |
|
|
|
|
|
|
Property, Plant and Equipment |
13,848.99 |
2,672.87 |
2,683.57 |
|
Other Non-current Assets |
49,401.87 |
299,401.87 |
299,401.87 |
|
Total Assets |
58,485,097.36 |
77,484,629.10 |
56,180,533.73 |
LIABILITIES & SHAREHOLDERS’ EQUITY [BAHT]
|
Current Liabilities |
2016 |
2015 |
2014 |
|
|
|
|
|
|
Bank Overdraft and Short-term Loan from Financial Institutions |
4,995,113.53 |
4,974,001.69 |
1,987,027.01 |
|
Trade Accounts and
Other Payable |
51,384,845.90 |
68,790,102.23 |
51,944,467.69 |
|
Accrued Income Tax |
157,762.61 |
152,275.02 |
274,861.96 |
|
Other Current Liabilities |
95,758.68 |
66,459.64 |
36,365.22 |
|
|
|
|
|
|
Total Current Liabilities |
56,633,480.72 |
73,982,838.58 |
54,242,721.88 |
|
Total Liabilities |
56,633,480.72 |
73,982,838.58 |
54,242,721.88 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized, issued
and fully paid share
capital 50,000 shares |
5,000,000.00 |
5,000,000.00 |
5,000,000.00 |
|
|
|
|
|
|
Capital Paid |
5,000,000.00 |
5,000,000.00 |
5,000,000.00 |
|
Retained Earning - Unappropriated [Deficit] |
[3,148,383.36] |
[1,498,209.48] |
[3,062,188.15] |
|
Total Shareholders' Equity |
1,851,616.64 |
3,501,790.52 |
1,937,811.85 |
|
Total Liabilities and
Shareholders' Equity |
58,485,097.36 |
77,484,629.10 |
56,180,533.73 |
PROFIT & LOSS
ACCOUNT
|
Revenue |
2016 |
2015 |
2014 |
|
|
|
|
|
|
Sales or Services Income |
118,175,094.97 |
139,545,810.76 |
122,073,967.48 |
|
Other Income |
854,608.54 |
24,327.98 |
457,423.24 |
|
Total Revenues |
119,029,703.51 |
139,570,138.74 |
122,531,390.71 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold or Services
|
115,309,012.98 |
131,036,618.06 |
119,011,376.72 |
|
Selling Expenses |
- |
49,236.00 |
33,730.00 |
|
Administrative Expenses |
4,720,064.36 |
1,653,791.85 |
1,632,394.51 |
|
Other Expenses |
- |
4,581,707.37 |
- |
|
Total Expenses |
120,029,077.34 |
137,321,353.28 |
120,677,501.23 |
|
|
|
|
|
|
Profit / [Loss] before Financial Cost & Income
Tax |
[999,373.83] |
2,248,785.46 |
1,853,889.48 |
|
Financial Costs |
[313,037.44] |
[282,531.77] |
[193,683.25] |
|
Profit / [Loss] before Income Tax |
[1,312,411.27] |
1,966,253.69 |
1,660,206.23 |
|
Income Tax |
[337,762.61] |
[402,275.02] |
[499,861.96] |
|
|
|
|
|
|
Net Profit / [Loss] |
[1,650,173.88] |
1,563,978.67 |
1,160,344.27 |
DIAMILLENIUM CO.,
LTD.
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2016 |
2015 |
2014 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
1.03 |
1.04 |
1.03 |
|
QUICK RATIO |
TIMES |
0.60 |
0.57 |
0.54 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
8,533.12 |
52,208.23 |
45,489.39 |
|
TOTAL ASSETS TURNOVER |
TIMES |
2.02 |
1.80 |
2.17 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
76.31 |
96.72 |
81.84 |
|
INVENTORY TURNOVER |
TIMES |
4.78 |
3.77 |
4.46 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
84.73 |
98.62 |
83.83 |
|
RECEIVABLES TURNOVER |
TIMES |
4.31 |
3.70 |
4.35 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
162.65 |
191.61 |
159.31 |
|
CASH CONVERSION CYCLE |
DAYS |
(1.61) |
3.73 |
6.36 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
97.57 |
93.90 |
97.49 |
|
SELLING & ADMINISTRATION |
% |
3.99 |
1.22 |
1.36 |
|
INTEREST |
% |
0.26 |
0.20 |
0.16 |
|
GROSS PROFIT MARGIN |
% |
3.15 |
6.12 |
2.88 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
(0.85) |
1.61 |
1.52 |
|
NET PROFIT MARGIN |
% |
(1.40) |
1.12 |
0.95 |
|
RETURN ON EQUITY |
% |
(89.12) |
44.66 |
59.88 |
|
RETURN ON ASSET |
% |
(2.82) |
2.02 |
2.07 |
|
EARNING PER SHARE |
BAHT |
(33.00) |
31.28 |
23.21 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.97 |
0.95 |
0.97 |
|
DEBT TO EQUITY RATIO |
TIMES |
30.59 |
21.13 |
27.99 |
|
TIME INTEREST EARNED |
TIMES |
(3.19) |
7.96 |
9.57 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
(15.31) |
14.31 |
|
|
OPERATING PROFIT |
% |
(144.44) |
21.30 |
|
|
NET PROFIT |
% |
(205.51) |
34.79 |
|
|
FIXED ASSETS |
% |
418.13 |
(0.40) |
|
|
TOTAL ASSETS |
% |
(24.52) |
37.92 |
|
ANNUAL GROWTH :
RISKY
An annual sales growth is -15.31%. Turnover has decreased from THB
PROFITABILITY :
ACCEPTABLE
PROFITABILITY
RATIO
|
Gross Profit Margin |
3.15 |
Impressive |
Industrial Average |
0.62 |
|
Net Profit Margin |
(1.40) |
Deteriorated |
Industrial Average |
0.09 |
|
Return on Assets |
(2.82) |
Deteriorated |
Industrial Average |
2.05 |
|
Return on Equity |
(89.12) |
Deteriorated |
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 3.15%. 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. The company's figure is -1.4%.
When compared with the industry average, the ratio of the company was lower.
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 -2.82%.
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 -89.12%.
Trend of the
average competitors in the same industry for last 5 years
Return on Assets Uptrend
Return on Equity Uptrend
LIQUIDITY :
SATISFACTORY
LIQUIDITY RATIO
|
Current Ratio |
1.03 |
Satisfactory |
Industrial Average |
1.45 |
|
Quick Ratio |
0.60 |
|
|
|
|
Cash Conversion Cycle |
(1.61) |
|
|
|
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 1.03 times in 2016, decrease from 1.04 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 0.6 times in 2016,
increase from 0.57 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 -2 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE : RISKY
LEVERAGE RATIO
|
Debt Ratio |
0.97 |
Acceptable |
Industrial Average |
0.72 |
|
Debt to Equity Ratio |
30.59 |
Risky |
Industrial Average |
2.57 |
|
Times Interest Earned |
(3.19) |
Risky |
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 -3.2 lower than 1, so the company is not generating
enough cash from EBIT to meet its interest obligations.
Debt Ratio shows the proportion of a company's assets which are financed
through debt. The company's figure is 0.97 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 |
8,533.12 |
Impressive |
Industrial Average |
- |
|
Total Assets Turnover |
2.02 |
Deteriorated |
Industrial Average |
23.92 |
|
Inventory Conversion Period |
76.31 |
|
|
|
|
Inventory Turnover |
4.78 |
Deteriorated |
Industrial Average |
51.25 |
|
Receivables Conversion Period |
84.73 |
|
|
|
|
Receivables Turnover |
4.31 |
Deteriorated |
Industrial Average |
59.29 |
|
Payables Conversion Period |
162.65 |
|
|
|
The company's Account Receivable Ratio is calculated as 4.31 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 97 days at the
end of 2015 to 76 days at the end of 2016. This represents a positive trend.
And Inventory turnover has increased from 3.77 times in year 2015 to 4.78 times
in year 2016.
The company's Total Asset Turnover is calculated as 2.02 times and 1.8
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 63.81 |
|
|
1 |
INR 90.66 |
|
Euro |
1 |
INR 79.94 |
|
Thai baht |
1 |
INR 2.06 |
Note :
Above are approximate rates obtained from sources believed to be correct
INFORMATION DETAILS
|
Analysis Done by
: |
PRI |
|
|
|
|
Report Prepared
by : |
SYL |
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.