3decades

MIRA INFORM REPORT

Report No. :	483230
Report Date :	04.01.2018

IDENTIFICATION DETAILS

Name :	NIKOLAKOPOULOS K. & SON SOCIETE ANONYME COMMERCIAL AND INDUSTRIAL FABRIC COMPANY

Registered Office :	14-16 Miltiadou, Athens, 10560, Attiki, Greece

Country :	Greece

Financials (as on) :	December 2016

Date of Incorporation :	29.06.1989

Com. Reg. No.:	2532/001/B/86/2531

Legal Form :	SA - Société Anonyme

Line of Business :	Subject is engaged in Wholesale of textiles

No. of Employees :	10

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 :	Slow

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)

Greece

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

GREECE - ECONOMIC OVERVIEW

Greece has a capitalist economy with a public sector accounting for about 40% of GDP and with per capita GDP about two-thirds that of the leading euro-zone economies. Tourism provides 18% of GDP. Immigrants make up nearly one-fifth of the work force, mainly in agricultural and unskilled jobs. Greece is a major beneficiary of EU aid, equal to about 3.3% of annual GDP.

The Greek economy averaged growth of about 4% per year between 2003 and 2007, but the economy went into recession in 2009 as a result of the world financial crisis, tightening credit conditions, and Athens' failure to address a growing budget deficit. By 2013, the economy had contracted 26%, compared with the pre-crisis level of 2007. Greece met the EU's Growth and Stability Pact budget deficit criterion of no more than 3% of GDP in 2007-08, but violated it in 2009, when the deficit reached 15% of GDP. Deteriorating public finances, inaccurate and misreported statistics, and consistent underperformance on reforms prompted major credit rating agencies to downgrade Greece's international debt rating in late 2009 and led the country into a financial crisis. Under intense pressure from the EU and international market participants, the government accepted a bailout program that called on Athens to cut government spending, decrease tax evasion, overhaul the civil-service, health-care, and pension systems, and reform the labor and product markets. Austerity measures reduced the deficit to 4.5% in 2016. Successive Greek governments, however, failed to push through many of the most unpopular reforms in the face of widespread political opposition, including from the country's powerful labor unions and the general public.

In April 2010, a leading credit agency assigned Greek debt its lowest possible credit rating, and in May 2010, the IMF and euro-zone governments provided Greece emergency short- and medium-term loans worth $147 billion so that the country could make debt repayments to creditors. Greece, however, struggled to meet the targets set by the EU and the IMF, especially after Eurostat - the EU's statistical office - revised upward Greece's deficit and debt numbers for 2009 and 2010. European leaders and the IMF agreed in October 2011 to provide Athens a second bailout package of $169 billion. The second deal called for holders of Greek government bonds to write down a significant portion of their holdings to try to alleviate Greece’s government debt burden. However, Greek banks, saddled with a significant portion of sovereign debt, were adversely affected by the write down and $60 billion of the second bailout package was set aside to ensure the banking system was adequately capitalized.

In 2014, the Greek economy began to turn the corner on the recession. Greece achieved three significant milestones: balancing the budget - not including debt repayments; issuing government debt in financial markets for the first time since 2010; and generating 0.7% GDP growth — the first economic expansion since 2007.

Despite the nascent recovery, widespread discontent with austerity measures helped propel the far-left Coalition of the Radical Left (SYRIZA) party into government in national legislative elections in January 2015. Between January and July 2015, frustrations between the SYRIZA-led government and Greece’s EU and IMF creditors over the implementation of bailout measures and disbursement of funds led the Greek government to run up significant arrears to suppliers and Greek banks to rely on emergency lending, and also called into question Greece’s future in the euro zone. To stave off a collapse of the banking system, Greece imposed capital controls in June 2015 shortly before rattling international financial markets by becoming the first developed nation to miss a loan payment to the IMF. Unable to reach an agreement with creditors, Prime Minister Alexios TSIPRAS held a nationwide referendum on 5 July on whether to accept the terms of Greece’s bailout, campaigning for the ultimately successful “no” vote. The TSIPRAS government subsequently agreed, however, to a new $96 billion bailout in order to avert Greece’s exit from the monetary bloc. On 20 August, Greece signed its third bailout which allowed it to cover significant debt payments to its EU and IMF creditors and ensure the banking sector retained access to emergency liquidity. The TSIPRAS government — which retook office on 20 September after calling new elections in late August — successfully secured disbursal of two delayed tranches of bailout funds. Despite the economic turmoil, Greek GDP did not contract as sharply as feared, with official estimates of a -0.2% contraction in 2015, boosted in part by a strong tourist season.

In 2016, Greece saw slight improvements in GDP and unemployment. The economy remains stagnant, because of unfinished economic reforms, a massive non-performing loan problem, and ongoing uncertainty regarding the political direction of the country. Some estimates put Greece’s black market at 20- to 25% of GDP, as more people have stopped reporting their income to avoid paying taxes that, in some cases, have risen to 70% of an individual’s gross income. These issues will continue to be a drag on the economy in 2017 and further delay recovery from the financial crisis.

Source : CIA

Basic Details

Registered Name	NIKOLAKOPOULOS K. & SON SOCIETE ANONYME COMMERCIAL AND INDUSTRIAL FABRIC COMPANY
English Name	NIKOLAKOPOULOS K. & SON SOCIETE ANONYME COMMERCIAL AND INDUSTRIAL FABRIC COMPANY
Registered Address	14-16 Miltiadou, Athens, 10560, Attiki, Greece
Activities	Wholesale of textiles
Company Status	Registered and operational
Company Reg. No	2532/001/B/86/2531
Company Reg. Date	29/06/1989
Start Date	29/06/1989
Tax Reg. No	094048148
Telephone	+30 2103227810, 2103223775	Fax	+30 2103249803

E-mail	n.nikolakopoulos.sa@gmail.com

Payment Behaviour

Payment habits

Slow

Please note that no payment information is available for the subject company.

Financial Summary

Basic Financial Figures	2016 (EUR)	2015 (EUR)
Revenue	360,425	377,068
Gross Profit	88,019	70,127
Operating Profit	33,062	32,354
Profit Before Tax	30,158	30,637
Net Profit	19,646	17,281
Working Capital	561,102	526,290
Total Equity - Net Worth	719,209	699,563
Long-term Debt	0	0
Accounts Payable	0	0
Accounts Receivable	0	0
Days Sales Outstanding	0	0
Revenue Per Employee	0	0
Trend	EVEN	EVEN
Key Ratios	2016	2015
Gross Profit margin on sales	24.42	18.6
Current Ratio	12.6	62.28
Solvency Ratio	0.41	2.01
Debtor Days	337.69	298.08
Creditor Days	0	0
Probability of Default	Safe zones	Safe zones

Legal Status

CR Number	2532/001/B/86/2531
Legal Type	SA - Société Anonyme

Capital

Authorized Capital

501,945 EUR

Corporate Structure

Directors

Name	Position	ID	Occupation	Age	Nationality	Other Rel.	Appointment date
Mrs Nikolakopoulou, Vassiliki Kon.	Director	042513110 (Reg. No)	Board Member	-	Unknown	No	-

Mr Nikolakopoulos, Nikolaos Kon.	Director	072115142 (Reg. No)	Chairman of the Board	-	Unknown	No	-
Comment: & Chief Executive Officer & Legal Representative

Mrs Nikolakopoulou, Ioanna Kon.	Director	118071839 (Reg. No)	Executive Vice Chairman	-	Unknown	No	-

Shareholders

Name	ID/Reg. No	Nationality	Number of Shares	Percentage of Shares	Other Rel
Mr Nikolakopoulos, Nikolaos Kon.	072115142 (Reg. No.)	Unknown		99

Other Directorship of: Nikolakopoulos, Nikolaos Kon.
No information available
Other Shareholding of: Nikolakopoulos, Nikolaos Kon.
No information available
Mrs Nikolakopoulou, Ioanna Kon.	118071839 (Reg. No.)	Unknown		1

Other Directorship of: Nikolakopoulou, Ioanna Kon.
No information available
Other Shareholding of: Nikolakopoulou, Ioanna Kon.
No information available

Operation and Activities

Activity Code	Description
NACE Code	NACE Description
51.41	Wholesale of textiles

Line of business

SECTOR: White linen and fabric

The subject has the following activities:
Imports and wholesale trade of garment fabrics

Products:
Garment fabrics - Import, Trade

Export to	Payment terms	Percentage
Cyprus	-	N/A

Import from	Payment terms	Percentage
-	-	N/A
The subject imports from the Republic of Korea and Indonesia

Agencies, Suppliers & Brands	Country	Relation	Comment
ANTRE	Germany	Supplier
SAMOUN	Korea (South)	Supplier
VASSILAKIS NIKOLAOS	Greece	Customer	TAX NUMBER: 027775247

Banks	Swift code	Comments
EFG EUROBANK ERGASIAS S.A. - NEAS MARKIS NEA MAKRI, Greece	0260096
NATIONAL BANK OF GREECE S.A. - CHRYSOSPILIOTISSA Greece	0110103

Premises	Comprise of	Address	Square Meters	Type	Comment
Registered Address	Office	14-16 Miltiadou, Athens, 10560, Attiki, Greece	-	Owned	BUILDINGS m2: 1800

Employees	Jan 2018
Full Time Employees of Company	10

Negative Incidents

According to our against the subject no negatives have been registered.

Financial information

Currency	Euro - €
Group Consolidated Accounts	No
Type	Trading & Manufacturing

Corporate financial statement	December 2016	December 2015
STATEMENT OF FINANCIAL POSITION
ASSETS
Non current Assets
Property, Plant & Equipment	158,107 €	173,273 €
Total Non current Assets	158,107 €	173,273 €
Current Assets
Inventories	258,273 €	200,831 €
Receivables	333,459 €	307,935 €
Other Assets	17,757 €	26,112 €
Total current Assets	609,489 €	534,878 €
Total Assets	767,596 €	708,151 €
EQUITY AND LIABILITIES
Equity
Share capital	501,945 €	501,945 €
Other reserves	217,264 €	197,618 €
Total Equity	719,209 €	699,563 €
Other liabilities and charges	48,387 €	8,588 €
Total current liabilities	48,387 €	8,588 €
Total Liabilities	48,387 €	8,588 €
Total Equity and liabilities	767,596 €	708,151 €
STATEMENT OF COMPREHENSIVE INCOME
Revenue	360,425 €	377,068 €
Cost of Sales	-272,406 €	-306,941 €
Gross Profit	88,019 €	70,127 €
Other income	44,010 €	45,253 €
Other expenses	-98,967 €	-83,026 €
Operating Loss/Profit	33,062 €	32,354 €
Finance costs	-2,904 €	-1,717 €
Net finance costs	-2,904 €	-1,717 €
Profit before tax	30,158 €	30,637 €
Tax	-10,512 €	-13,356 €
Net profit/loss for the year*	19,646 €	17,281 €
Other comprehensive income
Total comprehensive income for the year	19,646 €	17,281 €
CASH FLOW STATEMENT
Profit before tax	30,158 €	30,637 €
Adjustments for:
Cash flows (used in)/ from operations	30,158 €	30,637 €
Net Cash flows (used in)/ from operating activities	30,158 €	30,637 €
Net (decrease)/increase in cash and cash equivalents	30,158 €	30,637 €
Cash and cash equivalents:
At end of the year	30,158 €	30,637 €

Key Ratios	December 2016	December 2015
Profitability Ratios
Gross Profit margin on sales	0.24	0.19
Return on assets (ROA)	0.03	0.02
Return on Equity	2.73	2.47
Operating Income margin	9.17	8.58
Liquidity Ratios
Current Ratio	12.6	62.28
Quick Ratio	7.26	38.9
Turnover Ratios
Sales to Net Working Capital Ratio	0.64	0.72
Total assets turnover (times)	0.47	0.53
Debtor Days	337.69	298.08
Creditor Days	0	0
Leverage Ratios
Debt to Equity	0.07	0.01
Interest Coverage Ratio	-9.38	-16.84

Additional Information

Conclusion

G.E.MI.: 292201000

COMPANY`S HISTORY
Established in June of 1989 and deals with the trade f garment fabrics. Subject continues the business activities of the sole proprietorship NIKOLAKOPOULOS KONSTANTINOS, originally founded in 1952. On 8.9.1989 (Gov. Gaz 3363/89), subject`s title changed from NIKOLAKOPOULOS N. BROS S.A. to the above mentioned.

Former Names
NAME: NIKOLAKOPOULOS N. BROS S.A.
DATE OF CHANGE: 08/09/1989

Please note that the information provided in this report was obtained from official and publicly available sources.

Industry Developments

INDUSTRY HIGHLIGHTS
The commercial sector of white linen and fabric consists of a large number of companies, while only few of them are large-sized. In recent years chain stores developed mainly through franchise
networks have entered the market. These companies have both privately-owned and collaborating stores, as well as shops in shop in shopping centers.
Currently 4 organized chains operate in the Greek market. Bed & Bath has the most extensive network with 27 stores, followed by Epavlis with 18 stores (and 21 corners in and out of Attica),
Selections Hitiroglou with 9 stores and Palladium with 6 stores.
The chains and the larger commercial enterprises of the sector import branded products of high quality from well-known foreign white linen brands, mainly from EU, which are priced at relatively
high levels. On the contrary, the participation of domestic products in their product range is gradually restricted due to import penetration.
The main part of the market is occupied by companies importing cheaper products, mainly from Asian countries, thus gaining significant market shares. These products usually lack quality compared
to imported branded and domestic products; however, they are preferred by consumers due to their competitive prices. Usually, they are traded by small stores, street markets, bazaars, street
traders etc.
According to market estimations, imported products account for 80% of the total, while 70% of the available products are priced at quite affordable levels.
The white linen sector in recent years has undergone significant drop in sales as households ?due to the declining disposable income and uncertainty and negative psychology caused by the economic
recession- restrict their expenses to the strictly necessary products.
The decline in sales led many companies to apply discount policy to attract more consumers, who gradually turn to cheaper solutions.

Financial benchmarking analysis
The company does not employ short-term bank debt, according to its latest published financial statements, whereas the median ratio in the sector is 20.90% (short term
bank debt to sales).
Total liabilities increase as percentage of total assets, at 6.30% , (1.21% in 2015) , whereas the median ratio for the sector is estimated at 45.68% . Debt to equity ratio
(leverage) is estimated at very low -but increased compared to 2015- levels, at 0.07 to 1, whereas the median ratio for the sector is estimated at 0.56 to 1. Interest
coverage by operating profit is estimated at rather high -but lower compared to 2015- levels, at 16.61 times, whereas the median ratio for the sector is estimated at 2.33
times.
Total current assets grow as percentage of total assets, at 79.40% , (75.53% in 2015) , whereas the median ratio for the sector is estimated at 98.12% . In the same
time, current liabilities are relatevily low as a portion of total assets (6.30%) driving the quick ratio to a very high level of 12.60 -but lower compared to 2015- , whereas
the median ratio for the sector is estimated at 2.51 . Inventory as percentage of total assets are 42.38% , (37.55% in 2015) , whereas the median ratio for the sector is
estimated at 88.40% . In addition, acid test ratio is rather high at 7.26 -but lower compared to 2015- , whereas the median ratio for the sector is estimated at 0.98 .
Trade cycle is estimated at 619 days, (395 days the median ratio for the sector). Total assets turnover drops to 0.47 times (0.53 in 2015), which compared to the sector
(0.47 times) does not deviate from the sector median.
Gross profit margin improves at 24.42% , (from 18.60% in 2015) , which is very low compared to the median ratio in the sector (36.36% ). EBITDA margin slightly improves
at 13.38% , (from 12.60% in 2015) , which is very high compared to the median ratio in the sector (5.89% ). Return on equity (RoE) slightly drops to 4.19% , (from 4.38% in
2015) , which is in line with the median ratio in the sector (4.19% ).

Country Developments
Below information is taken from World Bank Report of 2015
Ease of Doing Business rank (1-189)	61
Overall Distance to frontier (DTF) Score (0-100)	66.70
GNI per Capita (US$)	22.530
Getting Credit(rank)
Protecting minority investors (rank)	62
Trading across borders (rank)	48
Population	11.
Resolving insolvency (0-100)	52

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	INR 63.48
UK Pound	1	INR 86.41
Euro	1	INR 76.54
Euro	1	INR 76.31

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

INFORMATION DETAILS

Analysis Done by :	NIY

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.