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MIRA INFORM REPORT
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Report No. : |
505867 |
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Report Date : |
03.05.2018 |
IDENTIFICATION DETAILS
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Name : |
P.T. DWI PRIMA SENTOSA |
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Registered Office : |
Jl. Raya Mojosari – Gempol, Dsn. Ngetrep RT.03, RW.04, Desa
Sedati, Kec. Ngoro – Mojokerto 61385, East Java |
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Country : |
Indonesia |
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Financials (as on) : |
2017 [Summarized] |
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Date of Incorporation : |
06.09.2004 |
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Com. Reg. No.: |
No.
AHU-AH.01.03-0034571 |
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Legal Form : |
Limited Liability Company |
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Line of Business : |
Casual and Sport Shoe Manufacturing |
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No. of Employees : |
1,528 |
RATING & COMMENTS
(Mira Inform has adopted New Rating mechanism w.e.f. 23rd
January 2017)
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MIRA’s Rating : |
B |
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Credit Rating |
Explanation |
Rating Comments |
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B |
Medium Risk |
Business dealings permissible on a regular
monitoring basis |
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Status : |
Moderate |
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Payment Behaviour : |
Slow |
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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
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Country Name |
Previous
Rating (30.09.2017) |
Current Rating (31.12.2017) |
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Indonesia |
A2 |
A2 |
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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 |
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Very High Risk |
D |
INDONESIA - ECONOMIC OVERVIEW
Indonesia, the largest economy in Southeast Asia, has seen a slowdown in
growth since 2012, mostly due to the end of the commodities export boom. During
the global financial crisis, Indonesia outperformed its regional neighbors and
joined China and India as the only G20 members posting growth. Indonesia’s
annual budget deficit is capped at 3% of GDP, and the Government of Indonesia
lowered its debt-to-GDP ratio from a peak of 100% shortly after the Asian financial
crisis in 1999 to 33% today. While Fitch and Moody's Investors upgraded
Indonesia's credit rating to investment grade in December 2011, Standard &
Poor’s has yet to raise Indonesia’s rating to this status amid several
constraints to foreign direct investment in the country, such as a high level
of protectionism.
Indonesia still struggles with poverty and unemployment, inadequate
infrastructure, corruption, a complex regulatory environment, and unequal resource
distribution among its regions. President Joko WIDODO - elected in July 2014 –
seeks to develop Indonesia’s maritime resources and pursue other infrastructure
development, including significantly increasing its electrical power generation
capacity. Fuel subsidies were significantly reduced in early 2015, a move which
has helped the government redirect its spending to development priorities.
Indonesia, with the nine other ASEAN members, will continue to move towards
participation in the ASEAN Economic Community, though full implementation of
economic integration has not yet materialized.
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Source
: CIA |
BASIC
SEARCH
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Name
of Company :
P.T.
DWI PRIMA SENTOSA
Address
:
Head
Office & Factory
Jl.
Raya Mojosari – Gempol
Dsn.
Ngetrep RT.03, RW.04
Desa
Sedati, Kec. Ngoro – Mojokerto 61385
East
Java,
Indonesia
Phones -
(62-321) 681 7610 (hunting)
Fax - (62-321) 681 9165
Land Area - 26,000 sq.
meters
Building Area - 12,000 sq.
meters
Region - Industrial
Zone
Status - Owned
Date of Incorporation :
06
September 2004
Legal
Form :
P.T.
(Perseroan Terbatas) or Limited Liability Company
Company
Reg. No. :
The Ministry of Law and Human Rights
a.
No. C-10485.HT.01.01.TH.2006
Dated 12 April 2006
b.
No. AHU-16619.AH.01.02.Tahun 2011
Dated 01 April 2011
c.
No. AHU-AH.01.10-47404
Dated 08 November 2013
d.
No. AHU-AH.01.03-0034571
Dated 22 December 2016
Company
Status :
Foreign
Investment Company (PMA)
Permits
by the Government Department :
a. The Department of Finance
NPWP No. 02.418.946.6-059.0001
b. The Capital Investment Coordinating
Board
No. 32/35/I/P[MA/2004, dated August 18,
2004
Related/Affiliated
Company :
Not
available
CAPITAL
AND OWNERSHIP
|
Capital
Structure :
Authorized
Capital - US$.
2,911,000 (Rp.32,128,673,000.-)
Issued
Capital -
US$. 2,911,000 (Rp.32,128,673,000.-)
Paid
up Capital -
US$. 2,911,000 (Rp.32,128,673,000.-)
Shareholders/Owners
:
a.
Mr. Han Jung Soo -
US$.1,711,000 (58.78%)
Address : Puri Central Raya Blok PS 2 No.33
Lakarsantri, Surabaya
East Java, Indonesia
b.
Mr. Han Cha Chan -
US$. 600,000 (20.62%)
Address : Puri Central Raya Blok PS 2 No.33
Lakarsantri, Surabaya
East Java, Indonesia
c.
Mrs. Chae Soon Bok -
US$. 300,000 (10.30%)
Address : Puri Central Raya Blok PS 2 No.33
Lakarsantri, Surabaya
East Java, Indonesia
d.
Mr. Kim Bo Kyung -
US$. 300,000 (10.30%)
Address : Puri Central Raya Blok PS 2 No.33
Lakarsantri, Surabaya
East Java, Indonesia
BUSINESS
ACTIVITIES
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Lines of Business
:
Casual and Sport Shoe Manufacturing
Production
Capacity :
On the order basis
Total Investment :
a. Owned Capital - US$. 8.0 million
b. Loan Capital -
US$. 10.0 million
c. Total Investment -
US$. 18.0 million
Started Operation
:
April 2006
Brand Name :
DPS
Technical
Assistance :
None
Number of Employee
:
1,528 persons
Marketing Area :
Domestic (Local) - 20%
Export -
80%
Main Customers :
a. Overseas buyers in Germany, Norway, South
Korea, Singapore, Malaysia and India
b. Casual industry and Sport Shoes Retails
in the country
Market Situation :
Very Competitive
Main Competitors :
a. PT. Panarub Dwikarya Industry
b. PT. Hardaya Aneka Shoes
c. PT. Ganda Wangsa Utama
d. PT. Intidragon Suryatama
e. PT. Prima Inreksa Industries
f.
PT. Telagamas Mitra Alasindo
g. PT. Tenwangta Indonesia
Business Trend :
Fluctuating
BANKER,
AUDITOR & LITIGATION
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B a n k e r s :
a. P.T. Bank HANA
Jl. Raya Darmo No. 103
Surabaya, East Java
Indonesia
b P.T.
Bank MANDIRI Tbk
Jl. Raya Darmo No. 5
Surabaya, East Java
Indonesia
Auditor :
Internal Auditor
Litigation :
No litigation record in our database
FINANCIAL
FIGURE
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Annual Sales
(estimated) :
2013 – US$. 46.0 million
2014 – US$. 44.0 million
2015 – US$. 38.0 million
2016 – US$. 36.0 million
2017 – US$. 39.0 million
Net Profit
(estimated) :
2013 – US$. 2.9 million
2014 – US$. 2.8 million
2015 – US$. 2.4 million
2016 – US$. 2.3 million
2017 – US$. 2.5 million
Payment Manner :
Slow
Financial Comments
:
Fairly
KEY
EXECUTIVES
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Board of Management :
President Director - Mr. Han Cha Chan
Directors -
a. Mr. Han Jung Soo
b. Mrs. Lily
Board of Commissioners :
Commissioner - Mrs. Chae Soon Bok
Signatories :
President
Director (Mr. Han Cha Chan) or one of the Directors (Mr. Han Jung Soo or Mrs. Lily)
which must be approved by Board of Commissioner (Mrs. Chae Soon Bok)
CAPABILITIES
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Management
Capability :
Fairly
Business
Morality :
Fairly
OVERALL
PERFORMANCE
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P.T. DWI PRIMA SENTOSA
(P.T. DPS) was established in Mojokerto (East Java), based on Notary Deed No.
11 dated September 6, 2004 drawn up by Triwinarno, SH., notary in Sidoarjo,
with an authorized capital of US$.200,000 entirely was issued and fully paid
up. The founding shareholders of the
company are Mr. Han Cha Chan (40%), Mr. Han Jung Soo (40%) and Mrs. Chae Soon
Bok (20%). All three are businessmen and
businesswoman from South Korea. The Deed
of establishment has been approved by the Minister of Law and Human Rights of
the Republic of Indonesia through its Decision Letter No.
C-10485.HT.01.01.TH.2006 dated April 12, 2006.
Its
articles of association have subsequently been changed several times. In 2013 based on Notary Deed of Bendy Aban
Isbullah, SH., No. 16 dated September 16, 2013 the authorized capital was
raised to US$.1,500,000 entirely was issued and fully paid up. Since then, the shareholders of the company
are Mr. Han Cha Chan (40%), Mr. Han Jung Soo (20%), Mrs. Chae Soon Bok (20%)
and Mr. Kim Bo Kyung (20%). The amendment to Deed has been approved by the
Minister of Law and Human Rights of the Republic of Indonesia through its
Decision Letter No. AHU-AH.01.10-47404 dated November 8, 2013.
The most recently by Notary Deed of Wimphry
Suwignjo, SH., No. 29 dated December 06, 2016 the authorized capital was raised
to US$. 2,911,000 entirely was issued and fully paid up. Since then, the shareholders of the company
are Mr. Han Jung Soo (58.78%), Mr. Han Cha Chan (20.62%), Mrs. Chae Soon Bok
(10.30%) and Mr. Kim Bo Kyung (10.30%).
The amendment to Deed has been
approved by the Minister of Law and Human Rights of the Republic of Indonesia
through its Decision Letter No. AHU-AH.01.03-0034571 dated December 22, 2016.
In accordance with article 3 (three) of the articles of
association contained in the deed of establishment, the scope of activities of
the Company is in trading, export, import and industry of sport shoes and
sandals. The company registered office located at Mojokerto regency, East Java
and the company can open branch offices or representative offices at home and
abroad.
P.T. DPS obtained a foreign investment
company (PMA) facility issued by Investment Coordinating Board (BKPM) for
dealing with casual and sport shoes manufacturing, with its plant located at
Jl. Raya Mojosari – Gempol, Dsn. Ngetrep RT.03, RW.04, Desa Sedati, Kec. Ngoro,
Mojokerto, East Java. The plant has been
in operation since June 2006 with an installed production capacity of 2.0
million pairs of casual and sport shoes per annum. The plant has used up an investment of US$
18.0 million, with US$ 8.0 million having come from equity capital and the
balance from loans. The annual
production capacity of the plant has frequently been expanded. Today, the plant
has annual production capacity of 5.0 million pairs of casual and sport shoes
per annum. About 20% of the company's production is sold on the domestic market
and the remaining 80% being exported to Germany, Norway, South Korea,
Singapore, Malaysia and India. We
observed that P.T. DPS is classified as a medium sized company of its kind in
the country of which the operation fluctuated in the last three years.
In overall we find the demand for casual and
sport shoes had been rising by the average 6% to 8% per year within the last five
years in the country. The solid and
steady domestic economy, Indonesia with the rising of Country Rating to
Investment Grade, and also supported by Indonesia’s economic indicators such as
inflation, exchange rates and interest rates are expected to encourage the
business sectors. Macroeconomic
indicators from China showed downward trend.
In contrary, macroeconomic indicators of the US and India showed
improvement. Both of these indicated
continued uncertainties. The global economic crisis
that accompanied the decline of the Indonesian Rupiah (IDR) against the US
Dollar in the past two months, resulting in Indonesian people's purchasing
power declined sharply.
Table of Indonesian Economic Indicators from 2012
to 2016
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Indonesian
Economic Indicators |
2012 |
2013 |
2014 |
2015 |
2016 |
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Gross Domestic Product (PDB) |
6.0 |
5.6 |
5.0 |
4.8 |
5.0 |
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Consumer Price Index |
4.3 |
8.4 |
8.4 |
3.4 |
3.2 |
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Government Debt |
27.3 |
28.7 |
24.7 |
27.0 |
26.5 |
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Exchange Rate (IDR/USD) |
9,419 |
11,563 |
11,800 |
13,400 |
13,300 |
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Current Account Balance |
-2.8 |
-3.3 |
-3.1 |
-2.1 |
-2.1 |
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Population (in millions) |
247 |
250 |
253 |
255 |
258 |
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Poverty (percentage of population) |
11.7 |
11.5 |
11.0 |
11.1 |
10.9 |
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Unemployment (percentage of workforce) |
6.1 |
6.3 |
5.9 |
6.2 |
5.6 |
|
Reserves (in billion USD) |
112.8 |
99.4 |
111.9 |
105.9 |
111.4 |
Until this time P.T. DPS has not been registered with Indonesian Stock
Exchange, so that they shall not obliged to announce their financial statement.
Therefore, the company has no obligation to publish financial statement
publicly. We have checked to Department of Trade and Industry and found that no
financial statement has been reported. P.T. DPS’s management is very reclusive
to outsider and rejecting to disclose its financial condition but we estimated
the total sales turnover of the company in 2015 amounted to US$.38.0 million
declined to US$. 36.0 million in 2016 and rose again to US$. 39.0 million in
2017. It is estimated that the
operation in 2017 yielded a net profit of US$.2.5 million and the company has a
total net worth of US$.14.0 million. So far we did not hear that P.T. DPS has
been black listed by Bank Indonesia (Central Bank) or having detrimental cases
being settled in local district court.
The management of P.T. DPS is led by Mr. Han
Cha Chan (68) of South Korea as president director and CEO of the company. In
daily activities he is assisted by Mr. Han Jung Soo (64) of South Korea and
Mrs. Lily (47) of Indonesia as directors respectively. They are also assisted by a number of expert
staffs in casual and sport shoes industry.
The Company’s management has wide relations with private businessmen
within and outside the country. So far, we did not hear that the management of
the company being filed to the district court for detrimental cases or involved
in any business malpractices. The company’s litigation record is clean and it
has not registered with the black list of Bank of Indonesia. P.T. DWI PRIMA SENTOSA is appraised to be
good for business transaction. However,
in view of the economic condition in the country is still unstable and
political situation in the country is warming, we recommend to treat prudently
in extending any new loan to the company.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
INR 66.66 |
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|
1 |
INR 90.66 |
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Euro |
1 |
INR 80.00 |
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IDR |
1 |
INR 0.0048 |
Note :
Above are approximate rates obtained from sources believed to be correct
INFORMATION DETAILS
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Analysis Done by
: |
VAR |
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Report Prepared
by : |
TPT |
RATING EXPLANATIONS
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Credit Rating |
Explanation |
Rating Comments |
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A++ |
Minimum Risk |
Business dealings permissible with minimum
risk of default |
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A+ |
Low Risk |
Business dealings permissible with low
risk of default |
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A |
Acceptable Risk |
Business dealings permissible with
moderate risk of default |
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B |
Medium Risk |
Business dealings permissible on a regular
monitoring basis |
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C |
Medium High Risk |
Business dealings permissible preferably
on secured basis |
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D |
High Risk |
Business dealing not recommended or on
secured terms only |
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NB |
New Business |
No recommendation can be done due to
business in infancy stage |
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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.