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MIRA
INFORM REPORT
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Report No. : |
495629 |
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Report Date : |
22.03.2018 |
IDENTIFICATION DETAILS
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Name : |
F.R. ENTERPRISE CO., LTD. |
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Registered Office : |
1692/49 Moo 4, T. Teparak, A. Muang, Samutprakarn 10270 |
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Country : |
Thailand |
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Financials (as on) : |
31.08.2016 |
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Date of Incorporation : |
13.09.2010 |
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Com. Reg. No.: |
0115553012111 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
The subject is
engaged in recycling,
distributing and exporting
various kinds of
plastic recycle and
plastic scrap such
as LDPE, HDPE,
PP, ABS and etc. |
|
|
|
|
No. of Employees : |
26 |
RATING & COMMENTS
(Mira Inform has adopted New Rating mechanism w.e.f. 23rd
January 2017)
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MIRA’s Rating : |
A |
|
Credit Rating |
Explanation |
Rating Comments |
|
A |
Acceptable Risk |
Business dealings permissible with
moderate risk of default |
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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 |
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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 |
|
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
F.R. ENTERPRISE CO., LTD.
SUMMARY
BUSINESS ADDRESS : 1692/49 MOO
4, T. TEPARAK, A. MUANG,
SAMUTPRAKARN
10270, THAILAND
TELEPHONE : [66] 2346-0356, 085 963-1888, 081 499-2217
FAX : [66] 2703-6964
E-MAIL ADDRESS : fr.enterprise@hotmail.com
REGISTRATION ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED : 2010
REGISTRATION NO. : 0115553012111
TAX ID NO. : 3034257174
CAPITAL REGISTERED : BHT.
1,000,000
CAPITAL PAID-UP : BHT.
1,000,000
SHAREHOLDER’S PROPORTION : THAI
: 100%
FISCAL YEAR CLOSING DATE : AUGUST 31
LEGAL STATUS : PRIVATE LIMITED COMPANY
EXECUTIVE : MS.
NATTANUN SRIPREMANAN, THAI
MANAGING DIRECTOR
NO. OF STAFF : 26
LINES OF BUSINESS : PLASTIC RECYCLE
AND PLASTIC SCRAP EXPORTER AND
DISTRIBUTOR
|
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
13, 2010 as a
private limited company
under the registered
name F.R. ENTERPRISE CO.,
LTD., by Thai group, with
the business objective
to distribute plastic
recycle and plastic
scraps to both local
and overseas markets.
It currently employs
26 staff.
The subject’s registered
address is 1692/49
Moo 4, T. Teparak,
A. Muang,
Samutprakarn 10270, and
this is the
subject’s current operation
address.
THE BOARD OF
DIRECTOR
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Ms. Nattanun Sripremanan |
[x] |
Thai |
29 |
|
Mrs. Jeeranun Chen |
|
Thai |
38 |
|
Mr. Chaiyapong Sripremanan |
|
Thai |
29 |
AUTHORIZED PERSON
The above director
[x] can sign
on behalf of
the subject with
company’s affixed.
MANAGEMENT
Ms. Nattanun Sripremanan is
the Managing Director.
She is Thai
nationality with the
age of 29
years old.
BUSINESS OPERATIONS
The subject is
engaged in recycling,
distributing and exporting
various kinds of
plastic recycle and plastic scrap
such as LDPE,
HDPE, PP, ABS
and etc.
PURCHASE
100% of the
plastic materials is
purchased from local
suppliers.
SALES
90% of the
products is exported
to Singapore, India,
Hong Kong, Bangladesh, Japan,
Republic of China,
Malaysia, Indonesia and
Vietnam, the remaining
10% is sold
locally to manufacturers
and end-users.
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.
Exports are against
T/T.
BANKING
Bangkok Bank Public
Company Limited
EMPLOYMENT
The subject currently
employs 26 staff.
LOCATION DETAILS
The premise is
rented for administrative office,
recycling factory and
warehouse at the
heading address. Premise
is located in
provincial, on the
outskirts of Bangkok.
COMMENT
The subject’s operating
performance as of
August 31, 2016 was
drastically slowdown from
a decrease in
both sales income
and net profit comparing
to the previous
year. Slow recovery,
slow growth and less
expansion of various
industries resulted to
a slow consumption
of plastic recycle
and plastic scrap in the past
year. Nevertheless, the
subject managed to
obtain net profit.
Generally, the subject operates
a moderate business
in amidst of
unfavourable factors.
FINANCIAL INFORMATION
The capital was
registered at Bht.
1,000,000 divided into
10,000 shares of
Bht. 100
each with fully
paid.
THE SHAREHOLDERS LISTED
WERE : [as
at December 26,
2017]
|
NAME |
HOLDING |
% |
|
|
|
|
|
Ms. Nattanun Sripremanan Nationality: Thai Address : 899
Moo 2, T. Praeksamai, A. Muang, Samutprakarn
|
8,000 |
80.00 |
|
Mrs. Jeeranun Chen Nationality: Thai Address : 120/908
Moo 2, T. Taibanmai, A. Muang, Samutprakarn
|
1,000 |
10.00 |
|
Mr. Chaiyapong Sripremanan Nationality: Thai Address : 322/1
Moo 6, T. Bangpoomai, A. Muang, Samutprakarn |
1,000 |
10.00 |
Total Shareholders : 3
Share Structure [as
at December 26,
2017]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
3 |
10,000 |
100.00 |
|
Foreign |
- |
- |
- |
|
Total |
3 |
10,000 |
100.00 |
NAME OF AUDITOR
& CERTIFIED PUBLIC
ACCOUNTANT NO. :
Mrs. Songsri Suwanprasop No.
1110
BALANCE SHEET [BAHT]
The latest financial
figures published for
August 31, 2016,
2015 and 2014
were:
ASSETS
|
Current Assets |
2016 |
2015 |
2014 |
|
|
|
|
|
|
Cash and Cash Equivalents |
84,582.31 |
2,284,556.53 |
853,937.66 |
|
Trade Accounts and
Other Receivable |
1,180,289.95 |
5,318,624.72 |
11,039,945.88 |
|
Short-term Loans |
2,254,000.00 |
- |
- |
|
Other Current Assets |
120.15 |
- |
- |
|
Total Current Assets
|
3,518,992.41 |
7,603,181.25 |
11,893,883.54 |
|
|
|
|
|
|
Equipment |
17,863.79 |
25,186.22 |
32,508.65 |
|
Total Assets |
3,536,856.20 |
7,628,367.47 |
11,926,392.19 |
LIABILITIES & SHAREHOLDERS' EQUITY [BAHT]
|
Current Liabilities |
2016 |
2015 |
2014 |
|
|
|
|
|
|
Trade Accounts and Other
Payable |
1,011,746.47 |
19,785.57 |
272,813.25 |
|
Accrued Income Tax |
24,651.33 |
206,729.47 |
- |
|
Total Current Liabilities |
1,036,397.80 |
226,515.04 |
272,813.25 |
|
|
|
|
|
|
Long-term Loan |
- |
5,000,000.00 |
10,000,000.00 |
|
Total Liabilities |
1,036,397.80 |
5,226,515.04 |
10,272,813.25 |
|
|
|
|
|
|
Shareholders’ Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized, and
issued share capital
10,000 shares
|
1,000,000.00 |
1,000,000.00 |
1,000,000.00 |
|
Capital Paid |
1,000,000.00 |
1,000,000.00 |
1,000,000.00 |
|
Retained Earning -Unappropriated [Deficit] |
1,500,458.40 |
1,401,852.43 |
653,578.94 |
|
Total Shareholders’ Equity |
2,500,458.40 |
2,401,852.43 |
1,653,578.94 |
|
Total Liabilities and
Shareholders’ Equity |
3,536,856.20 |
7,628,367.47 |
11,926,392.19 |
PROFIT & LOSS
ACCOUNT
|
Revenue |
2016 |
2015 |
2014 |
|
|
|
|
|
|
Sales Income |
4,551,998.00 |
3,527,400.00 |
9,033,825.00 |
|
Sales from Overseas |
48,298,033.19 |
126,764,914.42 |
64,339,304.52 |
|
Gain on Exchange Rate |
19,250.98 |
34,718.98 |
18,451.10 |
|
Other Income |
6,232.82 |
609.84 |
554.11 |
|
Total Revenues |
52,875,514.99 |
130,327,643.24 |
73,392,134.73 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold or Services |
49,365,072.89 |
127,672,229.77 |
71,280,297.34 |
|
Selling Expenses |
305,557.00 |
1,700,067.93 |
1,354,966.90 |
|
Administrative Expenses |
3,081,622.27 |
342.58 |
2,072.35 |
|
Total Expenses |
52,752,252.16 |
129,372,640.28 |
72,637,336.59 |
|
|
|
|
|
|
Profit /[Loss] before Income
Tax |
123,262.83 |
955,002.96 |
754,798.14 |
|
Income Tax |
[24,656.86] |
[206,729.47] |
[151,374.10] |
|
Net Profit / [Loss] |
98,605.97 |
748,273.49 |
603,424.04 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2016 |
2015 |
2014 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
3.40 |
33.57 |
43.60 |
|
QUICK RATIO |
TIMES |
3.40 |
33.57 |
43.60 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
2,958.50 |
5,173.16 |
2,257.03 |
|
TOTAL ASSETS TURNOVER |
TIMES |
14.94 |
17.08 |
6.15 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
- |
- |
- |
|
INVENTORY TURNOVER |
TIMES |
- |
- |
- |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
8.15 |
14.90 |
54.92 |
|
RECEIVABLES TURNOVER |
TIMES |
44.78 |
24.50 |
6.65 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
7.48 |
0.06 |
1.40 |
|
CASH CONVERSION CYCLE |
DAYS |
0.67 |
14.84 |
53.52 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
93.41 |
97.99 |
97.15 |
|
SELLING & ADMINISTRATION |
% |
6.41 |
1.31 |
1.85 |
|
INTEREST |
% |
- |
- |
- |
|
GROSS PROFIT MARGIN |
% |
6.64 |
2.04 |
2.88 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
0.23 |
0.73 |
1.03 |
|
NET PROFIT MARGIN |
% |
0.19 |
0.57 |
0.82 |
|
RETURN ON EQUITY |
% |
3.94 |
31.15 |
36.49 |
|
RETURN ON ASSET |
% |
2.79 |
9.81 |
5.06 |
|
EARNING PER SHARE |
BAHT |
9.86 |
74.83 |
60.34 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.29 |
0.69 |
0.86 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.41 |
2.18 |
6.21 |
|
TIME INTEREST EARNED |
TIMES |
- |
- |
- |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
(59.44) |
77.57 |
|
|
OPERATING PROFIT |
% |
(87.09) |
26.52 |
|
|
NET PROFIT |
% |
(86.82) |
24.00 |
|
|
FIXED ASSETS |
% |
(29.07) |
(22.52) |
|
|
TOTAL ASSETS |
% |
(53.64) |
(36.04) |
|
ANNUAL GROWTH :
RISKY
An annual sales growth is -59.44%. Turnover has decreased from THB
PROFITABILITY :
EXCELLENT
PROFITABILITY
RATIO
|
Gross Profit Margin |
6.64 |
Impressive |
Industrial Average |
4.51 |
|
Net Profit Margin |
0.19 |
Impressive |
Industrial Average |
(0.54) |
|
Return on Assets |
2.79 |
Impressive |
Industrial Average |
(1.53) |
|
Return on Equity |
3.94 |
Impressive |
Industrial Average |
(5.33) |
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 6.64%. 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 0.19%,
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
2.79%, 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 3.94%, 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 Downtrend
Return on Equity Downtrend
LIQUIDITY :
EXCELLENT
LIQUIDITY RATIO
|
Current Ratio |
3.40 |
Impressive |
Industrial Average |
1.48 |
|
Quick Ratio |
3.40 |
|
|
|
|
Cash Conversion Cycle |
0.67 |
|
|
|
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 3.4 times in 2016, decrease from 33.57 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 3.4 times in 2016,
decrease from 33.57 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 1 day.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Uptrend
LEVERAGE :
EXCELLENT
LEVERAGE RATIO
|
Debt Ratio |
0.29 |
Impressive |
Industrial Average |
0.74 |
|
Debt to Equity Ratio |
0.41 |
Impressive |
Industrial Average |
2.78 |
|
Times Interest Earned |
- |
|
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.
Debt Ratio shows the proportion of a company's assets which are financed
through debt. The company's figure is 0.29 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 Uptrend
Times Interest Earned Stable
ACTIVITY :
EXCELLENT
ACTIVITY RATIO
|
Fixed Assets Turnover |
2,958.50 |
Impressive |
Industrial Average |
- |
|
Total Assets Turnover |
14.94 |
Impressive |
Industrial Average |
2.83 |
|
Inventory Conversion Period |
- |
|
|
|
|
Inventory Turnover |
- |
|
Industrial Average |
6.57 |
|
Receivables Conversion Period |
8.15 |
|
|
|
|
Receivables Turnover |
44.78 |
Impressive |
Industrial Average |
7.85 |
|
Payables Conversion Period |
7.48 |
|
|
|
The company's Account Receivable Ratio is calculated as 44.78 and
The company's Total Asset Turnover is calculated as 14.94 times and
17.08 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 65.22 |
|
|
1 |
INR 91.33 |
|
Euro |
1 |
INR 79.96 |
|
Thai Baht |
1 |
INR 2.09 |
Note :
Above are approximate rates obtained from sources believed to be correct
INFORMATION DETAILS
|
Analysis Done by
: |
PRA |
|
|
|
|
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.