|
|
|
MIRA INFORM REPORT
|
Report No. : |
486337 |
|
Report Date : |
17.01.2018 |
IDENTIFICATION DETAILS
|
Name : |
SUMMIT FOOTWEAR
CO., LTD. |
|
|
|
|
Registered Office : |
5/4 Moo 1, Bangna-Trad Road, K.M. 16,
T. Bangchalong, A. Bangplee, Samutprakarn 10540 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2016 |
|
|
|
|
Date of Incorporation : |
01.06.1979 |
|
|
|
|
Com. Reg. No.: |
0115522000260 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Manufacturer, Distributor and Exporter of Footwear Products. |
|
|
|
|
No. of Employees : |
1,600 |
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.
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 AND ADDRESS
SUMMIT FOOTWEAR CO., LTD.
SUMMARY
BUSINESS ADDRESS : 5/4 MOO 1,
BANGNA-TRAD ROAD, K.M.
16,
T. BANGCHALONG, A. BANGPLEE,
SAMUTPRAKARN
10540, THAILAND
TELEPHONE : [66]
2337-0015-20
FAX : [66] 2337-0844,
2337-0294, 2337-0298
E-MAIL ADDRESS ; sale@aerosoftshoe.com
REGISTRATION ADDRESS : SAME AS BUSINESS ADDRESS
ESTABLISHED : 1979
REGISTRATION NO. : 0115522000260
[Former: SOR. POR. 24]
TAX ID NO. : 3271003954
CAPITAL REGISTERED : BHT. 40,000,000
CAPITAL PAID-UP
: BHT. 40,000,000
SHAREHOLDER’S PROPORTION : THAI : 100%
FISCAL YEAR
CLOSING DATE : DECEMBER
31
LEGAL STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR. KOMOL
JUNGRUNGREANGKIT, THAI
MANAGING DIRECTOR
NO. OF
STAFF : 1,600
LINES OF
BUSINESS : FOOTWEAR PRODUCTS
MANUFACTURER, 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 June 1, 1979 as
a private limited company under the
registered name “Summit
Autoseats and Parts
Co., Ltd.” by
Thai group, with
the initial aim
to manufacture autoseat
products.
On December
9, 1994, the
subject’s name was
changed to “Summit Footwears
and Seats Co.,
Ltd.”
On June
18, 2001, its
name was finally
changed to SUMMIT
FOOTWEAR CO., LTD., with
the business objective
to manufacture various
styles of footwear
for both local
and overseas markets. It
currently employs approximately 1,600
staff.
The subject’s
registered address is at 5/4
Moo 1, Bangna-Trad
Rd., K.M. 16, T. Bangchalong, A. Bangplee, Samutprakarn
10540, and this is
the company’s current
operation address.
THE
BOARD OF DIRECTOR
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Komol
Jungrungreangkit |
[x] |
Thai |
67 |
|
Ms. Suvimol
Thongkorn |
|
Thai |
61 |
|
Ms. Thiemjai
Sasisart |
|
Thai |
61 |
|
Ms. Kulchulee
Sujjavata |
|
Thai |
52 |
|
Mrs. Saowanee
Chitsantisuk |
|
Thai |
58 |
|
Ms. Puripas
Jungrungreangkit |
[x] |
Thai |
33 |
AUTHORIZED
PERSON
One of
the mentioned directors
[x] can sign
or any two
the rest directors
can jointly sign
on behalf of the subject
with company’s affixed.
MANAGEMENT
Mr.
Komol Jungrungreangkit is the
Managing Director.
He is
Thai nationality with
the age of
67 years old.
Ms. Puripas
Jungrungreangkit is
the Deputy Managing
Director.
She is
Thai nationality with
the age of
33 years old.
Ms. Suvimol
Thongkorn is
the Deputy Managing
Director and Factory
Manager.
She is
Thai nationality with
the age of 61 years
old.
Ms.
Kanthicha Kantavanich
is the Marketing
Manager [Overseas].
She is
Thai nationality.
Ms. Pimkavin
Chayatangwatana is
the Marketing Manager [Local].
She is
Thai nationality.
BUSINESS
OPERATIONS
The subject
is engaged in
manufacturing and distributing
footwear products consisting
of slippers under
“AEROSOFT” brand and
sneakers under “AEROSOFT
FLY” brand.
PRODUCTION CAPACITY
4,000,000 pairs per
month
PURCHASE
Most of
raw materials and
accessories are purchased
from local suppliers
and agents, the
remaining is imported
from Republic of
China and Taiwan.
SALES
80% of
the products is
sold locally by
wholesale to dealers
and department stores nationwide, and
the remaining 20%
is exported to
Nigeria, Bangladesh, Singapore,
Vietnam, India, Turkey,
Hong Kong, Pakistan,
Myanmar, Kenya, Denmark,
Germany, Bahrain, Yemen,
Oman, Laos, United
Arab Emirates, Israel,
Qatar, Nepal, Iran,
Uganda, Morocco, Ghana,
Tanzania, Rwanda, Libya,
Algeria, Philippines and
South Africa.
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 for
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 by
cash or on
the credits term
of 30-60 days.
Imports are
by T/T.
Exports are
against T/T.
BANKING
Bank
of Ayudhya Public
Company Limited
[Head
Office : 1222
Rama 3 Rd.,
Bangpongpang, Yannawa, Bangkok
10120]
Bangkok Bank
Public Company Limited
EMPLOYMENT
The subject employs
approximately 1,600 office
staff and factory
workers.
LOCATION
DETAILS
The premise is
owned for administrative office,
factory I and warehouse on
approximately 40,000 square meters
of area at
the heading address. Premise is located in
industrial area.
Other Factories/
Warehouses :
Factory II : 5/7
Moo 1, Bangna-Trad Rd., K.M.
16, T. Bangchalong, A. Bangplee,
Samutprakarn 10540
Factory III : 5/9
Moo 1, Bangna-Trad Rd.,
K.M. 16, T. Bangchalong, A. Bangplee,
Samutprakarn 10540
COMMENT
At the beginning
the subject had operated as an automobile seat manufacture, but later has changed
its production to footwear products. However, the raw materials are still the
same as auto seats materials
which are PVC and genuine leather.
Decline domestic
and overseas consumption
had also affected
on a decrease
in the subject’s
sales income and
net profit in
2016 comparing to
the previous year,
while the current
market situation remains
still.
FINANCIAL
INFORMATION
The capital was initially registered at Bht. 5,000,000 divided
into 50,000 shares of Bht.100 each.
The capital was
increased later as
follows:
Bht. 9,000,000 on
November 18, 1981
Bht. 15,000,000 on
January 28, 1983
Bht. 21,000,000 on
January 21, 1986
Bht. 40,000,000 on
June 12, 1998
The latest registered
capital was increased to Bht.
40,000,000 divided into 400,000 shares of
Bht. 100 each with
fully paid.
THE
SHAREHOLDERS LISTED WERE
[As at
April 30, 2017]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Komol
Jungrungreangkit Nationality: Thai Address :
5/7 Moo 1, Bangna-Trad Road,
K.M. 16, T. Bangchalong, A. Bangplee, Samutprakarn |
319,700 |
79.93 |
|
Ms. Puripas
Jungrungreangkit Nationality: Thai Address :
22 Soi Supapong
3, Nongbon Prawet, Bangkok |
80,000 |
20.00 |
|
Ms. Thapornpat Jungrungreangkit
Nationality: Thai Address :
139 Mooban Suannakarin
2, Nongbon, Prawet, Bangkok |
100 |
|
|
Summit
Starhome Co., Ltd. Nationality: Thai Address :
22, 22/1-2 Soi Supapong
3, Nongbon Prawet, Bangkok |
100 |
=
0.07 |
|
Ms. Suvimol Thongkorn Nationality: Thai Address :
95/2 Moo 2,
Soi Baring 50, Sukhumvit 107
Road, T. Samrongnua, A.
Muang, Samutprakarn |
100 |
|
Total Shareholders : 5
Share
Structure
[As at
April 30, 2017]
|
Nationality |
Shareholders |
No. of
Share |
% Shares |
|
|
|
|
|
|
Thai |
5 |
400,000 |
100.00 |
|
Foreign |
- |
- |
- |
|
Total |
5 |
400,000 |
100.00 |
NAME OF AUDITOR & CERTIFIED PUBLIC
ACCOUNTANT NO.
Ms. Pranee
Phol-ngam No. 4987
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 |
81,288,937.73 |
85,319,083.29 |
113,160,026.99 |
|
Short-term
Investment |
969,552,923.78 |
952,736,338.40 |
737,677,474.57 |
|
Trade Accounts
and Other Receivable
|
597,194,302.76 |
565,649,689.62 |
604,210,434.49 |
|
Short-term
Loan to Related Company |
- |
- |
2,000,000.00 |
|
Inventories |
333,617,553.76 |
362,060,646.97 |
455,043,005.99 |
|
Revenue
Department Receivable |
- |
- |
21,824,555.40 |
|
Other Current
Assets |
9,548,751.59 |
30,533,181.75 |
2,360,610.77 |
|
|
|
|
|
|
Total Current
Assets |
1,991,202,469.62 |
1,996,298,940.03 |
1,936,276,108.21 |
|
|
|
|
|
|
Other Long-term
Investment |
1,062,998,390.00 |
862,581,948.00 |
852,032,230.00 |
|
Property, Plant
and Equipment |
209,204,879.73 |
239,053,840.20 |
239,196,671.72 |
|
Intangible Assets |
4,526,477.50 |
1,654,903.13 |
428,174.62 |
|
Other Non-current
Assets |
10,845,290.95 |
13,465,671.90 |
13,556,925.87 |
|
Total Assets |
3,278,777,507.80 |
3,113,055,303.26 |
3,041,490,110.42 |
LIABILITIES & SHAREHOLDERS’ EQUITY [BAHT]
|
Current Liabilities |
2016 |
2015 |
2014 |
|
|
|
|
|
|
Bank
Overdraft and Short-term Loan From Financial Institutions |
14,814,648.55 |
17,243,494.26 |
32,966,448.88 |
|
Trade Accounts
and Other Payable
|
381,185,861.46 |
324,387,952.41 |
335,078,737.49 |
|
Accrued Income
Tax |
1,558,543.14 |
21,784,024.40 |
1,357,074.08 |
|
Other Current
Liabilities |
1,230,890.31 |
1,822,198.57 |
1,754,073.00 |
|
|
|
|
|
|
Total Current
Liabilities |
398,789,943.46 |
365,237,669.64 |
371,156,333.45 |
|
Total Liabilities
|
398,789,943.46 |
365,237,669.64 |
371,156,333.45 |
|
|
|
|
|
|
Shareholders'
Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized
and issued share
capital 400,000 shares |
40,000,000.00 |
40,000,000.00 |
40,000,000.00 |
|
|
|
|
|
|
Capital Paid |
40,000,000.00 |
40,000,000.00 |
40,000,000.00 |
|
Retained Earnings
– Unappropriated [Deficit] |
2,445,679,847.91 |
2,378,926,359.19 |
2,247,020,420.54 |
|
Other
Components of Equity |
394,307,716.43 |
328,891,274.43 |
383,313,356.43 |
|
Total Shareholders' Equity |
2,879,987,564.34 |
2,747,817,633.62 |
2,670,333,776.97 |
|
Total Liabilities
and Shareholders' Equity |
3,278,777,507.80 |
3,113,055,303.26 |
3,041,490,110.42 |
PROFIT
& LOSS ACCOUNT
|
Revenue |
2016 |
2015 |
2014 |
|
|
|
|
|
|
Sales or Services Income |
1,527,760,145.56 |
1,865,323,272.25 |
2,781,313,105.19 |
|
Gain on Exchange
Rate |
- |
- |
11,367,994.94 |
|
Gain on Sales of
Investment |
- |
- |
30,234,750.08 |
|
Other Income |
15,109,060.14 |
126,622,158.55 |
15,395,953.06 |
|
Total Revenues |
1,542,869,205.70 |
1,991,945,430.80 |
2,838,311,803.27 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of
Goods Sold or Services
|
1,300,801,579.11 |
1,639,525,015.31 |
2,400,010,251.25 |
|
Selling Expenses |
68,769,435.39 |
110,366,852.55 |
105,432,082.60 |
|
Administrative Expenses |
80,293,639.38 |
75,933,299.66 |
75,094,695.29 |
|
Other Expenses |
4,970,511.67 |
- |
- |
|
Total Expenses
|
1,454,835,165.55 |
1,825,825,167.52 |
2,580,537,029.14 |
|
|
|
|
|
|
Profit /
[Loss] before Financial Cost &
Income Tax |
88,034,040.15 |
166,120,263.28 |
257,774,774.13 |
|
Financial Cost |
[2,606,310.88] |
[320,269.38] |
[499,456.09] |
|
Profit /
[Loss] before Income
Tax |
85,427,729.27 |
165,799,993.90 |
257,275,318.04 |
|
Income Tax |
[18,674,240.55] |
[33,894,055.25] |
[54,443,856.83] |
|
|
|
|
|
|
Net Profit / [Loss] |
66,753,488.72 |
131,905,938.65 |
202,831,461.21 |
FINANCIAL
ANALYSIS
|
ITEM |
UNIT |
2016 |
2015 |
2014 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
4.99 |
5.47 |
5.22 |
|
QUICK RATIO |
TIMES |
4.13 |
4.39 |
3.93 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS
TURNOVER |
TIMES |
7.30 |
7.80 |
11.63 |
|
TOTAL ASSETS
TURNOVER |
TIMES |
0.47 |
0.60 |
0.91 |
|
INVENTORY
CONVERSION PERIOD |
DAYS |
93.61 |
80.60 |
69.20 |
|
INVENTORY
TURNOVER |
TIMES |
3.90 |
4.53 |
5.27 |
|
RECEIVABLES
CONVERSION PERIOD |
DAYS |
142.68 |
110.68 |
79.29 |
|
RECEIVABLES
TURNOVER |
TIMES |
2.56 |
3.30 |
4.60 |
|
PAYABLES
CONVERSION PERIOD |
DAYS |
106.96 |
72.22 |
50.96 |
|
CASH CONVERSION
CYCLE |
DAYS |
129.33 |
119.07 |
97.54 |
|
|
|
|
|
|
|
PROFITABILITY RATIO |
|
|
|
|
|
COST OF GOODS
SOLD |
% |
85.14 |
87.89 |
86.29 |
|
SELLING &
ADMINISTRATION |
% |
9.76 |
9.99 |
6.49 |
|
INTEREST |
% |
0.17 |
0.02 |
0.02 |
|
GROSS PROFIT
MARGIN |
% |
15.84 |
18.89 |
15.76 |
|
NET PROFIT MARGIN
BEFORE EX. ITEM |
% |
5.76 |
8.91 |
9.27 |
|
NET PROFIT MARGIN |
% |
4.37 |
7.07 |
7.29 |
|
RETURN ON EQUITY |
% |
2.32 |
4.80 |
7.60 |
|
RETURN ON ASSET |
% |
2.04 |
4.24 |
6.67 |
|
EARNING PER SHARE |
BAHT |
166.88 |
329.76 |
507.08 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.12 |
0.12 |
0.12 |
|
DEBT TO EQUITY
RATIO |
TIMES |
0.14 |
0.13 |
0.14 |
|
TIME INTEREST
EARNED |
TIMES |
33.78 |
518.69 |
516.11 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
(18.10) |
(32.93) |
|
|
OPERATING PROFIT |
% |
(47.01) |
(35.56) |
|
|
NET PROFIT |
% |
(49.39) |
(34.97) |
|
|
FIXED ASSETS |
% |
(12.49) |
(0.06) |
|
|
TOTAL ASSETS |
% |
5.32 |
2.35 |
|
ANNUAL GROWTH: RISKY
An annual sales
growth is -18.1%. Turnover has decreased from THB
PROFITABILITY : SATISFACTORY
PROFITABILITY RATIO
|
Gross Profit
Margin |
15.84 |
Impressive |
Industrial Average |
- |
|
Net Profit Margin |
4.37 |
Impressive |
Industrial Average |
3.62 |
|
Return on Assets |
2.04 |
Acceptable |
Industrial Average |
4.96 |
|
Return on Equity |
2.32 |
Deteriorated |
Industrial Average |
17.24 |
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 15.84%. 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 4.37%, 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 2.04%.
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 2.32%.
Trend of the average competitors in the same
industry for last 5 years
Return on Assets Downtrend
Return on Equity Downtrend
LIQUIDITY : SATISFACTORY
LIQUIDITY RATIO
|
Current Ratio |
4.99 |
Impressive |
Industrial Average |
0.88 |
|
Quick Ratio |
4.13 |
|
|
|
|
Cash Conversion
Cycle |
129.33 |
|
|
|
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 4.99 times in 2016,
decrease from 5.47 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 higher, indicated that company was an efficient
operator in a dominant position within its industry.
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 4.13 times in 2016, decrease from 4.39
times, although excluding inventory so the company still have good short-term
financial strength.
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 130 days.
Trend of the average competitors in the same
industry for last 5 years
Current Ratio Downtrend
LEVERAGE : EXCELLENT
LEVERAGE RATIO
|
Debt Ratio |
0.12 |
Impressive |
Industrial Average |
0.70 |
|
Debt to Equity
Ratio |
0.14 |
Impressive |
Industrial Average |
2.33 |
|
Times Interest
Earned |
33.78 |
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 lower
the percentage means that the company is using less leverage and has a stronger
equity position.
Times Interest
Earned measuring a company's ability to meet its debt obligations. Ratio is
33.78 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 0.12 less than 0.5, most of the company's assets are
financed through equity.
Trend of the average competitors in the same
industry for last 5 years
Debt Ratio Downtrend
Times Interest
Earned Stable
ACTIVITY : SATISFACTORY
ACTIVITY RATIO
|
Fixed Assets
Turnover |
7.30 |
Impressive |
Industrial Average |
- |
|
Total Assets
Turnover |
0.47 |
Acceptable |
Industrial Average |
1.37 |
|
Inventory
Conversion Period |
93.61 |
|
|
|
|
Inventory
Turnover |
3.90 |
Satisfactory |
Industrial Average |
6.29 |
|
Receivables
Conversion Period |
142.68 |
|
|
|
|
Receivables
Turnover |
2.56 |
Acceptable |
Industrial Average |
6.17 |
|
Payables
Conversion Period |
106.96 |
|
|
|
The company's
Account Receivable Ratio is calculated as 2.56 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 81 days at the end of 2015 to 94 days at the end of 2016. This
represents a negative trend. And Inventory turnover has decreased from 4.53
times in year 2015 to 3.9 times in year 2016.
The company's Total
Asset Turnover is calculated as 0.47 times and 0.6 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 Uptrend
Receivables
Turnover Uptrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
INR 63.76 |
|
|
1 |
INR 87.91 |
|
Euro |
1 |
INR 78.20 |
|
Thai Baht |
1 |
INR 2.00 |
Note:
Above are approximate rates obtained from sources believed to be correct
INFORMATION DETAILS
|
Analysis Done by
: |
PRA |
|
|
|
|
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.