3decades

MIRA INFORM REPORT

Report No. :	500593
Report Date :	31.03.2018

IDENTIFICATION DETAILS

Name :	ZEN PIRLANTA A.S.

Registered Office :	Mollafenari Mah. Serefefendi Sok. No:35 Eminonu 34120 Istanbul

Country :	Turkey

Financials (as on) :	31.12.2015

Date of Incorporation :	17.01.2001

Com. Reg. No.:	452168

Legal Form :	Joint Stock Company

Line of Business :	Trade of giftware and jewelry materials.

No. of Employees :	236

RATING & COMMENTS

(Mira Inform has adopted New Rating mechanism w.e.f. 23^rd January 2017)

MIRA’s Rating :

Credit Rating	Explanation	Rating Comments
A	Acceptable Risk	Business dealings permissible with moderate risk of default

Status :	Satisfactory

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)

Turkey

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

TURKEY - ECONOMIC OVERVIEW

Turkey's largely free-market economy is driven by its industry and, increasingly, service sectors, although its traditional agriculture sector still accounts for about 25% of employment. The automotive, petrochemical, and electronics industries have risen in importance and surpassed the traditional textiles and clothing sectors within Turkey's export mix. However, the recent period of political stability and economic dynamism has given way to domestic uncertainty and security concerns, which are generating financial market volatility and weighing on Turkey’s economic outlook.

Current government policies emphasize populist spending measures and credit breaks, while implementation of structural economic reforms has slowed. The government is playing a more active role in some strategic sectors and has used economic institutions and regulators to target political opponents, undermining private sector confidence in the judicial system. Between July 2016 and March 2017, three credit ratings agencies downgraded Turkey’s sovereign credit ratings, citing concerns about the rule of law and the pace of economic reforms.

Turkey remains highly dependent on imported oil and gas but is pursuing energy relationships with a broader set of international partners and taking steps to increase use of domestic energy sources including renewables, nuclear, and coal. The joint Turkish-Azerbaijani Trans-Anatolian Natural Gas Pipeline is moving forward to increase transport of Caspian gas to Turkey and Europe, and when completed will help diversify Turkey's sources of imported gas.

After Turkey experienced a severe financial crisis in 2001, Ankara adopted financial and fiscal reforms as part of an IMF program. The reforms strengthened the country's economic fundamentals and ushered in an era of strong growth averaging more than 6% annually until 2008. An aggressive privatization program also reduced state involvement in basic industry, banking, transport, power generation, and communication. Global economic conditions and tighter fiscal policy caused GDP to contract in 2009, but Turkey's well-regulated financial markets and banking system helped the country weather the global financial crisis, and GDP growth rebounded to around 9% in 2010 and 2011, as exports and investment recovered following the crisis.

The growth of Turkish GDP since 2016 has revealed the persistent underlying imbalances in the Turkish economy. In particular, Turkey’s large current account deficit means it must rely on external investment inflows to finance growth, leaving the economy vulnerable to destabilizing shifts in investor confidence. Other troublesome trends include rising unemployment and inflation, which increased in 2017, given the Turkish lira’s continuing depreciation against the dollar. Although government debt remains low at about 30% of GDP, bank and corporate borrowing has almost tripled as a percent of GDP during the past decade, outpacing its emerging-market peers and prompting investor concerns about its long-term sustainability.

Source : CIA

COMPANY IDENTIFICATION

NAME	ZEN PIRLANTA A.S.
HEAD OFFICE ADDRESS	Mollafenari Mah. Serefefendi Sok. No:35 Eminonu 34120 Istanbul / Turkey
PHONE NUMBER	90-212-520 00 41
FAX NUMBER	90-212-520 04 46
WEB-ADDRESS	www.zenpirlanta.com
E-MAIL	bilgi@zenpirlanta.com

LEGAL STATUS AND HISTORY

NOTES ON LEGAL STATUS AND HISTORY

Change at tax no.

TAX OFFICE

Hocapasa

TAX NO

9970703362

REGISTRATION NUMBER

452168

REGISTERED OFFICE

Istanbul Chamber of Commerce

COMMERCIAL REGISTRY

Istanbul Commercial Registry

DATE ESTABLISHED

17.01.2001

ESTABLISHMENT GAZETTE DATE/NO

22.01.2001/5219

LEGAL FORM

Joint Stock Company

TYPE OF COMPANY

Private

REGISTERED CAPITAL

TL 42.000.000

HISTORY

Previous Legal Type :	Limited Company / Changed on : 05.01.2015/(Commercial Gazette Date /Number 09.01.2015 /8733)
Previous Name :	Zen Turizm-Hediyelik Esya Sanayi ve Ticaret Ltd. Sti. / Changed on : 05.01.2015/(Commercial Gazette Date /Number 09.01.2015 /8733)
Previous Registered Capital :	TL 3.500.000 / Changed on : 21.07.2008/(Commercial Gazette Date /Number 24.07.2008 /7112)
Previous Registered Capital :	TL 7.000.000 / Changed on : 10.09.2009/(Commercial Gazette Date /Number 15.09.2009 /7398)
Previous Registered Capital :	TL 7.550.000 / Changed on : 13.03.2012/(Commercial Gazette Date /Number 19.03.2012 /8029)
Previous Registered Capital :	TL 11.000.000 / Changed on : 29.04.2013/(Commercial Gazette Date /Number 06.05.2013 /8313)
Previous Registered Capital :	TL 20.000.000 / Changed on : 30.12.2013/(Commercial Gazette Date /Number 03.01.2014 /8478)
Previous Registered Capital :	TL 32.000.000 / Changed on : 02.05.2016/(Commercial Gazette Date /Number 06.05.2016 /9070)
Previous Tax No :	9970214343 / Changed on : 05.01.2015/(Commercial Gazette Date /Number 09.01.2015 /8733)

OWNERSHIP / MANAGEMENT

SHAREHOLDERS

Emil Guzelis	97 %
Kemal Tavukcuoglu	3 %

SISTER COMPANIES

- MED-ART SAGLIK HIZMETLERI VE KUYUMCULUK SANAYI VE TICARET LTD. STI. ( Tax Number: 6130072421, Registration Number: 12971-8 )

BOARD OF DIRECTORS

Kemal Tavukcuoglu

Emil Guzelis

OPERATIONS

BUSINESS ACTIVITIES

Trade of giftware and jewelry materials.

NACE CODE

G .52.12

SECTOR

Commerce

TRADEMARKS TRADED

Zen

Zen diamond

NUMBER OF EMPLOYEES

236

NET SALES

11.925.395 TL	(2011)
22.809.199 TL	(2012)
33.962 TL Thousand	(2013)
46.435 TL Thousand	(2014)
71.172 TL Thousand	(2015)
114.037 TL Thousand	(2016)

CAPACITY

None

PRODUCTION

None

IMPORT COUNTRIES

Belgium

China

Switzerland

Austria

Netherlands

Korea

Hong-Kong

MERCHANDISE IMPORTED

Diamond

Jewelry materials

HEAD OFFICE ADDRESS

Mollafenari Mah. Serefefendi Sok. No:35 Eminonu Istanbul / Turkey

( 260 sqm )

GENERAL INFORMATION ON OPERATIONS

The firm has a considerable market potential.

NOTES ON INVESTMENTS

None

TREND OF BUSINESS	There was an upwards trend in 2013, 2014, 2015 and 2016.
SIZE OF BUSINESS	Giant

FINANCE

MAIN DEALING BANKS

Turk Ekonomi Bankasi Nuruosmaniye Branch

T. Is Bankasi Cagaloglu Branch

T. Garanti Bankasi Nuruosmaniye Branch

Yapi ve Kredi Bankasi Nuruosmaniye Branch

Denizbank Bahcekapi Ticari Merkez Branch

CREDIT FACILITIES

The subject company is making use of credit facilities.

PAYMENT BEHAVIOUR

No Complaints

KEY FINANCIAL ELEMENTS

	(2012) TL	(2013) TL Thousand	(2014) TL Thousand	(2015) TL Thousand	(2016) TL Thousand
Net Sales	22.809.199	33.962	46.435	71.172	114.037
Profit (Loss) Before Tax	426.185	360	1.158	1.787	960
Stockholders' Equity	14.734.669	32.746	35.744	38.720
Total Assets	34.958.358	62.122	89.471	108.330
Current Assets	34.043.938	60.842	87.745	104.665
Non-Current Assets	914.420	1.280	1.726	3.665
Current Liabilities	9.022.956	4.613	5.006	5.967
Long-Term Liabilities	11.200.733	24.763	48.721	63.643
Gross Profit (loss)	11.792.333	19.410	24.834	37.465	52.794
Operating Profit (loss)	68.173	3.715	4.722	11.536	7.891
Net Profit (loss)	293.587	97	1.158	1.371	960

NOTES ON FINANCIAL INFORMATION

The subject is not obliged to announce its data and it strictly declines to provide its fresh financial data.

COMMENT ON FINANCIAL POSITION

THE DETAILS OF THE CAPITAL INCREASE AFTER LAST BALANCE SHEET

Cash Part

10.000.000 TL

Payment Due Date

02.05.2016

Capitalization	High
Remarks on Capitalization	A part of total liabilities and equity consist of loans from shareholders rather than liabilities to third parties indicating low indebtedness to third parties. There has been capital increase after the last balance sheet date. The capital increase is expected to have an improvement at equity total since the last balance sheet date.
Liquidity	High
Remarks On Liquidity	The favorable gap between average collection and average payable period has a positive effect on liquidity.
Profitability	Low Operating Profitability in 2012 Low Net Profitability in 2012 High Operating Profitability in 2013 Low Net Profitability in 2013 High Operating Profitability in 2014 Low Net Profitability in 2014 High Operating Profitability in 2015 Low Net Profitability in 2015 Good Operating Profitability in 2016 Low Net Profitability in 2016
Gap between average collection and payable periods	Favorable in 2015
General Financial Position	Good

CREDIT OPINION WITHOUT OBLIGATION

	Incr. in producers’ price index	Average USD/TL	Average EUR/TL	Average GBP/ TL
( 2011 )	13,33 %	1,6797	2,3378	2,6863
( 2012 )	2,45 %	1,7995	2,3265	2,8593
( 2013 )	6,97 %	1,9179	2,5530	3,0178
( 2014 )	6,36 %	2,1891	2,8989	3,6060
( 2015 )	5,71 %	2,7230	3,0254	4,1661
( 2016 )	9,94 %	3,0292	3,3349	4,1006
( 01.01-28.02.2018)	3,69 %	3,7820	4,6191	5,2464

BALANCE SHEETS

	31.12.2012 ( Full Year ) TL		31.12.2013 ( Full Year ) TL Thousand		31.12.2014 ( Full Year ) TL Thousand		31.12.2015 ( Full Year ) TL Thousand
CURRENT ASSETS	34.043.938	0,97	60.842	0,98	87.745	0,98	104.665	0,97
Not Detailed Current Assets	0	0,00	0	0,00	0	0,00	0	0,00
Cash and Banks	4.312.364	0,12	7.531	0,12	8.744	0,10	17.902	0,17
Marketable Securities	0	0,00	0	0,00	0	0,00	0	0,00
Account Receivable	5.877.814	0,17	1.895	0,03	3.795	0,04	3.998	0,04
Other Receivable	0	0,00	64	0,00	97	0,00	100	0,00
Inventories	21.795.189	0,62	45.848	0,74	73.790	0,82	79.792	0,74
Advances Given	1.424.733	0,04	5.487	0,09	1.299	0,01	2.857	0,03
Accumulated Construction Expense	0	0,00	0	0,00	0	0,00	0	0,00
Other Current Assets	633.838	0,02	17	0,00	20	0,00	16	0,00
NON-CURRENT ASSETS	914.420	0,03	1.280	0,02	1.726	0,02	3.665	0,03
Not Detailed Non-Current Assets	0	0,00	0	0,00	0	0,00	0	0,00
Long-term Receivable	0	0,00	0	0,00	0	0,00	0	0,00
Financial Assets	0	0,00	0	0,00	0	0,00	0	0,00
Tangible Fixed Assets (net)	259.976	0,01	682	0,01	658	0,01	2.171	0,02
Intangible Assets	581.494	0,02	513	0,01	975	0,01	875	0,01
Deferred Tax Assets	0	0,00	0	0,00	0	0,00	0	0,00
Other Non-Current Assets	72.950	0,00	85	0,00	93	0,00	619	0,01
TOTAL ASSETS	34.958.358	1,00	62.122	1,00	89.471	1,00	108.330	1,00
CURRENT LIABILITIES	9.022.956	0,26	4.613	0,07	5.006	0,06	5.967	0,06
Not Detailed Current Liabilities	0	0,00	0	0,00	0	0,00	0	0,00
Financial Loans	43.749	0,00	155	0,00	42	0,00	157	0,00
Accounts Payable	4.674.972	0,13	2.823	0,05	3.637	0,04	3.815	0,04
Loans from Shareholders	0	0,00	0	0,00	0	0,00	0	0,00
Other Short-term Payable	88.455	0,00	0	0,00	299	0,00	69	0,00
Advances from Customers	4.073.259	0,12	1.384	0,02	444	0,00	728	0,01
Accumulated Construction Income	0	0,00	0	0,00	0	0,00	0	0,00
Taxes Payable	130.973	0,00	246	0,00	495	0,01	1.198	0,01
Provisions	11.548	0,00	1	0,00	69	0,00	0	0,00
Other Current Liabilities	0	0,00	4	0,00	20	0,00	0	0,00
LONG-TERM LIABILITIES	11.200.733	0,32	24.763	0,40	48.721	0,54	63.643	0,59
Not Detailed Long-term Liabilities	0	0,00	0	0,00	0	0,00	0	0,00
Financial Loans	6.239.100	0,18	9.322	0,15	10.139	0,11	868	0,01
Securities Issued	0	0,00	0	0,00	0	0,00	0	0,00
Long-term Payable	0	0,00	0	0,00	0	0,00	0	0,00
Loans from Shareholders	4.961.633	0,14	15.441	0,25	38.582	0,43	62.775	0,58
Other Long-term Liabilities	0	0,00	0	0,00	0	0,00	0	0,00
Provisions	0	0,00	0	0,00	0	0,00	0	0,00
STOCKHOLDERS' EQUITY	14.734.669	0,42	32.746	0,53	35.744	0,40	38.720	0,36
Not Detailed Stockholders' Equity	0	0,00	0	0,00	35.744	0,40	0	0,00
Paid-in Capital	11.000.000	0,31	32.000	0,52	0	0,00	32.000	0,30
Cross Shareholding Adjustment of Capital	0	0,00	0	0,00	0	0,00	0	0,00
Inflation Adjustment of Capital	3.011.101	0,09	486	0,01	0	0,00	4.525	0,04
Equity of Consolidated Firms	0	0,00	0	0,00	0	0,00	0	0,00
Reserves	429.981	0,01	163	0,00	0	0,00	1.258	0,01
Revaluation Fund	0	0,00	0	0,00	0	0,00	0	0,00
Accumulated Losses(-)	0	0,00	0	0,00	0	0,00	-434	0,00
Net Profit (loss)	293.587	0,01	97	0,00	0	0,00	1.371	0,01
TOTAL LIABILITIES AND EQUITY	34.958.358	1,00	62.122	1,00	89.471	1,00	108.330	1,00

INCOME STATEMENTS

	(2012) ( Full Year ) TL		(2013) ( Full Year ) TL Thousand		(2014) ( Full Year ) TL Thousand		(2015) ( Full Year ) TL Thousand		(2016) ( Full Year ) TL Thousand
Net Sales	22.809.199	1,00	33.962	1,00	46.435	1,00	71.172	1,00	114.037	1,00
Cost of Goods Sold	11.016.866	0,48	14.552	0,43	21.601	0,47	33.707	0,47	61.243	0,54
Gross Profit	11.792.333	0,52	19.410	0,57	24.834	0,53	37.465	0,53	52.794	0,46
Operating Expenses	11.724.160	0,51	15.695	0,46	20.112	0,43	25.929	0,36	44.903	0,39
Operating Profit	68.173	0,00	3.715	0,11	4.722	0,10	11.536	0,16	7.891	0,07
Other Income	1.411.191	0,06	2.044	0,06	2.980	0,06	3.079	0,04	7.138	0,06
Other Expenses	1.045.923	0,05	5.005	0,15	5.999	0,13	12.251	0,17	13.725	0,12
Financial Expenses	7.256	0,00	394	0,01	545	0,01	577	0,01	344	0,00
Minority Interests	0	0,00	0	0,00	0	0,00	0	0,00	0	0,00
Profit (loss) of consolidated firms	0	0,00	0	0,00	0	0,00	0	0,00	0	0,00
Profit (loss) Before Tax	426.185	0,02	360	0,01	1.158	0,02	1.787	0,03	960	0,01
Tax Payable	132.598	0,01	263	0,01	0	0,00	416	0,01	0	0,00
Postponed Tax Gain	0	0,00	0	0,00	0	0,00	0	0,00	0	0,00
Net Profit (loss)	293.587	0,01	97	0,00	1.158	0,02	1.371	0,02	960	0,01

LAST FINANCIAL STATEMENT DETAILS

	TL Thousand
Cash	488
Banks	5.268
Doubtful Trade Receivables	0
Other Miscellaneous Receivables (in Other Receivable)	100
Overdue, Delayed or Deferred Tax by Installments and Other Liabilities	0
Profit from Foreign Currency Exchange	5.533
Loss from Foreign Currency Exchange	12.535

FINANCIAL RATIOS

	(2012)	(2013)	(2014)	(2015)
LIQUIDITY RATIOS
Current Ratio	3,77	13,19	17,53	17,54
Acid-Test Ratio	1,13	2,06	2,52	3,69
Cash Ratio	0,48	1,63	1,75	3,00
ASSET STRUCTURE RATIOS
Inventory/Total Assets	0,62	0,74	0,82	0,74
Short-term Receivable/Total Assets	0,17	0,03	0,04	0,04
Tangible Assets/Total Assets	0,01	0,01	0,01	0,02
TURNOVER RATIOS
Inventory Turnover	0,51	0,32	0,29	0,42
Stockholders' Equity Turnover	1,55	1,04	1,30	1,84
Asset Turnover	0,65	0,55	0,52	0,66
FINANCIAL STRUCTURE
Stockholders' Equity/Total Assets	0,42	0,53	0,40	0,36
Current Liabilities/Total Assets	0,26	0,07	0,06	0,06
Financial Leverage	0,58	0,47	0,60	0,64
Gearing Percentage	1,37	0,90	1,50	1,80
PROFITABILITY RATIOS
Net Profit/Stockholders' Eq.	0,02	0,00	0,03	0,04
Operating Profit Margin	0,00	0,11	0,10	0,16
Net Profit Margin	0,01	0,00	0,02	0,02
Interest Cover	59,74	1,91	3,12	4,10
COLLECTION-PAYMENT
Average Collection Period (days)	92,77	20,09	29,42	20,22
Average Payable Period (days)	152,76	69,84	60,61	40,75
WORKING CAPITAL	25020982,00	56229,00	82739,00	98698,00

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	INR 65.04
UK Pound	1	INR 92.28
Euro	1	INR 80.62
TRY	1	INR 16.46

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

INFORMATION DETAILS

Analysis Done by :	NIS

Report Prepared by :	TRU

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)

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

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

MIRA INFORM REPORT

COMPANY IDENTIFICATION

LEGAL STATUS AND HISTORY

OWNERSHIP / MANAGEMENT

OPERATIONS

FINANCE

NOTES ON FINANCIAL INFORMATION

COMMENT ON FINANCIAL POSITION

CREDIT OPINION WITHOUT OBLIGATION

BALANCE SHEETS

INCOME STATEMENTS

LAST FINANCIAL STATEMENT DETAILS

FINANCIAL RATIOS

Unit