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MIRA INFORM REPORT
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Report No. : |
489076 |
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Report Date : |
29.01.2018 |
IDENTIFICATION DETAILS
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Name : |
P.T. GREEN WOOD
INTERNATIONAL |
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Registered Office : |
Jln. Raya Jepara – Bangsri Km. 3, RT.001, RW.001,
Kuwasen Jepara 59431, Central Java |
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Country : |
Indonesia |
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Date of Incorporation : |
10.03.2011 |
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Com. Reg. No.: |
AHU-AH.01.03-45545 |
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Legal Form : |
Limited Liability Company |
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Line of Business : |
Manufacturing of
Wooden, Rattan furniture and Handicraft |
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No. of Employees : |
172 |
RATING & COMMENTS
(Mira Inform has adopted New Rating mechanism w.e.f. 23rd
January 2017)
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MIRA’s Rating : |
A |
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Credit Rating |
Explanation |
Rating Comments |
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A |
Acceptable Risk |
Business dealings permissible with
moderate risk of default |
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Status : |
Satisfactory |
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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
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Country Name |
Previous Rating (30.06.2017) |
Current Rating (30.09.2017) |
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Indonesia |
A2 |
A2 |
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Risk Category |
ECGC Classification |
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Insignificant |
A1 |
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Low Risk |
A2 |
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Moderately Low Risk |
B1 |
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Moderate Risk |
B2 |
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Moderately High Risk |
C1 |
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High Risk |
C2 |
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Very High Risk |
D |
INDONESIA - ECONOMIC OVERVIEW
Indonesia, the largest economy in Southeast Asia, has seen a slowdown in growth since 2012, mostly due to the end of the commodities export boom. During the global financial crisis, Indonesia outperformed its regional neighbors and joined China and India as the only G20 members posting growth. Indonesia’s annual budget deficit is capped at 3% of GDP, and the Government of Indonesia lowered its debt-to-GDP ratio from a peak of 100% shortly after the Asian financial crisis in 1999 to less than 27 percent today. While Fitch and Moody's Investors upgraded Indonesia's credit rating to investment grade in December 2011, Standard & Poor’s has yet to raise Indonesia’s rating to this status amid several constraints to foreign direct investment in the country, such as a high level of protectionism.
Indonesia still struggles with poverty and unemployment, inadequate infrastructure, corruption, a complex regulatory environment, and unequal resource distribution among its regions. President Joko WIDODO - elected in July 2014 – seeks to develop Indonesia’s maritime resources and pursue other infrastructure development, including significantly increasing its electrical power generation capacity. Fuel subsidies were significantly reduced in early 2015, a move which has helped the government redirect its spending to development priorities. Indonesia, with the nine other ASEAN members, will continue to move towards participation in the ASEAN Economic Community, though full implementation of economic integration has not yet materialized.
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Source
: CIA |
Company
name
PT. GREEN WOOD
INTERNATIONAL
BASIC
SEARCH
Name
of Company :
P.T. GREEN WOOD INTERNATIONAL
A
d d r e s s :
Head
Office and Factory
Jln.
Raya Jepara – Bangsri Km. 3,
RT.001,
RW.001, Kuwasen
Jepara
59431, Central Java
Indonesia
Phones -
(62-291) 597 353
Mobile - (62-897)
6877663
Land Area - 12,600 sq.
meters
Building Area - 8,000 sq. meters
Region - Industrial
Zone
Status - Rent
Date of Incorporation :
10
March 2011
Legal
Form :
P.T.
(Perseroan Terbatas) or Limited Liability Company
Company
Reg. No. :
The Ministry of Law and Human Rights
a.
No. AHU-16025.AH.01.01.Tahun 2011
Dated 29 March 2011
b.
No. AHU-16025.AH.01.02.Tahun 2012
Dated 01 June 2012
c.
No. AHU-AH.01.03-45545
Dated 31 October 2013
Company
Status :
Foreign
Investment Company (PMA)
Permit
by the Government Department :
The Department of Finance
NPWP
No. 02.773.321.1-516.000
Related/Affiliated
Company :
Not available
CAPITAL
AND OWNERSHIP
Capital
Structure :
Authorized
Capital - Rp.
5,379,000,000 (US$. 600,000)
Issued
Capital -
Rp. 5,379,000,000 (US$. 600,000)
Paid
up Capital -
Rp. 5,379,000,000 (US$. 600,000)
Shareholders/Owners
:
a. Mr. Sanjeev Kumar Grandai Janarthanan - Rp. 5,110,050,000 (95.0%)
b. Mr. Harendra Kumar Narayanan - Rp. 268,950,000 ( 5.0%)
BUSINESS
ACTIVITIES
Lines of Business :
Wooden, Rattan
furniture and Handicraft Manufacturing
Product Items :
On the order basis
Total Investment :
a. Owned Capital - US$. 600,000
b. Loan Capital - US$. 400,000
c. Total Investment - US$.1,000,000
Started Operation :
2012
Brand Name :
GREEN WOOD
Technical Assistance
:
None
Number of Employee :
172 persons
Marketing Area :
Export - 100%
Main Customers :
Overseas buyers in
Japan and Taiwan
Market Situation :
Very Competitive
Main Competitors :
a. PT.
Globalindo Furniture
b. PT.
Gracia Kreasi Rotan
c. PT.
Good Wood Interior
d. PT.
Casa Wood Working Industry
Business
Trend :
Growing
BANKER,
AUDITOR & LITIGATION
Bankers :
a. PT. Bank of
INDIA INDONESIA Tbk.
Jl. H.
Samanhudi No. 37
Central
Jakarta
Indonesia
b. P.T. Bank NEGARA INDONESIA Tbk
Jepara
Branch
Jl. Pemuda
No. 11A, Jepara
Central
Jakarta
Indonesia
Auditor :
Anwar, Sugiharto & Rekan
Litigation
:
No litigation record in our database
FINANCIAL
FIGURE
Net
Sales/Revenues :
2013
– Rp. 36.0 billion
2014
– Rp. 50.0 billion
2015
– Rp. 58.0 billion
2016
– Rp. 64.0 billion
2017
– Rp. 36.0 billion (January – June)
Net
Profit (estimated) :
2013
– Rp. 1.8 billion
2014
– Rp. 2.6 billion
2015
– Rp. 3.2 billion
2016
– Rp. 3.5 billion
2017
– Rp. 2.0 billion (January – June)
Payment
Manner :
Slow but Correct
Financial
Comments :
Fairly
KEY
EXECUTIVES
Board of Management :
President Director - Mr. Manoj Kumar Tiwari
Director -
Mr. Harendra Kumar Narayanan
Board of Commissioners :
Commissioner - Mr. Sanjeev Kumar Grandai
Janarthanan
Signatories :
President
Director (Mr. Manoj Kumar Tiwari) or Director (Mr. Harendra Kumar Narayanan)
which must be approved by Board of Commissioner (Mr. Sanjeev Kumar Grandai
Janarthanan)
CAPABILITIES
Management Capability :
Good
Business Morality :
Good
OVERALL
PERFORMANCE
P.T. GREEN WOOD INTERNATIONAL (P.T. GWI) was
established within the framework of the Foreign Capital Investment Law No. 1 of
1967 as amended by Law No. 11 of 1970 based on Deed No. 6 dated March 10, 2011
of Dewantari Handayani, SH., public notary in Jakarta with an authorized
Capital of US$. 600,000 (Rp. 5,379,600,000) entirely was issued and fully paid
up. The founding shareholders of the
company are Mr. Sanjeev Kumar Grandai Janarthanan (95%) and Mr. Harendra Kumar
Narayanan (5%), both of India. The Deed
of establishment was approved by the Minister of Law and Human Rights of the
Republic of Indonesia through its Decree No. AHU-16025.AH.01.01.TH.2011 dated
29 March 2011. Its articles of
association have subsequently been changed for several times, most recently by
Notarial Deed of Eni Pudjiastuti, SH., No. 120 dated 20 May 2013, concerning
the change in composition of the Company’s board of Commissioners and
Directors. This amendment
to Deed has been approved by the Minister of Law and Human Rights of the
Republic of Indonesia through its Decree No. AHU-AH.01.10-45545 dated 31
October 2013.
In accordance with article 3 (three) of the articles of
association contained in the deed of establishment, the scope of activities of
the Company is primarily in industry, trading and services. The company
registered office located at Jl. Raya Jepara – Bangsri Km. 3, Kuwasen, Jepara,
Central Java and the company can open branch offices or representative offices
at home and abroad.
We observed that P.T. DWF engaged in wooden, rattan furniture and handicraft manufacturing, with its plant located at Jln. Raya Jepara – Bangsri Km. 3, RT.001, RW.001, Kuwasen, Jepara, Central Java, where it stands on a 12,600 square meters landsite. The plant has been in operation since February 2012 and the company produces wooden, rattan furniture and handicraft, consist of; table, chair, stool, handicraft and other wooden furniture of a kind used in the bedroom. About 20% of the company's production is sold on the domestic market with the remaining 80% being exported to Japan, Taiwan and USA. We observed that P.T. GWI is classified as a small-sized company of its kind in the country of which the operation has been growing slowly in the last three years.
Generally, the domestic and overseas market
demand for wooden and rattan furniture and handicraft products has kept on
rising about 7% to 8% per year in the last five years in line with the growth
of property business like real estate, hotels, apartment and a stable economic
growth in the period. The growth rate is
now estimated at 5% to 6% per year. The solid and steady domestic economy,
Indonesia with the rising of Country Rating to Investment Grade, and also
supported by Indonesia’s economic indicators such as inflation, exchange rates
and interest rates are expected to encourage the business sectors.
Macroeconomic indicators from China showed downward
trend. In contrary, macroeconomic
indicators of the US and India showed improvement. Both of these indicated continued
uncertainties. The global economic crisis that accompanied the decline
of the Indonesian Rupiah (IDR) against the US Dollar in the past two months,
resulting in Indonesian people's purchasing power declined sharply. The value
of the Rupiah from Rp. 11,800.- per US dollar at the end of 2014, has now
slumped to Rp. 13.500 per US Dollar.
Table of Indonesian Economic Indicators from 2012
to 2016
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Indonesian
Economic Indicators |
2012 |
2013 |
2014 |
2015 |
2016 |
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Gross Domestic Product (PDB) |
6.0 |
5.6 |
5.0 |
4.8 |
5.0 |
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Consumer Price Index |
4.3 |
8.4 |
8.4 |
3.4 |
3.2 |
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Government Debt |
27.3 |
28.7 |
24.7 |
27.0 |
26.5 |
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Exchange Rate (IDR/USD) |
9,419 |
11,563 |
11,800 |
13,400 |
13,300 |
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Current Account Balance |
-2.8 |
-3.3 |
-3.1 |
-2.1 |
-2.1 |
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Population (in millions) |
247 |
250 |
253 |
255 |
258 |
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Poverty (percentage of population) |
11.7 |
11.5 |
11.0 |
11.1 |
10.9 |
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Unemployment (percentage of workforce) |
6.1 |
6.3 |
5.9 |
6.2 |
5.6 |
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Reserves (in billion USD) |
112.8 |
99.4 |
111.9 |
105.9 |
111.4 |
Until this time P.T. GWI has not been registered with Indonesian
Stock Exchange, so that they shall not obliged to announce their financial statement.
Therefore, the company has no obligation to publish financial statement
publicly. We have checked to Department of Trade and Industry and found that no
financial statement has been reported. P.T. GWI’s management is very reclusive
to outsider and rejecting to disclose its financial condition but we estimated
the total sales turnover of the company in 2014 amounted to Rp. 50.0 billion
increased to Rp. 58.0 billion in 2015 and rose again to Rp. 64.0 billion in
2016. The operation in 2016 yielded a
net profit at least Rp. 3.5 billion and the company has a total net worth of
Rp. 40.0 billion. It is projected that
total sales turnover of the company will increase at least 8% in 2017. So far we did not hear that P.T. GWI has
been black listed by Bank Indonesia (Central Bank) or having detrimental cases
being settled in local district court.
The management of P.T. GWI is led by Mr.
Manoj Kumar Tiwari (44) as president director and CEO of company. In his daily activities, he is assisted by
Mr. Harendra Kumar Narayanan (38) as director and Mr. Sanjeev Kumar Grandai
Janarthanan (42) as commissioner. The Company's management is also handled by
professional staff in the above business. They have wide relations with private
businessmen within and outside the country. So far, we did not hear that the
management of the company being filed to the district court for detrimental
cases or involved in any business malpractices. The company’s litigation record
is clean and it has not registered with the black list of Bank of Indonesia.
P.T. GWI is appraised to be good for
business transaction. However, in view
of the economic condition in the country is still unstable, we recommend to treat
prudently in extending any new loan to the company.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
INR 63.50 |
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|
1 |
INR 90.92 |
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Euro |
1 |
INR 79.07 |
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IDR |
1 |
INR 0.0045 |
Note:
Above are approximate rates obtained from sources believed to be correct
INFORMATION DETAILS
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Analysis Done by
: |
DIV |
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Report Prepared
by : |
TRU |
RATING EXPLANATIONS
|
Credit Rating |
Explanation |
Rating Comments |
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A++ |
Minimum Risk |
Business dealings permissible with minimum
risk of default |
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A+ |
Low Risk |
Business dealings permissible with low
risk of default |
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A |
Acceptable Risk |
Business dealings permissible with
moderate risk of default |
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B |
Medium Risk |
Business dealings permissible on a regular
monitoring basis |
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C |
Medium High Risk |
Business dealings permissible preferably
on secured basis |
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D |
High Risk |
Business dealing not recommended or on
secured terms only |
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NB |
New Business |
No recommendation can be done due to
business in infancy stage |
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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.