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MIRA INFORM REPORT
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Report No. : |
486679 |
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Report Date : |
19.01.2018 |
IDENTIFICATION DETAILS
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Name : |
ALLIED CHEMICALS
INTERNATIONAL CO., LTD. |
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Registered Office : |
255/2 Bangpoo Industrial
Estate, Soi 3, Praeksa,
Muang, Samutprakarn 10280 |
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Country : |
Thailand |
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Financials (as on) : |
31.10.2016 |
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Date of Incorporation : |
06.11.1991 |
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Com. Reg. No.: |
0105534105169
[Former: 10515/2534] |
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Legal Form : |
Private Limited Company |
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Line of Business : |
The subject’s activity
is a manufacturer, exporter
and distributor wide
range of industrial chemicals
for tannery, textile and paint
industries. Types of the products
are beamhouse chemical, tanning agent & auxiliary, fat
liquoring agent, dyeing auxiliary,
binder, lacquer, finishing
auxiliary & pigment, phosphate
oil, silicone oil,
sulfated, drum pigment,
solvent fatliquor and
etc. |
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|
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|
No. of Employees : |
149 |
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 |
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Payment Behaviour : |
No Complaints |
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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
ALLIED CHEMICALS
INTERNATIONAL CO., LTD.
SUMMARY
BUSINESS ADDRESS : 255/2
BANGPOO INDUSTRIAL ESTATE,
SOI 3,
PRAEKSA, MUANG,
SAMUTPRAKARN
10280, THAILAND
TELEPHONE : [66] 2323-9930-1,
2323-1626, 2709-4124-5
FAX : [66] 2323-1164,
2709-4672
E-MAIL ADDRESS : acicth@yahoo.com
acicth@allied-chemical.co.th
REGISTRATION ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED : 1991
REGISTRATION NO. : 0105534105169 [Former: 10515/2534]
TAX ID NO. : 3011038277
CAPITAL REGISTERED : BHT.
40,000,000
CAPITAL PAID-UP : BHT.
40,000,000
SHAREHOLDER’S PROPORTION : THAI :
100%
FISCAL YEAR CLOSING DATE : OCTOBER 31
LEGAL STATUS : PRIVATE
LIMITED COMPANY
EXECUTIVE : MR.
SUTHAM CHUSROYPIN, THAI
MANAGING
DIRECTOR AND MARKETING
DIRECTOR
NO. OF STAFF : 149
LINES OF BUSINESS : CHEMICALS
MANUFACTURER, EXPORTER
AND DISTRIBUTOR
|
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 November
6, 1991 as
a private limited
company under the registered
name ALLIED CHEMICALS
INTERNATIONAL CO., LTD.,
by Thai group, Choosroypin
family, in order to manufacture
and market wide
range of industrial chemicals to
both domestic and
overseas markets. It
currently employs 149
staff.
The subject’s registered
address is 255/2 Bangpoo Industrial Estate, Soi 3,
Praeksa, Muang, Samutprakarn
10280, and this
is the subject’s
current operation address.
THE BOARD OF
DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Sutham Chusroypin |
|
Thai |
70 |
|
Mrs. Tassanee Chusroypin |
|
Thai |
63 |
AUTHORIZED PERSON
One of the
above directors can
sign on behalf
of the subject
with company’s affixed.
MANAGEMENT
Mr. Sutham Chusroypin
is the Managing
Director and Marketing
Director.
He is Thai
nationality with the
age of 70
years old.
Mrs. Tassanee Chusroypin
is the Deputy
Managing Director.
She is Thai
nationality with the
age of 63
years old.
Mr. Yos Chusroypin
is the Factory Manager.
He is Thai
nationality.
BUSINESS OPERATIONS
The subject’s activity
is a manufacturer,
exporter and distributor
wide range of industrial
chemicals for tannery, textile and
paint industries. Types of the
products are beamhouse
chemical, tanning agent &
auxiliary, fat liquoring
agent, dyeing auxiliary, binder,
lacquer, finishing auxiliary
& pigment, phosphate oil,
silicone oil, sulfated,
drum pigment, solvent
fatliquor and etc.
PURCHASE
Most of raw materials
are purchased from
local suppliers, and
the rest is
imported from Japan,
Republic of China,
India, Germany and
Norway.
MAJOR SUPPLIERS
P. General L.P. : Thailand
Well Trading Co., Ltd. : Japan
BASF (Thai) Co.,
Ltd. : Thailand
Thai-MC Company Limited : Thailand
SALES [LOCAL]
30% of its
products is sold
locally to manufacturers
and wholesalers.
EXPORT [COUNTRY]
70% of its
products is exported
to Taiwan, India, Pakistan,
U.S.A., Republic of
China, Malaysia, Bangladesh,
Australia, Japan, Vietnam
and Europe.
MAJOR CUSTOMER
Udomphan Tannery Factory :
Thailand
SUBSIDIARY AND AFFILIATED
COMPANY
The subject is
not found to
have any subsidiary
or affiliated company
here in Thailand.
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
[Sukhumvit 43
Road Branch, Sukhumvit
43 Rd., Klongtonnua,
Wattana, Bangkok]
The Siam Commercial
Bank Public Company
Limited
EMPLOYMENT
The subject employs
149 staff. [office
staff and factory
workers]
LOCATION DETAILS
The premise is
owned for operating
office and factory on
16,000 square meters
at the heading
address. Premise is located
in industrial area.
COMMENT
The subject’s operating performance
as of October
31, 2016 was
slowdown from a
decrease in sales
or service income, but
an increase in net
profit comparing to the
previous year. A
decrease in sales
income was caused
by slowdown of economy
and decline consumption
of the products
from related industries.
Nevertheless, the subject
maintains a moderate
business with sustainable
profit.
FINANCIAL INFORMATION
The capital was
registered at Bht.
5 million, divided
into 5,000 shares
of Bht. 1,000
each.
The capital was
increased later as
followings:
Bht. 10,000,000
on December 19,
1994
Bht. 20,000,000
on May 12,
1995
Bht. 40,000,000
on May 9,
2003
The latest registered
capital was increased
to Bht. 40 million,
divided into 40,000
shares of Bht.
1,000 each with
fully paid.
THE SHAREHOLDERS LISTED
WERE : [as at
December 19, 2016]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Mr. Sutham Chusroypin Nationality: Thai Address : 55
Sukhumvit 26 Rd.,
Klongton,
Klongtoey, Bangkok |
19,650 |
49.125 |
|
Mrs. Tassanee Chusroypin Nationality: Thai Address : 55
Sukhumvit 26 Rd.,
Klongton,
Klongtoey, Bangkok |
19,650 |
49.125 |
|
Mr. Yos Chusroypin Nationality: Thai Address : 55
Sukhumvit 26 Rd.,
Klongton,
Klongtoey, Bangkok |
300 |
0.75 |
|
Mr. Poj Chusroypin Nationality: Thai Address : 55
Sukhumvit 26 Rd.,
Klongton,
Klongtoey, Bangkok |
200 |
0.50 |
|
Ms. Nualphan Choosroypin Nationality: Thai Address : 55
Sukhumvit 26 Rd.,
Klongton,
Klongtoey, Bangkok |
200 |
0.50 |
Total Shareholders : 5
Share Structure [as
at December 19,
2016]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
5 |
40,000 |
100.00 |
|
Foreign |
- |
- |
- |
|
Total |
5 |
40,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Ms. Araya Mahavanich
No. 4995
BALANCE SHEET
[BAHT]
The latest financial figures published
as at October
31, 2016, 2015
and 2014 were:
ASSETS
|
Current Assets |
2016 |
2015 |
2014 |
|
|
|
|
|
|
Cash and Cash Equivalents |
10,982,242.80 |
3,237,575.97 |
7,691,564.10 |
|
Short-term Investment |
9,218,031.79 |
6,799,691.92 |
6,534,155.00 |
|
Trade Accounts and Other
Receivable |
18,218,863.43 |
17,684,657.21 |
26,438,624.99 |
|
Inventories |
41,638,708.99 |
64,423,197.62 |
46,368,374.72 |
|
|
|
|
|
|
Total Current Assets
|
80,057,847.01 |
92,145,122.72 |
87,032,718.81 |
|
|
|
|
|
|
Long-term Investment
|
26,034.00 |
100,000.00 |
100,000.00 |
|
Property, Plant and Equipment |
31,135,632.91 |
25,093,422.30 |
27,438,916.12 |
|
Intangible Assets |
26,429.93 |
26,974.52 |
- |
|
Other Non-current Assets |
625,649.72 |
618,276.72 |
527,807.72 |
|
Total Assets |
111,871,593.57 |
117,983,796.26 |
115,099,442.65 |
LIABILITIES & SHAREHOLDERS’ EQUITY [BAHT]
|
Current Liabilities |
2016 |
2015 |
2014 |
|
|
|
|
|
|
Bank Overdraft and Short-term Loan From Financial Institutions |
18,000,000.00 |
39,372,123.24 |
35,239,931.61 |
|
Trade Accounts and
Other Payable |
24,669,030.75 |
20,297,196.95 |
25,504,792.31 |
|
Current Portion of
Financial Lease Contract Liabilities |
1,188,000.00 |
- |
830,392.36 |
|
Accrued Income Tax |
695,040.77 |
608,880.95 |
884,737.54 |
|
Other Current Liabilities |
966,478.07 |
1,187,934.05 |
- |
|
|
|
|
|
|
Total Current Liabilities |
45,518,549.59 |
61,466,135.19 |
62,459,853.82 |
|
|
|
|
|
|
Long-term Loan |
5,239,000.00 |
- |
- |
|
Other Non-current Liabilities |
1,162,796.59 |
978,178.12 |
1,293,260.93 |
|
Total Liabilities |
51,920,346.18 |
62,444,313.31 |
63,753,114.75 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 1,000
par value authorized and
issued share capital
40,000 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 Earning Unappropriated |
20,025,213.39 |
15,539,482.95 |
11,346,327.90 |
|
Other Components of Equity |
[73,966.00] |
- |
- |
|
Total Shareholders' Equity |
59,951,247.39 |
55,539,482.95 |
51,346,327.90 |
|
Total Liabilities and
Shareholders' Equity |
111,871,593.57 |
117,983,796.26 |
115,099,442.65 |
PROFIT & LOSS
ACCOUNT
|
Revenue |
2016 |
2015 |
2014 |
|
|
|
|
|
|
Sales or Services Income |
134,676,535.13 |
154,490,753.96 |
167,831,598.69 |
|
Other Income |
1,016,603.26 |
2,301,498.73 |
1,690,142.09 |
|
Total Revenues |
135,693,138.39 |
156,792,252.69 |
169,521,740.78 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold or Services |
95,761,128.37 |
114,020,834.24 |
125,093,293.11 |
|
Selling Expenses |
17,742,039.65 |
20,921,600.34 |
22,496,461.73 |
|
Administrative Expenses |
15,171,258.52 |
14,706,237.39 |
14,031,856.32 |
|
Total Expenses |
128,674,426.54 |
149,648,671.97 |
161,621,611.16 |
|
|
|
|
|
|
Profit / [Loss] before Financial Cost and Income
Tax |
7,018,711.85 |
7,143,580.72 |
7,900,129.62 |
|
Financial Cost |
[1,171,933.71] |
[1,674,131.61] |
[1,938,159.03] |
|
Profit / [Loss] before Income
Tax |
5,846,778.14 |
5,469,449.11 |
5,961,970.59 |
|
Income Tax |
[1,361,047.70] |
[1,276,294.06] |
[1,251,409.69] |
|
|
|
|
|
|
Net Profit / [Loss] |
4,485,730.44 |
4,193,155.05 |
4,710,560.90 |
FINANCIAL
ANALYSIS
|
ITEM |
UNIT |
2016 |
2015 |
2014 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
1.76 |
1.50 |
1.39 |
|
QUICK RATIO |
TIMES |
0.84 |
0.45 |
0.65 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
4.33 |
6.16 |
6.12 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.20 |
1.31 |
1.46 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
158.71 |
206.23 |
135.29 |
|
INVENTORY TURNOVER |
TIMES |
2.30 |
1.77 |
2.70 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
49.38 |
41.78 |
57.50 |
|
RECEIVABLES TURNOVER |
TIMES |
7.39 |
8.74 |
6.35 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
94.03 |
64.97 |
74.42 |
|
CASH CONVERSION CYCLE |
DAYS |
114.06 |
183.04 |
118.37 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
71.10 |
73.80 |
74.54 |
|
SELLING & ADMINISTRATION |
% |
24.44 |
23.06 |
21.76 |
|
INTEREST |
% |
0.87 |
1.08 |
1.15 |
|
GROSS PROFIT MARGIN |
% |
29.65 |
27.69 |
26.47 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
5.21 |
4.62 |
4.71 |
|
NET PROFIT MARGIN |
% |
3.33 |
2.71 |
2.81 |
|
RETURN ON EQUITY |
% |
7.48 |
7.55 |
9.17 |
|
RETURN ON ASSET |
% |
4.01 |
3.55 |
4.09 |
|
EARNING PER SHARE |
BAHT |
112.14 |
104.83 |
117.76 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.46 |
0.53 |
0.55 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.87 |
1.12 |
1.24 |
|
TIME INTEREST EARNED |
TIMES |
5.99 |
4.27 |
4.08 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
(12.83) |
(7.95) |
|
|
OPERATING PROFIT |
% |
(1.75) |
(9.58) |
|
|
NET PROFIT |
% |
6.98 |
(10.98) |
|
|
FIXED ASSETS |
% |
24.08 |
(8.55) |
|
|
TOTAL ASSETS |
% |
(5.18) |
2.51 |
|
ANNUAL GROWTH :
ACCEPTABLE
An annual sales growth is -12.83%. Turnover has decreased from THB
PROFITABILITY :
IMPRESSIVE
PROFITABILITY
RATIO
|
Gross Profit Margin |
29.65 |
Satisfactory |
Industrial Average |
55.68 |
|
Net Profit Margin |
3.33 |
Impressive |
Industrial Average |
1.92 |
|
Return on Assets |
4.01 |
Impressive |
Industrial Average |
3.39 |
|
Return on Equity |
7.48 |
Impressive |
Industrial Average |
7.34 |
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. The company's figure is 29.65%. When
compared with the industry average, the ratio of the company was lower. This
indicated that company may have problems with control over its costs.
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 3.33%,
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. Return on Assets ratio is
4.01%, higher figure when compared with those of its average competitors in the
same industry, indicated that business was an efficient profit in a dominant
position within its industry.
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. Return on Equity ratio
is 7.48%, higher figure when compared with those of its average competitors in
the same industry, indicated that business was an efficient profit in a
dominant position within its industry.
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 |
1.76 |
Satisfactory |
Industrial Average |
1.92 |
|
Quick Ratio |
0.84 |
|
|
|
|
Cash Conversion Cycle |
114.06 |
|
|
|
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 1.76 times in 2016, increase from 1.5 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 0.84 times in 2016,
increase from 0.45 times, by excluding inventory, the company may have problems
meeting current liabilities.
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 115 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE :
EXCELLENT
LEVERAGE RATIO
|
Debt Ratio |
0.46 |
Impressive |
Industrial Average |
0.52 |
|
Debt to Equity Ratio |
0.87 |
Impressive |
Industrial Average |
1.10 |
|
Times Interest Earned |
5.99 |
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 5.99 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 0.46 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 :
IMPRESSIVE
ACTIVITY RATIO
|
Fixed Assets Turnover |
4.33 |
Impressive |
Industrial Average |
- |
|
Total Assets Turnover |
1.20 |
Satisfactory |
Industrial Average |
1.77 |
|
Inventory Conversion Period |
158.71 |
|
|
|
|
Inventory Turnover |
2.30 |
Acceptable |
Industrial Average |
5.13 |
|
Receivables Conversion Period |
49.38 |
|
|
|
|
Receivables Turnover |
7.39 |
Impressive |
Industrial Average |
4.07 |
|
Payables Conversion Period |
94.03 |
|
|
|
The company's Account Receivable Ratio is calculated as 7.39 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 206 days at the
end of 2015 to 159 days at the end of 2016. This represents a positive trend.
And Inventory turnover has increased from 1.77 times in year 2015 to 2.3 times
in year 2016.
The company's Total Asset Turnover is calculated as 1.2 times and 1.31
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 63.84 |
|
|
1 |
INR 88.28 |
|
Euro |
1 |
INR 77.88 |
|
Thai Baht |
1 |
INR 2.00 |
Note :
Above are approximate rates obtained from sources believed to be correct
INFORMATION DETAILS
|
Analysis Done by
: |
PRI |
|
|
|
|
Report Prepared
by : |
TPT |
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.