|
|
|
MIRA INFORM REPORT
|
Report No. : |
498789 |
|
Report Date : |
24.03.2018 |
IDENTIFICATION DETAILS
|
Name : |
THAI-MC COMPANY LIMITED |
|
|
|
|
Registered Office : |
24th - 26th Floor, 968 U-Chuliang Foundation Building, Rama 4 Road, SILOM, Bangrak, Bangkok 10500 |
|
|
|
|
Country : |
Thailand |
|
|
|
|
Financials (as on) : |
31.03.2017 |
|
|
|
|
Date of Incorporation : |
25.12.1973 |
|
|
|
|
Com. Reg. No.: |
0105516013941 |
|
|
|
|
Legal Form : |
Private Limited Company |
|
|
|
|
Line of Business : |
The subject’s activity is an international trading company which
handles a wide range of industrial products such as chemicals, machineries,
living essential products. |
|
|
|
|
No. of Employees : |
168 |
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+ |
Low Risk |
Business dealings permissible with low
risk of default |
|
Status : |
Excellent |
|
|
|
|
Payment Behaviour : |
Regular |
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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
THAI-MC COMPANY
LIMITED
SUMMARY
BUSINESS
ADDRESS : 24th - 26th FLOOR, 968 U-CHULIANG FOUNDATION
BUILDING, RAMA
4 ROAD, SILOM,
BANGRAK,
BANGKOK 10500,
THAILAND
TELEPHONE : [66] 2632-4100,
2632-4200
FAX :
[66] 2632-4199
E-MAIL
ADDRESS : info@mitsubishithai-mc.com
thaimc@hadyai.loxinfo.co.th
REGISTRATION
ADDRESS : SAME
AS BUSINESS ADDRESS
ESTABLISHED
: 1973
REGISTRATION
NO. : 0105516013941 [Former : 633/ 2522]
TAX
ID NO. : 3101021813
CAPITAL REGISTERED : BHT. 800,000,000
CAPITAL PAID-UP : BHT.
800,000,000
SHAREHOLDER’S PROPORTION : THAI :
76.00%
JAPANESE :
24.00%
FISCAL YEAR CLOSING DATE : MARCH
31
LEGAL
STATUS : PRIVATE LIMITED
COMPANY
EXECUTIVE : MR.
NORIO SAIGUSA, JAPANESE
PRESIDENT
NO.
OF STAFF : 168
LINES
OF BUSINESS : INTERNATIONAL TRADING
CORPORATE PROFILE
OPERATING
TREND : STABLE
PRESENT
SITUATION : OPERATING NORMALLY
REPUTATION : GOOD
WITH NORMAL BUSINESS
ENGAGEMENT
MANAGEMENT
STANDARD : MANAGEMENT WITH
GOOD PERFORMANCE
HISTORY
The
subject was initially established on December 25,
1973 as a private
limited company under
the registered name “Thai
Trading and Investment Co., Ltd.”, by
a joint venture
among Mitsubishi Corporation
from Japan, Mitsubishi
Company (Thailand) Ltd.,
and other Thai
partners. Its business
objective is engaged
in international trading
business of industrial
products such as
chemicals, machineries,
living essential products
and etc., to
both local and
overseas markets. It
currently employs 168
staff.
On
April 30, 1984,
the subject’s name
was changed to
THAI-MC COMPANY LIMITED.
The
major shareholders are
Mitsubishi Company (Thailand)
Ltd., and Mitsubishi Corporation of
Japan, with holding
around 25% and
24% of the
subject’s shares
respectively.
The
subject’s registered address
was at 10th - 17th
Floor, 208
Tower Building, 208 Wireless
Rd., Lumpini, Pathumwan,
Bangkok 10330.
In
2005, subject’s registered
address was relocated
to 24th - 26th Floor, 968 U-Chuliang Foundation
Building, Rama 4 Road, Silom, Bangrak, Bangkok
10500, and this
is the company’s
current operation address.
THE BOARD OF DIRECTORS
|
Name |
|
Nationality |
Age |
|
|
|
|
|
|
Mr. Prayad Boonsoong :
Chairman |
[x] |
Thai |
80 |
|
Mr. Pornwut Sarasin |
[x] |
Thai |
59 |
|
Mr. Ekwan Chansue |
[x] |
Thai |
60 |
|
Mr. Amporn Udomsakpaibool |
[x] |
Thai |
57 |
|
Mr. Wasit Hanvittayakul |
[x] |
Thai |
49 |
|
Mr. Norio Saigusa |
|
Japanese |
56 |
|
Mr. Kiyofusa Fujii |
|
Japanese |
49 |
|
Mr. Etsuko Iwasaki |
|
Japanese |
42 |
|
Mr. Daisuke Kuramoto |
|
Japanese |
43 |
|
Mr. Takashi Mimura |
|
Japanese |
50 |
AUTHORIZED PERSON
Anyone of the
mentioned directors [x]
can jointly sign
with one of
the rest directors on
behalf of the
subject with company’s affixed.
MANAGEMENT
Mr. Norio Saigusa
is the President.
He is Japanese
nationality with the
age of 56
years old.
Mr. Takashi Mimura
is the Managing
Director.
He is Japanese
nationality with the
age of 50
years old.
BUSINESS OPERATIONS
The subject’s activity
is an international
trading company which
handles a wide
range of industrial
products such as
chemicals, machineries, living
essential products and
etc., by importing
products for supporting
its local customers,
and exporting of local
products to overseas
customers.
PRODUCTS & SERVICES:
Energy Business Group:
handles an extensive
variety of petroleum,
gas, carbon-related products.
Metal Group:
- Non-Ferrous Metal
Materials such as
aluminium, copper, lead,
zinc and other
metals.
- Non-Ferrous Metal
Products such as
aluminium sheets, aluminium
tubes, copper tubes
and etc.
- Information & Communication
Technology is contributing development of modern
technologies for
telecommunications.
Machinery Group: promoting
sales, finances and
investment of complete utility plants,
industrial plants, system
and equipment which
form the integral
parts of manufacturing
and service sectors.
Chemical Group: offers
a broad line
of products not
only chemicals but
also plastics, glue,
compounds, fertilizers and
various kinds of
additives.
Investment Business Group:
- Investment in
other companies, in
the field of
metal works, steels,
chemical, foods,
textiles and
other industries.
Infrastructure & Logistic
Business Group
Living Essential Group:
- such as foods,
textiles, general goods,
merchandise, etc.
PURCHASE
The products are
purchased from both
local and overseas
suppliers in Japan,
United States of
America, United Kingdom, Hong Kong,
Republic of China,
Taiwan, Singapore and
the countries in Europe.
MAJOR SUPPLIER
Mitsubishi
Corporation : Japan
SALES
100% of the
imported products is
sold locally to manufacturers, wholesalers
and Thai Government.
EXPORT
100% of the
local products are exported
to Japan, Saudi
Arabia, Indonesia, Malaysia,
Hong Kong, United States of
America, Singapore, Taiwan, Vietnam,
Laos, India, Pakistan, Myanmar,
Cambodia, Philippines and
Middle East countries.
MAJOR CUSTOMER
Union Petrochemical Public
Company Limited :
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 for 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
L/C at sight
or T/T.
BANKING
Bank
of Tokyo-Mitsubishi UFJ
Ltd.
[Bangkok Branch :
North Sathorn Rd.,
Bangkok]
Bank of
America NT &
SA
[Bangkok Branch :
Silom Rd., Bangkok]
Bangkok
Bank Public Company
Limited
[Head Office :
Silom Rd., Bangkok]
The
Siam Commercial Bank
Public Company Limited
[Rajdamri Branch :
Bangkok]
Bank
of Ayudhya Public
Company Limited
Sumitomo Mitsui
Banking Corporation
[Bangkok Branch]
EMPLOYMENT
The subject employs 168 staff. [Office and
Sales Staff]
LOCATION DETAILS
The premise
is rented for administrative office
at the heading
address. It is
located in commercial
area.
Branch
office is located
at 5 Preedarom
Road, T. Hadyai, A. Hadyai,
Songkhla 90110.
Tel.
[66] 74 244-900-1,
Fax. [66] 74
234-265.
COMMENT
The
subject attributed the improvement to
the successful sales of its
products. Subject performed well
in the previous
year. It also
provides the capability and
resources to rapidly
develop new products
to meet unique
customers’ needs.
With
accumulated knowledge and
long experience in
the business make
it an outstanding
status in global
market.
The
subject’s operating performance as
of March 31,
2017 was impressive
with an increase
in both sales or
service income and
net profit comparing
to the previous
year. Generally, its
business remains solid
with sustainable profit.
FINANCIAL INFORMATION
The
capital was initially
registered at Bht.
1,000,000 divided into
10,000 shares of
Bht. 100 each.
The
capital was increased
later as following:
Bht. 5,000,000
in January 1975
Bht. 100,000,000
in September 1989
Bht. 200,000,000
in April 1990
Bht. 800,000,000
on March 27,
2009
The
latest registered capital
was increased to
Bht. 800,000,000 divided into
8,000,000 shares of
Bht. 100 each
with fully paid.
MAIN SHAREHOLDERS
[As at
December 22, 2016]
|
NAME |
HOLDING
|
% |
|
|
|
|
|
Mitsubishi Company (Thailand)
Ltd. Nationality: Thai Address : 24th – 26th Floor, 968
U-Chuliang
Foundation Building, Rama
4 Rd., Silom,
Bangrak,
Bangkok |
2,000,000 |
25.00 |
Mitsubishi
Corporation
Nationality: Japanese Address : 3-1,
Marunouchi 2-Chome, Chiyoda-ku, Tokyo 100-8086,
Japan |
1,920,000 |
24.00 |
|
MCT Management Co.,
Ltd. Nationality: Thai Address : 24th – 26th Floor, 968
U-Chuliang
Foundation Building, Rama
4 Rd., Silom,
Bangrak,
Bangkok |
1,600,000 |
20.00 |
|
Mr. Prayad Boonsoong Nationality: Thai Address : 45/2
Soi Ekamai 28,
Klongton,
Wattana, Bangkok |
912,000 |
11.40 |
|
Mr. Ekwan Chansue Nationality: Thai Address : 222
Soi Srinakorn, Linchee
Rd.,
Chongnonsee, Yannawa, Bangkok |
266,668 |
3.34 |
|
Ms. Yuwadee Chansue Nationality: Thai Address : 222
Soi Srinakorn, Linchee
Rd.,
Chongnonsee, Yannawa, Bangkok |
266,666 |
3.33 |
|
Mr. Ekthai Chansue Nationality: Thai Address : 222
Soi Srinakorn, Linchee
Rd., Chongnonsee, Yannawa,
Bangkok |
266,666 |
3.33 |
|
Mr. Pornwut Sarasin Nationality: Thai Address : 122
Saladaeng Rd., Silom, Bangrak,
Bangkok |
160,000 |
2.00 |
|
Mr. Pongsak Assakul Nationality: Thai Address : 51/68-69
Soi Sukhumvit 23,
Klongtoeynua, Wattana, Bangkok |
160,000 |
2.00 |
|
Others |
448,000 |
5.60 |
Total Shareholders : 16
Share Structure
[As at December 22,
2016]
|
Nationality |
Shareholders |
No. of Share |
% Shares |
|
|
|
|
|
|
Thai |
15 |
6,080,000 |
76.00 |
|
Foreign - Japanese |
1 |
1,920,000 |
24.00 |
|
Total |
16 |
8,000,000 |
100.00 |
NAME OF AUDITOR & CERTIFIED PUBLIC ACCOUNTANT NO.
Ms. Chupong Surachutikarn No.
4325
BALANCE SHEET [BAHT]
The latest financial figures published
as at March
31, 2017, 2016
and 2015 were:
ASSETS
|
Current Assets |
2017 |
2016 |
2015 |
|
|
|
|
|
|
Cash and Cash Equivalents |
607,665,496 |
1,537,564,394 |
819,871,404 |
|
Trade Accounts and
Other Receivable |
3,551,341,587 |
3,193,677,590 |
3,292,375,945 |
|
Current Portion of Long-term
Employee |
- |
- |
1,133,238 |
|
Short-term Loans |
1,543,000,000 |
206,500,000 |
617,500,000 |
|
Inventories |
545,681,846 |
434,205,055 |
549,334,783 |
|
Other Current Assets
|
9,234,984 |
6,587,042 |
7,894,914 |
|
|
|
|
|
|
Total Current Assets
|
6,256,923,913 |
5,378,534,081 |
5,288,110,284 |
|
For-sales Investment |
450,000 |
457,500 |
423,750 |
|
Investment in Associated |
55,613,102 |
55,613,102 |
52,513,102 |
|
Investment in Subsidiaries |
155,759,900 |
155,759,900 |
155,759,900 |
|
Other Long-term Investment
|
337,072,358 |
343,220,218 |
342,340,666 |
|
Long-term Loan to Employee |
2,876,752 |
2,063,818 |
1,371,686 |
|
Property, Plant and Equipment |
114,848,821 |
125,727,358 |
148,362,666 |
|
Intangible Assets |
10,635,431 |
12,813,973 |
13,000,181 |
|
Other Non-current Assets |
14,809,940 |
15,028,540 |
14,980,940 |
|
Total Assets |
6,948,990,217 |
6,089,218,490 |
6,016,863,175 |
LIABILITIES & SHAREHOLDERS’
EQUITY [BAHT]
|
Current
Liabilities |
2017 |
2016 |
2015 |
|
|
|
|
|
|
Trade Accounts and
Other Payable |
2,874,218,889 |
2,263,048,230 |
2,507,958,139 |
|
Short-term Loan from Related
Company |
59,000,000 |
73,000,000 |
57,000,000 |
|
Accrued Income Tax |
22,969,309 |
21,881,516 |
9,303,391 |
|
Other Current Liabilities |
15,850,425 |
13,780,833 |
20,797,184 |
|
|
|
|
|
|
Total Current Liabilities |
2,972,038,623 |
2,371,710,579 |
2,595,058,714 |
|
Employee Benefits Obligation |
122,531,983 |
121,060,560 |
106,790,982 |
|
Provision for the Cost of
Demolition and Restoration the Place |
10,630,778 |
10,630,778 |
10,630,778 |
|
Total Liabilities |
3,105,201,384 |
2,503,401,917 |
2,712,480,474 |
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Share capital : Baht 100
par value authorized, issued
and fully paid share
capital 8,000,000 shares |
800,000,000 |
800,000,000 |
800,000,000 |
|
|
|
|
|
|
Capital Paid |
800,000,000 |
800,000,000 |
800,000,000 |
|
Retained Earnings: Appropriated for Statutory reserve |
80,000,000 |
80,000,000 |
80,000,000 |
|
General reserve |
1,100,000,000 |
1,100,000,000 |
1,100,000,000 |
|
Unappropriated |
1,863,488,833 |
1,605,509,073 |
1,324,108,951 |
|
Other Components of
Shareholder’s Equity |
300,000 |
307,500 |
273,750 |
|
Total Shareholders' Equity |
3,843,788,833 |
3,585,816,573 |
3,304,382,701 |
|
Total Liabilities and
Shareholders' Equity |
6,948,990,217 |
6,089,218,490 |
6,016,863,175 |
PROFIT & LOSS ACCOUNT
|
Revenue |
2017 |
2016 |
2015 |
|
|
|
|
|
|
Sales or Services Income |
22,731,645,082 |
21,516,743,169 |
23,476,321,507 |
|
Compensation Income |
- |
- |
229,285,468 |
|
Other Income |
576,356,725 |
579,230,492 |
431,219,195 |
|
Total Revenues |
23,308,001,807 |
22,095,973,661 |
24,136,826,170 |
|
Expenses |
|
|
|
|
|
|
|
|
|
Cost of Goods
Sold or Services |
21,783,036,421 |
20,565,979,527 |
22,753,613,092 |
|
Selling Expenses |
818,257,889 |
818,766,207 |
712,937,593 |
|
Administrative Expenses |
148,138,399 |
169,793,834 |
211,896,237 |
|
Total Expenses |
22,749,432,709 |
21,554,539,568 |
23,678,446,922 |
|
|
|
|
|
|
Profit / [Loss] before Financial Cost & Income
Tax |
558,569,098 |
541,434,093 |
458,379,248 |
|
Financial Cost |
[200,504] |
[272,688] |
[130,740] |
|
Profit / [Loss] before Income
Tax |
558,368,594 |
541,161,405 |
458,248,508 |
|
Income Tax |
[56,398,834] |
[55,761,283] |
[53,721,981] |
|
|
|
|
|
|
Net Profit / [Loss] |
501,979,760 |
485,400,122 |
404,526,527 |
FINANCIAL ANALYSIS
|
ITEM |
UNIT |
2017 |
2016 |
2015 |
|
|
|
|
|
|
|
LIQUIDITY RATIO |
|
|
|
|
|
CURRENT RATIO |
TIMES |
2.11 |
2.27 |
2.04 |
|
QUICK RATIO |
TIMES |
1.92 |
2.08 |
1.82 |
|
|
|
|
|
|
|
ACTIVITY RATIO |
|
|
|
|
|
FIXED ASSETS TURNOVER |
TIMES |
197.93 |
171.14 |
158.24 |
|
TOTAL ASSETS TURNOVER |
TIMES |
3.27 |
3.53 |
3.90 |
|
INVENTORY CONVERSION PERIOD |
DAYS |
9.14 |
7.71 |
8.81 |
|
INVENTORY TURNOVER |
TIMES |
39.92 |
47.36 |
41.42 |
|
RECEIVABLES CONVERSION PERIOD |
DAYS |
57.02 |
54.18 |
51.19 |
|
RECEIVABLES TURNOVER |
TIMES |
6.40 |
6.74 |
7.13 |
|
PAYABLES CONVERSION PERIOD |
DAYS |
48.16 |
40.16 |
40.23 |
|
CASH CONVERSION CYCLE |
DAYS |
18.01 |
21.72 |
19.77 |
|
|
|
|
|
|
|
PROFITABILITY
RATIO |
|
|
|
|
|
COST OF GOODS SOLD |
% |
95.83 |
95.58 |
96.92 |
|
SELLING & ADMINISTRATION |
% |
4.25 |
4.59 |
3.94 |
|
INTEREST |
% |
0.00 |
0.00 |
0.00 |
|
GROSS PROFIT MARGIN |
% |
6.71 |
7.11 |
5.89 |
|
NET PROFIT MARGIN BEFORE EX. ITEM |
% |
2.46 |
2.52 |
1.95 |
|
NET PROFIT MARGIN |
% |
2.21 |
2.26 |
1.72 |
|
RETURN ON EQUITY |
% |
13.06 |
13.54 |
12.24 |
|
RETURN ON ASSET |
% |
7.22 |
7.97 |
6.72 |
|
EARNING PER SHARE |
BAHT |
62.75 |
60.68 |
50.57 |
|
|
|
|
|
|
|
LEVERAGE RATIO |
|
|
|
|
|
DEBT RATIO |
TIMES |
0.45 |
0.41 |
0.45 |
|
DEBT TO EQUITY RATIO |
TIMES |
0.81 |
0.70 |
0.82 |
|
TIME INTEREST EARNED |
TIMES |
2,785.83 |
1,985.54 |
3,506.04 |
|
|
|
|
|
|
|
ANNUAL GROWTH |
|
|
|
|
|
SALES GROWTH |
% |
5.65 |
(8.35) |
|
|
OPERATING PROFIT |
% |
3.16 |
18.12 |
|
|
NET PROFIT |
% |
3.42 |
19.99 |
|
|
FIXED ASSETS |
% |
(8.65) |
(15.26) |
|
|
TOTAL ASSETS |
% |
14.12 |
1.20 |
|
ANNUAL GROWTH :
IMPRESSIVE
An annual sales growth is 5.65%. Turnover has increased from THB
21,516,743,169.00 in 2016 to THB 22,731,645,082.00 in 2017. While net profit
has increased from THB
PROFITABILITY :
IMPRESSIVE
PROFITABILITY
RATIO
|
Gross Profit Margin |
6.71 |
Impressive |
Industrial
Average |
- |
|
Net Profit Margin |
2.21 |
Acceptable |
Industrial
Average |
4.47 |
|
Return on Assets |
7.22 |
Impressive |
Industrial
Average |
4.42 |
|
Return on Equity |
13.06 |
Impressive |
Industrial
Average |
9.06 |
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 6.71%. 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 2.21%.
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. Return on Assets ratio is
7.22%, 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 13.06%, 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 :
IMPRESSIVE
LIQUIDITY RATIO
|
Current Ratio |
2.11 |
Impressive |
Industrial
Average |
0.90 |
|
Quick Ratio |
1.92 |
|
|
|
|
Cash Conversion Cycle |
18.01 |
|
|
|
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 2.11 times in 2017, decrease from 2.27 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 1.92 times in 2017,
decrease from 2.08 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 19 days.
Trend of the
average competitors in the same industry for last 5 years
Current Ratio Downtrend
LEVERAGE:
EXCELLENT
LEVERAGE RATIO
|
Debt Ratio |
0.45 |
Impressive |
Industrial
Average |
0.65 |
|
Debt to Equity Ratio |
0.81 |
Impressive |
Industrial
Average |
1.83 |
|
Times Interest Earned |
2,785.83 |
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 2785.83 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 0.45 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 |
197.93 |
Impressive |
Industrial
Average |
- |
|
Total Assets Turnover |
3.27 |
Impressive |
Industrial
Average |
0.99 |
|
Inventory Conversion Period |
9.14 |
|
|
|
|
Inventory Turnover |
39.92 |
Impressive |
Industrial
Average |
5.15 |
|
Receivables Conversion Period |
57.02 |
|
|
|
|
Receivables Turnover |
6.40 |
Impressive |
Industrial
Average |
2.94 |
|
Payables Conversion Period |
48.16 |
|
|
|
The company's Account Receivable Ratio is calculated as 6.40 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 increased from 8 days at the end
of 2016 to 9 days at the end of 2017. This represents a negative trend. And
Inventory turnover has decreased from 47.36 times in year 2016 to 39.92 times
in year 2017.
The company's Total Asset Turnover is calculated as 3.27 times and 3.53
times in 2017 and 2016 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 65.13 |
|
|
1 |
INR 91.96 |
|
Euro |
1 |
INR 80.34 |
|
Thai Baht |
1 |
INR 2.09 |
Note:
Above are approximate rates obtained from sources believed to be correct
INFORMATION DETAILS
|
Analysis Done by
: |
VIV |
|
|
|
|
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.