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|
MIRA
INFORM REPORT
|
Report No. : |
494246 |
|
Report Date : |
01.03.2018 |
IDENTIFICATION DETAILS
|
Name : |
PATA CHEMICAL & MACHINERY CO., LTD. |
|
|
|
|
Registered Office : |
6, 8 Soi Bangkradi 9, Samaedam, Bangkhunthien, Bangkok 10150 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2016 |
|
|
|
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Date of Incorporation : |
30.12.1992 |
|
|
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Com. Reg. No.: |
0105535169624 |
|
|
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|
Legal Form : |
Private Limited Company |
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Line of Business : |
The subject
is engaged in
importing and distributing chemicals,
machinery and equipment
for metal plating
industry, as well
as providing installation, maintenance, technical
and consulting services
for plating works
particularly for automotive
and electronics industry. |
|
|
|
|
No. of Employees : |
100 |
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 (30.09.2017) |
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
PATA
CHEMICAL & MACHINERY
CO., LTD.
SUMMARY
BUSINESS
ADDRESS : 6, 8
SOI BANGKRADI 9,
SAMAEDAM,
BANGKHUNTHIEN, BANGKOK
10150,
THAILAND
TELEPHONE : [66] 2452-1647-9,
2452-1290
FAX :
[66] 2452-1850,
2452-1855
E-MAIL
ADDRESS : salecenter1@patachem.com
hrcenter@patachem.com
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1992
REGISTRATION
NO. : 0105535169624
TAX
ID NO. : 3011217047
CAPITAL REGISTERED : BHT. 50,000,000
CAPITAL PAID-UP : BHT.
50,000,000
SHAREHOLDER’S PROPORTION : THAI :
100%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR. SNGUAN CHANLONGSIRICHAI, THAI
PRESIDENT
NO.
OF STAFF : 100
LINES
OF BUSINESS : PLATING CHEMICALS,
MACHINERY
AND
EQUIPMENT
IMPORTER, DISTRIBUTOR
AND
SERVICE
PROVIDER
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 December
30, 1992 as
a private limited
company under the registered name PATA CHEMICALS & MACHINERY CO., LTD.
by Thai group, Chanlongsirichai
family, with the
business objective to
distribute chemical, machinery
and equipment for
metal plating industry.
It currently employs
approximately 100 staff.
The subject’s registered
address was 109/119-120
Moo 1, Rama 2
Road, Samaedam,
Bangkhunthien, Bangkok 10150.
On September 3, 2010
the registered address
was changed from “109/119-120 Moo
1, Rama 2
Road” to “6,
8 Soi Bangkradi
9” by the
Bangkhunthien District Office.
Actually both are
the same location.
This is also
the subject’s current
operation address.
THE
BOARD OF DIRECTOR
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Snguan Chanlongsirichai |
|
Thai |
75 |
|
Mrs. Nopakoon Chanlongsirichai |
|
Thai |
75 |
|
Mr. Ampol Chanlongsirichai |
|
Thai |
43 |
|
Mr. Nuntapol Chanlongsirichai |
|
Thai |
40 |
|
Mr. Weerapol Chanlongsirichai |
|
Thai |
37 |
AUTHORIZED PERSON
Any of the
above directors can
sign on behalf
of the subject
with company’s affixed.
MANAGEMENT
Mr. Snguan Chanlongsirichai is
the President.
He is Thai
nationality with the
age of 75
years old.
Mrs. Nopakoon Chanlongsirichai is
the Vice President.
She is Thai
nationality with the
age of 75
years old.
Mr. Ampol Chanlongsirichai is
the Managing Director.
He is Thai
nationality with the
age of 43
years old.
Mr. Nuntapol Chanlongsirichai is
the Sales & Marketing Manager.
He is Thai
nationality with the
age of 40
years old.
BUSINESS OPERATIONS
The subject
is engaged in
importing and distributing
chemicals, machinery and
equipment for metal
plating industry, as
well as providing
installation, maintenance, technical
and consulting services
for plating works
particularly for automotive
and electronics industry.
PURCHASE
The products are
purchased from domestic
and overseas suppliers
in Japan, Germany,
Republic of China,
Taiwan, India, France
and Malaysia.
MAJOR
SUPPLIERS
C. Uyemura & Co., Ltd. :
Japan
BASF
SE. : Germany
Thai-MC
Company Limited : Thailand
SALES
100% of the
products is sold
locally to wholesalers,
manufacturers and end-users.
RELATED & AFFILIATED
COMPANIES
Poly Hitech Co., Ltd.
Business Type : Manufacturer
and distributor of
metal plating chemical
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
T/T.
BANKING
Kasikornbank Public Co., Ltd.
[Bangkae Branch : Petchkasem Rd.,
Bangkae, Pasicharoen, Bangkok 10160]
Bangkok Bank Public
Co., Ltd.
[Bangkae Branch : Petchkasem Rd.,
Bangkae, Pasicharoen, Bangkok 10160]
United Oversea Bank
(Thai) Public Co., Ltd.
[Head Office
: 191 South
Sathorn Rd., Thungmahamek,
Sathorn, Bangkok 10120]
EMPLOYMENT
The
subject currently employs
approximately 100 staff.
LOCATION
DETAILS
The
premise is owned for
administrative office at
the heading address.
Premise is located
in commercial/residential area.
Branch/ Warehouse
- 11,
13 Soi
Bangkradi 9, Samaedam,
Bangkhunthien, Bangkok 10150
COMMENT
Despite
a decrease in
sales or service
income in 2016,
it obtained higher
net profit comparing
to the previous
year. The decrease
in sales figures
was caused by
slowdown of economy,
slow growth and
less investment in
related industries which
resulted to a
slow consumption of
plating chemical and
related products. Nevertheless,
the subject operates
a moderate business
with sustainable profit.
FINANCIAL
INFORMATION
The
capital was registered
at Bht. 1,000,000
divided into 10,000
shares of Bht.
100
each
with fully paid.
The
capital was increased
later as follows:
Bht. 10,000,000
on July 16,
1997
Bht. 15,000,000
on December 25,
1998
Bht. 50,000,000
on July 8,
2005
The
latest registered capital
was increased to
Bht. 50,000,000 divided into
500,000 shares
of
Bht. 100 each with
fully paid.
THE SHAREHOLDERS LISTED
WERE : [as
at April 30,
2017]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Thai Mekki Co.,
Ltd. Nationality: Thai Address : 113
Soi Bangkradi 8,
Samaedam,
Bangkhunthien, Bangkok |
125,000 |
25.00 |
|
Pata Engineering Co.,
Ltd. Nationality: Thai Address : 6
Soi Bangkradi 9,
Samaedam,
Bangkhunthien, Bangkok |
125,000 |
25.00 |
|
Mrs. Nopakoon Chanlongsirichai Nationality: Thai Address : 1/109
Kanchanapisek Road, Bangbon,
Bangkok |
41,800 |
8.36 |
|
Mr. Snguan Chanlongsirichai Nationality: Thai Address : 1/110
Kanchanapisek Road, Bangbon,
Bangkok |
41,800 |
8.36 |
|
Mr. Ampol Chanlongsirichai Nationality: Thai Address : 113
Soi Bangkradi 8,
Samaedam,
Bangkhunthien, Bangkok |
41,600 |
8.32 |
|
Mr. Nuntapol Chanlongsirichai Nationality: Thai Address : 57/262
Moo 5, T. Pantainorasingh, A. Muang,
Samutsakorn |
41,600 |
8.32 |
|
Ms. Patcharee Chanlongsirichai Nationality: Thai Address : 21
Moo 7, Nongyaplong, Phetchaburi |
41,600 |
8.32 |
|
Mr. Weerapol Chanlongsirichai Nationality: Thai Address : 1/109
Kanchanapisek Road, Bangbon,
Bangkok |
41,600 |
8.32 |
Total Shareholders : 8
SHARE STRUCTURE [AS
AT APRIL 30, 2017]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
8 |
500,000 |
100.00 |
|
Foreign |
- |
- |
- |
|
Total |
8 |
500,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO.
Dr. Duangduan Kemagawat
No. 1223
FINANCIALS
PATA
CHEMICAL & MACHINERY CO.,
LTD.
BALANCE SHEET [BAHT]
The
latest financial figures
published for December 31,
2016, 2015 and
2014 were:
ASSETS
|
Current Assets |
2016 |
2015 |
2014 |
|
|
|
|
|
|
Cash and Cash Equivalents |
19,048,084.73 |
26,297,725.26 |
31,647,792.23 |
|
Trade Accounts and
Other Receivable |
360,327,796.51 |
372,930,611.67 |
459,491,681.98 |
|
Short-term Loans |
145,947,000.00 |
106,380,000.00 |
84,630,000.00 |
|
Inventories |
345,211,460.72 |
454,809,668.25 |
410,670,679.89 |
|
Other Current Assets |
289,322.59 |
204,373.77 |
3,038,464.20 |
|
Total Current Assets
|
870,823,664.55 |
960,622,378.95 |
989,478,618.30 |
|
|
|
|
|
|
Other Long-term Investment |
17,650,000.00 |
17,650,000.00 |
17,650,000.00 |
|
Non-current Assets Held for
Sale |
6,433,739.00 |
- |
- |
|
Property, Plant and
Equipment |
426,814,747.98 |
426,810,135.41 |
418,471,074.55 |
|
Other Non-current Assets |
4,244,382.88 |
7,032,953.28 |
9,024,098.45 |
|
Total Assets |
1,325,966,534.41 |
1,412,115,467.64 |
1,434,623,791.30 |
LIABILITIES & SHAREHOLDERS' EQUITY [BAHT]
|
Current Liabilities |
2016 |
2015 |
2014 |
|
|
|
|
|
|
Bank Overdraft and Short-term Loan From Financial Institutions |
260,415,616.51 |
233,149,804.22 |
197,147,032.33 |
|
Trade Accounts and Other
Payable |
437,310,166.56 |
540,469,774.90 |
589,243,378.93 |
|
Current Portion of Long-term Liabilities |
29,452,190.00 |
29,452,190.00 |
- |
|
Short-term Loan |
12,000,000.00 |
19,500,000.00 |
- |
|
Accrued Income Tax |
3,702,415.04 |
796,561.21 |
10,902,606.60 |
|
Other Current Liabilities |
- |
- |
1,824,947.68 |
|
Total Current Liabilities |
742,880,388.11 |
823,368,330.33 |
799,117,965.54 |
|
|
|
|
|
|
Long-term Loan |
29,609,111.38 |
60,645,303.17 |
119,549,684.50 |
|
Other Non-current Liabilities |
10,036,079.11 |
12,685,354.36 |
2,639,771.85 |
|
Total Liabilities |
782,525,578.60 |
896,698,987.86 |
921,307,421.89 |
|
|
|
|
|
|
Shareholders’ Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized, and
issued share capital
500,000 shares
|
50,000,000.00 |
50,000,000.00 |
50,000,000.00 |
|
Capital Paid |
50,000,000.00 |
50,000,000.00 |
50,000,000.00 |
|
Retained Earnings : [Deficit] Appropriated statutory reserve |
5,000,000.00 |
5,000,000.00 |
5,000,000.00 |
|
Unappropriated |
488,440,955.81 |
460,416,479.78 |
458,316,369.41 |
|
Total Shareholders’ Equity |
543,440,955.81 |
515,416,479.78 |
513,316,369.41 |
|
Total Liabilities and
Shareholders’ Equity |
1,325,966,534.41 |
1,412,115,467.64 |
1,434,623,791.30 |
PROFIT & LOSS
ACCOUNT
|
Revenue |
2016 |
2015 |
2014 |
|
|
|
|
|
|
Sales or Services Income |
1,166,015,522.85 |
1,220,545,923.18 |
1,264,097,042.02 |
|
Other Income |
24,811,460.67 |
15,038,069.85 |
17,923,488.90 |
|
Total Revenues |
1,190,826,983.52 |
1,235,583,993.03 |
1,282,020,530.92 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold or Services |
1,002,693,236.67 |
1,036,554,295.51 |
1,045,345,185.75 |
|
Selling Expenses |
7,341,172.90 |
10,114,957.81 |
12,254,906.47 |
|
Administrative Expenses |
125,343,100.76 |
142,718,422.12 |
116,491,364.42 |
|
Total Expenses |
1,135,377,510.33 |
1,189,387,675.44 |
1,174,091,456.64 |
|
|
|
|
|
|
Profit /[Loss] before
Financial Cost and Income Tax |
55,449,473.19 |
46,196,317.59 |
107,929,074.28 |
|
Financial Cost |
[20,042,876.85] |
[15,268,672.62] |
[22,493,167.60] |
|
|
|
|
|
|
Profit /[Loss] before Income
Tax |
35,406,596.34 |
30,927,644.97 |
85,435,906.68 |
|
Income Tax |
[7,382,120.31] |
[6,921,739.65] |
[18,066,616.79] |
|
Net Profit / [Loss] |
28,024,476.03 |
24,005,905.32 |
67,369,289.89 |
PATA CHEMICAL
& MACHINERY CO.,
LTD.
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2016 |
2015 |
2014 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
1.17 |
1.17 |
1.24 |
|
QUICK RATIO |
TIMES |
0.71 |
0.61 |
0.72 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
2.73 |
2.86 |
3.02 |
|
TOTAL ASSETS TURNOVER |
TIMES |
0.88 |
0.86 |
0.88 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
125.66 |
160.15 |
143.39 |
|
INVENTORY TURNOVER |
TIMES |
2.90 |
2.28 |
2.55 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
112.79 |
111.52 |
132.68 |
|
RECEIVABLES TURNOVER |
TIMES |
3.24 |
3.27 |
2.75 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
159.19 |
190.31 |
205.74 |
|
CASH CONVERSION CYCLE |
DAYS |
79.27 |
81.36 |
70.32 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
85.99 |
84.93 |
82.70 |
|
SELLING & ADMINISTRATION |
% |
11.38 |
12.52 |
10.18 |
|
INTEREST |
% |
1.72 |
1.25 |
1.78 |
|
GROSS PROFIT MARGIN |
% |
16.13 |
16.31 |
18.72 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
4.76 |
3.78 |
8.54 |
|
NET PROFIT MARGIN |
% |
2.40 |
1.97 |
5.33 |
|
RETURN ON EQUITY |
% |
5.16 |
4.66 |
13.12 |
|
RETURN ON ASSET |
% |
2.11 |
1.70 |
4.70 |
|
EARNING PER SHARE |
BAHT |
56.05 |
48.01 |
134.74 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.59 |
0.64 |
0.64 |
|
DEBT TO EQUITY RATIO |
TIMES |
1.44 |
1.74 |
1.79 |
|
TIME INTEREST EARNED |
TIMES |
2.77 |
3.03 |
4.80 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
(4.47) |
(3.45) |
|
|
OPERATING PROFIT |
% |
20.03 |
(57.20) |
|
|
NET PROFIT |
% |
16.74 |
(64.37) |
|
|
FIXED ASSETS |
% |
0.00 |
1.99 |
|
|
TOTAL ASSETS |
% |
(6.10) |
(1.57) |
|
ANNUAL GROWTH :
SATISFACTORY
An annual sales growth is -4.47%. Turnover has decreased from THB
1,220,545,923.18 in 2015 to THB 1,166,015,522.85 in 2016. While net profit has
increased from THB 24,005,905.32 in 2015 to THB 28,024,476.03 in 2016. And
total assets has decreased from THB 1,412,115,467.64 in 2015 to THB
1,325,966,534.41 in 2016.
PROFITABILITY :
ACCEPTABLE
PROFITABILITY RATIO
|
Gross Profit Margin |
16.13 |
Acceptable |
Industrial Average |
52.65 |
|
Net Profit Margin |
2.40 |
Acceptable |
Industrial Average |
5.89 |
|
Return on Assets |
2.11 |
Acceptable |
Industrial Average |
8.24 |
|
Return on Equity |
5.16 |
Acceptable |
Industrial Average |
13.75 |
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 16.13%. 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. The company's figure is 2.4%. 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 2.11%.
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 5.16%.
Trend of the average
competitors in the same industry for last 5 years
Return on Assets Uptrend
Return on Equity Uptrend
LIQUIDITY :
ACCEPTABLE
LIQUIDITY RATIO
|
Current Ratio |
1.17 |
Satisfactory |
Industrial Average |
1.35 |
|
Quick Ratio |
0.71 |
|
|
|
|
Cash Conversion Cycle |
79.27 |
|
|
|
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 1.17 times in 2016, same
figure as in
2015, 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 0.71 times in 2016,
increase from 0.61 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 80 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE :
ACCEPTABLE
LEVERAGE RATIO
|
Debt Ratio |
0.59 |
Acceptable |
Industrial Average |
0.43 |
|
Debt to Equity Ratio |
1.44 |
Risky |
Industrial Average |
0.75 |
|
Times Interest Earned |
2.77 |
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 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 2.77 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 0.59 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 Uptrend
Times Interest Earned Stable
ACTIVITY :
SATISFACTORY
ACTIVITY RATIO
|
Fixed Assets Turnover |
2.73 |
Impressive |
Industrial Average |
- |
|
Total Assets Turnover |
0.88 |
Satisfactory |
Industrial Average |
1.40 |
|
Inventory Conversion Period |
125.66 |
|
|
|
|
Inventory Turnover |
2.90 |
Acceptable |
Industrial Average |
10.48 |
|
Receivables Conversion Period |
112.79 |
|
|
|
|
Receivables Turnover |
3.24 |
Satisfactory |
Industrial Average |
4.95 |
|
Payables Conversion Period |
159.19 |
|
|
|
The company's Account Receivable Ratio is calculated as 3.24 and 3.27 in
2016 and 2015 respectively. This ratio measures the efficiency of the company
in managing its trade debtors to generate revenue. A lower ratio may indicate
over extension and collection problems. Conversely, a higher ratio may indicate
an overtly stringent policy. In this case, the company's A/R ratio in 2016
decreased from 2015. This would suggest the company had deteriorated in the
management of its debt collections.
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 160 days at the
end of 2015 to 126 days at the end of 2016. This represents a positive trend.
And Inventory turnover has increased from 2.28 times in year 2015 to 2.9 times
in year 2016.
The company's Total Asset Turnover is calculated as 0.88 times and 0.86
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 Uptrend
Inventory Turnover Uptrend
Receivables Turnover Uptrend
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
INR 65.10 |
|
|
1 |
INR 90.44 |
|
Euro |
1 |
INR 79.59 |
|
Thai baht |
1 |
INR 2.07 |
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.