|
|
|
MIRA INFORM REPORT
|
Report No. : |
494931 |
|
Report Date : |
06.03.2018 |
IDENTIFICATION DETAILS
|
Name : |
IRPC POLYOL COMPANY LIMITED |
|
|
|
|
Formerly Known As : |
TPI POLYOL COMPANY LIMITED |
|
|
|
|
Registered Office : |
7th Floor, Energy Complex Tower B, 555/2 Vibhavadi Rangsit Road, Chatuchak, Bangkok 10900 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.12.2016 |
|
|
|
|
Date of Incorporation : |
24.09.1987 |
|
|
|
|
Com. Reg. No.: |
0105530048659 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
Manufacturer
Distributor & Exporter of Polyester
& Polyester Polyol Products. |
|
|
|
|
No. of Employees : |
200 |
RATING & COMMENTS
(Mira Inform has adopted New Rating mechanism w.e.f. 23rd
January 2017)
|
MIRA’s Rating : |
C |
|
Credit Rating |
Explanation |
Rating Comments |
|
C |
Medium High Risk |
Business dealings permissible preferably
on secured 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 (30.09.2017) |
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
IRPC POLYOL
COMPANY LIMITED
[FORMER: TPI POLYOL COMPANY LIMITED]
SUMMARY
BUSINESS
ADDRESS : 7th FLOOR,
ENERGY COMPLEX TOWER
B,
555/2 VIBHAVADI
RANGSIT ROAD,
CHATUCHAK, BANGKOK
10900, THAILAND
TELEPHONE : [66] 2649-7000,
2646-6700
FAX :
[66] 2649-7001,
2646-6702
E-MAIL
ADDRESS : polyol@irpc.co.th
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1987
REGISTRATION
NO. : 0105530048659 [Former :
4860/2530]
TAX
ID NO. : 3101491159
CAPITAL REGISTERED : BHT. 300,000,000
CAPITAL PAID-UP : BHT.
300,000,000
SHAREHOLDER’S PROPORTION : THAI : 75.00%
POLE
: 25.00%
FISCAL YEAR CLOSING DATE : DECEMBER 31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR.
VICHIT NITTAYANONTE, THAI
MANAGING DIRECTOR
NO.
OF STAFF : 200
LINES
OF BUSINESS : POLYESTER & POLYESTER POLYOL
PRODUCTS
MANUFACTURER
DISTRIBUTOR & EXPORTER
CORPORATE
PROFILE
OPERATING
TREND : STABLE
PRESENT
SITUATION : OPERATING NORMALLY
REPUTATION : FAIR
WITH NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT
STANDARD : MANAGEMENT WITH
FAIR PERFORMANCE
HISTORY
The subject was
established on September
24, 1987 as a
private limited company under the registered name “ABS Plastic Co., Ltd.” by Thai groups,
a wholly owned
polyurethane business of Thai
Petrochemcial Industry Public
Company Limited. On
May 11, 1992,
the subject’s name was changed
to “TPI Polyol
Company Limited”. On
February 28, 2007,
its name was
changed again to
IRPC POLYOL COMPANY
LIMITED. Its business
objective is to
manufacture, distribute and
export polyester and
polyester polyol products,
the based raw
material for polyurethane foam production.
On January 31,
2017, the subject
has become a
joint investment between
IRPC Public Company
Limited, of Thailand
and PCC Rokita
SA., of Poland,
with holding around
75% and 25%
of the subject’s
shares respectively. It
currently employs approximately
200 staff.
It also achieved
the international standard
ISO 9001 and ISO 9002
certifications for products
quality system.
The subject’s registered
address was initially at
26/56 Chan Tadmai Rd.,
Thungmahamek, Sathorn, Bangkok
10120.
On December 1,
2006, the subject’s
registered address was
relocated to 30th Floor,
Lao Peng Nguan
1 Building, 333
Vibhavadi Rangsit Rd.,
Chompol, Chatuchak,
Bangkok 10900.
On March 31,
2010, the subject’s
registered address was
relocated to 7th Floor,
Energy Complex Tower
B, 555/2 Vibhavadi
Rangsit Rd., Chatuchak,
Bangkok 10900, and
this is also
the subject’s current
operation address.
THE
BOARD OF DIRECTOR
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Sergiusz Petri Stefanowski |
|
Pole |
40 |
|
Mr. Sukrit Surabotsopon |
[x] |
Thai |
59 |
|
Mr. Chalermchai Somboonpakorn |
[x] |
Thai |
45 |
|
Mrs. Rachadaporn
Rajchataewindra |
[x] |
Thai |
60 |
|
Mr. Vichit
Nittayanonte |
[x] |
Thai |
59 |
|
Mr. Woravuth Sivapstranart |
[x] |
Thai |
55 |
|
Mr. Rafal Zdon |
|
Pole |
45 |
|
Mr. Pravet Assavadakorn |
[x] |
Thai |
58 |
AUTHORIZED
PERSON
Any two of
the mentioned directors
can jointly sign
on behalf of
the subject with company’s affixed.
MANAGEMENT
Mr. Vichit
Nittayanonte is the
Managing Director.
He is Thai
nationality with the
age of 59
years old.
Mr. Boonsong Sophitvutthiwong is
the Plant Manager.
He is Thai
nationality.
Mr. Rafal Zdon
is the General
Manager.
He is Pole
nationality with the
age of 45
years old.
BUSINESS
OPERATIONS
The subject is engaged in manufacturing, distributing and exporting
polyester and polyester polyol products, the
based raw materials
for the production
of Polyurethane foam which is
used to adapt into thermal insulating
foam, bedding and
furniture components, footwear and
flexible packaging production.
The products include polyester,
polyester polyols, unsaturated
polyester, pre-polymer, polyurethane
systems and case
products coatings, adhesives,
sealants and elastomer.
The subject is
also engaged in
co-producing of Unsaturated Polyester
Resin.
PRODUCTION CAPACITY
33,000 metric tons per
annum
MAJOR BRANDS
“RAYPOL”, “RAYCORE”, “RAYELAST”
IMPORT [COUNTRIES]
80% of raw
materials such as
propylene oxide and
related feed stock
chemicals are imported
from Singapore, Korea, United States of America, Japan, India, Republic of China,
Taiwan, Malaysia, Poland
and Germany.
MAJOR SUPPLIERS
PCC Rokita SA. :
Poland
IRPC Public Company
Limited : Thailand
BASF (Thai) Ltd. :
Thailand
PTT Public Company
Limited :
Thailand
LOCAL SALES
80% of its
products is sold
locally to manufacturers, wholesalers
and end-users.
EXPORT [COUNTRIES]
20% of the
products is exported
to Malaysia, Taiwan,
Indonesia, Australia, Singapore,
Vietnam, Republic of China, India, Argentina, Hong Kong, Philippines,
United Arab Emirates, Canada
and the country
in Europe and
Middle East.
MAJOR CUSTOMERS
|
Vianova Resins Ltd. |
: Thailand |
|
Pan Asia Footwear Public Co., Ltd. |
: Thailand |
|
Editorial Mediterraneo Argentina
S.r.L. |
: Argentina |
PARENT
COMPANY
IRPC Public
Company Limited
[Former :
Thai Petrochemical Industry
Public Company Limited]
Business Type: Manufacturer
of Petrochemicals
LITIGATION
On December 15,
2000, the Central
Bankruptcy Court has
ordered the company
in accordance with
a decided court
case no. 534/2543
to rehabilitate its
organization and has
initially appointed Effective
Planers Co., Ltd. as the
plan administer.
On May 13,
2003, the Central
Bankruptcy Court has
ordered Effective Planers Co.,
Ltd., to retire
from the plan
administration then it
has appointed The
Ministry of Finance
as the new
plan administer on
July 28, 2003.
The Company’s previous
management has filed
litigation to the Central Bankruptcy Court to
dismiss the Resolutions
of the Extraordinary
General Meeting of
Shareholders for the year
2006 and 2009 of
IRPC Polyol Company Limited and
claimed for the damage amount at Bht. 80 million from the Company's board of
directors.
In July 2011, the Central Bankruptcy Court has decided to dismiss the
Resolutions of the Extraordinary General Meeting of Shareholders of both years.
In October 2011, the Company has filed the petition to the Supreme
Court, and begged for the ease of the execution in November 2011.
Later the Office of the Business Development Department has issued the
letter dated February 7, 2012 informing
about the petition result to the Company's board of directors.
The result is to dismiss the
Company's petition and an order to revoke the registration of the change of the
directors and Company's power, by
merging the list of the Company’s previous management with the
directors representing the Company’s major shareholders. But most power shall be vested in the Company’s previous management effectively on
February 7, 2012 onwards.
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 or
T/T.
Exports are against
T/T.
BUSINESS
TRANSACTION
Most of the
products are sold
by credit, with the maximum credit given at 60 days.
The subject is
not found to
have problem on its account
receivable.
BANKING
Bangkok Bank Public
Company Limited
[Head Office :
333 Silom Rd.,
Silom, Bangrak, Bangkok
10500]
The Siam Commercial
Bank Public Company
Limited
EMPLOYMENT
The subject employs
approximately 200 office
staff and factory
workers.
LOCATION
DETAILS
The premise is
rented for administrative office on
the 7th floor
in a multi-storey
building at the
heading address. It
is located in
commercial/residential area.
Factory is located
at 299 Moo 5, Sukhumvit Rd.,
T. Choengnone, A. Muang,
Rayong 21000 Tel:
[66] 38 942-488-9,
Fax: [66] 38
613-988.
COMMENT
The company is the
manufacturer a wide
range of polyol
products used as raw
materials in the
production of thermal insulation,
bedding and furniture, footwear and
flexible packaging. It
recognized as the
largest manufacturer of
polyurethane based raw
material in Thailand.
The subject’s business
has encountered slow growth
in the past
several years with
three consecutive years
of net loss.
However, the subject
has a new
shareholder in 2017,
PCC Rokita SA.
from Poland, which
would assist on the
company’s financial liquidity
flow and technology
know-how. Nevertheless, the subject’s
business remains promising
in line with
an improvement and
recovery of related
industries of both
local and overseas
countries.
FINANCIAL
INFORMATION
The capital was
registered at Bht.
100,000 divided into
1,000 shares of Bht.
100 each.
The capital was
increased later as
followings:
Bht. 72,600,000
on November 17, 1987
Bht. 150,000,000
on February 15,
1990
Bht. 177,000,000
on August 10,
1995
Bht. 300,000,000
on February 10,
1997
The
latest registered capital
was increased to
Bht. 300,000,000 divided into
3,000,000 shares of
Bht. 100 each with
fully paid.
THE
SHAREHOLDERS LISTED WERE
[as at
March 22, 2017]
|
NAME |
HOLDING |
% |
|
|
|
|
|
IRPC Public Company
Limited Nationality: Thai Address : 299 Moo 5,
Sukhumvit Rd., T. Choengnone,
A. Muang, Rayong |
2,249,996 |
75.00 |
|
PCC Rokita SA. Nationality: Pole Address : 56-120 Sienkiewicza 4, Brzeg Dolny ul, Poland |
750,000 |
25.00 |
|
Mr. Somkiat Lertritpuwadol Nationality: Thai Address : 86/6
Moo 5, T. Banchang, A.
Banchang, Rayong |
2 |
- |
|
Mr. Sukrit Surabotsopon Nationality: Thai Address : 616
Soi Ratchadaniwest, Samsennok, Huaykwang, Bangkok |
1 |
- |
|
Mr. Mungkorn Kriengwatana Nationality: Thai Address : 1486
Moo 2, Soi
Bearing, Sukhumvit Road,
T. Samrongnua, A. Muang,
Samutprakarn |
1 |
- |
Total Shareholders : 5
Share
Structure
[as at March
22, 2017]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
4 |
2,250,000 |
75.00 |
|
Foreign - Pole |
1 |
750,000 |
25.00 |
|
Total |
5 |
3,000,000 |
100.00 |
NAMEOF AUDITOR & CERTIFIED PUBLIC ACCOUNTANT NO
Mr. Vichien Kingmontree No.
3977
BALANCE
SHEET [BAHT]
The 2017, financial
statement has not yet been
submitted to Commercial
Registration Department during
investigation.
The
latest financial figures published
for December 31, 2016,
2015 and 2014
were:
ASSETS
|
Current Assets |
2016 |
2015 |
2014 |
|
|
|
|
|
|
Cash and Cash Equivalents |
19,508,124 |
36,522,853 |
24,491,556 |
|
Trade Account and
Other Receivable |
107,575,722 |
111,607,952 |
128,279,661 |
|
Inventories |
191,988,095 |
232,779,508 |
336,984,070 |
|
Other Current Assets
|
9,973,544 |
21,848,418 |
28,812,443 |
|
Total Current Assets
|
329,045,485 |
402,758,731 |
518,567,730 |
|
|
|
|
|
|
Investments in Joint
Ventures |
4,999,980 |
4,999,980 |
- |
|
Long-term Lending to Related Company |
- |
- |
484,237 |
|
Property, Plant and Equipment
|
182,580,527 |
193,025,953 |
202,038,813 |
|
Intangible Assets |
8,948 |
- |
- |
|
Deferred Income Tax |
32,414,210 |
20,236,277 |
9,869,601 |
|
Other Non-current Assets |
222,630 |
221,853 |
221,853 |
|
Total Assets |
549,271,780 |
621,242,794 |
731,182,234 |
LIABILITIES &
SHAREHOLDERS' EQUITY [BAHT]
|
Current
Liabilities |
2016 |
2015 |
2014 |
|
|
|
|
|
|
Short-term Loan from
Financial Institution |
141,332,197 |
70,672,421 |
30,460,451 |
|
Trade Account and
Other Payable |
31,189,406 |
57,655,617 |
151,282,349 |
|
Accrued Bonus |
- |
- |
13,005,742 |
|
Other Current Liabilities |
32,597,727 |
- |
3,987,612 |
|
Total Current Liabilities |
205,119,330 |
128,328,038 |
198,736,154 |
|
|
|
|
|
|
Employee Benefits Obligation |
35,896,331 |
27,177,374 |
25,034,925 |
|
Total Liabilities |
241,015,661 |
155,505,412 |
223,771,079 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized, issued
and fully paid share
capital 3,000,000 shares |
300,000,000 |
300,000,000 |
300,000,000 |
|
|
|
|
|
|
Capital Paid |
300,000,000 |
300,000,000 |
300,000,000 |
|
Retained Earning : [Deficit]
|
|
|
|
|
Appropriated for statutory reserve |
30,000,000 |
30,000,000 |
30,000,000 |
|
Unappropriated |
[21,743,881] |
135,737,382 |
177,411,155 |
|
Total Shareholders' Equity |
308,256,119 |
465,737,382 |
507,411,155 |
|
Total Liabilities and
Shareholders' Equity |
549,271,780 |
621,242,794 |
731,182,234 |
PROFIT
& LOSS ACCOUNT
|
Revenue |
2016 |
2015 |
2014 |
|
|
|
|
|
|
Sales or Services Income |
767,531,651 |
862,319,598 |
843,138,524 |
|
Other Income |
5,121,245 |
2,964,484 |
4,985,654 |
|
Gain/[Loss] on Exchange Rate |
- |
- |
6,881,375 |
|
Total Revenues |
772,652,896 |
865,284,082 |
855,005,553 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold or Services |
806,189,072 |
870,914,261 |
830,654,122 |
|
Selling Expenses |
12,685,084 |
17,461,558 |
18,644,714 |
|
Administrative Expenses |
35,282,388 |
28,293,717 |
9,536,720 |
|
Total Expenses |
854,156,544 |
916,669,536 |
858,835,556 |
|
Profit/ [Loss] before
Financial Cost & Income Tax |
[81,503,648] |
[51,385,454] |
[3,830,003] |
|
Financial Cost |
[1,318,016] |
[654,995] |
[779,111] |
|
Profit / [Loss] before Income
Tax |
[82,821,664] |
[52,040,449] |
[4,609,114] |
|
Expenses [Income] Income
Tax |
12,177,933 |
10,366,676 |
3,243,705 |
|
Net Profit |
[70,643,731] |
[41,673,773] |
[1,365,409] |
FINANCIAL
ANALYSIS
|
ITEM |
UNIT |
2016 |
2015 |
2014 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
1.60 |
3.14 |
2.61 |
|
QUICK RATIO |
TIMES |
0.62 |
1.15 |
0.77 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
4.20 |
4.47 |
4.17 |
|
TOTAL ASSETS TURNOVER |
TIMES |
1.40 |
1.39 |
1.15 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
86.92 |
97.56 |
148.08 |
|
INVENTORY TURNOVER |
TIMES |
4.20 |
3.74 |
2.46 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
51.16 |
47.24 |
55.53 |
|
RECEIVABLES TURNOVER |
TIMES |
7.13 |
7.73 |
6.57 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
14.12 |
24.16 |
66.48 |
|
CASH CONVERSION CYCLE |
DAYS |
123.96 |
120.64 |
137.13 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
105.04 |
101.00 |
98.52 |
|
SELLING & ADMINISTRATION |
% |
6.25 |
5.31 |
3.34 |
|
INTEREST |
% |
0.17 |
0.08 |
0.09 |
|
GROSS PROFIT MARGIN |
% |
(4.37) |
(0.65) |
2.89 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
(10.62) |
(5.96) |
(0.45) |
|
NET PROFIT MARGIN |
% |
(9.20) |
(4.83) |
(0.16) |
|
RETURN ON EQUITY |
% |
(22.92) |
(8.95) |
(0.27) |
|
RETURN ON ASSET |
% |
(12.86) |
(6.71) |
(0.19) |
|
EARNING PER SHARE |
BAHT |
(23.55) |
(13.89) |
(0.46) |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.44 |
0.25 |
0.31 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.78 |
0.33 |
0.44 |
|
TIME INTEREST EARNED |
TIMES |
(61.84) |
(78.45) |
(4.92) |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
(10.99) |
2.27 |
|
|
OPERATING PROFIT |
% |
58.61 |
1,241.66 |
|
|
NET PROFIT |
% |
(69.52) |
(2,952.11) |
|
|
FIXED ASSETS |
% |
(5.41) |
(4.46) |
|
|
TOTAL ASSETS |
% |
(11.59) |
(15.04) |
|
ANNUAL
GROWTH: RISKY
An annual sales growth is -10.99%. Turnover has decreased from THB
PROFITABILITY :
RISKY
PROFITABILITY
RATIO
|
Gross Profit Margin |
(4.37) |
Deteriorated |
Industrial
Average |
(9.20) |
|
Net Profit Margin |
(9.20) |
Deteriorated |
Industrial
Average |
7.24 |
|
Return on Assets |
(12.86) |
Deteriorated |
Industrial
Average |
7.27 |
|
Return on Equity |
(22.92) |
Deteriorated |
Industrial
Average |
12.74 |
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 -4.37%. 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. The company's figure is -9.2%.
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 -12.86%.
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 -22.92%.
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 |
1.60 |
Satisfactory |
Industrial
Average |
2.12 |
|
Quick Ratio |
0.62 |
|
|
|
|
Cash Conversion Cycle |
123.96 |
|
|
|
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 1.6 times in 2016, decrease from 3.14 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 0.62 times in 2016,
decrease from 1.15 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 124 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE :
ACCEPTABLE
LEVERAGE RATIO
|
Debt Ratio |
0.44 |
Acceptable |
Industrial
Average |
0.41 |
|
Debt to Equity Ratio |
0.78 |
Impressive |
Industrial
Average |
0.69 |
|
Times Interest Earned |
(61.84) |
Risky |
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 -61.84 lower than 1, so the company is not generating
enough cash from EBIT to meet its interest obligations.
Debt Ratio shows the proportion of a company's assets which are financed
through debt. The company's figure is 0.44 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 |
4.20 |
Impressive |
Industrial
Average |
- |
|
Total Assets Turnover |
1.40 |
Impressive |
Industrial
Average |
1.00 |
|
Inventory Conversion Period |
86.92 |
|
|
|
|
Inventory Turnover |
4.20 |
Satisfactory |
Industrial
Average |
7.70 |
|
Receivables Conversion Period |
51.16 |
|
|
|
|
Receivables Turnover |
7.13 |
Impressive |
Industrial
Average |
4.56 |
|
Payables Conversion Period |
14.12 |
|
|
|
The company's Account Receivable Ratio is calculated as 7.13 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 98 days at the
end of 2015 to 87 days at the end of 2016. This represents a positive trend.
And Inventory turnover has increased from 3.74 times in year 2015 to 4.2 times
in year 2016.
The company's Total Asset Turnover is calculated as 1.4 times and 1.39
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 65.05 |
|
|
1 |
INR 89.70 |
|
Euro |
1 |
INR 80.03 |
|
Thai Baht |
1 |
INR 2.07 |
Note:
Above are approximate rates obtained from sources believed to be correct
INFORMATION DETAILS
|
Analysis Done by
: |
NIY |
|
|
|
|
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.