MIRA
INFORM REPORT
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Report Date : |
08.12.2007 |
IDENTIFICATION
DETAILS
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Name : |
GOLDLINK INDUSTRIES CO., LTD |
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Registered Office : |
No. 258, Zhongshan Road, Wuxi, Jiangsu Province, 214002 Pr |
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Country : |
China |
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Financials (as on) : |
31.12.2006 |
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Date of Incorporation : |
October 15, 1988 |
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Com. Reg. No.: |
3202002111309 |
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Legal Form : |
Limited Liabilities Company |
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Line of Business : |
Engaged in importing
and exporting chemical products, pharmaceutical products, electromechanical
products, textile products, etc. |
RATING &
COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Maximum Credit Limit : |
Up To USD 160,000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
name & address
GOLDLINK INDUSTRIES
CO., LTD
NO. 258, ZHONGSHAN ROAD, WUXI, JIANGSU PROVINCE, 214002 PR CHINA.
TEL: 86 (0) 510-82715721
FAX: 86 (0) 510- 82700472
EXECUTIVE SUMMARY
INCORPORATION DATE : OCTOBER 15, 1988
REGISTRATION NO. : 3202002111309
REGISTERED LEGAL FORM : LIMITED LIABILITIES COMPANY
STAFF STRENGTH :
39
REGISTERED CAPITAL : CNY 5,000,000
BUSINESS LINE :
TRADING
TURNOVER :
CNY 420,403,000 (AS OF DEC. 31, 2006)
EQUITIES :
CNY 11,804,000 (AS OF DEC. 31, 2006)
PAYMENT :
AVERAGE
RECOMM. CREDIT RANGE : UP TO USD 160,000
MARKET CONDITION : COMPETITIVE
FINANCIAL CONDITION : fairly STABLE
OPERATIONAL TREND : STEADY
GENERAL REPUTATION : AVERAGE
EXCHANGE RATE :
CNY
7.401 = US1$
Adopted abbreviations:
ANS - amount not stated
NS - not stated
SC - subject company (the company inquired by you)
NA - not available
CNY - China Yuan Renminbi
SC was registered as a limited liabilities company at local Administration for Industry & Commerce (AIC - The official body of issuing and renewing business license) on October 15, 1988.
Company Status: Limited liabilities co. This form of business in PR
China is defined as a legal person. No more than fifty shareholders contribute its registered
capital jointly. Shareholders bear limited liability to the extent of
shareholding, and the co. is liable for its debts only to extent of its
total assets. The characteristics of this form of co. are as follows: Upon
the establishment of the co., an investment certificate is issued to the
each of shareholders. The board of directors is
comprised of three to thirteen members. The minimum registered capital
for a co. is CNY 30,000. Shareholders may take their
capital contributions in cash or by means of tangible assets or intangible
assets such as industrial property and non-patented technology. Cash contributed by all
shareholders must account for at least 30% of the registered capital. Existing shareholders have
pre-exemption right to purchase shares of the co. offered for sale by the
other shareholders and to subscribe for the newly increased registered
capital of the co.
SC’s registered
business scope includes importing and exporting commodities
and technology, excluding the items prohibited by the state; domestic trade; selling chemical products and raw materials
(operating hazardous chemicals with permit).
SC is mainly
engaged in importing and exporting chemical products, pharmaceutical products,
electromechanical products, textile products, etc.
Mr. Hu Shiqun has
been legal representative and chairman of SC since 1999.
SC is known to have approx. 39 staff members at present.
SC is
currently operating at the above stated address, and this address houses its
operating office and head office in the commercial zone of Wuxi. Our checks
reveal that SC rents the total premise about 1,000 square meters.
http://www.sinochemwuxi.com/
The design is professional and the content is well organized. At present it is
in both Chinese and English versions.
Email: serve@goldlinkindustries.com
SC was restructured from Sinochem Jiangsu Wuxi Import& Export
Corporation in 2003.
Sinochem Jiangsu Wuxi Import & Export Corporation is a state-owned
enterprise, and its shareholder is Wuxi Guolian Development (Group) Co., Ltd.
MAIN SHAREHOLDERS:
Name %
of Shareholding
Hu Shiqun 28
Qiu Jun 4
Zhou Xizhong 2.7
Ren Jingfang 4
Ren Yongming 8
Zhang Yimei 6
Da Xing 8
Tong Xiaobo 4
Li Ke 10
Xu Xiangdong 8
Xu Zhuoxing 8
Wu Lili 1
Shao Yan 1.3
Guo Zhongrong 0.5
Wen Xiaodong 0.5
Bao Ming 4
Di Lingyun 2
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Legal representative, chairman and general manager:
Mr. Hu Shiqun, ID # 320203540808007. He is currently responsible for the
overall management of SC.
Working Experience(s):
From 1999 to present Working in SC as chairman, legal representative and general manager.
SC is mainly engaged
in importing and exporting chemical products, pharmaceutical products,
electromechanical products, textile products, etc.
SC sources its materials 50% from domestic
market, and 50% from overseas market. SC sells 50% of its products in domestic
market, and 50% to overseas market.
The buying terms of SC include Check, T/T, L/C and Credit of 30-60 days.
The payment terms of SC include Check, T/T, L/C and Credit of 30-60 days.
SC is
not known to have any subsidiary at present.
Overall payment appraisal :
( ) Excellent (
) Good (X) Average (
) Fair ( ) Poor
( ) Not yet determined
The appraisal serves as a reference to reveal SC's payments habits and ability
to pay. It is based on the 3 weighed
factors: Trade payment experience
(through current enquiry with SC's suppliers), our delinquent payment and our
debt collection record concerning SC.
Trade payment experience : SC did not
provide any name of trade/service suppliers and we have no other sources to
conduct the enquiry at present.
Delinquent
payment record : None in our database.
Debt collection record :No overdue amount owed by SC was placed to us for
collection within the last 6 years.
Bank of China Wuxi Branch.
AC#：820102214708091001
Relationship:
Normal.
Balance Sheet
Unit: CNY’000
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as of Dec. 31, 2005 |
as of Dec. 31, 2006 |
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Cash & bank |
30,765 |
33,151 |
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Notes receivable |
4,672 |
6,231 |
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Inventory |
7,442 |
4,502 |
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Accounts
receivable |
27,712 |
31,691 |
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Advances to
supplies |
11,764 |
24,743 |
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Other
receivables |
924 |
1,653 |
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A receivable tax
rebate of export |
4,821 |
5,241 |
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Other current
assets |
0 |
0 |
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------------------ |
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Current assets |
88,100 |
107,212 |
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Fixed assets |
2,529 |
2,085 |
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Fixed assets net
value |
325 |
620 |
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Projects under
construction |
0 |
0 |
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Long-term
investments |
0 |
0 |
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Intangible and other
assets |
0 |
0 |
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Total assets |
88,425 |
107,832 |
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============= |
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Short loans |
5,000 |
3,000 |
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Notes payable |
27,952 |
37,377 |
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Accounts payable |
15,685 |
16,544 |
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Other Accounts
payable |
13,143 |
10,824 |
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Accrued payroll |
0 |
0 |
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Welfares payable |
1,439 |
1,701 |
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Taxes payable |
-112 |
-243 |
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Accrued expenses |
140 |
391 |
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Advances from
customers |
15,093 |
26,434 |
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Other current
liabilities |
0 |
0 |
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Current
liabilities |
78,340 |
96,028 |
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Long term
liabilities |
0 |
0 |
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Total
liabilities |
78,340 |
96,028 |
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Shareholders
equities |
10,085 |
11,804 |
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Total
liabilities & equities |
88,425 |
107,832 |
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Income Statement
Unit: CNY’000
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as of Dec. 31, 2005 |
as of Dec. 31, 2006 |
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Turnover |
389,988 |
420,403 |
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Cost of goods sold |
371,112 |
400,345 |
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Taxes and additional of main operation |
15 |
65 |
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Income from
purchase and sales commission |
98 |
93 |
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Operation expense |
11,840 |
11,300 |
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Management expense |
4,627 |
6,292 |
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Finance expense |
546 |
465 |
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Foreign exchange
loss |
-240 |
-509 |
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Subsidy income |
375 |
445 |
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Non-operating
income |
4 |
1 |
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Non-operating expense |
-51 |
81 |
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Operation Profit |
2,618 |
2,903 |
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Less: profit tax |
1,183 |
934 |
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Net profit |
1,435 |
1,969 |
Important Ratios
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as of Dec. 31, 2005 |
as of Dec. 31, 2006 |
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*Current ratio |
1.12 |
1.12 |
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*Quick ratio |
1.03 |
1.07 |
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*Liabilities
to assets |
0.89 |
0.89 |
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*Net profit
margin (%) |
0.37 |
0.47 |
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*Return on
total assets (%) |
1.62 |
1.83 |
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*Inventory
/Turnover ×365 |
7 days |
4 days |
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*Accounts
receivable/Turnover ×365 |
26 days |
28 days |
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*Turnover/Total
assets |
4.41 |
3.90 |
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* Cost of
goods sold/Turnover |
0.95 |
0.95 |
PROFITABILITY:
AVERAGE
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The turnover of SC appears fairly good in its line, and it was rising in
2006.
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SC’s net profit margin is average.
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SC’s return on total assets is average.
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SC’s cost of goods sold is fairly high, comparing with its turnover.
LIQUIDITY: AVERAGE
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The current ratio of SC is maintained in a normal level.
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SC’s quick ratio is maintained in a normal level.
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The inventory of SC is maintained in an average level.
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The accounts receivable of SC appears fairly large.
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SC’s short-term loan is in an average level.
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SC’s turnover is in a fairly good level, comparing with the size of its
total assets.
LEVERAGE: FAIR
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The debt ratio of SC is high.
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The risk for SC to go bankrupt is average.
Overall financial
condition of the SC: Fairly stable.
SC is considered small-sized in its line with fairly stable financial
conditions. A credit line up to USD 160,000 would appear to be within SC’s
capacities.
RATING
EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
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56-70 |
A |
Financial & operational base are regarded healthy. General unfavourable
factors will not cause fatal effect. Satisfactory capability for payment of
interest and principal sums |
Fairly Large |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit
consideration. Capability to overcome financial difficulties seems
comparatively below average. |
Small |
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11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
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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 and their relative weights (as indicated through %) are as
follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)