MIRA INFORM REPORT

 

 

Report No. :

497865

Report Date :

27.03.2018

 

 

 

IDENTIFICATION DETAILS

 

Name :

BRAINFARMA INDUSTRIA QUIMICA E FARMACEUTICA SA

 

 

Registered Office :

Rua VP R3, S/Nş, Quadra 2 C, Modulo 1-B Distrito Agroindustrial De Anápolis 75132-015 - Anápolis/Go

 

 

Country :

Brazil

 

 

Financials (as on) :

31.12.2016

 

 

Date of Incorporation :

24.06.2002

 

 

Legal Form :

Privately Held Corporation

 

 

Line of Business :

Manufacture of Pharmaceutical Products

 

 

No. of Employees :

3643

 

 

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 :

Good

 

 

Payment Behaviour :

No Complaints

 

 

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)

Brazil

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

 

 

BRAZIL - ECONOMIC OVERVIEW

 

Brazil is the eighth-largest economy in the world, but is recovering from a recession in 2015 and 2016 that ranks as the worst in the country’s history. Falling commodity prices reduced export revenues and investment, which weakened the Brazilian real and cut tax revenues. The weaker real made existing public debt, which was largely denominated in foreign currency, more expensive. Lower tax revenues strained the government budget.

 

Economic reforms, proposed in 2016, aim to slow the growth of government spending and reduce barriers to foreign investment. Government spending growth helped to push public debt to 78% of GDP at the end of 2017, up from 50% in 2012. Policies to strengthen Brazil’s workforce and industrial sector, such as local content requirements, may have boosted employment at the expense of investment.

 

Former President Dilma ROUSSEFF was impeached and convicted in August 2016 for moving funds among government budgets; the economy has also been affected by multiple corruption scandals involving private companies and government officials. Sanctions against the firms involved — some of the largest in Brazil — has limited their business opportunities, producing a ripple effect on associated businesses and contractors. In addition, investment in these companies has declined because of the scandals.

 

Brazil is a member of the Common Market of the South (Mercosur), a trade bloc including Argentina, Paraguay, Uruguay, and Venezuela. After the Asian and Russian financial crises, Mercosur adopted a protectionist stance to guard against exposure to the volatility of foreign markets. Brazil and its Mercosur partners have pledged to open the bloc to more trade and investment, but changes require approval of all five members, which makes policy adjustments too difficult to enact.

 

Source : CIA

 

 

Company name

 

BRAINFARMA INDUSTRIA QUIMICA E FARMACEUTICA SA

 

 

ADDRESSES

 

MAIN ADDRESS:

RUA VP R3, S/Nş, QUADRA 2 C, MODULO 1-B DISTRITO AGROINDUSTRIAL DE ANÁPOLIS

ZIP CODE/CITY:

75132-015 - ANÁPOLIS/GO

 

 

PHONE:

62 3878-8150

E-MAIL:

leandro.gomes@hipermarcas.com.br

WEB SITE:

www.brainfarma.com.br

 

INQUIRY DETAILS:

 

GIVEN NAME

BRAIN FARMA INDUSRIA QUIMKA E FARMACEUTICA AS

CORRECT NAME

THE CORRECT NAME IS STATED AT THE CAPTION.

 

GIVEN ADDRESS

VR-01 QD 02 MODULO 4 DAIA ANAPOLIS GO

CORRECT ADDRESS

THE CORRECT ADDRESS IS STATED AT THE CAPTION.

 

 

 

BRANCHES:

 

 

 

ADDRESS:

RUA VP R-1, S/Nş, QUADRA 2-A MODULO 4 DISTRITO AGROINDUSTRIAL DE ANAPOLIS

ZIP CODE/CITY:

75132-020 ANAPOLIS/GO

PHONE:

62 3623-2209

CNPJ:

05.161.069/0002-44

 

 

ADDRESS:

RUA IZA COSTA, 1104 QUADRA AREA LOTE AEREA - MEZANINO

ZIP CODE/CITY:

74666-003 GOIANIA/GO

 

 

ADDRESS:

AV. MAGALHAES DE CASTRO, 4800 CONTINENTAL TOWER, UNIDADE 242 - CIDADE JARDIM

ZIP CODE/CITY:

05676-120 SAO PAULO/SP

 

 

ADDRESS:

AVENIDA ANDROMEDA, 2000 - ALPHAVILLE EMPESARIAL, BLOCO 13

ZIP CODE/CITY:

06473-000 BARUERI/SP

 

 

ADDRESS:

RUA BONNARD (GRENN VALLEY I), 980 BLOCO 13, 4ş E 5ş ANDAR, BLOCO 16, BLOCO 14, 3ş AN - ALPHAVILLE EMPRESARIAL

ZIP CODE/CITY:

06465-134 BARUERI/SP

 

 

LEGAL DATA

 

MAIN ACTIVITIES:

 

MANUFACTURE OF PHARMACEUTICAL PRODUCTS

 

LEGAL FORM:

PRIVATELY HELD CORPORATION

 

 

INCORPORATION DATE:

24/06/2002

REGISTER DATE:

24/06/2002

BALANCE SHEET FILING DATE:

31/12

TAX CONTRIBUTOR NUMBER(CNPJ):

05.161.069/0001-10

STATE REGISTER:

10.645.396-3

 

 

SHARE CAPITAL:

R$ 951.021.191,95

 

BOARD OF DIRECTORS:

 

 

 

BRENO TOLEDO PIRES DE OLIVEIRA

DIRECTOR

ARMANDO LUIS FERREIRA

DIRECTOR

JULIANE DIAS PIOTTO JUABRE

DIRECTOR

JULIANA AGUINAGA DAMIAO SALEM

DIRECTOR

 

 

AUTHORIZED USE OF SIGNATURE

 

THE DIRECTORS ARE AUTHORIZED TO SIGN ON BEHALF OF THE COMPANY.

 

SHAREHOLDERS / PARTNERS:

 

 

 

HYPERMARCAS S/A

73,52%

COSMED INDUSTRIA DE COSMESTICOS E MEDICAMENTOS S.A.

26,48%

 

AFFILIATES / SUBSIDIARIES:

 

 

 

A SCAN THROUGH OUTSIDE SOURCES SHOWED THE SUBJECT AND/OR DIRECTORS HAS/HAVE THE FOLLOWING UNCONFIRMED HOLDINGS:

 

 

GAM CONSULTORIA E SERVICOS LTDA

 

MY AGENCIA DE PROPAGANDA LTDA

 

MANTECORP PARTICIPACOES S/A

 

SAULUZ PARTICIPACOES LTDA

 

HYPERA S/A

 

INDUSTRIA E COMERCIO DE CAFE ADALU LTDA

 

 

 

COMPANY'S BACKGROUND

 

THE SUBJECT WAS ESTABLISHED ON JUNE 24, 2002 AS BRAINFARMA INDUSTRIA QUIMICA E FARMACEUTICA LTDA TO BE ENGAGED IN THE SAID LINE OF BUSINESS. ON APRIL 13, 2011 IT WAS TRANSFORMED INTO STOCK COMPANY UNDER THE ABOVE MENTIONED NAME.

 

ACCORDING TO STOCKHOLDERS' GENERAL MEETING HELD ON APRIL 29, 2011, THE PARTIAL SPLIT-OFF OF HYPERMARCAS S.A. WAS APPROVED. THE SPUN OFF NET ASSETS WERE MERGED INTO COSMED INDÚSTRIA DE COSMÉTICOS E MEDICAMENTOS S.A. AND BRAINFARMA INDÚSTRIA QUÍMICA E FARMACĘUTICA S.A. CONCURRENTLY, HYPERMARCAS S/A ALSO MERGED THE SHARES ISSUED BY COSMED AND BRAINFARMA SO THAT THESE COMPANIES COULD REMAIN WHOLLY-OWNED SUBSIDIARIES OF HYPERMARCAS S/A, AND THE NUMBER OF SHARES AND THE SHARE CAPITAL OF HYPERMARCAS REMAINED THE SAME AS THOSE PRIOR TO THE SPLIT-OFF.

 

IN APRIL 2011 SUBJECT TOOK OVER THE SPUN-OFF PART OF THE NET EQUITY OF LABORATORIO NEO QUIMICA COMERCIO E INDUSTRIA S/A.

 

TRADE NAME: BRAINFARMA

 

FURTHER DETAILS ARE SO FAR NOT KNOWN.

 

PUBLIC RECORDS INFORMATION:

 

PROTESTS:

 

1  PROTEST,TOTAL AMOUNT R$ 440,58

 

DETAILS OF LATEST PROTESTS:

 

NOTARY OFFICE:

DATE:

VALUE:

2ş CARTÓRIO DE GO-ANÁPOLIS

27/02/2018

R$ 440,58

 

 

FINANCIAL INFORMATION

 

GENERAL BALANCE SHEETS AS OF 31/12/2016, 31/12/2015 AND 31/12/2014.

( FIGURES ARE IN THOUSANDS OF REAIS ).

 

ASSETS

 

 

 

CURRENT:

31/12/2016

31/12/2015

31/12/2014

 

 

 

 

CASH AND CASH EQUIVALENTS

194.487

193.975

103.030

CLIENTS

231.301

231.625

79.187

INVENTORY

320.229

289.006

211.451

RECOVERABLE TAXES

24.433

39.198

994

OTHER CREDITS

10.023

6.908

6.432

CREDIT WITH RELATED PARTIES

6.998

21.972

49.466

DERIVATIVES OPERATIONS

225

3.134

6.459

ASSETS HELD FOR SALE

7.258

 

 

 

----------------

----------------

----------------

TOTAL CURRENT ASSETS

794.954

785.818

457.019

 

LONG-TERM RECEIVABLES:

 

 

 

 

 

 

 

INTERCOMPANY CREDITS

3

 

1.039

RECOVERABLE TAXES

12.823

9.784

11.304

OTHER CREDITS

1.824

2.536

1.622

 

----------------

----------------

----------------

TOTAL LONG-TERM RECEIVABLES

14.650

12.320

13.965

 

FIXED ASSETS:

 

 

 

 

 

 

 

FIXED ASSETS

560.013

498.670

439.718

INTANGIBLE

102.223

83.303

68.970

INVESTMENTS

50.451

 

 

 

----------------

----------------

----------------

TOTAL FIXED ASSETS

712.687

581.973

508.688

 

================

================

================

TOTAL ASSETS

1.522.291

1.380.111

979.672

 

LIABILITIES:

 

 

 

CURRENT:

31/12/2016

31/12/2015

31/12/2014

 

 

 

 

SUPPLIERS

241.333

270.421

187.053

LOANS AND FINANCING

20.847

32.852

29.415

SOCIAL / LABOR OBLIGATIONS

46.582

38.590

33.784

ACCOUNTS PAYABLE

28.868

20.103

12.031

TRIBUTARY OBLIGATIONS

8.879

8.692

9.016

INCOME TAX/SOCIAL CONTRIBUTION

 

1.362

5.693

DIVIDENDS

2.993

 

20.205

DERIVATIVES OPERATIONS

10.935

3.215

 

DEBT WITH RELATED PARTIES

122

 

 

NOTES PAYABLE

19.771

 

 

 

----------------

----------------

----------------

TOTAL CURRENT LIABILITIES

380.330

375.235

297.197

 

LONG TERM LIABILITIES:

 

 

 

 

 

 

 

LOANS AND FINANCING

93.590

450.744

117.287

RELATED COMPANIES

4

 

61

DEFERRED TAXES

45.257

34.024

33.917

OTHER

358

573

787

PROVISION FOR CONTINGENCIES

1.424

1.619

2.166

TRIBUTARY OBLIGATIONS

 

1.391

 

 

----------------

----------------

----------------

TOTAL LONG TERM LIABILITIES

140.633

488.351

154.218

 

NET EQUITY:

 

 

 

 

 

 

 

SHARE CAPITAL

951.021

476.021

476.021

CAPITAL RESERVES

5.695

5.549

4.363

OTHER COMPREHENSIVE INCOME

29.469

29.419

29.644

PROFIT RESERVES

15.143

5.093

3.639

ACCRUED PROFIT (LOSS)

 

443

14.590

 

----------------

----------------

----------------

TOTAL NET EQUITY

1.001.328

516.525

528.257

 

================

================

================

TOTAL LIABILITIES

1.522.291

1.380.111

979.672

 

PROFIT AND LOSS ACCOUNTS AS OF 31/12/2016, 31/12/2015 AND 31/12/2014.

( FIGURES ARE IN THOUSANDS OF REAIS ).

 

 

31/12/2016

31/12/2015

31/12/2014

 

 

 

 

NET SALES

881.027

814.619

659.612

(-) COST OF SOLD GOODS

711.798

658.045

524.536

 

----------------

----------------

----------------

GROSS PROFIT

169.229

156.574

135.076

OPERATING REVENUE (EXPENSE)

-98.186

-103.603

-77.367

FINANCIAL REVENUE(EXPENSE)

-53.295

-2.444

-6.751

 

----------------

----------------

----------------

OPERATIONAL PROFIT (LOSS)

17.748

50.527

50.958

NON-OPERATING RESULT

7.258

-8.264

 

CONTRIBUTION/INCOME TAX

-12.406

-13.183

-6.272

 

----------------

----------------

----------------

NET PROFIT (LOSS)

12.600

29.080

44.686

 

RATIOS:

31/12/2016

31/12/2015

31/12/2014

 

QUICK RATIO

1,25

 

1,32

 

,83

 

CURRENT RATIO

2,09

 

2,09

 

1,54

 

ACCOUNTS RECEIVABLE TURNOVER

3,81

TIMES

3,52

TIMES

8,33

TIMES

DAYS' SALES IN RECEIVABLES

94,51

DAYS

102,36

DAYS

43,22

DAYS

INVENTORY TURNOVER

2,22

TIMES

2,28

TIMES

2,48

TIMES

ACCOUNTS PAYABLE PERIOD

122,06

DAYS

147,94

DAYS

128,38

DAYS

RETURN ON ASSETS

,58

TIMES

,59

TIMES

,67

TIMES

SALES TURNOVER ON NET EQUITY

,88

TIMES

1,58

TIMES

1,25

TIMES

NET WORTH TIE-UP

,56

 

,97

 

,83

 

INDEBTEDNESS

,52

 

1,67

 

,85

 

EQUITY RATIO

65,78

%

37,43

%

53,92

%

WORKING CAPITAL RATIO

109,02

%

109,42

%

53,78

%

GENERAL SOLVENCY

2,92

 

1,60

 

2,17

 

RETURN ON NET EQUITY

1,26

%

5,63

%

8,46

%

RETURN ON SALES (PROFIT MARGIN)

1,43

%

3,57

%

6,77

%

GROSS PROFIT MARGIN

19,21

%

19,22

%

20,48

%

OPERATIONAL RESULT

2,01

%

6,20

%

7,73

%

SALES TURNOVER ON LIABILITIES

2,32

TIMES

2,17

TIMES

2,22

TIMES

FOREIGN CURRENCY ON ASSETS

 

 

 

 

 

 

FOREIGN CURRENCY ON LIABILITIES

 

 

 

 

 

 

 

 

COMMENTS ON THE FINANCIAL INFORMATION:

 

FOLLOWS ATTACHED WORKSHEET WITH MAIN FINANCIAL RATIOS

 

THE FIGURES AVAILABLE SHOW A GOOD FINANCIAL STANDING. IT SHOWS GOOD LIQUIDITY RATIOS WITH POSITIVE WORKING CAPITAL AMOUNT AND LOW LEVEL OF INDEBTEDNESS. IN ADDITION IT IS NOTED GROWING SALES AND PROFITABILITY.

 

IT IS WORTH COMMENTING THAT THE SUBJECT IS CONTROLLED BY THE HYPERMARCAS GROUP, WHICH HAS VERY HIGH FINANCIAL POWER THUS MAY GIVE THE SUBJECT THE NECESSARY FINANCIAL POWER.

 

REAL ESTATE:

 

   OWNED PREMISES ARE VALUED AT R$ 268.600.000,00

 

VEHICLES:

 

   OWNED VEHICLES ARE VALUED AT R$ 147.000,00

 

MACHINES:

 

   OWNED MACHINES AND EQUIPMENTS ARE VALUED AT R$ 278.931.000,00

 

 

INSURANCE:

 

NOT AVAILABLE.

 

 

BANKING REFERENCES

 

 

 

 

BANCO DO BRASIL S/A

 

 

BANCO ITAU S/A

 

 

BANCO BRADESCO S/A

 

 

BANCO SANTANDER (BRASIL) S/A

 

 

 

REMARKS: IN BRAZIL THE BANKS ARE PROHIBITED BY LAW TO PROVIDE INFORMATION OR ANY KIND OF COMMENTS ABOUT THEIR CLIENTS. DUE TO THIS LAW PROHIBITION WE ARE UNABLE TO PROVIDE ANY BANKING DETAILS.

 

ACCORDING TO THE CENTRAL BANK OF BRAZIL OFFICIAL REPORT, THE COMPANY HAS NOT RETURNED CHECKS UP TO DATE. (IN THE TERMS OF "CIRCULAR 1682 BRAZILIAN CENTRAL BANK").

 

 

ACTIVITIES COMMENTS

 

 

THE SUBJECT IS ENGAGED IN THE MANUFACTURE OF PHARMACEUTICALS.

 

 

IMPORT AND EXPORT:

 

   IMPORTS FROM:

GERMANY, CHINA, INDIA AND ITALY

 

   EXPORTS TO:

DOES NOT HAVE.

 

MAIN CLIENTS:

 

DOMESTIC CLIENTS:

*PRINCIPAIS DISTRIBUIDORES

ALTO MIUDEZAS

AMERICAN FARMA

ANB

ATHOS

AUDIFAR

CENTRO AMERICA

DROGUISTAS

FARMED

IMIFARMA

JORGE BATISTA

NAZÁRIA

PANARELLO

RECOL

SANTA CRUZ

SB LOG

SERVIMED

SUDESTEFARMA

TAPAJÓS

 

STAFF:

 

THE COMPANY HAS: 3643 EMPLOYEE(S)

 

 

CONCEPT AND FULFILMENT

 

THE SUBJECT IS A WELL-ESTABLISHED SUBSIDIARY OF THE HYPERMARCAS GROUP, OPERATING SINCE 2002. SO FAR IT HAS A CLEAR TRADE HISTORY AND GOOD PAYMENT BEHAVIOR.

 

THE COMPANY HAS TRADE RELATIONS WITH SEVERAL SUPPLIERS IN BRAZIL. THE SUPPLIERS EXTEND CREDIT FACILITIES TO THE SUBJECT IN TERMS AND AMOUNTS ACCORDING TO THE COMPANY'S NEEDS AND SO FAR NO PAYMENT PROBLEMS ARE NOTED.

 

THE PROTEST IS IRRELEVANT.

 

MAIN SUPPLIERS:

 

 

 

 

 

DOMESTIC SUPPLIERS:

 

 

NOT AVAILABLE

 

 

 

PAYMENT HISTORY:

 

36 SUPPLIERS REPORTED PAYMENTS:

AMOUNT OF INVOICES PAID: 314

TOTAL OF PROMPT PAYMENTS: 81,5%

TOTAL OF DELAYED PAYMENTS: 18,5%

 

HIGHEST INVOICE: R$ 167.413,00

HIGHEST CREDIT: R$ 825.670,00

 

 

FINAL OPINION

 

THE SUBJECT IS A WELL-ESTABLISHED COMPANY IN BUSINESS SINCE 2002. IT HAS JUST BEEN ACQUIRED BY HYPERMARCAS GROUP, WHICH HAS VERY HIGH FINANCIAL POWER, THUS MAY GIVE THE SUBJECT THE NECESSARY FINANCIAL SUPPORT WHENEVER REQUIRED. UP TO DATE IT HAS A GOOD FINANCIAL STANDING, A CLEAR TRADE HISTORY AND GOOD PAYMENT BEHAVIOR.

 

BASED ON THE GENERAL INFORMATION AVAILABLE IT IS BELIEVED THAT GOOD TRADE RELATIONS MAY BE ESTABLISHED. CREDIT FACILITIES MAY BE EXTENDED WITHIN TERMS AND AMOUNTS ADEQUATE TO THE COMPANY'S FINANCIAL STRENGTH.

 

 

 

 

 

 

FOREIGN EXCHANGE RATES

 

Currency
Unit

Indian Rupees

US Dollar

1

INR 64.90

UK Pound

1

INR 91.87

Euro

1

INR 80.25

BRL

1

INR 1.14

 

Note : Above are approximate rates obtained from sources believed to be correct

 

 

INFORMATION DETAILS

 

Analysis Done by :

NIY

 

 

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)

 

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This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.